Thailand
Myanmar: Interest in retail, wholesale sector continues unabated
Around one year after allowing foreign investors to register and participate in the domestic retail and wholesale sector in May 2018, the Ministry of Commerce (MOC) has so far permitted nine wholly foreign retail and wholesale providers to operate in the country. These include investors from Japan, Thailand, US, Singapore and the Netherlands.
The new businesses join four existing local retail and wholesale providers in the market. They include Mycare Unicharm Co, Otsuka Pharmaceutical, DKSH, Toyota Tsusho, Unilever, Mega Lifesciences and NTT Com Myanmar, which is the latest entity to receive an MOC permit.
The products offered range from baby products and cosmetics to beverages like Pocari Sweat.
Meanwhile, five joint ventures between Thai, Japanese, Dutch and Singaporean firms and local investors have also received permits to operate. Among them are Pacific Andaman (SEA), AEON Orange, Asahi Loi Hein, Unilever EAC Myanmar and Wilmar Myanmar Edible Oils.
The new firms will join an industry with just four local operators: City Mart Holdings, Myanmar Agribusiness Public Corporation, Myanmar R F S Company, and NCX Myanmar.
Many investors come and discussed about retail and wholesale business in our office. Also, Myanmar Investment Commission has received interests and some proposals from foreign investors to invest in the domestic market. Continually, the Commission will allow them by the rema of related ministry and under Myanmar Investment Law,
“We are seeing strong interest from investors in the retail and wholesale sector. Many have come to discuss details at our office. The Myanmar Investment Commission has also received proposals from foreign investors. They will be permitted to operate under the Myanmar Investment Law,” said U Thant Sin Lwin, Acting Director General of the Directorate of Investment and Company Administration.
In April, the Myanmar Retailers Association submitted a list of challenges faced by local retailers and wholesalers in the domestic market to the Private Sector Development Committee led by Vice President U Myint Swe.
These included capital constraints and prohibitively high land prices. Local businesses also called for the government to maintain a level playing field for both local and foreign businesses.
The government allowed foreign investors to operate retail and wholesale business in the domestic market in May 2018. It subsequently announced standard operating procedure for the sector and issued a priority list of 24 products and items.
Source: https://www.mmtimes.com/news/interest-retail-wholesale-sector-continues-unabated.html