CNI News

12 August 2022

Trading activities at Rakhine-Bangladesh have come to a grinding halt due to transportation problems and slowing commodity flow, according to merchants in the border area.

Border trade in Sittwe had halted for almost a week due to bad weather and high trading costs, General Secretary U Aung Aung of Rakhine State Chamber of Commerce and Industry told the CNI.

U Aung Aung said, “The weather is bad in Sittwe in rainy seasons and we haven’t been able to transport goods to them for almost a week. The weather is very bad in the sea and our ships cannot travel to them. So, border trade was recently carried out in Maungtaw despite higher costs due to difficulties in transportation and it was not profitable for exporters.”

Export volumes in Maungdaw border trade dropped from US$ 2.32 million in June to US$ 1.32 million in July, according to Maungdaw border trading camp.

A border trading camp in Rakhine State.

In August, road conditions were bad and the commodity flow has slowed down and border trade is likely to fall further, according to Vice Chairman U Aung San Thein of Maungdaw Border Trade Merchants Association.

U Aung San Thein told the CNI, “Border trade usually drops in the rainy season because road conditions are bad and the commodity flow slows down. I think border trade will fall further.”

The increase and decrease of border trade at Sittwe and Maungtaw camps depend on export of fresh water carp.

However, it is not the freshwater carp fishing season at the moment.

The border trade volume in Rakhine State is likely to increase again when freshwater carp are available abundantly, according to merchants in Rakhine State.