China will officially import rice and broken rice via China-Myanmar border this year, according to a statement by the Myanmar Rice Federation (MRF).
The delegation led by Union Minister for Planning and Finance Soe Win and officials from Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) and the Myanmar Rice Federation (MRF) attended the 2nd China Myanmar Economic Corridor Forum held in Yunnan of China From February 18 to 23.
At the forum, both sides discussed a plan to export a quota of 400,000 tons of rice to China in 2019. China has warned that it would take effective action against illegal exports. Myanmar allows exports of rice to China at Muse border gate. But China has not designated rice imported from Myanmar as an legal good. Whenever Chinese authorities have made crackdown on rice imports, Chinese merchants have to suspend rice imports from Myanmar frequently. Due to China’s crackdown over the months, the rice exports via border gates have declined by half.
Nay Lin Zin, Secretary of Myanmar Rice Millers Association said: “Since many years, we have long been relying on informal trade. Chinese merchants are unable to buy rice as Chinese authorities are trying to legalize rice imports.”
Myanmar exports rice to EU and African countries via sea route and to China via Muse border trade.
From April, 2018 to January 18, 2019, Myanmar earned over 640 million USD from the exports of over 1.9 million tons of rice.
Rice export via border route accounts for 51 per cent of the total rice exports and the export via sea route for over 48 per cent.
