Since Myanmar has changed its economic course from a centrally planned economy into a market oriented system, a series of structural reforms had been introduced and new legal policy instruments were enacted as paving way for market oriented economy.
The Myanmar government has recognized, in the context of the market-oriented economic system, the private sector as a prime-mover of the market mechanism and pays great attention for its development. All-out efforts are being made to encourage the active participation of private sectors in foreign trade and giving full support in every angle as to cope with the international trading practices.
Myanmar is a member country to World Trade Organization (WTO), ASEAN and BIMSTEC and is having total of over (70) countries of trading partners and a series of effective measures are being taken for the increase in numbers.
The basic principle of export policy is to penetrate into the global market by using the existing natural and human resources and to produce value added products more than normal export items.
The basis principle of import policy is priority import the capital goods, construction materials, other essential goods, hygienic materials for the wellbeing of the people. In addition, the State is supporting products for export promotion and support the import substitute production.
Myanmar’s potentials with regard to trade and investment is tremendously enormous in the areas of investment, trading, training and development, services and manufacturing sectors. Besides, Myanmar is endeavouring dynamically for the development of its economy up to its fullest extent.
At present, Myanmar is set as the biggest treasury land for the investors around the globe in the basis of alluring profitable benefits and potentials of its favourable conditions.
Myanmar is well known as agro-based country. Being rich in land resources and different networks of irrigation facilities, Myanmar grows not only perennial plants but also crops such as rice, pulses and beans, maize, sesame, fruits and vegetables and exports those products to international markets.
Myanmar welcomes investments in producing value-added agricultural products and processed foods. There is vast potential for investors in Agricultural Sector.
Myanmar has a long sea coastline of 2832 kilometers and consequently it is able to export fishery products including fresh water fishes and sea water fishes. There is a plenty of of potential in fresh water fishery and shrimp for investment purposes.
Myanmar export a variety of forestry products including world famous Teak because more than half of the country’s area is still covered with natural forest. Besides, Myanmar has various kinds of hardwood and softwood species. Instead of exporting raw materials, investors could have an opportunity to make investments in processing value-added products commercially for export to the international market.
Myanmar is rich in mineral resources such as copper, gold, lead, zinc, silver, tin and tungsten, antimony, chromium and nickel, so that it can export mineral products including jade and gems and other semi precious stones. New technology is needed for gem cutting, polishing and jewellery manufacturing.
Oil and gas exploration is the highest contribution to the foreign direct investment in Myanmar. Investors are operating new discovery of off-shore gas fields by production sharing contacts. Myanmar also possesses vast resources of oil and gas, there is many potential for cooperation in the downstream projects in Energy sector such as refinery plants and fertilizer plants.
Myanmar has hydropower potential of 37000 megawatts can be generated from the Ayeyarwaddy, Sittaung, Thanlwin and Chindwin river basins and only about 745 megawatts has been developed so far.
Since 18 Industrial Zones along with 9589 small and medium sized enterprises (SMEs) have already been established in different parts of country Myanmar’s manufacturing sector is developing together with other sectors such as agriculture, fishery, forestry, mining, energy and hotel and tourism.
Tourism plays as one of the key roles which serves as the bread winer of the country since its inception in over 60 years ago.
Myanmar sits at the crossroads of Asia’s great civilisations of India and China, and looks out onto the vast Indian Ocean next to Thailand. One of South East Asia’s largest and most diverse countries, Myanmar stretches from the sparkling islands of the Andaman Sea in the south right up into the Eastern Himalayan mountain range.
Myanmar offers all the traditional delights of Asia in one fascinating country. Virgin jungles, snow-capped mountains and pristine beaches, combined with a rich and glorious heritage spanning more than two thousand years. Spectacular monuments and ancient cities attest to a vibrant culture that is still home to 135 different ethnic groups.
The country’s tourism infrastructure boasts five star properties, intimate boutique hotels and family guest houses in all the major centers, as well as stunning mountain and beach resorts. Myanmar also boasts one of the lowest tourist crime records in the world, so visitors can rest assured their holiday will be carefree from start to finish.
