Weekly market update of dry groceries

During the week ending 20 September, the prices of onion and sugar bounced back at Bayintnaung Wholesale Market. Meanwhile, the prices of palm oil and chilli pepper slid again. Also, Chinese potato and black gram prices fell. Sugar fetched K2,550 per viss (a viss equals 1.6 kilogrammes) in the wholesale market.

Onion
The prices of large onions declined to K2,800 and Chinese onion prices plunged to K1,800 per viss. The price rose again on 17 September after the significant drop in supply to Yangon markets. About 42,000 visses of onions on 16 September and 36,000 visses of onions on 17 September were supplied to Yangon markets. Onions from the Seikphyu area did not enter the market then.

Following the entry of 72,000 visses of onions on 20 September, only onions from the Seikphyu area were set price at K2,800-3,200 per viss in the wholesale market. On 20 September, the maximum price of onions was K3,100 per viss at Seikphyu commodity depot and K3,000 per viss of onions at Pakokku commodity depot, according to the price data of those two regions.
Chinese onions were sold at K2,500 after the processing process. The price of Chinese onions which have the same size as those from Myittha Township stood at K2,650 per viss.

Garlic
On 20 September, the wholesale prices of garlic from Shan State (Aungban area) moved in the range of K2,800-4,000 per viss while Kyukok garlic fetched K4,000 per viss. The prices dropped from K4,200-4,800 per viss recorded in the previous weeks.

Potato
The price of Chinese potatoes decreased to K2,150 on 19 and 20 September after it hit K2,500 per viss.
Shan potatoes were priced at K1,500-1,700 per viss depending on quality. However, big potatoes are not found in the markets.

Chilli pepper
After chilli pepper hit the record price of K19,000 per viss for the second time, the rate went down to K17,000 per viss.

Palm oil
The wholesale reference price of palm oil in the Yangon Region this week declined by K40 per viss compared to the last week’s price. The reference price for a week from 19 to 25 September was set at K4,690 per viss.
Consequently, palm oil is volatile in the markets. The wholesale prices fluctuated at K7,600-7,800 per viss on 14 September, K8,800-8,900 on 17 September, K8,500-8,600 on 19 September and K8,000-8,200 on 20 September respectively.

Rice
Monsoon paddy harvest began. Low-grade rice started to enter Yangon markets at K42,000 per bag. The export price of broken rice was high at around K40,000 per bag. The prices of both high-grade and low-grade rice were stable in low demand. The prices are expected to slightly decline, traders aired their opinions.

Pulses
On 20 September, the prices of black gram (RC) slid below K2 million per tonne again after price fluctuation. The prices of various pulses stood at over K1,980,000 per tonne of black gram (Fair Average Quality/RC), K2,310,000 per tonne of black gram (Special Quality/RC) and K2,170,000 per tonne of pigeon pea (red gram) RC in Yangon and markets. 

Source: The Global New Light of Myanmar

Pure gold price slides again to K2.8 mln per tical

Pure gold spot price fell again to K2.8 million per tical (0.578 ounce or 0.016 kilogramme) in the domestic market, tracking the slide in the Kyat- US dollar exchange rate in the local forex market. The US dollar is exchanged for around K3,100 against the local currency. In August, the dollar hit a tremendous high of over K4,500 in the unofficial markets. Following the depreciation of Kyat, the pure gold price reached a record-high of K3.7 million per tical. The gold price is approximately K2,830,000 per tical in the domestic market. T

he governor of the Central Bank of Myanmar (CBM) and officials of the Monitoring and Steering Committee on the Gold and Currency Market discussed matters regarding the stability of the gold and currency market on the afternoon of 14 September in Nay Pyi Taw. At the meeting, the governor of the CBM remarked the further coordination of the departments concerned, gold bar transactions to be made with the banking system and operations of the banks, further support of the ministries concerned and the CBM to achieve price stability, and further cooperation between gold businesspersons and the officials.


