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MYANMARS FIRST BILINGUAL BUSINESS JOURNAL www.mmbiztoday.

com December 12-18, 2013 | Vol 1, Issue 45


Myanmar Summary
Contd. P 6...(Rice Lxport)
A man carries a sack of rice on the banks of Yangon River. The government has set targets to increase rice export and catch up with
neighbouring countries Thailand, Vietnam and Cambodia.
S
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Myanmar Looks to Double
Rice Export
Kyaw Min
C
urrently the basket case,
Myanmar was once the
rice bowl of Asia.
From 1961 to 1963, around
the time the country was taken
over by a Socialist government
which depleted the once-
thriving economy, Myanmar
was the worlds largest exporter
of rice, shipping around 1.7
million tonnes per year. By
1qq;, LIuL hgure Iud dropped
to 15,000 tonnes, according to
hgures Irom US DepurLmenL oI
Agriculture (USDA) and while
there has been some increase
in export it exported 690,000
tonnes last year, making it the
ninth largest exporter in the
world the country still has a
Contd. P 6...(Rice Lxport)
Government to Look to
International Companies on Dawei
Italian-Tai Developments role halted but not over, of cials say
Oliver Slow
M
yanmar will open
tenders for interna-
tional companies to be
involved in the Dawei Special
Economic Zone (SEZ), after
it was revealed last week that
Italian-Thai Development, the
group initially responsible for
the main development of the
site, will no longer be key driv-
ers of the project.
Speaking at a press confer-
ence in Yangon last week, U Aye
Myint, chairman of the Dawei
project said that two companies
formed by the Myanmar and
Thailand governments, named
Special Purpose Vehicle (1)
and (2), would take a lead role
in the multi-million dollar
development.
He added that due to the sheer
scale of the development, which
involves building a deep-sea
port and key infrastructure,
international companies would
be invited to apply for tenders
on the project, including ITD.
They can keep working if
they want, but they will have
to compete with other interna-
tional observers, he said.
U Set Aung, chairman of the
Dawei zone, said that the com-
mittee was undergoing a review
of the work already completed
by ITD and that once this was
hnuIIsed, compunIes wouId be
invited to apply for licenses.
No company in the whole
Contd. P 8...(Lawei)
Myanmar Summary
Contd. P 8...(Lawei)
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December 12-18, 2013
Myanmar Business Today
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2
LOCAL BIZ
Myanmar Summary
MYANMARS FIRST BILINGUAL BUSINESS JOURNAL
Board of Editors
Editor-in-Chief - Sherpa Hossainy
Deputy Editor - Oliver Slow
Reporters & Writers
Sherpa Hossainy, Oliver Slow,
Kyaw Min, Shein Thu Aung, Phyu Thit Lwin, Htet Aung,
Su Su, Aye Myat, Daisuke Lon, Yasumasa Hisada
Art & Design
Zarni Min Naing (Circle)
DTP
May Su Hlaing
Translators
Shein Thu Aung, Phyu Maung
Advertising
Tay Zar Zaw Win, Seint Seint Aye, Moe Hsann Pann
Advertising Hotline - 09 7323 6758
Managing Director
Prasert Lekavanichkajorn
pkajorn@hotmail.com
Email
Editor - sherpa.hossainy@gmail.com
Special Publications - oslow99@gmail.com
Advertising - sales.mbtweekly@gmail.com
Designer - zarni.circle@gmail.com
Phone
Editor - 09 42110 8150
Deputy Editor - 09 3176 9529
Designer - 09 7310 5793
Publisher
U Myo Oo (04622)
22A Kaba Aye Pogoda Rd, Bahan Township,
Yangon, Myanmar.
Tel: 951-2301568, 951-2301569, 951-2301570
Fax: 951-8603288 ext: 007
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Tel: (662) 6158625-33 Fax: (662) 6158634
Distributor (Bangkok)
Subscription & Circulation
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Iast week, President Thein Sein made his rst visit to the PhiIippines.
F
ile
s
Thein Sein Makes Maiden
Philippines Visit
P
resident Thein Sein
visited the Philip-
pines last week,
his maiden visit to the
archipelago.
During his three-day
visit, Thein Sein met his
Philippine counterpart,
Benigno Aquino I I I , in
an attempt to bolster ties
and also discuss trade,
investment, agriculture
and visa-exemptions.
The visa agreement is
expected to allow Filipi-
nos to enter Myanmar
without gaining a visa
hrsL. Myunmur resIdenLs
can already enter the
Philippines visa-free.
The Philippines were
a harsh critic of Myan-
mars former military
government, but the two
countries have softened
ties since Myanmar began
making reforms to tenta-
tively work towards a fully
democratic system.
Thein Sein also visited
areas ravaged by the re-
cent Typhoon Haiyan that
ripped through the coun-
try last month, leaving an
estimated 5,000 dead and
many others still missing.
Myanmar was one of
about 60 countries to give
aid to the country in the
wake of the crisis, with
Philippine Foreign Sec-
retary Albert del Rosario
saying that Myanmars
aid had reached about
Su Su $100,000 as well as seven
tonnes of food and other
relief goods. During his
visit, Thein Sein brought
additional aid.
During his talks with
Aquino, Thein Sein
discussed Myanmars
hosting of ASEAN in 2014
and it is thought that he
seeked support for the
hosting.
A close ally with China,
Myanmars navigation of
that relationship will be
crucial in the near future
as a number of ASEAN
members are at logger-
heads with China over
land disputes. According
to some reports, the
Philippines and Vietnam
are expected to bring
up their grievances with
China during the ASEAN
meetings next year.
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3
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
LOCAL BIZ
4
Myanmar Summary
Farmers in a eId outside Yangon. SMEs make up more than 9U percent of Myanmar's totaI companies.
R
e
u
t
e
r
s
S
mall and Medium Enter-
prise (SME) Centres will
open in Myanmars major
cities to aid the development of
the sector, which is seen as key
to the economys growth.
nILIuIIy, LIe hrsL cenLres wIII
open in the capital city of Nay
Pyi Taw, with further openings
expected in early 2014.
SMEs do not only play a key
role in the states progress, but
SME Centres to Open to Aid Growth
Kyaw Min and Htet Aung than also support local em-
ployment, said U Win Aung,
chairman of Federation of
Chambers of Commerce and I n-
dustry (UMFCCI ). Therefore,
the growth of SMEs is vital, he
said, before adding that a key
role for the government is to
establish an SME law.
SMEs make up more than 90
percent of registered companies
within Myanmar, and local
businesspeople involved in the
sector are urging the govern-
ment to encourage their growth.
For the development of our
countrys economy, allowing
SMEs Lo ourIsI In LIe Iong
term is vital, said U Mya Theik
an entrepreneur with an SME-
cIussIhed compuny. SMEs wIo
employ fewer than 25 people
should be allowed tax exemp-
tion, he added.
The SME law is expected to
be implemented in early 2014,
sources say.
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S
iam Cement Group (SCG)
last week awarded educa-
tion assistance to 100 high
school students in Mon State
as part of its SCG Sharing the
Dream Programme, which is in
its second year in the country.
The award ceremony, which
was hosted at the Strand
Mawlamyine Hotel, recognised
students, SCG said, who had
proactively contributed to their
communities and exhibited
good academic records, with
each student receiving funding
of up to K200,000 ($$200),
to cover their school fees and
supplies.
Education is essential to-
wards ensuring that children
will grow up to form new
generations of ASEAN citizens
who are ethical and knowledge-
able in the future, said Chana
Poomee, country director, SCG
Myanmar. On behalf of SCG, I
would like to congratulate our
young scholars who received
the grants today. I believe that
they deserve a bright future
and hope that they will pursue
higher education and use their
talents to support their families
and communities, he added.
Last years programme of-
fered 99 grants to students
from Yangon, Mawlamyine and
Kyike Mayaw, but that number
has doubled in 2013, in what is
SCGs centenary year.
I n October, SCG invited high
school students in 9 Standard
(Grade 10) and 10 Standard
(Grade 11) and living in Yangon
and Mon state to apply for the
chance to be included in the
scholarship, with students se-
lected from Mawlamyine, Kyike
Mayaw, Mudone, Paung and
Chaung Sone townships in Mon
SCG Provides Education
Assistance to Students
Oliver Slow State.
SCG also rewarded students
who received scholarships in
2012, and went on to do well
in the following academic
year, with additional grants in
recognition of their academic
achievements.
SCG Sharing the Dream is
SCGs ASEAN sustainable de-
velopment initiative and it has
granted scholarships to more
than 5,000 students in ASEAN
countries, including Myanmar,
I ndonesia, Thailand, Vietnam,
Philippines, and Laos.
Myanmar Summary
Siam Cement Group (SCG)
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LOCAL BIZ
5
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
A worker outside the Wunna Teikdi Stadium in Nay Pyi Taw.
R
e
u
t
e
r
s
Myanmar Ready to Host SEA Games
Oliver Slow
M
yanmar is 100
percent ready
to host the
Southeast Asian Games,
wIIcI omcIuIIy goL under-
way in the capital Nay Pyi
Taw on December 11.
Htay Aung, sports min-
istry director, told AFP
LIuL LIe hnuI reIeursuIs
had successfully been
held and that the country,
which is only just emerg-
ing from 50 years of
military rule, is ready to
hold the event - the big-
gest sporting event in the
countrys history.
The tournament, which
brings together athletes
from Southeast Asias
ten-member countries,
was handed to Myanmar
in 2010, shortly before
the government began
introducing a range of
economic and political
reforms aimed at pulling
the country from decades
of stagnation.
I t left a country with
little infrastructure that
has struggled to cope
with the sudden surge of
interest from overseas
visitors who have been
intrigued by the unique
changes taking place in
the country.
However, the tourna-
ment has given the
government an incentive
to invest heavily in infra-
structure in the capital.
One example is the
newly built Wunna
Theikdi Stadium, located
in Nay Pyi Taw, a 30,000
seat football and athletics
stadium, which hosted
the opening ceremony.
According to Htay
Aung, 6,000 athletes and
3,000 journalists are due
for the games, as well as
hundreds of thousands
of local fans. The majority
of events will take place
in Nay Pyi Taw, while for-
mer capital Yangon will
host some events such as
Chess and Weightlifting,
and Sailing events will
take place in Ngwe Saung.
Mandalay will also host
some football matches.
The Games, which are
the 27
th
version of the
event, are seen as an op-
portunity for Myanmar to
showcase that it is able to
cope with the increased at-
tention that it is receiving.
Vice President Nyan
Tun has urged athletes
to strive for a golden age
of Myanmar sportsim-
proving the reputation of
the country and making
history to be regarded as
sporting heroes.
Despite the overall opti-
mism, some government
omcIuIs ure prIvuLeIy
concerned about the
countrys ability to host
the event, according to
the AFP report.
There are many things
to be done even though
many ministries are in-
volved, said one govern-
menL omcIuI wIo usked
not to be named. Hotel
rooms cannot be enough
because many foreigners
and visitors will come,
he told AFP.
Myanmars hosting of
the Games has already
come under some hre
from rival countries who
have criticised the deci-
sion to drop some more
mainstream sports and
replace them with ob-
scure Myanmar pursuits
such as Chinlone, while
some international ob-
servers remain concerned
about ethnic violence that
continues to take place in
the country.
I t was announced that
eleven new hotels had
opened in Nay Pyi Taw
last week, in time for
the games. The hotels
were named as Mya Nan
Yang, ACE, Thurizza,
J ade Royal, Aye Chan
Thar, Pearl Thiri, Excel
Capital, Mahn Myanmar,
Mingalar Thiri, New Ayar
and J ade City.
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
LOCAL BIZ
6
Myanmar Summary
Protestors on Bangkok's streets on Becember 2.
Will Thai Protests Impact Myanmar Tourism?
Regional observers say yes, but skepticism within country
T
he anti-government
protests that took place
in Bangkok and other
cities in Thailand last week
could boost visitor numbers
in Myanmar in 2013, industry
observers say.
According to Southeast Asia
trade newspaper TTR Weekly,
countries like Myanmar and
Vietnam could attract tourists
who do not want to travel to
Thailand due to fears around
the violence.
Late last month, protestors
took to the streets in the capi-
tal city of Bangkok in protest
against an amnesty bill that
would mean that former Prime
Minister Thaksin Shinawatra
can return to the country,
despite being sought for corrup-
tion charges within the country.
That bill was introduced by
the current government, which
is headed by Thaksins sister
Yingluck who many believe
acts as a puppet for her brother
- and, while the proposal has
now been rejecLed due Lo herce
opposition, protestors took to
the streets calling on Yingluck
to stand down.
After heated protests, at the
time of publication quiet had
largely been restored to the
capital, in part due to the Kings
Birthday celebrations which
took place on December 5.
Travel industry leaders have
voiced deep concern over the
current political unrest, point-
ing out that if it continues
another week, the trade should
brace for cancellations and a
Ioss oI conhdence In TIuIIund,
said TTR Weekly.
However, travel observ-
ers within Myanmar remain
skeptical as to what impact
Oliver Slow
R
e
u
t
e
r
s
the protests could have on the
countrys tourism market.
Myanmar is too much of a
niche destination at this stage
to appeal to the throngs that
head to Thailand frankly,
many of the beach-and-beer
crowd wont even know where
Myanmar is, said Marcus Al-
lender, founder of travel website
Go-Myanmar.com. He added
that the most recent protests to
hit Thailand in 2010 led to an
upsurge in tourist bookings in
Bali, I ndonesia.
While skeptical about the
short-term impact Thailands
situation can have, Allender did
suy LIuL Myunmur muy benehL
from long-term instability in
the neighbouring country.
The whole issue between the
rural poor and urban elite in
Thailand has rumbled on for
years. I f the problems continue
for a long time, or there was an-
other coup, then over the years
you could potentially see Myan-
mur benehLLIng, Ie udded.
Thet Zin, founder of Living
I rrawaddy Travel Service, also
expressed reservations on the
long-term impact of the Thai-
land situation on Myanmars
tourism, adding that it could
have a negative impact on tour-
ists to Myanmar getting visas.
Myanmar doesnt position
itself as a cheap country to
visit [like Thailand], so we do
not think that Thailands is-
sue will have a big impact on
Myanmar. I n fact, we are quite
disappointed that this whole
incident could actually delay
the visa agreement between
Thailand and Myanmar, which
was supposed to begin this
month, she said, referring to
an agreement touted to begin in
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December,whereby citizens of
Thailand and Myanmar could
visit their neighbouring country
visa-free.
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long way to go before it catches
up with neighbouring countries
Thailand and Vietnam, which
exported 7 million and 7.2
million tonnes respectively last
year.
I n an interview with Bloomb-
erg last week, Toe Aung Myint,
director general of the depart-
ment of trade promotion for
the Ministry of Commerce,
revealed that the government
plans to see 2.5 million tonnes
in export in 2014-2015, almost
doubling to 4.8 million tonnes
in 2019-2020.
Myint pointed to an increase
in demand around the world, in
particular neighbouring China,
as one reason for the expected
surge in growth.
We see promising oppor-
tunities in the sector because
the global rice market grows
and China demand increases,
he said, before adding that
Myanmar has the resources to
expand their production to the
desired level for export.
Other factors however ques-
tion how quickly Myanmar can
adapt to the increased demand.
I n a World Bank study, which
looked at the study of logistics
in countrys around the world,
with a particular focus on in-
frastructure, Myanmar ranked
129th in the world in 2012.
Thailand was placed 38th, Viet-
nam 53rd and Cambodia 101st.
This perception is supported
in practice. I n Myanmar, load-
ing a 20,000 tonne vessel with
rice takes eight days, double the
amount of time in Thailand or
Vietnam, Kiattisak Kanlayasiri-
vat, director at Ascend Com-
modities SA told Bloomberg.
Myanmar certainly has the
potential to become one of the
leading rice exporters, if not the
leading one in the medium run,
said the report. I t is one of the
few countries in the region that
faces no land, water or labour
constraints and it is strategi-
cally located, having China and
I ndia as neighbours.
