CNI Article

15 May 2024

Myanmar, a land of immense natural wealth, has fallen prey to the insatiable appetite of its formidable neighbor, China. With the country mired in internal conflicts and governed by a military regime, China has seized this opportune moment to cement its economic dominance, extracting Myanmar's precious resources with scant regard for the nation's sovereignty or the well-being of its people.^[1] This brazen exploitation has rendered Myanmar increasingly subservient to China's whims, threatening to reduce the once-proud nation to a mere vassal state.

At the heart of this exploitation lies China's relentless pursuit of Myanmar's jade, hydropower, and other natural riches.^[2] The sole objective is to harvest these resources for China's own benefit, perpetuating an imbalanced and parasitic relationship. The divide between Myanmar's ethnic groups and the Bamar majority has been deftly exploited by Chinese companies, who have effectively turned northern Myanmar into a virtual extension of China's territory.

Chinese companies including Wanbao Mining copper Limited and Yang Tse Copper Limited are trying to protect the Letpadaung project site by bribing the local armed ethnic groups (PDFs), local pressure group in Letpadaung in SagaingRegion amid the conflict between the Military Government and ethnic armed groups.^[3] Chinese companies gave 50 crores of MMK each to the local armed groups (PDFs) operating in the area for protecting the Letpadaung project site and its machinery in the areas. Chinese companies also bribe some top brass Officers of North West Command to protect the project site. The Chinese entrepreneurs are focused to invest in mining particularly in Yinmabin, Salingyi and Kani townships in the South Sagaing Region.

China's rapacity extends far beyond copper and jade. The nation is preparing to conduct surveys to assess the presence and potential mining of rare earth materials on the Angumaw Island and in the Rathedaung Township of Rakhine State. Experts from the Kyaukphyu Special Economic Zone (KPSEZ) projects, many of whom arrived in Myanmar with the permission of the State Administration Council (SAC), could be deployed for this purpose, further entrenching China's grip on Myanmar's natural resources.^[4]

The exploitation of Myanmar's natural resources is accompanied by a severely skewed trade imbalance that has persisted for years, inexorably tilting the balance of power in China's favor. Since 2018, the trade deficit has consistently favored China, reaching staggering levels that highlight Myanmar's utter dependence on its powerful neighbor. In the fiscal year 2023-24 alone, the trade deficit stood at a whopping USD 1,696.455 million, with Myanmar exporting primarily basic materials such as natural gas, rubber, and agricultural products, while importing finished goods like cotton fabrics, fertilizers, industrial goods, vehicles, and chemicals from China.^[5]

Alarmingly, these official figures do not account for the illicit and unregulated export of Myanmar's most precious natural wealth to China, including gold, jade, and rare earth minerals. Myanmar possesses 9% of the world's rare earth mineral reserves, yet this invaluable resource is being smuggled across the border, further enriching China while depriving Myanmar of the economic benefits it desperately needs to uplift its struggling economy and improve the lives of its citizens.

In a feeble attempt to address the trade imbalance, Myanmar signed a "Memorandum of Understanding on the Establishment of the Working Group for the Promotion of Smooth Trade" with China in 2020, which was subsequently renewed in 2024. However, Myanmar's requests for a meeting of this working group, sent via an official letter to the Chinese Embassy on May 11, 2023, have fallen on deaf ears, underscoring China's indifference to Myanmar's concerns and its unwavering pursuit of self-interest.

To gain access to Chinese markets, Myanmar has resorted to participating in trade expos, seminars, and fairs organized by China, such as the China-ASEAN Expo, the Lashio-Lancang Border Trade Fair, the China-South Asia Expo, and the China Kunming Export-Import Expo. However, these efforts have done little to rectify the fundamental imbalance in trade relations, as China maintains a firm grip on the terms of engagement, dictating the flow of goods and capital to serve its own interests.

