Rice exports expected to decline this FY

Rice exports expected to decline this FY
Bayintnaung Rice Brokerage Center in Yangon.
Bayintnaung Rice Brokerage Center in Yangon.
Published 11 November 2018
Zeyar Nyein

Due to illegal exports of rice via border gates, rice exports are expected to decline in 2018-2019 fiscal year, according to Myanmar Rice Federation (MRF).

Ye Min Aung, General Secretary of Myanmar Rice Federation (MRF) said: “According to our estimate, the rice export is expected to reach two to three million tons this fiscal year. We need to monitor the situation.”

Thanks to the market expansion in 2017-2018 FY, the total rice export reached nearly 3.6 million tons, breaking the 50-year record.

From April 1 to 26 October, this year, the country earned over US$ 430 million from exports of rice and broken rice. Rice exports via border trade hit over 6,731,289.650 tons worth over US$ 240 million and via the sea route, over 587,555 tons worth US$ 196.941 million, according to the MRF.

A rice miller said: “The government officially allows rice trading in the country. For instance, rice trade can be done in Muse. But the government doesn’t allow rice exports to China via Muse border. There are illegal exports of rice to China via the border gates. We need to seek ways of how to control the illegal exports of rice to China via border gates. The government should lady down the rules for the official export of rice.”

At a regular meeting between the Vice-President and local entrepreneurs on October 6, entrepreneurs pointed out that the lack of effective control over the illegal shipments of rice to China may have an impact on the domestic paddy market and the production of by-products used by poultry, fish and cattle farming, resulting in an increase in paddy prices and the suspension of local rice mills.