Wherever you go in Myanmar, whether it is cruising down the mighty Ayeyarwaddy River in style, drifting over the ancient city of Bagan by hot air balloon, or searching for that elusive tiger on the back of an elephant, there is always a feeling of adventure. With two modern internal airlines upgrading and expanding their networks, new and exciting destinations off the beaten track are gradually being opened from mountain trekking and rafting in the far north to world class diving in the Mergui Archipelago.
The investment policy is sure to support the implementation of 12 Points Economic Policy of the Government of the Republic of the Union of Myanmar.
1. Responsible and mutually beneficial foreign investments are welcomed.
2. The Myanmar Investment Commission and the relevant government organizations are sure to facilitate foreign investments through transparent, clear and expeditious procedures.
3. The supportive environment with macroeconomic stability, rule of law, credible dispute settlement procedures, and reliable financial system for well-functioning economic infrastructure for all investors are to be carried out.
4. As foreign investment is very crucial for national development, the Union Government will :
(a) establish a predictable regulatory environment with nondiscriminatory treatment between foreign and local businesses;
(b) protect businesses from seizures that is likely to be in dispute;
(c) protect the right to transfer profits and other repatriation in accordance with the law after payment of taxes and duties and other payment obligations;
(d) provide right to long-term land lease in accordance with the law for the approved investments.
5. Local and foreign investors shall comply with the principles for responsible investment and business conduct, including environmental and natural resources matters on an equal basis and in a non-discriminatory manner at all times.
6. No foreigners are permitted to conduct certain businesses relating to national security, and culture and social affairs. These restricted businesses will be made publicly available.
7. The following investment businesses are welcomed and encouraged:
(a) Investment businesses that support productivity-enhancing and value-added agro-based industries with linkages to regional and global supply chains;
(b) Investment businesses that enable technology transfer and domestic production to be beneficial;
(c) Investment businesses that enable to support the development of small and medium enterprises;
(d) Investment businesses for rapid development of infrastructure;
(e) Investment businesses that enable to create job opportunities and provide vocational education and training for skill enhancement and development of human capacity;
(f) Investment businesses to be made in economically less developed regions;
(g) Investment businesses that enable to develop industrial cities and the special economic industrial clusters;
(h) Investment businesses related to tourism.
The Government of the Republic of the Union of Myanmar warmly invites responsible investors to seek and seize business opportunities in Myanmar to accelerate sustainable economic growth.
Seize Investment Opportunities in Myanmar …… in AGRICULTURE
Myanmar is a agro-based country with a vast potential of fertile land and abundant water resources. In 2014-15 a total area of 11.379 million hectares had been used for agriculture (net area sown). Given the landscape profile, topographic dimensions of Myanmar and different climatic areas in Myanmar, not only perennial plants, but also crops such as rice, pulses and beans, fruits and vegetables can be easily grown.
DICA is aiming at attracting responsible local and foreign investors, transforming the mostly traditional agricultural economy of today into a productive and sustainable agro-economy. To achieve this goal, increases in agricultural productivity (e.g. better irrigation, better seeds and techniques) and quality (e.g. seed quality, immediate post-harvest processing) are required.
Seize Investment Opportunities in Myanmar … … in AQUACULTURE & FISHERIES
Given Myanmar’s 2,832 kilometers of coastline along the Bay of Bengal and in the Andaman Sea, fisheries represent – as a natural matter of fact – an important opportunity for communities and businesses in the coastal areas of Myanmar (particularly in Rakhine State). Fishing grounds in Myanmar water are relatively less exploited than elsewhere. The aquaculture sector is operating almost 50,000 hectares of freshwater ponds.
According to statistics of the Department of Fisheries of the Ministry of Livestock, Fisheries and Rural Development, the production of fish and seafood has nearly increased to an eightfold between 1994 and 2014 demonstrating the importance of the sector to the economy as well as its strong potentials. Opportunities in the sector exist inshore (e.g. fish ponds, inland river systems and aquaculture), offshore as well as at deepsea locations.
