The government needs to encourage the establishment of factories which can produce raw materials. We need cloth factory for the garment and rubber factory for the footwear production, said Aung Min, the central committee member of Myanmar Industries Association (MIA).

Myanmar has introduced the CMP system in the garment industry since 1990. Currently, more than 70 industries including footwear, bag, plastic wear and artificial hair are operating under a CMP system. The country is not in a position to make the own production, according to Myanmar Industries Association.

The countries like Asean, Korea, China and Japan did not use CMP system for more than 20 years. After 20 years, they produce own brands. They themselves try to produce raw materials and finished goods and export them, he continued.

Some factories from China want to produce their products in Myanmar due to the trade war between the US and China, according to the association.

Myanmar has amended the Investment Law. Myanmar has more advantages compared to those in the neighbouring countries in term of cheap labour and huge young workforce.

The government needs to attract foreign investors to establish raw material factories through the effective utilization of these advantages.

According to Myanmar Footwear Manufacturing Association, footwear companies from China, Taiwan and Hong Kong have offered to invest in the country due to cheap labour and the GSP rights.