trade regime of myanmar (thailand trade)

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Directorate of Trade Ministry of Commerce 1 st November 2013 1

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Page 1: Trade regime of myanmar (thailand trade)

Directorate of Trade

Ministry of Commerce

1st November 2013

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Page 2: Trade regime of myanmar (thailand trade)

Economic Reform Process

National Economic Policy and Basic Principles of Trade

Rule and regulation of importation and exportation

Trade liberalization measures

Major Export and Import

Foreign trade relations

Myanmar integration into ASEAN

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Page 3: Trade regime of myanmar (thailand trade)

Trade - Liberalization and Facilitations

Investment - New FDI Law

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Page 4: Trade regime of myanmar (thailand trade)

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Sustainable development of agriculture towards

industrialization and all round development;

Equitable and proportionate development among

Regions and States;

Inclusive development of entire people;

Improvement of Quality of statistics and statistical

system;

Page 5: Trade regime of myanmar (thailand trade)

1.To formulate and implement trade policy systematically inline with market

economy.

2. To promote export industries.

3.To extend and enhance trade activities not only with regional trade partners

but also with global trade partners.

4. To develop trade environment.

5. To ensure the sufficiency and price stability of essential commodities for

domestic consumption and to fulfill demand of manufacturing sector.

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Page 6: Trade regime of myanmar (thailand trade)

To diversify and extand foreign market by utilizing

natural and human resources effectively and to promote

the export of traditional and value-added products.

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Type of Items given priority to import ;

capital goods

raw materials for essential goods.

goods for Public Health care.

goods support export-led manufacturing sector.

goods support of Import substitution.

Page 7: Trade regime of myanmar (thailand trade)

Control of Import/Export Temporary Act

(1947) was effective up to September 2012.

On 7th September 2012, the Export and Import

Law has been enacted to govern the

export&import business of Myanmar. This law

is administered by the Ministry of Commerce,

from time to time, MOC issues necessary

orders, notifications, directives,

pertaining to all export/import activities.

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Page 8: Trade regime of myanmar (thailand trade)

The authority to issue export/import licensesand permits is delegated to the Department ofCommerce and Consumer Affairs under theMinistry of Commerce (MOC).

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Page 9: Trade regime of myanmar (thailand trade)

License fees and customs duty are not payable on

export of any commodity.

All imports are subject to payment of license fees,

customs duty and commercial tax. Import license fee is

payable on CIF value.

.

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Page 10: Trade regime of myanmar (thailand trade)

(a) Agricultural Products

Niger Oil

Mustard, Mustard Oil

Sun-flower seeds, Sun-flower oil

All kinds of oil-extracted cakes(b) Minerals and Metals

Gold

Diamond

Petroleum

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Page 11: Trade regime of myanmar (thailand trade)

(c) Animal and Animal Products

Ivory

Buffalo, cow, elephant, horse and rare animals

(d) Marine Products

Shrimp bran

(e) Miscellaneous

Arms and ammunitions

Antiques

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Page 12: Trade regime of myanmar (thailand trade)

Liquor

Beer

Cigarette

Prohibited products as per existing laws and

international conventions.

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Page 13: Trade regime of myanmar (thailand trade)

- Fertilizer

- Farm Implements

- Farm Machinery

- Insecticides

- Some medicines and pharmaceutical raw materials for

the purpose of supporting the improvement of public

health.

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Page 14: Trade regime of myanmar (thailand trade)

In order to promote trade, concerned ministries and trade

related associatio are reviewing all possible trade liberalization

on existing trade related rules, regulations and procedures to

be inline with the international trade agreements, particularly

to ASEAN Trade in Goods Agreements (ATIGA) and General

Agreement on trade in goods of WTO.

Ministry of Commerce is acting leading role of removing the

barriers of trade such as liberalizing export/ import licensing

procedures (to facilitate in line with the WTO Import

Licensing Procedures Agreement together with the ASEAN

Guideline on the implementation of import licensing

procedures).