Foreign investment in the fisheries sector is permitted to foreign investors in a joint venture with a local company. Recently, fishery products from Myanmar received approval to be exported to the European Union by certified producers. Myanmar enjoys preferential tariff arrangements with the European Union as a least developed country (LDC).
Seize Investment Opportunities in Myanmar … … through URBANIZATION
Likewise to other economies, Myanmar is experiencing a gradual migration process of population from rural to urban areas of Myanmar driven by a more diverse set of educational, professional and income opportunities. Hand-in-hand with urbanization come challenges as well as opportunities for local and foreign businesses addressing these needs and finding durable solutions for better and smarter cities in a more livable and a sustainable environment.
Changed demand patterns of the rapidly growing middle and consumer class open up new opportunities for the distribution of a larger spectrum of consumer goods (e.g. FMCG) as well as an emergence of new service industries (e.g. restaurants, entertainment, education).
Seize Investment Opportunities in Myanmar … … in TOURISMAND HOSPITALITY
The tourism and hospitality sector in Myanmar is evolving rapidly since the political and economic opening of the country – the number of visitors to the country has been growing nearly exponentially since 2011:
Year | Total |
1995-1996 | 208,228 |
2000-2001 | 438,480 |
2005-2006 | 653,549 |
2010-2011 | 792,738 |
2011-2012 | 866,989 |
2012-2013 | 1,339,442 |
2013-2014 | 2,247,117 |
2014-2015 | 3,443,009 |
Source: Ministry of Hotels and Tourism, Ministry of Immigration and Population
At the moment, foreign tourists (on their first short-term visit to Myanmar) mostly visit Yangon, Bagan, Inle Lake / Nyaung Shwe as well as Mandalay. However, Myanmar offers to date unexplored treasures of natural beautyin the whole of the country from Kawthaung in the tropical South-East to Putao in the Himalaya.
The table displays the current distribution of hotels, motels and inns/guesthouses in Myanmar and reflects the considerable under capacity of available accommodation in numerous locations outside of the urban centers Yangon and Mandalay. There is a need for both, affordable as well as high-class accommodation depending on the current demand.
State / Region | No. of hotels, motels and inns | No. of rooms | No. of beds |
Kachin State | 26 | 732 | 1445 |
Kayah State | 8 | 175 | 350 |
Kayin State | 11 | 346 | 692 |
Chin State | 4 | 40 | 69 |
Sagaing Region | 23 | 724 | 1426 |
Tanintharyi Region27 | 27 | 1226 | 2385 |
Bago Region | 50 | 1212 | 2325 |
Magway Region | 28 | 598 | 1185 |
Mandalay Region | 356 | 15053 | 30045 |
Mon State | 39 | 1392 | 2784 |
Rakhine State | 43 | 1303 | 2616 |
Yangon Region | 301 | 14053 | 28072 |
Shan State | 232 | 7015 | 13914 |
Ayeyarwaddy Region | 64 | 2387 | 4703 |
Nay Pyi Taw | 2 | 70 | 102 |
TOTAL | 1214 | 46326 | 92113 |
Source: Ministry of Hotels and Tourism and Ministry of Cooperatives
Foreign investors may engage independently in hotel developments of 3-stars or higher standard, whereby local investors are encouraged also to consider opportunities in offering budget accommodation through guesthouses at international standards. For foreign companies, investments in tour companies, travel agencies, budget hotels, amusement parks and tourism-related public infrastructure projects are permitted on a joint-venture basis.
Seize Investment Opportunities in Myanmar … … in the POWER SECTOR
The power sector of Myanmar opens up abundant and immediate opportunities to foreign and local investors. The installation of considerable additional capacity to the current 4,422 MW as well as the rapid construction of transmission lines are national priorities. In order to reach the objective of full national electrification until 2030, the power sector of Myanmar is to grow to a multiple of its current size.
The abundance of locations suitable for hydropower generation, the available rich natural gas deposits and nearly unexplored potentials in solar power and wind power along with the expansion of the transmission system open miscellaneous investment potentials. In the medium run, Myanmar may even develop to a net exporter of electricity to neighboring countries.
