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Myanmar Textile Industry
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“Overview of Myanmar Textile Industries and
Dr. Aung Kyaw Soe
Textile Industries
Investment Opportunity for Thai Investors”
Date : 4th October, 2012 Bangkok, Thailand
Textile Industries
Ministry of Industry
The Republic of the Union of Myanmar
Outlines
I G hi l B k dI. Geographical Background
II. Foreign Policy
III. Supply Chain Mechanism of Textile Industries
IV. Business Opportunity in Myanmar
V. Foreign Direct Investment in Myanmar
VI Ways to Cooperate with SOES and Private SectorVI. Ways to Cooperate with SOES and Private Sector
VII. Some Necessary Information
VIII. Conclusion
2
I. Geographical Background
Official Name : The Republic of the Union of Myanmar
Capital : Nay Pyi Taw (14 Regions and States)Capital : Nay Pyi Taw (14 Regions and States)
Land Area : 676,577 sq km
Total Coastline : 2832 km
Climate : Summer, rainy and cold season
Border : Bangladesh , China, India, Laos,
Countries Thailand
Religion : Buddhism, Christianity, Hinduism,
IslamIslam
Ethnic groups : 135
Population : 60 Million
Working Age : 37.35 million (62.25 %)
Currency : Kyat 3
II. Foreign Policy
Myanmar has been consistently practicing the independent, active, and
non-aligned foreign policy.
The Foreign Policy is based on the five principles of peaceful co-existence.
Myanmar maintains friendly relations with countries in the world It alsoMyanmar maintains friendly relations with countries in the world. It also
cooperates with international organizations, the United Nations and
regional organizations such as ASEAN.
4
II. Foreign Policy (Cont;)
( ) P liti l f iNewly Democratic Government was formed on 31st, March 2011.
After taking office about 18 months of ago,
(a) Political reforms in myanmar
After taking office about 18 months of ago,
The Parliament, the Judiciary, the Armed Forces, the
national races, Political Parties, Civil societies and
the People at large have been taken tangible
irreversible steps in the democratic transition and
reform processes.
Leaving behind a system of authoritarian
government
Putting in place a democratic government and a
t i bl li t f ll i ti f
“ President U Thein Sein delivered an
address at 67th United Nations
5
strong, viable parliament following a practice of
check and balance
address at 67th United Nations
General Assembly on 27th September
2012.”
(b) Current progress in politics
II. Foreign Policy (Cont;)
Granting of amnesties to prisoners
Coming back with dignity of the exiledComing back with dignity of the exiled
political forces
The successful convening of 2012 by-e success u co e g o 0 by
elections in a free, fair and transparent
manner
The abolition of censorship of media
Freedom of Internet accessMyanmar Parliament House
The establishment of workers’ and employers’ organizations and the increased participation of the
people in the political process
6
Daw Aung San Suu Kyi is now participating in the Parliament as a Member of Parliament and the
Chairperson of the Rule of Law and Stability Committee of the Parliament.
(d) Economic reforms in myanmar
II. Foreign Policy (Cont;)
The five –year short-term plan (draft) from fiscal 2011-2012 to 2015-2016;
Economic goals
Based on nation’s current economic situation, the Government has projected
a 7.7 % annual average GDP growth based on 2010-2011 market prices
a decrease of agricultural sector ration in GDP from 36.4 % to 29.2 %; and an
increase of industrial sector ratio in GDP from 26.0 % to 32.1 % and of services
sector ratio from 37.6 % to 38.7 % , respectively.
a 1.7 fold rise in per capita GDP when compared with the base year.a 1.7 fold rise in per capita GDP when compared with the base year.
Reduce the state’s role in an ambitious list of sectors : education, energy, forestry,
h lth fi d t l i ti i th ti f i t
7
health care, finance and telecommunications an increase the ratio of private
ownership in these sectors as per the international rules and practices.
