CNI News
9 May 2024
Not only are there territorial instabilities along the Myanmar-China border trade routes, check points of armed groups along the route have also asked for more money along. So, the prices of goods imported from China are getting higher reportedly.
Because of higher trade costs like that, more Thai goods could enter Myanmar than the Chinese goods.
Although the Thai goods are pricey, because the Thai products are of good quality and the trade route with Thailand is fast and smooth, more Thai goods could be imported, U Thiha Paing, founder of the Via Logistics and Supply Chain, told CNI News.
" Because the trade route going to the Chinese border is not good, More Thai products are imported. Some Thai products are of better quality. Thailand tries to lower the prices of its goods. Traders import the goods that will make a profit for them. For example, if the price of the Thai detergent is the same as that of China, the Thai detergent will be imported because the trade route with Thailand is short." he said.
However, the kinds of products coming in from China are different from those coming in from Thailand. The products coming in from China are electrical equipment, construction materials, motorcar spare parts and kitchen wares and those coming in from Thailand are mainly cosmetics and foodstuffs.
While seeing the cargo trucks
According to trade route conditions, however, the Chinese products are getting higher while the Thai products are of better quality. So, the Thai market can take the place of the Chinese market.
Although textile was imported from China in the past, it is being imported from Thailand now, added U Thiha paing.
" Largely, Myanmar imports electric products from China such as mobile phone handsets. But most of the Thai products are of better quality.At present Thailand already dominates the textile market a little." he said.
The people would choose the Thai products that were of better quality if the prices were the same as those of the Chinese products, U Htay Aung Kyi, a banking expert, told CNI News.
"Those born in the 1960s have been using Thai products. So, China is competing with the price. But the Thai products have been better since before. For example, motorcar windshield glass and mirrors that are made in Thailand are of better quality than those made in Taiwan. So, the people will choose better products if there is a narrow gap between the prices." he said.
It is not easy for goods to flow at present because battles are breaking out along the maing border trade routes with China and Thailand. So, the people are facing scarcity of some goods and higher prices.
While seeing the Myawaddy border trade zone
The Kachin Independence Army (KIA), the Shan State Progressive Party (SSPP), the Ta'ang National Liberation Army (TNLA), the Restoration Council of Shan State (RCSS), the Myanmar National Democratic Alliance Army (MNDAA) and the Arakan Army (AA) are active along the Myanmar-China border trade routes.
Moreover, the Karen National Union (KNU), the Border Guard Force of Karen State, the Democratic Karen Benevolent Army (DKBA) and the KNU/KNLA Peace Council are active along the Thai-Myanmar border trade routes.
Although the freight prices were 20 to 50 lakh kyats on the trade route with China in the past, now the prices have been 150 lakh kyats because of monetary requests from armed groups and higher tax rates at the checkpoints.
Although there are organizations that ask for money on the trade route with Thailand, there are just fewer than on the trade routes with China reportedly.