Beyond 92 identified larger-scale hydropower development (for the future development of potentially additional 46.1 GW) along the Ayeyarwaddy, Sittaung, Salween and Chindwin River systems, also smaller-scale hydro power plants as well as other sources of energy (i.e. solar, wind, gas) have high potential to play a significant role for national power supply.
Seize Investment Opportunities in Myanmar … … in MANUFACTURING
The manufacturing sector opens up opportunities due to the significant domestic market of Myanmar, direct access to strategic markets of Southeast Asia (ASEAN Economic Community) as well as to China and India. Preferential tariff arrangements for exports of the least developed country Myanmar to various geographies (e.g. European Union, Japan) create distinct economic incentives for investments in Myanmar.
With comparatively low labor costs, rich natural resource endowments, a diverse agricultural base for further value-added production and the strong support of industrial investment as a priority of the Government of Myanmar, investors enjoy favorable conditions.
To facilitate investments in manufacturing, three Special Economic Zones (SEZ) in Thilawa (near Yangon), Dawei in Myanmar’s Southeastern Tanintharyi Region as well as Kyaukphyu in Rakhine State are currently under development along with a separate legal framework granting investment incentives to companies in these SEZ. Thilawa started its operation in 2015 as the first SEZ of Myanmar.
In addition to the SEZ, numerous industrial zones have been established throughout the country, i.e. 14 industrial zones in Yangon Region (e.g. Mingaladon Industrial Park), Mandalay, Monywa, Hpa An, Kalay, Shwebo, Myingyan, Meikhtila, Magway, Pakhokku, Yenanchaung, Taunggyi, Pyay, Mawlamyine, Pathein, Myaungmya, Hinthada and Myeik.
Seize Investment Opportunities in Myanmar … … in INFRASTRUCTURE DEVELOPMENT
The development of sufficient and better infrastructure is an important requirement to be able to physically carry the industrial and agricultural growth in Myanmar’s dynamic future. As stipulated in the National Comprehensive Development Plan, the Government prioritizes infrastructural and economic development along certain major trade paths through the country in order to facilitate the integration of Myanmar into production networks of the Greater Mekong Subregion (GMS) and Myanmar’s Western neighbors.
The Government of Myanmar has experience in conducting infrastructural projects under Build-Operate-Transfer (BOT) or other Public Private Partnerships (PPP)agreements with the private sector (e.g. in the railway and highway sector) and is welcoming investors for infrastructural improvement projects.
Seize Investment Opportunities in Myanmar … …in EXTRACTIVE INDUSTRIES (Minerals / Oil and Gas)
Alum | Columbite | Manganese | Silver |
Amber | Copper | Mica | Soda |
Antimony | Corundum | Molybdenum | Steatite |
Barite | Gemstones | Natural gas | Sulphates |
Bauxite | Gold | Nickel | Sulphides |
Beryl | Graphite | Ochre | Sulphur |
Bismuth | Gypsum | Oil | Tin |
Cadmium | Iridium | Oil shale | Titanium |
Chromite | Iron ores | Phosphates | Tungsten |
Cinnebar | Jadeite | Platinum | Zinc |
Coal | Kaolin | Salt | |
Cobalt | Lead | Saltpetre |
The Government of Myanmar is encouraging responsible investments in the field of the extractive industries. Investors may support the exploration and extraction of the natural resources according to international best practices. Responsible investments in extractive industries are necessarily to consider the implications on livelihoods of the local population, the environment, societal factors as well as the political economy in specific areas. Myanmar is a candidate of the Extractive Industries Transparency Initiative.
Seize Investment Opportunities in Myanmar … … in FORESTRY-BASED INDUSTRIES
Myanmar’s strong forestry sector offers numerous opportunities for involvement of local and international investors. The country is one of the leading producers of teak and hardwood (particularly Pyinkadoe and Padauk).
