MSM Malaysia Holdings Berhad Annual Report 2021

What were the operational highs and lows for the year? A significant operational high was on the export front as we successfully increased export markets and secured a RM290 million refined sugar supply contract with The Coca-Cola Company (Coca-Cola) for both domestic and international production. We are proud that our sustainable practices and good operational reliability elevated our value proposition among stiff competition. The opportunity to be part of Coca-Cola’s supply chain, the world’s most valuable soft drink brand, was part of our export blueprint to be one of the top global integrated sugar refiners. This accomplishment is an added boost to MSM Group having achieved a turnaround in FY2021. It reflects recognition of our step-up commitment towards the ESG framework, reliability as a source of sustainable raw sugar supply and capability in maintaining the highest standard of food safety and quality. This fortifies MSM’s commitment to deliver on ESG goals with greater initiative and urgency going forward. A Q Another upside for MSM was that we managed to increase our Average Selling Prices while stabilising volume, which is not an easy task. To this end, we initiated a collective strategy with customers to understand the rise in NY11 pricing that squeezes refining margins. This increase has helped ensure profits in a challenging year. Low points for the year involved the breakdowns and volume disruptions at MSM plants due to technical matters, environmental impact and COVID-19 issues. Sadly, we lost four workers (three employees and a contract worker) as a result of COVID-19 and early last year a contract worker had a fatal fall. These incidents exemplify the need to continuously guard against COVID-19 and lapses in safety procedures to uphold our goal of zero harm to people, property and environment. Going forward we are now more mindful and armed with preventive measures and proactive responses. SUSTAINABILITY JOURNEY HOWWE ARE GOVERNED FINANCIAL STATEMENTS ADDITIONAL INFORMATION 61