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Republic of the Union of Myanmar
Announcement of Central Committee on
Prevention, Control and Treatment on
Coronavirus Disease 2019 (COVID-19)

7th Waxing of Tazaungmone 1384 ME
30 October 2022

As it is necessary to continuously control the infection of Coronavirus Disease 2019 (COVID-19),
it is hereby announced that public requests, orders, notifications and directives (except for
easing the restrictions) released by the Union-level organizations and Union ministries up to 31
October 2022 have been extended until 30 November 2022 for prevention, control and treatment
of Coronavirus Disease 2019 (COVID-19).

Source: The Global New Light of Myanmar

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MoC to issue CO Form RCEP for free customs tariff to China from 1 Nov

The Trade Department under the Ministry of Commerce will issue Certificate of Origin (CO) Form RCEP to the products that originated in Myanmar and are designated to be exported to China so that the authorized traders can enjoy customs tariff relief, starting from 1 November. The Regional Comprehensive Economic Partnership-RCEP, a free trade agreement between the ten member states of ASEAN, Australia, China, Japan, the Republic of Korea and New Zealand has come into effect since January 2022.

According to the RCEP agreement, the CO form will be issued for the products that originated in Myanmar and that are to be sent to China to be free from customs duty from 1 November 2022. The exporters can apply for CO Form RCEP in compliance with the rules and regulations. Those traders can earn approved exporter status through an online CO application system https://onlineco.myanmartradenet.com from 1 November 2022. There are many trade benefits of being a member of RCEP. As per the agreement, tariff incentives are based on the development status of the states. They have agreed especially for Cambodia, Laos and Myanmar to have access to preferential tariffs and grant moderate tariffs to Viet Nam.

Additionally, the least developing countries will enjoy more exemptions according to a charter of the United Nations to support the Least Developed Countries (LDCs). For instance, the agreement stated Cambodia, Laos and Myanmar to be granted preferential tariffs over other states. The members of RCEP have to grant 65 per cent of custom tariff exemption in line with the agreement. However, Myanmar, Cambodia and Laos are entitled to give only 30 per cent tax-exempt to other entities. Afterwards, the members have to grant 80 per cent tax exemption ten years after the agreement is effective. Meanwhile, Myanmar is given a transition period for the trade sector of up to 15 years.

Moreover, the needs of the LDCs will be considered to implement the commitments under this agreement and enjoy customs duty relief while making efforts to spur trade and investment opportunities and participate in the regional and global trade and value chains. Myanmar, being a member of RCEP and the ASEAN, will get access to great opportunities to step up the international level in amending laws, policy framework and regulations for its trade and investment promotion and in the capacity of the governmental and private institutions. Likewise, Myanmar’s exports see vast foreign markets as the developed and technologically advanced countries are part of the RCEP (Japan, the ROK, Australia, New Zealand, and Singapore). In line with the agreement, responsible and accountable large investments will flow into the country for sure. 

Source: The Global New Light of Myanmar

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92 Octane prices rebound to K2,000 per litre in Yangon market

The fuel oil prices show a steady increase recently, and it reaches K2,000 per litre of 92 Octane in Yangon market, according to the market.

The price was below K2,000 per litre of 92 Octane for over two weeks starting early October and the prices were increasing slowly to K2,000 per litre of 92 Octane, K2,090 per litre of 95 Octane, K2,690 per litre of diesel and K2,775 per litre of premium diesel on 29 October.

In August, the fuel prices reached its highest rate at K2,605 per litre of 92 Octane, K2,670 per litre of 95 Octane, K3,245 per litre of diesel and K3,330 per litre of premium diesel in Yangon market. The Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil stated that domestic fuel prices are increasing as per the higher price index set by Mean of Platts Singapore (MOPS).

Source: The Global New Light of Myanmar

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6-mln-gallon fuel oil unloaded at terminals of Thilawa Port, 14 mln more on way

Over six million gallons of fuel oil have been unloaded from oil tankers at terminals of Thilawa Port and oil tankers carrying more than 14 million gallons are soon to be docked and oil unloading process will be undertaken, according to the Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil. The committee is scrutinizing and importing fuel oil to have an adequate supply in the domestic markets. On 24 October, 0.91 million gallons of Octane 92, 2.55 million gallons of diesel and 1.34 million gallons of premium diesel were discharged from the MT Synergy tanker. On 25 October, 2.01 million gallons of Octane 92 were unloaded from the MT Aulac Vision ship.

