Weekly Business News from Myanmar

The export earnings from garment sector declined USD $ 60 million in 10 months of the current fiscal year when compared to the same period of last year
Export earnings from the CMP garment sector have reached US$3.6 billion over the past 10 months of the current 2019-2020 fiscal year, declining by about US$60 million compared with the same period last year, an official from the Ministry of Commerce told The Daily Eleven. From October 1 to July 27 this financial year, US$3.615 billion was earned from CMP garment export. The same period last year saw US$3.675 billion in earnings. So, this year, the export value decreased by US$60 million. “Till July 24, US$3,615 million was earned from garment export. The amount declined by US$60 million compared to the previous year,” the official said.
Sino – Myanmar border trade deceased USD $ 123.5 million in 10 months of current fiscal year due to the impact of coronavirus pandemic
Sino-Myanmar border trade has registered a decrease of US$123.5 million between 1 October and 17 July in the current financial year 2019-2020, according to the Ministry of Commerce. Data from the ministry show the value of Sino-Myanmar border trade in all five border areas touched over $4.7 billion in the current budget year, which significantly plunged from over $4.83 billion recorded in the year-ago period. Border trade values totalled $3.89 billion through Muse border in this FY, $123.35 million via Lweje, $430.7 million via Chinshwehaw, $263 million via Kampaiti, and over $4.45 million via Kengtung. The Commerce Ministry’s data showed a drop in trade value through all those border areas.
Myanmar Investment Commission (MIC) approved the seven investment enterprises from home and abroad which will create over 3,662 job opportunities
Myanmar Investment Commission (MIC) recently approved seven investment enterprises from home and abroad, Xinhua reported quoting local media. The enterprises, which will create over 3,662 job opportunities for Myanmar citizens, were permitted at the commission's recent meeting. With investment capital of 462.6 million U.S. dollars and 73.2 billion kyats (54 million U.S. dollars), the permitted enterprises engaged in the country's manufacturing, property, hotel and tourism and other services sectors, respectively.
Myanmar parliament approved USD $ 438.8 million loans from Asian Development Bank (ADB) for Mekong Corridor highway
Myanmar’s Union Parliament on Wednesday approved a US$483.8 million (660 billion kyats) loan from the Asian Development Bank (ABD) for an expressway that is a part of the international East West Economic Corridor (EWEC). The project hopes to link Vietnam’s port of Da Nang and Thilawa port in Yangon, passing through Laos, Cambodia and Thailand. The approved 62 km Bago-Kyaik Hto Expressway Project will connect Bago Region and Mon State, with the Ministry of Construction taking responsibility. In Myanmar, the EWEC is due to link to the planned expressway, the Bago-Thanlyin road to the Thilawa Special Economic Zone, Yangon’s outer ring road, Hanthawaddy International airport and the Yangon-Mandalay highway.
The export earnings from the fishery industry reached USD $ 733.8 million as of 17 July in the 2019 – 2020 financial year
Export earnings from the fisheries sector during the period between 1 October and 17 July in the 2019-2020 financial year reached US$733.8 million, an increase of $108.97 million from the year-ago period, according to the statistics released by the Commerce Ministry. Myanmar exports fisheries products, such as fish, prawns, and crabs, to markets in 40 countries, including China, Saudi Arabia, the US, Japan, Singapore, Thailand, and countries in the European Union. However, Myanmar’s fishery export volume is much lower compared to neighbouring countries. The Myanmar Fisheries Federation (MFF) is making concerted efforts to increase fishery export earnings by developing fish farming lakes which meet international standards and adopting advanced fishing techniques. The MFF plans to establish fish lakes, aqua feedstuffs processing factories, cold storages, and packaging factories, in cooperation with foreign experts.
Myanmar government invited investments for the new economic zone in Mon State and industrial park in the west of Yangon
Daw Aung San Suu Kyi, at Myanmar-Japan Investment Dialogue on Economic Recovery After COVID-19 and New Investment Opportunities, held on July 29, has invited investments for a new industrial park in the west of Yangon and a new economic zone in Mon State. “Quality job creation remains at the heart of Myanmar Sustainable Development Plan and building on the success of Thilawa, we shall be announcing two major jobs creation initiatives: a brand-new industrial park in the west of Yangon and a new economic zone in Mon State,” Daw Aung San Suu Kyi said. “Further details will be provided in the new course. At this initial stage, I wish to confirm that the development of these important new initiatives will be conducted via a swiss challenge tender process which will be open, transparent, and competitive.”
The Bago Region Investment Committee endorsed three foreign enterprises to increase capital creating 1,000 new jobs
The Bago Region Investment Committee, at a videoconference held on 29 July, has endorsed three foreign projects and approved five foreign enterprises to increase capital, according to the Directorate of Investment and Company Administration (DICA). The investments of those projects including the expansion of capital by the existing enterprises are estimated at US$8.119 million and K680 million. The projects will create about 1,000 jobs. The investments in the Bago region primarily flow into the manufacturing business.
The retailers warned on the rice price more than the set price in local market
If retailers are found to hike the rice price more than the set price, they will be struck off from the list to resell the reserved rice, according to Myanmar Rice Federation (MRF). At present, over 50 retailers have been submitted to purchase the reserved rice from the State. More than 1,000 bags from the reserved rice have been sold to them. Those reserved rice are planned to be sold at K22,800 per 108-pound bag to the registered retail shops, with the maximum 200 bags per batch. The shops must resell the rice to the consumers not exceeding K1,000-1,100 per pyi (2.3 kg) depending on the regions. Moreover, there is a separate plan to sell the rice at the labour-intensive factories for the workers. MRF stated that the respective Consumer Affairs Department of the regions and states will monitor the sales to ensure systematic management.
United States (US) interested to increase economic cooperation with Myanmar during the post COVID – 19
Officials from US-ASEAN Business Council said during the video conference held on July 28 that the United States is interested to increase investment and economic cooperation in Myanmar, especially in agriculture, tourism, energy, and digital economy, during the post-COVID-19 times. U Thaung Tun, Union Minister of the Ministry of Investment and Foreign Economic Relations, held a video conference with Mr. Alexander C. Feldman, President and CEO of US-ASEAN Business Council and Mr. Michael W. Michalak, Senior Vice President, and Regional Managing Director along with 30 representatives from US leading companies such as Chevron, ExxonMobil, Chubb, Coca-Cola, Visa, and Scoular.
Government granted an approval to three Japanese trading companies and Eden Group to build gas power plant at Thilawa
Myanmar's government has given written approval to three Japanese trading companies and local conglomerate Eden Group to build a liquefied natural gas power plant at Thilawa in Yangon Region, according to news releases from Nikkei Asian Review and the Ministry of Electricity and Energy. It will be a government-to-government project and a notice to proceed ceremony took place on July 24. According to Nikkei Asian Review, the project valued at from US$1.5 billion to 2 billion will generate 1,250 megawatts of electricity. It is one of the largest projects in Southeast Asia. The three Japanese trading companies are Marubeni, Sumitomo Corp., and Mitsui & Co.