China's influence over Myanmar's economy has become so profound that all major actors, including the SAC, ethnic armed organizations (EAOs), and the National League for Democracy (NLD), find themselves beholden to China's wishes. Myanmar, once a proud nation endowed with natural bounties, now finds itself helpless, unable to counter China's predatory trade practices and the relentless plundering of its resources. This subjugation has far-reaching consequences, as it erodes Myanmar's ability to chart its own economic course and undermines the sovereignty that should be the birthright of every nation.

As China's stranglehold on Myanmar's economy tightens, the nation's future hangs in the balance. Unless decisive action is taken to curb China's exploitative practices and establish a more equitable trade relationship, Myanmar risks becoming a mere appendage of its powerful neighbor, its natural wealth perpetually drained to fuel China's insatiable ambitions. The time has come for Myanmar to reclaim its sovereignty and assert its right to benefit from its own resources, lest it be relegated to a permanent state of subjugation and deprivation.

The international community must take heed of this alarming situation and lend its voice to Myanmar's plight. Sanctions and diplomatic pressure must be brought to bear on China, compelling it to respect Myanmar's territorial integrity and engage in fair trade practices that foster mutual benefit and sustainable development. Only through concerted efforts can Myanmar be liberated from the shackles of exploitation and allowed to chart a path towards true economic independence and prosperity.

In the annals of history, nations that have succumbed to the insidious forces of imperialism and resource plundering have often found themselves mired in cycles of poverty and subjugation. Myanmar stands at a crossroads, faced with the choice of either surrendering its natural wealth to the rapacious appetite of its neighbor or mustering the courage to reclaim its rightful place as a sovereign nation. The fate of Myanmar's people and their future generations hangs in the balance, and the time to act is now, before the last vestiges of independence are eroded by China's relentless pursuit of dominance.

#Myanmar #China #PDF #EAO #CNIArticle #CNImyanmar

^[1] https://www.usip.org/publications/2023/12/chinas-influence-increases-amid-myanmars-instability

^[2] https://www.aljazeera.com/news/2021/4/22/myanmar-militarys-lucrative-jade-industry

^[3] https://www.rfa.org/english/news/myanmar/chinese-workers-return-copper-mines-myanmar-05132024160209.html

^[4] https://www.rfa.org/english/news/myanmar/chinese-workers-return-copper-mines-myanmar-05132024160209.html

^[5] https://www.ispmyanmar.com/wp-content/uploads/2023/08/Data-matters-49-eng.pdf

CNI News

15 May 2024

Because the Haigen Agreement meeting will soon resume, those involved in the peace process are reviewing if there could be a ceasefire between the Myanmar Tatmadaw and the Arakan Army (AA). 

the Haigen Agreement Meeting that arose because of the Chinese mediation between the State Administration Council (SAC) and the three northern allies (TNLA, AA, MNDAA) will resume in a few days to come.

After that meeting, there could be a ceasefire between the AA and the Myanmar Tatmadaw that are fighting against each other in Rakhine State, according to those close to the meeting. She thought that the border trade would be mainly discussed and was not sure that the ceasefire would be included, Dr. Hla Kyaw Zaw, a Myanmar political commentator, told CNI News.

While seeing the leaders of the AA, the TNLA and the MNDAA

" To the best of my knowledge, they seemingly will discuss the border trade. I'm not sure whether they will discuss to cease fire with the AA. If necessary, they'll cease fire. The AA has been fighting against the Tatmadaw for a bit long. And it's worrying that another conflict would take place between the region where Rohingyas live and the region where Rakhine people live. So, they might cease fire. The territory that the AA has captured is very spacious. The AA doesn't seem to give it back to the Tatmadaw." she said.

At present, the AA had succeeded in its military objective to an extent and it needed to stabilize its territory that it had captured, she pointed out.

The fourth Haigen Meeting between the Myanmar Tatmadaw and the three northern allies was held in Kunming City, China from 1st to 3rd March and a ceasefire agreement was reached.

However, the ceasefire didn't contain Rakhine State, said Dr. Nyo Tun Aung, Deputy Commander in Chief of the AA, at the press conference held on 4th March. The Haigen Meeting would be started during this month and the ceasefire agreement between the Tatmadaw and the AA would be reached, according to those close to the meeting.

