SAC Vice Chairman Deputy Prime Minister Vice-Senior General Soe Win addresses meeting 1/2022 of Central Committee on Myanmar SEZs
NAY PYI TAW October 12
Central Committee on Myanmar Special Economic Zones held meeting 1/2022 at the Ministry of Commerce here this afternoon addressed by Chairman of the central committee Vice Chairman of State Administration Council Deputy Prime Minister Vice-Senior General Soe Win.
Union ministers who are members of the central committee, deputy ministers, management committee chairs of Thilawa, Kyaukphyu and Dawei SEZs, permanent secretaries, directors-general were also present.
Yangon Region chief minister, Taninthayi Region chief minister, Rakhine State economic minister and officials attended the meeting through video conferencing.
The Vice-Senior General said global countries including Myanmar set up SEZs with the goal of attracting investment, generating job opportunities, promoting exports, broadening the economic scope and links, supporting the global value chain, multiplying the type and volume of goods.
According to 2019 records, 147 countries had set up about 5,400 SEZs, and over 500 more were under construction. SEZs are the new developments of industrial policies and they have the greater power to attract foreign investments.
Basically, SEZs in developed and developing countries are prioritizing trade facilitation.
From this stage MSMEs are being modernized into innovative industries. Then they are turned into Integrated Zones which include service in addition to production businesses.
This process will be greatly supportive to the SAC’s MSMEs development undertakings.
Myanmar amended the 2011 SEZ Law in 2014 and enacted the rules in 2015. Under the rules, the central committee must hold meeting for two times a year.
Section 6 of the law stipulates the duties of the central committee, which include the adoption of plans and programs for SEZ development, laying down of work programs and frameworks for implementation and monitoring, supervision and inspection of the functions of management committees, facilitation of links with relevant government departments and organizations through coordination. Hence, the meeting should seek means to support the functions of SEZs.
Myanmar is implementing three SEZs. It is jointly implementing Thilawa SEZ with Japan, Kyaukphyu SEZ with China and Dawei SEZ with Thailand. National interest must be prioritized and friendship must be emphasized in implementing bilateral projects.
Of the three, Thilawa stands as a model SEZ as its functions are going on well. The respective ministry should render a helping hand in receiving foreign investments continuously and systematically, welcoming new committees and new investment projects and facilitating the functions of businesses of investors.
Of the three economic objectives of SAC, to develop a stable market economy and promote international investment in order to enhance the economic development of the entire national people is an important one.
For the successful realization of the objective, it is necessary to ensure that respective ministries do SOPs practically and provide better services in accord with the international procedures at the zones. Then, more foreign investments can be invited for economic progress.
Since the management committee has been reconstituted with chairmen and members for better management of special economic zones, one stop service centers in those zones need to work systematically and provide effective services for greater economic progress.
The committee is urged to provide necessary assistance for the companies investing in Thilawa SEZ to run with momentum and extend their investments and to see new investments.
Regarding Kyaukphyu SEZ, a framework agreement of the deep-sea port project was signed on 8 November 2018.
Both sides signed a shareholder agreement in January 2020 and a concession agreement in November. Taking notice of political sensitivity over the previously-signed agreements, we need to act to ensure a winwin situation through bilateral coordination.
The deep-sea project must be successfully implemented as it is important for Kyaukphyu SEZ as well as for the interests of the State. Being able to succeed in the project will enable us to participate in the Myanmar-China economic corridor, thereby contributing to bilateral collaboration. As Kyaukphyu SEZ project is much related to the Belt & Road project of China, there will be a lot of bilateral benefits and regional development. In giving training to local people for Rakhine State development, courses need to be compatible with the needs of the factories when the project goes on.
Dawei SEZ project started its implementation in 2008 but there was no significant progress.
Since the Italian-Thai Company previously chosen as investor has been terminated, measures must be taken in accord with the international procedures to invite a new investor.
With rapid development of SEZs, the national economic will develop and local people will get job opportunities and improve thier living standards.
So, efforts must be made in accord with the legal procedures for SEZ development.
Next, Union Minister for Commerce U Aung Naing Oo explained matters related to SEZs in Myanmar.
Management committee chairmen of Thilawa and Kyaukphyu SEZs read out messages sent to the meeting and sought approval.
Then, Union Ministers Admiral Tin Aung San, U Win Shein, Dr Kan Zaw, U Ko Ko Hlaing, Dr Thida Oo, U Tin Htut Oo, U Khin Maung Yi, Dr Charlie Than, Dr Pwint Hsan and U Shwe Lay, Region Chief Ministers U Soe Thein and U Myat Ko, Deputy Minister for Electric Power Dr Aung Zeya and the Rakhine State Economic Minister discussed respective sectors in relation to the SEZs.
Joint Secretary Deputy Minister U Nyunt Aung read the draft resolution of the meeting (1/2022) and sought approval.
Later, the Vice-Senior General made a further discussion and a concluding remark.