Rice and broken rice were exported more than 2.5 million tonnes

Myanmar is expected to export 2.5 million tonnes of rice and paddy in the 2019-2020 fiscal year, and more than 2.5 million tonnes of rice and paddy were exported more than 20 days before the end of the fiscal year, according to the Myanmar Rice Federation. In the 11 months from October 1 to September 11 of the 2019-2020 fiscal year, 2.531 million tonnes of rice and broken rice were exported, earning $ 774.891 million. During that period, it exported 1.583 million tonnes of rice to 66 countries, earning $ 517.1858 million. It earned $ 257.733 million from exporting about 950,000 tonnes of broken rice to 60 countries.

In the current fiscal year 2019-2020, up to 2.5 million tonnes of rice and broken rice can be exported. The 2019-2020 fiscal year will end at the end of September, just days before the end of the fiscal year. By the end of the fiscal year, more than 2.5 million tonnes of rice and broken rice had been exported. Myanmar exports both rice and broken rice through both seaborne and cross-border trade. In the first 11 months of the current fiscal year, seaborne trade accounted for more than two million tonnes of rice and broken rice, accounting for 84% of total exports. Over 400,000 tonnes of rice and broken rice were exported from border trade points, earning more than $ 120 million, accounting for 16 percent of total exports. Of the 66 rice exporters, China is the largest exporter of more than 540,000 tonnes. Of the 60 countries that exported broken rice, Belgium was the largest exporter, with more than 240,000 tonnes.

According to the annual acreage and yield of paddy in Myanmar, in the 2014-2015 financial year, 17722355 acres (over 17 million) were planted and 264233319 tons (over 26 million) were produced. In the 2017-2018 financial year, 17930294 acres (over 17 million) of paddy fields were planted and the yield was 25624492 tons (over 25 million), which is the lowest year in the last four years. In the 2018-2019 fiscal year, 17861055 acres (over 17 million) of paddy fields were planted and the yield was 27573589 tons (over 20 million), which is the highest paddy yield period in the five years from the 2014-2015 fiscal year to the 2018-2019 fiscal year.

Source: The Global New Light of Myanmar

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Myanmar’s economic growth has declined to 0.5 percent due to COVID-19

The COVID-19 epidemic has significantly slowed Myanmar’s economic growth to 0.5 percent, with a new wave of regional outbreaks; Long-term impact on the global economy; Domestic financial sector uncertainty; The World Bank’s October East Asia and Pacific Economic Review, released by the World Bank in October 2020, states that risks remain due to the November 2020 election. From Restricted Control to Rehabilitation COVID-19 provides information on epidemic impact in developing countries in the East Asia-Pacific region. Restrictions have three effects: the impact on a country’s economy and the effects of the global economic slowdown.

In some countries, controlling the spread of the virus, the domestic economy may recover. But a region’s economy is heavily dependent on the rest of the world, and global demand is quiet. The region as a whole is projected to grow by 0.9 percent, the lowest rate since 1967, by 2020. The outlook for the region is to maintain a normal recovery by 2021; It is projected to grow 7.9 percent in China and 5.1 percent in other regions, given the return of core businesses and the availability of vaccines. However, the results for the next two years are expected to remain below pre-epidemic estimates. Outbreaks appear to be exacerbated by the pre-epidemic target of 2021 by 2021. Poverty in the region is projected to rise for the first time in 20 years. It is estimated that nearly 38 million people will continue to live in poverty or return to poverty due to epidemics.

In Myanmar, the COVID-19 epidemic slowed economic growth to 0.5 percent in the 2019-2020 fiscal year. This situation is also affecting the recent results of poverty alleviation. The recent slowdown in manufacturing; Investment in the power, energy and digital technologies sectors is expected to pick up as growth picks up. New wave of regional outbreaks; Long-term impact on the global economy; Domestic financial sector uncertainty; The ongoing conflict and the November 2020 election situation will continue to pose challenges. Kovis-19 is not only the poorest of the poor, but also the poorest of the poor. Regions are facing unexpected difficulties and governments are making difficult choices. But there are also clever policy choices that could ease such deals.

