Goods are unloaded at a Yangon port. Myanmar’s total exports this financial year could reach US$5 billion in the wake of some changes in foreign trade practices, the government said last week.

LAST week the government said Myanmar’s exports could reach US$5 billion in the fiscal year ending March 31, 2006 – up from $2.9 billion in the last fiscal year.

At the headquarters of the Ministry of Commerce on August 5, Brigadier General Maung Maung Thein, a member of Myanmar Export Import Supervisory Committee, said: “In the first four months of this fiscal year up to July, Myanmar’s exports totalled $1.2 billion, and official export volume for the entire fiscal year is likely to reach at least $4 billion.”

However, Brigadier General Maung Maung Thein, who is also the Minister for Livestock and Fisheries, said the total value of official exports would be higher if exporters listed the market real prices of commodities on their invoices when they applied for export licences at the Ministry of Commerce.

“If they listed the right prices on the invoices, Myanmar’s exports would likely reach about $5 billion during this fiscal year,” he said.

The majority of traders, both importers and exporters, often claim lower market prices on their invoices in order to reduce their taxes.

The minister also said the government has recently allowed traders to resume using the account transfer system at the Myanmar Foreign Trade Bank and Myanmar Investment and Commercial Bank – a process which had been banned for the past four years.

In late July, the government also began allowing traders to import goods regardless of whether they were essential or non-essential items. Trade of non-essential items had previously been restricted.

“This will liberalise the trading sector in Myanmar and enhance our export volume even more,” said Brigadier General Maung Maung Thein.

In 2004-2005 fiscal year, Myanmar exports reached $2.9 billion and imports $1.9 billion, despite the fact that the government was aiming at a total foreign trade figure of $5 billion.

Nevertheless, Myanmar’s foreign trade increased significantly, rising by 10 per cent from $4.5 billion in the 2003-2004 fiscal year to $4.9 billion in the 2004-2005 fiscal year, with Myanmar gaining a foreign trade surplus of $954 million.

In the 2002-2003 fiscal year, Myanmar enjoyed a record foreign trade amount of $5.3 billion, also gaining $763 million in trade surplus that year.

The government aims to export $500 million worth of marine industry products and $500 million in forest industry products during the current fiscal year.