Furthermore, the MT Yu Dong tanker carrying 2.76 million gallons of Octane 92, 0.92 million gallons of Octane 95 and 1.65 million gallons of diesel, the MT Harmony One ship carrying 3.07 million gallons of diesel and 3.07 million gallons of premium diesel and the MT Intan Premier carrying 2.67 million gallons will dock at the respective terminals and the unloading of fuel oil will be undertaken. That being so, there is an adequate supply of fuel oil depending on the inventory conditions of oil tanks, fuel stations and distribution.

The prices of Octane have been sliding this week, whereas the prices of diesel slightly rose. There is no significant price movement in the domestic fuel oil market. The committee is importing fuel oil to avoid a shortage in the market. A total of 2.26 million gallons of oil on 1 October, 5.05 million gallons on 3 October, 2.96 million gallons on 10 October and 6.92 million gallons on 12 October were unloaded respectively at the terminals of Thilawa Port. The fuel oil has gradually declined since the last week of September. On 27 October, the oil prices stood at K1,920 per litre of Octane 92, K2,015 for Octane 95, K2,610 for diesel and K2,695 for premium diesel. 

Source: The Global New Light of Myanmar

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Palm oil wholesale reference price regains to K4,000

The wholesale reference rate of palm oil in the Yangon market increased again to K4,000 per viss (a viss equals 1.6 kilogrammes), according to the Supervisory Committee on edible oil import and distribution. The Supervisory Committee on edible oil import and distribution under the Ministry of Commerce has been closely observing the FOB prices in Malaysia and Indonesia including transport costs, tariffs and banking services, and issuing the wholesale market reference rate for edible oil on a weekly basis. The reference prices of palm oil in the Yangon market were set at K4,175 per viss for this week from 25 and 30 October and K3,960 per viss for the week ending 24 October.

The reference price this week was up by over K200 per viss. Nevertheless, the current market price is too high compared to the reference price. If those retailers and wholesalers are found overcharging, storing inventory intentionally and attempting unscrupulous action to manipulate the market, they will face legal action under the Special Goods Tax Law, MoC released a statement. The Ministry of Commerce is striving for consumers not to worry over the supply of edible oil. The ministry is also trying to secure edible oil sufficiency, supervise the market to offer reasonable prices to the consumers and maintain price stability.

At present, mobile market trucks operated by oil importing companies, in coordination with Myanmar Edible Oil Dealers’ Association, were back to business in some townships on 17 July in order to offer palm oil at a subsidized rate. They sell palm oil at K4,400 per viss to consumers directly. However, there are limited sources of supply although they directly sell palm oil at a reference rate depending on the volume quota. The domestic consumption of edible oil is estimated at 1 million tonnes per year. The local cooking oil production is just about 400,000 tonnes. To meet the oil sufficiency in the domestic market, about 700,000 tonnes of cooking oil are yearly imported through Malaysia and Indonesia. 

Source: The Global New Light of Myanmar

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Myanmar and China negotiate resumption of Kyalgaung border

Authorities from Myanmar and China discussed the reopening of the Kyalgaung border post. China has restricted border access through the Muse-Kyalgaung (Mang Wein) border posts, which is a major border crossing between Myanmar and China amid the COVID-19 cases since 30 March 2021. On 18 October, Myanmar’s officials and counterparts from Tathong, Yunnan Province negotiated the promotion of bilateral cross-border trade through videoconferencing.

The meeting highlighted the resumption of the Kyalgaung border post, implementation of container transport to facilitate the trade along the Muse-Ruili route, the direct Yuan-Kyat trade, seeking the permit for legitimate exports of avocado, pineapple, pomelo, lemon and sweet potato from the General Administration of Customs of the People’s Republic of China (GACC) at the soonest, giving green light to Myanmar trucks carrying sugarcane as the sugarcane season is approaching and the ease of the COVID-19 restriction measures in the border areas.

Before the pandemic, Kyalgaung was the busiest and biggest trade post and it performed the highest trade on the China-Myanmar border. Those traders involved in the Muse trade zone are relying on Ruili city. There is a direct trade channel to Ruili through Kyalgaung point so the traders have a smooth transport. This route brings easier and better access to Ruili from the Muse border checkpoint. Only when the Kyalgaung border post is reopened can the trade boom, traders elaborated. China shut down all the checkpoints linking to the Muse border amidst the COVID-19 pandemic.

