CMS Cement Pending plant

Cement Prices to Normalise Post Pen. Malaysia Cement Price Wars

Kuching (Sarawak), Sunday, 23 June 2019 – Cahya Mata Sarawak Berhad (CMSB – 2852) CMS Cement Industries Sdn Bhd (CMSCI), swiftly moved to welcome the request by YB Lim Guan Eng, Finance Minister of Malaysia to probe the difference in cement prices between East Malaysia and West Malaysia.

En. Suhadi Sulaiman, CEO of CMSCI said, “We welcome the enquiry for two reasons. Firstly, it will show that the disparity in prices is purely due to the recent aggressive price war which led to industry mergers and acquisitions in Pen. Malaysia. Secondly, an enquiry of this nature will also serve-to-show once and for all that Sarawak is not and never has been a cement monopoly. Other industry players are welcome to set-up-shop but choose not to venture into Sarawak because the initial start-up costs for development of infrastructure and haulage make it non-viable. CMSCI has been able to offset and spread these operations costs year-in-year-out by being in operation for over 40 years.”

“CMSCI will cooperate openly and transparently with any enquiry because any enquiry will show that we operate at the highest levels of business and retail integrity. The enquiry will also show that CMSCI has not raised our prices since January 2016.” We reaffirm as per our statement last week, CMSCI has no plans to increase our prices any time soon.”