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Myanmar rice export regulations persist in mid-October

Restrictions on Myanmar rice exports are set to end on October 15, according to the Myanmar Rice Federation.

Rice exports have been banned ag 1 to September 15 completely after the devastating floods in July and August. Exports renewed after September 16, but slapped with restrictions, including a limit on the size and the requirement to establish a reserve stock.

Myanmar Rice Federation claims that the immediate danger of a shortage of rice is over, and exports should be allowed to resume.
“The current rice export licenses include many restrictions and there were lots of steps to go,” said federation president U Nay Zin Lin.

“These restrictions have been taken to prevent excessive export of rice. But now, in the negotiations between the Federation and the Ministry, the restrictions will remain in force until mid-October.”

Read also : Myanmar rice exports to resume

Exports were allowed to continue unhindered after October 15, the statement said.

He added that the results had been negotiated with the Ministry of Commerce.

The restrictions put in place on 16 September allowed exports only 500 tonnes of rice a day for cross-border trade, but those who wish to export by sea could receive licenses in the quantities they wanted. Licenses must be obtained from the Office of Nay Pyi Taw to the Ministry instead of branches. Also were delays of 30 days for exports and 45 days for ground water exports with no possibility of extension.

It also requires companies to commit to maintain the 2 percent of exports in the reserve in a letter signed by the director of the company.

The move to allow new exports was some time to come. U Win Myint, Minister of Commerce, said at a seminar on September 9, which allow exports again as there are sufficient stocks of rice to see the country through the rice harvest in November.

U Win Myint, said experts had assessed the actions and found that there is enough rice for local consumption. When harvested monsoon rice exports would be freely permitted by private traders he said.

Although rice exports will be allowed again, the volumes will be small at first local and international prices are the same at this time, according to the Secretary General of the Myanmar Rice Federation U Ye Min Aung.

When prices are the same between Myanmar and the main export markets in the Chinese province of Yunnan, traders are reluctant to bear the costs of transport.

“With prices about the same after taking into account transportation costs, some traders to export only the moment,” he said.

Read also : Myanmar to expand onion exports

Rice is the second in beans and legumes as the main agricultural export product of Myanmar. Official statistics show that in 2014-15 Myanmar has generated more than US $ 700 million from the export of 1.8 million tons of rice and more than $ 850 million from the export of over 1.4 million tons of beans and legumes.

Experts had expected at the start of two million tons of rice exports this year if the goal seems now unlikely due to excessive damage caused by the floods.

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