CMS Cement Sdn Bhd has quashed talks that cement makers in the country are manipulating the production and distribution of cement and of monopolisation and artificial shortages.
The sole cement maker in Sarawak said in the past week, the cement industry has generated much conversation with speculation that local cement companies would be increasing their prices.
"Within hours of the initial reports of the price hike, CMS Cement had released a response categorically stating that we would not be increasing our prices," said CMS Cement CEO, executive director and head of cement division, Othman Abdul Rani, in a statement today.
"CMS Cement has always remained committed to the socio-economic growth of the state and to facilitate this, we will not be increasing our prices," he added.
He said the company has a capacity to produce 5,500 metric tonnes per day and it distributes 5,300 metric tonnes per day as per demand.
"Generally this output changes if external factors interrupt the production as was the case a few weeks ago when delivery of raw materials from Vietnam and Thailand was delayed due to bad weather. But even in that instance, CMS Cement has been importing cement to relieve the constraints."
Othman also dismissed claims of monopolisation, saying Sarawak, in particular, has "no restrictions and anyone can enter the market and produce, manufacture or import cement".
He said the company is currently looking to engage with third party dealers, downstream product users and business associations.
"By engaging with these three key stakeholder groups, we hope to champion open advocacy, foster closer working relations and provide a clear roadmap to drive Sarawak to reach the state's full potential. It is our belief that we must all work together. CMS Cement offers in all three engagement instances to act as secretariat and facilitator, bringing parties together and moving in one unified direction," he added.
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