TBAM Morning Talk # 14 on “Regulation Permitting Retail/Wholesale Business and MyCo Registration”
On 17 September 2018, Ambassador Jukr Boon-Long delivered the opening remarks at the Thai Business Association of Myanmar (TBAM)’s 14th Morning Talk on “Regulation Permitting Retail/ Wholesale Business and MyCO Registration” at the Royal Thai Embassy in Yangon. Guest Speakers included U Minn Minn, Deputy Director General of the Department of Trade, who gave a presentation on “Standard Operation Procedure for Retail/Wholesale Registration Process by Notification (25/2018),” and U Myo Min, Director at the Company Affairs Division, Directorate of Investment and Company Administration (DICA),who presented on “TheRe-Registration under Myanmar Companies Law and Myanmar Companies Online- MyCO.”The Morning Talk was attended by more than 80 members of TBAM.
In his opening remarks, Ambassador highlighted that the notification on wholesale and retail business will empower SMEs to be suppliersand expand opportunities for Thailand to be the hub of the supply chain for wholesale and retail business. The Myanmar government is opening up more sectors for foreign investment, in line with its policy on liberalization and the creation of a digital economy. The Thai and Myanmar governments have consistently worked together to promote cooperation in an increasing number of areas. Thus, the recent notification by the Ministry of Commerce Myanmar permitting foreign companies, and joint ventures between foreign and local investors, to operate retail and wholesale business, is most welcome.
Subsequently, U Minn Minn, Deputy Director General for the Department of Trade, gave a briefing on the standard operational procedure for the wholesale/retail registration process under notification 25/2018. The notification includes four categories of companies. First, category A, which is 100% foreign owned or joint venture companies that are incorporated for the first time in Myanmar. Second, category B, which are established foreign or joint venture companies in Myanmar that currently do not have the right to do wholesale or retail. Third, category C, established foreign or joint venture companies that are currently permitted to do wholesale or retail business. Fourth, category D, local companies that are operating wholesale and retail business. U Minn Minn explained the minimum investment amount with regard to goods for sale for the different categories. For example, for category A and B: a 50% bank deposit to be submitted within one month, followed by 30% in the second year, to be submitted no later than the last month of the second year of business operation, and the final 20% in the third year, to be submitted no later than the last month of the third year of business operation.
U Myo Min, Director at the Company Affairs Division, DICA, then explained the new online registration system for companies investing in Myanmar. He introducedthe DICA online company registration and encouraged companies which have not re-registered yet to do so,as it is completely free. Companies must re-register by 31 January 2019. After that, U Myo Min explained the role of the Company Affairs Division on the online company re-registration under the Myanmar Companies Law 2017, and implementation of the Companies Law, such as reviewing the company’s constitution, the company’s share capital, and director’s duties and liabilities.