The Ministry of Natural Resources and Environmental Conservation declared the sales of gold coins weighing one tical, 0.5 tical and 0.25 tical through state-run media on 2 September. The gold coins are available every day except during office holidays. In September 2021, a dollar value hit a peak of over K3,000 in the black market, pushing the pure gold up to K2.22 million per tical. Under the guidance of the Central Committee on Ensuring Smooth Flow of Trade and Goods, the Monitoring and Steering Committee on the Gold and Currency Market was formed on 17 December 2021 as gold and currency market stability plays a crucial role in trade facilitation.

The objectives of the committee are inspecting and prosecuting market manipulation, checking if there is compliance with payment rules in the domestic market, and proceeding against those unscrupulous traders who intend to interfere with the free and fair operation of the market under the existing laws, by-laws and regulations in line with the official directives, illegal foreign currency holding, illegal trade and taking legal actions against price manipulators. Furthermore, the officials concerned will crack down on people involved in charging a percentage for money withdrawals at the banks as shadow money. 

Source: The Global New Light of Myanmar

Kawthoung, Myeik Archipelago eye more visitors in October

The open season for travel is drawing near, and preparations are being made for local and foreign visitors to the islands in the Kawthoung and Myeik districts of the Taninthayi Region, according to the Directorate of Hotels and Tourism (Nay Pyi Taw). The local and foreign travellers start visiting the islands of Kawthoung and Myeik districts in the peak season. The tourism industry faced a decline in the COVID-19 outbreak and the government resumed domestic/international flights on 17 April 2022 to remedy the tourism sector. Currently, the local visitors pay a visit to the islands of Kawthoung and Myeik and arrangements are being made for the foreign visitors.

The tours to Kawthoung and Myeik Archipelago are prepared to reopen as per the COVID-19 preventive measures. There are over 800 islands in Taninthayi Region and over 200 islands in Myeik Archipelago and is an island where Myanmar’s only Marine National Park, Lampi Island, is located. According to the research of marine experts, there are 195 evergreen forests, 63 flora on mangrove and sand-dune forests and 19 types of mammals and cold- and warm-blooded animals on the coral reefs. The well-known islands in Kawthoung District are Lampi Island, Bocho Island, Hlainggu Island, Saturn Island, Kophawt Island, Taunglapoh Island, NyaungU Phee Island, Natthamee Yaytwin Island, Done Island, Done Yetagun Island, Ngaman Islands, 254 and 256 Islands, Myanmar Bam Island, Auknee Island, Tawwin (South) Island, Tawwin (North) Island, Macleod Island, Kyunn Phila Island and Nanathee Island.

The Myeik Archipelago boasts perfect islands like Thameehla Island, Taungpangyi Island, Bailey Island, King Island or Marcus Island, Smart Island or Parpa Island, Cock Comb Island, 115 Island and Waale Island. The Myeik Archipelago tourism Industry was implemented in 2014 and the Taninthayi Region’s tourism industry was well developed hosting between 200 and 300 travellers per day during long holidays. The officials arrange speed boats and vessel services for transportation and the tour guides follow the instructions of departments concerned for the safety of travellers and not affecting the natural environment by cooperating with the residents. “We have high expectations this open season. We make preparations to start with local travellers. The hotels are reopened and some make preparations. There is information provided on the website and media for travel in cooperation with the regional government. The main point is that arrangements are being made to provide services in accordance with the COVID-19 health rules at the hotels and the hotels are also granted HSP certificates. The department conducts training courses for tourist guides regarding COVID-19 preventive measures.

Therefore, we are making efforts for the travellers to be able to take good rest during their trip. Kawthoung and Myeik archipelago are indeed the best places for travelling and excursion,” said U Zeyar Myo, Deputy Director-General of the Directorate of Hotels and Tourism (Nay Pyi Taw). The department was invited to the International Tourism Fair in Seoul in August 2022 and International Travel Expo Ho Chi Minh City (ITE HCMC 2022) and will promote the tourism industry of the country in 2023. The travellers to these islands can study the lifestyle of Salon people who are described as Sea Gipsy, the natural beauty of the sea and islands, coral reefs and fish species by diving, and can go fishing, study the whales, dolphins, sea turtles, seals, Hornbills, sea butterfly, Mali bird, Grey-rumped Swiftlet and other bird species. The community-based tourism, hoteliers, tourist guides, boat drivers and locals are expecting a large volume of travellers to Kawthoung and Myeik archipelago where the world’s best golden pearls are produced. 