In order to prevent the continuation of unsustainable forestry practices and large scale log-harvesting particularly of teak, the Government of Myanmar strictly and effectively abandoned the export of unprocessed teak and hardwood in April 2014. According to the Department of Forestry, between 2000 and 2014, the total forest cover of Myanmar decreased from 348,680 sq-km to 304,725 sq-km equaling anaverage deforestation rate of approximately 1%.The ban on logging has proven to be effective in incentivizing more value-added production in wood-processing in Myanmar and increasing the GDP contribution of this sector.
The structural change offers opportunities to foreign and local investors to support this emergence of value-added and sustainable forestry e.g. by establishing new wood-processing industries in Myanmar. Furthermore, the stronger engagement of the private sector in the plantation business to restore forests in an environmentally and economically sustainable way is desired.
Source: European Union
Law Governing Licensing
The main law governning the authorization of licensing is contained in the Control of Imports and Exports ( Temporary ) Act, 1947, which has been amended when necessary and which is still in force. This law is administered by the Ministry of Commerce which, from time to time, issues necessary orders, notification, directives, pertaining to all export / import matters including issuance of licences and permits as well.
Licensing Authority
The authority to issue export / import licences and permits is delegated to Directorate of Trade and Department of Border Trade under the Ministry of Commerce. Directorate of Trade is authorised to issue export / import licences and permits for export / import by overseas. Department of Border Trade is authorised to issue export / import licences for cross border trade.
Registration
All private business enterprises, both local and foreign, co – operative societies, joint – venture organizations, desirous of carrying on export / import business are required to apply to the Directorate of Trade for registration as exporter / importer.
1. The following individual/enterprises desirous of carrying on export/import business may apply to the, Directorate of Trade for registration as exporter/importer:
Societies Law;
2. Term of registration, registration fee and extension fee for exporter/importer are as follows:
3. Effective from 1.4.94, the Directorate of Trade issued new form of certificate of registration as appended. Annexure
4. Alteration, addition or amendment is allowed upon payment of Kyats 300 per entry.
5. Registered exporter/importer shall, at the expiry of the term of registration, either one or two or three years as the case may be, apply for extension.
Application for extension of certificate
6. (A) Application shall be made prior to expiry of the term of registration;
(B) If applied after the expiration, the following penalty
shall be paid in addition to the relevant extension fee:
7. Exporter/importer not desirous of continuing business may surrender the certificate of registration.
8. As mentioned earlier in Para 5, the exporter/importer Shall, at the expiry of registration, apply for extension. The registration will be cancelled if he fails to apply for extension after three months from the date of expiry.
9. The exporter/importer has the right to apply for the issuance of duplicate copy of certificate of registration or identity card issued to him by the directorate of Trade upon payment of Kyats 300/- as service charges.
10. The followings are the rights of registered exporter/importer:
Generally every export / import by private business enterprises and State Enterprises are subject to export / import licence / permit issued by the licensing authorities concerned. The validity of export / import licence / permit issued by the Directorate of Trade is normally six months from the date of issue, and can be extended for three months period at a time.
Normally, the registered exporter / importer has the right to export all commodities, except for rice and rice products and other products which are prescribed to be solely exportable by the State – owned Economic Enterprises. 30 / 31 items including Teak, rice, etc. are prohibited to export overseas and through the border areas, as shown in Annexure I & Annexure II.
Policy pronouncement as to import include, inter alia, to cater the basic needs of the country’s economic sectors, namely, agriculture, livestock breeding, fishery, forestry, transportation, manufacturing, mining and so on, while the consumer choices can be fulfilled equally at the same time. These are reflected in the classification of import items which are now divided into two categories : –
( 1 ) Priority items (A) – which include machinery and spare parts, agricultural machinery and farm implements,fertilizers, pesticides, high yield quality seeds, edible oil, oil and industrial raw materials, construction stores and building materials ;
( 2 ) Priority items (B) – about sixty items grouped under personal goods, household goods, foodstuff, construction materials, textile products, electric and electronic products and general products.
The private importer is required to import 80 % priority (A) items if he wishes to import priority (B) items. He could also import 20 % priority (B) items, together with priority (A) items and ship them at the same time. Generally no quota or ceiling is fixed for imported items so long as the requirement to import the prescribed amount of priority items is fulfilled, with the exception of edible oil.
