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CHAIRMAN’S           DELIVERING            MSM           MANAGEMENT DISCUSSION    GROUP FINANCIAL
                  STATEMENT             VALUE               OVERVIEW            & ANALYSIS            REPORT


           buSINESS REVIEW











           OPeRAtiOnAL & ReFininG











     38


       MSM MALAYSIA HOLDINGS BERHAD   Annual Report 2020















                                                Performance                                      2020         2019
             “Production        volume          Production Volume (tonnes)                    1,010,215   1,073,888
             year-on-year  fell 6%  in          Raw Melted (tonnes)                           1,061,158   1,101,708
             FY2020.  In  June 2020,            Capacity Utilisation (%)                           47           48
             MSM Perlis ceased its
             refining activities after          Cost Saving Initiatives (RM million)               1.8         9.3
             being in operations since          Customer Complaint Rate (%)                       0.18        0.08
             1971.  This reduction in
             capacity is expected to be
             filled by the newer MSM
             Johor refinery. However,
             disruption      in    local         2021 PRIORITIES:
             demands and challenges                   Improve Utilisation Factor (UF), Yield and Refining Cost of MSM Johor
             in international deliveries
             following movement and                   Complete planned asset transfers from MSM Perlis to MSM Johor
             travel restrictions put in               Ensure scheduled maintenance, certifications and plant upgrades for
             place to curb the spread                higher plant reliability and efficiency
             of COVID-19 for the most                 Maintain good rapport between management and union members
             part of 2020 have resulted              through collective bargaining with Union in June 2021
             in lower than planned                   Migrate MSM Prai from OHSAS 18001 to ISO 45001
             production output across                 Expand MSM Johor’s production capabilities in Liquid Sugar and
             MSM Group.                              Flavoured Syrups
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