Posts in category: TRADING

MYANMAR businesspersons are invited to join the 38th Trade Expo Indonesia, the international B2B-
focused hybrid trade show, that will be held between 18 and 22 October and organized by the Ministry of
Trade, Indonesia, according to the Union of Myanmar Federation of Chambers of Commerce and Industry
(UMFCCI).
The trade show brings up the theme of Sustainable Trade for Global Economic Resilience. Food and
beverages, cloth and textile, chemical, energy and industrial products, digital services, beauty care service,
hospital equipment, healthcare services and home appliances will be showcased. Those enthusiastic affiliated associations, entrepreneurs, potential buyers, importers and investors can register through www.
tradeexpoindonesia.com. For further details, they can contact Ms Irman on Ph: (+62) 8176440307, Email:
irman_dwn@yahoo.com, Mr Matthew Ph: (+62) 821 2246 4727, Email: eston.p2c@kemendag.go.id and Mr
Puja Bastara – Ph: (+62) 811 2228 112, Email: pujabestara@kemendag. go.id. Those who want to attend the
trade show are encouraged to send their name, position, and name of their institution, company or business on
the company letterhead to the UMFCCI’s expo division via Email: itpc. umfcci@gmail.com or dial 01-24-
314344~49 (Ext: 301) at the soonest.

Source: The Global New Light of Myanmar

THE Ministry of Commerce’s Trade Department has announced that producers and exporters in Myanmar
can now take an advantage of preferential tariffs through the Certificate of Origin (CO) Form RCEP. This form is available for products originating in Myanmar and intended for export to Cambodia, Thailand, Brunei, Laos, Singapore, Malaysia, and Indonesia. Authorized traders will be able to enjoy the benefits of preferential tariffs. To obtain the CO Form RCEP, interested parties can apply at the relevant export and import offices and border checkpoints under the Trade Department, as per the established rules and regulations. 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, came into effect in January 2022.

In addition, for manufacturing-related products, traders can obtain approved exporter status through the Online CO Application System (https://onlineco.myanmartradenet.com). Membership in RCEP comes with several trade benefits. The agreement provides tariff incentives based on the development status of each state. Specifically, Cambodia, Laos, and Myanmar have been granted access to preferential tariffs, while Viet Nam receives moderate tariff benefits. Furthermore, the least-developed countries will enjoy additional exemptions as outlined in the United Nations charter supporting the Least-Developed Countries (LDCs).
For example, the agreement grants preferential tariffs to Cambodia, Laos, and Myanmar over other states.
According to the agreement, RCEP members have to grant a 65 per cent customs tariff exemption. However, Myanmar, Cambodia, and Laos are only entitled to give a 30-per-cent tax-exempt to other entities a 30 per cent tax to other entities. Furthermore, ten years after the agreement’s implementation, members are obligated to grant an 80 per cent tax exemption. Myanmar, however, has been given a transition period of up to 15 years for its trade sector. Moreover, the agreement takes into consideration the needs of LDCs and aims to implement commitments while providing customs duty relief. This approach seeks to stimulate trade and investment opportunities, as well as promote participation in regional and global trade and value chains.
Being a member of both RCEP and ASEAN, Myanmar will have access to significant opportunities for
enhancing its international standing. This includes the ability to amend laws, policy frameworks, and regulations to support trade and investment promotion, as well as strengthen the capacities of governmental and private institutions. Additionally, Myanmar’s exports will benefit from expanded access to foreign markets, particularly those in developed and technologically advanced countries such as Japan, the Republic of Korea, Australia, New Zealand, and Singapore. This agreement is expected to attract responsible and accountable large-scale investments into the country.

Source: The Global New Light of Myanmar

The price of butter beans jumped on the back of strong foreign demand in recent days, Mandalay bean traders said.
The Upper Myanmar region is the largest supplier of butter beans. Last year, the price was K180,000-K200,000 per three-basket bag of butter beans, whereas it significantly soared to K300,000-K320,000 per bag depending on the different sizes, according to Soe Win Myint depot. “The butter bean fetches a good price in recent days. The farmers store only seeds for cultivation and the traders are keeping the butter bean stocks in their hands. In addition to foreign demand, there is a high consumption of butter beans locally. They are yearly shipped to China, India, Japan and Europe. Lately, they are mostly purchased by China and India.

The Japanese and European market prefers large sizes of butter beans. It is a winter crop. The demand has grown year over year,” Soe Win Myint elaborated. The butter beans are primarily grown in the central regions of Myanmar, mostly found in Minbu, Sinphyu and Salin in Magway Region, Mahlaing, Taungtha and Natogyi in Mandalay and Gangaw, Kalay, Kalewa, Shwebo and Kabaw Valley areas in Sagaing Region. 

