Myanmar, Japan ink MoU to develop Thilawa SEZ

22 Dec '12

2 min read

Myanmar and Japan have inked a memorandum of understanding (MoU) for significant cooperation for developing Yangon's Thilawa Port-based special economic zone (SEZ), which would have labour-intensive industries like textiles, along with other industries.

The project, aimed at housing state-of-the art manufacturing industries, would start in 2013 and would be made commercially operational in 2015.

U Set Aung, Chairman of Thilawa SEZ Management Committee and Deputy Minister of National Planning and Economic Development of Myanmar and Nobuhiko Sasaski, Vice Minister of Ministry of Economic, Trade and Industry of Japan inked the MoU, in lines with the Special Economic Zone Law passed by the former ruling Government of Myanmar in January 2011.

According to Xinhua, Myanmar has a 51 percent stake in the partnership project. Japan will have a 49 percent stake and would extend financial and technological assistance and employ most high-tech technology that ensures minimum environmental impact.

Spanning on an area of more than 2,000 hectare, the project site is located between Thanlyin and Kyauktan townships in Yangon, former capital of Myanmar, in vicinity of Dawei Special Economic Zone project in southern Taninthayi region.

Official statistics show that with an investment of US$ 216.94 million made from 1988 till July 2012, Japan stands to be the 12th biggest investor in Myanmar.

During April-July this year, the two countries witnessed bilateral trade of US$ 443.65 million, wherein Myanmar’s imports from Japan stood at US$ 337.19 million, while Japan’s imports from Myanmar totalled to US$ 106.46 million.

Fibre2fashion News Desk - India

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