Brewers, cigarette makers may shut for 2 weeks due to MCO

BREWERIES and cigarette makers may have to shut for two weeks to comply with the Movement Control Order (MCO) as they are not included in the latest list of “critical products.”

The National Security Council (NSC) in a March 18 statement greenlighted the manufacturing sector to produce products deemed critical to continue operating as usual with several conditions imposed.

These critical products include food and beverages such as rice, sugar, bread, dairy, herbs, coffee, chicken, and beef; agriculture and fishery namely seafood, fruits, and vegetables; household goods such as toilet paper and toiletries; and pharmaceutical products.

The list includes imports too.

According to the NSC, the announcement came after a meeting between the Ministry of International Trade and Industry (Miti) and various stakeholders such as the Federation of Malaysian Manufacturers, National Chamber of Commerce and Industry of Malaysia, and The Japanese Chamber of Trade and Industry Malaysia.

In allowing the sector to operate, the NSC imposed 14 conditions, such as factories or premises must use a minimal number of workers or only up to 50% of the total number throughout the MCO.

Factories are also expected to allow workers who are not required to be in the factory to work from home, the NSC added.

Companies must also conduct daily body temperature checks on workers, provide the list of workers to Miti, and ensure that the workers’ movements are only from home to the factory.

The order, effective today until March 31, is the government’s effort to contain the Covid-19 pandemic. 

Many private and government sectors have been asked to close operations except for essential services such as water, electricity, energy, telecommunications, postal services, transport, maritime, fuel, gas, lubricants and broadcasting.

On Bursa Malaysia, brewers are represented through Carlsberg Malaysia Bhd and Heineken Malaysia Bhd. 

Carlsberg’s shares closed at RM19.48 or down 2.31% while Heineken closed at RM19.50 or down 2.3% on May 18. Carlsberg’s 52-week low is RM18.98 while Heineken’s stood at RM17.30. 

The sole listed cigarette player on the bourse, British American Tobacco (M) Bhd, closed at RM9.79 or down 1.11%. Its 52-week low is RM9.64.

Subscribe and get top news delivered to your Inbox everyday for FREE

Latest News