Thailand and Myanmar are neighboring countries with a border stretching 2,040 kilometers. This extensive border facilitates easier communication and cultural exchange compared to countries that are farther apart. For businesses, this proximity offers a golden opportunity to export and promote products in Myanmar. Despite the geographical closeness, exporting to a neighboring country is not necessarily simpler than exporting to more distant nations. There are still complex legal procedures and regulations that must be adhered to in order to ensure a smooth and compliant export process. To help businesses navigate these challenges effectively, Freight Rangers is here to provide comprehensive guidance. Our team will walk you through each step of the export process, ensuring that all legal requirements are met. Additionally, we offer services, including air freight, which are designed to simplify and expedite the export of goods, making the entire process more efficient and manageable.
Opportunities for Exporting Thai Goods to Myanmar
The opportunity to export Thai goods to Myanmar is quite attractive due to several supporting factors. First, the two countries enjoy strong relations in political, economic, and cultural dimensions, which facilitates negotiations and exports. Additionally, Myanmar’s continuous economic growth, driven by its increasing population, has led to a rising demand for consumer goods, capital goods, and increased purchasing power.
Myanmar imports a variety of goods, including food, consumer products, construction materials, industrial raw materials, and machinery. Conversely, Myanmar exports items such as rice, broken rice, rice flour, rubber, and seasonal crops like pepper.
To illustrate with figures, from April 1 to December 23, 2022, the trade volume at the Myawaddy border amounted to approximately $1,577.654 million USD (about 53.5 billion THB), indicating a significant financial value.
At the same time, the Myanmar government is accelerating the development of the country’s infrastructure, including ports, airports, and roads, making transportation of goods more convenient. Therefore, if Thai businesses study the Myanmar market thoroughly—considering consumer demand, trade regulations, competitors, and potential risks before investing—this could be a promising opportunity.
Routes for Shipping Goods to Myanmar
Considering the routes for shipping goods to Myanmar, the advantage of the long border between Thailand and Myanmar is significant. For general consumer goods, land transportation is often the most efficient option. Currently, there are five permanent border crossings between Thailand and Myanmar:
For example, conflicts have caused damage to three bridges on the Asian Highway Route since December 2022. A transporter from the Myawaddy border town has noted that ongoing fighting has made access to roads impossible, forcing smaller vehicles to rely on old roads and natural paths for transportation.
- Mae Sai District, Chiang Rai Province : Across from Tachileik District.
- Mae Sot District, Tak Province : Across from Myawaddy Town.
- Ban Nam Phu Ron District, Kanchanaburi Province : Across from Dawei Town.
- Sangkhlaburi District, Kanchanaburi Province : Across from Mrauk U.
- Ranong District, Ranong Province : Across from Ko Song.
For example, conflicts have caused damage to three bridges on the Asian Highway Route since December 2022. A transporter from the Myawaddy border town has noted that ongoing fighting has made access to roads impossible, forcing smaller vehicles to rely on old roads and natural paths for transportation.
Factors to Consider
When exporting goods to Myanmar, the following factors should be considered:
Type of Goods
The type of goods will determine the method of transportation, packaging, and required documents. For example, perishable goods should be transported using refrigerated trucks, while fragile items should be clearly marked as “Fragile” on the packaging.
Quantity of Goods
The quantity of goods plays a significant role in calculating shipping costs and delivery time, as well as deciding the most suitable transportation method. Careful consideration is needed to evaluate cost-effectiveness and time. For smaller quantities, air freight might be a more appropriate option, whereas for larger quantities, sea or land transport may be more suitable.
Border Crossing
Each border crossing has its own regulations and procedures for import and export. Therefore, exporters should research the specific procedures of the border crossing they plan to use in advance.
Required Documents
The documents generally required for exporting goods to Myanmar include:
- Commercial Invoice
- Packing List
- Certificate of Origin
- Import Permit
- Bill of Lading
Shipping Company
The chosen shipping company should be reliable, experienced in transporting goods to Myanmar, and able to provide advice on documentation and import-export procedures.
The delivery time and shipping costs for goods to Myanmar depend on various factors, such as the type of goods, quantity, distance, border crossing, and the chosen shipping agent.
Insurance for Shipping
Although it may seem insignificant, shipping insurance for goods going to Myanmar is advisable to protect against risks of loss, damage, or delays due to unforeseen circumstances.
Laws and Regulations of Myanmar
Understanding Myanmar’s laws and regulations is crucial for avoiding issues and errors throughout the shipping process. It is essential to check with the shipping service provider in advance due to internal unrest in Myanmar, which impacts the delivery of goods. Issues such as disruptions in trade routes between Myawaddy in Karen State and Mae Sot in Thailand have affected the major trade routes between the two countries.
Some transport vehicles may risk crossing conflict zones and continue using traditional routes, which increases costs. Meanwhile, other vehicles may use forest paths due to inaccessibility of roads, also resulting in higher shipping costs.
Additional Recommendations
For those interested in exporting goods to Myanmar, it is recommended to contact the Myanmar embassy or consulate in Thailand for additional information on importing goods into Myanmar. Also, research the Myanmar market to select products that match consumer demand. Ensure that all documentation is accurate and complete for smooth operations. Track the shipping status and keep evidence of the shipping process as proof throughout the journey.
Choose Trusted Experts: Choose Freight Rangers
Choose trusted experts; choose Freight Rangers, the leader in comprehensive transportation services in Thailand. With over 10 years of experience as a Freight Forwarder in both sea and air freight logistics, and certification with ISO 9001:2015, you can be confident that our services are of high quality and transparency. We also offer 24/7 consultation for businesses. If you are considering exporting goods to Myanmar, don’t hesitate to think of Freight Rangers, who will ensure that every step of the process is smooth and efficient.