Weekly Business News from Myanmar

Myanmar earned about USD $ 3.5 billion from natural gas exporting within 11 months in this fiscal year
Myanmar earned about US$3.5 billion from natural gas export within 11 months in this fiscal year and earned over US$430 million more in the same period in the last fiscal year, said an official from the Ministry of Commerce. Myanmar is producing 3.32 million barrels of crude oil and 623 trillion cubic feet of natural gas from 86 oil and gas wells in inshore and offshore oil fields in third year of this government term, according to the ministry. Myanma Oil and Gas Enterprise and its partner companies explored 40 oil and gas wells in onshore oil fields this year and produced 2.31 million crude barrels and 19.019 trillion cubic feet of natural gas. Moreover international companies explored 46 oil and gas wells in offshore oil fields and produced 1.02 million oil barrels (condensate) and 604.818 trillion cubic feet of natural gas.
Japanese company, Fukuda & Partners Co., Ltd (F & P) launched its first logistics facility with refrigerated and cold storage facilities in Yangon
Japanese company Fukuda & Partners Co Ltd (F&P) has launched what it says is the first logistics facility with refrigerated and cold storage facilities in Yangon City. F&P specialises in project management of architectural design and construction for logistics and commercial facilities. F&P started work on the development of a logistics and office space project in Thaketa township, Yangon, via its subsidiary FLP Tharkayta Co Ltd (FLP) in 2017. The first phase of the project called LL Town Tharkayta Building B was officially opened last Thursday. Over 130 guests from the Embassy of Japan in Myanmar, the Japan Chamber of Commerce and Industry of Myanmar, other related companies, construction partners, tenants, and stakeholders attended the opening ceremony.
The Attran river suspension bridge will be built with the loans from Japan International Cooperation Agency (JICA) by the end of this year
MAWLAMYINE- Attran River Suspension Bridge will be built with the loans from Japan International Cooperation Agency (JICA) by the end of this year, according to the Mawlamyine Industrial Zone Management Committee. The suspension bridge will permit 70 tons of loads and by building this bridge, the investors are now keen to build more factories in Mawlamyine Industrial Zone.
Myanmar earned nearly USD $ 930 million from export of beans and pulses in 11 months of this fiscal year which exceeded over USD $ 300 million when compared to the same period of last fiscal year
Myanmar earned nearly US$930 million from exporting about 1.5 million tons of various beans and pulses in 11 months of this fiscal year exceeding over US$300 million compared to the same period of last year, said an official from the ministry of commerce. "We earned US$929.294 million from exporting 1.482 million tons of beans and pulses from October 1 to August 30 in the current 2018-2019 financial year," said a ministry official. In the same period of the previous fiscal year, 1.136 million tons worth US$625.572 million. This year, 345,963 tons more were exported, so US$303.722 million more were earned. Myanmar mainly exports green gram, mung bean and pigeon pea. India mainly purchases mung bean and pigeon pea while green gram is usually purchased by China and some European countries.
The Trade Department under Ministry of Construction released the new trade regulations on six items
Importers will not be allowed to trade six items – fertilizers, seeds, pesticides, medical equipment, construction materials and equipment, and agricultural machinery and equipment without a wholesale or retail business registration, according to the Trade Department under the Ministry of Construction, state media reported. Foreign companies and joint venture companies between foreigners and Myanmar citizens, which are importing the six items using their import-export registration certificate, were given a 90-day deadline from 21 May to apply and register their business.
Parliament approved the new National Plan Law for 2019 – 2020 fiscal years which is expected to help Myanmar’s GDP growth to hit 7 percent
Parliament has approved the new National Plan law for fiscal 2019-20, which will be effective from October 1, 2019 to September 30, 2020. The National Plan is expected to help Myanmar’s GDP grow by 7 percent to K95.4 billion during the period compared to 6.8pc in fiscal 2018-19. Contributing to economic growth is the financial sector, which is estimated to grow by 11.3pc, and the industrial sector, which should expand by 9.9pc in the coming fiscal year. The services industry, together with telecommunications, construction, forestry, construction, electricity and trade are also expected to grow between 7pc and 13pc over the period. While still showing overall expansion, growth in the livestock and agriculture, power generation and mining sectors are forecast to take a backseat, according to the National Plan.
