U Aung Khin MyintChairman,

Myanmar International Freight Forwarders Association(MIFFA)

INFRASTRUCTURE

CONNECTIVITY

Presentation Flow

Conclusion

Immense Linkages to be utilized

Infrastructures & Connectivity

Reviewing Trade Figures of EU-ASEAN

Reviewing Trade Figures of EU-ASEAN

For the last 3 years ASEAN trade balance is always positiveASEAN imports to the EU is inceasing marginally.

what will the figures be like when CLMV countries large growth inertia kick in.

Balance of Trade

Reviewing Trade Figures of EU-ASEAN By Product Type

Agricultural Products Fuels &

Mining products

Chemicals

Machinery & TransportEquipment

Textiles &Clothing

Other Products

Reviewing Trade Figures of EU-ASEAN Investments

Source: IMF (DoTS)

Reviewing Trade Figures of EU-ASEAN ASEAN'S TRADE WITH

MAIN PARTNERS (2009)EU TRADE WITH MAIN

PARTNERS (2010)

+20% of Trade is in the area of ASEAN EU27 is very close as THE trade partner

Foreign direct investment statistics

: Foreign Direct Investments in ASEAN by Host Country, 1995-1998

Foreign Direct Investments in ASEAN by Host Country, 1995-2008

Infrastructures & Connectivity

• Businesses Needs New Markets

• New Markets are only accessible if there is sufficient WORKING infrastructures

• BUT what are the new Markets that needs to be connected.

Reviewing Myanmar Strategic Potential

54 Million

India1,173 MilChina

1,330Mil

Bangladesh156 Mil Laos 7 Mil

Thailand 67 Mil

Total People2,730 Million

$57.5Bln

India$3,560 BlnChina

$8,789 Bln

Bangladesh$242 Bil Laos $15 Bil

Thailand $540 Bil

Total GDP(ppp)US$12,559 Billion

Over US$ 100 Billion in 2010

Reviewing Trade Figures of ASEAN’s Neighbors

North-South Economic Corridor (1)

East-West Economic Corridor

Southern Economic Corridor (1)

GMS Economic Corridors

North-South Economic Corridor (2)

Southern Economic Corridor (2)

Review Linkages

Immense Linkages

GMS –Economic Corridors

Dawei

East West Economic Corridor

Southern Economic Corridor

GMS –Economic Corridors

Dawei

East West Economic Corridor

Southern Economic Corridor

Road conectivity

Expected Demand of Dawei Deep Sea Port• Steel industry will be supported by the bulk port, requiring throughput of ion ore,

coal, other material, and will export its own finished products. 40 MT/Year• Agriculture: Rice, sugar, corn, tapioca, other grain, etc. 5 MT/Year• Coal-fired power plant: Import coal. 25MT/Year• Container cargo: 3.2 million TEU/ Year, equivalent to 45 MT/Year (@14 Ton/TEU)• General & Container Cargo: 50 MT/Year• Liquid cargo: For Chemical and Petrochemical. 35 MT/Year• SPM for crude: 36 MT/Year (@ 18 MT/year/SPM x 2)

The possibility of total throughput is quite huge, thus ITD designed the Port capacity to handle up to 200 MT/Year

Opportunities to the integration process of the ASEAN and the EU markets

1. Increasing trade volume 2. Easing the flow of goods 3. Create opportunity to invest in transportation infrastructure4. Improve logistic infrastructure5. Easily access of raw materials from sources6. Increase advanced technologies for developing countries7. Increase more job opportunities for people among countries 8. Lead business growth for logistic firms and economic growth for

countries9. Countries have more opportunities to establish new markets, if

ASEAN and EU cooperated

Challenges to the integration process of the ASEAN and the EU markets

1. Handling more cargo volume2. Transportation links between countries (air, sea, land)3. Documentation processes of cargo transportation 4. Communication infrastructure among countries5. Visa processes for both ASEAN and EU nationals6. Cultural barriers7. Various currencies among countries8. Require adjustments in national laws and agreements, which

needs cooperation between public and private sectors of two regions

• Myanmars’ stratgic position for ASEAN will give the region a more prosporous linkage to the major forthcoming economic powers of the world.

• The EU could be ASEAN major trading partner.

• The EU has proven its desire to invest in ASEAN with increasing share of outbound stock.

• EU businesses are already established in ASEAN. Further investment by EU is needed especially in INFRASTRUCTURE to realize the potential benefits of connectivity to developing markets.

• Myanmar will be the hub to this connectivity and must be regarded as an ASEAN regional market.

Conclusion