While seeing the ruins caused by the war in Rakhine State

The AA has seized control of Pauktaw, Kyauktaw, Myebon, Mrauk U, Taung Pyo Letwe, Minbya, Ponnagyun and Ranbye in Rakhine State as well as Paletwa and Samee in Chin State.

Fighting had stopped in their township, but due to previous battles, their houses were damaged, so they found it difficult to go home, an IDP from Mrauk U, told CNI News.

" The fighting has stopped in our township. But it's very difficult for those who want to go home because their houses were damaged. The IDPs are expecting grant money. But it doesn't come. It's better if the battles don't break out. The people can't do business in the battle area." he said.

At present, the battles are breaking out between the Myanmar Tatmadaw and the AA in Sittwe, Ann and Kyauk Phyu Townships. The AA has said that it would try to get a confederation status, its political objective and it could implement administration, legislation and judiciary in the territories where it has captured, pointed out some people.

CNI News

15 May 2024

The Thai government's collecting biodata regarding eye and face from Myanmar migrant workers in Thailand by reason of health matter was nothing short of violating human rights, those who are helping migrant workers told CNI News.

The Thai government is carrying out a preliminary program that collects biographic from Myanmar migrant workers and those who left Myanmar in the five districts, Thailand, where most of Myanmar migrant workers have arrived for the public health issues, reported in the Thai news media quoted by the Thai government officials.

In collecting biodata by reason of health matter, data of only Myanmar citizens were being separately collected, excluding other foreigners and the Thai government should fully guarantee so as not to make the data and information, U Min Oo, in charge of labor affairs from the Foundation for Education and Development, told CNI News.

" The Thai government obviously discriminates. There are three million official migrant workers in Thailand. There are over 2 million Myanmar migrant workers there. If they want to collect the data, they should collect all the foreigners in Thailand. Why are they collecting the data from Myanmar citizens only. These are personal data. Collecting the data like this are related to human dignity and human rights. It goes against human rights. How will they protect the data so as not to leak out? There should be responsibility and accountability." he said.

Myanmar migrant workers

The organizations which are carrying out for the affairs of migrant workers in Thailand would discuss about the natter in question and negotiate with authorities concerned, he added.

Because collecting personal data contained computerized eye and face recognition, they were worried about personal data security of migrant workers, said those who helping migrant workers. At present, although personal data of Myanmar migrants are being collected, later personal data might be collected at the border gates and airports, they reviewed.

Collecting the personal data of Myanmar citizens only might be related to politics, U Tun Win Naing, chairman of the Migrant Workers Rights Network (MWRN), told CNI News.

" The workers from our country feel their eights are violated. Their security are also hurt. This is because of political situation in Myanmar, I think. Later Myanmar workers in foreign countries will be strictly checked." he said.

The biodata of about 10,000 Myanmar citizens have been collected already at present and Myanmar citizens are being discriminated by Thailand because of volatile Myanmar politics, commented the people who are helping migrant workers.

Collecting personal data probably would be convenient for legal workers but not for illegal workers, pointed out some people.

CNI Article

14 May 2024

On April 29, 2024, the Hong Kong-based South China Morning Post wrote: “Chinese consumers are increasing their appetite for gold, seeking to protect their assets amid a volatile stock market, a depreciating yuan and, property doldrums.”

China is the world’s largest gold producer. But the demand has far outstripped supply leading to imports. Clearly, the common Chinese are losing faith in their economy. And, that takes us to question what’s wrong with China. The answer may be found in the dramatic meltdown of Hong Kong’s status as a global financial and commercial hub. 

The former British colony was handed over to China in 1997. Under British rule, the islanders enjoyed a high degree of civil liberties which were crucial for its prosperity. During its inclusion with China, the Chinese Communist Party (CCP) promised to ensure the political freedom of the islanders for fifty years under a framework known as “one country, two systems.”  Not to mention that mainland China does not enjoy such freedoms. 

