Yangon Port handles 460+ container vessels in 9 months

by LOGISTICS

A total of 464 container vessels arrived at the Yangon Port in the past nine months (Jan- Sept) 2024, the
Myanma Port Authority announced. Myanma Port Authority stated that 49 vessels in January, 53 in February, 55 in March, 50 in April, 52 in May, 50 each in June, July and August and 55 in September called at Yangon Port. This month, 52 vessels are slated to enter the port in October.

Yangon Port handled 629 container vessels in 2023. According to the Myanma Port Authority’s statement
on 22 June 2022, the international ocean liners can now access the inner port thanks to the draft extension.

After the new navigation channel (Kings Bank Channel) accessing the inner Yangon River was found, the
draft extension work was accelerated. The port can now handle larger ships. The container vessel MV SITC
Zhaoming (185.99 metres LOA, 35.25 metres Beam, 29,232 GRT and 2,698 TEUs) of Hong Kong-based SITC
Shipping Line docked at Asia World Port Terminal for the first time on 22 June, the largest ship that AWPT Port handled.

Since May 2021, ship arrivals at terminals in Yangon have increased again. Three new container vessels
by Maersk Line Myanmar (SeaLand Maersk) started to run to fulfil the seaborne trade requirements in 2021. Earlier, the larger ships had draft problems preventing sailing on the Yangon River. With the draft being extended up to 10 metres, the larger ocean liners can enter the Thilawa Port.

Source: The Global New Light of Myanmar

YSX share trading plunges in Sept

by TRADING

The grand trading value of the eight listed companies on the Yangon Stock Exchange (YSX) dropped to K920.7 million with 382,286 shares traded in September from a record high of K3.35 billion with over one million shares in August 2024, according to the monthly report released by the exchange.
The equity market registered trading values of K1 billion with 425,102 shares in January 2024, K693 million with 253,178 million in February, K1.34 billion with 560,687 shares in March, K473 million with 177,812 shares in April, and K1.55 billion with 603,906 shares in May respectively. The trading value hit a record high of K1.7 billion, with 593,392 shares traded in June. Then, the value fell sharply to K974 million, with 321,007 shares traded in July.
The trading value in September is K2.43 billion lower than that of August.
At present, shares of eight listed companies — First Myanmar Investment (FMI), Myanmar Thilawa SEZ Holdings (MTSH), Myanmar Citizens Bank (MCB), First Private Bank (FPB), TMH Telecom Public Co Ltd (TMH), the Ever Flow River Group Public Co Ltd (EFR), Amata Holding Public Co Ltd. (AMATA) and Myanmar Agro Exchange Public Co Ltd (MAEX) are traded in the security market.
FPB topped the trading with 255,623 shares worth K466 million, followed by 71,883 shares of MTSH worth over K247 million, 10,092 shares of FMI worth over K89 million, 16,205 shares of MAEX worth over K54 million, 20,235 shares of EFR worth K34.5 million, 5,850 shares of TMH worth over K16 million, 1,891 shares of AMATA worth K8.5 million and 507 shares of MCB worth K4.48 million respectively last month.

Source: The Global New Light of Myanmar

New tourist destinations identified in Kayin State

by HOTEL & TOURISM

THE Kayin State Hotels and Tourism Department identified new tourist destinations in the region, including Padonma Cave, PhaungdawU Pagoda, and a waterfall, which will be developed as new travel attractions in Hpa-an City.

The newly developed destination, Padonma Cave, is located in the mountain far south of Tawpon Village, approximately six miles and two furlongs from Hpa-an, and it takes just over 15 minutes to travel by car. Natural water outlets inside Padonma Cave ensure that the water does not dry up, and fish are released intothe cave on New Year’s Day.

In addition, authorities conducted ground surveys to ensure that tourists can visit PhaungdawU Pagoda and the waterfall, which are located in Kyauktaung Village, Hlaingbwe Township, about 24 miles from Hpa-an. It takes about 45 minutes to travel by bus from Hpa-an, thanks to safe and reliable transportation available in all seasons.

Between 200 and 300 visitors come to PhaungdawU Pagoda and the waterfall every day, and rice with vegetable curries is served daily to the tourists. Currently, there are 22 tourist destinations in Kayin State and 60 hotels and guesthouses licensed by the government, with a total of 2,159 bedrooms.