More than 70 percent of My-
anmars population is employed
in the agricultural sector and
the rice industry contributed
13 percent to gross domestic
product in 2011.
From page ...(Rice Lxport) From page ...(Rice Lxport)
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7
December 12-18, 2013
Myanmar Summary
LOCAL BIZ
Myanmar Business Today
www.mmbiztoday.com
Myanmar is planning to improve the quality of its rubber in order to increase the income from exports.
Plans to Upgrade Rubber Quality for Export
T
he production of rubber
lacks quality control in
Myanmar at present,
mukIng IL dImcuIL Lo obLuIn LIe
higher prices in the world mar-
ket, according to sources from
the Myanmar Rubber Planters
Phyu Thit Lwin
F
ile
s
and Producers Association
(MRPPA).
Since the high quality rubber
cannot currently be produced
within Myanmar, the price it is
sold for when exported abroad
is low, said U Khaing Myint,
secretary of MRPPA. He added
that the amount of high-quality
rubber being produced within
the country had doubled from
last year and that now, an esti-
mated 20 percent of the rubber
produced is of high quality.
He added that while the cur-
rent equipment being used
Is sumcIenL Lo produce LIe
high-quality rubber, many local
entrepreneurs are not trained
sumcIenLIy Lo brIng LIe rubber
up to the required standards.
Earlier this year, the EU lifted
all remaining sanctions against
Myanmar, meaning that the
number of countries Myanmar
could export its rubber to
increased. However, U Kha-
ing Myint said that European
customers only purchase the
international-standard rubber,
so it is crucial for Myanmar to
ensure better production of the
product.
Myanmar exports its RSS1,
RSS3, RSS5 and MSR20 rubber
materials, with the bulk of ex-
ports being sent to China, I ndia,
Malaysia and Singapore. I n the
zo1z-zo1 hscuI yeur, qo,ooo
tonnes were exported, bringing
in $260 million, and MRPPA
aims to increase the export to
950,000 for 2013-2014.
Vietnam Group Eyes
Kyaiktyo Cable Car
A
Vietnamese company has expressed interest in
investing in a cable car project at Mount Kyai-
ktyo, the site of one of Myanmars most famous
sites, the Golden Rock in Mon State, source say.
Oman I nvestment Fund has already held meetings
with members of the government including members of
LIe Mon GovernmenL, Myunmur NuLIonuI Ruce AuIr
MInIsLer U TIeL WIn, hnunce mInIsLer Dr KIIn Muung
Twin and Electric and I ndustry Minister U Naing La
We Aung.
Vietnam wants to invest in running a cable car at
Kyaiktyo and establish factories in Mon State, said
Truong Hoang, adviser for Oman I nvestment Fund. He
added that the Mon State government had informed
the company that if they wished to make an invest-
menL, LIey musL hrsL muke u survey und cosL pIun Ior
the project.
Located just a few hours from Yangon, the Golden
Rock is one of Myanmars most popular tourist destina-
tions, particularly for domestic Buddhist tourists.
Kyaw Min
Myanmar Summary
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
LOCAL BIZ
8
From page ...(Lawei)
How Much Would It Cost to Immunise
All Children in 2014?
Thin Lei Win
A
ccording to two recent
reports by the children's
agency UNI CEF, it
would take a mere 0.9 percent
of revenues from two new pro-
jects to immunise all children
in Myanmar in 2014 some 1.5
million under two years of age.
I t would cost an estimated
$11.4 million for 6.76 million
doses of vaccines covering a
wide range of preventable dis-
eases and this could be funded
entirely by government revenue
from the Shwe project in west-
ern Myanmar and Zawtika in
the south, said UNI CEF.
Released in November, the
reports take an interesting
look at how income from
natural resource projects could
benehL cIIIdren In LIe resource-
rich but impoverished country,
which has emerged from half a
century of brutal military rule.
Analysts and observers have
long criticised Myanmar's
management of its immense re-
serves of gas, oil, gemstones and
timber as opaque the kind
of environment in which klep-
tocracies thrive as leaders and
cronIes creum o weuILI Lo IIne
their own , leaving the rest of
the country in poverty.
Despite its natural riches, My-
anmar is Southeast Asia's poor-
est country. About one-third of
its 60 million people live on less
than $1.25 a day.
Myanmar is blessed with an
abundance of natural resources
which can be turned into mean-
ingful, sustainable, impactful
social investments right now,
starting with children, one of
the reports said.
As income from natural
resources grows, theres an
opportunity for the Myanmar
government to channel it into
social development and this
could be done for a relatively
small amount of government
money, it added.
Ongoing reforms may have
made Myanmar a darling of the
West a far cry from a couple of
years ago when it was a pariah
state but the countrys spend-
ing on education, health and
social welfare is still measly.
or LIe hscuI yeur zo1z-zo1,
as a percentage of GDP, the
government spent 0.76 percent
on health, 1.46 percent on
education and 0.01 percent
on social welfare, according to
UNI CEF. Almost all vaccines
are currently purchased with
donor funds.
Social spending has seen in-
creases in recent budgets but
its important to remember the
base was extremely low. Aid
workers said in 2007 that the
government spent only $0.70
per person on health.
Despite improvements, the
countrys under-5 and infant
mortality rates are the highest
among ASEAN (the Association
of SouthEast Asian Nations)
member countries, and many of
these deaths are preventable, it
added.
Around 56,000 children
under hve dIe In Myunmur eucI
year, a huge majority of them
younger than one month, said
the aid agency.
The current immunisation
rate in Myanmar is fairly high
around 80 percent, although
UNI CEF says data isnt always
reliable but theres no reason
According to reports, less than 1 percent in revenues from two projects, the Shwe pipeline in the west of the country and Zawtika in the south,
would allow all children in the country to be immunised against deadly diseases.
R
e
u
t
e
r
s
why every single child couldnt
be vaccinated, considering the
amount of money Myanmar is
earning and could earn from
natural resource projects.
Children are the most
precious resources of the
country. They must be the
hrsL benehcIury oI LIe ongoIng
reforms, said Bertrand Bain-
vel, UNI CEFs representative in
Myanmar, in a report. Reuters
Myanmar Summary
world can do this project as the
sole developer. We need to de-
termine how much the I talian-
Thai company has invested in
this project by a due diligence
assessment, he said.
I nternational audit compa-
nies Ernst & Young, Deloitte
and PricewaterhouseCoopers
(PWC) have been invited to
submit proposals for the due
diligence assessment said Set
Aung, with the work expected
to be completed by April 2014.
According to reports, I TD has
said it invested around $189
million in Dawei and expected
a full reimbursement of those
costs, plus interest.
TIe uudILIng hrms wIII ussess
how much I TD spent on this
SEZ, said Set Aung.
Due to the cease of operations
brought about by the review, an
estimated 1,200 local workers
will be out of work until the
work begins, labour leaders
have said.
The project has been hit by
hnuncIuI und envIronmenLuI
issues since plans were an-
nounced. The Myanmar
government has attempted to
convince the J apanese gov-
ernment to play a role in the
project, although it is thought
that J apan is more interested
in the Thilawa project closer to
Yangon.
Villagers in the region have
also complained about the con-
tamination of their water due to
mining in the area.
From page ...(Lawei)
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Workers at an industrial site in Dawei region.
K
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9
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
LOCAL BIZ
10
Myanmar Summary
The Oyu Tolgoi mine, located in the Gobi Desert, is one of the largest copper projects under development.
W
M
The Surprising Potential of
Myanmar-Mongolia Relations
Brandon Miliate
I
n November, Mongolian
President Tsakhiagiin Elbe-
gdorj mude un omcIuI LrIp
to Myanmar as part of his tour
of Southeast Asia. This was the
hrsL LrIp by u MongoIIun Ieud
of state to Myanmar since dip-
lomatic relations were estab-
lished in 1956. While in Yangon
and Nay Pyi Taw, Elbegdorj
met with Myanmars President
Thein Sein, following which
they released a joint statement
of cooperation.
Elbegdorj also met with Aung
San Suu Kyi, gave a well-
received speech at the Univer-
sity of Yangon, and met with the
newly established Mongolian-
Myanmar Business Council.
This visit will likely serve as
a starting point to increased
Mongolia-Myanmar coopera-
tion, and support the deepening
of diplomatic and economic
ties.
Mongolian-Myanmar rela-
LIons Iuve sIgnIhcunL poLenLIuI.
Any comparison of the two
countries would point to a
myriad of potential avenues for
cooperation. Most importantly,
however, is ample scope for
mutual cooperation and policy
learning between Ulaanbaatar
and Nay Pyi Taw on democratic
governance, natural resource
management and foreign
uuIrs.
Mongolia is widely recognized
as a post-communist success
story, having pursued economic
and political opening simultane-
ously, surviving the transitions
intact, stable and distinctly
democratic. Today, Myanmar
continues to pursue political
liberalisation, and has been able
to quickly reap the international
benehLs oI LIIs IIsLorIc poIILIcuI
transition, including sanctions
relief and increased economic
and diplomatic ties with the
US and Europe. I n this regard,
Myanmar may be able to learn
from Mongolian successes and
pitfalls in how to manage politi-
cal opening and economic lib-
eralisation. I n fact, Thein Sein
congratulated Mongolia on its
successful democratisation and
presidency of the Community
of Democracies in 2012-2013.
Likewise, Elbegdorj noted
Myanmars unprecedented ef-
forts at democratisation, and
extended his countrys support
In LIe heIds oI democruLIsuLIon,
rule of law and human rights.
Mongolia and Myanmar are
leading emerging markets for
natural resources. Mongolias
Oyu Tolgoi mine is one of the
largest copper deposits current-
ly under development, while
Myanmars largely untapped
supplies of natural gas and
metals has already attracted
the attention of international
businesses, not to mention gov-
ernments eager to access these
reserves. However, as I pointed
out in a previous article, both
governments are also keen to
balance international inves-
Lors` Inuence In LIe economy
and both have had to respond
to public demands for trans-
parency and environmental
protections. The potential for
Mongolia and Myanmar to not
only learn from each other in the
heId oI resource munugemenL,
but also to coordinate their
policy decisions, was pointed
out by recent pushes for an M3
alliance between Mongolia,
Myanmar and Mozambique as
three countries with quickly
growing economies, bordering
BRI CS nations, keen to balance
resource investment against
political and societal concerns.
Mongolia and Myanmar al-
ready share important foreign
policy and security concerns.
Both are relatively small states
when compared to their large
neighbors. Mongolia has to
contend with its two powerful
neighbors: China and Russia.
Myanmar also borders two
great power neighbors I ndia
and China but also a number
of smaller states Thailand,
Bangladesh, and Laos that
give it more options than
Mongolia has in this regard.
Both Mongolia and Myanmar
wIII Iuve Lo buIunce LIe Inu-
ence of their larger neighbors
by cultivating relations with
other states, including North
America, Europe and Australia.
Mongolia has been pursuing
this course quite successfully
since the 1990s, and Myanmar
has been leveraging its own
newly established democratic
credentials to improve ties with
the West after decades of isola-
tion. Mongolia and Myanmar
are likely to travel similar paths
in this regard.
Notwithstanding all that
potential, there are important
dIerences beLween LIese Lwo
countries that could ultimately
limit cooperation. Dr J ulian
Dierkes has produced a handy
table comparing Mongolia and
Myanmar on a number of meas-
ures, which highlights their
sImIIurILIes, buL uIso sIgnIhcunL
dIerences. MongoIIu Ius no
internal security challenges,
while Myanmar is still trying to
manage ongoing inter-ethnic
strife in its territory. Myanmar
is a country of 60 million peo-
ple, while Mongolia has only 5
percent of that number (about 3
million). As a landlocked state,
Mongolias trade is limited by
port access and international
infrastructure; Myanmar, as a
coastal state, has more freedom
in this regard. Finally, the sheer
physical distance between them
will limit some aspects of their
potential cooperation.
TIere ure ImporLunL dIer-
ences between these two coun-
tries, but there are also many
potential venues for increased
cooperation and mutual policy
learning and coordination.
WIeLIer IL wIII be LIeIr dIer-
ences, the space between them,
or LIe sImIIurILIes LIuL dehne
Mongolian-Myanmar relations
ultimately remains to be seen,
but recent developments sug-
gest cause for optimism.
The Diplomat
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LOCAL BIZ
11
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
BBC to Open Myanmar
Bureau
Oliver Slow
B
anned during the
countrys military
rule, British Broad-
casting Corporation
(BBC), one of the worlds
most recognised media
companies, will open a
bureau in the country
next year.
I t was announced last
week that the Ministry
of I nformation had
given permission for the
company to return to the
country.
There are many BBC
bureaux across the world.
But few are as hard
fought-for as this one,
said Peter Horrocks,
BBCs director of global
news on his blog.
The BBC was an un-
IncIIng crILIc oI LIe
military junta that ruled
the country until 2011,
but the decision to allow
LIem Lo re-open om cIuI
operations within the
country is the latest
in a raft of changes to
the countrys media
landscape.
I n August 2012, a long-
standing pre-censorship
board was disbanded and
formerly exiled media
outlets including Demo-
cratic Voice of Burma
and The I rrawaddy have
returned to the country
to begin operations.
HR Development Key for 2015 AEC: Adviser
M
yanmar should focus
on boosting its human
resources capacity to
prepare itself for the ASEAN
Economic Community (AEC) in
2015, according to Dr Aung Tun
Thet, the presidential economic
adviser.
I n preparation for the up-
coming AEC in 2015, companies
should promote the technology
sector and increase its human
resource capacity, said Dr
Aung Tun Thet, before adding
that measures should also be
taken to enhance the skill set of
employees.
Our country is full of natural
resources. I f we have enough
money, then the technological
need Is sImpIe Lo hII, suId U In
Htoo, an entrepreneur. I n this
situation, we face a big chal-
lenge when it comes to compet-
ing with foreign companies,
so at the present time workers
should focus on being compe-
tent in their jobs, he added.
Employment agencies have
also revealed that they are
expecting an increase in em-
ployment fairs in the coming
years, as an increasing number
Htet Aung
of foreign companies look to-
wards Myanmar as a business
destination.
Before 2015, we will arrange
a number of discussions and
shows that are hosted with the
aim of giving Myanmar youths
job opportunities in foreign
companies, said Ko Kyaw Zan,
from a Yangon-based employ-
ment agencies. I would like to
advise Myanmar youths to use
these opportunities carefully,
otherwise we cannot compete
with foreign workers who will
come to Myanmar in 2015, he
added.
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Myanmar Summary
..~..q.~~~ .~
. ~:._.. :.. ..: ~. :.
~.:.. .~. ~. ~ _.:.._
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._ British Broadcasting
Corporation (BBC) ._ .:
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q~q,~~~ .~...:~.,
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.~._:,-.|,~~: Peter
Horrocks ~ ._.:_~:..._ .
Coca-Cola is just one of many international companies moving into Myanmar.
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
FEATURE
12
Contd. P ...(Automotive)
Automotive: A New Booming
Sector in Myanmar?
Pongsak Kiatpathomchai
M
yanmar is the second
largest country in
Southeast Asia after
I ndonesia but it is one of the
poorest nations in this region.
The country has experienced
changes over the past 50 years
of military rule. The most
sIgnIhcunL cIunge In Myunmur
cume uILer LIe hrsL NuLIonuI
election in 2010.
Relaxi ng r egulati ons
The vehicle import regulation
was relaxed after the election
during 2010-11 by making
easier the import of com-
mercial vehicles; trucks over
three tonnes and buses over
15 seats. However, major lifts
started from September 2011
when the breakthrough rule
implemented the Old car
substitution program allow-
ing the application for car im-
port permits to substitute older
cars (initially those 20-40 years
old) for newer models (those
manufactured after 1995).
From May 2011, any Myan-
mar citizen aged 18 years and
up could import one unit of
passenger car under his/ her
own name, only for personal
usage. The imports of passenger
car for commercial purposes
were still limited. As a result,
the latest lift was implemented
from May allowing individuals
or companies to import light
trucks less than three tonnes.
