Chinese fruit traders are cutting out the middleman – extending their reach deep into upper Myanmar to deal directly with fruit farmers, rather than with brokers at the Muse border post. The Chinese traders are also opening their own retail fruit stores in Muse, Shan State. Myanmar companies based in Muse township normally buy fruit from growers in Tada-Oo, Myittha and Kyaukse in Mandalay Region, Monywa in Sagaing Region, and Yangon, Ayeyarwady and Bago regions for export to China…Full Article: Myanmar Times Nov 2015

Key Points

  • During the 2013 to 2014 fiscal year, more than 60% of Myanmar’s border trade occurred via the Muse checkpoint with China.
  • In 2012, Chinese fruit traders entered Myanmar’s Muse trading zone.

ChinaAg Comments

  • In August 2015, in the wake of severe flooding, Myanmar rice traders temporarily suspended Chinese exports for one and a half months in order to safeguard domestic supply. Shipments were expected to resume in mid-September 2015 after the monsoon paddy harvest.
  • In July 2015, according to the Joint Secretary of the Myanmar Rice Federation, 59 Chinese rice traders were arrested for tax evasion in China, causing exports to slow. China reportedly accounts for half of Myanmar’s rice exports.
  • In March 2015, Myanmar’s Rice Federation selected nine rice milling companies to legally export rice to eastern China’s coastal ports. However, non-licensed rice exports will likely continue overland via Muse (northern Shan State, Myanmar) – Ruili (Yunnan Province) border crossing.
  • In 2014, China banned Burmese rice imports in order to institute new safety and quality control regulations. According to the Chairman of the Myanmar Rice Federation, China will begin importing rice legally in January 2015 (i.e. at least 1 million MTs of Burmese rice at US$400 per MT).

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