Posts in category: TRADING

Over US$ 1,174 million worth of garment products were exported in the second quarter of the 2021-2022 FY, according to the Ministry of Planning and Finance. The garment products, ordered from Japan, China, South Korea, and the EU member nations, were made locally through the CMP contract system.

Of 10 countries where locally-made garments were exported, garments worth $ 930 million were exported to Germany, $ 323 million to the UK, $ 294 million to the Spain, $ 266 million to France, $ 158 million to Denmark, $ 157 million to Italy, and $ 145 million to the Netherlands, respectively.

In addition to major exports such as rice, beans, and corns, garment exports under CMP system is the largest. Within the last five years, garment exports have more than quadrupled, and the garment sector was the most developed sector. Myanmar received $ 842.6 million from the garment exports in the second quarter of the 2020-2021. In the second quarter of the 2021-2022 FY, additional $ 332.2 million was made compared to the previous fiscal year, according to the statement of the Ministry of Planning and Finance.

Source: The Global New Light of Myanmar

Until 3 June of the 2022-2023 Financial Year (FY), Myanmar’s seaborne trade reached US$ 4,345.852
million, an increase of $1,088.440 million from the same period last year, according to the Ministry of
Commerce.

Export by sea imports of trade increased from the previous financial year to a total of $3,257.412 million in the last 2021- 2022 financial year. Exports in the current fiscal year Imports and exports amounted to $4,345.852 million.

There are nine ports for seaborne trade in Myanmar, and more than 150 cargo ships have docked in Yangon port alone in the past five months, according to a statement from the Myanma Port Authority. Cross-border trade totalled $1,707.315 million during the 2021-2022 financial year, down from $1,164.925 million as of 3 June of this financial year, down $542 million from the previous year. Maritime trade increased while cross-border trade declined due to the COVID-19 outbreak.

Source: The Global New Light of Myanmar

MYANMAR’s external trade between 1 April and 3 June of the 2022-2023 Financial Year tremendously rose to US$5.5 billion, reflecting a sharp increase of $546 million as against the year-ago period, according to the Ministry of Commerce. The figures surged from $4.96 billion in the corresponding period last year. Myanmar’s export was worth over $2.65 billion whereas the country’s import was valued at $2.85 billion over the past two months.

The border trade dropped owing to transportation difficulties amid the COVID policy and political changes, with a decrease of $542 million as against the year-ago period. However, the maritime trade registered a significant rise of $1.08 billion during the April-May period. Myanmar exports agricultural products, animal products, minerals, forest products, and finished industrial goods, while it imports capital goods, raw industrial materials, and consumer goods.

The country’s export sector relies more on the agricultural and manufacturing sectors. The Ministry of Commerce is focusing on reducing the trade deficit, export promotion, import substitution and market diversification. The external trade stood at $15.5 billion in the past mini-budget 2021-2022 (October-March) period and $29.58 billion in the 2020-2021FY, as per the Commerce Ministry’s statistics.

Source: The Global New Light of Myanmar

The Tachilek trade camp on the Myanmar-Thai border earned $5.476 million in trade exporting $2.590 million worth of products and importing $2.886 million worth of products between 21 and 27 May, according to the data of the Ministry of Commerce.

The figures showed a decrease of $0.296 million in exports and $0.153 million in imports compared to the previous week and the trade volume dropped about $0.143 million. The export volume declines in the coffee bean, rubber, tea leaf, dried ginger and other products and the import volume of finished metal products, construction materials, electricity supplies, oil and gas, iron sheet, tire and inner tube are high.

The country earned more $2.386 million in exports and $1.910 million in imports when compared to the same period of the previous year and the trade volume rose to $4.296 million, according to the Tachilek trade camp. 

Source: The Global New Light of Myanmar

Export prices of the Seintalone mango to China dropped to about 130 yuan per 16-kilogramme basket at maximum and 60 yuan at minimum, said Sai Khin Maung from the Khwanyo fruit wholesale centre. The price of Seintalone mangoes touched a high of 160 yuan per basket at the beginning of the season.
“Those Seintalone mangoes from Yaksawk, Pinphyit, Pindaya, Taungtalone and Taungni Pa-O areas in southern Shan State fetched high price this year. The price hit the maximum of 160 yuan at the beginning of the harvest season. The price went down to the maximum rate of 130 yuan and the minimum of 60-70 yuan per basket,” he said. At present, Seintalone from Katha and Htigyaing areas are increasingly flowing into the market. Yet, transport delays and weak points in handling perishable commodities make some mangoes spoil and rot faster.

This way, the price plummeted, he elaborated. Only a small volume of Shwehintha mango variety is left to be shipped for now. The price is around 100 yuan and below. Additionally, China’s Seintalone mango will enter the market in the last week of June. It is hard for Myanmar mango to acquire market share. Therefore, the traders are advised to observe the market thoroughly before shipment, Sai Khin Maung expressed his opinion. “Market share for Myanmar’s mango will shrink owing to the entry of China’s Seintalone mango at the end of June. Traders have to closely observe the market condition. Quality and weight evaluate the price. If fresh mango meets quality criteria, they will be offered high price in China’s market,” he added.

