CAP: Freeze any increase in cement prices

The Consumers’ Association of Penang (CAP) calls on the Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) to put any immediate freeze and stop cement players from imposing a price increase on cement.

Cement is listed as a “scheduled control goods” in KPDNHEP’s website  dated 2019.  However according to a 2008 news report the then Works Minister Datuk Mohd Zin Mohamed said that the government may introduce a mechanism to ensure that steel bars and cement supplied to contractors at a reasonable price.   Does this mean that the previous government had liberalised it 10 years ago?

Malaysian Competition Commission (MyCC) should also investigate if the cement players had violated the Competition Act because of reports that a company now dominates 85% of the local cement industry.

The Ministry should take stern action against those who have already hiked the price prior to approval because cement is a price controlled item.  According to a report, a cement supplier had increased the price to RM40-00 from RM20.00 per cubic metre since 15th June 2019.

Never had cement prices skyrocketed so abruptly and had the government been informed of this move?

We reiterate our call for KPDNHEP and MyCC to investigate if the industry had violated any of the acts and in the meantime freeze the price increase.

Press Statement , 18 June 2019