MITI announced on 10 September 2009 allowing traders and distributors to export ordinary Portland cement (OPC). The decision was based on consultations with industry, including the Cement and Concrete Association of Malaysia (C&CA).
Previously, the Export Licence (AP) for OPC was only granted to local manufacturers of cement. The decision to allow traders and distributors to export OPC was taken to ensure the competitiveness of the cement industry, especially during the current economic downturn. Extending the AP to traders and distributors will assist the local industry to access new markets through contacts and networking established by traders/distributors with end users.
Conditions for the issuing of AP to traders and distributors include:
● confirmation of Local Availability (CLA) from C&CA must be submitted to MITI prior to issuance of AP; and
● information on the source of supply (letter from manufacturer) must also be included in the CLA.
The CLA is essential to ensure sufficient cement supply in the local market and that standard requirements for cement are adhered to. C&CA, comprising local manufacturers with credible expertise are given the responsibility to issue CLA to monitor quality of exported OPC.
The revised policy, however, will be reviewed accordingly to ensure the competitiveness of the industry and to safeguard against disruption in domestic supply.