Weekly Business News from Myanmar

Myanmar will decide to pick the location for the first deep sea port in next year
Exclusive: The location for Myanmar’s first deep-sea port will be decided next year, according to a senior government official. “Construction of a Yangon deep-sea port is one of the projects included as second priority in the National Transport Master Plan. Work is being made and the location can be finally selected and approved within 2020,” U Aung Ye Tun, assistant secretary of the Ministry of Transport and Communications, told The Myanmar Times. Asked about the cost and project details, he said an analysis would be conducted before construction work begins. “Only after the analysis is completed, approval will be made regarding the implementation method, that is, whether it is done by a public-private partnership model or by a loan.”
Myanmar will host the first time annual activity of ASEAN Real Estate Network Alliance (ARENA) “ARENA Convention & Exhibition 2019” in Yangon with the aim to develop a platform for networking among the real estate practitioners
Myanmar, for the 1st time, will host an annual activity of ASEAN Real Estate Network Alliance (ARENA) “ARENA Convention & Exhibition 2019 (ACE – 2019)”. ASEAN Real Estate Network Alliance (ARENA) is a regional grouping of eight National Real estate associations comprising Malaysia, Singapore, Philippines, Thailand, Indonesia, Vietnam, Cambodia and Myanmar. It aims to develop a platform for networking among real estate practitioners. Myanmar became a member of ARENA in 2016. The upcoming Convention & Exhibition will be organized by the Myanmar Real Estate Services Association. The theme for ACE- 2019 is “Embracing Technology & Networking” to build up real estate sector by using developing technology and connecting ASEAN Network.
PTT Exploration and Production Public Company Ltd (PTTEP) revised its higher capital expenditure (capex) to USD $ 21 billion for the 2019 to 2023 period
Bangkok-based PTT Exploration and Production Public Company Ltd (PTTEP), a state-owned oil and gas firm,has revised higher capital expenditure (capex) for the 2019 to 2023 period to US$21.35 billion from US$16.1 billion. PTTEP president and chief executive officer PhongsthornThaivisin said on July 25 that the higher allocation of US$21.35 billion for the five-year investment plan from 2019 to 2023 was for accelerating exploration activities, particularly for the Zawtika offshore gas field in Myanmar’s Gulf of Moattama as well as other activities under the company’s expansion strategy. He said the company has successfully concluded business expansion for the first-half of this year that had been planned for.Likewise, this year’s capex has been revised to US$3.57 billion, from US$3.256 billion to align with the business expansion this year.
Yangon Regional Government is conducted a study and analysis for building a new port at the mouth of the Yangon River
Yangon Region government chief minister Phyo Min Thein said that they were conducting a study and analysis for building a new port in Yangon River. The Chief Minister was speaking at a Yangon Region Investment Committee meeting held on July 24. “We are gearing up for building a new port at the mouth of the Yangon River. We are studying the waterway in Yangon River with assistance given by Netherlands. If we find the project feasible, we will submit it to the region legislative assembly,” CM Phyo Min Thein said. Currently vessels with 167 metre in length, 9 metre in draft and 15,000-tonnage can enter Yangon port but the bigger vessels with 200 metre in length, 9-metre draft and 20,000-tonnage have to enter the new Thilawa port, according to a statement issued by Ministry of Transport and Communications.
The local fishery producers called for a reduction on the duration of fishing bans during the meeting of Myanmar Fishery Federation
At a meeting of the Myanmar Fishery Federation, local fishery producers called for a reduction on the fishing ban period, which was placed during the breeding season in order to protect fishery resources. Unlike previous years, the government has completely banned fishing along Myanmar’s coastal area between June and August. U Tun Sein, the General Secretary of Myanmar Fish Paste, Dried Fish, Fish Sauce Entrepreneurs Association, said that the ban is causing a hardship on those in the industry because there is no a very limited supply of raw materials. He said: “While the ban has no impact on business owners, it causes trouble for workers who are depending on the industry for their kids and their kids’ education. Therefore, we want to request that the government only hold the ban in force for two months instead of three next year. This year, the government placed a complete ban for three months, which has caused problems for the industry.”
