Ministry of Commerce warned Myanmar traders and wholesale centers about the crackdown made by the Chinese government on illegal diesel export along the border area with Yunnan Province.

The illegal diesel export market is bigger in Yunnan Province since 2018 and the office of Myanmar Consul in Kunming, Yunnan Province, informed about the crackdown, which will be intended to make until at the end of this year, to the ministry in mid October.

The ministry instructed to avoid unnecessary disputes between Myanmar and China in related with the crackdown, according to traders.

Although Myanmar allowed the re-export of diesel to China officially, China assumed it as illegal import. Myanmar allowed sugar, fuel oil, betel nuts, clothes, garlic, sesame (white and black), dry pepper, ground nuts, cotton, soybean, cotton fibre, fruit, electronic products, food, edible oil and tyres as re-export items starting from 2015-16 FY to increase export amounts and sugar and diesel exports are the highest.

Myanmar suspended the re-export of sugar and fuel oil starting from third week of August as foreign exchange rate was increased from June. However traders still exported diesel with re-export licenses, which are still active, till October.

At the present, the official products from Myanmar such as rice, broken rice and sugar are seized by Chinese authorities.