Rice exports decline after China intensifies crackdown

Rice exports decline after China intensifies crackdown
Published 5 December 2018

During two months, Myanmar’s rice exports via border trade have declined by more than double due to China’s crackdown on contrabands, said Aung Than Oo, Vice-President of Myanmar Rice Federation.

“Rice exports to China are relatively low compared with the same period last year. Myanmar side has no any limitation to rice exports. China buys rice less as it has intensified its crackdown on contraband. This time last year, Myanmar exported about 200,000 tons of rice to China every month. Now we can export about 80,000-90,000 tons of rice a month. Last year, we exported 5,000-6,000 tons of rice a day. Now it has declined to 2,000-3,000 tons of rice, he added.

Myanmar mainly exports rice to China via Muse border trade camp in Myanmar-China border. It accounts for more than 50 per cent of the total rice exports.

Myanmar cannot export rice, sugar, corn, cow and buffalo to China due to China’s crackdown on exports at Muse border, according to merchants in Muse.

In the past, the Yunnan government dealt with the contraband case. China has intensified its crackdown on contraband after the people have lodged a direct complaint to the Chinese president.

Trade channels are blocked as the Chinese central government directly manages the contraband.

On December 3, Myanmar State Counsellor and Foreign Affairs Minister Daw Aung San Suu Kyi held a talk with Chen Hao, secretary of Yunnan Provincial Party Committee of the Communist Party of the People Republic of China, at her office in Nay Pyi Taw.

At the call, both sides cordially exchanged views on the matters relating to promoting trade and investments in border areas and boosting the transportation sector, people-to-people contacts and cooperation between concerned authorities for peace and stability in border areas as Yunnan Province play an important role in bilateral relations between the two countries, according to the statement by the Foreign Affairs Ministry.

Local merchants expect that this discussion can help overcome the current difficulties in Myanmar-China border.