Mango growers slashed agricultural input costs and caused quality degradation during this mango season. Therefore, some mango had postharvest diseases such as stem-end rot and black spot in the fruit. Consequently, Seintalone mango received a lower price in China due to poor quality, and some traders cannot cover the general cost. Although there are about 200 mango varieties in Myanmar, Seintalone, Shwehintha, Padamyar Ngamauk, Yinkwe and Machitsu varieties are primarily and grown. The foreign market prefers Seintalone varieties. Ayeyawady Region possesses the largest mango plantation acres, having about 46,000 acres. Bago Region is the second-largest producer with 43,000 acres and Mandalay has 29,000 acres of mango. There are over 24,000 acres in Kayin State, over 20,400 acres in Shan State and over 20,000 acres in Sagaing Region, according to the association. 

Source: The Global New Light of Myanmar

Myanmar’s cattle export to China stopped for over one and a half years, said U Soe Naing, chair of the Mandalay Region Cattle Exporters Association. The official market of Myanmar’s live cattle export to China has been suspended since late 2020. “The official market came to an abrupt stop in late 2020. Myanmar has halted the live cattle trade. China does not give the green light for live cattle trade,” said U Soe Naing.
Nonetheless, the black market of live cattle is booming in border areas. The cattle seen in China’s border areas originate from Myanmar. The cattle are daily traded on the black market.

For legitimate trade, China permits live cattle import only after ensuring the cattle are free from 20 diseases including foot and mouth disease, along with vaccination certificates, health certificates, and farming registration certificates. Those import criteria do not matter on the black market. Myanmar’s live cattle export relies heavily on the China market due to a good price although Myanmar has other external markets such as Laos, Thailand, Malaysia and Bangladesh. The authorities concerned need to regulate the market and coordinate the needs to generate revenue and increase the income of the cattle farmers and traders. Live cattle export was allowed in late 2017, with a view to preventing illegal exports, creating more opportunities for breeders and promoting their interests.

According to the 2018 cattle census, there are 11.5 million heads of cattle in the country, with 1.8 million buffaloes and 9.7 million cows and bulls, according to the Ministry of Agriculture, Livestock and Irrigation. Additionally, about 1.1 million cattle are mature enough to be placed on the market per year. About 400,000 cattle are required for local consumption, while the remaining are sent to export markets. The Ministry of Agriculture, Livestock and Irrigation will also strive for investments in dairy farming and value-added production businesses. Myanmar shipped US$360 million worth of animal products including cattle to the external markets in the 2018-2019 financial year. The value of animal product exports dropped by $100 million in the 2019-2020 financial year as against a year-ago period, following the negative impacts of the COVID-19.

Source: The Global New Light of Myanmar

Myanmar exports about 200,000 tonnes of rice per month and expects to export two million metric tons during this financial year by cooperating with partner organizations, according to the Myanmar Rice Federation (MRF). The value-added rice is mainly exported to the European market. Although there is no impact on foreign exchange, it affects the rice export to a little extent and so officials make arrangements to overcome certain challenges. Myanmar exports rice to the EU, China, some ASEAN countries and Bangladesh.

There is broken rice demand for export, and the bran and broken rice are provided for the local livestock industry and breweries. Myanmar’s broken is exported to the EU and China most and also to Bangladesh. It still needs to maintain the local demand and export volume. In 2021, the country faced difficulties in currency circulation but this year the situation is better than last year and it hits the rice and farming development sector.

The MRF and rice merchants carried out arrangements regarding trade flows, maintaining a balance between the areas that have the surplus and where are in need and leftover rice in regions to achieve stable rice and broken rice market in July and August. As the local rice price was high at K30,000 per bag for high fertilizer prices, transport charges and a decline in rice mill operations. The prices of broken rice and sticky rice were also on the rise and so the officials made arrangements to gain a stable rice market in the monsoon. The MRF is making efforts to ensure rice and broken rice export, local consumption and a stable market and expects to export two million metric tons this financial year, according to the federation.

Source: The Global New Light of Myanmar

Fruits and vegetables are imported into China through the Qin San Gate in Myanmar. On June 1, the Chinese government approved a waiver of goods that can be inspected at the Wanding Valley Orchard in China without the need for further inspection of goods that have been tested for residues and disinfection. In the past, fruits imported from the gates of Kyin San Kyaw Gate in Burma were subject to the COVID regulations at the border. Fruits that have passed the pesticide and disinfection test will be allowed to continue to check out domestic vehicles from the Changhua Fruit Market, and only after passing the medical examination will they be allowed to leave anywhere in China.