Source: Daily Eleven

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Myanmar pharmaceutical imports soar to $557 mln in Oct-July period

The import value of Myanmar pharmaceutical products amounted to US$557.08 million in ten months of the current financial year 2019-2020, the Central Statistical Organization’s trade statistics indicated. The figure rose from $434.7 million registered in the corresponding period. Myanmar imports 90 per cent of medicine and medical products through foreign markets. India is the leading supplier of Myanmar. Also, it is imported via Bangladesh, China, Germany, Indonesia, Japan, Republic of Korea, Malaysia, Philippines, Singapore, China (Taipei), Thailand, US and Viet Nam. During the COVID-19 pandemic, the international countries prioritize local sufficiency. Some states restricted exports of medical products. China suspended its exports. India also controlled exports of medicines, PPE and ventilators.

The shortage of medicines occurs at the present time, even in some private hospitals. Some pharmacies are temporarily closed amid the resurgences of coronavirus. The government has already urged people not to make panic buying on medicines. The large purchases by consumers have contributed to the price rise in the local market. The ministry launched the online licensing system for export and import businesses starting from 1 April, intending to reduce the person-to-person contact and mitigate the spread of COVID-19. Of the items available online licensing system, medicines and raw materials for the pharmaceutical industry are exempted import licence fee and the number of items is not restricted.

Furthermore, the pharmaceutical industry is excluded from the government’s Stay-at-Home order issued on 20 September 2020. The Myanmar Chamber of Commerce for Pharmaceutical & Medical Device (MCCPMD), founded on 2 April 1999 as a non-governmental organization (NGO), aims to improve healthcare services for people, abide by the national drug regulations, and enhance public healthcare collectively. MCCPMD members are owners of local companies, foreign-owned companies, individuals and entrepreneurs. 

Source: The Global New Light of Myanmar

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Household service providers in Myanmar among latest COVID-19 casualties

Providers of housekeeping and home maintenance services are among the latest casualties of the second wave of COVID-19 in Myanmar. Many have suspended their businesses in view of the spread of the virus in the past month. Demand for housemaids, cleaners, and other household service providers has collapsed and these businesses have also been suspended to protect their workers from becoming infected, a local startup providing household services.

Besides water pipe maintenance, AC and electrical servicing, all other services have been suspended. As our workers cannot work from home, our businesses will stop until the end of this year. Even if the disease is controlled and businesses in the industry restart, it will take six to seven months for maid and cleaning services to return to normal.

MyanAnts had resumed business as a usual in May, after the first wave of COVID-19 but is now closed again. Household services, which mainly include part-time housework and cleaning services became popular in 2017 and demand had reached a peak in early 2020, before the pandemic.

Source: Myanmar Times

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CMP garment exports worth $3.74 bln in Oct-July

Exports of garments manufactured under the cut-make-pack (CMP) system were valued US$3.74 billion in the period between 1 October and July-end in the current financial year 2019-2020. Myanmar’s manufacturing sector is primarily concentrated in CMP garments and textiles, which contribute to the country’s GDP to some extent. The garment sector is among the prioritized sectors driving up exports. The CMP garment industry has emerged as a promising one, with preferential trade from Western countries. The majority of Myanmar’s garment factories operate under the CMP system, and those engaged in this industry are striving to transform CMP into the free-on-board (FoB) system. Following the negative impacts caused by the COVID-19 on the garment industry, some CMP garment factories have shut down on the reason for the lack of raw materials, leaving thousands of workers unemployed.

The COVID outbreak and spread hit the labor-intensive businesses so severely, the Directorate of Investment and Company Administration (DICA) stated. However, foreign direct investments flow into many types of businesses, including garment enterprises. The foreign investors are not bothered by the disputes between employers and employees and the closure of some CMP businesses during the meantime. Of the investment proposals, the manufacturing and labor-intensive industries are prioritized by the commission. Myanmar Investment Commission is endeavoring to accept investment projects in manufacturing masks, pharmaceuticals and others which can contribute to the fight against the coronavirus in the country at the soonest. Supply chain disruptions and cancelling customer orders following the coronavirus outbreak hurt the global textile industry. Similarly, the CMP garment sector which contributes to 30 per cent of Myanmar’s export sector is bracing for downward trend because of the cancellation of order from the European countries and suspension of the trade by western countries amid the pandemic.
At present, all the garment factories have been temporarily closed due to the coronavirus resurgence.

