Global New Light of Myanmar reported that according to statistics from the Ministry of Commerce, in the past 10 months of the 2019/20 fiscal year, the export volume of garments manufactured using supplied materials was US$3.6 billion, an increase of US$3.6 billion. A decrease of US$60 million over the same period last year. Myanmar’s manufacturing industry mainly focuses on garment production.
The Myanmar Garment Manufacturers Association (MGMA) stated that most garment factories in Myanmar operate under the CMP processing model, and factories in this industry are working hard to integrate the CMP system Convert to FOB system to increase profits. Currently, some garment factories are facing the negative impact of a lack of European orders due to the epidemic, resulting in some workers losing their jobs.
The Myanmar Investment and Company Authority (DICA) stated that labor-intensive industries have been severely affected by the epidemic this year. In its recommendations to encourage outsiders to invest, the Investment Committee gives priority to investment in manufacturing and labor-intensive industrial production. In addition, in response to the need to prevent and control the epidemic, the Myanmar Investment Commission also encourages investment projects in the manufacturing of masks, medicines and other medical supplies.
Myanmar’s ready-made garments account for more than 20% of exports and are currently in trouble because Europe has temporarily canceled some orders. Since events similar to the COVID-19 epidemic may occur in the future, it is necessary to prepare sufficient raw materials and semi-finished products. It is recommended that the public and private sectors cooperate to establish a consistent production supply chain including spinning, weaving, dyeing and finishing, and garments.
The Myanmar Garment Manufacturers Association (MGMA) has more than 500 member garment manufacturers, employing more than 500,000 employees. Foreign investors prefer to invest in countries with low labor costs. invest. </p
