CNI News

10 Dec 2022

Although merchants are ready to export commodities to Bangladesh, there is a shortage of trucks, according to border traders.

After a ceasefire deal has been reached between the Myanmar military and the Arakan Army, trade routes have been reopened.

As a result, the border trade has resumed but trucks, which were stuck in Rakhine State, have gone back to Yangon and there is a shortage of trucks, Chairman U Tin Aung Oo of the Rakhine State Chamber of Commerce and Industry told the CNI.

Security forces searching trucks heading to Rakhine State. (CJ)

He said, "The border trade has resumed because roads have been reopened this week. However, trucks that had been stuck in Rakhine State have gone back to Yangon. There is a shortage of trucks. It will take about a week to return to normal. There is a large number of commodities to be transported from Yangon to Sittwe. We will have to wait a certain time."

As rental fees for cold storage trucks have risen, profits for exporters of fishery products have dwindled, U Than Naing, a merchant, told the CNI.

Security forces in Rakhine State.

He said, "Rental fees for cold storage trucks have risen because of high fuel prices and delays. Rental fees for cold storage trucks from Yangon to Maungdaw have risen from MMK 2.8 million previously to 3 million at present. Our profits have dwindled.

When trade routes were closed, trade volumes dropped to only five percent. Merchants are still trying to revitalize trading activities.

In 2021-2022 fiscal year, Maungtaw border trade hit US$ 43 million but commodities worth only about US$ 23 million have been exported from Maungdaw until October, according to RSCCI.