YTL Cement Bhd inks MoU with Innocement Sdn Bhd to produce cement and cementitious materials in Sarawak

KUCHING, 14 July 2023: YTL Cement, the nation’s pioneer and largest homegrown cement company, inked a Memorandum of Understanding (MoU) with Innocement Sdn Bhd, a company owned by the Sarawak government, to produce cement and cementitious materials in Sarawak.

The signing ceremony was witnessed by Sarawak Premier, Tan Sri Abang Zohari Tun Abang Haji Openg (Abang Johari), who highlighted the importance of strengthening the cement supply chain in the state.

In his opening, Abang Johari said, "Cement accounts for 3-7% of construction costs, and concrete is among the most consumed material. Cement is basic to construction, just like rice is to us."

"In Sarawak, we have an underdeveloped cement industry with a very limited number of players. Therefore, it is imperative for the development of Sarawak to reduce the risk of total dependence on a single player and create a healthy competitive environment. We have to inject new blood into the state's cement industry; the supply chain needs to be strengthened."

He added, "Sarawak is among the top 3 states of the country with the highest value of construction works done, contributing on average 12% total construction works for the whole country. Sarawak requires reliable and adequate supply of construction materials to ensure the timely completion of all these projects. Delays will result in additional costs and impact the lives of Sarawakians."

The MoU was signed by Innocement's CEO, Suhadi Sulaiman, and Chairman, Datuk Dr Mohamad Abdullah Zaidell; SCG International's Managing Director, Abhijit Datta, and Siam Cement Public Company Ltd's Executive Vice-President, Thammasak Sethaudom; and YTL Cement's Managing Director, Datuk Seri Michael Yeoh, and Director, Joshua Yeoh.

Innocement is a joint-venture between the Sarawak Economic Development Corporation (SEDC) and the Bintulu Development Authority (BDA). During the event, Innocement signed an MoU with SCG International from Thailand and YTL Cement Bhd, the largest cement manufacturer in Malaysia.