Myanmar earned USD $ 250 million from exporting 190,000 tons of rubber in 11 months of current fiscal year
Myanmar earned about US$250 million from exporting 190,000 tons of rubber in 11 months of the current fiscal year exceeding over US$60 million (over 41,000 tons) compared to the same period of last year, said an official from the ministry of commerce. "From October 1 to August 30 in the current 2018-2019 fiscal year, US$247.557 million was earned from the export of over 192,986 tons of rubber. In the same period of last year, 151,895 tons of rubber worth US$184.360 million, the official told The Daily Eleven. In the 11 months of this year, US$63.197 million more was earned from exporting 41,090 tons of rubber. Rubber is mostly grown in Mon and Kayin states in southern Myanmar. It is also grown in Yangon, Bago and Taninthayi regions.
Myanmar Investment Commission (MIC) approved eight projects in the livestock & fisheries, manufacturing, hotel, real estate, oil and gas and transport & telecommunication sectors which will create over 3,100 job opportunities
The Myanmar Investment Commission (MIC) meeting (15 / 2019) was convened at the meeting room of the MIC on the morning of14thSeptember, 2019 in Yangon. U ThaungTun, Chairman of the MIC, Dr. Than Myint, Vice Chairman and (10) members attended the meeting. The meeting approved eight projects in the Livestock & fisheries, manufacturing, hotel, real estate, oil and gas and transport & telecommunication sector. The amount of USD 36.745million and Kyat 163302.753 million have been approved for those projects which will create3159 job opportunities for Myanmar citizens. A total of 1806 foreign enterprises in 12 sectors from 50 countries were permitted, with the total pledge amount of US$ 81597.743 million from 1988 to the end of August2019. Among them, Singapore, People’s Republic of China and Thailand are the leading countries.
The value of border trade reached USD $ 9.5 billion from 1 October 2018 to 6 September 2019 of the fiscal year 2018 - 2019 which increased USD $ 1.03 billion when compared to the same period of last year
The value of border trade, this fiscal year, from 1 October, 2018 to 6 September, 2019 reached US$9.5 billion, recording an increase of $1.03 billion when compared to the same period last year, according to the statistical report of the Ministry of Commerce. The total border trade value included $6.62 billion in exports and $2.85 billion in imports. This time last year, border trade was valued at $8.43 billion. Myanmar is trading with her neighboring countries, including China, India, Bangladesh and Thailand. Sino-Myanmar border trade is carried out through the Muse, Lweje, Kanpiketee, Chin Shwe Haw and Kengtung gates, while Myanmar is conducting border trade with India via the Tamu and Reed gates. The country’s border trade gates with Bangladesh are Sittway and Maungtaw. Gates for Thailand are in Tachilek, Myawady, Kawthaung, Myeik, HteeKhee, Mawtaung and Maese.
Government’s plans are under way industry body to increase local steel production with Chinese technology
To reduce Myanmar’s dependence on imported steel, plans are being made to increase local production with Chinese technology say industry officials. “Local steel consumption relies heavily on imports rather than local production as only 10 percent of what the local market needs is produced locally while the 90 percent is imported,” said U Tin Myint, chief adviser to the Myanmar Steel Association (MSA). “We are doing research to produce more steel locally with help from the Chinese .We hope that we can produce enough to cover two million tons to four million tonnes of local requirements,” U Tin Myint told The Myanmar Times. He said that the manufacturing of steel locally is expected to start next year and ramp up by 2023 near coastal areas where raw materials for production are imported. “Naturally, steel requires large long-term investments so it is important to have a stable, predictable economic and political environment. Moreover, the government will also need to support the establishment of standards for the local market,” said U Sit Taing Aung, chair of the MSA.