Gerakan president and Minister Primary Industries Dr Lim Keng Yaik today warned Malaysians to prepare for possible repercussions which could arise from the country's refusal to join the United States-led 'Coalition of the Willing' in waging war o­n Iraq.

The minister said although the impact of Malaysia's stand has not yet been accounted for, Malaysians should take preliminary caution by diversifying and reducing export dependence o­n the United States.

"Spiking oil prices, increasing freight insurance premiums, a decrease in tourism activities, the disruption of supply chains, decreased public and private investment due to uncertainty will all contribute to a slowdown in worldwide economic activity.

Malaysia, with its dependence o­n exports and international trade as well as tourism, will be greatly affected by a long drawn out war," he said.