Products allowed for Import which is excluded from Prohibited items, restricted items and Priority items.
Some commodities, which are not in the list of prohibited items, restricted items, priority items are allowed to import as in the list of Priority (B) within the right of 20 % ratio for import.
A summary of list of priority items (A) and priority item (B) are given in Annxure III & Annxure IV.
At the present, the undermentioned items are not allowed to be imported both by overseas and border. The commodities prohibited to import shall be from time to time amended in accordance with the latest situation of local market conditions.
Overseas | Border Trade | ||
No. | Commodities(FoodStuffs) | No. | Commodities(FoodStuffs) |
1. | Seasoning powder(MSG) | 1. | Seasoning powder(MSG) |
2. | Soft drinks | 2. | Soft drinks |
3. | Biscuits Assorted | 3. | Biscuits Assorted |
4. | Chewing Gum | 4. | Chewing Gum |
5. | Cake | 5. | Cake |
6. | Wafer | 6. | Wafer |
7. | Chocolate | 7. | Chocolate |
8. | Canned foods(meat&fruits) | 8. | Canned foods(meat&fruits) |
9. | Noodles | 9. | Noodles |
10. | Liquor | 10. | Liquor |
11. | Beer | 11. | Beer |
12. | Cigarette | 12. | Cigarette |
13. | Fruits(fresh) | 13. | Fruits(fresh) |
14. | Prohibited products as per existing laws | 14. | Plastic wares |
15. | Prohibited products as per existing laws |
The registered exporters / importer are allowed to enjoy 100 percent export retention money for the export of goods. There exists no export quota nor ceiling for any exportable product or any individual or organization with the exception of textile products which are subject to quota fixed by the importing country.
No export licence fee is payable on export of any commodity including agricultural crops. All imports are subject to payment of licence fees, customs duty and commercial tax. Import licence fee is payable on CIF value at a minimum of K 250 up to a maximum of K 50000. On CIF value over K1 million licence fee payable is K 50000 only. The rates are shown in the following table : –
Table VII
Rates of import licence fees
Kyats
C.I.F value (of the licence/permits) | Licence fees |
Up to 10,000 | 250 |
From 10,001 to 25,000 | 625 |
From 25,001 to 50,000 | 1,250 |
From 50,001 to 1,00,000 | 2,500 |
From 1,00,001 to 2,00,000 | 5,000 |
From 2,00,001 to 4,00,000 | 10,000 |
From 4,00,001 to 10,00,000 | 20,000 |
From 10,00,001 and above | 50,000 |
Customs duty together with the commercial tax are collected at the point of entry and the time of clearance of imported goods. Import tariff covers 21 sections of 98 chapters, consisting of 1241 headings and 6062 sub – headings ( denoted by 8 digits ) based on the Harmonised Commodity Description and Coding System. There are 22 bands of import tariffs ranging from 0 to 40%. Raw materials and other essential imports are taxed at very low rates, while the highest rate is applied to luxury items.
Commercial tax is levied according to the schedules appended to the Commercial Tax Act 1991, and the rates vary depending on the types of goods and services. For the items not exempted from commercial tax, the rates of tax on imported goods are 5 %, 10 % 20 %, 25% according to the respective schedule of goods. Another schedule represents specific types of foods such as cigarette, liquor, etc. carrying rates above 25 %.
Assessment of Import Duty is based on the assessable value, which is the sum of CIF value and the landing charge ( 0.5 % of the CIF value ) for the goods imported. The commercial tax together with the custom duty are collected at the point of entry and the time of clearance of imported goods.
Under section 23 of the Sea Customs Act exemption from the total or partial payment of duties may be allowed in such case as required by the Head of State. But the authority for the exemption lies with the Ministry of Finance and Revenue on behalf of the Head of State. In the case of joint ventures and firms established under foreign investment programme, the Foreign Investment Commission may authorize the exemption from the payment of duties in exercising the power conferred by the section 22, of the Foreign Investment Law.
