Weekly Business News from Myanmar

Trademark Law and Industrial Design Law Forum took place in Yangon with the aim to share knowledge on Intellectual Property (IP), laws and discuss current issues emerging across the world concerning IP rights
The “Trademark Law and Industrial Design Law” Forum took place in Yangon on Wednesday. The Forum aims to share general knowledge on Intellectual Property (IP), laws and discuss current issues emerging across the world concerning IP rights. Judicial officers, law officers, prominent intellectual property law firms, related ministries and international organizations participated in the drafting process to harmonize the draft laws and Myanmar legal environment. Four bills concerning Trade Mark, Patent, Industrial Design and Copyright were approved by the National Parliament (Amyotha Hluttaw) and endorsed to the People's Parliament (Pyithu Hluttaw) on the 15th of February, 2018. President, Myanmar Intellectual property proprietors’ association, Kyaw Kyaw Win said “To help the people be familiar with terms and conditions of intellectual properties and rights before the Intellectual Property law comes out, we are holding talks, forums and workshops. We need to keep raising public awareness to ensure compliance as well. The laws are required to protect businesses and copyrights for the public interest.”
Yangon Stock Exchange (YSX) will lower brokerage fees by early of August to attract more investors
In order to lure in and attract more investors, Yangon Stock Exchange (YSX) will lower brokerage fees. This change in fees was announced by Securities and Exchanges Commission of Myanmar (SECM)’s on July 24, and will hopefully move the country forward and help its development. Before this change in brokerage fees, companies charged by certain security companies for trading were much higher. The previous fees included: K5,000 for trading under K500,000, 1 percent for trading from K500,000 to K1 million, 0.8 percent for K1 million to 10 million, 0.6 percent for K10 million to K100 million and 0.5 percent for above K100 million. Now they have been reduced to, 1 percent for trading worth K500,000 to K1 million, 0.7 percent for K1 million to 10 million, 0.5 percent for K10 million to 100 million and 0.4 percent for above K100 million.
Ministry of Commerce publicizes list of retail and wholesale goods open to foreign investment, as well as the list of products allowable for trade
The Ministry of Commerce (MOC) has issued its standard operating procedure (SOP) for retail and wholesale business registrations as well as a list of products allowable for trade. The updates were announced on July 26, more than two months after notification (25/2018) was officially released, allowing retail and wholesale services run by wholly-owned foreign companies and joint ventures involving foreigners to operate in the country The MOC said the list of products will provide specific information and make clear the type of goods allowed to be traded in Myanmar. The list includes 24 products and items, such as consumer goods, which includes clothes, watches and cosmetics, foodstuff, which includes agricultural, fishery, animal and instant products, beverages and locally-produced liquor, household and kitchen items, drugs and medical equipment as well as vehicles and vehicle parts (see table).
President U Win Myint has proposed reappointing the current Central Bank Governor U Kyaw Kyaw Maung after his current term is complete at the end of July
President U Win Myint has proposed reappointing 79-year-old U Kyaw Kyaw Maung as governor of the Central Bank of Myanmar (CBM) after his current term is complete by the end of this month. Parliament representatives had been expecting the job of improving Myanmar’s financial system to be given to a much younger candidate. Some have voiced their disapproval of the President’s proposal, saying there was no improvement during U Kyaw Kyaw Maung’s first term. "While he is capable, we do not expect him to bring much change to the financial system," said Daw Khin San Hlaing, chair of the Banks and Monetary Development Committee. Some MPs reckon the reason for reappointing U Kyaw Kyaw Maung is to maintain stability in the system, as he has fulfilled the requirements of the former and current government and has many years of experience.
PTT Exploration and Production Plc (PTTEP) urged the Myanmar government to start operate large gas power plant project in order to add value to the existing exploration and production (E&P) business in Myanmar
Set-listed PTT Exploration and Production Plc (PTTEP) is proposing that Myanmar’s energy policymakers develop and operate a large gas-fired power plant to tap surging demand for energy there. If the project goes forward, it will be handled by PTTEP International Co Yangon Branch, the company’s wholly owned subsidiary in Myanmar. Piya Sukhumpanumet, general manager of PTTEP International, said the plan is to partner up with sister firm Global Power Synergy Plc (GPSC) on the project. The national oil and gas conglomerate, PTT Plc, is the parent firm of both PTTEP and GPSC. GPSC is in charge of power business. Mr Piya said the project will cost hundreds of millions of dollars and is being considered by policymakers in Myanmar.