Currently, in Myanmar there is
no import limits on any kind of
vehicle for commercial purpose.
The changes in import regula-
tions resulted in the number of
total vehicle registration jump
from around 2 million units
(before 2010) to 3.8 million
units up to J uly, according
to the Road Transportation
Administration Department
(RTAD). However, within the
four wheelers population, all of
the vehicles are still used cars
imported mostly from J apan.
Gr owth segments
According to the data released
by the RTAD, around 85 percent
of total vehicles are motorcycles
which mainly are J apanese and
Chinese brands. Motorcycles
have a steady growth rate of
8-10 percent per annum and are
expected to continue with this
growth rate in the future. How-
ever, passenger car and com-
mercial vehicles which received
dIrecL benehLs Irom LIe reIuxIng
import regulation are expected
to have 15 percent growth per
annum in the coming years
compared to only 4-5 percent
growth before 2012, as analysed
by Solidiance, an Asia-focused
munugemenL consuILuncy hrm.
From 1998-2008, Suzuki
formed a joint-venture com-
pany with the government and
produced 4,800 vehicles. After
that, the permit was cancelled
by the government. Ap-
proximately 8,500 units were
produced during 2008-12 by
J Vs with the government and
Cherry, Tata and I suzu.
I n 2013, the automotive pro-
duction industry has started to
cIunge sIgnIhcunLIy sInce muny
global players foreseeing higher
demands of passenger cars have
planned to build either show-
rooms and/ or manufacturing
sites in Myanmar of which the
markets key players are the
J apanese brands.
On the other hand, Nissan
is partnering with Tan Chong
Motors to build the largest
automobile assembly plant in
Myanmar. The new plant will
open in the Bago region in 2015
to produce Nissan Sunny cars.
With 300 workers, it will have a
capacity to assemble more than
10,000 vehicles a year.
TTAS, a joint venture between
Toyota Tsusho Corp and lo-
cal Aye and Sons has recently
opened its second service center
in mid-2013 in Shwe Than Lwin
I ndustrial Zone in Hlaing Thar-
yar township. By the end of this
year, there will also be a Toyota
service centre in Mandalay.
MILsubIsII opened ILs hrsL
showroom by a consortium of
four companies in May 2013:
Mitsubishi Motors, Mitsubishi
Corp, Yoma Strategic Holding
and First Myanmar I nvestment.
The group also plans to estab-
lish service centres in Mandalay
and Nay Pyi Taw in the future.
Other global car makers are
also jumping into Myanmar.
Ford Motor Co partnered with
RMA Group and Capital Dia-
mond Star group to open a new
sIow room In OcLober. TIe hrsL
Ford show-room provides a full
range of activities from sales
and service to spare parts.
General Motors has recently
purLnered wILI PucIhc AIpIne
Pte Ltd, an existing exclusive
dealer of Chevrolet and Opel
In SIngupore, und PucIhc-AA
Motor Ltd, a local distributor
of pharmaceutical products, in
mid-2013 for the distribution,
sales, and service of Chevrolet
vehicles in Myanmar. No clear
dates have been announced as
of when it will operate.
The most recent move is
Volkswagen which opened its
hrsL servIce cenLre In Yungon In
October through a partnership
although non-exclusive
with Yoma Strategic Holdings.
More carmakers from China,
I ndia, and Korea are also eye-
ing the Myanmar market. All
investments from car makers
will be developing the market
to speed up the growth in the
years to come.
Given that the automotive
industry has only just begun,
the selection of a good local
purLner cun dehne LIe success
in this initial stage as they un-
derstand market characteristics
and consumer behaviour in a
way that most newcomers do
not. Not only foreseeing a lot of
sales promotional campaigns
in the short term, Solidiance
also expects to see all players
educating the market about the
importance of after sales ser-
vices by coming to authorised
service centres and/ or using
genuine parts in the long term.
As a result, marketing com-
munication about maintenance
costs can be seen when local car
sales is reaching to a limit.
Automoti ve lubr i cants
gai n i nter ests
Thanks to the potential
growth of the auto industry, the
related products like lubricants
have drawn high attention from
global brands. Currently, there
are more than 200 lubricant
brands registered in the market.
Solidiance projects that the
market size of automotive
lubricants which was 52 mil-
lion litres in 2012 would reach
80 million litres in 2016 as a
consequence of vehicle growth.
The majority of Myanmar
people go for cheap lubricants
(non-synthetic), but updating
cars to newer car models would
Contd. P ...(Automotive)
A seller waits for customers at a saloon for newly imported cars in central Yangon. Saloons with newly imported vehicles recently mushroomed
across the country offering everything from Indian micro cars to super expensive Rolls Royce models. It is much easier and cheaper to import
cars nowadays. The incredibly complicated and expensive procedure has been replaced with something more affordable. As Myanmar opens up,
the most immediate physical changes are on its streets, as new cars begin plying roads long dominated by rattletrap buses and rusting taxis.
BareIy changed since the British coIoniaI era in the earIy 2Uth century, some of the decades-oId buses and trains are starting to be retired.
The changes in import regulation
resulted in the number of total vehicle
registration from around 2 million
units (before 2010) to 3.8 million units
up to July.
D
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Myanmar Summary
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FEATURE
13
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
From page z...(Automotive)
make the market aware of better
quality. Owners of vehicles from
2007 and after are now no long-
er using mineral as they used to.
Asian brands particularly from
Singapore, Thailand, China and
Korea are the strongest players
in Myanmars lubricant market,
but the global brands have now
entered the market to sell their
products through joint ventures
with the local distributors, as
opposed to establishing their
own operations in the country.
However, strong players in au-
tomotive lubricants are mostly
Asian brands particularly from
Singapore, Thailand, China and
Korea.
An obvious challenge encoun-
tered in the lubricant market is
LIe IncreusIngIy herce compeLI-
tion on promotional campaigns
such as free gifts and lucky
druws. As LIe oered promo-
tions are getting more prevalent
to the eyes of customers, it is
geLLIng more dIm cuIL Ior IubrI-
cant companies particularly in
u muss segmenL Lo dIerenLIuLe
its brand positioning.
Sti ll some ti me to boom
Overall, the Myanmar auto-
motive market outlook is posi-
tive thanks to the loosening of
regulations, growing industry
and investments from global
players. However, high-end
vehicles and related products
will not be growing anytime
soon and will remain a small
market when compared to the
other ASEAN countries. Used
vehicles and entry-level level
cars will remain the majority
of the market. Players of after
sales products like auto parts
and lubricants are still playing
on pricing and promotions.
From a business perspective,
the few years from now are the
years to set up the automotive
businesses in Myanmar until
the real boom takes place in the
next 10 years.
Ponscl Kictpcthomchci is
Cars at an auto showroom in Myanmar.
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The market size of automotive
lubricants which was 52 million
litres in 2012 will reach 80 million
litres in 2016 as a consequence of
vehicle growth.
the Senior Consultant at Solidi-
ance, an Asia-focused growth
strcte cnd z mcrletin
consultcnc jrm uith sectorcl
expertise centred on automo-
tive/industrial application,
technology, healthcare and
green technology.
From page z...(Automotive)
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Tata . Isuzu ~. ....|._
..:.~:~:.~...q..|. .,.,.._.
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. ~~.~. ...|._ _.,.:.~
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Toyota Tsusho Corp . _._~.
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Mitsubishi Motors , Mitsubishi
Corp, YomaStrategic Holding .
First Myanmar Investment ~
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._ RMA Group, Capital Diamond
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
REGIONAL BIZ
14
Myanmar Summary
In 'Teon Thuilund' Protests Test u Weuk Iconomy
Martin Petty
A
s anti-government pro-
tests roil Bangkok, the
president of Thailands
largest petro-chemical com-
pany is already seeing scattered
disruptions to business.
"We have taken into account
the possibility of prolonged
political problems and we think
it could hurt our businesses
next year," said Bowon Vongsi-
nudom, president of PTT Global
Chemical Pcl, after days of pro-
tests including the occupation
of the Finance Ministry.
While Thailands economy,
Southeast Asia's second largest,
typically shows remarkable re-
silience to political turbulence,
there are factors this time
around that suggest the unrest
could exacerbate already sof-
tening business conditions.
Consumer spending has
slumped this year and exports,
worth 60 percent of Thailand's
$66 bIIIIon economy, ure ug-
ging amid weak global demand.
The government had pinned its
Iopes on oseLLIng LIose Iosses
with record 22.3 percent growth
from January to October in
tourism, a sector accounting
for 9 percent of gross domestic
product (GDP), and big infra-
structure spending.
That could be wishful
thinking.
Images of streets crammed
with whistle-blowing demon-
strators seeking to topple Prime
Minister Yingluck Shinawatra
jar with "Amazing Thailand"
tourist advertisements. About
16 billion baht ($497.82 million)
has been lost through holiday
cancellations this month alone,
just as peak season begins, says
the Tourism Ministry.
The protests could also add to
delays in the injection of 2 tril-
lion baht ($62 billion) into the
economy through infrastruc-
ture projects that have been on
ice for months, bogged down in
legal limbo from an opposition
party challenge.
"Real concerns come via
further delays in infrastructure
spending and impact on tour-
ism, the two most likely drivers
of Thai GDP next year," Credit
Suisse economist Santitarn
Sathirathai wrote in a research
note.
"These two components are
likely to be sensitive to political
and government stability," he
said, adding that a snap election
could return a weaker coalition
that would struggle even more
to push through big spending
plans.
Thailand's baht currency, now
the fourth-weakest in Asia, is
another factor. Even before the
protests, it looked vulnerable
to the US Federal Reserve's
expected winding down of its
$85 billion a month monetary
stimulus measures.
The monthly correlation
between the baht and 2-year
US Treasury yields has been
at record highs, which means
the currency already looks
ripe for a fall when the Fed
eases its stimulus measures. So
foreign investors who poured
into Thailand over the past six
months as they avoided more
troubled markets such as Indo-
nesia and India now have two
reasons to leave: higher U.S.
rates and domestic political
concern.
Political turmoil isn't always
a drag on Thailand's economy
which has weathered eight
yeurs oI on-o LurmoII LIuL
has seen governments toppled,
protesters shot, buildings and
buses set ablaze, and airports
and shopping malls seized by
demonstrators.
EucI LIme, TIuIIund's hnun-
cial markets typically swoon
and rebound.
The bloodiest political vio-
lence in a generation erupted
in April and May 2010, but
IoreIgn Inows neurIy doubIed
that year; stocks rocketed
40.6 percent and the economy
bounded ahead by 7.8 percent,
its best growth in 15 years.
Private investment jumped 14
percent and exports rose nearly
30 percent.
Tourists returned to Thai
beaches in near-record num-
bers, up 12 percent that year.
"The majority of foreign
investments are not in Bang-
kok," says Teeranan Srihong,
president of Kasikornbak Pcl,
referring to the manufactur-
ers at the heart of Thailand's
economy whose factories stud
surrounding provinces.
Anti-government protestors march through downtown Bangkok.
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"Thailand will be an attractive
destination for foreign inves-
tors over the long term."
There's a nickname for
LIe pIenomenon: "Teon
Thailand".
"Those who follow Thailand
are aware how it has bounced
back and right now, I don't see
any major negative impact," said
Rahul Bajoria, an economist at
Barclays Capital in Singapore,
referring to six days of anti-
government demonstrations.
But Bajoria acknowledges
there are some risks.
"If there's an escalation or
a snap election called, then it
would create uncertainty that
would certainly make people
edgy for a while," he said.
Thailand's latest economic
data - a snapshot of the economy
before the protests - have been
largely worse than economists
expected, with factory output
declining for a seventh succes-
sive month in October, down
4.08 percent from a year earlier
and a month-to-month decline
of 0.85 percent.
Exports fell 0.7 percent in Oc-
tober from a year earlier and the
central bank on Wednesday cut
its 2013 GDP growth forecast to
3 percent, from a scaled down
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Images of streets crammed with
whistle-blowing demonstrators seek-
ing to topple Prime Minister Yingluck
Shinawatra jar with Amazing Thailand
tourist advertisements.
3.7 percent seen last month.
Its surprise quarter-point
interest rate cut to 2.25 percent
stretched the baht's losses to
0.3 percent to a 10-week low of
32.10 to the dollar on Wednes-
day and economists expect a
further weakening as foreign
cupILuI ouLows speed up.
Foreign investors sold a net
$1.5 billion in Thai shares this
month. But these pressures
were well in place before the
protests took hold.
Viboon Komadit, chief mar-
keLIng omcer uL AmuLu Corpo-
ration, which runs Thailand's
biggest industrial zone, said
investors were prepared to
weather political storms.
"We've been through Thai
political turmoil for years,"
Viboon told Reuters. "The
international community will
understand, political volatility
is part of development under a
democratic system."
Reuters
REGIONAL BIZ
15
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
China Impor ted Gas Pr ice Hike May Boost Impor ts
Chen Aizhu and Judy Hua
C
hina has hiked the price
of imported natural gas
by more than a quarter
backdated to July 1 as it tries
to encourage more deliveries
by pipeline and ship to cover
a winter shortage of the fuel,
industry experts said.
The worlds top energy user
has been in a severe gas short-
age since early November that
has forced rationing and the
suspension of supply to some
industries as it tries to guar-
unLee sumcIenL sLock Ior Iome
and transport use.
This is a small step in domes-
tic gas pricing reform toward
ensuring adequate supplies of
gas in what could be a colder-
than-expected winter, said
Gordon Kwan, head of oil and
gas at Nomura Research.
Beijing is also expected soon
to introduce other reforms in
pricing the cleaner-burning fuel
to boost imports and encourage
the development of Chinas
shale gas resources.
The average sales price for
imported pipeline gas will be set
at 1.11 yuan ($0.18) per cubic
meLre eecLIve JuIy 1, uccordIng
to a statement on the Ministry
of Finance website.
A Chinese worker walks past gas taps of the Kazakh stretch of the new 1,833-kilometre
(1,139-miIe) Turkmenistan-China pipeIine at Utar gas station, some 13U kiIometres (82 miIes)
outside Almaty.
Myanmar Summary
Banco do Brasil Looks to Asia for
$1 Billion Loan, Sources Say
Guillermo
Parra-Bernal
S
tate-controlled Banco
do Brasil SA, Latin
Americas largest
bank by assets, is in talks
with a pool of lenders to
raise at least $1 billion in
a syndicated loan transac-
tion, two sources with
knowledge of the deal has
said.
Banco do Brasil is seek-
ing to attract Asian inves-
tors to the deal, said one of
the sources, who declined
Lo be IdenLIhed sInce
the transaction is in the
works. A second source
said the loan would have
two portions of three and
four years, respectively.
TIe hrsL source suId LIuL
if market conditions turn
out favorable, the amount
raised could go "north of
the $1 billion mark." None
of the sources detailed the
targeted cost of borrowing
for both tranches.
The second source added
that the Asia-based units
of JPMorgan Chase &
Co, NP Paribas SA, HSBC
Holdings Plc and Stand-
ard Chartered Plc were
umong LIe bunks oered
a chance to participate in
the deal. Banco do Brasil
declined to comment on
the loan plans.
Many Brazilian compa-
nies are actively market-
ing fundraising deals in
international debtmar-
kets before the end of the
year, with state-controlled
oil producer Petrleo
Brasileiro SA and mining
giant Vale SA considering
the sale of global bonds
within weeks.
Vale, Petrobras and
Banco do Brasil could
obtain fresh funds for
investments and other
corporate purposes ear-
lier than usual to mitigate
fundraising risk ahead of
the presidential election
in Brazil next October and
the US Federal Reserve's
expected tapering of years
of monetary stimulus.
Reuters
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The ministry did not provide
a comparison, but based on a
previous rate of 0.88 yuan per
cubic metre set in July 2010,
this would mark a 26-percent
increase.
