Master Builders Association Malaysia (MBAM) has been informed by our Members that one of the major cement manufacturers has notified them that the list prices of cement in Klang Valley will increase from 1st August as follows:

• Cement Bag Listed Price per bag from RM16.75 to RM17.75
• Cement Bulk Listed Price per ton from RM320.00 to RM340.00

MBAM appeals to the Government in particular the Ministry of Domestic Trade, Co-operatives & Consumerism (MDTCC) to look into this matter immediately. The said increase will definitely increase construction cost as prices of concrete & all cement-based products will be affected. Contractors will be impacted as they have signed fixed price contracts with project developers. Ultimately the price increase will be passed on to the end purchasers & thus the house buyers. We see no reason for the said increase as production costs have not gone up but in fact fuel & energy cost have come down this year. We would like to draw the attention of the Malaysia Competition Commission (MyCC) to investigate whether the major cement manufacturer is making use of its dominating position to lead in the said price increase & thus control the market price.

Matthew Tee Kai Woon
MBAM President