The tariffs on agricultural imports averages at 8.7 percent and 5.1 percent on non-agricultural goods. Myanmar is the gateway to India’s ‘Look East’ policy. The EU imported goods worth €2,295 million from Myanmar. The SGT covers goods considered either luxurious, injurious to health, or harmful to the environment such as precious gems, cigarettes, and diesel. Search form. Thanks a ton for this valuable information. Procedures; Documentation; Import. At present, vehicles imported under a system of vehicle assembly, known as Completely Knock-Down (CKD) or Semi Knock-Down (SKD), are on the upward trend with the U.S. dollar exchange rate appreciation and Myanmar currency depreciation and cars installed locally are expected to get more market share in 2019. Local experts at Dezan Shira & Associates possess years of experience supporting the establishment and growth of businesses across ASEAN, and are well situated to guide companies through Myanmar’s confusing and rapidly changing regulatory landscape. New rules are not always publicly announced and businesses should closely follow all new developments. A country of origin (COO) document may be necessary to avail reduced tariffs under specific FTAs. RELATED: Pre-Investment and Market Entry Advisory from Dezan Shira & Associates. All incoming consignments of goods must be cleared through the Customs Department under an Import Declaration form (CUSDEC – 1). • Privacy Policy • Disclaimer, Singapore Business Federation’s Networking Session in Yangon, Import office equipment and service related equipment, Development Zone for Tax Exemption under MIL, Restricted Investment Activities under MIL, Restricted areas for foreigners and tourists in Myanmar, Business Chambers and Associations in Myanmar, The Inside Story of Thailand and Myanmar’s Troubled Dawei Mega-Project, Infrastructure, agriculture sectors at risk of slower investments, No disruptions to Korea-backed industrial park in Yangon, Kirin Scraps Joint Venture With Myanmar Military-Owned Firm After Coup, Myanmar to continue efforts to support economy amid COVID-19, Supervisory Committee for Motor Vehicles Impoertation, https://www.youtube.com/watch?v=xkPm2XpaAzc, https://www.youtube.com/watch?v=9uJ1wIkICYs. As the Myanmar government attempts to improve its business climate, rules governing import and export procedures will continue to change. businesses establish, maintain, including the most recent legal, tax and accounting changes that affect your business. But, logistic, infrastructural, and regulatory impediments to trade still remain. We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. Toyota was among those which opened a showroom displaying new car models, but it continued importing used cars to cater to demand. Meanwhile, Myanmar’s Internal Revenue Department announced earlier that it will collect advanced income tax by 15 percent for vehicles imported through normal trade, while 2 percent be on those imported for industrial use via border trade. Click to share on Facebook (Opens in new window), Click to share on LinkedIn (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on Pinterest (Opens in new window), Click to email this to a friend (Opens in new window), Import and Export Procedures in Myanmar – Best Practices. Search form. Excise Duty customs tax in Myanmar. Since Myanmar eased its auto import policy, allowing individual auto imports in 2013, the number of vehicles in the country has surged by three million, according U Thar Oo, Deputy Minister of the Ministry of Transportation and Telecommunications. Export regulations: Procedures; Documentation; Special Order To export goods from Myanmar, a company must provide an export declaration form called CUSDEC—2 as well as the CUSDEC—4 Customs Valuation Form. This publication, designed to introduce the fundamentals of investing in Singapore, was compiled by the expert... After overcoming the Asian financial crisis in 1998, Indonesia developed into a vibrant democracy with the lar... Dezan Shira & Associates helps The committee also sets 2007 or later for manufacturing year for fire trucks and ambulances to be imported and will allow heavy equipment such as excavators, bulldozers, wheel loaders and tower cranes to be brought in as long as they are 15 years old or less. Automation of import-export processes by Myanmar Customs Myanmar Customs is currently developing an automated cargo clearance system (MACCS) designed to automate a number of areas of customs operations. Finally we consider the benefits of outsourcing payroll – both Singapore-based and ASEAN-wide – to a reliable third-party payroll processing provider. Procedures; Documentation; Special Order Myanmar (Burma) Prohibited and Restricted Items. Notify me of follow-up comments by email. CEPT aims to reduce import tariffs on 100 percent of the total tariff lines by 2018. MEMBER INFORMATION. by the state owned organizations or private