ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Government will set up Myanmar Productivity Centre this year to improve SME management and technology and increase productivity in SME sectors

  In a bid to boost the productivity of Myanmar’s small and medium enterprises, the government will set up the Myanmar Productivity Center this year, said U Ko Ko Lwin, the Permanent Secretary of the Ministry of Industry. He made the remarks at a roundtable to implement the plan for the Myanmar Productivity Center at the Novotel Hotel on 23 February. “This move aims to boost trade. The SMEs constitute 95 per cent of the country’s business. The center will help improve SME management and technology, and increase productivity,” said U Ko Ko Lwin. The Union of Myanmar Federation of Chambers of Commerce and Industry-UMFCCI and the Japan Productivity Center had carried out a pilot project to increase SME productivity in January, 2016. The pilot project was backed by the Japan ASEAN Integration Fund (JAIF). During the project’s term, 50 enterprises under the Ministry of Industry witnessed a 40-per-cent growth in productivity after undergoing SME technology and management training programs. “We will share essential productivity and management skills with SMEs. We will adopt unused technology through the JAIF to enhance productivity in the SME sector,” said U Aung Kyi Soe, the secretary-general of the UMFCCI.
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  Union Minister U Win Khaing stressed the application of modern techniques for increasing more oil and gas output

  Union Minister for Electricity and Energy U Win Khaing visited Phugyi Pipeline base camp of Myanma Oil and Gas Enterprise (MOGE) in Hmawby Township, Yangon Region on 23 February. Located near Phugyi Village in the township, the base camp serves as the transit centre for piping oil from Mann oilfield and Htaukshabin oilfield in Minbu Township, Magway Region, to Thanlyin oil refinery in Yangon Region and for the maintenance of pipelines. But now, its main function is to repair and maintain the natural gas pipelines of lower Myanmar. Under its supervision are the Shwepyitha camp (Yangon), Dedaye camp, Thanatpin camp, Mawlamyine camp, Tanbyuzayat camp and Yay camp responsible for the repair and maintenance of 981 miles of pipeline including the 331-mile 20-inch Lankakanpauk-Myainggalay-Yangon pipeline, and the 86-mile 24-inch Daw Nyein-Ywama pipeline.
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  Rakhine State Chief Minister promised to approve investments in Rakhine State after prompt scrutiny

  Chief Minister Nyi Pu has promised to approve investments to be made in Rakhine State after prompt scrutiny during the Rakhine State Investment Fair. "For investment we will receive proposals. In this regard, we will also approve them as quickly as possible after quick scrutiny," said the state chief minister. Particularly, Singapore, Korea, China and India are eyeing Rakhine State for investments. Among them, Singapore has made the largest investment there. "Of those countries which have so far invested in our state, Singapore is the largest investor," said Nyi Pu.
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  Analysts expected trade sanctions by European Union (EU) and United State (US) unlikely to revoke Myanmar’s traffic-free access to their markets over the coming quarters

  Analysts are not expecting the European Union or the US to revoke Myanmar’s tariff-free access to their markets over the coming quarters. Following a United Nations report implicating the Tatmadaw in human rights abuses against ethnic minorities in the states of Rakhine, Kachin and Shan in September last year, the EU announced a month later that it was considering trade sanctions against Myanmar. If imposed, the sanctions would potentially revoke Myanmar’s tariff-free access to the EU. According to a February 22 report by Fitch Solutions Macro Research, those trade sanctions are unlikely because they would significantly weaken the economy and likely undermine Myanmar’s civilian government. “The human rights abuses at issue have been attributed to the Tatmadaw and Western policymakers have long expressed concern that imposing blanket trade sanctions would primarily harm ordinary citizens, weaken support for civilian leaders and push Myanmar firmly into China’s sphere of influence,” the report said.
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  Business people are interested to invest in Mrauk-U and Thandwe airport upgrading projects in Rakhine State

  Mrauk-U Airport and Thandwe Airport in Rakhine State will be upgraded while a lot of prospective businesspeople have come to enquire about the project, said Rakhine State Minister for Finance, Revenue, Planning and Economy Kyaw Aye Thein during a press conference held on February 22 after the closing of Rakhine State Investment Fair. "They are interested in the Mrauk-U and Thandwe airport projects at a union level. A lot of entrepreneurs are coming to us. They are included the project bank. We are announcing the projects we have," said the minister. According to the investment fair, another lucrative business is tourism in addition to marine, agricultural and livestock businesses.
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  Malaysian company planned to invest in building an acacia mangium furniture factory in Bago region