Source: The Global New Light of Myanmar

Companies permitted to store up to 50 EVs in bonded warehouses

by ENERGY

Each company is entitled to keep 50 electric vehicles (EVs) in the bonded warehouse at the maximum, according to the notification of the National-level Leading Committee for the Development of Electric Vehicle and Associated Businesses issued on 8 August 2024.
The decision was made during the committee meeting held on 11 July 2024.
Under the guidance of the committee, the importation of EVs and related components, operation of city taxis and buses and construction of charging stations are being scrutinized and permitted during the pilot project period. Earlier, companies were allowed to store EVs in the bonded warehouse as per showroom quota prior to having import licences.
The companies need to seek import approval for EVs from the committee that will forward its approval to the Ministry of Commerce and obtain permits to store EVs in bonded warehouses along with import permits prior to shipment hereafter. The committee will inform the compliance of the bonded warehouses’ standard operating procedures working committee and submit bills of landing documents mentioning the bonded code to the Myanmar Customs Department before arrival at ports. At that time, the Customs Department will screen documents. The committee has notified those companies that pass the aforementioned steps that they are allowed to store 50 EVs at a maximum.
The companies need to send an acknowledgement letter of that notification unfailingly to the secretary of the committee by 15 August 2024.

Source: The Global New Light of Myanmar

MoC collaborates withUMFCCI to export maizeand rice, boosting economy

by ECONOMY

According to reports, a total of 5,400 tonnes of maize were exported from Min Htet Min Port (MHM), along with 2,700 tonnes from Shweme Jetty (SMJ) and 4,850 tonnes of rice from Wilmar International Port Terminal. This export initiative, conducted in collaboration between the Ministry of Commerce and the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI), aims to bolster the country’s economy.
Additionally, on 15 May, further exports included 71,900 tonnes of maize and 6,000 tonnes of rice from Sule Port Wharves (SPW), 53,500 tonnes of maize from Myanmar Industrial Port (MIP), 58,400 tonnes and 12,500 tonnes of rice from Ahlon International Port Terminal (AIPT), 29,500 tonnes of maize from The Myanmar Terminal-TMT, 5,400 tonnes of maize from Min Htet Min Port (MHM), 11,000 tonnes from Yangon International Gateway Terminal (YIGT), and 2,700 tonnes of maize from Myanmar Five Star Line (MFSL). These exports are set to continue.

Source: The Global New Light of Myanmar

Republic of the Union of MyanmarAnnouncement of Central Committeeon Prevention, Control and Treatment ofCoronavirus Disease 2019 (COVID-19)

by COVID

IT is necessary to control Coronavirus Disease 2019 (COVID-19) infection continuously. So, it is now announced that public requests, orders, notifications and directives (except for easing restrictions) released by Union-Level Organizations and Union Ministries up to 30 April 2024 have been extended to 31 May 2024 for prevention, control and treatment on Coronavirus Disease (COVID-19).

Source: The Global New Light of Myanmar

Monthly Business Brief, April 2024

by Business Article

Economy

Gold price records hike up to K.4.8 million per tical

Domestic gold price persistently surged to K 4.8 million per tical (0.578 ounce or 0.016 kilogramme). Discussions are underway by Monitoring and Steering Committee on Gold and Currency Market to establish quality criteria and base prices for gold to ensure systematic trading in the gold market. The Committee comprises authorities from The Central Bank of Myanmar (CBM), Yangon City Development Committee, the Department of General Administration and law enforcement agencies.

Banking and finance

Kyat depreciates to K 3,900 against US dollar and CBM interventions

 Kyat weakened to K 3,900 against US dollar at end March at the over the counter market.  The Central Bank of Myanmar (CBM) sold a total of 14 million baht to the export and import businesses via an online trading platform on 27 April. Likewise, the CBM has also sold US$3 million, 2 million yuan and 40 million baht to the export and import businesses on 3 April. CBM revoked the licences of seven money changers and suspended those of 19 money changers for six months in April as they failed to comply with the rules, guidelines and directives.