The export value of CMP garments was only $850 million in the 2015-2016 financial year, but it has tripled over the last two FYs. In the 2016-2017FY, about $2 billion was earned from exports of CMP garments. The figure increased to an estimated $2.5 billion in the 2017-2018FY and $2.2 billion in the 2018 mini-budget period. It tremendously grew to $4.6 billion in the 2018-2019FY. Myanmar mainly exports CMP garments to markets in Japan and Europe, along with the Republic of Korea, China, and the US. With demand from foreign trade partners growing, imports of CMP raw materials are rising year by year. Since an outbreak like COVID-19 might happen in the future, it is necessary to prepare for a sufficient supply of raw materials. The public and private sectors will cooperate in setting up the supply chain on our own sources, including weaving, knitting, dyeing, and sewing factories. The MGMA has more than 700 members, and garment factories in Myanmar, employing more than 500,000 workers. Investors prefer to invest in countries with inexpensive labor, such as Myanmar.

Source: The Global New Light of Myanmar

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Tourism firms should be recognized for complying with COVID-19 guidelines

Local tourism businesses that have complied with COVID-19 safety guidelines issued by the Ministry of Health and Sports should be officially recognized for doing so, State Counsellor Daw Aung San Suu Kyi said during the celebration of World Tourism Day 2020 held on September 25. Vice president U Henry Van Thio suggested that firms in the travel industry focus on community-based tourism packages to capture new demand when the industry resumes again.

As such, being recognized as safe and compliant with the government measures will be advantageous for firms when the tourism industry resumes again. With international flights suspended and the global tourism industry likely to take anywhere between two and eight years to recover, based on the World Trade Organization’s forecast, Myanmar can no longer rely on foreign tourists to boost the industry tourism entrepreneurs agreed with the vice president’s suggestion to leverage on domestic and community-based tourism in Myanmar.

“During this period, the tour companies are facing their most challenging times. Some tour firms have even changed their business lines for survival”, said U Naung Naung Han, chair of Myanmar Tourism Entrepreneur Association. The number of tourists to Myanmar has declined by 65 percent since the first half of the year, data showed.

Source: Myanmar Times

B2B E-Summit 2020

  • 14 Oct at 09:00 - 18 Oct at 17:00
  • Public · Hosted by Myanmar B2B TV, Htet Zan Linn and Myanmar B2B Management Magazine
  • Online event https://summit.myanmarb2b.com.mm/

မင်္ဂလာပါ Myanmar B2B Management Magazine ရဲ့ ၈ နှစ်ပြည့် နှစ်ပတ်လည်အခမ်းအနားကို မကြာမီကျင်းပတော့မှာဖြစ်ပါတယ်။
ယခုနှစ်မှာတော့ COVID-19 ကြောင့် အခမ်းအနားကို အွန်လိုင်းကနေ “B2B E-Summit 2020” အနေနဲ့ ကျင်းပသွားမှာပါ။
ဒီနှစ်မှာတော့ ထူးခြားတဲ့အစီအစဉ်အနေနဲ့ B2B Magazine မှာ မျက်နှာဖုံးရှင်အဖြစ်ဖော်ပြခံထားရတဲ့ စီးပွားရေးလုပ်ငန်းရှင် ‘အယောက် ၈၀’ ရဲ့ ဟောပြောသင်ကြားမှုတွေကို
ထုတ်လွှင့်တင်ဆက်ပေးသွားမှာဖြစ်ပါတယ်။
မြန်မာပြည်ရဲ့ထိပ်တန်းစီးပွားရေးလုပ်ငန်းရှင်နဲ့ ပရော်ဖက်ရှင်နယ် အယောက် ၈၀ ကနေ သူတို့လေ့လာထားတဲ့သီအိုရီတွေ၊ ဖြတ်သန်းလာတဲ့ အတွေ့အကြုံတွေကို မတူညီတဲ့ခေါင်းစဉ်တွေနဲ့ ဟောပြောသင်ကြားပေးသွားမှာဖြစ်ပါတယ်။
အောက်တိုဘာလ ၁၄ ရက်မှ ၁၈ ရက်နေ့အထိ ၅ ရက်တိုင်တိုင် ကျင်းပသွားမယ့် “B2B E Summit 2020” ကို တက်ရောက်ဖို့လည်း အားလုံးကို ဖိတ်ခေါ်ပါရစေခင်ဗျ။

Dollar exchange rate continues slumping despite CBM purchase of $12.7 mln within 4 days

THE US dollar exchange rate keeps falling in the local forex market. However, the Central Bank of Myanmar (CBM) purchased US$12.7 million in the auction market within four days, forex market data showed. In a bid to keep the exchange rate stable, the CBM purchased 1.8 million dollars on 21 September, 3.3 million dollars on 22 September, 3.8 million dollars each on 23 and 24 September at an auction market rate.

