Malayan Flour Mills says working on price adjustment as commodity prices remain volatile
KUALA LUMPUR (April 26): Malayan Flour Mills Bhd (MFM) said the wheat milling company was working on a price adjustment proposal among several measures to ease trade uncertainties due to commodity price volatility as the global economy grapples with the lingering impact of Covid -19 movement restrictions.
In MFM’s latest 2021 annual report, which was filed with Bursa Malaysia on Tuesday, April 26, its chairman Tun Arshad Ayub said the group was also aware of the effects of the current geopolitical situation in Ukraine and the potentially adverse impact of world weather on his business.
According to MFM’s website, the company’s business includes poultry farming in addition to trading corn and soybeans.
In the annual report, Arshad did not specify the details of MFM’s price adjustment proposal. He did, however, indicate that MFM intends to “drive more effective business spending to protect our [profit] margin”.
Among MFM’s other uncertainty mitigation measures, he said, “The positive effect of partnering with Tyson [International Holding Company] on the poultry integration business will allow us (MFM) to leverage their strength and technical expertise to increase our sales volume, venture into export markets and improve operational efficiency. »
Arshad said MFM’s uncertainty mitigation measures include the company’s incremental efforts to improve food quality and invest in the best cutting-edge technology through the application of the Internet of Things and artificial intelligence to upgrade the existing broiler farm to improve efficiency and performance.
He said MFM will continue to work with reputable vaccine companies to implement a holistic vaccination program aimed at reducing disease in its poultry farms.
As of 11:47 a.m. Tuesday, shares of MFM traded up 0.5 sen or 0.75% at 67.5 sen, giving the company a market capitalization of around RM688.5 million.
MFM has 1.02 billion shares outstanding, according to Bursa’s March 10 filing.