It (the price increase) will
help big gas importers like
PetroChina mitigate their losses
from selling Central Asia gas
and LNG at below cost, Kwan
said.
or ImporLs oI IIquehed nuLu-
ral gas (LNG), or super-chilled
gas shipped in tankers, domes-
tic sales prices would be 31.45
yuan per gigajoule, according
to the MOF, which industry ex-
perts converted to around 1.20
yuan per cubic metres.
The price adjustment is an
apparent follow-up to Beijings
move in June to raise gas prices
for wholesale distributors sell-
ing to non-residential users by
1 percenL, LIe hrsL IIke on u
national scale in three years.
Top oil and gas producer
PetroChina said in August it
expecLed LIe hrsL prIce IIke Lo
narrow its losses from selling
imported gas below cost and
boosL ILs prohLubIIILy by zo bII-
lion yuan ($3.27 billion) every
year from 2014.
PetroChina recorded a loss of
42 billion yuan last year for sell-
Ing ImporLed gus uL urLIhcIuIIy
low prices as mandated by the
governmenL Lo Lume InuLIon.
PetroChina imports LNG
and also operates the coun-
trys cross-country gas pipe-
lines from Central Asia and
Myanmar.
China, the worlds fourth-
largest gas user, is encouraging
greater use of the lower-carbon
fuel, with consumption set to
triple by 2020.
Reuters
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
REGIONAL BIZ
16
Myanmar Summary
Contd. P zj...(\ork Lthic)
Work Ethic, Comic Hero Make Koreans
Hot Shots in Car Design
Norihiko Shirouzu
and Hyunjoo Jinwon
I
n todays auto industry,
where famed Japanese
quality and durability are
increasingly a given, design is
king and, among designers,
South Koreans are hot property.
From General Motors bold
Chevrolet Camaro to the quin-
tessential British gentlemens
Bentley, more top models
curry LIe uIr und sIgnuLure
of a group of designers from
South Korea, which some have
dubbed Asias Italy for its
impact on car design, fashion
and aesthetics.
As competition in the industry
becomes ever more cut-throat,
partly as gaps in quality and
technology narrow, automakers
need bolder, edgier designs to
dIerenLIuLe. rom u gIobuI LuI-
ent pool, South Koreans stand
out.
Designers, including Sangyup
Lee, Jinwon Kim and Jay Jong-
won KIm, ure guInIng Inuence
at automakers in the United
States and Europe, and even
at Toyota Motor, as well as, of
course, at Hyundai Motor and
Kia Motors.
Theories for this Korean wave
vary: from Hyundais rise and
the nations work ethic, to a
societal emphasis on external
beauty Korea has a thriving
cosmetic surgery industry and
the impact of a 1990s comic
book and TV series called As-
phalt Man, which starred local
heartthrob Lee Byung-hun as a
young car designer. The aspir-
Ing hcLIonuI desIgner InspIred
a lot of kids, including me, at
the time, said Sangyup Lee,
who is in charge of exterior
design and advanced design at
Bentleys main studio in Crewe,
]ohnny Yongjun Cho, 3U, from South Korea, works on a cIay design for a 2U23 Iamborghini during a Transportation Besign cIass at Art Center
College of Design in Pasadena, California.
L
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R
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in northwest England.
Four years ago, Lee led a
Korean-Russian-Brazilian team
that redesigned the new Cama-
ro for launch by GM in 2009.
He later moved to Volkswagen
and then to the German groups
Bentley unit. Another member
of the Camaro team was Steve
Kim, a Korean native, who is a
director at GMs design studio
in Seoul. The two used to work
in the basement of Lees house
in a Detroit suburb, often late
into the night tossing around
Ideus und hIIIng up skeLcIpuds
to conjure up the new Camaro.
"Koreon mopo"
At GM, the Detroit automaker
that bought failed Daewoo
Motors in 2002, close to three
dozen Koreans are among
several hundred professionals
working at the main US studio
in Warren, Michigan and are
dubbed LIe Koreun muhu or
K-team.
Tim Lee, GMs global manu-
facturing chief and China unit
chairman, says most global
brands are now equally capable
on quality and technology.
What sets us apart? Great de-
sign and (economies of) scale,
he said, noting a successful au-
Lomuker Ius Lo oer more curs
Ior LIe cusLomer uL uordubIe
prices.
At Toyota, Jinwon Kim led
the design of the FJ-Cruiser,
an edgy sport utility vehicle.
Mercedes-Benz designer Hu-
bert Lee, American-born but
who grew up in Seoul, master-
minded the styling of the CLS
luxury coupe, and Jay Jongwon
Kim is a rising talent at Opel,
one of the design brains behind
the Monza concept car that won
plaudits at this years Frankfurt
auto show.
Koreans are extremely good
designers, well trained and
disciplined, said Chris Bangle,
a former BMW design chief who
now runs a design consultancy
in Italy.
Bumsuk Lim, a Korean native
and a professor of car design at
the Art Center College of Design
in Pasadena, California widely
regarded as the Harvard of auto
design says the rise of Korean
designers is a result of a turn in
the global industry. In most
mature markets people have
moved on and cars are gener-
ally nothing more than a means
of transportation, he said. In
Korea and, increasingly, China,
people still dream of owning
cars and theyre considered
a status symbol, making car
design a desirable profession.
In a typical class of 12-15 stu-
dents at the Art Center, more
than half are Asian, and half of
those are Korean, noted Lim,
Contd. P zj...(\ork Lthic)
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_.. ~:q_..._ ~.~.:.q.,_..
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. . .:.~~ ~ . ..: . q .,q,
.~._.. ~.q..|..: ~.~~..
~. . ~_e. q .:_._e. ._~:. . q._ .
..: .~: ~:.. . , ._~ ..:.~.,_e
~q_ ~.. .. ,_ .._:~ . . . , .
~...~.. ~:_.:.. ...q.~:
._ ~~ ~ ..: .~:~:....~ ~ ~
...~~~:..:..:. q.:q,. e
_..... .._..:..:q, ..:.~:
~:.~....:.~.,_e .~...
~ ~:, . ~ .:_~_.. ~ _.:._.:.,:.. ~
.~._e .e:..:q,~~~ _~....
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~q.e:.~.,_e ,:.__~..,..:
. ~. . _e. ._ .~ - ~. ~. .:.
~ ._. . ._-: e , .~:. ~:.. ~ ,:
.e~..~_e. ,~~.._.. ~...
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Sangyup Lee ~ ._.:_~:..._.
.... . _~:..:~.| Lee ...:
..: ~q.e:.,q:.q:~. .~.
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_., ._ _._. . _.. . . ._ . .,:~
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.~: ..: . ~ ,:.:._e. _~_. . .~: .
REGIONAL BIZ
17
December 12-18, 2013
Contd. P z6...(Macau's ]unket)
Myanmar Business Today
www.mmbiztoday.com
A gambling table at a casino in Macau.
R
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Macaus Junket Operators Prowl
SE Asia to Expand VIP Business
Farah Master
O
n LIe second oor oI
Solaires plush ocean-
front casino in Manila,
the dealers speak Mandarin,
the players are Chinese and rev-
enue from high-roller gamblers
is rising rapidly.
"I t's almost not in the Philip-
pines. I t's more like you're
in Macau," says Francis
Hernando, the Philippine gam-
ing body's vice president for
licensed casino development.
Wealthy Chinese
gamblers are a grow-
ing presence in Asias
emerging casino hubs
as Macau's junket op-
erators use their home
base as a springboard
to grow their high-
roller business across
the region.
"The junkets are very
aware and are looking
all over Asia to expand.
I t's the biggest expan-
sion phase ever right
now," said Ben Lee,
Asia gaming consultant
at Macau-based con-
sultancy I GamiX.
OsIore expunsIon Is
just one way the junket
operators - which earn
commissions from
casinos to attract "big
whale" gamblers - are
responding to pres-
sures at home as Beijing strives
to turn Macau into a mass-
market tourist destination.
Caps on the supply of gaming
tables that Macau's casinos can
install and new rules that make
it harder for wealthy punters
to remain anonymous are
two of the regulatory changes
prompting the junkets to alter
their business model.
As a result, the proportion of
Macau's gaming revenue from
VI Ps has fallen to its lowest
share since 2006, while spend-
ing by middle-class, mass-
market gamblers - who do not
rely on Macau's idiosyncratic
junket system - is surging.
Armed with extensive custom-
er networks and deep pockets
thanks to monthly turnover of
up to $9 billion, the junkets are
now trying to repeat the Macau
formula in countries such as
Cambodia, the Philippines and
Vietnam.
Suncity, Heng Sheng Group,
David Group, Tak Chun, J imei
Group, Golden Group, Mega
Stars and Golden Dragon are
some of the Macau junket op-
erators scouting opportunities
overseas.
Emerging casino hubs in
Southeast Asia have lower
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
INTERNATIONAL BIZ
18
Myanmar Summary
Shoppers walk past a Barneys store in New York.
Holiday Weekend Sales Dip on Discounts,
E-Commerce Jumps
Phil Wahba
H
eavy discounting took
a toll on US retail sales
during the Thanksgiv-
ing weekend as shoppers spent
almost 3 percent less than they
did a year earlier, according to
data released by an industry
group.
That could be an indication of
u more dImcuIL seuson Ior muny
retailers. One bright spot this
weekend, according to the data,
was e-commerce as online sales
soared.
The National Retail Federa-
tion (NRF) estimated the aver-
age shopper spent $407.02 over
the weekend, or 3.9 percent less
than during the same weekend
last year, because of lower pric-
es it said would persist through
the rest of the season.
"Retailers will continue to
aggressively promote their
In-sLore und onIIne oerIngs,
looking to entice today's very
budget-conscious and value-
focused shopper," said NRF
Chief Executive Matthew Shay.
The NRF said 141million peo-
ple went shopping at least once
during the holiday weekend, up
from 139 million last year. But
total spending was expected to
reach $57.4 billion for the four-
day period - which includes
Black Friday, the biggest shop-
ping day of the year - down 2.8
percent from $59.1billion over
the same weekend in 2012.
The big deals will also dent
prohL murgIns, unuIysLs suId.
"Sales will go up, but gross
margins are going to be down.
Doorbusters were what people
were shopping for, more than
LIe reguIur-prIced sLu," suId
Ron Friedman, retail practice
Ieuder uL LIe consuILIng hrm
Marcum LLP.
The Thanksgiving weekend
is an early gauge of consumer
mood and intentions in a season
that generates about 30 percent
of sales and nearly 40 percent of
prohL Ior reLuIIers.
But many have given modest
forecasts for the quarter. Wal-
Mart Stores I nc said it expects
no growth in its US comparable
sales, and Macy's I nc didn't
raise its full-year sales forecast
despite strong numbers last
quarter.
The shorter holiday period
this year - there are six fewer
days between Thanksgiving and
Christmas compared with 2012
- prompted retailers to begin
oerIng burguIns on Monduy,
earlier than usual, something
Shay said likely pulled some
suIes Iorwurd Lo LIe hrsL purL oI
the week.
The NRF stuck to its forecast
for retail sales to rise 3.9 per-
cent for the whole season.
Chad Hastings, the general
manager of Town East Mall in
Mesquite, Texas, near Dallas,
said shoppers were even more
focused this year on specials,
noting a higher correlation be-
tween the timing of doorbusters
und LIe rIse In sIopper Lrumc uL
his mall over the weekend.
"Retailers are doing whatever
they can to get that wallet share
earlier," Hastings said. Town
East Mall's anchor tenants in-
clude J .C. Penney, Macy's and
Sears.
ComScore I nc, an analytics
hrm, suId US onIIne suIes rose
17.3 percent on Thanksgiving
and Black Friday, outpacing
sales growth at brick-and-
mortar stores. ComScore has
forecast a 16 percent jump in
online sales for the season,
helped by greater use of mobile
devices.
The most visited e-commerce
sites in order were those of
Amazon.com I nc, eBay I nc,
Walmart, Best Buy Co I nc and
Target Corp, comScore said.
Retailers are also being ag-
gressive online as they look to
benehL Irom Cyber Monduy,
which falls on December 2 this
year. Cyber Monday is the big-
gest sales day of the year for
e-commerce.
R
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J .C. Penney Co I nc and Macy's
were among retailers that had
already begun their "Cyber
Monday" sales on Sunday,
looking to keep the momentum
going. Target was calling the
occasion "Cyber Week."
The NRF predicted 131million
Americans would shop online
on Cyber Monday, compared
with 129 million last year.
ReLuIINexL, un unuIyLIcs hrm,
found overall shopper traf-
hc beLween Wednesduy und
Friday fell 5.2 percent and that
cusLomers wenL Lo Iewer dIer-
ent stores, doing more online
research beforehand.
But shoppers spent more
money in the stores they did
go to, and Shelley Kohan, vice
president, retail consulting at
RetailNext, said that a website
good enough to make shoppers
want to visit a store is more
crucial now than ever.
"Shoppers have more op-
tions," Kohan said. Reuters
Retailers will continue to
aggressively promote their
in-store and online offerings,
looking to entice todays very
budget-conscious and value-
focused shopper,
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INTERNATIONAL BIZ
19
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
GrainCorp Rejection Tarnishes Australias
Reputation as Open for Business
Jane Wardell
A
ustralia's "open for busi-
ness" sign is swinging
precariously in the wind
after the government blocked
a A$2.8 billion ($2.6 billion)
takeover of GrainCorp by US
agribusiness giant Archer Dan-
iels Midland (ADM).
The surprising decision to bow
to pressure from grain grow-
ers is likely to spook foreign
investors, who already think
that pushing a deal through in
Australia is tough, international
lawyers and bankers who work
in mergers and acquisitions
said.
Treasurer J oe Hockey rejected
the deal - the third-biggest
takeover by a foreign company
in Australia to be blocked - after
the Foreign I nvestment Review
Board (FI RB) had failed to reach
a consensus recommendation.
Citing national interest, Hock-
ey said domestic grain growers
were concerned the takeover of
a company handling a third of
Australia's wheat production
would reduce competition and
impede their businesses.
Although the rejection does
not set a legal precedent be-
cause prospective foreign deals
are judged by FI RB on a case-
by-case basis, it reinforces the
perception Australia is not as
open for business as it likes to
think.
"We need to be careful about
the message we are sending,"
said Malcolm Brennan, a spe-
cIuI counseI uL Iuw hrm KIng
& Wood Mallesons, where he
advises clients on Australia's
foreign investment regime.
"There are so many myths out
there and we are in competition
with others for deals."
I n reality, FI RB passes the
vast majority of deals it reviews.
I t rejected just 13 of more than
11,ooo uppIIcuLIons In hscuI
2012, all related to real estate.
n u IIgI-prohIe bIddIng wur
for Australia's Warrnambool
Cheese and Butter Factory
Holdings Ltd, Canada's largest
dairy maker Saputo I nc found
its A$515 million bid quickly
waved through by the FI RB.
Aware of the potential reper-
cussions of the ADM rejection,
Prime Minister Tony Abbott
said he wanted to "make it ab-
solutely crystal clear that we are
open for business, we are open
for foreign investment".
He sLressed IL wus LIe hrsL
rejecLIon umong 11 sIgnIhcunL
foreign investment applications
since his conservative Liberal
Party-led Coalition government
took power in September.
BuL experLs In LIe heId suId
the reality does not weigh heav-
ily enough on the perception.
"Chinese and other Asian
investors are of the view that
AustraIia's decision to reject a $2. biIIion US-Ied takeover of agri-rm CrainCorp has made observers concerned about future investment deaIs
in the country.
R
e
u
t
e
r
s
RB Is u dImcuIL process und II
a deal goes to FI RB it is the end
of the deal," said Brennan.
Scott Weldon, director
research and trading at Dux-
ton Asset Management in
Singapore, said the bid was
rejected on "potentially rea-
sonable grounds" because of
GrainCorp's national strategic
importance and dominance in
the market.
"We would hope this does not
reecL u cIunge Ior poIIcy uecL-
ing smaller foreign investments
into the agricultural sector,"
Weldon said. Duxton manages
around $430 million in agricul-
tural assets for its clients.