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Page 15: Trade regime of myanmar (thailand trade)

The commodities which were previously restricted to

export such as rice, red sesame seeds and brown

sesame seeds are allowed to export.

Commercial tax previously levied on the export of

rice, pulses and beans, corn, sesame, rubber, fishry

products and some animal products, value added

products of wood, cane, and bamboo are exempted

in order to encourage export.

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Page 16: Trade regime of myanmar (thailand trade)

The import of edible oil, palm oil and fuel which

were previously restricted can now be imported

freely.

The import of motor vehicles is also allowed and

car sale centers are permitted to open for Myanmar

Citizen Companies.

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Page 17: Trade regime of myanmar (thailand trade)

The commodities which are previously not allowed

to be import such as - Mono Sodium Glutamate

(MSG), Soft drinks, Assorted Biscuits, Canned

Food, Instant Noodles can be imported now.

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Page 18: Trade regime of myanmar (thailand trade)

Ministry of commerce already announced Order No

(16/2013) in 28 February, 2013 ,exemption for

obtaining licence on (152) items of export commodities

and (166) items of import commodities .

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Page 19: Trade regime of myanmar (thailand trade)

Natural Gas Pulses & BeanGarmentRice Fishery Products Jade TeakRubber Sesame seedHard Wood

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Page 20: Trade regime of myanmar (thailand trade)

Sr. Items Value ( US Dollar in Million)

1 Natural Gas 3674.546

2 Pulses and Bean 1007.192

3 Garment 705.612

4 Rice 528.017

5 Fishery Products 411.494

6 Jade 330.954

7 Teak Log 330.329

8 Rubber 264.899

9 Sesame Seed 235.734

10 Hard Wood 214.79920

Page 21: Trade regime of myanmar (thailand trade)

Petroleum Products

Motor Vehicles and spare parts

Machines and Machineries

Iron and steel construction material

Iron and steel

Plastic Raw Materials

Palm Oil

Pharmaceutical Products

Vessel and Ship Building Spare Parts

Fertilizer

Cement

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Page 22: Trade regime of myanmar (thailand trade)

Sr. Items Value (US Dollar in Million)

1 Petroleum Products 1697.770

2 Motor Vehicles & Spare Parts 1441.353

3 Machines and Machineries 790.954

4 Iron and Steel Construction

Materials

578.980

5 Iron and Steel 404.757

6 Plastic Raw Materials 310.491

7 Palm Oil 294.411

8 Pharmaceuticals 274.189

9 Vessel and Ship Building

Materials

250.659

10 Fertilizers 171.49322

Page 23: Trade regime of myanmar (thailand trade)

Sr. Fiscal Years Export Import Volume of Trade

1 2010-2011 8861.006 6412.733 15273.739

2 2011-2012 9035.604 9035.060 18170.664

3 2012-2013 9056.239 9371.644 18427.883

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Source: CSO and Border Trade Department

USD in million

Page 24: Trade regime of myanmar (thailand trade)

Sr. Country Export Import Volume of Trade

1 China 2275.103 2864.728 5139.831

2 Thailand 4038.013 840.071 4879.084

3 Singapore 291.816 2533.898 2825.714

4 Japan 409.475 1091.169 1500.644

5 India 1036.864 309.881 1346.745

6 South Korea 282.168 337.906 620.074

7 Malaysia 97.883 360.919 458.802

8 Indonesia 31.537 195.727 227.264

9 Germany 47.776 144.569 192.345

10 Vietnam 81.273 74.821 156.094

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Source: Custom Data and DOBT

USD in million

Page 25: Trade regime of myanmar (thailand trade)

Sr. Fiscal Years Export Import Volume of Trade

1 2008-2009 2628.205 396.444 3024.649

2 2009-2010 3197.876 378.567 3576.443

3 2010-2011 2905.179 709.088 3614.267

4 2011-2012 3823.827 691.139 4514.966

5 2012-2013 4011.610 841.376 4852.986

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Source: Custom Department

Page 26: Trade regime of myanmar (thailand trade)