III Supply Chain Mechanism of Textile IndustriesIII. Supply Chain Mechanism of Textile Industries
8
CottonPlantation Ginning Spinning Weaving Finishing GarmentPlantation Ginning Spinning Weaving Finishing Garment
Y
Ready made wears
FabricYarn
Market
T t l A 203000
Cotton Plantation
Total Acres - 203000
Seed Cotton Production(MT) - 66000
Lint Cotton Production(MT) - 25000( )
Price (US$/1 MT) - 2300 ~ 2400
Lint Cotton QualityDescription Unit Grade-A Grade-B Grade-C
- 2.5 % Span Length (1/32) in 36/32 34/32 32/32
- Fineness (µ g/inch) 3.44-4.55 3.5-4.65 3.55-4.7
- Trash Content % 3~5 5~7 5~10
- Short Fibre % 10.6 11.6 12~15
- Maturity % 1.65 1.68 1.81
Challenges
Lack of high-yield strains
10
No subsidy
No incentives
Ginning Production
44%46%
Ministry of Industry
Cotton Production - 25000 (MT)
44%
10%
46%Private
Other
Complete Ginning Plant
Challenges
Needs to set up more complete
11Double Roller Gin
Needs to set up more complete
ginning plant
Spinning Production Capacity
Sr. Description Ministry of Other Private Total
No Industry
1. Spinning Machines 602 415 85 1102
2. Total Spindle 270720 169320 40800 480840
3. Spinning Production 18254 14029 2902 35185
(MT)
52 % 40 % 8 %52 % 40 % 8 %Challenges
Need to upgrade spinning machineries
12
Low production rate
Sr. Description Ministry of Other Private Total
Weaving Production Capacity
Sr. Description Ministry of Other Private Total
No Industry
1 Weaving Looms 5405 2820 10663 188881. Weaving Looms 5405 2820 10663 18888
2. Weaving Production 70.21 36.63 80.87 187.71
(Million Meter)(Million Meter)
37.40% 19.51% 43.09%
Shuttle loom 88 % 94% 100 %
Rapier loom 11% 2 4% -Rapier loom 11% 2.4% -
Water jet loom - 3.2% -
13
Projectile loom 1% - -
Finishing Production Capacity
Sr. Description Ministry of Other Private Total
No Industry
1. Finishing Factory 2 1 1 4
2. Finishing Production 11.466 9.9 0.92 22.286
(Million Meter)
51.45% 44.42% 4.13%
ChallengesChallenges
Poor quality
Need to upgrade finishing machineries
14
Need to upgrade finishing machineries
(a) Garment factories improvement
Garment
291 300
200
250
300 291 279
142 154
200
300
orie
s
50
100
150
25
142
Fact
o
01994 1999 2000 2004 2007 2011 2012
Year
15
(b) Export CMP basic year on year
800829
800
900
800
669 692
611 630600
700
llion
)
568
412
505
611
400
500
llars
(m
il
257
369331
386 412371
200
300
eric
an d
o
190
0
100
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Am
e
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Year 16
(c) Total export statics of myanmar in 2011
Natural Gas Condensate
Agricultural Products
( ) p y
0.740.21
0.09 0.050.04
4.28
Precious Stones
CMP Product
7.75
4.18 Timber and Forest Products
Marine Products
Mineral Products38.28
8.26
Mineral Products
Industrial Products of Myanmar
Animal & Animal Products
21.10
15.02Foodstuff
Handicrafts & Handmade Products of Myanmar
17
MyanmarOther Commodities
( d ) Total export statistics of myanmar in 2011
18
Ministry of Industry
(a) Textile industries (TI) profile
TI is one of the State-owned Enterprises (SOEs)
Totally equipped with 270720 spindles and 5405 looms
Leading manufacturers of textile clothings and apparels
TI’s operations cover quality enhancement, technology upgrade, production,p q y , gy pg , p ,
marketing and sales of textile products to the local and foreign market
TI’ t t i f i th i it’ lit t til d tTI’s strategic focus is on growth in it’s quality textile products
monitored by Development Center for Textile Technology (DCTT)
19
(b) List of textile factories
1. No(1) Textile Mill (Shwedaung)
N (1) T til F t (M B h)- No(1) Textile Factory (Mayangone Branch)
2. No(2) Textile Mill (Paleik)
- No(2) Textile Factory (Myingyan Branch)
3. No(3) Textile Factory (Sagaing)
- No(3) Textile Factory ( Sagaing Branch)
4. No(4) Textile Factory (Pwint Phyu)4. No(4) Textile Factory (Pwint Phyu)
5. No(5) Textile Factory (Pakokku)
6. No(6) Textile Factory (Sarlingyi)
N (6) T il F ( M B h)- No(6) Textile Factory ( Monywa Branch)
7. No(7) Textile Factory (Myitthar)
- No(7) Textile Factory (Wundwin Branch)
8. No(8) Textile Factory (Pyawbwe)
- No(8) Textile Factory ( Yamethin Branch)
9. No(9) Textile Factory (Kyaukse)9. No(9) Textile Factory (Kyaukse)
10. No(10) Textile Factory (Taungtha)
11. No(11) Textile Factory (Pakokku)20
(c) Location map of textile factories
21
(d) Type of products(d) Type of products
Yarns
7's 100% Cotton Yarn(Open End Rotor Spun Yarn)
10’s 100% Cotton Yarn(Open End Rotor Spun Yarn)
21’s 100% Cotton Yarn(Ring Yarn)
32's 100 % Cotton Carded Yarn (Ring Yarn)32 s 100 % Cotton Carded Yarn (Ring Yarn)
32's 100 % Cotton Combed Yarn
40's 100 % Cotton Carded Yarn
40's 100 % Cotton Combed Yarn
22
Fabrics68 x 62
?? C tt G F b i501/32 x 1/32 ?? Cotton Grey Fabric50
96 x 721/40 x 1/40 Cotton Grey Fabric5096 x 72
??