The American Chamber of
Commerce in Australia said
it was very concerned about
We would hope this does not
reflect a change for policy affect-
ing smaller foreign investments
into the agricultural sector,
the signal the ADM decision
sends to other potential foreign
investors.
"Like many others, AmCham
had been watching this par-
ticular investment application
carefully, knowing it would
inevitably have a real impact on
American and foreign percep-
tions of Australia as a place to
invest," Niels Marquardt said.
The US is the largest foreign
investor in Australia, with a
stock of foreign direct invest-
ment approaching $150 billion.
Marquardt said he recognised
the ADM decision was a statisti-
cal anomaly, but "nonetheless
we are concerned about its
impact."
Of major concern is the role
played by politics and public
opinion in the ADM deal. The
purchase had previously been
approved by Australia's com-
petition regulator and analysts
had expected it to proceed.
But it was unpopular with
farmers and many voters and
had stoked divisions between
Abbott's Liberal Party and its
junior partner, the rural-based
National Party.
"The new government is seem-
ingly more sensitive to factors
uecLIng LIe ugrIcuILuruI secLor
and smaller farmers' ability to
do business, which constitute a
large portion of their supporter
base," said Weldon, of Duxton
Asset Management.
Parallels could be drawn with
the intense political debate that
surrounded the landmark $15.1
billion acquisition of Canadian
company Nexen I nc by state-
owned CIInese oII hrm CNOOC
Ltd earlier this year.
That purchase resulted in a
policy backlash by the Canadian
government, which raised the
bar for future acquisitions by
state-owned enterprises of its
vast oil sands reserves, limiting
them to minority stake holders.
Adam Strauss, a partner at
Herbert Smith Freehills, a law
hrm udvIsIng YuncouI AusLruIIu
Ltd in a potential buyout by
its Chinese parent, Yan-
zhou Coal Mining Co Ltd , said
the ADM decision highlighted
the need to play a political as
well as an investment game.
"I think a lesson for foreign
investors is really about manag-
ing stakeholders in the media
and politics so you don't lose
control of the way the deal is
perceived," Strauss said. "ADM
probably lost control of the
debate and failed to win those
stakeholders over in terms of
wIuL LIey were oerIng."
Reuters
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
INVESTMENT & FINANCE
20
Myanmar Summary
Myanmar Looks Abroad for Investment
in Healthcare
Jared Ferrie
Y
angon General Hospital
was once the jewel in the
crown of one of Southeast
Asia's best healthcare systems.
These days, hundreds of
patients are forced to sleep
in corridors of the hulking,
colonial-era red-brick building,
dogs doze on LIe oor oI LIe
emergency ward and garbage is
piled in corners.
I t is a scene that Myanmar's
reformist government hopes to
change as it ratchets up spend-
ing on the sector and seeks
foreign investment to revive
one of Asia's sickest healthcare
systems.
Several leading regional
healthcare companies are
already operating in Myanmar
and others plan to enter soon,
seeing huge potential in the
country's underserved popula-
tion of about 60 million people.
Attracting foreign investment
is part of an overhaul of the
healthcare system by the quasi-
civilian government that took
over from the army in 2011.
The administration of President
Thein Sein has cut military
spending and raised healthcare
funding to 3 percent of govern-
menL spendIng LIIs hscuI yeur
to March 31, from 1percent the
previous year.
As with many sectors, how-
ever, prIvuLe hrms suy LIey ure
being held back by uncertainty
over rules for foreign investors.
The health ministry is drawing
up regulations for foreign hos-
pital operators to open facilities
in Myanmar independently or
through joint ventures, said a
senIor mInIsLry om cIuI, wIo
requested anonymity as he
was not authorized to speak to
media.
Bangkok Dusit Medical
Services Pcl, Thailand's largest
private hospital group, sees My-
unmur us LIe compuny's "hrsL
priority for foreign investment",
suId CIIeI OperuLIng Om cer
Chatree Duangnet.
But Duangnet added that the
company was waiting for the
government to make the invest-
ment laws clearer.
Amiruddin Abdul Satar, presi-
dent of Kuala Lumpur-listed
hospitals operator KPJ Health-
care Bhd, told Reuters his com-
pany was involved in the man-
agement of one hospital already
and the government had invited
them to expand. The company
declined to give further details
or reveal the amount of its
planned investment.
Singapore healthcare pro-
vider AsiaMedic Ltd said in a
J une statement it had signed an
initial joint venture agreement
with Five Oceans Service Co
Ltd, a Myanmar company, to
invest at least $3 million to set
up diagnostic scanners in two
hospitals in the northern city of
Mandalay.
Patients in Myanmar cur-
rently have to travel to cities
such as Bangkok and Singapore
for scans.
A spokesperson for AsiaMedic
told Reuters on November 5
that the companies had yet to
sIgn u dehnILIve ugreemenL.
The role private companies
will play in the healthcare sys-
tem remains to be determined,
said Hnin Hnin Pyne, a senior
human development specialist
with the World Bank who is
working with the government
on healthcare reform.
"How Is LIIs goIng Lo benehL
the poor? For me that is a mas-
sive question," she said, adding
that the government has set a
goal to provide health coverage
to all citizens by 2030.
At a November 25 meeting in
the capital, Nay Pyi Taw, Health
Minister Pe Thet Khin said co-
operation between the govern-
ment and private sector would
be key in achieving universal
coverage, the state-run New
Light of Myanmar newspaper
reported.
Hnin Hnin Pyne said the
government was still deciding
Patients are seen in Yangon CeneraI HospitaI. Myanmar's reformist government is seeking foreign investment to revive one of Asia's sickest
healthcare systems.
J
a
r
e
d

F
e
r
r
ie
/
R
e
u
t
e
r
s
whether healthcare will be free
or subsidized.
The healthcare system wasted
away during decades of neglect
under military rule, so that cur-
rently the high price is beyond
the means of many in one of
Asia's poorest countries, while
LIose wIo cun uord IL oILen
seek treatment overseas.
When Aung Myint, 67, was
diagnosed with liver cancer in
2005, he went to Thailand rath-
er than be operated on in My-
anmar, where a family member
had died of tetanus after under-
going a minor operation.
"I t was my two sons, both
of them doctors, who insisted
I shouldn't receive the treat-
ments here," he said.
I n 2000, during the dark
days of dictatorship, the World
Health Organization ranked
Myanmar second-last out of 191
countries surveyed for "overall
health system performance".
By LIe zooqJzo1o hscuI yeur,
patients in Myanmar had to
cover 81percent of their health-
care costs themselves, the
highest of any country in Asia,
according to World Bank data.
That compared with 56 percent
in Vietnam, 40 percent in Laos,
14 percent in Thailand and 35
percent in China.
"Now, because public spend-
ing has gone up, out-of-pocket
is around 60 percent," said
Hnin Hnin Pyne. "That doesn't
mean it's not a problem."
Tha Hla Shwe, who became
president of the Myanmar Red
Cross Society in 2004 after
working in the public health
system since 1966, said the
increased spending was already
paying dividends. "Lately, I
would say it's improving quite
drastically," he said.
Aung Myint Lwin, the senior
administrator of Yankin Chil-
dren's Hospital in Yangon, said
increased funding has meant
his 550-bed hospital can now
supply drugs free of charge to
puLIenLs wIo cun'L uord Lo puy.
He said he hoped the hospital
would one day be able to pro-
vide free medical care to every
child who visits the hospital.
"That is our dream," said
Aung Myint Lwin. "I n the near
future I believe the dream will
become true." Reuters
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.:.~~~ ._...._.~...:.~:.
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_., .:. ~ _._ ~ .. . , .~. . .
. ...| .__e. .. . .., ~_e. . . , .
...~_._~~_e ..:q~.:
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q .. ._. . . . .:. _.. . q, ~~ ~ ..
..:.......~ ~ ~. . ~_e. ..
- . . ~~,..:.q...: .q :~ .
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._~:. ~..|..,.- ~_~.~~
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~ ._.:_~:..._.
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q..._.......~:. _.,.:~..q.
q.q....._e..:..._~.,
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~~ . ~ . . ..| . . . q: ~, .
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_.._e.._~:. ._.:_~:..._.
INVESTMENT & FINANCE
21
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
All Asia Asset Capital Acquires 7 pc Stake
in Myanmar Allure Group
I
nvestment group All Asia
Asset Capital (AAA) has,
through a special-purpose
wholly-owned subsidiary,
acquired a minority 7 percent
sLuke In IocuI IospILuIILy hrm
Myanmar Allure Group (MAG).
The board is excited about
the investment in the Myanmar
Allure Group, which in our
view is solidly in line with our
investing policy, said Dr Sri
Hartati Kurniawan, AAA chief
execuLIve. We ure conhdenL
that the acquisition will provide
an avenue for the company to
create further opportunities to
deliver value to AAA sharehold-
ers, he added.
Based in Thailand and Myan-
mar, MAG, which comes under
the Star Sapphire Group of
Companies, operates the Allure
Resort, an 11-acre hotel, resort
and gaming facility located in
the Tachileik province of My-
anmar, close to the Myanmar-
Thailand Mae Sai border.
Located close to the popular
city of Chiang Rai in Thailand,
Su Su LIe resorL Is u hve mInuLe wuIk
Irom LIe border und oers u
variety of entertainment activi-
ties including gaming, shopping
and cultural sightseeing.
According to a report, MAG
plans to expand its business
operations, including the de-
velopment of a new building
at the site, as well as forming
partnerships with other gaming
operators to further increase
the demand in the sector.
On completion of the acquisi-
tion, AAA will pay $2 million in
cash to MAG.
q. . . _. . . . ~e ~._ . _e. ._
All Asia Asset Capital (AAA) .
_._~ .. . , .~. . _e. ._ Myanmar
Allure Group (MAG) ~ ..,.
qee: q:..,. ~ee. ._~:.
.q._.
~~e. Myanmar Allure
Group (MAG) ~ q..._....
~~ ~ ~. , . ~. .._.:~ ~. ..:_e.
.,._~:. AAA - ~...:..
Dr Sri Hartati Kurniawan ~ ._.:
_~:..._.
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~~ ~ ~ . ~ . . ~ .~~ .:..._
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.:.~ ._ . e, ~.. ._ _e. ~: AAA
- qee:q.:.~~~._. ~~.
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...:.._.:_~:..._.
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~:..~~ e~e. ~.,.._e.,
q:.:.~~ ~ ._ . . . , ..:. ..:
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.:.~ .q,._. _...,_..
AAA . q e e:~e e . ~~ ~ ~..q
~,..'.: ..e MAG. ...~.
. :.q._ _e. ._~: .. q._ .
B
ritain is listed fourth in foreign investment to Myanmar
after investing more than US$ 256 million between J anuary
and September, according to Directorate of I nvestment and
Companies Administration (DI CA).
Britain has invested more than US$ 3 billion in 62 businesses
and currently stands behind China, Thailand and Hong Kong. Total
foreign investment to Myanmar is over US$ 43 billion.
British companies invested mainly in oil and natural gas, con-
sumer goods production and transport sectors. The Myanmar
I nvestment Commission (MI C) has allowed Leisure Holdings Asia
Ltd. and HC (Asia) Holding Co. Ltd. from Britain the right to do
business in Myanmar.
British Prime Minister Bavid Cameron meets President Thein Sein at 1U Bowning Street.
UK 4
th
in FDI, January-September
A
n
d
r
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w

W
in
n
in
g
/
R
e
u
t
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r
s
Oliver Slow
Myanmar Summary
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
INVESTMENT & FINANCE
22
Myanmar Summary
Thirty international companies have bid for offshore gas blocks in Myanmar, including international giants such as Chevron and Total.
F
ile
s
OHshore Tender Attructs o Iirms
M
yanmar has received
bids from 30 com-
panies, including
international oil companies and
state-owned oil and gas com-
punIes, In ILs muIden osIore
licensing round, according
to data from the Ministry of
Oliver Slow Energy.
In this licensing round, the
governmenL oered o bIocks
11 in shallow water and 19 in
deep water and the interna-
tional oil and gas community
has shown key interest.
Shell, in partnership with
Japans Mitsui Oil Exploration
Company, has bid for three
blocks, while Chevron has bid
for two. ExxonMobil for two
blocks, as well as Statoil, who
is in partnership with Conoco-
Phillips, and Total.
Thailands PTT Exploration
and Production, which already
has a heavy presence in the
country, has bid for one block
and Malaysias Petronas has bid
for two, as has Indias OVL.
The 11 shallow water blocks
on oer comprIse LIree bIocks
In LIe RukIIne OsIore Areu,
LIree In LIe MouLLumu OsIore
Areu und hve In LIe TunInLIuryI
OsIore Areu. OI LIe 1q deep-
water blocks, 12 are in the Ra-
khine area, three in Moattama
und hve In TunInLIuryI.
Bidder were allowed to submit
a maximum of three bids each,
and the blocks will be awarded
under a production sharing
agreement, although foreign
compunIes couId be oered IuII
ownership of some deepwater
blocks.
For the shallow blocks, foreign
hrms musL Leum up wILI one Io-
cal company, but the deepwater
blocks are expected to grant
stand-alone status.
FMI Launches $25 mil Rights Issue
I
nvesLmenL IoIdIng hrm
First Myanmar Investment
(FMI) has launched a K25
billion ($25 million) rights is-
sue for the companys existing
shareholders, the proceeds of
wIIcI wIII be used Lo hnunce
growth of the business, the
company announced last week.
The company will issue 2.5
million new ordinary shares,
priced at K10,000 ($10) each,
representing a discount of 20
percent on the current price of
shares, the company said.
The shares will be open for
subscription by shareholders
in accordance with Article 105
(C) of the Myanmar Companies
Act from November 25 to Janu-
ary 8 2014. Shareholders will
be entitled to subscribe to one
new share for every six existing
shares held, and are entitled to
apply for additional shares.
Shares that are unsubscribed
may be open for application to
the public on 9 January 2014, in
accordance with Article 93 (3) of
Myanmar Companies Act. The
allotment of the new shares is
expected to take place one week
after closing of subscription and
will entitle their holders to any
dividends for the Financial Year
2013-2014. The sale of these
new shares is only available for
Myanmar nationals.
Oliver Slow Our economy is on the cusp
oI u sIgnIhcunL boom, u perIod
of exponential growth that may
not be easily repeated in the
decades to come. It is there-
fore our corporate strategy to
proactively expand our existing
operations and initiate start-
ups in the next two to three
years. To do so, we will need
to strengthen our capital base
and top up our war chest very
quickly, said U Theim Wai,
chairman of FMI.
The placement of 2.5 mil-
lion new shares will be fully
underwritten by SPA Myanmar
for a fee of 2%. The assurance
of capital ensures that our
strategic corporate plans can be
implemented on a timely basis,
said U Theim Wai, who is also
the Chairman of SPA Myanmar.
Funds from the rights issue
will be used in company projects
such as in the Thilawa Special
Economic Zone, in which FMI
is committed to subscribing
beLween hve und nIne percenL
of the Myanmar consortium of
the site. Other projects include
expanding existing operations
in tourism and automobile divi-
sions, building up of FMI Air
following the granting of a tem-
porury uIr operuLor`s cerLIhcuLe,
as well as an additional invest-
ment in Meeyahta International
Hotel Ltd, a 10-acre mixed
use property development in
downtown Yangon, which will
IncIude IoLeIs, om ce Lowers,
a shopping mall and high-end
condominiums.
Myanmar Summary
Daiwa to Advise AGD Bank
Kyaw Min
D
aiwa Securities Group will advise Myanmars Asia Green
Development (AGD) Bank as it prepares to go public on
the countrys stock exchange, which is expected to be
implemented in 2015.
At a signing ceremony in Yangon last week, chairman of AGD
Bunk, TIun YI expressed IIs wIsI LIuL LIe InILIuI pubIIc oerIng
process wIII be successIuI und LIuL LIe bunk wIII become LIe hrsL
publicly traded company in the country.
The deal was signed in Myanmar between the bank and
Myanmar Securities Exchange Centre (MSEC), a Myanmar
company owned by the Daiwa group and state-owned Myanmar
Economic Bank.