Natural Gas 3666.71

Fishery Products 106.402

Teak 28.795

Mineral and Ironore 23.054

Broken Rice 19.397

Ground Nut 18.261

Shrimp 15.904

Rice 14.336

Rubber 10.968

Fish Meal 8.769

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USD in

million

Page 27: Trade regime of myanmar (thailand trade)

Seament 143.276

Auto Mobile and Auto parts 62.059

Petroleum Products 52.232

Plastics Raw Materials 50.732

Medicine 33.895

Machine and Machinery Products 29.584

Dry Battery 25.922

Cosmetics 24.749

Tare and Tube 12.576

Mineral (Construction Material) 16.134

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USD in

million

Page 28: Trade regime of myanmar (thailand trade)

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Sr. Border Post Export Import Volume of Trade

1 Tarchilaike 20.645 38.421 59.066

2 Myawaddy 77.613 187.587 265.200

3 Kawthaung 30.059 47.469 77.528

4 Myeik 125.236 28.391 153.627

Page 29: Trade regime of myanmar (thailand trade)

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(1) Trade agreement between Union of Myanmar and

Kingdom of Thailand

(12-4-1989)

(2) MOU on Joint Trade Committee

(2-2-1990)

(3) Border Trade Agreement

(17-3-1996)

Page 30: Trade regime of myanmar (thailand trade)
Page 31: Trade regime of myanmar (thailand trade)

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Page 32: Trade regime of myanmar (thailand trade)

Member of WTO

Member of ASEAN, BIMSTEC, GMS, ACMECS

Myanmar has bilateral trade agreement with the

Republic of Korea, People Republic of China,

Thailand, Bangladesh, India, Pakistan, Vietnam,

Laos, Philippines, Malaysia in the Asian region, and

with six countries in Eastern Europe on the principle

of equality of rights and mutual benefits.

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Page 33: Trade regime of myanmar (thailand trade)

Myanmar believes in trade liberalization and also wants

free and fair trade in the world.

Myanmar was a founder member of the GATT, and a

member of WTO. Our foreign trade policies are

generally governed by the rule-based multilateral

trading system.

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Page 34: Trade regime of myanmar (thailand trade)

Myanmar has signed 4 Border Trade Agreements with its

neighboring countries.

◦ With China in August 1988,

◦ with India in January 1994,

◦ with Bangladesh in May 1994 and

◦ with Thailand in March 1996,

with a view to legalize and normalize the increasing

border trade is an integral part of Myanmar foreign trade.

Myanmar participates in various FTAs in the region, such

as ASEAN FTA, ASEAN-China, ASEAN India,ASEAN-

Japan, ASEAN-Korea, ASEAN-Australia-New Zealand

Regional comprehensive economic programm(RCEP)and

BIMSTEC.

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Page 35: Trade regime of myanmar (thailand trade)

Myanmar as a member of ASEAN, Ministry of Commerceis playing leading role in Free Flow of Goods , ConsumerProtection, Competition Policy within the region. For thispurpose, Ministry of Commerce is working in cooperationwith the Ministry of Finance and Revenue for tradefacilitation , customs procedures, tariff reduction and alsocooperation with Ministry of Science and Technology andMinistry of Health for standard and conformity assessmentmatters and also cooperation with the Ministry ofAgriculture and Irrigation for sanitary and pythosanitarymeasures.

Tariff reduction commitments of Myanmar met the timelineof ASEAN and Myanmar already reduced the 80% of alltariff lines by 2012.

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Page 36: Trade regime of myanmar (thailand trade)

Ministry of Commerce is issuing authority for preferential

Certificate of Origin within ASEAN and its dialogue

partners such as China, Korea, India, Japan, Newszealand

and Australia.

Other preferential certificate of origin such as GSP Scheme

(Form A) given by developed countries , Preferential Tariff

for LDCs by Republic of Korea and DFTP Scheme for

LDCs by India are also issued by Ministry of Commerce.

In contrast, Customs Department is a receiving authority for

the Certificate of Origin from all other ASEAN member

states and partners.

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Page 37: Trade regime of myanmar (thailand trade)

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