THE reopening of the Myawady border checkpoint is expected to significantly boost bilateral trade between Myanmar and Thailand, according to Myanmar’s commercial attaché in Bangkok. This development is set to re-energize economic activity at the border.
According to Thailand’s Department of Foreign Trade (DFT), Myanmar reopened the Myawady border checkpoint on 28 May. This checkpoint is located opposite the Thai-Myanmar Friendship Bridge II in Mae Sot, Tak Province. The border had been closed since August of last year, and this reopening aims to facilitate the recovery of bilateral trade.
This is a major gateway to Myanmar’s main economic zones. The reopening will allow Thai entrepreneurs to resume increased exports of high-demand consumer goods, construction materials, electrical appliances, vehicles and spare parts, and other industrial products to Myanmar, DFT Director-General Ms Arada Fuangtong said.
The reopening will enhance cargo transport efficiency and is anticipated to lower transport and logistics costs. Thai businesses wishing to import goods into Myanmar must have adequate export earnings to obtain import licence approval.
Consequently, licence application processes might take longer than before. Myanmar’s foreign exchange management policies and the private sector’s purchasing power will be key factors in shaping the border trade in the second half of this year.
Currently, Thai-Myanmar border trade from January to April has decreased by 14.4 per cent compared to the same period last year. The Mae Sot border experienced a significant decline in trade, dropping by 39.8 per cent compared to last year.
The Thai Ministry of Defence has designated Mae Sot as a Controlled Area to prevent and combat cross-border telecom fraud and online scams. The Department of Foreign Trade (DFT) is collaborating with relevant government agencies to streamline procedures for Thai merchants and entrepreneurs. This initiative aims to facilitate trade at the border by reducing obstacles and ensuring the sustainable recovery of Myanmar-Thai cross-border trade in the long term. — NN/KK
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