Border trade on hold as Myanmar, Thailand add restrictions

Trade at Tachileik, Shan State, the border town between Myanmar and Thailand, has come to a standstill now that Thai authorities are allowing just six vehicles with a Myanmar number plate to enter Mae Sai in Thailand. The move was announced and made effective by Thai authories on September 17 as part of measures to prevent the spread of COVID-19. Initially, the Thai authorities had said 168 trucks and one driver per vehicle will be allowed to cross the No.2 Friendship Bridge between the two countries. But as it will allow only six Myanmar cars to enter Mae Sai a day, traders from Myanmar are planning to do the same.

To reciprocate, they will allow only six vehicles from the Thai side to cross over to Myanmar. Tachileik authorities have also issued new restrictions and checks on Thai drivers at the border, such as requiring Thai vehicles to register and obtain approval from the Myanmar authorities before being permitted to trade in the country at a fixed date. Thai drivers are not allowed to enter Myanmar, hundreds of vehicles are now stranded on the Thai side since September 17. More than 200 small vehicles and more than 100 trucks are now stranded in Thailand. However, their side is facing difficulty as Thai exports to Myanmar are worth more than THB 1billion per month.

Although both sides had agreed in principle to implement COVID-19 restrictions simultaneously and only after negotiations, Thailand appears to have set unilateral rules which Myanmar has since reciprocated. While border trade was going smoothly, Thai side have started to break the agreement. Now, the Myanmar side is likely to ease the restrictions only when the Thais come and negotiate after relaxing their measures. An estimate of around 200 Toyota HiAce vehicles from Myanmar and more than 100 Thai trucks pass through the Mae Sai- Tarchileik boder trade gate on a daily basis.

Source: Myanmar Times

Upgrading ROK-Myanmar economic cooperation in post- COVID19 era

On September 16, the ministerial – level “Joint Commission on Cooperation in the field of Trade and Industries” was held in Nay Pyi Taw and Seoul respectively. Due to COVID-19, it was organised on-line. The Joint Commission was the first of its kind as a follow-up to the summit meeting in September 2019. President Moon Jae-In of the Republic of Korea (ROK) and Daw Aung San Suu Kyi, State Counsellor, signed the MOU on establishment of the Joint Commission with a view to elevating trade and investment to a new height. The Joint Commission was well-timed as this year marks the 45th anniversary of the diplomatic relationship between the ROK and Myanmar. The ROK government has been actively pursuing the New Southern Policy, its flagship diplomatic initiative, and in that context, looks to Myanmar as the last frontier market in the ASEAN region.

The leaders’ commitment to upgrading investment and enhancing people-to-people exchanges has shown specific outcomes. The two sides are working together to identify suitable projects, which will be borne by a newly established soft loan to the amount of US$ 1 billion. The Myanmar government has granted new working licenses to three Korean commercial banks, thus making Korea the country with the highest number with a total of four licensed banks in Myanmar. A new direct flight by Myanmar Airways International, launched in past December, is another welcome development. Korea-Myanmar Industrial Complex (KMIC) is expected to draw as many as 150 to 200 Korean companies once it is up and running. Korea is working with the Myanmar side on drawing blueprint for Dala new town.

At the Joint Commission meeting, both sides reaffirmed the importance of “Korea Desk”which will serve as a one-stop shop and gateway for new investors from Korea. Over the past few years, the horizon of Korean investment has considerably widened. The successful Joint Commission meeting was a small but significant step to make Korea’s commitment to working together with its time-honored friend, Myanmar, towards the visionary and inspiring message President Moon delivered during his state visit-“Korea will be a trustworthy partner in turning Myanmar’s dream of the miracle in the Ayeyarwady river into reality”.

Source: Myanmar Times

JICA Webinar- “SME Za Ga Wine: Boost your business in the era of COVID-19”

Title: Utilizing financial support measures available for SMEs

Date: 21 September 2020, 10:00 AM- 11:00 AM

Panelists:

  • U Aung Kyaw Myo ( General Secretary, Myanmar Banks Association)
  • U Lwin Oo ( General Manager, Myanma Insurance)
  • U Myo Myint ( Deputy Director, Directorate of Industrial Supervision and Inspection -DISI )
  • Daw Yi Mon Khin ( Founder, Yi Mon Silk & Textile Embroidery)

Contact address: https://zoom.us/webinar/register/WN_QGvyzi_HRDe1NG4EhiLZdA

Organizer: UMFCCI