  Malaysian company is planning to invest in building an acacia mangium furniture factory in Myanmar's Bago region, the official Global New Light of Myanmar reported Wednesday. The unidentified Malaysian company projects will buy 3,000 tons of raw material of acacia mangium per year from the Myanmar Acacia Mangium Production Association and a feasibility study is being made to find out if enough raw materials can be supplied from across the country's plantations, according to the report. To make finished products with acacia mangium, Myanmar needs to have a supply of 15,000 acres (6,075 hectares) of acacia mangium per year, said U Myo Ko Ko Thein, chairman of the association. According to him, there are over 30,000 acres of acacia mangium plantations in Myanmar.
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  The first major airport, Surbung airport in Falam Township, in Chin State will be opened in September 2020

  Surbung Airport in Falam township, Chin State, the first major airport in the state, will open in September 2020, said U Ye Htut Aung, Deputy Director General of the Department of Civil Aviation. Construction of the K 30 billion airport, which began in 2016-17, had originally been scheduled for completion in 2021-22. Last month though, State Counsellor Daw Aung San Suu Kyi and President U Win Myint gave instructions for construction to be completed in 2020 and for the airport to begin operating in September. To complete the project within the deadline, more funds will be needed. “We currently have a budget of K5 billion a year. Another K10 billion will be needed to complete the project on time. We need to ask the ministry for the funds,” U Ye Htut Aung said. So far, construction of the airport runways, terminals and facilities has taken place. An additional budget will be required for equipment, flight control systems, runway lights and so on, he said.
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  Canada based miner, Asia Base Metals will submit investment proposals for the grant of exploration permits for lithium on mineral in Myanmar

  AsiaBaseMetals Inc announced its entry into the Myanmar mining sector last week. The Canada-based miner will focus on mining lithium and has already obtained the necessary documents that will enable it to submit investment proposals to the Myanmar Investment Commission. Once submitted and if approved, AsiaBaseMetals will be the first company to venture into the systematic exploration of lithium in Myanmar, according to the company’s statement. AsiaBaseMetals will submit an application for the grant of exploration permits for lithium on mineral claims comprising approximately 74 square kilometres located 14 kilometres from the town of Thazi in Central Myanmar. The company believes the area contains mountainous pegmatite-bearing granites which favour the existence of lithium deposits. Lithium is a chemical compound that is used mainly in medicine as well as in the making of aircraft and certain batteries.
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  Yangon Region Government appeared to be backtracking on a secretive fuel deal to lease 26 sites to private company

  The Yangon Region government appears to be backtracking on a secret deal to lease 26 sites to a private company, Yangon Petrol, following widespread public criticism and pressure from regional lawmakers. FOR NEARLY a year, Yangon Region Chief Minister U Phyo Min Thein has been floating the idea of government intervention in the fuel market, arguing that retail prices are higher than they should be. How he might do that remained a mystery until January, when documents were leaked to Facebook that appeared to show that the government planned to lease 26 sites in Yangon to a private company, Yangon Petrol Company Limited, at a price far below market rates. The documents showed five of the 26 sites had already been leased. Of these, two stations have already opened, with two more under construction.
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  Business sectors are called for policy changes to ease and facilitate in doing businesses and operations

  A February 22 meeting between the Private Sector Development Committee led by Vice President U Myint Swe and entrepreneurs from the Union of Myanmar Federation Chamber of Commerce and Industry (UMFCCI) saw the fisheries, steel-making, vehicle manufacturing and distribution and border trade promotion sectors call for policy changes to ease the challenges they face when doing business. U Win Kyaing, secretary of the Myanmar Fisheries Federation (MFF), called for a simpler land use policy which can facilitate fish and prawn breeding but which also includes all other businesses that rely on land to conduct their operations. He also requested to negotiate and settle the issues faced by fish farmers in Ayeyarwady and Mandalay who are still in the stage of land use applications and haven’t obtained the rights but who are being penalised by fines of K 1 million an acre.