100 x 541/30 x 1/30 Cotton Grey Fabric48 ??
Printed Fabric
Dyed Fabricy
Jean Fabrics
Knitted Wears
Garments
Sewing Thread
23
Textile Supply Chain Mechanism in Myanmar
Imported Fabric Plantation
SpinningProduction 25000 MT
Cotton Ginning
364.339 million-meter203000 Acre66000 MT
35185 MT
187.71
WeavingProduction
FinishingProduction
22.286Million-meter
million-meter
Garment Manufacturing
24
IV Business Opportunity in MyanmarIV. Business Opportunity in Myanmar
25
(a) Myanmar – US relations
IV. Business Opportunity in Myanmar
Bans on investment and financial services were
lifted earlier.
It would begin to ease a long-standing
import ban on Myanmar.
It l id l k t f MIt also provides a large new market for Myanmar
-made products, which could accelerate the flow
of foreign into the countryof foreign into the country.
Textile Industries could receive a boost from the
latest US measure.“The United States is taking the
ne t step in no mali ing oWashington hopes Myanmar citizens would have
opportunities to sell Myanmar products into US
next step in normalizing our
commercial relationship”Mrs Clinton told the Myanmar President
market.in New York on 26th September 2012. 26
(b) Myanmar – Thailand relations
IV. Business Opportunity in Myanmar (Cont;)
Agreed to speed up the Dawei deep-sea port
project in eastern Myanmar.
(b) Myanmar Thailand relations
Planning to announce the development plan in
November through the three-level mechanism.
Th il d l d t i t MThailand also agreed to assist Myanmar on
human resource development.
Thailand was interested in investing in severalThailand was interested in investing in several
other projects in Myanmar, including the Thilawa
port in the Yangon Region.“Myanmar is proceeding towards
democracy and has Thailand’s
support”Ms Yingluck addressed to the Asia
Society in New York on 26th September
2012.27
(d) Investment opportunities of textile sector in myanmar
IV. Business Opportunity in Myanmar Textile Industries(Cont;)
Cotton PlantationImporting of Quality Assured SeedLand lease for cotton plantation
( ) pp y
Land lease for cotton plantationCotton Ginning
Importing of updated Ginning Machineries for better cleaning systemSpinning
Upgrading of Spinning MachineriesWeaving
Upgrading of Weaving MachineriesFinishingFinishing
Set up of a large number of new finishing plantsKnitting
Set up of a large number of new Knitting FactoriesSet up of a large number of new Knitting FactoriesGarment
High Demand Cheap Labour
28
Generalised System of Preferences (GSP)US sanction will be eased
V. Foreign Direct Investment In Myanmar
29
V. Foreign Direct Investment
(a) Foreign investment of permitted enterprises as of (31/8/2012) (by Sector)
(US$ in Million)
Sr Permitted Enterprises
(a) Foreign investment of permitted enterprises as of (31/8/2012) (by Sector)
SrNo Particulars
NoApproved %Amount
1 Power 5 19067.498 46.402 Oil and Gas 113 14181.972 34.513 Mining 66 2814.36 6.854 Manufacturing 179 1830.131 4.45
l d5 Hotel and Tourism 45 1064.811 2.596 Real Estate 19 1056.453 2.577 Livestock & Fisheries 25 324.358 0.798 T t & C i ti 16 313 906 0 768 Transport & Communication 16 313.906 0.769 Industrial Estate 3 193.113 0.4710 Agriculture 9 182.751 0.4411 Construction 2 37 767 0 0911 Construction 2 37.767 0.0912 Other Services 6 23.686 0.06
Total 488 41090.806 100.0030
V. Foreign Direct Investment(Cont;)
(b) Foreign investment of existing enterprises as of (31/8/2012)(by sector)
(US$ in Million)
SrParticulars
Existing EnterprisesA d
(b) Foreign investment of existing enterprises as of (31/8/2012)(by sector)
No ParticularsNo Approved %
Amount1 Oil and Gas 62 13474.728 43.382 Power 4 13037 498 41 972 Power 4 13037.498 41.973 Mining 8 2289.162 7.374 Hotel and Tourism 30 814.475 2.625 Manufacturing 90 627.720 2.026 Real Estate 7 275.000 0.897 Industrial Estate 2 179.113 0.588 Agricultural 6 154.070 0.50
T t &9
Transport & Communication 7 137.676 0.44
10 Livestock & Fisheries 7 64.946 0.2111 Other Services 4 7.061 0.0211 Other Services 4 7.061 0.02
Total 227 31061.449 100.00 31
V. Foreign Direct Investment (Cont;)
(c) Foreign investment of existing enterprises as of (31/8/2012)(by country)
(US$ in Million)SrNo Particulars
Existing Enterprises
NoApproved %Amount