enterprises or private individuals of the Union of Myanmar, is the control of Imports and Exports (Temporary) Act, 1947, which is till in force up to now. All jewellery must be declared on arrival. Previous Article « Payroll Processing and Compliance in Singapore – New Issue of ASEAN Briefing Magazine, Next Article Salary, Individual Income Tax, and Social Security in Singapore ». Overview: Trade Policy and Business Environment. Global New Light of Myanmar; 1280; The price of a slip for a car is on the rise following an announcement of a change in vehicle import policy. Customs duty is levied under the Customs Tariff of Myanmar (2007) at rates ranging from 0% to 40%. To either export or import goods from Myanmar, a company must register itself with the Directorate of Investment and Company Administration (DICA). After the car is shipped to Myanmar, the buyer pays the tax clearance. However, impacted by the new car import policy starting January 2019, all Myanmar’s second-hand car sale centers are likely to close down by next year as these kinds of cars are mostly right-hand drive which will be no longer allowed. Import and export operations in Myanmar have become easier and more profitable. Myanmar mainly imports fuel, vegetable oil, vehicles, pharmaceutical products, construction equipment, polymers, tires and machinery. Under the Special Economic Zone Law, 2014, businesses operating in SEZs can take advantage of a five year tax exemption on custom duties on approved exported goods. According to market survey, some people choose an installment plan in the automobile market while many still buy second-hand cars. “Becauseof the eased auto-import policy, the number of vehicles is increasing rapidly each year. Since the government’s new car import policy permitting only imports of left-hand-drive vehicles into Myanmar from 2018, speculation over the value of existing right-hand-drive cars in the country has risen, prompting rumours of higher prices for such vehicles. (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';fnames[3]='ADDRESS';ftypes[3]='address';fnames[4]='PHONE';ftypes[4]='phone';fnames[5]='BIRTHDAY';ftypes[5]='birthday';}(jQuery));var $mcj = jQuery.noConflict(true); Copyright © 2021 — Consult-Myanmar Co Ltd, Myanmar Co Reg No: 100066009, • All rights reserved. We then explore the potential for Singapore to emerge as a premier payroll processing center in ASEAN. Stay Ahead of the curve in Emerging Asia. Your email address will not be published. Due to the decades of domestic military rule and international economic sanction, Myanmar has limited trade integration with the global market. In April, 2016, the Myanmar government enacted a special goods tax (SGT) to replace commercial taxes on imported and exported goods. Commodities exported out of Myanmar do not incur tariff charges. The procedure for registering as an exporter or importer in Myanmar follows the same trajectory, though the respective licences are different. In 2013, the government officially allowed car makers to open new-car showrooms. Export. All plants or plant products (seeds, bulbs, cut flowers, fresh fruit and vegetables) require a Phytosanitary Certificate and must be declared. The government continues to improve infrastructure and logistics in all three regional SEZs. Myanmar has made leaps in the liberalization of its economy: setting up SEZs and easing its regulations on FDI. Myanmar and the WTO. Importing live animals, for instance, requires approval from the Ministry of Commerce. MOST IMPORTANTLY: The importer must claim GSP duty-free treatment by placing an “A,” or“A+” 1 in front of the U.S. tariff line (HTSUS) number that identifies the imported article on Customs and … Registration of Exporter/Importer. Overall Myanmar’s corn exports in FY 2018-19 and FY 2019-20 are expected to remain at 1.4 million metric tons. Bill of lading, air consignment note, or truck note; Technical standard and health certificate (when required) and; Recommendation from concerned ministry (when required). Besides, 2016 will be the oldest model to be issued an import permit for private cars with non … In the financial year (FY) 2016-17 (ending 31 March) private players have exported US$4.8 billion and by sea and US$3.2 billion over land; private players have imported US$1.3 billion by sea and US$2.8 billion over land. Myanmar relies overwhelmingly on imports for its fuel, but supplies are running low, industry sources say, with some oil import terminals no longer operating. Myanmar Accounting Standards which were drafted based on the 2010 version of the International Financial Reporting standards. Myanmar’s economic policy continues to emphasize the following: new opportunities for private sector participation, boosting job creation, development of three special economic zones (SEZs) and promoting foreign investment by welcoming foreign companies into the country for fair market competition to