The value of Myanmar’s iron and steel imports for the construction sector is valued over US$893.8 million in eight months of the current fiscal year 2019-2020. Additionally, $386 million worth iron and steel products are also imported during October-May period. At present, Myanmar’s steel demand is estimated about 2.5 million tonnes per year, and 92 per cent of which are imported. The demand is likely to grow up to 5.4 million tonnes per year in 2030. If Myanmar can fulfil the requirements of local steel consumption and focus on import substitution, the steel industry will strategically contribute to the nation’s interest.
Steel consumption includes in calculating economy growth index. 11 executive members of MSA established MSA Public Company Limited and they are making efforts to set up iron and steel industrial zone, to reduce the outflow of US dollar, effectuating the development of steel industry and assisting in the country’s infrastructure building. Studies for implementation of iron and steel industrial zone project are underway in Ayeyawady and Taninthayi regions and Rakhine and Mon states. The project is slated to commence within three to five year after completing studies, he continued. The government needs to support the steel sector by granting tax relief and land rights, controlling illegal import, making anti-dumping law come into the effort and formulating steel policy, according to the MSA.
Steel industry is pivotal in industrial infrastructure building. This project needs to be implemented for prospects of the country’s economy. The MSA will move forward to the development of industry standards which are compatible with the country and the emergence of steel library and steel laboratory. The association will cooperate with the international organizations to grow the steel sector, he added. China is the main supplier for Myanmar’s steel market. Iron and steel are also imported from India and the Republic of Korea.
Source- The Global New light of Myanmar