Industry & Retail
From The Report: Myanmar 2017
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Recording steady growth in recent years, Myanmar’s industrial and retail sectors have been buoyed by solid macroeconomic fundamentals, economic liberalisation and regulatory reforms encouraging investment and expansion. The new administration has set a bold industrialisation target, with manufacturing expected to become one of the most significant economic growth drivers in the coming years. Job creation and infrastructure investment are priorities, with ongoing development at three special economic zones also expected to attract new industrial and manufacturing investment. Low labour costs provide an additional incentive, despite a shortage of skilled labour, which has driven the government to target significant new investment in vocational training.

This chapter contains an interview with U Ko Ko Gyi, Group Managing Director, Capital Diamond Star Group.

Articles from this Chapter

Overview

Top of the agenda: Manufacturing is set to become a key growth driver, while international retailers seek to capitalise on market potential
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Recording steady growth in recent years, Myanmar’s industrial and retail sectors have been buoyed by solid macroeconomic fundamentals, economic liberalisation and regulatory reforms encouraging investment and expansion. In industry, the new administration of the National League for Democracy (NLD) has set a bold industrialisation target, with manufacturing expected to become one of the country’s most significant economic growth drivers in the coming years. Job creation and infrastructure investment…

Interview

Anticipating expansion: U Ko Ko Gyi, Group Managing Director, Capital Diamond Star Group, on facilitating trade and investment
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Interview:U Ko Ko Gyi In your opinion, what steps could the government take to encourage greater foreign direct investment (FDI) in manufacturing? U KO KO GYI: The new investment law is a step in the right direction. We have one of the most liberal investment policies in place, but it is more a matter of implementation, particularly given that our government has capacity constraints. Institutional changes need to take place with, for example, the Myanmar Investment Commission (MIC), as it…

Analysis

Policy focus: Sector plan foresees the development of industrial clusters and legislative reform
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The new administration of the National League for Democracy (NLD) has highlighted industrial development as a top priority, evidenced by the recent release of a long-term industrial strategy expected to boost the sector’s GDP contribution to nearly 40% over the next 13 years. Under the plan, new investment in key economic corridors will be underpinned by development of industrial clusters, including a host of planned zones for agro-industry, as well as reforms aimed at improving the ease of doing…

Analysis

Highly attractive: Foreign investment in the food and beverage segment is rising
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International retail investors have flocked to Myanmar’s food and beverage (F&B) segment in recent years, drawn by a rising middle class with disposable incomes for F&B purchases, though not yet more expensive internationally branded fashion and consumer goods. Recognising the growth potential, a host of US fast-food chains have moved to enter the market or expand their offerings in recent months, joining a handful of Asian franchises already in operation. Although supply chain difficulties…