Source: The Global New Light of Myanmar

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Trade value at Myawady trade zone exceeds US$171 million in August

The value of trade at the Myawady border trade zone is estimated at US$171.069 million, according to the Ministry of Commerce’s statistics. Myanmar ’s export via the Myawady border to neighbouring country Thailand was valued at $51.221 million and import was worth $120.848 million. Myanmar’s exports through the Myawady border were 1,195 tonnes of broken rice, over 20,165 tonnes of corn, 451 tonnes of black gram, green gram and black-eyed peas, over 6,700 tonnes of onion, 513 tonnes of rubber, 26 tonnes of dried ginger and other goods.

Vehicle and auto parts, machines and equipment, construction materials, petroleum products, fertilizer, plastic raw materials, cotton, pharmaceuticals and other items were also imported through the Myawady border post. The trade value was down by $37.158 million compared to that of the corresponding period last year, with a decrease of $31.596 million in exports and $5.562 million in imports. The export was $8.038 million less and the import $3.121 million more than the trade volume last July, a decrease of $5.17 million in toto in August. Myanmar ships tonnes of corn to Thailand through the Myawady border as Thailand gives green light to corn imports through Mae Sot under zero tariff (with Form-D), between 1 February and 31 August.

Myanmar exported approximately 1.6 million tonnes of corn delivered to Thailand in FY2020-2021. There are seven border posts between Myanmar and Thailand — Tachilek, Myawady, Kawthoung, Hteekhee, Myeik, Mawtaung and Meisei. The majority of the border trade with Thailand is conducted via Hteekhee and Myawady borders. Between 1 April and 9 September of the current financial year 2022-2023, Myanmar’s exports surpassed imports in trade with Thailand via those seven border posts, with exports reaching over $1.594 billion and imports valued at over $712.196 million, totallinag $2.3 billion, the Commerce Ministry’s data showed.

Source: The Global New Light of Myanmar

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Myanmar seaborne trade value grows 32 per cent as of 9 Sept

Myanmar’s seaborne trade with international trade partners showed an uptick of 32 per cent between 1 April and 9 September in the current financial year 2022-2023. The value of maritime trade soared to US$11.5 billion, reflecting a sharp rise of $2.8 billion, according to the Ministry of Commerce. Seaborne trade rose from $8.7 billion during the year-ago period, according to the Ministry of Commerce. While seaborne exports were valued at $5.037 billion, imports were registered at $6.486 billion. Both exports and imports by sea have risen as compared to the year-ago period.

Myanmar’s seaborne trade generated $19.8 billion out of an overall trade value of $29.5 billion in the previous FY 2020-2021, the Ministry of Commerce’s statistics indicated. In September 2022, 55 cargo ships carrying many containers, operated by 14 international shipping liners, were scheduled to enter terminals in Yangon Port, according to a notification of the Myanma Port Authority. Terminals in Yangon Port handled 410 cargo ships in the past eight months. The number of cargo ships entering Yangon Port stood at 49 in January, 48 in February, 50 in March, 52 in April, 54 in May, 53 in June, 49 in July and 55 ships in August respectively.

Myanmar Port Authority and Yangon inner terminals are providing services to ensure the fast and reliable cargo handling and withdrawal of the containers. Earlier, the larger ships had draft problems preventing their sailing on the Yangon River. The draft extension is up to 10 meters with the new navigation channel accessing the inner Yangon River. Yangon inner terminals and the outer Thilawa Port have received larger ships of 30,000 DWT (Deadweight tonnage) after the draft limit was extended up to 10 meters. Myanmar exports agricultural products, fishery products, minerals, livestock, forest products, finished industrial goods, and other products, while it imports capital goods, consumer goods, and raw industrial materials.

