SG announced on the 8th that SG, a mid-sized company, will be able to participate in bidding for asphalt concrete (ascon) products that were tied up under the "Competitive Products Between Small and Medium Businesses" system.

According to SG, the Ministry of SMEs and Startups announced on the 6th that it has improved the system to allow mid-sized companies to participate in bidding in Seoul, Gyeonggi, Incheon and Daejeon, Sejong and Chungnam starting next year through "Ministry of SMEs and Startups Announcement No. 2021-613."

With the improvement of the system, SG is expected to grow rapidly, completely breaking away from the decline in sales of Ascon, which has been tied up as a "mid-term competitive product" for the past two years.

The mid- to long-term competitive product system is a market support policy for domestic SMEs operated under the "Small and Medium Business Product Purchase Promotion and Market Support Act," and SG, a mid-sized company, was restricted from participating in bidding, but the improvement of this system will completely lift the bidding restriction.

On the 26th of last month, SG won a bid for 546,800 tons of Ascon and 317,200 tons of Circular Ascon under a contract with the Public Procurement Service, which is about 60 billion KRW. Starting with this contract, SG is expected to be able to win full-fledged orders from next year.

An official from the SG Ascon division stressed, "The improvement of the system will lift restrictions on the supply of Ascon in Seoul, Gyeonggi, Incheon, Daejeon, Sejong, and Chungnam, and both 'Hwashin Ascon' in Chungcheongnam-do and affiliates based in the Seoul metropolitan area will see a significant increase in total sales of Ascon."

SG also said, "SG is expected to see a significant increase in sales in 2022 if new businesses such as Eco Steel Ascon and Ascon eco-friendly facility EGR+ projects, which are promoting new construction, environment, and disaster prevention technologies, are on track."

Lee Sanggyu

Source : https://www.mk.co.kr/news/stock/view/2021/12/1122207/