1 China 14 14064 303 45 281 China 14 14064.303 45.282 Hong Kong 23 6278.436 20.213 Republic of Korea 42 2891.685 9.314 Thailand 25 2460.333 7.925 U.K 22 2246.973 7.236 S 0 02 886 Singapore 40 1515.027 4.887 France 1 499.926 1.618 Malaysia 16 433.616 1.409 India 7 269.000 0.8710 Japan 14 114.247 0.37p11 Russia Federation 2 94.000 0.3012 Panama 2 55.101 0.1813 Vietnam 4 49.796 0.1614 Mauritius 2 30.575 0.1015 Indonesia 3 22 200 0 0715 Indonesia 3 22.200 0.0716 Republic of Liberia 2 14.600 0.0517 Philippine 1 6.667 0.0218 Australia 1 5.819 0.0219 The Netherlands 2 4.335 0.0120 Germany 1 2.500 0.0121 Canada 2 1.310 0.0022 Austria 1 1.000 0.00
Total 227 31061.449 100.0032
V. Foreign Direct Investment In Myanmar
I t t l f M
The Union of Myanmar Foreign Investment Law (FIL) was enacted on
30th November 1998.
Investment law of Myanmar
30 November 1998.
The Union of Myanmar Special Economic Zone Law was enacted in Ja
nuary 2011.
The Dawei Special Economic Zone Law was also enacted in January 2011
subsequently.
L b l f MLabour law of Myanmar
The Labour Organization Law was enacted on 11th October, 2011.
The Settlement of Labour Dispute Law was enacted on 28th March, 2012.
33
Foreign investment law
V. Foreign Direct Investment in Myanmar
Existing FIL
Form of Organization
New FIL
F f O i ti
g
Form of Organization
100% foreign-owned
Form of Organization
100% foreign-owned
Joint Venture
(Any Myanmar Partner or
(Permitted activities by MIC)
Joint Venture
An Individual or A Private
Company or A Cooperative
(Any Myanmar Partner or Organization
State Owned Enterprise)Company or A Cooperative
Society or State Owned
State Owned Enterprise)
Other Form of Business Contract
Enterprise) which is mutually agreed by both
parties34
V. Foreign Direct Investment in Myanmar
Existing FIL
Minimum Foreign Capital
New FIL
Minimum Foreign Capital
Manufacturing
US$ 500,000
Depends on type of business nature
and sector$ ,
Services
US$ 300 000
If JV, 35 % of total capacity
If JV ( t i t d/ hibit d ti it )US$ 300,000
Both in Kind
If JV (restricted/prohibited activity),
Foreign capital - 50 : 50
in Cash Both in Kind
in Cash
35
V. Foreign Direct Investment in Myanmar
Existing FIL
Tax Incentives
Existing FIL
Tax Incentives
3 years tax holiday
Further tax exemption/ relief
for an appropriate period in case
5 years tax holiday
Further tax exemption/ relief
for an appropriate period in casefor an appropriate period in case
if it is considered beneficial for
the state
for an appropriate period in case
if it is considered beneficial for
the state
Exemption or relief from customs duty or other
internal taxes or both on importation of
Exemption or relief from customs
duty or other internal taxes or
machinery & equipments during construction
period
Importation of raw materials for production
both on importation of machinery
& equipments during construction
periodImportation of raw materials for production
for the first 3 years
period
Importation of raw materials for
production for the first 3 years36
V. Foreign Direct Investment in Myanmar
The commission may also grant;-
Exemption or relief from income tax on profit which is reinvested within one year
R li f f i t t 50 t th fit f tRelief from income tax up to 50 percent on the profit from exports
Right to pay income tax on behalf of the foreign employees and to deduct the
same from the assessable income of the enterprisesame from the assessable income of the enterprise
Right to pay income tax of the foreign employees at the rate applicable to the
citizens of Myanmar
Right to deduct the research and development expenditure
Right to accelerate depreciation
Right to carry forward and set off losses up to 3 consecutive years
37
The commission may also grant;-
V. Foreign Direct Investment in Myanmar
The commission may also grant;
Exemption or relief from income tax on profit which is reinvested within one year
Relief from income tax up to 50 percent on the profit from exports
Right to pay income tax on behalf of the foreign employees and to deduct the same from
the assessable income of the enterprise
Right to p in ome t of the fo eign emplo ee t the te ppli ble to the iti en ofRight to pay income tax of the foreign employees at the rate applicable to the citizens of
Myanmar
Right to deduct the research and development expenditure.g p p
Right to accelerate depreciation.