The situation started changing dramatically after President Xi Jinping became general secretary of CCP in 2012 and President of the country in 2013. A severe clampdown on free speech was ordered in Hong Kong. Initially, media and educational institutes went under heavy censorship. Then Beijing went for changing the electoral system inviting huge protests. The island was rocked by a wave of sit-in demonstrations, and marches beginning September 2014. Students were at the forefront of the peaceful “Occupy movement” that finally ended in December in the face of the ruthless use of force by Beijing. 

Since then, Hong Kong has been living under the iron rule of China. Many newspapers were closed. Editors landed up in jail or were silenced. In 2020, Beijing imposed a draconian national security law in Hong Kong that gave authorities sweeping powers to arrest pro-democracy activists, advocates, media persons, social influencers etc. Most critically, the new law curbed the voting rights of the islanders. The press freedom was reduced to near zero. Before the Xi era, the South China Morning Post was one of the most respected dailies in Asia. Today, it merely toes the line set by CCP. 

But that did not stop Beijing from increasing the stranglehold. In March this year, the CCP brought more lethal provisions over and above the National Security Act to virtually reduce Hong Kong into an open jail. The new act, known as Article 23, empowers Beijing to crack down on all forms of dissent - on the grounds of treason, espionage, sedition and external interference in Hong Kong’s internal affairs - with sentences ranging up to life imprisonment. 

It is anybody’s guess how a totalitarian state can use draconian legal provisions. China loved Hong Kong for its money. But it hated the freedom the islanders enjoyed. Beijing will not stop until it crushes the liberal spirit of the islanders. On the flip side, the oppression of civil liberties played a significant role in China’s recent economic decline. At a time when emerging markets in Asia are booming, the Chinese share market is struggling. China’s CSI300 index is ruling 31% lower than the February 2021 high. On the contrary, India’s NIFTY50 index is at a historic high. 

World history suggests some countries made progress under dictatorship, monarchy or one-party rule when they were abysmally poor. It is no justification for autocratic rules nor did all dictators make their country richer.  China was abysmally poor under Mao Zedong’s authoritarian rule. However, Deng Xiaoping used the same single-party rule to pursue Barbie doll economics to alleviate poverty and catapult the country towards a growth path. From barely $347 in 1990, the per-capita income of the Chinese has reached nearly $13000, above the world average. 

And, that puts them face to face with another piece of lesson from history. As people get richer, they demand personal and political freedom. This is why, the democratic West adopted more democratic means of governance once they crossed a per-capita of $2500 in the last century. The relationship between growth and personal liberty at a higher per-capita level is non-negotiable. That is why Deng proposed a political reform as a follow-up action to economic reforms. Deng was Chairman of the Central Advisory Commission till 1987. He died in 1997. CCP allowed discussion on political reforms for another decade and, then Xi turned the wheel back. China started pursuing Mao’s total control doctrine.  

This is the source of China’s recent instability. Look at Hong Kong. In 2020, the US imposed sanctions on the top leadership of the city, for violating the freedom of expression of the islanders. After China brought in Article 23 in March 2024, US Secretary of State Antony Blinken announced a plan to impose “new visa restrictions on multiple Hong Kong officials for the intensifying crackdown on rights and freedoms.”  

The sanction is a smaller part of the problem. The bigger issue is: Can a global financial hub operate under such a restrictive environment? Can you expect investment bankers at Wall Street in New York to keep silent on the American government and its policies? The answer is an emphatic ‘NO.’ They study government policies and make decisions on keeping investments in America or taking them to any other destination. A totalitarian regime that suppresses dissent can put bans on taking investments out or raising money from abroad. Didn’t Beijing force Jack Ma’s Ant Group to cancel its $37 billion IPO in 2020? 

