The Muslim Consumer Association of Malaysia (MCAM) boycott against Coca-Cola has put Malaysia in the international news once again. MCAM executive secretary Nadzim Johan said, "The boycott is in response to Western interference in the internal affairs of Muslim countries in the guise of fighting terrorism" and that "it is also a fight against discrimination, not just against Muslims, but everyone".

The boycott is not only painting a poor picture of Malaysia in the foreign press, it is also irrational and unnecessary. Firstly, it is based on cloudy ideas of "Western interference in the affairs of Muslim countries" and false notions of American discrimination toward other people. Secondly, the ban will have little effect on Coca-Cola's international sales or US foreign policy but will instead hurt Malaysians most.

American multinationals such as Coca-Cola earn only a tiny fraction of their sales from Malaysia while Malaysia gains most from their presence. Firstly, F&N; Coca-Cola, which distributes Coke in Malaysia, is run by Malaysians and directly employs 1,700 Malaysians with roughly 17,000 more indirectly employed. They pay better than local competitors and bring in fresh international business ideas and practices into the country. By providing cost efficient, inexpensive food and drinks, they also help increase the Malaysian standard of living.

Malaysia is the 17th largest trading partner of the US — and the US is Malaysia's number one trading partner. The net flow of trade favours Malaysia. The US market is responsible for more wealth creation in Malaysia than any other foreign country. US multinationals like Coke are global companies that employ thousands across the world, including the Arab and Muslim regions.

Consider the following: Coca-Cola and its distributors employ 200,000 people in the Arab world and pay workers there 15 percent more than home grown competitors. In Palestine, Coke, with a local bottler, National Beverage Company (NBC), ferries workers past checkpoints to their villages, and offers loans, accredited training and health plans to Palestinians. Coke is the second biggest investor in Palestine, a region with 20 percent unemployment that needs every job it can get.

Zahi Khouri, chairman of NBC, a company15 percent owned by Coke, said in an interview with The Economist that he "has yet to meet an American running any of Coke's Arab operations". He said, "I don't equate US administration policies with those of US corporations. The more the world is exposed to multinationals the better. They fuel competition, set standards and teach us about discipline, commitment and service".

The last thing Malaysia needs in this rocky global economic climate is righteous yet ignorant 'kampung boys' spoiling the nation's name and turning off foreign investors because of their ridiculous prejudices against the rest of the world.

"Anything like this (boycott) on an extended scale would certainly unnerve foreign investors, especially at a time when the world is watching Malaysia very closely as one of the few moderate and progressive Muslim countries," said Rajeev Malik, a senior economist at JP Morgan Chase in Singapore.

In addition to the economic cost, the basis for the boycott is also unnecessary. Pray tell, exactly what "Western interference" is Nadzim talking about? Is he suggesting that the US should not have liberated Kuwait in the 1990s, or sent its boys to defend Muslims in Bosnia and Kosovo in the last decade?

Should it cancel its US$2 billion in annual aid to Egypt or recall all US companies that have operations in the Muslim world? Should it cease its nation-building in Afghanistan and return citizens of that country to their despised Taliban rule? Or perhaps it should shut its borders and prevent all trade and technology exchange between itself and Muslim countries. Is US interference really such a bad thing?

Indeed, Iran, the one Muslim country with the least amount of US diplomatic and economic ties is also the Muslim country with its citizens hungering for more US contact. In a recent poll, 75 percent of Iranians wanted resumed contact with the US and just under half said that US policy towards Iraq is "to some extent correct".

Nadzim and Malaysians who agree with him need to travel more and expand their worldview. I travelled across Bosnia in 1997 and was surprised at the number of American flags hanging in Muslim restaurants and shops. I have also lived in the US for seven years and never once faced any level of discrimination.

Racism in the US does exist but is comparatively rare due to the country's great diversity. Nations tend to over-compensate for the sins of their past and US society does this by being intolerant of any level of racism and welcoming foreign cultures and people with open arms. I have many Muslim friends in the US, hailing from countries like Bosnia, Iran and Pakistan. All of them have great respect and appreciation for America and none have experienced any form of discrimination since Sept 11.

Nadzim and MCAM are barking up the wrong tree.