The CBM has purchased $30.9 million in the auction market between 1 and 24 September. Despite the CBM’s purchase, a dollar touched a low of K1,312 at the opening time on 24 September. The instability in the exchange rate posed difficulties to those stakeholders engaged in the agriculture and livestock supply chains including farmers, traders and exporters. That is why the stable exchange rate is vital of importance for the businesses. At present, the local forex market sees the weak sentiment amid the coronavirus outbreak and the trade disputes between the US and China, the business experts shared their opinions.

This year, the exchange rate moved in the range of K1,456-1,493 in January, K1,436- 1,465 in February, K1,320-1,445 in March, K1,395-1,440 in April, K1,406-1,426 in May, K1,385- 1,412 in June, K1,367-1,410 in July and K1,335-1,390 in August. Last year, the rates are pegged at K1,508-1,517 in July, K1,510-1,526 in August, K1,527- 1,565 in September, K1,528- 1,537 in October, K1,510-1,524 in November and K1,485-1,513 in December. On 20 September 2018, the dollar exchange rate hit an all time high of K1,650 in the local currency market.

Source: The Global New Light of Myanmar

Myanmar-China trade exceeds $40 bln in incumbent government period

The value of Myanmar bilateral trade with the neighbouring country China through maritime trade and border trade has stood at an estimated amount of US$42.29 billion in the incumbent government period, the statistics issued by the Central Statistical Organization under the Ministry of Planning, Finance and Industry indicated. The ministry reported that the imports outperformed the exports in trade with China over the past four years, with exports reaching over $19.7 billion and imports valued at over $22.5 billion. Between 2016-2017FY and 2019-2020 (as of August), China has been Myanmar’s largest trade partner beyond the regional states. China accounted for 80.4 per cent of total trade in the FY2016-2017 with an estimated trade value of $6.28 billion, 78.8pc in the FY2017-2018 with a trade value of over $7.05 billion, 57.45pc in the FY2018-2019 with $5.9 billion and 58.7pc in the FY 2019-2020 (Oct-April) with $3.56 billion respectively.

Rice, various types of peas, sesame seeds, corn, fruits and vegetables, dried tea leaves, fishery products, rubber, gem and animal products are primarily exported to China. In contrast, machinery, plastic raw materials, CMP raw materials, consumer products and electronic tools flow into Myanmar. The border trade value ($22.8 bln) is relatively higher than the maritime trade value ($19.47 bln) in the bilateral trade between Myanmar and China. Myanmar mainly exports agricultural products to China through the border trade, which is often halted, on account of China clamping down on illegal goods. Myanmar merchants are facing difficulties in exporting goods to China through the legitimate channel as they find the tax levied by China is too high.

In a bid to lower trade barriers and offer relief to Myanmar traders through the border trade channel, the Ministry of Commerce, the relevant departments and Union of Myanmar Federation of Chambers of Commerce and Industry have been negotiating with China counterparts. Illegal trade is highly witnessed between Myanmar and China borders in the previous years. This year, traders sent the goods via legitimate trade route, and trading volume sharply fell. The two countries are making efforts to set up more border economic cooperation zones and promote border trade. Myanmar’s Ministry of Commerce is trying to boost exports of rice, broken rice, agro-products, fruits and fisheries to China through diplomatic negotiations. Myanmar is carrying out border trade with the neighboring country China through Muse, Lweje, Chinshwehaw, Kampaiti and Kengtung. Apart from its leading trade partner China, Myanmar is carrying out its external trade mostly with the regional trade partners. Trade with countries in the European Union, however, remained uncompetitive, compared with regional trade partners.

Source: The Global New Light of Myanmar

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Myanmar extend int’l flight suspension until October 31

The Department of Civil Aviation (DCA) has released an announcement on September 24 notifying all international airlines that the previous temporary measures, dated 26 August, have been extended until 31 October 11:59 pm.

The decision was made by the COVID-19 prevention committee in order to continue to effectively control the importation of COVID-19 to Myanmar through air travel. The extension comes after the country began to experience a high resurgence in COVID-19 cases, currently ranking fifth in ASEAN.

The country formally stopped all international commercial flights from landing since March 30, a week after the first cases of COVID-19 were detected. This is the fourth time the measures have been extended. The department first announced on April 12 that measures will be extended until April 30, second one until August 31 was announced on July 28, and the third one until September 30 on August 26.

Source: Myanmar Times