Month: February 2019

Hyundai Motor Myanmar, official sole distributor of Hyundai Motor in Myanmar, will hold the Grand Opening of Shwe Daehan Motors a new car parts installation factory of Hyundai Motor Myanmar. The new Accent launching ceremony at Hyundai Showroom on 08th February 2019. Shwe Daehan Motors Factory is located in Thar Du Kan Industrial Zone, Shwe Pyi Tar Township, Yangon Region. They will manufacture Hyundai cars by using the semi-knocked-down kit (SKD) system.

The new model of the Accent is available as a small Sedan and is powered by a 6-speed automatic transmission 1.4-liter four-cylinder engine providing 100 Horse Power, many options are available such as 16-inch alloy rims, rear disc brakes, 6 airbags, Electrochromic Mirror, steering-wheel with audio controls, a console storage bin, Bluetooth phone and audio streaming. Power windows and locks, remote keyless entry, speed sensing automatic door locks and full auto air conditioning are standard on all trims, as is Hyundai’s excellent warranty.

Attractive exterior style, luxury interior with leather seats and multi infotainment system such as Navigation system, Touchscreen, Bluetooth system, wifi and smart technology are also exceptionally equipped. Moreover, car provides not only improved engine power and lower operational cost, but also lower emission and better dynamic performance.

New Accent, manufactured by Shwe Daehan Motors Factory, is given 3 years or 100,000-kilometer warranty. There will be pre-booking event from 28th January to 8th February and will be given a present SK Lubricants ZIC engine oil for pre-booked customers.

Source:https://www.mmbiztoday.com/articles/hyundai-motor-myanmar-hold-grand-opening-ceremony-shwe-daehan-motors-factory

The 2019 Invest Myanmar Summit was held on January 28 and 29 in Naypyidaw, and jointly organized by the newly founded Ministry of Investment and Foreign Economic Relations and the Union of Myanmar Federation Chamber.

The two-day summit exhibited over 200 government and private investment projects worth $20 billion, and included discussion on sustainable and balanced development projects and investment banks.

At the summit, Daw Aung San Suu Kyi, State Counsellor of Myanmar, talked about the investment opportunities and visions for Myanmar in her speech.

Citing the newly adopted Myanmar Investment Promotion Plan, she said that Myanmar expects to attract up to $200 billion in foreign investments over the next 20 years, and can be a country with a middle income bracket.

One sector in particular that she pointed out was agricultural. This is a promising area for investors due to the fact that Myanmar owns the largest area of land in South East Asia.

“Every region and state has their own advantages, but some sectors need government support for investment in order to attract investors. We want Myanmar to become investment hub in the region by creating a good investment environment for local and foreign investors,” said U Pyo Min Thien, Chief Minister of Yangon.

ASEAN + 3 Macroeconomic Research Office estimates Myanmar’s economic development would increase to 7.4 percent this fiscal year, and estimates that the inflation rate in the country will be stable at 5 percent in fiscal year 2019.

This is the right time, she said, for Myanmar and the region at large to act boldly by adopting high ambitions based on these positive estimations.

Given the fact that 10 ASEAN countries, along with China and India have the combined consumer market of 3.5 billion people worth $15 billion, accounting 20 percent of global GDP. Daw Aung San Suu Kyi said that she hopes the region rise to become a significant market.

She also acknowledged that there are challenges in Myanmar and encouraged investors to turn the challenges into opportunities.

Dr. Zaw Myint Maung, Chief Minister of Mandalay Region, remarked that this time is an important turning point for Myanmar economy and showcasing investment projects can strengthen trust of the investors.

Invest Myanmar Summit 2019 received around 1,600 attendances including twelve union ministers, ten chief ministers and 150 representatives from regions and states.

Source:https://www.mmbiztoday.com/articles/myanmar-expects-attract-200-billion-over-next-twenty-years

With the aim of strengthening effective managements of the country, Ministry of Industry has set up four polices and two visions in accordance with 12 economic objectives of the country.

Ministry of Industry has aimed at utilizing modernized and advanced techniques of agriculture to develop Agro-base industries, Agri-Business, Agro-Products, and continue the task for the establishment of Heavy Industries.
In order to strengthen increased exports, efforts are being made to drive the implementation of small and medium enterprises can stimulate substitution of imports with domestic products and also strengthen increased exports.

Moreover cooperation between private sectors and inviting participation has made to invite technical know-how and investments. The Ministry also tries to increase Production of Value-Added Commodities by effective utilization of natural resources and raw materials. It is of great importance to ensure sustainable development without environmental impact and to utilize energy efficiently and renewable energy.

Quality of products
To assess the quality of products of micro, small and medium enterprises nationwide, region and state governments are urged to exhibit local products of micro, small and medium enterprises-MSMEs products in respective regions. In order to gain balanced growth, MSMEs are required to cooperate more with each other at regional and national level.

In accordance with the ASEAN Strategic Action Plan for SME Development ASEAN SAP SMED 2016-2025 plan, Myanmar is also working for growth of the country’s SMEs. Therefore a holistic way of viewing is needed to address the challenges and obstacles facing in the country.