The realisation has dawned on the global corporate and financial circle. In December 2023, Moody's downgraded the outlook on both China and Hong Kong's credit ratings from stable to negative. Before that, in October 2023, The Wall Street Journal wrote: “International companies began trickling out of Hong Kong a few years back, uneasy about the financial hub’s tightening ties to mainland China. That first smattering of departures is now turning into a broad retreat involving banks, investment firms and technology companies. The number of U.S. companies operating in the city has fallen for four years in a row, by Hong Kong’s count, hitting 1,258 in June 2022, the fewest since 2004.” Chinese companies now outnumber the foreign entities in Hong Kong. 

CNI News

14 May 2024

The No-3 Thanlyin Bridge that is being constructed over the river to connect Thaketa Township with Thanlyin Township is about to be completed. So, the price of real estate in Thanlyin Township is getting higher than before, according to real estate agents. Real estate prices have risen by about one third of what they used to be, Ma Jue Jue, a real estate agent, told CNI News.

" There are people who buy real estate. The prices are also going up by about one third of what they used to be. The prices of real estate in Thanlyin are cheaper than other places. If you have about 300 lakh kyats, you can buy a land lot whose area is 1,200 or 2,400 square feet. The bridge (No.3 Thanlyin Bridge) will be open in July. It's likely that the prices are going up. But the prices are cheaper than in Dagon Myothit (North)." she said.

Although real estate agents used to buy land lots, there are more people coming to buy for living now and although a land lot (20'x60') could be bought at around 900 lakh kyats in the past, now it must be paid 1,300 lakh kyats.

While eeing the Thanlyin Bridge

Although real estate transactions tend to be low during the rainy season, because the land lots to be sold are very few, the prices could not be lower, Ma Htet Mon, a real estate agent, told CNI News.

" We had to sell land lots or real estate in the last rainy season. The transaction tends to lower a bit in the rainy season. But the prices would be changed. There are not many real estate and land lots which are going to be sold. These days, the people are buying and saving land lots and real estate." she said.

Although a lot of government grant land lots were bought before in Thanlyin Township in the past, buying other kinds of land has become higher now and there are hardly any land lots to be sold in some wards, said real estate agents.

While seeing the entrance sign of Thanlyin City

If the construction of No-3 Thanlyin Bridge was finished, traffic jams currently taking place on the No-1 Thanlyin Bridge would be resolved. Moreover, you could reach downtown Yangon in such a short time from Thanlyin.

Besides, as the Thilwa Special Economic Zone is located in Thanlyin Township, Thanlyin probably will be the best town to do business. On top of that, prices of real estate of neighboring townships such as Kyauktan, Thongwa and Kayan could go up, according to people.

CNI News

14 May 2024

The arrest of Naga young people by the Kachin Independence Army (KIA) destroyed their future sort of, said Naga youths. The KIA was arresting Naga youths on the Shin Bwe Yang and Tanai routes and it was difficult to travel, a Naga youth told CNI News.

"If you look at many KIA soldiers who were sent to the front lines, their faces are Naga, but their names are Kachin ones. There were many Naga youths in Tanai, Shin Bwe Yang, Nanyun, Pansaung and Donhee. Where have they been now? Why is the KIA arresting so many Naga youths. We are finding it so difficult. Naga youths want to go to Myitkyina for their education, but they don't dare. We are facing various crises including job." he said.

While seeing the KIA force

The KIA arrested Naga youths to recruit in some villages, Shin Bwe Yang Township in the second week of April after which many Naga youths had to run away. However, he hadn't heard that the KIA was arresting Naga youths to recruit and he had no comment, Colonel Nawbu, information officer of the KIA told CNI News.

" I haven't heard of that. They might take place at the front line. May be I didn't heard. I don't mean it's not right. I have no comment about it." he said. It was reported that the KIA would arrest 3,000 people and he was not sure Naga youths or Kachin and other clans would be arrest, said a Naga youth.

While seeing some youths attending the KIA's military training

" After they (the KIA) have recruited Naga youths, are the Naga youths asked to dominate the Naga region or is the KIA to rule Nanyun and Pansaung unjustly? Because there was no specific territorial demarcation between the National Socialist Council of Nagaland-Khaplang and the KIA, Kachin State is Naga region and vice versa. They are not clear. They didn't explain clearly why the arrests are being conducted. There aren't any reporters in the, Naga region. So, I wonder they are doing what they want to." he said.

