MYANMAR EAGER TO SELL GAS, BOOST TIES WITH INDIA

The Statesman News Service: 14 May, 2006

NEW DELHI: Myanmar today indicated it was keen to go ahead with its deal to sell gas to India as per the memorandum of understanding already signed between the two countries.

Surely, well sell gas to India, Myanmars Ambassador to India, Mr Kyi Thein, said at an interactive session organised by the Confederation of Indian Industry (CII). Later, asked about an MoU with China, Mr Thein said a similar MoU had been signed with that country.

The agreements had not been finalised with either country and negotiations were still continuing with modalities yet to be worked out, he said.

On what impact this would have on supply to India, the ambassador said there was enough gas in Myanmar to supply to both countries and that his country was ready to finalise both deals.

Talking about the traditional trade and cultural relations as well as ethnic commonalities between the two nations, Mr Thein called for increased economic relations in the years to come. Trade volume between the two countries grew from $12.4 million in 1980-81 to $557 million in 2005, he pointed out, hoping that it would reach $1 billion by the end of 2006.

Mr Thein suggested that to boost ties between the two countries bilateral meetings between the business leaders from both sides focusing on sector specific targets would have to be stepped up for items such as pharmaceuticals, where Myanmar was particularly lacking.

Besides, there should be other group meetings for discussing trade of traditional items such as teak and timber, he said. The ambassador also declared that developing a transit trade zone between India, Myanmar and China was on top of the priority of the Myanmar government and only rules and regulations had to be formulated.

This would give a huge impetus to trade in Asia and particularly between India and Myanmar. He said during the visit of President APJ Abdul Kalam to Myanmar, an MoU for transfer of technology had been signed between the two governments.

We are particularly interested in Indian investment in pharmaceuticals and we have had concrete talks with the minister of commerce and industry, Mr Kamal Nath, for this. Besides, we need investment in technology, IT and shipping sectors he said. Mr Thein said that Myanmar was also very keen on improving its infrastructure because once that is taken care of other things would follow.

Answering questions about investment opportunities in Myanmar from the industrialists and delegates, he said that Myanmar was reviewing its laws and coming up with a new policy very soon which would be based primarily on Chinese model so that the country would be ready to cope with international requirements. He also declared that a new industrial zone was being set up in Myanmar which would prove a boon for those who wanted to come to his country for setting up industries and joint ventures.

Speaking on the occasion, Mr Win Myint, President, Union of Myanmar Federation of Chambers of Commerce and Industry, stated that India was a major importer of agricultural products from Myanmar and nearly 60 per cent of its pulses and beans export went to India. He said Myanmar could serve as a gateway to Indias trade with China, Thailand, Laos and other Asean markets. The Asean-China FTA would come into effect from 2010 and it was time we consider seriously about increasing the volume of trade and investment for mutual benefit.