Early stages of industrialization
Myanmar is still in the early stages of industrialization, around 57% of the total population is employed in the agricultural sector and there can be seen a stagnation of growth. Myanmar is highly dependent on exports of natural resources like natural gas, agricultural products, a few primary commodities and labour-intensive manufacturing products with low value-added. The Ministry of Industry has focused on how to promote the private sector based on industrial modernization.

The majority of the manufacturing industries are labour-intensive products like textiles and garments. That’s why it is needed to produce higher-value commodities which can achieve long-term economic growth in the long run. In this regard, the ministry has put priorities on the betterment of Human Resource Development (HRD), along with Small and Medium Enterprises Development and Restructuring of State-owned enterprises. It is needed to invest in the education sector towards the development of high-skilled human resources.

Advantage of labour market
Myanmar is rich in natural resources and has the comparative advantage of low-cost labour which can contribute the economic growth.

Moreover, Myanmar has great growth potential due to its advantageous geographical location at the juncture of the Association of Southeast Asian Nations (ASEAN) and borders of the world’s most dynamic and fast-growing countries such as China and India. It is of great importance for the rural communities to benefit from the economic growth and industrial development.

Small and Medium-sized Enterprises (SMEs)
SMEs are the main driving force of the country’s economy and the government is striving to obtain cash investments, main infrastructure requirements of electrical power and obtaining loans without collateral.
According to a research conducted by Central Statistics Organization, 98 per cent of the more than 120,000 businesses registered in Myanmar are SMEs. In the employment sector, of the 21.9 million workers, 83 per cent are working in un-registered SMEs.

As for the entrepreneurs, they should take advantage of the Myanmar Companies Law, which guarantees to consider a company with a 35 per cent share of foreign investment as a citizen-owned company.

Human resource development
Ministry of Industry sends government staff to foreign countries where they can attend workshops and seminars with the aim of empowering human resource development and raising living standards as well as socio-economic status of the country.

While the demand for skilled labour is high in Myanmar, there are not enough trained workers to meet the needs of the job market. And yet youths and young adults want skill training and employment opportunities. The Ministry of Industry has opened many vocational training schools with the aim of creating job opportunities for the youths in Myanmar.

During the training period, the trainees have to visit the industrial zones and learn practical experiences. The one who got the certificate of successful completion of the course can join any of the factories or mills in any country. The school (SITE) admission has increased up to the some 240 students. The school has taught auto industrial production system and its technology, computer-controlled metal cutting and designing, management and technology on water and sewage, technology on renewable energy such as solar and wind power and training for skill on wood finished products and furniture.

Source: http://www.industry.gov.mm/en/article/news/904

“We need to use alternative fuels, as the fossil fuels we are burning today will be exhausted soon”, said Union Minister for Industry U Khin Maung Cho at the signing of an agreement to manufacture electric buses and erect charging stations in Myanmar.

At the signing ceremony, held at the Research and Development Bureau in Yedhashe, the Union Minister said the country is promoting the use of renewable energy, while reducing the consumption of fossil fuels. Electricity may be the best tool in alleviating the consequences of burning fossil fuels. So, the global production and use of electric cars is on the rise, as fossil fuel-burning cars are being replaced by hybrid and electric cars. Myanmar also needs the assembling of electric cars to protect the natural environment and reduce carbon emissions.

Accordingly, the ministry will manufacture electric buses and charging stations, in cooperation with Green Power Myanmar Co Ltd, by adapting the technology of Csepel Holding Limited of Hungary. He also said the ultimate aim is to turn Myanmar into an electric bus and parts exporter, as well as the Southeast Asian hub for electric vehicles. The Hungarian cooperation will provide Myanmar with new manufacturing, repair and maintenance technologies. Moreover, the country can earn income from exports and generate job opportunities.

Honorary Consul of Hungary for Myanmar Daw Tint Tint Lwin spoke words of greetings and Executive Director of Green Power Myanmar Co Ltd, U Tin Maung Kyin, and Director of Csepel Holding Limited Kalaichelvan explained the electric car production and charging station erection program through the use of video clips.
Managing Director No 1 Heavy Industry U Kan Chun and Managing Director of Green Power Myanmar Co Ltd Daw Nilar Kyin signed the agreement in the presence of the permanent secretary of the Ministry of Industry and Director Kalaichelvan.
Following this, Green Power Myanmar Co Ltd and Oriental Transportation Enterprise Co Ltd signed an agreement to manufacture 300 electric buses for Myanmar.

Green Power Myanmar Co Ltd, which is working with Csepel Holding Limited of Hungary has already taken orders for 7,000 electric buses for Sri Lanka, India and Singapore, and another 300 for Myanmar. Because of the lower fuel costs, the business expects to see profits within three to five years.

As electric buses are smokeless vehicles that do not need lubricants, their maintenance costs are low. Using ten-year batteries, they are light vehicles which can travel up to 300 kilometers. There are charging stations and modern services tied into an e-ticket system. Because of such advantages, a new transport sector is expected to emerge in Myanmar.

The Union Minister, MPS, the Honorary Consul, Hungarian engineers and officials toured the electric car and hybrid car assembly lines of No 12 Heavy Industry, No 15 Heavy Industry and the No 26 Heavy Industry. —MNA (Translated by TMT)

Source:
http://www.industry.gov.mm/en/article/news/1033