WASHINGTON: From last Thursday, customs clearance became available round the clock at all ports in Yangon, but it has come at a cost. It was announced last week that customs clearance for outbound and inbound shipments would be available 24 hours at all ports in Myanmar, including Yangon Port that is run by Myanmar Port Authority, and all the other ports in Yangon – 2 Asia World ports, Myanmar Industrial Port, Myanmar Integrated Port Ltd, and Thilawa Port.
Previously, clearance was available from 9am to 6pm, leading to congestion. According to Win Aung, president of the Union of Myanmar Federation of Chamber of Commerce and Industry (UMFCCI), customs services in extra hours will be available with overtime fees set by the Customs Department.
The decision was reached after a meeting between the private sector and the Customs Department on May 25. Representatives of all port operators, UMFCCI, and Myanmar Container Trucks Association (MCTA) attended the meeting. A week earlier, in a meeting with UMFCCI, Commerce Minister Than Myint called for cooperation from different departments to solve congestion as soon as possible.
“Congestion at Yangon ports undermines Myanmar’s economic growth. It slows down export and import capability,” Win Aung said. It is estimated that nearly 90 per cent of goods to and from Myanmar is cleared at Yangon ports. Congestion has been reported since the country first opened its doors and a massive volume of imports flowed in.
The situation is expected to worsen as Myanmar’s trade, worth US$25 billion (Bt875 billion) over the past year, has risen fast in line with economic growth. It is estimated that Myanmar’s economy will grow by at least 7 per cent in the next two years.
Aung Moe, vice president of the MCTA, welcomed the move. He said 24-hour service would play a key role in boosting trade, and help a great deal to meet Myanmar’s trade target. “Transportation has been a big issue in Myanmar for decades. Delays at the ports are directly related to the transportation problem. Now, a lot of containers remain at all ports since the long holiday period [in April]. It is really hard to clear them if clearance services are available only in office hours,” he said.