Source: The Global New Light of Myanmar

Yangon market sees a slow-moving trade of Moehtaung chilli pepper variety this month amid low foreign and domestic demand and higher prices compared to that of the year-ago period.
The chilli pepper market is sluggish in early July 2023. Newly harvested Moehtaung chilli pepper from the Kyaukse area has not flowed into the Yangon market. However, traders have been storing the varieties of chilli peppers in cold storage. They are expecting a high price.
A new supply of Moehtaung chilli pepper was seen in the Yangon market on 24 June 2022. Yet, there is still no new stock inflow as of 7 July 2023, an owner of a chilli pepper warehouse located on Seinpan Street in Bayint Naung told the Global New Light of Myanmar.
Nonetheless, the new Moehtaung chilli pepper entered the Mandalay market at K15,000 per viss.
The prices stood at K13,000-15,000 per viss of chilli pepper (long chilli pepper and Moehtaung chilli pepper varieties) on 7 July 2023. Bell peppers supplied by Sinphyukyun and Delta regions and processed in cold storages fetched K19,000-19,500 per viss. The market is sluggish for now.
The original price of chilli pepper is higher in 2023 than that in 2022. Nevertheless, we still cannot expect that the price this year will hit the record high last year, a seller U Zaw Myint told the Global New Light of Myanmar.
Chilli pepper is among the inflated commodities in 2022, prompting people to reduce their consumption. Those traders who kept the stocks in hands reaped a handsome profit last year.

Source: The Global New Light of Myanmar

ACCORDING to data from the Ministry of Commerce, there has been an improvement in cargo transport
activities in less than five months since the opening of the China-Myanmar border identified as the Ruili border. The China-Myanmar Ruili Border, which was opened on 8 January 2023, saw an increase of 7.4 per cent in export and import of 5.707 million tonnes compared to the same period of the previous year. Trade through the Ruili border has recovered in the first five months of this year, and since the opening of the border, more than 3,500 people have been entering and exiting the border every day.
Export types increased from 184 in the same period last year to 1,698 this year, and the number of foreign
trade enterprises that received trade volume increased from only 29 last year to 545 this year, according to Ruili Customs Department statistics. In addition, the Department of Trade under the Ministry of Commerce in Myanmar issued an announcement on 23 June that the banking system will be implemented in the Myanmar- China border trade starting from 1 August 2023.

According to the statement, Myanmar-Thailand border trade issues have been handled through the banking system since 1 November 2022, as an initial step, and on the second step, Myanmar-China border trade will be operated using the banking system from 1 August. When applying for an import licence, companies must submit the original bank statement and the credit advice issued by the relevant bank to the Trade Department so as to show that the income from exports (or other income) has been entered into the bank account (income entered after 1 January 2023 only) or purchased from a local bank. Thenthe department will verify the amount submitted by companies and issue an import licence that does not exceed the balance of the bank account. In doing so, import licence applications that have been applied for until 30 August are not valid. Importing goods with import licences that have been issued before that date must be completed before 31 August; if not, the import licences will be invalid.

Source: The Global New Light of Myanmar

The Ministry of Commerce has announced that all import license applications for imports from the border will be allowed only through the non-automatic licensing system, as it is necessary to verify export income and other income evidences.

Seeking Import licenses through automatic licensing and non-automatic licensing systems on Myanmar Tradenet 2.0 platform is available from 22 June, according to the news bulletin (9/2023) released by the Trade Department under the Ministry of Commerce.

Having digitized the licensing system, import licensing for certain lines (1,525 lines) via seaborne trade will be automatically passed on to the system. According to that notification of the Ministry of Commerce, for seaborne trade, commodities lines that did not require import licenses before are mandatory for import licenses under the non-automatic import licensing process after 60 days from June 22.

Additionally, for imports via the border, only a non-automatic licensing system will be exercised amid the scrutiny of export earnings and other income documents. Those commodities that did not need import licenses before will be allowed to be imported with licenses after 30 days from today.

Total trade volume of Myanmar from April to March 2022-2023 FY is U.S $ 33.925 billion where last year trade volume was U.S $ 30.351 billion.  During 2022-2023 FY, it earned more than U.S $ 3.573 billion from foreign trade in compare with the same period last year.

Source: Daily Eleven

The wholesalers are required to submit registration for rice storage for above 5,000 baskets of paddy and 1,000 rice bags (over 50 tonnes) by 26 June 2023 at the latest, Myanmar Rice Federation released a notification on 21 June.
Under the guidance of the Ministry of Commerce, MRF has been making efforts and participating in the development of the rice market, systematic registration for rice storage, fair market and price stability as the role of the private sector.
MRF stated that digital registration service through Online registration (MyRO) is underway to facilitate the registration process.
While the MyRO online registration system is being set up, trial operations of warehouse storage situations will be conducted in Nay Pyi Taw Union Territory, Yangon, Ayeyawady, Bago and Mandalay regions in June and July 2023. The MRF asked those traders to submit a complete registration form by 26 June 2023 at the latest through export@mrf.com.mm/ or Viber No 09.400067240 or to the office of the MRF in person.
The traders must create a warehouse inventory list to track the stocks. The Department of Consumer Affairs and the MRF will go on an inspection tour of the warehouses as a public-private partnership.
The companies are also notified to fill in the registration form according to the stock information of their business partners (millers and rice traders) in other regions.
Those traders who store above 5,000 baskets of paddy and 1,000 rice bags (over 50 tonnes) are included in this registration. Those farmers working on a small scale and the retailers holding hundreds of rice bags in their hands are not entitled to this notification, a rice seller highlighted. The administrative committee of the MRF also notified that trial operations to collect the warehouse storage data are free of charge. 

Source: The Global New Light of Myanmar