Right to carry forward and set off losses up to 3 consecutive years, from the year the los
s is sustained
Exemption or relief from custom duty or other internal taxes or both on machi
neries equipments etc if the investment amount is increased and the originneries, equipments, etc if the investment amount is increased and the origin
al investment business is expanded during the permitted period.
Exemption or relief from commercial tax on the goods produced for export.38
V. Foreign Direct Investment in Myanmar
The investor has the right to transfer the following currencies abroad through the bank which
h th i ht t t f f i b ki i th l t f i t th ti l t d
(a) Right to transfer foreign currency
has the right to carry out of foreign banking in the relevant foreign currency at the stipulated
exchange rate:
(a) Foreign currency entitled to by the person who has brought in foreign capital;(a) o g u y d o by p o o a b oug o g ap a ;
(b) Foreign currency permitted for withdrawal by the Commission to the person who has
brought in foreign capital
(c) Net profit after deducting all taxes and relevant funds from the annual profits received
by the person who has brought in foreign capital;
(d) Legitimate balance after causing payment taxes due and after deducting living(d) Legitimate balance after causing payment taxes due and after deducting living
expenses for himself and his family in the manner prescribed, out of the salary and
lawful income obtained by the foreign service personnel by performing service in the
State39
(b) Employment of expatriates
V. Foreign Direct Investment in Myanmar
Allows investors to employed expatriate technicians, expert, staff and skill labour as
(b) Employment of expatriates
follows :-
(a) First 2 years 75%
(b) Second 2 years 50%
(c) Third years 25%(c) Third years 25%
Limitation of time can be increased for appropriate period for knowledge based
activities.
40
(c) Land lease
V. Foreign Direct Investment in Myanmar
Investors are allowed to lease the land either from the government or from the
private
(c) Land lease
private
- for 50 years as initial
- to be extended 2 times , each time allow 10 years
41
(d) Land lease agencies of the government/state organization/private
V. Foreign Direct Investment in Myanmar
Related Ministries
( ) g g g p
Ministry of Construction/Private-Industrial Zone
Related City Development Council/ Committeey p
State/Region Government
Environment Conservation and Forestry Ministry
R l d T hi G l Ad i i i DRelated Township General Administration Department
42
(e) Guarantee
V. Foreign Direct Investment in Myanmar
Enterprises operating under the Foreign Investment Law shall have
the State guarantees
against nationalizationg
to transfer the entitled Foreign Capital to investor on the expiry of
the term of the contract
i t t i ti f i t t d i th itt d tagainst termination of investment during the permitted term
43
V. Foreign Direct Investment in Myanmar
Existing Law Revised law
No specific definition on investment Specific definition on investment
No specific definition on grantee of land Specific definition on grantee of landNo specific definition on grantee of land lease or grantee of land used
Specific definition on grantee of land lease or grantee of land used
Not mentioned on restricted activities Mentioned on restricted activities
Export Promotion Export Promotion and import substitution
No description on rights and obligationof investor
Description on rights & obligation of investor
3 years tax holidays 5 years tax holidays
No description on land use Description on land usep p
Official exchange rate Market exchange rate
No description on administrative penalty Description on administrative penalty
No description on dispute settlement Description on dispute settlement44
V. Foreign Direct Investment in Myanmar
Labour Intensive Industries
(f) Priority area
Resource-based Value-added Industries
Heavy and Hi-tech Industries
45
(g) Criteria
V. Foreign Direct Investment in Myanmar
Protection to investors,
(g) Criteria
Environmental protection,
Social impact protection,
Transparency and accountability in financial matters,
Job Creation
Corporate social ! responsibility (CSR) and
Technology transfergy
46
T ti i M
V. Foreign Direct Investment in Myanmar
(a) Myanmar tax structure comprises 14 kinds of taxes/duties under 4 major heads.Taxation in Myanmar
Taxes lived on domestic production and public consumption
Taxes levied on income and ownershipTaxes levied on income and ownership
Customs duties
Taxes levied on the utility of State owner properties
47
V. Foreign Direct Investment in Myanmar
Commercial Tax is a turnover tax levied on goods domestically produced or
(b) Commercial tax rates
imported.
