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Mon State calls for investors in the fisheries sector

Mon State is calling on both local and foreign investors to take advantage of its strategic location and geography to invest in the fisheries sector. The Chair of the Mon State Fisheries Federation said that interested parties can invest in the sector to produce finished and value-added products. Other players in the industry see such investments as an opportunity to further develop the state and its economy. They would like to invite investors to gain access to modern technology.

Mon State in return can offer our land, lakes, and labour. Mon State is geographically connected to the Andaman Sea and Gulf of Mottama in the West with more than 140 miles of coastline. Fisheries related businesses are a key driver for the state’s economy. Shipping by sea is readily available and transportation by road is also an option for exports to China, Thailand and India. Mon State should invite businesses that will invest in canned fish or dried fish factories said by the local businessman. The state usually produce more than 100,000 tonnes of prawns and shrimps every year.

As much as 12,000 tonnes are exported to China, Singapore and Malaysia annually. Approximately 80 percent of the fishery products that are produced within the state are exported to China. Mon’s call for investors comes on the back of a decline in fisheries exports due to the COVID-19 pandemic. While the value of Myanmar’s fish export market increased form US $ 732.2 million in the 2018-19 fiscal year to $858.9 million in 2019-20, this figure is projected to drop drastically as the market has been plagued by difficulties arising from the COVID-19 outbreak.

The government will try to negotiate with other countries to connect and export fishery products to their markets. Moreover, the Ministry of Agriculture, Livestock and Irrigation need to negotiate with the Myanmar Fisheries Federation and the respective departments to issue COVID-19 free certificates on the fish produced in the country. This will help identify and set standards, upgrade the technological skills of the staff and improve the knowledge of the cold storage facilities. It is also added that the Department of fisheries and Cooperative Department will also collaborate to improve local fish consumption.

Source: Myanmar Times

Investors expect growth to accelerate in Myanmar over next three years

Investors expect business to return to normal in Myanmar by the third quarter of this year. Many also reckon that the technology, media and telecoms (TMT) sector would see the most investments or merger and acquisition activity in the next two years, according to polls taken at a conference held online by Ascent Capital Partners recently. Indeed, the Myanmar economy is expected to recover and reach growth levels of as much as 7 percent this year mentioned by the Union Minister for Investment and Foreign Economic Relations during the conference.

The Union Minister said that recovery will be backed by the government’s Myanmar Economic Recovery and Reform Plan (MERRP), which will prioritise sectors like manufacturing and services in the year ahead. Measures such as civil service reforms and digital transformation will also be implemented by the government. The Managing partner of Ascent Capital said that the firm’s three-year outlook for Myanmar is one of cautious optimism. Myanmar’s economy and business environment are still severely impacted by the COVID-19 pandemic, and it is unclear at this moment when full recovery will take place.

It is also mentioned that Ascent Capital focuses on longer timeframes and that government initiatives like the MERRP are important catalysts to drive growth in the economy over the next three years and beyond. As a Myanmar-focused investor with long-term plans in the country, they certainly intend to raise future funds but do not have the immediate need to do so. In terms of existing investments, this would depend on the opportunities that present themselves at the right time. But the general outlook is for the long term, in the next seven to ten years.

Ascent Capital is a private equity firm registered with the Monetary Authority of Singapore. The firm manages a Myanmar-focused investment fund which it says is the largest Myanmar-focused investment fund globally. The fund, which prioritises the consumer, education, healthcare, financial services, logistics and TMT sectors, closed in October last year with US$88 million in capital commitments. It is backed by the likes of Singapores’s Temasek Holdings, the Asian Development Bank and local drinks tycoon U Aung Moe Kyaw.

Source: Myanmar Times

Natural cave in Kayah State to be developed as tourist attraction

A natural cave, locally named as Mei Htauk Noon, in Nan Kit village of Pasawng Township, Kayah State, to be developed into an ecotourism site. The Directorate of Hotels and Tourism of the state is working together with the members of the local tourism development committee, the Destination Management Organization and local hotelier association for a tourist attraction in the post-COVID-19.

A local official of the department said that Mei Htauk Noon cave still has natural beauties such as stalactites and drop of water slowly trickles through cracks in the cave roof. It is still an unspoiled natural cave that can attract both local and foreign visitors. The cave is located within around 2 to 3-hour drive from Loikaw Township.

The road to this cave is being developed by the local people led by the senior monk of township Sangha committee. The development works also include the construction of road and electrification inside the cave with about 600-ft in length and 60-ft to 100-ft in width inside it. Other interesting places near the cave are a 100-year-old monastery with the displays of two huge ivories and ancient Buddha images, Woha waterfall and scenic views of Thanlwin River.

Source: The Global New Light of Myanmar

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Bangladesh negotiates with Myanmar to buy 100,000 tonnes of rice

Bangladesh has reopened negotiations with Myanmar to purchase 100,000 tonnes of rice, said the chair of Myanmar Rice Federation (MRF). Bangladesh signed a Memorandum of Understanding with Myanmar for its self-sufficiency of foodstuffs and cooperation in the rice sector in 2017. Myanmar exported 100,000 tonnes of rice to Bangladesh in the 2017-2018 financial year. Later, Bangladesh stopped importing rice from external markets as they do not have staple food. However, Bangladesh’s government called for a tender to purchase rice again to control the market’s rise amid the COVID-19 pandemic.

The two countries’ counterparts are under negotiations for the purchase of 100,000 tonnes of rice. They get back on track, and the negotiations are still underway. It has not reached any agreement yet, the MRF chair affirmed. Myanmar rice’s export price hit a record high in 2020 as the local and foreign demand picked up, MRF stated. Myanmar shipped over 648,158 metric tons of rice and broken rice to foreign trade partners between 1 October and 1 January this FY, generating an income of over US$245.096 million, as per MRF’s data.

Moreover, Myanmar regained rice market shares from certain countries on account of high quality. The price also remarkably increased in November and December 2020. In 2020, the export prices of Myanmar white rice (low quality), broken rice and parboiled rice significantly rose compared to the previous years’ rates. The prices move in the range of US$375-485 per metric ton depending on different varieties. The export price of Myanmar’s rice is relatively lower than the rates of Thailand and Viet Nam. Yet, the prices are higher than those of India and Pakistan’s market prices, MRF’s data indicated.

Source: The Global New Light of Myanmar

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China demand hikes up Myanmar peanut price

The price of Myanmar oil crop peanuts in the Mandalay pulses and beans market is significantly rising due to a sudden spike in demand by China, Mandalay bean traders said. During the previous years, the market used to cool down when Chinese New Year was approaching. This year, they are steadily purchasing the varieties of peanuts and hikes up the price, said the owner of Soe Win Myint depot in Mandalay.

The bean market used to suspend during Chinese New Year. Surprisingly, oil crop peanuts are highly demanded. The price consequently gains on the strong demand. Local millers cannot keep up with Chinese buyers, and so, they are forced to stop running the mills for now. The peanut prices have recently risen, moving in the ranges of K2,200-K3,500 per viss depending on varieties, showing a rise of K200-500 per viss for two weeks.

The price is likely to remain high, the traders guessed. The peanuts from Nay Pyi Taw, Tatkon, Pyinmana, Myinmu and Pakokku areas are abundantly flowing into Mandalay market in the recent days. Mandalay wholesale centre, which has been suspended for four months due to the COVID-19 resurgence, was reopened starting from 21 January 2021, in line with health guidelines on coronavirus issued by the Ministry of Health and Sports.

Source: The Global New Light of Myanmar