ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  One of the Myanmar's well known premium brand, Genius Coffee, plans to significantly increase its production to 150 tonnes this year

  Aung Nay Lin Htun Co, a Myanmar firm that is well known for its premium brand, Genius Coffee, has planned to significantly increase its production from 10 tonnes of coffee last year to 150 tonnes this year. Lay Lay Myint, the firm’s managing director, said in an exclusive interview that rising demand from local and foreign merchants had driven the substantial growth of its coffee production over the past few months. “Like other businesses, our production largely depends on the quality of our products. We are now trying to boost the sales of our products locally and regionally,” she said. She said Genius Coffee had taken some market share in Cambodia soon after the firm opened its first foreign branch in Phnom Penh. The company also has plans to expand to Siem Reap, thanks to the rising demand.
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  The trade agreement between ASEAN, Australia and New Zealand makes Myanmar products more competitive in the two biggest markets in Australasia

  THE free trade agreement (FTA) between ASEAN, Australia and New Zealand makes Myanmar products more competitive in the two biggest markets in Australasia, according to trade commissioners from Australia and New Zealand. There is a huge potential for trade to grow in the agriculture sector, as all three countries are rich in farms and fisheries. The FTA improves the efficiency, transparency and certainty in import-export processes. The AANZFTA seminar was held in Park Royal Hotel in Yangon on September 14. Shwe Sin Oo, deputy director of the Department of Trade under the Ministry of Commerce, presented an overview of certificates of origin and verification processes related to the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA). The Australian and New Zealand officials explained the specific trade opportunities which derive from the FTA.
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  Banking industry Executives have warned of possible economic disruption unless a deadline for complying with the new lending regulations is eased

  Banking industry executives have warned of the possibility of severe disruption to the economy unless a deadline for complying with new lending regulations is eased, the Nikkei Asian Review reported last week. The regulations, some of which replace rules made nearly 30 years ago, were published by the Central Bank of Myanmar in July after being drafted with assistance from the International Monetary Fund. Industry executives say “unrealistic deadlines” for compliance could put some of the country’s 28 banks in jeopardy, the NAR reported on September 22. The regulations, most of which took effect on July 7, include stricter treatment of non-performing loans, an increase in minimum capital requirements and higher risk weightings for fixed assets and some kinds of loans.
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  Metro Cash & Carry, international specialists in wholesale and food retail, recently entered Myanmar and started constructing a warehouse in Thilawa Special Economic Zone (SEZ) earlier this month

  Metro Cash & Carry, an international specialist in wholesale and food retail with a presence in 25 countries, recently entered Myanmar by kicking off construction of its warehouse in Thilawa special economic zone earlier this month. Tiparayat Kaewsringarm, deputy CEO of Metro Wholesale Myanmar, the company’s Myanmar subsidiary, said in an interview that the firm would not have physical outlets in the nation unlike other countries that it operates, and only operate through the warehouse in Thilawa SEZ. She said establishing the firm’s footprint would provide Myanmar with professional service solutions, high-quality and safe products. She believes its market entry will support the nation’s growth.
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  India formed a Myanmar chamber of commerce in Yangon to boost trade and forge closer economic ties with Myanmar

  INDIA has formed a Myanmar chamber of commerce in Yangon to boost trade and forge closer economic ties with the country. The move follows Indian Prime Minister Narendra Modi’s visit here on September 5-7 and also comes after India imposed import restrictions on Myanmar’s pulses and beans last month. Currently, trade between the two countries amounts to around US$2 billion. “Considering the proximity and size of both our economies, India’s trade with Myanmar is still very much lagging behind China, Japan, South Korea, Thailand and even Singapore. Our primary objective is to double trade to around US$4-$5 billion over the next 2-3 years. - Sunil Seth, Indo-Myanmar Chamber of Commerce “We want to focus on helping Indian businesses invest in Myanmar and vice versa.
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  To boost the growth of the manufacturing sector, the government plans to link SEZs and domestic industrial zones

  SEZs and domestic industrial zones SPECIAL Economic Zones (SEZs) in Myanmar are considered by the Ministry of Industry as the main pillar of economic development, according to the ministry’s spokesperson. The government aims to boost the growth of manufacturing sector by linking the SEZs and domestic industrial zones. U Ko Ko Lwin, permanent secretary of the Ministry of Industry, said that technology transfer, infrastructure development and financing are the three benefits SEZs can bring to existing industrial zones across the country. The experience deriving from the SEZs will provide a good basis and experimentation for local investors and factory owners on how to make an industrial zone successful. “The growth rate of the manufacturing sector at present is dropping, so we need to bring the momentum back.
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  ASEAN business leaders promote China's Belt and Road Initiative (BRI) and note the necessity to align the BRI with the ASEAN blueprint

  ASEAN countries, with their enormous demand for infrastructure investments, should capitalise on China’s Belt and Road Initiative (BRI), business leaders from the ASEAN region urged. But there is a necessity to align the BRI with the ASEAN blueprint, and ASEAN needs to iron out the problems derived from the tension between Japan’s involvement in ASEAN infrastructure and China’s increasing presence. Jointly organised by Hong Kong’s government and the Hong Kong Trade Development Council (HKTDC), the Belt and Road Summit 2017 was held on September 11 in the city. Vincent Lo, HKTDC chair, told The Myanmar Times that ASEAN countries are “ready” and “keen” to work with Belt and Road, while the city’s leader, Carrie Lam, stated that ASEAN economies and the bloc’s geography make it a core part of Beijing’s grand scheme.
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  China and Myanmar discussed the establishment of a China- Myanmar border economic cooperation zone

  The establishment of China-Myanmar border economic cooperation zone is being discussed between the two governments. The government of Yunnan Province has invested US$10 billion in Myanmar, while Myanmar entrepreneurs have also invested $100 million in the province, according to a press release. The press release came after a regular meeting between the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) and Yunnan Provincial General Chamber of Commerce (YPGCC). Trade value between Myanmar and Yunnan in 2016 reached $6.1 billion. Myanmar's export value amounted to $3.6 billion, and the import value to $2.5 billion.
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  Myanmar Rice Federation proposed a plan to export rice via seaports in Pathein, Ayeyawady Region and Sittway, Rakhine State and other ports

  Ayeyawady Region and Sittway, Rakhine State and other ports Officials from Myanmar Rice Federation have submitted a plan to export rice via seaports in Pathein, Ayeyawady Region, and Sittway, Rakine State, in addition to Yangon ports, especially to Bangladesh. The proposal was made during a regular meeting between Vice President Myint Swe and Myanmar businesspeople at the office of the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry on September 23. The entrepreneurs also demanded the cancellation of a 2 per cent advance income tax for exporting rice to Bangladesh through government-to-government sales agreements.
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  Business community in northern Shan State urged the government to promote trade and economic development by upgrading the Mandalay-Muse Highway

  THE business community in northern Shan State urged the government to take measures concerning trade promotion and economic development, which includes upgrading the Mandalay-Muse highway, at a meeting with Vice President U Myint Swe. The Mandalay-Muse highway is the main route for the country’s border trade, according to the Hong Kong Trade Development Council. A significant proportion of Myanmar exports go through Muse to China. One of the economic corridors under the Belt and Road Initiative, the China-IndoChina Peninsula corridor, covers Muse, Mandalay and Kunming as part of its Sino-ASEAN connectivity blueprint. Upgrading the transport network between Mandalay and Muse is therefore seen as the prerequisite for more trade and commerce to flourish between the two countries. Demands from Shan businesses include repairing the Mandalay-Muse road for trade facilitation, the establishing of an industrial zone and the development of direct connection for international tourists to visit the area.