“Domestic departure means that cars sold directly from the Chan Ho orchard will be able to leave directly. In the past, you could only leave after a medical examination, ”said Sai Khin Maung. Previously, the mango market suffered losses due to the longer days, but now the mango market has become more active due to the easing. “In the past, you could only leave after a medical examination,” he said. Because it takes days. Two or three days have passed. Due to these days, the quality of mango products was low. It’s a lot faster now. The market situation is that fresh mangoes are cheaper, ”said Sai Khin Maung.

In China’s Wandingchang Ho Fruit Market, depending on the quality, gold, A diamond costs between 80 and 140 yuan each, compared to the same period last year. “The situation is no different from last year,” he said. It has to be done in the midst of difficulties. Various adventurous challenges have to be done. Agricultural input costs are higher than last year. This year is like this. Just like last year. During the COVID period, we had to work in the midst of difficulties. 100% is not good at all. It is a difficult time. And people who dare to work will benefit. The main thing is the quality of the fruit, ”said Sai Khin Maung.

At present, an average of 10 to 15 trucks loaded with mangoes enter the Northeastern Gate Public Company Limited Fruit Market in the 105-mile trade zone every day, and the mango market in Myanmar is a bit dynamic depending on the quality of mangoes, with the rapid departure of domestic goods from China’s Changhua Fruit Market, according to mango growers. As a result of the easing, the entry and exit points at the border crossing have risen slightly, with an average of about 20 Burmese trucks leaving for China, and about 20 trucks re-entering from China, with an average of 70 to 80 trucks a day, including unloaded trucks. “In China, I think the war will be fought according to the rules,” he said. If it’s fast, it’s not that fast. 

Now the truck is getting in and out fast, but it is still seven or eight days away. But it went a little faster. But it is not significant yet, ”said Maung Sein, in-charge of Shwe Lwe In Stadium. Many lockdowns are being eased in China. Traders said that while the unloading of Burmese trucks was being arranged and the departure arrangements were being made, and the beans being shipped in containers were easy to get in and out of, but the cost of returning Burmese trucks was about 1,500 yuan and about 25 lakh unnecessary extra costs on the Burmese side. Combined with the legal costs and the undesirable unnecessary extra costs, the average cost of a truck is around 25 lakhs. A trader in Muse said the costs could ultimately have a huge impact on consumers and could lead to higher commodity prices, prompting a thorough investigation into the need to facilitate not only exports but also imports.

Source: Daily Eleven

The Kawthoung-Ranong border post reopened on 1 June after more than two years of closure. Myanmar and Thailand have agreed to allow the people from the two countries to stay two-night three days with a border pass in Ranong, a town in southern Thailand.

Holders of PV passports, those who are going to study in Thailand, and those who have had a three-month visa from the Thai Embassy in Yangon are now able to go to Thailand through Kawthoung. As a travel expense, THB 500 for a boat fare from Kawthoung to Ranong, K300 for a stamp in Myanmar and THB150 for Thailand.

Passport holders will not be required to pay THB2,000 as the deposit, while those who will visit Thailand for seven or 15 days will be required to pay the deposit and they will be able to withdraw it when they arrive back in Kawthoung, according to Ma Win Yi, a Ranong resident. On 24 May 222 Myanmar workers were sent to Thailand under the MoU system through the Kawthoung-Ranong border.

Source: The Global New Light of Myanmar

Myanmar exported over 1.6 million tonnes of corn to the external market between October 2021 and May 2022, said Chairman U Min Khaing of the Myanmar Corn Industrial Association. Out of 1.6 million tonnes, over 700,000 tonnes of corns were delivered through sea trade. “The sea export was earlier sluggish. This year, over 700,000 tonnes of corns were exported through sea trade,” he told the GNLM. Myanmar conveyed corns to Thailand and China through border posts and the corns are shipped to the Philippines, India and Viet Nam through the sea route.

At present, the inventory is low in the domestic market and only 700,000 tonnes of corn remain for exports, U Min Khaing continued. “The production declined this year. Meanwhile, export volume via sea trade has increased this year. This is why the inventory is quite low. Only 600,000-700,000 tonnes of corns are left for exports,” U Min Khaing told the GNLM. The prices stood at K1,100 per viss (a viss equals 1.6 kilogrammes) in the Yangon market and FOB prices were approximately US$340-360 per tonne, according to the Yangon Region Chambers of Commerce and Industry (Bayintnaung).

Myanmar Corn Industrial Association targeted to export approximately two million tonnes of corn during the current corn season (October-September). Myanmar exported 2.3 million tonnes of corn to foreign trade partners in the 2020-2021 financial year. The majority of them were sent to Thailand. At present, corn is cultivated in Shan, Kachin, Kayah and Kayin states and Mandalay, Sagaing and Magway regions. Myanmar has three corn seasons — winter, summer and monsoon. The country produces 2.5-3 million tonnes of corn every year.

Source: The Global New Light of Myanmar