Electricity price hikes set to hit marine exports
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Exports of marine products will be adversely impacted by increased electricity charges, said Dr Toe Nanda Tin, vice-chairperson of the Myanmar Marine Producers and Exporters Association.
In fiscal year 2013-14, the total earnings from marine exports amounted to US$536.27 million, falling short of the targeted $700 million.
“Even without any power [price] hikes, our exports fell short by $112 million of the target,” Dr Toe Nanda Tin
“ If electricity costs increased by 50 percent, it will be the worse for us. Can the government accept it?
“If they do, all the SMEs [small and medium enterprises] will collapse. Without exports, can the country survive? Currently, we have more imports than exports.”
Myanmar’s marine exports set a record $652.84 million in FY 2012-13. Then it fell by $116.57 million the following year.
The total export volume of marine products was just over 340,000 metric tonnes for the last fiscal year, a more than 30,000 tonne reduction from the FY 2012-13.
At the same time, exports of fresh water fish yielded just over $86 million against the targeted $120 million.
“In view of power hikes, production costs soar, making our products uncompetitive for exports,” a marine exporter said.
“The scarcity of marine resources exacerbate the problem, putting additional pressure on export capability.”
Business forum to discuss the private sector
The private sector Myanmar Business Forum will be held in July, it has been revealed.
During a meeting between President Thein Sein and businessmen in February Thein Sein instructed the formation of the MBF.
The forum – in which Thein Sein will chair – is meant to allow businessmen to voice their grievances and outline their activities.
In turn, the government will tackle their problems and help the sector.
“Our country needs 90% growth in private sector to develop,” said Zaw Min Win, vice-chairperson of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).
“We’re planning to hold the forum in the last week of July and to present the gist of Myanmar 2014 business proposals.”
The MBF will draft laws and bylaws while aiming to solve conflicts affecting the economy.
The plenary sessions will be held twice a year.
To form the MBF, the International Finance Cooperation (IFC) will lend know-how support to the UMFCCI after gaining expensive experience in similar forums elsewhere.
Asean countries such as Laos, Cambodia and Vietnam have held similar forms.
UNIDO to upgrade fish factories
The United Nations Industrial Development Organisation (UNIDO) will help upgrade eight Myanmar fish product factories to licence exports for European Union countries and the United States.
Tin Hla, an advisor to the Myanmar Fishery Products Processors and Exporters Association, said that at present there were 116 fishery product factories, most of which export to China.
“Eight factories will be upgraded by UNIDO, which is under the United Nations, in order to make them more advanced than they are now,” Tin Hla said.
“They will be standardised to standards of the factories exporting to EU. They will mainly export to EU and United States.”
Twenty of the 116 factories processing fish products have a permit to export products to the EU, according to the Fisheries Department.
