The apparel export earning of Myanmar is likely to increase to $2.0 billion in next three year which was only $900 million in 2012. High labour and production costs in China, South Korea, Vietnam and India are pushing their entrepreneurs to shift RMG industries to Myanmar. As a result Myanmar has now emerged as a new tough competitor to Bangladesh in the world apparel market, sources in the industry said. Chinese, South Korean, Vietnamese and Indian entrepreneurs have started investing heavily in the readymade garment sector to avail themselves of the special privilege enjoyed by the Myanmar in the developed markets, specially in the EU, the USA and Canada markets. The US and European Union have lifted sanctions on Myanmar as the military regime successfully held a credible parliament election last year. The price of industrial land is very low in Myanmar compared to countries in Bangladesh, India and Pakistan and Sri Lanka. The apparel export of Myanmar is likely to reach 4.00 US dollars by 2020, according to industry insiders. “Myanmar’s export volume last year was $1.46bn. However, we are yet to receive data from Germany and Latin America,” said U Myint Soe, chairman of the Myanmar Garment Manufacturers Association (MGMA). “Our expectation is that when we do, it will stand at $1.5bn.” The new export target was set by Myanmar’s Ministry of Commerce and is based on a national five-year export strategy. The ITC is the business development wing of the World Trade Organisation (WTO). However, U Myint Soe said that while exports are increasing, the current market situation is challenging.
