New Airport to Bago And American business and sanctions + SUOMI OSIO

New Airport to Bago 

Latest news is that  construction of a new international airport at Hanthawaddy, Bago, is scheduled to start in late 2016. The new airport will be 49% funded by a $0.75 billion Official Development Aid loan from the Japanese government.

Myanmar will likely hit the maximum capacity of the current Yangon Airport at very near future and even with the third terminal expansion, the airport area is still limited to how many Airplanes it can handle daily basis. The expanding tourist business needs bigger and better Airport and the Bago city, near Yangon has decided to be the solution to problem. 

Because of the numerous problems so far, the planned 2016 opening is very optimistic and IMHO there are some other issues that should be handled first. The "highway" between Bago and Yangon is actually not highway but a rural road where everything from cow farmers to markets exists at almost middle of the road. Before the Airport is ready, the new express highway or 2 should be build as well as high speed train. And since I have not seen much news about the planning of these, I suspect there wont be anything ready when Airport is supposed to start.

Latest news is that with the local company Shwe Than Lwin Co. and  ANA (All Nippon Airways) are investing to new airways called Asian Blue Aviation. It sure is good to have more connections to Myanmar but the very limited land routes will fast hinder the development inside the country. If you have ever seen full packed Indian trains having people hanging all over them, the sight might be same in Myanmar at next few years. However since the current train speed is very low (40-60km / hour) it might not be that dangerous as it would be with trains travelling 200 km/ hour.

AMCHAM Myanmar hosts American Business delegation

About 30 companies from USA will visit Myanmar and different ministries at Nay Pyi Taw, the capital of Myanmar. Led by US Ambassador to Myanmar, Mr Scot Marciel, the delegation will discuss ways to improve the Myanmar business environment and bring in more US direct investment into the country.

“The American Chamber of Commerce in Myanmar and the American business community here would like to see the country develop and thrive, and spurring the economy and creating jobs is essential to that process.  As the Myanmar government is committed to creating a business environment benefiting both investors and the people of Myanmar by improving infrastructure and rule of law, while strengthening its leadership development, AMCHAM is at the government’s disposal to provide advice, expertise, and support in bringing Myanmar’s economic climate in line with international standards and best practices making it a friendlier environment for investors,” says Andrew Lee, Chief Country Representative for GE and member of AMCHAM Myanmar’s Executive Committee.

US sanctions against Myanmar

USA sure seems to be very committed to expand business in Myanmar after long period of sanctions blocking Burma out from the world market. Just checking quickly the US government current sanction list against Myanmar, there are still many restrictions, what can be done and import from Myanmar to USA and their "friend" countries.

You can find the list from here: US Government sanctions towards Myanmar.  However The Reuters reports that Obama administration plans to renew bulk of US sanctions against Myanmar, officials say. Will be interesting to see when they are completely lifted. I have had some personal experiences with this sending US dollars to Myanmar and US bank stopping the money in US so that it never reached the country. And I never saw the money again. Well, nowadays it is easy to send Euros to country also so companies do not need to depend on Dollar transactions.

The US plans to renew the bulk of its sanctions against Myanmar when they expire next week, but will make some changes aimed at boosting investment and trade, according to several senior US officials and congressional aides.

Secretary of state John Kerry will visit Myanmar at 22. of May.  Kerry’s visit to Myanmar is his first since the party of Aung San Suu Kyi, the country’s Nobel laureate, swept to power following a landslide election win in November. A constitution drafted by the country’s former military rulers bars her from becoming president.

By renewing the legal framework for sanctions even as it eases some measures, Obama will offer the private sector more breathing room while maintaining pressure on its military, which still holds significant political power. The sanctions had been due to expire on 20 May

SUOMI OSIO

Jälleen yksi kevät lopuillaan ja Suomi jatkaa lamassa rämpimistä. Lama on kestänyt Suomessa lähes kahdeksan vuotta ja vaikka muutamia positiivisia uutisia taloudesta on näkynyt niin viennin jatkaessa laskuaan, Toistemme palvelemisella emme tule tätä maata saamaan uuteen nousuun. Ainoa pelastus mielestäni olisi jonkinlainen viennin organisoinnin uusi renesassi Suomessa.  Kysymys, Miksi Suomen keskisuurella teollisuudella on niin korkea kynnys lähteä uusiin kehittyviin maihin, Kuten tällä hetkellä Myanmar? 

Suur teollisuus on yleensä paikalla näissä paikoissa sillä heidän kansainvälinen organisaatio pitää huolen että markkinoita seurataan ajoissa. Nokia, Kone + muutama muu suuryritys on jo vahvasti mukana kehittämässä omaa liiketoimintaansa alueella mutta samanlaista innostusta, kuin Italialla, Ranskalla, Saksalla, Norjalla, Ruotsilla ja Englannilla on Burmassa, en näe Suomesta. Tulemme taas olemaan se jälkijunassa saapuva joka ihmettelee että onpa täällä liikaa kilpailua, ei meidän enää kannata investoida.  

No milloin sinne kannattaisi sitten investoida, jos ei nyt kun on vielä aikaista, tai muutaman vuoden päästä kun siellä on ahdasta?

Olen aikaisemmin luetellut muutamia aloja joissa Suomis olisi kilpailukykyinen. Tavattuani korkeita virkamiehiä Burmassa, viesti lähes kaikilla oli että tulkaa ihmeessä tarjoamaan tuotteita ja investoimaan projekteihin ettei kaikkia tarvitsisi antaa Kiinalaisille. No nyt siellä on jo monet Aasian maat ja USA + keski-Eurooppa on menossa sisään joten tarjoajista ei ole pulaa joidenkin vuosien päästä. Toivottavasti Suomalais firmat ovat mukana myös jollain panoksella.