MSEC and Daiwa Securities Co, Daiwas investment banking
arm, will provide assistance in areas including negotiations with
hnuncIuI reguIuLors us weII us coordInuLIon wILI IeguI und uc-
count professionals.
PresIdenL und cIIeI execuLIve om cer oI LIe DuIwu group,
Takashi Hibino, said the signing represents an important step
for the development of an equity market in Myanmar.
Myanmar Summary
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INVESTMENT & FINANCE
23
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
Japan Helps Keep Myanmar On Track with
Railways Servicing Equipment
J
apan has provided railway
equipment to Myanmar to
help maintain its dilapi-
dated railway system.
Japan International Trans-
port Institute (JITI) has pro-
vided equipment worth 5.24
million yen ($55,000) to the
state-run Myanmar Railways, it
was reported last week.
Japanese companies have
taken a key role in projects in
Myanmar as it emerges from
hve decudes oI mIIILury ruIe,
purLIcuIurIy In LIe heId oI
infrastructure.
The Japanese government has
proposed 11 projects for railway
services to be implemented.
These include a 265 kilometre
railroad between Yangon and
Toungoo, wIIcI Is LIe hrsL
Oliver Slow phase of a Yangon-Mandalay,
with a 172-kilometre Toungoo-
Yamethin section as the second
phase, and a 177-kilometre
Yemethin-Mandalay section as
the third.
The east Japan Railways
Company has vowed to help
promote the development of
Myanmar railway manage-
ment and transport by sharing
technical knowledge with
Myanmar.
Earlier this year, Japan
announced that it would be
providing Myanmar with a loan
of over 51 billion ($497 mil-
lion), of which about a third is
to be used for construction and
renovation of infrastructure,
another third for the develop-
ment of infrastructure at Thil-
awa Economic Zone, and the
rest for upgrading power grid
Myanmar Summary
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The Five Laws of Gold
David Mayes
A
s I have just written
about educating yourself
hnuncIuIIy, LIougIL
a good follow up would be to
brIey presenL u seL oI prIncI-
ples outlined in one of the older
works I mentioned, The Rich-
est Man in Babylon by George
S. Clayson. They are presented
us LIe hve Iuws oI goId, und
they still hold true today. If you
IoIIow jusL LIese hve Iuws und
ignore all the other advice I give
in these columns, I am sure you
will leave a nice estate behind to
your loved ones.
1.Gold cometh gladly and
in increasing quantity to any
man who will put by not less
than one-tenth of his earnings
to create an estate for his future
and that of his family.
TIe hrsL Iuw Is very sImpIe,
and that is simply to make sav-
ing a habit. Many who fail to
realize the importance of this
simple technique usually fail to
reuIIze hnuncIuI Independence.
DeIuyed gruLIhcuLIon Is LIe
core of building wealth, yet in
the modern world of consumer
credit the most common prac-
tice is to do the exact opposite.
2.Gold laboreth diligently
and contentedly for the wise
ouner uho jnds jor it projt-
able employment, multiplying
eten cs the jocls oj the jeld.
The power of compounding,
even at low rates of return, will
eventually lead to an upward
spiral. This is mathematically
certain. Yet many people place
large amounts of their earned
income into depreciating as-
sets, such as motor vehicles,
grown up toys such as boats,
and keeping up with the latest
consumer trends. Again this is
uIso u Lrude-o beLween con-
sumption now or later, and the
more you deIuy gruLIhcuLIon LIe
more you ought to get net in the
long run.
3.Gold clingeth to the protec-
tion of the cautious owner who
invests it under the advice of
men wise in its handling.
Unfortunately this is much
more dImcuIL In LIe modern
world, where there are an in-
creasing ways to lose money in
very sophisticated ways. Yet
at the end of the day, the force
wIIcI conLroIs LIe hnuncIuI
markets still boils down to a
never ending pendulum, swing-
ing from greed to fear. This is
what makes the masses pile
into and out of asset classes and
it will never change. A money
manager with a good long term
track record (meaning surviv-
ing at least one full bull and
bear cycle) is likely to continue
to do well in coming cycles de-
spILe uny sIorL Lerm dImcuILIes.
An up and comer with a good
story to tell is a wildcard to be
avoided. Also avoid any stock
market fund like the plague if
their performance started after
the crash of 2008, as they most
likely have started anew after
being devastated.
4.Gold slippeth away from
the man who invests it in busi-
nesses or purposes with which
he is not familiar or which are
not cpproted b those slilled
in its leep.
Rules three and four are
simply counterparts of each
other. However, it is never wise
to invest in anything you cant
completely understand. There
are plenty of simple strategies
that make money in the long
run. Dont overcomplicate it or
uII oI LIe benehLs oI IoIIowIng
LIe hrsL Lwo ruIes cun be IosL.
These two are obviously the
mosL dImcuIL In LImes oI Iow
interest and scams and fund
collapses abounding, but with
a little caution you can avoid
most of the landmines. With di-
versIhcuLIon you cun muke sure
any speed bumps you do hit are
easy to recover from.
5.Gold jees the mcn uho
would force it to impossible
earnings or who followeth the
cllurin cdtice oj triclsters
and schemers or who trusts it
to his own inexperience and ro-
mantic desires in investment.
This one is fairly straight-
forward. Obviously going
after astronomical returns is a
surehre wuy Lo Iose money. TIIs
is not to mean a small portion
of a portfolio cant be allocated
to higher risk asset classes, but
you should never try to earn
double digit returns on your
entire estate as a strategy. Youd
be amazed at what 15-20 years
of 6-7% annual compounding
can produce in total return.
David Mayes MBA provides
wealth management ser-
vices to expatriates throughout
South East Asia, focusing on
UK Pension Transfers. He
can be reached at david.m@
faramond.com. Faramond UK
is regulated by the FCA and
provides advice on pensions
and taxation.
projects and power stations in
and around Yangon.
F
ile
s
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George S. Clayson -..~
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
24
INTERNATIONAL AND DOMESTIC FLIGHT SCHEDULE
Fliggh htss ffroom Yanggon (RGNN) to Bangkok ((BKK) Fliggh htss ffroom Banggkok (BKKK) to Yaangon (RGN)
Flight No. DDayss From To ETD ETA Operated by: Flight No. DDayss From To ETD ETA Operated by:
PG 706 1 2 3 4 5 6 7 RGN BKK 7:15 9:30 Bangkok Airways DD4230 1 3 5 7 DMK RGN 06:30 07:55 NOK Airlines
DD4231 1 3 5 7 RGN DMK 8:00 9:45 NOK Airlines 8M336 1 2 3 4 5 6 7 BKK RGN 6:40 7:25 MAI
FD2752 1 2 3 4 5 6 7 RGN DMK 8:30 10:15 Thai AirAsia FD2751 1 2 3 4 5 6 7 DMK RGN 7:15 8:00 Thai AirAsia
8M335 1 2 3 4 5 6 7 RGN BKK 8:40 10:25 MAI TG303 1 2 3 4 5 6 7 BKK RGN 8:00 8:45 Thai Airways
TG304 1 2 3 4 5 6 7 RGN BKK 9:50 11:45 Thai Airways PG701 1 2 3 4 5 6 7 BKK RGN 8:50 9:40 Bangkok Airways
PG702 1 2 3 4 5 6 7 RGN BKK 10:45 12:40 Bangkok Airways FD2755 1 2 3 4 5 6 7 DMK RGN 11:35 12:20 Thai AirAsia
Y5-237 1 2 3 4 5 6 7 RGN BKK 18:05 19:50 Golden Myanmar Airlines PG707 1 2 3 4 5 6 7 BKK RGN 13:40 14:30 Bangkok Airways
TG302 1 2 3 4 5 6 7 RGN BKK 14:45 16:40 Thai Airways Y5-238 1 2 3 4 5 6 7 BKK RGN 21:10 21:55 Golden Myanmar Airlines
PG703 1 2 3 4 5 6 7 RGN BKK 15:20 17:15 Bangkok Airways FD2753 1 2 3 4 5 6 7 DMK RGN 16:35 17:20 Thai AirAsia
8M331 1 2 3 4 5 6 7 RGN BKK 16:30 18:15 MAI PG703 1 2 3 4 5 6 7 BKK RGN 16:45 17:35 Bangkok Airways
FD2754 1 2 3 4 5 6 7 RGN DMK 17:50 19:35 Thai AirAsia TG305 1 2 3 4 5 6 7 BKK RGN 17:55 18:40 Thai Airways
PG704 1 2 3 4 5 6 7 RGN BKK 18:25 20:20 Bangkok Airways 8M332 1 2 3 4 5 6 7 BKK RGN 19:20 20:05 MAI
TG306 1 2 3 4 5 6 7 RGN BKK 19:40 21:35 Thai Airways PG705 1 2 3 4 5 6 7 BKK RGN 20:00 21:15 Bangkok Airways
FFliggh htss ffroom m Yangoon (RGN)) to Chiaang Maii (CNX) FFliggh htss ffroom m Chiangg Mai (CCNX) to YYangon (RGN)
W9-9607 4 7 RGN CNX 14:50 16:20 Air Bagan W9-9608 4 7 CNX RGN 17:20 17:50 Air Bagan
Flligghtss ffroom Yanggon (RGNN) to Sinngapore (SIN) Flligghtss ffroom Singaapore (SIN) to Yangon ((RGN)
Y5-233 1 2 3 4 5 6 7 RGN SIN 10:10 14:40 Golden Myanmar Airlines Y5-234 1 2 3 4 5 6 7 SIN RGN 15:35 17:05 Golden Myanmar Airlines
MI509 1 6 RGN SIN 0:25 5;00 SilkAir SQ998 1 2 3 4 5 6 7 SIN RGN 7:55 9:20 Singapore Airline
8M231 1 2 3 4 5 6 7 RGN SIN 8:30 13:00 MAI 8M6231/3K585 1 3 4 5 6 SIN RGN 9:10 10:40 Jetstar Asia
SQ997 1 2 3 4 5 6 7 RGN SIN 10:25 14:45 Singapore Airline 8M232 1 2 3 4 5 6 7 SIN RGN 14:10 15:40 MAI
8M6232/3K586 1 3 4 5 6 RGN SIN 11:30 16:05 Jetstar Asia MI518 1 2 3 4 5 6 7 SIN RGN 14:20 15:45 SilkAir
8M233 5 6 7 RGN SIN 13:45 18:15 MAI 8M235 5 6 7 SIN RGN 19:15 20:45 MAI
TR2827 1 6 7 RGN SIN 15:10 19:35 TigerAir TR2826 1 6 7 SIN RGN 13:00 14:30 TigerAir
TR2827 2 3 4 5 RGN SIN 17:10 21:35 TigerAir TR2826 2 3 4 5 SIN RGN 15:00 16:30 TigerAir
MI517 1 2 3 4 5 6 7 RGN SIN 16:40 21:15 SilkAir MI520 5 7 SIN RGN 22:10 23:35 SilkAir
FFliightts frromm Yangonn (RGN) tto Kualaa Lumpuur (KUL) Fligghtts frro om m Kuala LLumpur (KUL)too Yangonn (RGN)
AK1427 1 2 3 4 5 6 7 RGN KUL 8:30 12:50 AirAsia AK1426 1 2 3 4 5 6 7 KUL RGN 6:55 8:00 AirAsia
8M501 1 2 3 4 5 6 7 RGN KUL 8:55 12:55 MAI MH740 1 2 3 4 5 6 7 KUL RGN 10:05 11:15 Malaysia Airlines
MH741 1 2 3 4 5 6 7 RGN KUL 12:15 16:30 Malaysia Airlines 8M502 1 2 3 4 5 6 7 KUL RGN 14:00 15:00 MAI
Fligghtts frrom Yanngon (RGGN) to HHanoi (HHAN) Fligghtts frrom Hannoi (HANN) to Yanngon (RRGN)
VN956 1 3 5 6 7 RGN HAN 19:10 21:30 Vietnam Airlines VN957 1 3 5 6 7 HAN RGN 16:35 18:10 Vietnam Airlines
Flliggh htss ffroom m Yangon (RGN) to Ho CChi Minhh (SGN) Flliggh htss ffroom m Ho Chii Minh (SSGN) to Yangonn (RGN)
VN942 2 4 7 RGN SGN 14:25 17:10 Vietnam Airlines VN943 2 4 7 SGN RGN 11:40 13:25 Vietnam Airlines
Flligghtss ffrom Yanngon (RGGN) to TTaipei (TTPE) Flligghtss ffrom Taipei (TPEE) to Yanngon (RGN)
CI7916 1 2 3 4 5 6 RGN TPE 10:50 16:10 China Airline CI7915 1 2 3 4 5 6 7 TPE RGN 7:15 10:05 China Airline
BR288 2 5 6 RGN TPE 11:35 17:20 EVA Air BR287 2 5 6 TPE RGN 7:30 10:35 EVA Air
Flliggh htss ffroom Yanggon (RGNN) to Kunming(KMG) Flliggh htss ffroom Kunmming(KMMG) to Yangon ((RGN)
CA906 2 3 4 6 7 RGN KMG 14:15 17:35 Air China CA905 2 3 4 6 7 KMG RGN 12:40 13:15 Air China
MU2032 1 2 3 4 5 6 7 RGN KMG 14:40 17:55 China Eastern MU2031 1 2 3 4 5 6 7 KMG RGN 13:30 14:00 China Eastern
MU2012 3 6 RGN KMG 12:20 18:10 China Eastern (via NNG) MU2011 3 6 KMG RGN 8:25 11:30 China Eastern (via NNG)
Flligghtss from Yanngon (RGGN) to BBeijing (BJS) Flligghtss from Beijjing (BJSS) to Yanngon (RRGN)
CA906 2 3 4 6 7 RGN BJS 14:15 21:55 Air China (via KMG) CA905 2 3 4 6 7 BJS RGN 8:05 13:15 Air China (via KMG)
Fliggh htss ffroom Yanggon (RGNN) to Naanning (NNG) Fliggh htss ffroom Nannning (NNNG) to Yaangon ((RGN)
Flight No. DDayss From To ETD ETA Operated by: Flight No. DDayss From To ETD ETA Operated by:
MU2012 3 6 RGN NNG 12:20 16:25 China Eastern MU2011 3 6 NNG RGN 10:15 11:30 China Eastern
FFliggh htss ffroom m Yangoon (RGN)) to Honng Kong (HKG) HHonng g KKo ong (HKG) Flights from Yaangon ((RGN)
KA251 1 2 4 6 RGN HKG 1:10 5:35 Dragon Air KA250 1 3 5 7 HKG RGN 21:50 23:45 Dragon Air
Flliggh htss ffroom m Yangon (RGN) to Guanng Zhouu (CAN) Flliggh htss ffroom m Guang Zhou (CCAN) to Yangonn (RGN)
8M711 2 4 7 RGN CAN 8:40 13:15 MAI CZ3055 3 6 CAN RGN 8:40 10:30 China Southern Airlines
CZ3056 3 6 RGN CAN 11:20 15:50 China Southern Airline 8M712 2 4 7 CAN RGN 14:15 15:45 MAI
CZ3056 1 5 RGN CAN 17:40 22:15 China Southern Airline CZ3055 1 5 CAN RGN 14:45 16:35 China Southern Airlines
FFlighhts ffroom Yanggon (RGN) to Koolkata (CCCU) FFlighhts ffroom Kolkkata (CCUU) to Yaangon (RRGN)
Flight No. DDayss From To ETD ETA Operated by: Flight No. DDayss From To ETD ETA Operated by:
AI228 5 RGN CCU 18:45 19:45 Air India AI227 1 5 CCU RGN 10:35 13:20 Air India
AI234 1 5 RGN CCU 13:40 16:55 Air India (via GAY) AI233 5 CCU RGN 13:30 18:00 Air India (via GAY)
Fliggh htss ffrom Yanngon (RGGN) to GGaya (GAAY) Fliggh htss ffrom Gayya (GAY) to Yanngon (RGGN)
8M 601 1 3 5 6 RGN GAY 10:30 11:50 MAI 8M 602 1 3 5 6 GAY RGN 12:50 16:00 MAI
AI234 1 5 RGN GAY 13:40 15:00 Air India AI233 5 GAY RGN 15:00 18:00 Air India
Fligghtts frrom Yanngon (RGGN) to TTokyo (NNRT) FFliightts frrom Tokkyo (NRTT) to Yaangon (RRGN)
NH914 1 3 6 RGN NRT 22:00 06:40+1 ALL NIPPON Airways NH913 1 3 6 NRT RGN 11:10 17:05 ALL NIPPON Airways
FFliggh htss ffrom Yanngon (RGGN) to SSeoul (ICCN) FFliggh htss ffrom Seooul (ICN)) to Yanngon (RGGN)
KE472 1 3 5 7 RGN ICN 0:05 8:00 Korean Air KE471 1 2 3 4 5 6 7 ICN RGN 18:40 22:55 Korean Air
OZ7463 4 7 RGN ICN 0:50 8:50 Asiana OZ4753 3 6 ICN RGN 19:30 23:40 Asiana
Flligghtss ffrom Yanngon (RGGN) to DDoha (DOOH) Flightts frrom Dohha (DOH) to Yangon (RRGN)
QR619 1 2 3 4 5 6 7 RGN DOH 8:00 11:45 Qatar Airways QR618 1 2 3 4 5 6 7 DOH RGN 21:05 06:29+1 Qatar Airways
Flliggh htss ffroom m Yangon (RGN) to Nay Pyi Taww (NYT) Flliggh htss ffroom m Nay Pyyi Taw (NNYT) to Yangonn (RGN)