Of the checkpoints, Kyinsankyawt has resumed trading activity from 26 November 2021. Myanmar daily delivers rice, broken rice, rubber, fishery products, chilli pepper and other food commodities to China through Kyinsankyawt with about 70 trucks and building materials, electrical appliances, pharmaceuticals, fertilizer, household goods and industrial raw materials are imported into the country with 30 trucks. Myanmar has opened five border trade zones with China; Muse, Lweje, Kampaiti, Chinshwehaw and Kengtung. The majority of the trade is carried out through the Muse land border, Ministry of Commerce’s data indicated.

Source: The Global New Light of Myanmar

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Myanmar has been blacklisted by the International Money Laundering Monitoring Group (FATF)

Myanmar has been blacklisted by the International Money Laundering Monitoring Group (Financial Action Task Force – FATF). After the FATF meeting attended by representatives from more than 200 countries, including the World Bank and Interpol International Police, the Singaporean officer who chaired the FATF announced the inclusion of Myanmar in the blacklist.

Money laundering, the Paris-based FATF group formed by the Group of Seven developed countries. terrorist financing; Established in 1989 to protect against similar threats to the integrity of the global financial system, the group has added Myanmar to its blacklist, where only two countries were previously blacklisted, namely North Korea and Iran.

The blacklisting is expected to deal a blow to efforts to attract foreign investment after the military took over power in February 2021. Basically blacklisting Myanmar banks, With financial institutions, there will be more difficult notifications for international financial matters. This year, the value of the Myanmar kyat has fallen by about 60 percent compared to the dollar, a series of record-breaking devaluations, and it is on the verge of falling again.

Foreign direct investment inflows reached their lowest level in 2021 since Myanmar opened its doors to foreign investment in 2011. Even if the political crisis occurs, Foreign investors and worsening power outages; Policies that forced foreign currency to be exchanged for Myanmar kyats have scared away investments that are vital to the country’s thriving economy. The World Bank predicts that Myanmar’s GDP will stagnate this year after the economy shrank by nearly 20 percent in 2021. Furthermore, the International Labor Organization estimated that 1.6 million jobs were lost in Myanmar last year.

Source: The Global New Light of Myanmar

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Nearly six million gallons of fuel oil are being dumped at Thilawa port, and based on the remainder of the Yangon Thilawa oil tank, it is announced that there is self-sufficiency in fuel

Nearly six million gallons of fuel oil are being dumped in Thilawa port, and the remainder of the Yangon Thilawa oil tank, The Motor Fuel Import, Storage and Distribution Business Supervisory Committee has announced that there is self-sufficiency in motor fuel according to the remaining conditions of motor fuel stores and distribution. On October 17th, the MT ARDBEG ship loaded 92 Ron 0.42 million gallons of gasoline and 2.80 million gallons of premium diesel oil at the terminals in Thilawa Port, Yangon Region, on October 17th. MT Glory Star ships 1.22 million gallons of regular diesel and 1.50 million gallons of premium diesel. It is reported that the oil spill is being carried out.

As of October 16, Yangon Thilawa oil reservoir balances; It has been verified that there is self-sufficiency in fuel according to the balance of fuel stores and distribution. As for fuel prices, the global fuel prices have decreased slightly this week, while domestic fuel prices have remained stable. In order to ensure domestic fuel sufficiency, the Motor Fuel Import, Storage and Distribution Supervisory Committee conducts regular checks and imports according to type of motor fuel. On October 10, 92 Ron 0.02 million gallons of gasoline and 2.80 million gallons of premium diesel from the MT YU DONG ship at the Terminals in Thilawa Port, Yangon Region. 

92 Ron zero 14 million gallons of gasoline were also unloaded from MT Bowmore. On October 3, MT YU HAI unloaded 1.87 million gallons of 92 Ron gasoline and 3.18 million gallons of premium diesel at Termianl in Thilawa Port. On October 18, 2675 kyat per liter of diesel in Yangon region. 1955 kyats per liter of octane 92; Octane 95 was 2025 kyats per liter.  As for domestic fuel prices, on October 11, 2022, diesel was 2,800 kyats per liter. Octane 92 is 2025 kyats per liter. Octane 95 was 2,080 kyats per liter. 2,460 kyats per liter of diesel on October 1.