speed up and sustain economic growth. */. The Export and Import Law (The Pyidaungsu Hluttaw Law No.17/2012) The 6th Waning Day of Wagaung , 1374 M.E. Basic Principles of Import. Only five exported items fall under the radar of the SGT: natural gas, taxed at 8 percent; wood logs and wood cuttings taxed at 5 percent; raw jade, taxed at 15 percent; other raw gemstones, taxed at 10 percent; and finished goods and jewelry made of precious gems, tax at 5 percent. To import goods into Myanmar, a company must provide an import declaration form called CUSDEC—1 Import Declaration Form as well as the CUSDEC—4 Customs Valuation Form. In this issue of ASEAN Briefing, we discuss payroll processing and reporting in Singapore as well as analyze the options available for foreign companies looking to centralize their ASEAN payroll processes.We begin by discussing the various regulations that impact salary computation, and tax and social security calculation in Singapore. Myanmar is the EU’s 75th largest trading partner (accounting for 0.1% of the EU’s total trade). The government offers significant tax benefits for cars assembled in Myanmar under the semi-knocked-down (SKD) classification, whereby some of the parts are imported separately and assembled. Your email address will not be published. Federal government websites often end in .gov or .mil. Registrations with the Department of Trade are limited to three year periods and cost Kyat 50,000 (US$36.50) per year. Dezan Shira & Associates Brochure It is the responsibility of the importer or exporter to ensure that all commodities being brought in or out of Myanmar have the necessary documents and are correctly processed based on the World Customs Organization’s 8-digit Harmonized System (HS). The top import categories (2-digit HS) in 2019 were: leather products ($229 million), woven apparel ($161 million), knit apparel ($115 million), footwear ($73 million), and … In 2018: 1. Political reforms in Myanmar has spurred world powers to lift trade sanctions against the South East Asian nation formerly called Burma. An Introduction to Doing Business in ASEAN 2017 Save my name, email, and website in this browser for the next time I comment. Compare Imports by Country United Nations Comtrade Database Otherwise, foreign firms may apply for permission to register as importers or exporters under the Myanmar Investment Law, 2016. Once registered with the DICA, a company must then register themselves with Myanmar’s Department of Trade (under the Ministry of Commerce). 3. YANGON, Oct. 29 (Xinhua) — Myanmar has outlined a new auto import policy for 2019, saying that only vehicles with left-hand drive can be imported to suit the country’s traffic route direction, according to an announcement of the Supervisory Committee for Motor Vehicles Importation published Monday. Before the government allowed other car makers to open new-car showrooms in Myanmar, nearly 90 percent of Myanmar drivers imported used Toyota right-hand-drive cars. Fortunately for overseas companies, the DICA recently created a digital single clearance window for registration called the One Stop Service (OSS). As Myanmar continues to undergo economic reforms, we advise all businesses to monitor new and upcoming legislations closely. The EU ranked as the fourth biggest trade partner of Myanmar (after China, Thailand and Singapore), accounting for 9% of the country’s total trade. Post was not sent - check your email addresses! Dezan Shira & Associates is a pan-Asia, multi-disciplinary professional services firm, providing legal, tax and operational advisory to international corporate investors. Dezan Shira & Associates´ brochure offers a comprehensive overview of the services provided by the firm. In addition, the State is supporting products for export promotion and support the import substitute production. The law governing export, import, carriage of passenger baggage, etc. Myanmar Tax Profile Myanmar’s policy of issuing import licences to individuals is unusual. These include user registration, clearance of goods, cargo management, payment, information technology, and the helpdesk. Importers and exporters should diligently monitor any changes in Myanmar’s FTAs and trade regulations as the regulatory landscape is changing rapidly. The following enterprises desirous of carrying on export/import business may apply to the Directorate of … Since Myanmar is in the process of opening itself to liberalization, there are many ambiguities in the trade process. Myanmar does not enjoy good trade relations, especially with the western countries. Buyers must prepare the necessary documents for the model they want and arrange the transaction through an agent. All exporters and importers are also required to join the Myanmar Federation of Chambers of Commerce and Industry. Tariffs on imported goods in Myanmar range from 0 to 40 percent. Companies can register themselves with the DICA for