500 to 700 Naga youths were arrested in 2023 and some of them were released. The KIA is arresting the youths to recruit in Shin Bwe Yang, Nanyun, Pansaung, Lahe, Donhee as well as in Nan Si Pon region, Khamti Township, Sagaing Region reportedly.

CNI News
11 May 2024

When getting tokens for Unique Identification Number smart card, the price for fast availability was around 100,000 kyats, residents of Myawaddy told CNI News.

Although the people who held border pass were allowed to cross the border in the past, but now those who have UID smart cards (national registration smart card) would be allowed to cross the border starting 1st May, 2024.

So, there have been a sharp increase in the number of the people who tried to get tokens to make UIDs and the price that has to be paid to get tokens quickly rose to around 100,000 kyats.

That's why, the issuance of tokens has been suspended starting from 8th May, 2024, an official from a social assistance association in Myawaddy, told CNI News.

While seeing those who came to the immigration office in Myawaddy to apply for UID cards

"The matter of money taken by township immigration officials and brokers was problematic. The issuance of tokens has been suspended for the time being. I wonder how they will restart by which system. The population of Myawaddy residents is just a few. There are more workers who go to the Thai side with a seven day residence permit. The problem is that those who want to get UIDs fast have to pay money. The brokers who have links with immigration officials designated the price for those who get UIDs fast. In the beginning, a card was paid 30,000 to 50,000 kyats. Now the price has been 80,000 to 100,000 kyats." he said.

The issuance of tokens has been suspended starting from 8th May, 2024 and new applications will be accepted starting from 13th May, 2024 reportedly.

The Immigration Office in Myawaddy is providing service to make 300 people get the UID smart carts reportedly. If the smart cards were issued not only in the immigration department but also at the border gates, it would be easier and faster, pointed out people.

While seeing those who came to the immigration office in Myawaddy to apply for UID cards

A border pass will be issued to a person who has had a UID and designating like that has opened a way that applicants have to pay a lot of money, Ko Naing Naing Aung, director of the Arakan Workers Organization, told CNI News.

“It's just a way to earn an income. A citizen registration card has been issued to a citizen. As soon as you show the card, you can freely travel to Thailand that has been discussed already by the two governments to be able to do so. After giving a name to this issue, they are looking for money. When the authorities lay down a policy, they think about getting benefit from the public but they don't think about how to provide service to the public." he said.

Those who apply for UID smart cards must have household census and citizen registration cards and after biodata collection such as eye scanning and fingerprinting is done, they can get their UID smart cards.

Although the government has directed to provide service free of charge for UID smart cards, brokers are working to get UID smart cards on behalf of applicants who have to give a lot of money at the bottom.

CNI News
11 May 2024

This year Myanmar mango export to China was just one third of last year due to instabilities along the way, said mango traders.

As time delays occur due to battles breaking out along the route going to the border trade gate, the quality of mangoes might decline and so as not to decline like that, although the two governments discussed to make the mangoes get the green line status as an important commodity, it didn't work reportedly. So, the mango export to China has declined, Ko Thitsar, a mango trader, told CNI News.

" The current authorities and the bilateral organizations don't understand the green line. So, they can't make the green line system. We can only tell the drivers to take care of their driving and so as to delay. The number of times delivered by car becomes less. If 100 trucks went with mangoes in the past, now would be 30." he said.

When the mangoes were exported to China through Muse and Kyin San Kyawt border trade in the past, although it took only two days, those gates have been closed now because of battles.

So, the mangoes are being exported to China through the Myla border trade and it takes about seven days and three to ten trucks of mangoes can be exported each day reportedly.

So, the mango market was on the brink of collapse and hardly any mango growers exported mangoes any more. Only companies and brokers' sales centers exported, U San Win, a mango trader, told CNI News.