Source: The Global New Light of Myanmar

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Imports including consumer goods drop

The value of imports including consumer goods has plummeted, according to the statistics released by the Ministry of Commerce. Between 1 April and 2 September in the current financial year 2022-2023, goods worth $6.266 billion by sea and goods worth $884.948 million were imported into the country. Imports of consumer goods, capital goods, and raw materials by CMP businesses accumulated to US$7.151 billion.

In the corresponding period last FY, Myanmar imported goods worth $5.84 billion from foreign trade partners, with maritime imports valued at $4.614 billion and sea trade worth $1.226 billion. Import value by sea rose over the past five months compared to that of the year-ago period. Yet, import via cross-border trade was down by $341.561 million. The value of imports via land borders is attributed to the depreciation of Kyat against the currencies of neighbouring countries like China and Thailand, importers said. The exchange rate is currently estimated at K90 for a Thai Baht, K490 for Yuan and K3,500 for a US dollar in the local forex market.

Last August, Kyat drastically fell against the foreign currencies. Consequently, the imports were on the verge of suspension, traders stressed. At present, the prices of agricultural inputs such as fertilizer and fuel oil are soaring. Therefore, agricultural machinery and related equipment were exempted from obtaining an import licence from 1 September, the Trade Department under the Ministry of Commerce notified on 31 August. In a bid to support the country’s agricultural development and facilitate the imports of agricultural machinery, 70 HS lines concerning the agricultural machinery and equipment were eased from licensing requirements.

Source: The Global New Light of Myanmar

KBZ exchanges K3,000 per dollar for inward remittances of foreign salary with Hana Bank

Myanmar migrant workers can carry out inward remittances of foreign salary at K3,000 for a dollar from Hana Bank to KBZ Bank, Hana Bank Myanmar released a statement on its social media Facebook page on 15 September 2022. The exchange rate against the US dollar is set at K3,000. There is a two-step verification for the money transfer, the bank shared its statement on the page. There is no red tape like paper works and token system. The amount of money that can be withdrawn is unlimited as well. For any inconvenience, the customers can directly contact the representatives from the KBZ.

“For the salary remittance through the Hana EZ app, the customers must select SALARY in the purpose box when they register the recipient account. This way, the detailed banking information will mention SALARY or code no “5200”. When those people who have filled in the information just like that make international remittance, 1 US dollar will be exchanged at K3,000,” the Hana Bank’s official confirmed this on 15 September. “If they select other options except for SALARY, they will not receive the said exchange rate. They can re-register the recipient account and enjoy the aforementioned rate for sure,” Hana Bank Myanmar stated. There is no token system required to withdraw money with special accounts or other saving accounts. The money withdrawal is limitless as well.

The Central Bank of Myanmar (CBM) has recently directed local private banks to purchase the sailors’ foreign wages that are directly paid to their designated bank accounts at the maximum rate, as per the statement of the Myanmar Seafarers Federation (MSF). As a result of this, seafarers can receive a high exchange rate for local currency only when they put their foreign income into local banks. If they directly withdraw Kyat through regional agents in their own ways, the federation is uncertain about the amount of money that will be exchanged, as per the MSF’s statement. Myanmar migrant workers’ remittances amounted to US$6.152 billion over the past eight months, said Dr Pwint San, Union Minister of the Ministry of Labour. The remittance flows started in 2014 and the reports sent by the Central Bank of Myanmar stated that international remittance was carried out from Malaysia, Thailand, Singapore and other countries.

Source: The Global New Light of Myanmar

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MIC nods 35 foreign projects worth $1.2 bln in 5 months

The Myanmar Investment Commission gave green light to 35 foreign projects from six countries in the past five months (April-August) of the current financial year 2022-2023. The country attracted the capital of US$1.23 billion, including expansion of capital by existing enterprises, according to the Directorate of Investment and Company Administration (DICA). Those enterprises are engaged in agriculture, manufacturing, power, real estate and service sectors respectively. Singapore is the top source of FDI this year, with 10 Singapore-listed enterprises pumping FDI of US$1.089 billion into Myanmar.