Trade

Myanmar foreign trade at US$30 billion in FY 2023-2024, $4 billion less than last year

Myanmar total foreign trade in 2023-2024 (April- March) was $30 billion in which $ 14.6 billion for export and $ 15.4 billion import. The trade was $ 4 billion less than $ 34 billion in 2022-23. Share of overseas and border trade in 2023-24 stood 74:26 ratios. Myanmar exported $ 8.8 billion manufacturing goods and $ 3.8 billion agricultural products. Myanmar bagged US$1.48 billion from over 1.76 million tonnes of pulse exports in year 2023-2024. Myanmar’s seaborne trade registered over 1.6 million tonnes of pulse exports worth $1.34 billion, whereas over 157,409 tonnes of pulses worth $141.38 million were sent to the neighbouring countries through border trade. Myanmar shipped fishery products worth US$714.89 million to foreign trade partners in 2023-2024, although it was shrank from $765.94 million registered in the FY 2022-2023. Myanmar exports fishery products to Japan, European countries, China and Thailand through maritime trade channels and also delivers fish, shrimp, prawns, crab and other seafood to neighbouring countries via border posts.

Trade Dept approves container shipping for Myanmar-Thailand border trade

The Trade Department under the Ministry of Commerce released a news bulletin 1/2024 on 11 April that it allows to container shipping to and from Yangon-Kawthoung-Ranong for Myanmar-Thailand border trade. Two jetties in Shwe Pyi Tha Township in Yangon are allowed to provide temporarily for international cargo port services in order to ensure a fast and smooth trade flow.

Investment

Almost US$ 661 million of FDI with 71 projects entered to Myanmar in FY 2023-24 in which power sector shared the top position at $ 375 million with 3 projects followed by manufacturing sector at $ 151 million with 60 projects.

According to PTTEP’s announcement, Chevron, a US company officially withdrew from Yadana Gas project in early April. Chevron share was moved to PTTEP (63% share) and MOGE. Axiata, a Malaysian telecom company sold its shares to  EDOTCO Myanmar with $ 150 million and left from Myanmar. EDOTCO Myanmar is a major business which implements over 3,000 telecommunication towers in Myanmar.

Manufacturing

11 factories produce 8 million tonnes of cement annually

Eleven cement factories produce over eight million tonnes of cement annually. The private sector operates 16 cement factories, while the State sector occupied three. If all factories are operational in full capacity, they can collectively produce over 16 million tonnes of cement a year. Annual local consumption stands at approximately 10-11 million tonnes so that local production can meet two-thirds of the local demand.

Downturn in production eases across Myanmar, but outlook worsens according to PMI

According to Myanmar Purchasing Manager Index (PMI) , the first quarter of 2024 ended with a further deterioration in operating conditions across Myanmar’s manufacturing sector.  However, the downturn across the sector moderated further, as the latest rates of contraction for output and new orders continued to weaken since last December.   As a result, while buying activity remained in retrenchment mode, the downturn here also moderated. AlthoughPMI index in March was 48.3, the highest in last 5 month period, the manufacturing sector is a weaker deterioration due to weak output and falling employment. It is worsen in April due to electricity shortage especially in industrial zones in Yangon where electricity is available only 4 hours a day. Manufacturing firms face high operation cost with generator and are difficult to run the business.

COVID

  • In order to continuously control the infection of COVID-19, the rules and restrictions have been extended until the end of May 2024.

Tender invitation for cateringservices on Yangon-Mandalay trains

by SERVICES

According to Myanma Railways, under the Ministry of Transport and Communications, tenders will be invited for catering services for a one-year contract (from 1 May 2024 to 30 April 2025) for the restaurant cars on trains running between Yangon and Mandalay.
Tender proposal forms and terms and conditions can be obtained from the business manager’s office in Mandalay (Region 3) and Yangon (Region 7) from 4 to 26 April.
An open tender will be held at the meeting hall of the Myanmar Railways head office, located on the first floor of the Nay Pyi Taw Railways Station, at 1 pm on 29 April.

Source: The Global New Light of Myanmar

Manufacturing sector exports surpass US$8.8 bln in FY2023-2024

by MANUFACTURING

The export value from the manufacturing sector crossed US$8.8 billion in the financial year 2023-2024, indicating a drop of $2.09 billion compared with that of the FY 2022-2023, the Ministry of Commerce’s statistics showed.
The finished industrial goods export amounted to $10.9 billion in the FY 2022-2023.
By two modes of transport (sea and land border), Myanmar delivers manufacturing goods to foreign markets.
Myanmar exports agricultural products, livestock products, fisheries, minerals, forest products, finished industrial goods, and other goods, while it imports capital goods, intermediate goods, raw materials from CMP garment factories, and consumer goods.
Myanmar has been implementing the National Export Strategy (NES) 2020-2025 in order to bolster exports. The priority sectors of the NES comprise agricultural production, garment and apparel, industrial and electronic device, fishery business, forest product, digital manufacturing and service, logistic service, quality management, trade information service, innovation and entrepreneurship sectors. 