" At present, there are hardly any mango growers who exported mangoes. Companies and brokers' sales centers inform the buyers of the prices in advance and export as able as they can get. There have been almost no auction systems like in the past. To sustain the system like this, it will be likely to export a lot. Now mangoes are so plentiful within the country. The market is on the brink of collapse." he said.

Although Japan, Singapore and other countries offered to buy Myanmar mangoes this year, they cannot be exported because of their quality weak points reportedly.

CNI News
11 May 2024

The India-based Zomi Revolutionary Organization/Zomi Revolutionary Army (ZRO/ZRA) and the Zomi Political Cooperation Committee (ZPCC)/ZRA Eastern Command that enter Chin State are gathering Zomi clans in Myanmar, India and Bangladesh and trying to build Zomi country, the Chin National Front (CNF) accused and stated on 9th May, 2024.

The ZRO/ZRA that was formed in 1993 is a Zomi clan armed group that revolutionizes against the Indian government and according to the agreement reached between the Indian government and the ZRO/ZRA in 2005, had stood as a Border Guarder Force and based in Manipur State, the CNF stated.

After that, the ZRO/ZRA which went against the Indian Government entered Chin State, Myanmar under the name of the ZPCC/ZRA (Eastern Command) in 2013 and the political objective of the ZRO/ZRA which has based in Manipur State, India was to dominate other clans in Manipur State, the CNF accused.

"The political objective of the ZPCC/ZRA (Eastern Command) that is active in Chinland ( Chin State) is to gather Tedim, Tonzang Townships in Chinland as well as Kalay and Kabaw regions in Sagaing Region and to build Zomi State. The ultimate political goal of the ZRO/ZRA and the ZPCC/ZRA (Eastern Command) is to gather Zomi clans in Myanmar, India and Bangladesh to build Zomi country." the CNF accused.

While seeing the statement released by the CNF

The ZRO/ZRA and ZPCC/ZRA pay the tax to the regionally based Myanmar Tatmadaw has owned many acres of poppy plantation in the forest belt in which there are Phoisat, Suang hoih, Seimei and Mualpi Villages.

Local people have been allowed to grow poppy and they have to pay tax. They collect tax at the border checkpoints and the tender the Myanmar Tatmadaw is carrying out in Tedim and Tonzang Townships, the CNF stated.

The reason why the CNF was fighting against the ZRA was because the CNF wanted to control the border trade route and to collect tax, said a person close to the CNF.

" At present, the CNF is trying to dominate Chin State. The reason why the CNF is fighting against the ZRA is because the CNF wants to control the trade route. The CNF is collecting tax at 2 percent on commodity in Chin State. The people from Hakha and Thantlan might like the CNF. But other Chin people don't like the CNF. To tell you frankly, the people from the border area prefer the military council. In any case, when the military council had controlled the border, they were able to make a living. When the CNF attacked the border gate and India has closed the gate, it's difficult for them to make a living." he said.

While seeing the CNF force

The battles are currently breaking out in Tedim Township and near the border area. The six Chin ethnic armed groups have warned the CNF not to conduct any military movements in Tedim and Tonzang Townships.

According to the CNF, the ZRA and the Infantry Battalion-268 of the Tatmadaw met and discussed and the following points were agreed- (1) the State Administration Council must lead to draft the Zogam Charter; (2) the SAC must lead in order to build Zomi State;(3) the ZRA must be recognized as the Border Guard Force; (4) the ZPCC/ZRA must be allowed to move in Tedim and Tonzang; (5) the ZPCC/ZRA must completely get rid of the PDF and the CDF, and must fight against the armed organizations in Kalay, Kabaw and Tamu to expell; (6) the ZPCC/ZRA must arrest those who have joined the CDM; (7) the ZPCC/ZRA must plot various stories and hurt the images of the CNF, the CDF and PDF and must fight against them, regarding as enemy.

However, the ZRA explained that it didn't cooperate with the Myanmar Tatmadaw and any agreements were not reached between the two sides.