The Arakan Army (AA)/United League of Arakan (ULA) welcomed all foreign investors including Chinese investment in large-scale infrastructure projects under the Belt and Road Initiative (BRI)
The Arakan Army (AA)/United League of Arakan (ULA), has said it welcomes foreign investors, including Chinese investment in large-scale infrastructure projects under the Belt and Road Initiative (BRI), in western Myanmar’s underdeveloped Rakhine state, where it is fighting the national military for greater autonomy and self-determination, RFA reported. The group’s political wing, the United League of Arakan (ULA), said in a statement dated July 18 that it approved of governments and institutions that want to establish mutually beneficial projects such as the China-based deep sea port and Kyaukphyu Special Economic Zone under the BRI.
Central Bank of Myanmar (CBM) extend the use of the WeChat Pay pilot phase for a second three month period
The pilot phase for the use of the WeChat Pay service in Myanmar has been extended for a second three-month period, Central Bank of Myanmar (CBM) director general Daw Myint Myint Kyi said. The pilot phase began in February when the CBM approved the request of Paypb Co Ltd for the use of the WeChat Pay service by Chinese tourists in several locations. Daw Myint Myint Kyi told The Myanmar Times the central bank needed more time to study how the payments worked and allowed the extension. She said the CBM also allowed the second transaction because it wanted to ensure that money spent by foreigners would pass officially through local banks as Chinese tourists have been using WeChat Pay and Alipay mostly for paying hotel rooms, buying souvenirs and meals in restaurants around Mandalay even before the central bank gave permission.
Myanmar Government is under negotiating with the concessionaires the conditions precedent (CPs) for Dawei SEZ initial phase to begin
The Myanmar government is currently negotiating the conditions precedent (CPs) with the concessionaires for the initial phase of construction work on the Dawei Special Economic Zone (SEZ), a US$8-billion (about 12.16 trillion kyats) project that includes a deep seaport. The strategic project in southern Myanmar’s Tanintharyi Region is set to be Southeast Asia’s largest industrial complex. According to the concession agreement, both sides need to fulfill all the CPs, or obligations. After they have negotiated the CPs, the government will issue a “notice to proceed”, after which the concessionaires must begin the initial phase of construction. The Dawei SEZ Management Committee (Dawei SEZ MC) in Naypyitaw told The Irrawaddy, “The last CPs … concern land-lease agreements. We are finalizing them and will send them very soon.” Under the initial agreement for the long-delayed Dawei SEZ project, Italian-Thai Development PCL (ITD) was granted a 75-year concession to develop and attract investment to the project in 2008. Under that agreement, the project was scheduled for completion in 2015
Japan International Cooperation Agency (JICA) and Ministry of Agriculture, Livestock and Irrigation will jointly implement to carry out project, 5,000 acres of modern farmland project in Shwebo district under the Agriculture Income Improvement project (AI
The Ministry of Agriculture, Livestock and Irrigation and Japan International Cooperation Agency (JICA) are jointly carrying out the Agriculture Income Improvement project (AIIP) to boost agriculture incomes of residents in Shwebo District, Sagaing Region. The 5,000 acres of farmland in Shwebo District are being used in the AIIP from the 2018-19 to 2024-25, according to Township Irrigation and Water Utilization Management Department (IWUMD). The 575 acres of land owned by 147 farmers near Latechin Village in Shwebo Township have been operating the modern farmland project since January 2019, and they are using irrigation water since 10 July, said U Tayzar Tun, Head of Township IWUMD.
The 6th Myanmar FoodBev and the 4th Myanmar Retail Sourcing Expo will be held in Yangon in order to create a networking platform for international and local players
The 6th Myanmar FoodBev and the 4th Myanmar Retail Sourcing Expo will be held from the 15th to the 17th of August at the Tatmadaw hall in Yangon, officials said a press conference on Wednesday. This year’s expo highlights the importance of linking global manufacturers and retail technology with the local business hoping to open doors for new business opportunity, to strengthen the competitive advantage for the existing businesses as well as to create a networking platform for international and local players. General Manager, ICVeX Company Limited, Chinkit Viphavakit said “Basically, we provided networking platform exhibition showcase and also activities. During the show, you can see varieties of products from locals and also international”. “So, it will be opportunity for local Myanmar business present and who like to be distributers and dealer and restaurant owners who would like to see the new products and apply to their business and also retail stores who looking for the new technology they can come to show and we also provide the seminars and activity attract to the general people."