Common rate is 5%.
Essential items are totally exempted.
Luxury goods are taxed at higher rates 8% to 100%Luxury goods are taxed at higher rates 8% to 100%.
It is also levied on 14 kinds of services.
48
1. Railways, waterway, airway and road transport of passengers business 5 %
V. Foreign Direct Investment in Myanmar y , y, y p p g
2. Entertainment business 5 %
3. Trading business 5 %
4. Operation of hotels, lodging services 5 %
5. Restaurant services 5 %
6. Tourism business including tourist guide 5 %
7. Cleaning and oiling repair and decoration of motor vehicles 5 %
8 Insurance business except life Insurance business 5 %8. Insurance business except life Insurance business 5 %
9. Beautifying and Body fitness 5 %
10. Printing Business Services 5 %g
11. Brokerage Services 5 %
12. Drawing designs, decoration and repairing of Land, building and Construction 5 %
13. Advertising business, taking and developing photos, editing and video tapes 5 %
14. Agents, Lawyers, Certified Public Accountants and Auditors 5 %49
(c) Treaty network of myanmar
V. Foreign Direct Investment in Myanmar
Myanmar has signed avoidance of double taxation agreements with the following countries:
(c) Treaty network of myanmar
No DTA Countries with Myanmar Signed Date Enter into Forced Date
1 United Kingdom 13-3-1950
2 Malaysia 9-3-1998 1-4-20092 Malaysia 9-3-1998 1-4-2009
3 Singapore 23-2-1999 1-4-2010
4 Vietnam 12-5-2000 1-4-2004
5 Thailand 7-2-2002 1-4-2012*
6 Korea (Republic of) 22-2-2002 1-4-2004
7 Indonesia 2-4-2003 -
8 India 2-4-2008 1-4-2010
9 Bangladesh 7-10-2008 -9 Bangladesh 7 10 2008
10 Laos 20-11-2009 1-4-2011*50
VI . Ways to Cooperate with State Owned Enterprise (SOE) and Private Sector
Joint Venture (JV)
Public Private Partnership (PPP)
Lease ContractLease Contract
CMP based Manufacturing
Set up new factory (100 % FDI)
51
VII. Some Necessary Information
Electricity charges - 0 087 US$/kwhElectricity charges 0.087 US$/kwh
Land lease rate - 5~6 US$/Sqm
Fuel price
P t l 3 77 US$/G lPetrol - 3.77 US$/Gal
Diesel - 4.06 US$/Gal
Furnace Oil - 2.09 US$/Gal
Natural Gas - 9~10 US$/MMBTU
Basic salary - 75~80 US$/Month
52
Basic salary 75 80 US$/Month
VIII. Conclusion
Getting the chance of GSP for EU and Norway, Investment in Garment Sector g y,
has a great potential.
US sanction will be eased and so Garment sector will boom in near future .
Investing in Yangon, Pathein and Pha An Area is more favourable for Garment
investors.
In spite of establishing new finishing plants it is better to cooperate with SOEIn spite of establishing new finishing plants, it is better to cooperate with SOE
and upgrade the existing plants.
There is a great chance to establish a large number of Knitting factories.
Investors are invited to invest in cotton plantation by importing quality assured
53
p y p g q y
seeds, ginning, spinning and weaving for upgrading respective machineries.
Dr Aung Kyaw Soe
Contact us
Dr. Aung Kyaw Soe
Managing Director
T til I d t iTextile Industries
Ministry of Industry
Building No. (37), Nay Pyi Taw, Myanmar
Tel : 95-67- 408078
Fax : 95-67-408353
Email : [email protected] y @g
Website : www. myanmarindustry2 .com
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