Source: The Global New Light of Myanmar

Monthly Business Brief, March 2024

by Business Article

Economy

National Planning Law and Union Tax Law released

At the end of March, National Planning Law and Union Tax Law were released by the Government. The FY 2024-2025 National Planning Law promulgated on 29th March 2024, the country achieved GDP growth by 3.5% in 2024-24 FY and the growth target will be at 3.8% in FY 2024-25. GDP by composition, the service sector has been the highest composition with 43.5%, and followed Industry Sector by 33.4% and Agriculture Sector by 23.1%. It is targeted to grow 5% in Service Sector, 3.5% in Industry Sector and 1.9% in Agriculture in FY 2024-25.  Tax rates on Special Goods Tax, Commercial Tax and Income Tax are merely as same as last year.

Gold price records hike up to K.4.4 million per tical

With spot gold price climbing over US$ 2,190 per ounce and kyat depreciation to over K 3,900 against the US dollar at end of March, domestic gold price persistently surged to K 4.4 million per tical (0.578 ounce or 0.016 kilogramme).

Banking and finance

Kyat depreciates to K 3,900 against US dollar and CBM interventions

 Kyat weakened to  K 3,900 against US dollar at end March at the over the counter market although The Central Bank of Myanmar (CBM) intervened in the currency market by selling dollar. CBM pumped US$ 18 million, 12 million yuan and 312 million Thai bahts in March. CBM reference exchange rate is still set K 2,100 to a UD dollar. CBM revoked the licenses of six money changers and suspended four money changers to six months as they failed to comply with rules, regulations and directives.

The Central Bank of Myanmar sells foreign currencies to importers via an Online Trading Platform. It allows private banks to sell foreign currencies for petty cash at their exchange counters for people who go abroad to undergo medical treatment, study, and work, aiming at stabilizing currency exchange rates and preventing price manipulation. The dollar transaction was K3,375 per dollar at the Online Trading Platform between the banks and importers/exporters, and the three private banks under the guidance of CBM are selling between US$300 and $500 at K3,100 per dollar as a special plan. CBM warned that some Facebook pages, groups, Apps and websites intentionally spread misinformation and false news and conduct Forex trading without possessing any work licences and action will be taken.

Trade

Implementation of MACCS for Cargo Clearance Processes at Tachilek Border on 22 March 2024

The Customs Department has extended the Myanmar Automated Cargo Clearance System (MACCS) to the Tachilek (Myanmar -Thai border) area on 22 March 2024. This system is currently operational in Yangon and the Myawady border trade. Although MACCS system was practiced in Muse and Chinshwehaw (Myanmar -China border) areas, all border trade activities are suspended in those areas.

Energy

Installation of 14MW solar power system planned for Thilawa SEZ

The Ministry of Electric Power (MoEP) has announced plans to install a solar power system with a capacity of up to 14 megawatts in the Thilawa Special Economic Zone (SEZ) in Thanlyin Township, Yangon Region. Currently, three plants within the Thilawa SEZ have already installed solar systems, generating approximately two megawatts of power. Covering an area of 667.275 hectares (approximately 1650 acres), Thilawa SEZ has attracted investment from 114 companies across 21 countries.

Workshop on Improved Cook Stove Distribution Monitoring held

“Project Monitoring and Evaluation Workshop” under “The Project of CCC Program of Activities for Distribution of Improved Cook Stoves in Developing South and Southeast Asian Countries (Myanmar)” co-organized by the Dry Zone Greening Department of the Ministry of Natural Resources and Environmental Conservation of Myanmar and the Climate Change Centre (CCC) of the Republic of Korea, at Thingaha Hotel in Nay Pyi Taw. During the six year project period in Sagaing, Mandalay and Magwe Regions, it is estimated to distribute 500,000 improved cook stoves, which can save 40 per cent of fuel wood, to 218,678 households in 1,109 villages in six districts. It has already distributed over 438,000 stoves to date and could help reduce over 485,000 tonnes of carbon emission.

COVID

  • In order to continuously control the infection of COVID-19, the rules and restrictions have been extended until the end of April 2024.