UMFCCI urged the government to adopt necessary measures to cut abundant imports in order to balance the trade deficit
In order to balance the trade deficit, U Ye Min Aung, Vice President of UMFCCI urged the government to adopt necessary measures to cut abundant imports in his remarks during a Union of Myanmar Federation of Chamber of Commerce and Industry (UMFCCI) meeting between the Vice President of Myanmar and local business leaders. He proposed adopting import policies such as minimum access, tariff rates and quota, and importing only essential goods to assist local products in a competitive market. However, Dr. Than Myant, Union Minister for the Ministry of Commerce, suggested that it is not yet possible to reduce imports, since imported goods are essential to the daily operation of the country. Myanmar should focus instead on improving the quantity and quality of exports.
Local oil and gas companies urged to attract partnerships with foreign firms in carrying out exploration and production (E&P) activities both onshore and offshore
Last week, the Ministry of Electricity and Energy (MOEE) confirmed in a press conference that it would start holding tenders for offshore oil and gas production in Myanmar by the end of the year.“Tender rounds will be floated before the end of 2018,” said Daw Khin Htay, director at state-owned Myanma Oil and Gas Enterprise (MOGE). During the press conference, the MOGE also said that the tender rounds will be open to foreign oil and gas companies. “It will no longer be mandatory to join with local firms. This will instead be made voluntary in the future,” Daw Khin Htay said. Nevertheless, local oil and gas firms are encouraged to up their game to attract partnerships with foreign firms in carrying out exploration and production (E&P) activities both onshore and offshore, according to an MOEE statement. This is so local firms can benefit from foreign E&P technologies and gain access to financing. It will also protect local companies against substantial capital losses.
Joint venture between Myanmar mall operator Ga Mone Pwint Co and Thailand’s Thonburi Healthcare Group launches Yangon hospital due to demand for high quality medical services
Myanmar mall operator Ga Mone Pwint Co has teamed up with Thailand’s Thonburi Healthcare Group to start a new facility, Ar Yu International Hospital, in Yangon, where demand for high quality standards of healthcare is rising fast. The new US$70 million hospital, which will open in mid August, is the first such project in Yangon for both Ga Mone Pwint and Thonburi.“Ar Yu will function as a general hospital but we will also have cardiologists and neurologists on board,” said Dr Nwe Nu Wai, business development manager at Ar Yu International Hospital. The move also arrives at a time when local living standards are improving, bringing about higher demand for quality healthcare. “From previous surveys, we understand that the majority of Myanmar people are more comfortable seeking medication from the local drug store or at private clinics than consult with specialists at big hospitals with modern diagnostic equipment,” said Dr Watson Aphiwatanakoon, CEO of Ar Yu International Hospital. Now, more realise the need for proper and timely diagnosis and the risks involved in delaying hospital treatment. As such, the new hospital will target patients who would otherwise seek medical treatment abroad.
Dawei Special Economic Zone (SEZ) project, situated in southern Myanmar, near the border of Thailand will be restarted in October 2018
Situated in southern Myanmar, near the border of Thailand is a place called Dawei. In 2008 a major construction project started, the project was to link Dawei to the Kanchanaburi province, 119 km northwest of Bangkok. This construction would link production in the southern economic corridor, and will help both countries enter into the supply chain of globally important industries. However, the project halted in 2013 due to a financial situation. “The project will restart in October this year”, U Than Myint, Minister of the Ministry of Commerce, President of Dawei SEZ Management Committee, said at the regular meeting between the Vice President of Myanmar and local business leaders. After a financial shortfall, The Dawei SEZ project is eager to get underway. It has been confirmed that the Initial and primary development of Zone M, will be implemented at once. This project will restart at the end of rainy season and will be implemented by its former developer, Italian-Thai Company.
Myanmar authorities are still negotiating with Chinese consortium on deep sea port project in Kyaukphyu, western Rakhine State
Myanmar is negotiating with a Chinese consortium to carry out a strategic deep-sea port in Kyaukphyu, western Rakhine state, as part of the planned special economic zone (SEZ) in the region, according to a report of the official Global New Light of Myanmar Sunday. The negotiation between Myanmar's Commerce Ministry and the China International Trust and Investment Corporation (CITIC) is expected to reach an agreement soon. Kyaukphyu deep-sea port project represents part of the economic corridor of China's Belt and Road Initiative and the two countries are approaching this in a way to ensure it become a win-win situation all round, said Myanmar Minister of Commerce Dr. Than Myint. The sea-port project will bring about the development of Rakhine state, the emergence of job opportunities for local people and the development of the country, he said. A consortium of six group companies, led by China's CITIC, won tender in December 2015 for the implementation of two projects -- an industrial park and a deep sea port on 1,737 hectares of land, two of the three components of the project of the Kyaukphyu Special Economic Zone (SEZ).