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86 MSM MALAYSIA HOLDINGS BERHAD WHO WE ARE STATEMENT & DISCUSSION BY OUR LEADERS HOW WE OPERATE
ANNUAL INTEGRATED REPORT 2021

GROUP BUSINESS

REVIEW

2021 2020 2019

Sales Volume (tonnes) 941,749 1,024,603 947,290

Revenue (RM) 2.3 billion 2.2 billion 2.0 billion

Debt Collection 43 days 38 days 50 days

MAINTAINING MARKET LEADERSHIP Moving forward as a market leader, MSM aims to
aggressively increase our presence in the Hotel,
Though competition continued to abound in the market Restaurant and Catering (HoReCa) sector of the food service
throughout FY2021, MSM made strides to regain industry which comprises establishments that prepare food
domestic market share by reaching out to customers and and beverages. At the same time, efforts will be focused
strengthening engagements to serve them better. This has on aggressively penetrating the Modern Trade segment and
led to MSM still maintaining market leadership in the increasing market share in East Malaysia.
domestic sugar industry market.
Despite the challenges of the pandemic that presented
According to the Asia Brand Footprint 2020 report by Kantar, many roadblocks in FY2021, the Group’s domestic wholesale
a leading data insights company, Gula Prai ranked third in the segment and refined sugar export recorded growth
Top 10 most chosen FMCG brands. The brand also recorded a over 11% and 5% respectively for FY2021. Furthermore,
70.9% market penetration with the second highest consumer the export premium increased in FY2021.
choice at 7.4.

Recognising the need to re-establish brand awareness among STRIVING FOR CONTINUOUS GROWTH
Malaysians, MSM launched the “Janji...Gula Peket Hijau”
campaign as part of marketing strategy for FY2021. The Group is focusing on developing our product sales
The campaign included advertisements through various media domestically instead of overly relying on exports to China.
channels such as TV, radio and in-store coordination with This reduces single-country export risk and allows for more
retailers to place our marketing collaterals in their respective domestic premium gains. MSM plans to increase supply
outlets. The campaign celebrates diversity in Malaysia and to domestic buyers as demand increases for value added
the strong ties shared through Gula Prai’s iconic packaging products (VAP).
that spans generations. We plan to continue with this While maintaining resilience in the domestic market,
marketing strategy in FY2022, and more campaigns will be opportunities in Southeast Asian countries such as Vietnam,
launched to further increase brand visibility.
Singapore, Philippines and Indonesia are being scouted.
A new service strategy for the Modern Trade segment was This has proven challenging as it means facing changes in
also developed in which Trade retailers were engaged with socio-political policies such as Vietnam’s recent restriction on
directly. This direct engagement allows MSM to quickly the importation of sugar. However, the long-term benefits still
address any issues that arise on the retailing front and spur our steadfast commitment to this strategy and MSM
have direct access to all the hypermarkets for better oversight has been engaging with several customers from Indonesia and
in ensuring product availability and visibility. Philippines to get them onboard as potential VAP customers.