Flight No. DDayss From To ETD ETA Operated by: Flight No. DDayss From To ETD ETA Operated by:
FMI-A1 1 2 3 4 5 RGN NYT 7:30 8:30 FMI Air Charter FMI-A2 1 2 3 4 5 NYT RGN 8:50 9:50 FMI Air Charter
FMI-B1 1 2 3 4 5 RGN NYT 11:30 12:30 FMI Air Charter FMI-B2 1 2 3 4 5 NYT RGN 13:00 14:00 FMI Air Charter
FMI-C1 1 2 3 4 5 RGN NYT 16:30 17:30 FMI Air Charter FMI-C2 1 2 3 4 5 NYT RGN 18:00 19:00 FMI Air Charter
FMI-A1 6 RGN NYT 8:00 9:00 FMI Air Charter FMI-A2 6 NYT RGN 10:00 11:00 FMI Air Charter
FMI-A1 7 RGN NYT 15:30 16:30 FMI Air Charter FMI-A2 7 NYT RGN 17:00 18:00 FMI Air Charter
6T211 1 7 RGN NYT 15:30 16:25 Air Mandalay 6T212 1 7 NYT RGN 16:45 17:40 Air Mandalay
FFliightts frrom Yangoon (RGN) to Manndalay ((MDY) FFliightts frrom Manddalay (MDDY) to YYangon (RGN)
Y5-234 1 2 3 4 5 6 7 RGN MDY 6:15 7:30 Golden Myanmar Airlines Y5-233 1 2 3 4 5 6 7 MDY RGN 8:10 9:25 Golden Myanmar Airlines
YH 909 2 4 6 7 RGN MDY 6:30 8:10 Yangon Airways YH 910 1 3 MDY RGN 7:40 10:30 Yangon Airways
YH 917 1 2 3 4 5 6 7 RGN MDY 6:10 8:30 Yangon Airways YH 918 1 2 3 4 6 7 MDY RGN 8:30 10:25 Yangon Airways
YH 727 1 5 RGN MDY 11:15 13:25 Yangon Airways YH 728 1 5 MDY RGN 9:10 11:05 Yangon Airways
YH 731 1 2 3 4 5 6 7 RGN MDY 15:00 17:10 Yangon Airways YH 732 1 2 3 4 5 6 MDY RGN 17:10 19:15 Yangon Airways
W9 501 1 2 3 4 RGN MDY 6:00 7:25 Air Bagan W9 502 1 2 3 4 MDY RGN 16:10 18:15 Air Bagan
K7 222 1 2 3 4 5 6 7 RGN MDY 6:30 8:40 Air KBZ K7 223 1 2 3 4 5 6 7 MDY RGN 9:00 11:05 Air KBZ
YJ 201 1 2 3 4 5 6 7 RGN MDY 11:30 12:55 Asian Wings YJ 202 1 2 3 4 5 6 7 MDY RGN 16:00 17:25 Asian Wings
Days - (1) Monday (2) TTueesdaay (33) WWeddnessdaay (4) Thursdayy (5) Friday (6) SSaturday (7) Suunday Days - (1) Monday (2) TTueesdaay (33) WWeddnessdaay (4) Thursdayy (5) Friday (6) SSaturday (7) Suunday
PROPERTY & REAL ESTATE
25
December 12-18, 2013
Myanmar Summary
Myanmar Business Today
www.mmbiztoday.com
F
ifty three hotels, with a
capacity of more than
3,800 rooms opened in
the capital city Nay Pyi Taw just
in time for the Southeast Asian
Games (SEA Games), which got
underway on December11.
According to an announce-
ment by the Ministry of Hotels
and Tourism, eleven hotels
were opened on November 26
and 27, with the rest opening a
few days later.
In the announcement, the
ministry said that guests arriv-
ing in Nay Pyi Taw for the SEA
Games should report to the
Committee for Accommodation
and Reservations, which will
coordinate accommodation
for visitors, with rooms priced
between $100 and $150 for
non-competing visitors.
For coaches and athletes,
rooms will be priced at $70
and media $55, according to a
mInIsLry omcIuI.
The SEA Games, which will
attract competitors and visitors
from across the continent, are
seen as a key test for Myanmar
to measure if they are ready to
cope with the surge of interest
that is coming the nations way
Hotel Rooms Made Available for
Start of SEA Games
Shein Thu Aung
Workers at the Wunna Theikdi Stadium in Nay Pyi Taw, which will host the opening ceremony of the Southeast Asia Games.
F
ile
s
in the midst of the economic
reforms that are taking place in
the country.
Visitors might be short of
options for sightseeing when
visiting the city for the 22-day
event. Only established as a city
in 2006, the government has
attempted to make it a more
attractive tourist desintaitons
by adding activities such as
museums, parks and a zoo.
With the increase in construction in Yangon, cement has seen a huge sales surge.
I
n the construction material
market, demand for cement
is increasing rapidly in Yan-
gon, according to construction
Cement Sees Solid Sales Surge
Kyaw Min
F
ile
s
Myanmar Summary
material sellers in the city.
In particular, Thai brands
Elephant and Diamond ce-
ment are selling the best in the
city, which is seeing a surge in
properties being built as the
country continues to attract in-
creased interest, and therefore
visitors, from the international
community.
Local brands have also seen
a surge in sales, according to
sellers.
In the present market, not
only the larger Thai brands are
selling well, but local brands
have seen a boost too, said
U Than Tun from Sawbwar-
gyigone construction material
market.
Brands from Vietnam are per-
forming well too, with Double
Ace, Rhino, Flying Horse and
Horse Head, which are gener-
ally cheaper than their Thai
rivals in Yangons market.
More people prefer cheaper
products, Daw Khing Khing
from Thapyay Nyo Construc-
tion Materials shop told My-
anmar Business Today. They
generally prefer a fair price with
medium quality, she added.
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December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
26
Myanmar Summary
PROPERTY & REAL ESTATE
overheads than Macau
and can promise higher
incentives to wealthy
gumbIers. TIey uIso oer
greater privacy, a key ad-
vantage for wealthy play-
ers who drop 1 million
yuan ($164,000) a bet
and are wary of China's
anti-corruption drive.
Heng Sheng, one of Ma-
cau's youngest junket out-
hLs wIIcI Is uImIng Lo go
public in the near future,
has cooperation agree-
ments with Danang's
Crown Casino in Vietnam
and in Walkerhill casino
in South Korea.
"Heng Sheng this year
started its international
expansion," the com-
From page ;... (Macau's ]unket)
pany's assistant director,
Luke Lu, said.
"Right now we have
agreements in place
overseas, gradually we'll
move to open VIP rooms
and then take stakes in
the casinos."
Suncity operates VIP
rooms around Asia,
including in Austral-
ian billionaire James
Packer's Crown casino in
Melbourne and in Philip-
pine tycoon Ricky Razon's
Solaire casino in Manila.
The group, which is
headed by 39-year-old
Macau businessmen
Alvin Chau, also has a
joint venture operation
at the Cagayan Holiday
and Leisure resort in the
north of the Philippines.
Jimei, run by Guang-
zhou-born junket tycoon
Jack Lam, operates two
resorts in the Philippines
as well as a gambling ship
that does daily cruises out
of Hong Kong.
"The terms the junkets
get overseas are typi-
cally much better than in
Macau. For instance, in
the Philippines, due to
the lower tax rate, jun-
kets can receive a bigger
commission," said Peter
Lok, a former executive
of Macau casino operator
SJM Holdings Ltd and
Jimei Group.
Casinos in Macau - the
only place in China where
gambling is legal - pay
close to 40 percent of
gaming revenues in
taxes, compared with
just 15 percent for VIP
gambling revenue in the
Philippines.
Another way Macau
junkets are adapting
their business is to appeal
more to middle-class
gamblers and leisure
travellers, who Macau
authorities are targeting
in a bid to turn the former
Portuguese colony into
an international tourist
Myanmar Summary
destination.
While these punters
place smaller bets than
the super-rich, they gen-
eruLe sIgnIhcunLIy IIgIer
prohL murgIns becuuse
the casino operators do
not need to pay com-
missions to the junkets
to bring them into their
resorts.
So the junkets are using
sophisticated promotions
and sponsorship of major
events to broaden their
appeal beyond the VIP
market and overcome
their image as shady
businesses with alleged
criminal connections.
"More junkets are
looking at the cash and
premium mass player for
business opportunities,"
said Chien Lee, former
chairman and chief ex-
ecutive of Iao Kun Group
which is planning a Hong
Kong listing.
Heng Sheng is sponsor-
ing the Macau Interna-
tional Movie Festival in
December while Suncity
is launching its own quar-
terly magazine about
lifestyle and business at
the end of this year.
Yu Yio Hung, a Macau
junket operator of 27
years, said rapid growth
has raised new challenges
for the industry.
"The gaming conces-
sionaires (casinos) want
to promote the mass
market business which is
increasing very fast. The
concessionaires are rais-
ing the bar for VIP club
operators and they need
to meet higher and higher
targets," he told a Macau
Gaming conference in
November. Reuters
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Suncity , Heng Sheng
Group , David Group, Tak
Chun, J imei Group, Golden
Group, Mega Stars .
Golden Dragon ~._
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IT & TELECOM
27
December 12-18, 2013
Contd. P z8...(Telenor)
Myanmar Business Today
www.mmbiztoday.com
Ooredoo Announce Sponsorship of Myanmar Football Federation
Q
uLur-bused LeIecoms hrm
Ooredoo has announced
that it has become the
omcIuI purLner oI LIe Myunmur
Football Federation (MFF).
Ooredoo revealed last week
that it has reached an agreement
to sponsor all national teams
in Myanmar including mens,
womens and youth teams and
comes at an important time as
the national teams gears up to
play in the 27th Southeast Asia
Games.
Ooredoo recently announced
their sponsorship of French
giants Paris St Germain (PSG)
and revealed that two talented
young Myanmar footballers will
be invited to attend a coaching
session in Dohar led by PSG
coaches at the end of the month.
We are proud to show our
support towards Myanmar
Football Federation and Oore-
doo is committed to building
sports and sportsmanship
across the country, said Ross
Cormack, CEO of Ooredoo My-
anmar. Football brings all the
nation together and all walks of
life, we have found a great part-
nership with MFF, he added.
Ooredoo and PSG will also
brIng quuIIhed coucIes und
training programmes to Myan-
mar with an aim to further de-
Oliver Slow velop footballers in the country,
which is ranked 140th in FIFA
rankings.
We are very honoured to re-
ceive such tremendous support
from an international organisa-
tion like Ooredoo, said U Zaw
Zaw, president of MFF. This
support will allow us to be suc-
cessful in all MFF development
programmes and international
games. We hope to receive con-
tinuous support from Ooredoo
and we wish Ooredoo every suc-
cess in launching operations,
he added.
Ooredoo has taken a key role
in the development of sport
in Myanmar since being an-
nounced as the winner of two
international telecommunica-
tions licenses in June. The
company recently announced
ILs omcIuI purLnersIIp wILI
the Myanmar Chinelone Fed-
eration and Special Olympics
Myanmar.
Ooreddo also recently hosted
ILs hrsL recruILmenL IuIr, wIere
it attempted to attract Myanmar
nationals for roles including
Customer Service, Retail, Sales,
Network and IT, Finance and
Human Resources.
Chris Bannister, COO Ooredoo Myanmar shakes hands with U Zaw Zaw, president of Myanmar Football Federation.
O
o
r
e
d
o
o
TeIenor CEU ]on Fredrik Baksaas said that TeIenor wiII be ready to start roIIing out its teIecommunications services as soon as the naI aspects of the teIecoms
Iaw are naIised.
F
ile
s
Telenor Nearly Ready
T
elenor is ready to begin
work on building its
t el ecommuni cat i ons
operations within the country,
Su Su as soon as the government
uuLIorILIes compIeLe LIe hnuI
negotiations on the telecoms
licenses that were handed to
Telenor and Ooredoo in June.
We are in the midst of get-
LIng LIe hnuI LoucIes Lo LIe LeI-
ecoms law and the regulations,
Jon Fredrik Baksaas, president
and CEO of Telenor told Global
Telecoms Business. When that
is done, hopefully by the end of
this year, there will be a roll out
period until the launch can take
place later in 2014, he added.
Slowly emerging from years
of military rule, Myanmars
telecommunications sector is
seen as a key area
of growth, both for
the countrys own
economy and inter-
national businesses
coming in. According
Lo recenL hgures,
less than 10 percent
of the countrys 60
million population is
connected to a mo-
bile phone, but that
hgure Is expecLed Lo
explode once the in-
ternational operators
roll out their work
and make SIM cards
more uordubIe.
In a country where
many workers earn
less than $100 a
month, a SIM card,
even on the black-
market, is available
for at least $150.
This is a country
of 55 to 60 million
people that really has
LIe benehL oI becomIng purL
of mobile communications.
The deployment of telecoms in
Myanmar will probably be as
emcIenL us we Iuve ever seen
before, Baksaas said.
He added that it was impor-
tant for all of the countrys
population to have access to a
mobile phone.
The mobile phone is not
something for the elite or the
rich. The mobile phone is not a
luxury item. On the contrary, it
is something for everyone.
Baksaas raises the possibility
that there will be some element
of sharing with Ooredoo. The
concept of sharing will be wide-
ly used, because the country
has a lack of basic infrastruc-
ture when it comes to energy.
Base stations need to be set up,
backhaul to be constructed, he
said.
It is almost the last chance in
the world to build a new mobile
business in almost untouched
market, he said. There arent
LIuL muny greenheIds uny
more. You can say that Ethiopia
is one. And North Korea.
Myanmar Summary
~:~:~._.. ~ .~ . e .q.. . , .
_~._e.._ Ooredoo ._ ,.~.,
_e _., .:. .:. .~e .. -~q:.
~ . ~ e~ ~e ~._ ._ e. .:._ e
._~_:.._~:. .q._.
_.,.:.. _.,.:~...:..:..
~. . _., .:~. ... ..:. .~. .
. .e~...:.~~~ ..,.:
.:. _.......:.q,~~~ ..:
~_.~~.q.~ .q:~q.._~:.
Ooredoo . ~ _ ., ._ ~_:. _. .
_~ . ._.:~ . . . .~:.~.:.. .~:
~~ ~ ~. .| ~. . .:. ~.,_e
.,. :~.q..|._~:.._. .q._.