up to five years. Your post is highly appreciated. Export. According to the World Bank’s Ease of Doing Business 2017 report it takes exporters 144 hours and US$432 to export goods out of Myanmar and 232 hours and US$457 to import goods into the country. This brochure provides an overview of the services and expertise Dezan Shira & Associates can provide. As of June, 2013, Myanmar charges a 2 percent income tax on all imported and exported goods. The President Office released notification (83/2020) on July 1, stating that the Law of Protection from Increased Import Volume enacted in 2019 will take immediate effect. Letter of credit or general Remittance or Exemption Certificate; Phytosanitary certificate (when required). Construction materials and motor vehicles for building a factory, warehouse, or office and; Trading goods and materials necessary in wholesale trading. The EU exported goods worth a… Certain commodities require additional documentation (i.e. Nationals of Myanmar must hold a re-import permit for previously exported jewellery. In this article we explain best practices for importing into and exporting out of Myanmar. Myanmar calculates tariffs on imported items based on (1) the classification of the imported goods; (2) the valuation of the imported goods and; (3) the origin of the imported goods. In 2014, Myanmar revised its legislation to encourage foreign direct investment (FDI) through special economic zones (SEZs). The vast majority of imported and exported commodities require a licence in Myanmar. The Supervisory Committee for Motor Vehicle Imports released an official announcement on 16 October that model year 2014 would be the oldest cars allowed for vehicle import in 2018. To see the original article click link here. This page gathers key information on Myanmar's participation in the WTO. Under the 2021 vehicle import policy, 2019 will be the oldest model to be given an import permit for private cars with non-commercial purpose, according to the press release of the Commerce Ministry. The law is expected to promote protection of local small and medium enterprises (SMEs) and control the volume of products which are imported into the country unnecessarily, said U Aung Thein, chair of the … Myanmar outlines new auto import policy for 2019. 4. Procedures; Documentation; Import. and grow their operations. The changes in policy have led to losses for people [importers and consumers]. Tariffs on imported goods in Myanmar range from 0 to 40 percent. Australia and the European Union have also imposed sanctions on the country, restricting the import of certain products. According to the report, 18 companies have been allowed for locally produced cars under the CKD or SKD system. Payroll Processing and Compliance in Singapore In 2013, a 2% advance income tax was imposed on all imports and exports, with exemptions for certain products, including imports and exports by government departments and state-owned enterprises; imports of certain vehicles by persons; imports by companies approved by the Myanmar Investment Commission; imports of fire engines, ambulances, and hearses; imports of raw materials for “cut-make-pack businesses”; and goods imported under a draw-back and temporary importation system. Total trade between the two partners equalled €2.9 billion. Besides, 2016 will be the oldest model to be issued an import permit for private cars with non-commercial purpose under consignment system, the announcement said, adding that passenger vehicles such as mini-bus, city bus, express bus and commercial trucks manufactured in 2015 and later can be imported. YANGON, Oct. 29 (Xinhua) -- Myanmar has outlined a new auto import policy for 2019, saying that only vehicles with left-hand drive can be imported to suit the country's traffic route direction, according to an announcement of the Supervisory Committee for … This includes: Myanmar currently has three SEZs in Dawei, Kyaukphyu, and Thilawa. YANGON, Oct. 29 (Xinhua) — Myanmar has outlined a new auto import policy for 2019, saying that only vehicles with left-hand drive can be imported to suit the country’s traffic route direction, according to an announcement of the Supervisory Committee for Motor Vehicles Importation published Monday. Operational throughout China, ASEAN and India, our mission is to guide foreign companies through Asia’s complex regulatory environment and assist them with all aspects of establishing, maintaining and growing their business operations in the region. Myanmar is a member of the ASEAN Free Trade Area (AFTA) and has thus committed to the Common Effective Preferential Tariff Scheme (CEPT). Consult-Myanmar Co Ltd, Myanmar Co Reg No: 100066009. There are four types of entities which may apply for export licences: The Myanmar Special Companies Act, 1950, permits foreign companies to be registered in the country as limited companies or in a joint venture. We also include the