Commodities, imported temporarily for inward processing, such as industrial raw materials, packing materials are exempted from customs duty for a period of two years under bond to re export within time limit.
The commodities which are restricted to be exported from time to time. ( Example; Kitchen consumable such as onion, garlic, potato, chilli etc; )
Remarks : Although above mentioned commodities are prohibited to export by private entrepreneurs , the state owned organizations are allowed to export in accordance with the prescribed rules and regulations.
Although rice and other restricted crops (except edible oil seeds) and rubber are restricted to export by private sector, the agriculture produce from the large firm leased to the private sector under the land reclamation programme of the government are permitted to export as follows :
8 percent commercial tax and 2 percent income tax shall be payable in foreign currency for all export from private sector.
Commodities which are restricted for the time being are the following :
(a) Cement, M.S.Rods – Shall be allowed to import upon receipt of certificate from the Housing Committee and Foreign Capital Evaluation Committee.
(b) Galvanised Corrugated – Prohibited Sheet (for roofing)
(c) Truck, Bus, Saloon – Shall be allowed to import upon receipt of Vehicles, Motorcycle permission from Trade Council.
(d) Restricted foodstuff, – Shall be allowed to import only for Hotels & Liquor, Beer, Cigarette Duty Free shops with the recommendation of the Ministry of Hotel and Tourism.
Import shall be allowed against the following type of foreign exchange : –
(a) The proceeds from Export.
(b) Foreign exchange income from services such as house rent, mortor car rental, salaries and other service charges. ( after deducting 10 percent in foreign currency as revenue tax )
(c) Foreign capital brought into Myanmar. ( Not more than 75 percent of the total foreign capital brought into Myanmar, to be allowed for import ) Note : Income earned from export and service charges shall be allowed to make account transfer. However the foreign capital brought into Myanmar shall not be allowed to make account transfer.
(d) Foreign currency which is sent either by a foreign company or a person in abroad to a company / person in Myanmar to do business. ( Import shall be allowed against 90 percent of the foreign currency after making payment 10 percent as revenue tax )
Import licence fee is exempted on the following commodities :
(a) 67 kinds of Medicines and Pharmaceutical raw materials used in the manufacture of drugs and medicines for the purpose of supporting the improvement of public health and the welfare of the people in receiving medical treatment.
(b) the following commodities imported for the development of the agriculture sector. (1) Fertilizer (2) Farm implements (3) Agriculture Machinery (4) Insecticides
(c) Commodities transported through the territory of the Union of Myanmar under the Transit Trade System.
(d) Materials used in the business during the construction and production period under the foreign investment permit issued by the Union of Myanmar Investment Commission.
(e) Commodities imported for departmental use by the state organizations.
(1) Rice , Borken rice, Rice bran (2) White sugar, Red sugar, Brown sugar (3) Brown slab – sugar (4) Groundnut, Groundnut oil (5) Sesamum, Sesamum oil (6) Groundnut cake, sesamum cake (7) Gramwhole / Gramdhal (8) Cotton
(9) Petroleum (10) Gems and jewellery (11) Gold (12) Jade (13) Pearl (14) Diamond (15) Lead (16) Tin (17) Wolfram (18) Tin – scheelite (19) Silver (20) Bronze (21) Zinc (22) Coal (23) Other metals
(24) Ivory (25) Buffalo, cow, elephant, horse and rare animals (26) Leather