Hong Kong SAR stands as the second largest investor this FY with an estimated capital over $70.239 million drawn by seven projects. China is ranked third in the investment line-up with more than $56.7 million from 15 projects. One enterprise each from Belize, Japan and China (Taipei) also made investments in the past five months respectively. The existing enterprises from China (Taipei), China, Hong Kong SAR, the Republic of Korea, India and Thailand also increased investments.

Myanmar drew FDI al of $647 million in the 2021-2022 mini-budget period (October to March), DICA’s statistics indicated. The Ministry of Investment and Foreign Economic Relations has been inviting responsible businesses to benefit the country. Myanmar Investment Commission (MIC) ensures to approve the responsible businesses by assessing environmental and social impacts. The commission is working together with the relevant departments to screen the projects as well. From 1 February 2021, Thilawa SEZ has recorded capital expansions of $100 million from one new enterprise and the existing enterprises so far. The majority of them are put investments into cement and pharmaceutical manufacturing.

Source: The Global New Light of Myanmar

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539 YBS buses charged for collecting higher bus fares

Action has been taken against a total of 539 YBS buses for charging higher bus fares, according to the Yangon Region Transport Committee (YRTC).

YRTC officials conducted surprise checks and took action against 539 buses of 15 YBS lines such as CNG permit suspension for three months, six months and one year suspension against the buses that collect over K500 bus fares and deploy conductors.

YRTC is carrying out surprise road checks for bus lines not to violate rules and regulations including charging higher fares. Currently, there are about 50,000 YBS passengers who use the YPS card system. Officials are also taking trial measures for billing bus fares depending on bus stops. A total of 3,250 buses of 116 bus lines provide services for 1.3 million passengers daily in Yangon.

Source: The Global New Light of Myanmar

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Fuel oil price remains elevated despite decrease in Kyat-dollar exchange rate

Fuel oil price continues an upward spiral even after the Central Bank of Myanmar tried to stop the depreciation of the Kyat against safe-haven dollars, the fuel market’s data indicated. In late August, Kyat weakened against the strong dollar at over K4,500. At present, the exchange rate slid to around K3,200.
The fuel prices continued to spike. The prevailing fuel prices touched a high of K2,485 per litre for Octane 92, K2,575 for Octane 95, K3,065 for premium diesel and K3,150 for diesel. The CBM also announced on 30 August that it will provide more than US$200 million through the foreign exchange market according to the decision made by Foreign Exchange Supervisory Committee in order to ease the commodity inflation triggered by fuel price spike.

Later, the fuel prices slightly declined. At present, fuel prices have risen in the domestic market. The Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil stated that domestic fuel prices follow the price index set by Mean of Platts Singapore (MOPS), the pricing basis for many refined products in Southeast Asia. The committee is governing the fuel oil storage and distribution sector effectively not to have a shortage of oil in the domestic market and ensuring price stability for energy consumers.

The Petroleum Products Regulatory Department, under the guidance of the committee, is issuing the daily reference rate for oil to offer a reasonable price to energy consumers. The reference rate in Yangon Region is set on the MOPS’ price assessment, shipping cost, premium insurance, tax, other general cost and health profit per cent. The rates for regions and states other than Yangon are evaluated after adding the transportation cost and the retail reference rates daily cover on the state-run newspapers and are posted on the media and official website and Facebook page of the department on a daily basis starting from 4 May.

As per the statement, 90 per cent of fuel oil in Myanmar is imported, while the remaining 10 per cent is produced locally. The domestic fuel price is highly correlated with international prices. The State is steering the market to mitigate the loss between the importers, sellers and energy consumers. Consequently, the government is trying to distribute the oil at a reasonable price compared to those of regional countries. Some countries levied higher tax rates and hiked oil prices than Myanmar. However, Malaysia’s oil sector receives government subsidies and the prices are about 60 per cent cheaper than in Myanmar. Every country lays down different patterns of policy to fix the oil prices. Myanmar also poses only a lower tax rate on fuel oil and strives for energy consumers to buy the oil at a cheaper rate. 

Source: The Global New Light of Myanmar