latest development news for each country, with the intent to provide an executive assessment of the varying component parts of ASEAN, assessing each member state and providing the most up-to-date economic and demographic data on each. The key EU imports from Myanmar are dominated by garment (74%) and agricultural products. Myanmar has been a WTO member since 1 January 1995 and a member of GATT since 29 July 1948. FedEx Cross Border is unable to ship prohibited and non-approved restricted items on behalf of its customers.. FedEx Cross Border has prepared a global list of prohibited and restricted items that apply regardless of a shipment's destination. E.g. Myanmar calculates tariffs on imported items based on (1) the classification of the imported goods; (2) the valuation of the imported goods and; (3) the origin of the imported goods. An Introduction to Doing Business in ASEAN 2017 introduces the fundamentals of investing in the 10-nation ASEAN bloc, concentrating on economics, trade, corporate establishment, and taxation. Sorry, your blog cannot share posts by email. India-Myanmar Trade Relations. An exhaustive list of commodities and their necessary documents and HS codes can be found on Myanmar’s Trade Portal. Required fields are marked *. I hereby sign under the Constitution of the Republic of the Union of Myanmar (Sd.) of search terms would be “property research report”, ”condominium law”, “Puma Energy”, “MOGE”, “yangon new town”,”MECTEL”, “hydropower”, etc. Media reports said most of the local people still cannot buy brand-new car due to high prices. The 2014 Law also exempts businesses operating in SEZs from customs duties and taxes when importing material and equipment which services their own production. Prohibited: host plants of pests and soil. To learn more about the latest Travel Restrictions affecting all travelers entering Myanmar due to the COVID19 Pandemic, click here, #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; } Our subscription service offers regular regulatory updates, November 30, 2017 by Thiha. 2. Before sharing sensitive information, make sure you’re on a federal government site. Exporters require these additional documents: The exporter must present these documents to customs officials before exported goods leave Myanmar. Importers require these additional documents: The importer must present these documents to customs officials when imported goods arrive in Myanmar. different article, which is then incorporated into a finished product in Myanmar. If we calculate the amount, there may have been more than 1 billion kyat [roughly US$1.008 million] lost due to changes in import policy. The Myanmar government’s Trade Portal (mentioned above) provides an in depth list of commodity-specific tariffs. Most imported goods are subject to import duties. The current Indian government has infused a new momentum to keep its contacts robust with Myanmar. /* Add your own Mailchimp form style overrides in your site stylesheet or in this style block. The basis principle of import policy is priority import the capital goods, construction materials, other essential goods, hygienic materials for the wellbeing of the people. Business Opportunities NB: The best way to find information on this website is to key in your search terms into the Search Box in the top right corner of this web page. Except for machinery, all import vehicles must be left-hand drive under the 2021 vehicle import policy. One of the major aims of the vehicle import policy is to encourage the development of local industry, particularly vehicle assembly. As Myanmar continues to liberalize its regulatory landscape, new opportunities are emerging for cross-border trade. The Republic of the Union of Myanmar is classified as a low income country in south east asia. Customs officials tax imported goods which fall under the SGT between 5 percent and 80 percent with an additional 5 percent commercial tax. This publication is designed to introduce the fundamentals of investing in all ten ASEAN countries (Brunei, Ca... Southeast Asia has been hit hard by the COVID-19 pandemic as much of the rest of the world. Myanmar has outlined a new auto import policy for 2019, saying that only vehicles with left-hand drive can be imported to suit the country’s traffic route direction, according to an announcement of the Supervisory Committee for Motor Vehicles Importation published Monday. A Japanese designed, automated customs management system has been implemented in Myanmar’s SEZs with long-term goals of transforming the automated system into a single window for all import and export procedures. Myanmar's main imports partners are China, Japan, India, Indonesia, Germany, France and Hong Kong. Syed Ali Mujtaba, Ph.D. - 7/23/2007. A: Within two years after the government allowed car imports to Myanmar, import policy has changed about 10 times. 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