Monthly Archives: January 2021

Myanmar rice’s export price hit a record high in 2020 as the local and foreign demand picked up. The global foreign demand surged this year amid the drop in global food production triggered by the coronavirus pandemic. Additionally, the General Administration of Quality Supervision, Inspection and Quarantine of the People’s Republic of China (AQSIQ) gave more companies the green light to export rice to China. The domestic market also experienced the price gain, pointed out the exporters. Moreover, Myanmar regained rice market shares from certain countries on account of high quality and the price also remarkably increased in November and December 2020, according to Myanmar Rice Federation (MRF).

In 2020, the export prices of Myanmar white rice (low quality), broken rice and parboiled rice rose compared to the previous years’ rates. The prices moved in the range of US$375-485 per metric ton. The export price of Myanmar 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 showed. Following the coronavirus impacts in Myanmar, rice was highly demanded in the domestic market. The domestic retail market in 2020 saw a rise of K3,000-10,000 per 108-pound bag compared to 2019’s prices, said traders from Bayintnaung market. The rice prices last month for Pawsan varieties moved in the ranges of K38,000-57,000 per 108-pound-bag in the domestic market, while low-quality rice fetched K22,300-28,000, MRF data showed.

Myanmar exported 520,884 metric tons of rice and broken rice to foreign trade partners between 1 October and 18 December in the current financial year 2020-2021, generating an income of over US$196.5 million, as per MRF’s data. MRF expected to ship 2.4 million tonnes of rice and broken rice in the last FY (Oct 2019-Sep 2020). The country surpassed the export target, sending over 426,611 metric tonnes to neighbouring countries through border trade and over 2.15 million tonnes of rice and broken to foreign trade partners via maritime trade, totalling over 2.58 million tonnes.
Last year, Myanmar shipped rice to 66 foreign markets. China is the leading buyer of Myanmar rice, followed by the Philippines and Malaysia. Madagascar is the fourth-largest buyer and Poland, the fifth-largest buyer of Myanmar rice.

Meanwhile, Myanmar exported broken rice mostly to Belgium, followed by China, Senegal, Indonesia and the Netherlands. Broken rice was placed in 60 foreign markets. ASEAN countries constitute 18 per cent of Myanmar’s total rice exports with over 466,882 tonnes. In comparison, 30 per cent of total rice exports in Myanmar goes to China with over 775,884 tonnes, followed by African countries with 27 per cent after exports of around 706,302 tonnes. The European Union countries account for over 20 per cent of rice exports with over 514,523 tonnes while other countries represent five per cent of exports with over 122,786 tonnes. Next, Myanmar yearly produces 13 million tonnes of rice. There is self-sufficiency in the domestic market, and rice reserves have been stored in Yangon, Nay Pyi Taw and Mandalay. Myanmar shipped 3.6 million tonnes of rice in the FY2017-2018, which was a record in rice exports. The export volume plunged to 2.3 million tonnes, in the FY2018-2019.

Source: The Global New Light of Myanmar

Imports rose in the first three months of the current fiscal year to a trade deficit of more than $ 230 million, up more than $ 140 million from the same period last year, according to the Ministry of Commerce. In the three months from October 1 to January 1 of the 2020-2021 fiscal year, Myanmar’s exports were worth $ 3.685 billion, down more than $ 1.2 billion from the same period last year. Imports were worth $ 3.920 billion, down more than $ 1 billion from the same period last year. The trade deficit means that Myanmar imports more than it exports. In the first three months of the current fiscal year, Myanmar’s exports and imports were $ 234.525 million higher than exports. 

As a result, Myanmar’s trade deficit reached $ 234.525 million in the first three months of the current fiscal year. In the same period of the 2019-2020 fiscal year, the trade deficit was only $ 89.233 million, according to the Ministry of Commerce. Comparing the two periods, Myanmar’s trade deficit in the first three months of the current fiscal year was $ 145.289 million higher than the same period last year. The Union Minister for Commerce and Industry, said that while Myanmar was developing and implementing export strategies to boost exports, it was also trying to reduce the trade deficit as domestic demand could not be reduced due to domestic demand. In practice, domestic consumption has improved. 

In terms of investment, especially small and medium enterprises. Medium-sized businesses need raw materials. Livestock, for example, is on the rise. Chicken is very imported. In the past, soybean mills were allowed to import about 20,000 tonnes a year, but now up to 50,000 tonnes a year. This will not be reduced as the business here grows. Some have to import good fish, such as sausages, which cannot be produced here when traveling. Coconut oil does not reduce it. Diesel cannot be reduced. Medicine cannot be reduced and cosmetics cannot be reduced.

Source: Daily Eleven

According to the Myanmar Melon Producers and Exporters Association, the prices of the watermelon exported to China are continuously falling.
“Although the watermelons fetched over 7,000 Yuans per tonne at the end-November of last year, the price has currently fallen to 2,300 Yuans per tonne,” said U Naing Win, chairperson of the association. “The price of watermelon is at its lowest price. Now, the watermelon is priced only at 2,300 Yuans per tonne for the high-quality ones. At the end of November, the watermelon price rose to 7,400 Yuans per tonne. However, the price is now only 2,300 Yuans per tonne,” he added. Besides, the price of muskmelon is ranging between 3,500 and 4,000 Yuans per tonne. About 200 trucks carrying the watermelon and 50 trucks carrying the muskmelon are entering China through Muse border area.

At present, Myanmar exports its watermelons and muskmelons mainly to China. Last December, Myanmar exported 25 tonnes of seedless watermelons to the Dubai market for the first time. According to Myanmar Melon Producers and Exporters Association, Myanmar is also arranging to export more melons to Dubai and Qatar markets. According to the statement released by the Fruit Commodity Depot in Muse 105th Mile trade zone on 5 January, the number of fruit trucks will be limited to be able to control the melon market. Although Myanmar could export more watermelons and musk melons through Kyinsankyawt border post because of extended operating hours from 7 am to 8:30 pm that started 5 January, Myanmar will export the fruits limit to quantity to maintain the market.

The Fruit Commodity Depot at Muse 105th Mile trade zone announced on 5 January that the trucks would enter the exchange ground under the Fruit Commodity Depot and Truck Supervision Board management. Last year, Myanmar faced a problem in the export of melons to China because of COVID-19. So, the local growers and melon traders suffered significant losses because the exported melon price declined. Watermelons and muskmelons are grown across the country, excluding Kayah and Chin states. It can be harvested until coming May. Myanmar yearly exports over 800,000 tonnes of watermelons and about 150,000 tonnes of muskmelons to China, the association affirmed.

Source: The Global New Light of Myanmar