Ooredoo ._ ._~:....~
_....- Paris St Germain
(PSG) . ..,.:..:~_.~
~.q.~ ._~_:._.. _.,.:..
..,.e.:..~:.~.:...:.
.~:. PSG . ,_._..:.. ...:
_ ..~._~:....._ ..~.
.:.~:. Dohar ~ .:..q:~_
.|~..~.q,~~~ e~..'
.:.._e._. ._.:_~:..._.
_., .:. .:. .~e .. ~:. ~~
~_.:. ...q._~~~ .,.:.
~. ..: ~ e ._~: .. Ooredoo .
~:.~.:..:.. ~:.~.:...:..:.
~:. _.....:q:~ ~~~_
.:. .... :.._ e Ooredoo
Myanmar . .~.~ Ross Cormack
~ ._.:_~:..._.
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
28
IT & TELECOM
Myanmar Summary
Benis U'Brien (Ieft) and Serge Pun (right) present the BigiceI/Yoma teIecoms bid in Nay Pyi Taw in ]une. That bid was unsuccessfuI, but the
consortium has shifted its focus to the leasing of telecommunications towers.
O
liv
e
r

S
lo
w
Digicel, Yoma Announce Telecoms Tower Partnership with Ooredoo
Shein Thu Aung
D
igicel and YSH Finance,
the latter of which com-
prises Yoma Strategic
Holdings and First Myanmar
Investment (FMI), last week
announced that its consortium,
entitled Digicel Asian Holdings,
has signed an agreement with
Qatar-based telecommunica-
LIons hrm Ooredoo Lo deveIop,
construct and lease telecom-
munication towers within the
country, as part of Ooredoos
plans to bring vast telecommu-
nications services to Myanmar.
Digicel was one of a dozen
international telecommunica-
LIons hrms vyIng Ior u LeIecom-
munication license in June this
year, but lost out to Ooredoo
and Telenor of Norway.
Keen to remain in Myanmar,
wIIcI oers Iuge poLenLIuI
in the telecoms industry with
an estimated 10 percent of the
population having access to mo-
bile phones, Digicel has decided
to focus on leasing its towers
to maintain an active role in a
country where it gained success
with its aggressive marketing
campaign.
We are delighted to work
with Ooredoo and to help
develop a high quality telecom-
munications network across the
Republic of the Union of Myan-
mar, contribute to the growth
of the Myanmar economy
und benehL Myunmur cILIzens
across all of the countrys states,
regions and union territories,
said Denis OBrien, chairman of
Digicel.
Serge Pun, chairman of Yoma
Strategic and FMI, added,
Todays announcement is a
sIgnIhcunL sLep In LIe economIc
and social development of the
Republic of the Union of Myan-
mar. We are delighted to play
our part in such development
and look forward to working
closely with the government,
authorities, telecommunica-
tions operators and other local
companies.
In our case we are partici-
puLIng In LIe IusL greenheId us
such, says Baksaas. Then of
course its an evolution in many
markets, Myanmar included,
to be addressed by us in the
future.
Speaking of the role of the tel-
ecoms industry in general, Bak-
saas spoke of the tremendous
impact it can have on society.
Not least, we invest a lot lo-
cally and we are in that sense
the trusted partner. When we
are handling your communi-
cations to your friends, your
business partners and all your
relations. That is a phenomenal
asset.
From page z;...(Telenoro
Myanmar Summary
SE Asia IT Market to Grow
in 2014: Report
Aye Myat
T
he global IT market has
had a tough year in 2013,
in part due to lower than
expected demand, but a recent
report suggests that spending
on IT-related products could
surge next year.
In a report entitled IDC Asia/
PucIhc CT zo1q Top Ten Pre-
dictions, by International Data
Corporation (IDC), emerging
markets will play a key role in
driving spending in the region
8.7 percent higher next year.
India, Indonesia, Vietnam,
Thailand and China are the
hve Lop growLI murkeLs Ior
IT spending. In terms of the
requirement they have in
emerging markets, a very high
proportion of spending will be
on mobile devices, said Sandra
NG, DC AsIu PucIhc VIce PresI-
dent told CNBV.
"We think that when it comes
to wearable [technology], Asia
will pick up faster than other
parts of the world because I
think Asians in general are
more open to the whole wear-
able concept. The second would
be online commerce because
in emerging markets you don't
necessarily have accessibility to
retail stores and even if you do,
they might not have stocks for
the latest products," she said.
IDC predicts that by 2015
the increasingly frequent ap-
plication of technology to meet
business demands will heighten
the risk of project failure to
'unacceptable levels'.
"We believe that more and
more organizations will be
deploying multi-dimensional
technologies what we call
'mashups', which is really a
combination of cloud, analytics,
mobile, social all a combina-
tion. This is a lot more complex
than just deploying mobility, or
just deploying cloud as a stand-
alone technology area. Secondly
it's the pace of change which
Is dehnILeIy ucceIeruLIng, und
AsIuJPucIhc Is dehnILeIy LIe
most competitive market in the
world. These two factors come
into play and the risk factor of
problems and security breaches
increases," Sandra said.
Myanmar Summary
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AUTOMOBILE
29
December 12-18, 2013
Myanmar Summary
From page 6...(\ork Lthic)
Myanmar Business Today
www.mmbiztoday.com
who previously worked at GM
and Honda Motor. GMs Steve
Kim noted that economic power
shifts mean the next wave of
designers is likely to emerge
from China and Southeast Asia.
Tr ai lblazer
A trailblazer for todays
Korean design talent was John
Chun, a Korean War veteran
who in the late-1960s designed
Shelby Cobras, tricked-out per-
formance variants of the Ford
Mustang. Chun, who was also
a consultant to Hyundai and
worked for Tonka Toys, died in
July, aged 84.
A couple of decades later, Art
Centers Lim and Bentleys Lee
came of age, paving the way
for the current generation of
Korean designers, though Ban-
gle, the ex-BMW design chief,
said the world is still waiting
for Korea to produce the likes
of Japans Ken Okuyama, who
designed the Ferrari Enzo, and
Shiro Nakamura, Nissan Mo-
tors chief designer.
Beyond an innate design
talent, Koreans success owes
much to the nations famed
work ethic and tenacity, said
Bangle, recalling how Jay
Jongwon Kim, an industrial
design student, turned up un-
announced at BMWs Munich
studio one day in 2006.
With no appointment, Kim
paid his own way to Germany
armed only with the address of
BMWs headquarters, a portfo-
lio of designs and a hunger to
succeed. Once he had located
the design studio, Kim had to
beg reluctant receptionists to
call a designer whose name
he had found on the Internet.
The student, who barely spoke
English, let alone German,
was eventually allowed in and
guve LIe hrsL oI IuII u dozen
presenLuLIons LIuL duy, hrsL uL
the MINI studio and then at the
main BMW studio to Bangle
and current BMW design chief
Adrian Van Hooydonk.
Six months later, Kim was
back at BMW, this time with
an appointment, to present to
Bangle a scaled-down model of
a design he had shown earlier.
He gave a dazzling presenta-
tion, complete with lights and
musIc, und wus oered un In-
ternship on the spot. That led to
u IormuI job oer seven monLIs
later, which was scuppered by
LIe zoo8 gIobuI hnuncIuI crIsIs.
Undeterred, Kim secured a
position at Mercedes-Benzs
studio in Yokohama, and later
moved to GMs Opel, where
his work on the Monza concept
hints at the design language for
Opels next generation of cars.
Cadi llacs par k
A key member of GMs Kore-
un muhu In MIcIIgun Is CIrIs-
tine Park, who was lead interior
designer for the Cadillac XTS
full-size sedan launched last
year to help revive the storied
brand.
Park, now Cadillacs lead ex-
terior designer, says the success
Models unveil a concept car at an auto show.
T
o
r
u

H
a
n
a
i/
R
e
u
t
e
r
s
G
erman car giant Merce-
dez-Benz opened ILs hrsL
showroom in Myanmar
on November 29.
Mercedes-Benz Showroom Opens
Kyaw Min Located in Yangons Ma-
yangone township, the new
showroom will exhibit the 2014
Mercedes-Benz S-Class and will
om cIuIIy open Ior servIcIng oI
Mercedes cars in 2014.
Om cIuI ImporLed cur spure
parts and servicing will be
oered by Germun-LruIned
technicians at the showrooms
workshop.
We appreciate having the
opporLunILy Lo om cIuIIy seII
new Mercedes-Benz cars and
spare parts as well as the servic-
ing of cars in Myanmar, said
Wolfgang Huppenbauer, CEO
of Daimler Southeast Asia, who
will distribute Mercedes-Benz
cars. Now, purchasers of Mer-
cedes-Benz cars can overcome
uncerLuInLy und dIssuLIshed
service, he added.
Myanmars auto market has
seen huge potential in recent
years. Under the countrys
military rulers, car import taxes
were so expensive that very few
citizens were able to own cars.
However, the quasi-civilian
government that came to power
in 2011 has made cars available
at a much more reasonable price.
K
y
a
w

M
in
of her compatriots coincides
with the rise of Koreas fashion
and architectural industries as
the economy has prospered.
She says her parents and grand-
parents are part of Koreas lost
generation for whom life was
a tough slog through Japanese
occupation, World War II and
the Korean War.
They had to worry about
whether they had enough to
eat day to day, said the Korea
native who was educated in
California. Parents wanted
their children to become law-
yers, doctors or engineers, she
added. Now, art is very much
celebrated, making car design
a more desirable career choice.
Bentleys Lee said Koreans
are also playing catch-up with
developed car markets as they
lacked a car culture. The
44-year-old said that, unlike
some of his peers today, his
family did not have a big garage
full of hot-rod cars. Similarly,
Kim at Opel, the son of a rice
miller, said he rarely saw cars
on the streets of Buan when he
was growing up.
From the age of 12, Lee at-
tended art cram school in the
evenings in Seoul, determined
to gain entry to Hongik Uni-
versity, a leading art school. He
went on to study sculpture at
Hongik and then car design at
Art Center, before joining GM
in 1999 after a stint at Porsche
and Pininfarina, an independ-
ent Italian design studio.
We dont have a strong au-
tomotive tradition in Korea, so
most of us are very hungry and
willing to work hard to gain the
knowledge and expertise in car
design, Lee said. That makes
us exIbIe und versuLIIe.
The biggest challenge for Ko-
rean designers now is consist-
ency, movIng Irom one-o IILs
to developing a lasting legacy
LIuL Is LIe dehnILIon oI good
designers, Patrick le Quement,
Renaults design chief who
retired in 2009 after 22 years,
said in an email exchange.
Design is like F1 racing,
its good to win a race, but it
doesnt mean youll become
world champion. There are
drivers who made a habit of
winning and those that won
occasionally, for lack of talent,
concentration and dedication.
Im very impressed by the
overall quality of young Korean
designers. Consistency is the
sign of real talent. Reuters
From page ;...(\ork Lthic)
Mercedes-Benz Showroom
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Models pose next to the Mercedes-Benz S-Class, which will be available at the companys Yangon showroom.
.,. : ..~._~:.:... ._.
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_ ~:..._.
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
CLASSIFIEDS
30
SOCIAL SCENES
31
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
Anup Kumar Chakma, ambassador of Bangladesh to Myanmar, hands over a prize at
the Bangladesh Festival 2013 in Yangon. Bangladesh Embassy
U Myint Swe, chief minister for Yangon region (2
nd
R), Anup Kumar Chakma (2
nd
L),
ambassador of Bangladesh to Myanmar, and Rezina Ahmed (3rd L), minister and deputy
chief of mission, Bangladesh Embassy in Myanmar, inaugurates the Bangladesh Festival
2013. Bangladesh Embassy
U Myint Swe, chief minister for Yangon region, visits stalls with Anup Kumar Chakma
(L), ambassador of Bangladesh to Myanmar, and Rezina Ahmed (R), minister and
deputy chief of mission, Bangladesh Embassy in Myanmar. Bangladesh Embassy
Anup Kumar Chakma (2
nd
L), ambassador of Bangladesh to Myanmar, and Rezina
Ahmed (3rd L), minister and deputy chief of mission, Bangladesh Embassy in Myanmar,
pose for a group photo. Bangladesh Embassy
Fahmid Bhuiya (L), Pact Global Microfnances chief operating ofcer, watches a cul-
tural show with delegates at the event. Bangladesh Embassy Children perfom traditional Bangladeshi dance. Bangladesh Embassy A traditional Bangladeshi dance perfomance. Bangladesh Embassy
A musical show at the event. Bangladesh Embassy Children at a fashion show at the event. Bangladesh Embassy
Wolfgang Huppenbauer, chief executive ofcer, Daimler Southeast Asia speaks on
stage. Kyaw Min
U Htay Aung, chairman of Sakura Co Ltd (right) poses with a guest. Kyaw Min
Alex Newbigging, group managing director of Jardine Cycle & Carriage Ltd.
Kyaw Min
Models pose with the Mercedes-Benz 2014 S-Class. Kyaw Min Te brand-new Mercedes-Benz 2014 S-Class. Kyaw Min
Bangladesh Festival 2013
Opening of Mercedes-Benz Showroom in Yangon
Ooredoo Sponsorship of Myanmar
Chinlone Federation
Chris Bannister, chief operations ofcer, Ooredoo Myanmar speaks at the event.
Ooredoo
Elaine Kelly, Ooredoo employee poses for a photo. Ooredoo
A Chinlone player showcases his skills at the event. Ooredoo
Wolfgang Huppenbauer, chief executive ofcer, Daimler Southeast Asia speaks on
stage. Kyaw Min
December 12-18, 2013
Myanmar Business Today
www.mmbiztoday.com
32
ENTERTAINMENT
30 Days in Myanmar: A Book to Showcase Myanmar
E
arlier this year, 30 in-
ternationally-acclaimed
photographers descend-
ed onto Myanmars shores for
7 days of shooting around the
country.
From the Tanintharyi region
of the south, to the mountain-
ous Kachin State, and dozens
of places inbetween, the
cameramen and women from
11 countries around the world
clicked and documented life in
the country as it emerges from
decades of oppression and
military rule and begins to open
itself up to the world.
The result of their endeavours
Oliver Slow has been captured in the book
7 Days in Myanmar, a 276-
puge Iurdbuck coee-LubIe
book which was the brainchild
The books front cover.
E
D
M

B
o
o
k
s
of Singapore-based publisher
Didier Millet.
Speaking at a ceremony to
om cIuIIy IuuncI LIe pubIIcuLIon
of the book, which was hosted
at Yangons Chatrium Hotel on
Shwedagon at twilight by Athit Perawongmetha.
E
D
M

B
o
o
k
s
December 2, Minister for Tour-
ism U Htay Aung said that the
book can help enhance the pro-
motion of Myanmar as a tourist
destination as it continues to be
one of the worlds most popular
destinations.
Of the 30 photographers, 21
were established photogra-
phers from countries around
the world including the United
States, France and the United
Kingdom, while nine were
up-and-coming photographers
from within Myanmar. Those
included Reuters photographer
Soe Zeya Tun and a host of oth-
Commuters on a train at night by Giles Sabrie.
er local photographers whose
works are now being recognised
IurLIer uheId.
The book also includes text
to explain many traditions and
aspects of life in the country,
with an introduction written by
Dr Thant Myint-U, an introduc-
tion to Myanmar by Associated
Press journalist Denis Gray, a
19
th
century photography essay
Travelers pass the Goteik Viaduct in Shan State by Kyaw Kyaw Winn.
E
D
M

B
o
o
k
s
E
D
M

B
o
o
k
s
in colonial Burma by British Li-
brary historian John Falconer,
captions by historian Dr Thaw
Kaung and journalist Patrick
Winn, and an essay on the
making of the book by editor
Nicholas Grossman.
The book is being marketed
as a multi-media tool, and also
includes a 47-minute DVD
covering the behind-the-scene
process of making the book, a
photo exhibition which is cur-
rently taking place at Chatrium
Hotel, but will soon move to
the Myanmar Deitta gallery on
Parami Road.