Octane 92 is 2045 kyats per liter. Octane 95 was 2115 kyats per liter. On September 24, 2,645 kyats per liter of diesel. Octane 92 is 2150 kyats per liter. Octane 95 was 2,225 kyats per liter. As the business supervision committee publishes the reference prices of motor oil daily, the MOPS price published daily by Singapore keeps the fixed exchange rate of the Central Bank of Myanmar. Premium underestimate profit percentage calculated and released based on the transportation costs (Transport Charges). As the business supervision committee, in cooperation with the Myanmar Fuel Import, Sales and Distribution Association, the relevant region, According to the state’s townships, fuel needs are distributed based on fuel balance.

Source: The Global New Light of Myanmar

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Unauthorized money changers face legal action for illegal transactions

Those individuals involved in selling, buying and transactions of foreign currency without holding a foreign exchange business licence are facing legal action, according to the Central Bank of Myanmar (CBM). Those two businesses (Perfect Money and B to P Money Exchange) were found to execute illegitimate transactions of foreign currency through the digital platform (Facebook) without holding any valid licence of the CBM. They have been sued under Section 42 of the Foreign Exchange Management Law for breach of the provisions of Section 38 of the Foreign Exchange Management Law, according to the statement.

Afterwards, those entities engaged in illegal foreign exchange through the respective Facebook pages (Black Market Rate, USD Exchange Rate, Gold and Forex Trading, Gold and Dollar Market Dollar Buyer and Seller were found to violate the provisions of Section 38 of the law and the operators of those businesses will get sued under the Section 42 of the Law. On 12 June 2022, the CBM notified the people of the unauthorized mobile pay/ mobile wallet and digital money transfer businesses not to have unnecessary losses.

The CBM greenlighted 18 commercial banks, 10 banks for internet banking, eight banks for mobile payment, five institutions for mobile financial service, seven entities for transportation card and shopping card payment, and four companies for MMQR of merchant acquiring service under Sections 40 and 79 of the Central Bank of Myanmar Law, Section 5, 129 and 130 of the Financial Institutions Law, rules and directives of the mobile financial service and mobile banking business and e-payment to ensure safe and effective transaction and regulate the financial sector.

The list of those companies and financial institutions and service providers is notified on the official website of the CBM. At present, illegal mobile money service providers are posted on social media for mobile pay/mobile wallet service, transfer service between clients and payments for transactions of goods and services. The CBM warned the people of illegal transactions and digital financial service providers so that they will not lose their money. Those individuals involved in this will face a fine and/or sentence under Section 172 of the Financial Institutions Law, the CBM stated.

Source: The Global New Light of Myanmar

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Myanmar manufacturing sector attracts $129 million from China in H1

A total of 29 foreign enterprises pumped US$129 million into Myanmar’s manufacturing sector in the first half of the current financial year 2022-2023, including capital expansion by the existing enterprises, as per the statistics released by the Directorate of Investment and Company Administration (DICA). Myanmar attracted foreign direct investments of $1.24 billion from 39 enterprises during the April-September period. The majority of the investments were brought into the manufacturing sector. The power sector received $702.4 million from six projects, while one enterprise put $29 million in the real estate sector and two other foreign enterprises made an investment of $378 million in the service sector respectively.

Additionally, the livestock and fisheries sector saw a capital expansion of $1.545 million. The manufacturing enterprises and businesses that need a large labour force are prioritized to create job opportunities for the local community, according to Myanmar Investment Commission. Although some labour-intensive enterprises faced financial hardship amid the COVID-19 negative impacts and the political changes, the industry is now returning to normal after the COVID-19 vaccination program for the workers, as per the HIS Markit’s September report.

In a bid to boost factory productivity with a healthy workforce in the garment industry, Mobile Medical Check to garment workers took place in Yangon and Nay Pyi Taw, supported by UNICEF Myanmar. Moreover, Myanmar Garment Manufacturers Association has organized Labour Law Awareness and WCC Training since July 2022, with the support of UNICEF Myanmar. It aims to provide the soft skills needed for industrial development and create a better workplace for garment workers.

Additionally, the association will be launching the voluntary labour compliance assessment-VLCA Online System in November 2022. Myanmar’s manufacturing sector is largely concentrated in garment and textiles produced on the Cutting, Making, and Packaging basis, and it contributes to the country’s GDP to a certain extent. Myanmar has drawn foreign direct investment of more than $647.127 million from 49 enterprises in the past mini-budget period (October 2021-March 2022). Of them, 40 foreign enterprises put investments in the manufacturing sector, pumping an estimated capital of $202.667 million. 

Source: The Global New Light of Myanmar