Majan Glass posted a pre-tax profit of RO 1.124 million for the six months ending 30th June 2011, compared with pre-tax earnings of RO 1.714 million during the same period last year.

Output from the Sohar-based company declined to 29,048 tonnes this year, from 33,735 tonnes during the same period last year. The company sold 29,160 tonnes of glass containers valued at RO 4.603 million this year, against sales of 35,135 tonnes valued at RO 5.317 million during the same period last year.

“Production during the first six months of 2011 is lower compared to the previous year, due to more labour turnover, lack of adequate skilled and semi-skilled replacements and a varied product mix based on customer and market requirements,” said Anwar Ali Sultan, Chairman, in the directors’ report of the company’s half-yearly performance.

“Due to the Ministry’s ruling not to use any trailers other than trailers having Omani number plates, the freight cost has shot up drastically with a very limited number of trailers available in the market, thereby affecting our margins,” he added.

The company is in the process of installing a new eight-section triple gob AIS machine based on narrow neck press and blow (NNPB) technology (in place of an existing eight-section double gob IS machine based on blow and blow technology). Orders for the equipment have already been placed.