More companies invited to export rice to China
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The Myanmar Rice Federation (MRF) has invited more firms to export rice to China in addition to the original nine companies.
The MRF originally sent a list of more than 100 companies to China for scrutiny checks but the Chinese replied that it was difficult to scrutinise so many firms.
The federation then chose nine companies: MAPCO, FRP, Myanmar Rice Mill, Golden Land East Asia, Bayintnaung Business Group, MRDC, Shan (north) SPRDC, Ayeyar Pathein, Rakhine Rice and Paddy.
The exporters will have to pay the costs to return rice that fails to meet the designated marks, the federation said in an announcement.
“China has asked for additional rice exporters. Companies can register at the MRF. The rice quality ordered by China is 25 mark, 35 mark and broken rice,” said Dr Soe Tun, secretary general of the MRF.
Myanmar urged China to buy at least one million tonnes of rice in 2015, and three Chinese companies have each agreed to buy 280,000 tonnes, according to the federation.
In order to export rice to China, Myanmar rice exporters need certificates issued by the China Certification and Inspection Company (CCIC) after inspections.
The export industry had been hard-hit by China's decision in September to crack down on illegal rice shipments from Myanmar.
The situation improved when China allowed the export to resume this year.
Merchants from Muse said that the decision has boosted exports through the border town.
On average, about 4,500 tonnes of rice and 1,500 tonnes of broken rice are exported daily through Muse Trade Camp.
“Seizure of Myanmar rice by Chinese authorities has decreased. Trade slumps when seizures occurred. More than 800,000 tonnes of rice and broken rice have been exported this fiscal year,” said Chantha Oo, vice chairperson of the Muse Paddy Wholesale Centre.
During the 2014-15 fiscal year, border trade between Myanmar and China has increased, with the trade volume reaching a value of more than US$1 billion, according to the Commerce Ministry.