(27) Shrimp bran
(28) Arms and ammunitions (29) Antiques
(30) Rubber
(1) Rice , Borken rice, Rice bran (2) White sugar, Red sugar, Brown sugar (3) Brown slab – sugar (4) Groundnut, Groundnut oil (5) Sesamum, Sesamum oil (6) Groundnut cake, sesamum cake (7) Gramwhole / Gramdhal (8) Cotton
(9) Petroleum(10) Gems and jewellery(11) Gold(12) Jade(13) Pearl (14) Diamond(15) Lead(16) Tin(17) Wolfram(18) Tin – scheelite(19) Silver(20) Bronze(21) Zinc(22) Coal(23) Other metals
(24) Ivory (25) Buffalo, cow, elephant, horse and rare animals (26) Leather
(27) Shrimp bran
(28) Arms and ammunitions (29) Antiques
(30) Rubber (31) Teak
1. Machinery and spare parts (as per list)
2. Industrial raw materials (as per list )
3. Agriculture related materials
1. (a) Fertilizer
2. (b) Pesticide, Insecticide
3. (c) Hybrid seeds
4. Foodstuffs
1. (a) Wheat Grains
5. Construction Materials
1. (a) Cement
2. (b) Round bars
3. (c) Pipes (both G.I and P.V.C)
4. (d) Refractory bricks
6. Building materials
1. (a) Galvanized corrugated iron sheets
2. (b) Other roofing sheets
3. (c) Wire nails
4. (d) G.I wires
5. (e) Paints and varnishes all sorts
7. Materials for fisheries
1. (a) Assorted fishing nets and mending twines and ropes
2. (b) Steel wire ropes
3. (c) Outborad motors
4. (d) Marine gear, engines and spare parts (up to 240 H.P)
5. (e) Cold storage, Ice plant, chemical and spare parts for them
6. (f) Fish / prawn processing materials, equipments for the export of marine products
8. Components and spare parts for transportation
1. (a) Logging trucks
2. (b) Dump trucks ( 3 ton and above )
3. (c) Bus for 45 passengers and aboveContinued
4. (d) Truck ( 3 ton and above )
5. (e) Bicycle
6. (f) Vehicles tyres, tubes and flaps
7. (g) Brand new motor vehicle spares
8. (h) Battery
9. Medicines
1. (a) X-ray flim
2. (b) Surgical goods instruments
3. (c) Optical frames / lenses
4. (d) Medicines and medical equipment
10. Materials for livestock breeding
1. (a) Pure livestocks of high quality
2. (b) Foodstuff additives
3. (c) Veterinary medicines
11. Electrical goods
1. (a) Fluorescent lamp, Bulbs, switch and related component parts
2. (b) Street Lantern
12. Stationeries
13. Paper all sort
14. Petroleum products
1. (a) Lubricants ( brake oil, engine oil, grease, gear oil. hydraulic oil )
15. Agricultural supporting items.
16. Sports supporting items.
17. Educational supporting items.
18. Health supporting items.
19. Items to be prescribed from time to time.
1. Baby Powder
2. Blades Assorted
3. Razors
4. Tooth Paste
5. Tooth Brush
6. Baby Diaper
7. Umbrella
8. Foot Wears
9. Hats
10. Watches And Clocks All Sorts
11. Glue All Sorts
12. Dried Cell Battery All Sorts
13. Flask All Sorts
14. Mosquito Coils All Sorts
15. Soaps
16. Detergent
17. Powder for Auxillary Washing Preparation
18. Sanitary wares 19. Torch Lights 20. Mirrors All Sorts 21. Kitchen Wares ( Glass, Earth, Ceramic And Steel Wares )
22. Malted Food 23. Cereal 24. Corn Flour/Wheat Flour 25. Coffee Mix, Tea Mix 26. Sweetened Condensed Milk 27. Evaporated Filled Milk
28. Tiles All Sorts 29. Ceiling Board All Sorts 30. Painting Brush All Sorts
31. Ready – Made – Garments 32. Cotton, Polyester, Suiting Fabrics 33. Vest All Sorts 34. Nylon Mosquito Nets 35. Bed sheet 36. Towels All Sorts 37. Socks And Stockings
38. Electric Fans 39. Emergency Lamps 40. Electric Stoves / Ovans 41. Gas Stoves / Ovans
42. Hair Dryer 43. Exhaust Fans 44. Rice Cooker 45. Calculators 46. Radios 47. Cassettes 48. Cassettes Tapes
49. Washing Machines 50. Freezer 51. Refrigerator 52. Air Conditioners 53. Laser Disc ( Video / Audio ) 54. Video Tapes 55. Video Camera All Sorts
56. Paper Linens 57. Photographic Papers 58. Film All Sorts 59. Camera All Sorts
60. P.V.C Floor Coverings