Karzo Business and Logistics Newsletter

July 2022

Karzo welcomes you to our July Business and Logistics Newsletter. The SAC’s continued need to control USD movements has been extended beyond FX restrictions into wide-ranging import bans on goods such as fuel, cooking oil and motor vehicles. As the only automotive producer with assembly facilities in Myanmar, Suzuki's suspension of production reflects the difficulties commercial industries are facing as a result. The NUG have moved to utilise blockchain in launching its own digital currency DMMK and international payment platform NUGPay. Myanmar’s geographical placement continues to receive attention, both as a manufacturing hub and also a key land link between India, China and ASEAN. With labour costs rising in China, Asian counterparts such as Vietnam, India, Cambodia and Myanmar see sustained potential opportunity in light of this. The India-Myanmar-Thailand Highway Project sees growing interest; the India-Myanmar looks to reopen after two years of closure. Thailand sees LNG shortage owing to rising prices and stringent domestic policy. Singapore is investing SGD20 billion in the world's biggest automated port project; shipping and wider supply chain face both issues and opportunities as evidenced by M&A activity in the sector plus announcements on innovative technologies as the industry attempts to optimise its efficiency. Articles relating to the above and more can be read below.

Myanmar Local News

Myanmar Tightens Fuel, Cooking Oil Imports While Ensuring Supply
Myanmar said it’s making the importation of fuel and cooking oil more stringent to prevent the trade balance from reverting back into a deficit. Read More

Myanmar blocks car, luxury imports amid foreign-currency crunch
Myanmar has stepped up import controls by banning imports of cars and other nonessential goods as the country struggles with a severe foreign-currency shortage caused by declines in investment and assistance from overseas. Read More

Parallel government in Myanmar creates own digital currency
The self-proclaimed legitimate government of Myanmar, made up of politicians and pro-democracy activists after the military coup of 2021, announced Tuesday the creation of its own digital currency, available through its own mobile payment system. Read More

India’s Kaladan Project in Myanmar Faces Fresh Hurdles
New Delhi’s ambitious Kaladan project in Myanmar, aimed at providing an alternate outlet to India’s landlocked northeastern region, continues to suffer from glitches. Read More

Global & Myanmar Business News

Cambodia and Myanmar race to become the next apparel manufacturing hub
As China battled a wave of Covid-19 flare-ups over the past few months with strict control measures, the widespread disruption of business operations fueled concerns over an accelerating exodus of manufacturing. Read More

Thailand at risk of fuel shortages with imported gas too pricey
Thailand is curbing imports of liquefied natural gas due to surging prices, potentially putting the country at risk of fuel shortages. Read More

Myanmar talks Belt and Road with China, restarts regional meetings
Foreign ministers from China and five Mekong Delta countries discussed economic cooperation Monday in the Myanmar tourist destination of Bagan, in the first multinational ministerial meeting held in the country since last year's military takeover. Read More

Global & Myanmar Logistics News

Shipping Industry’s Use of ‘Smart’ Containers Expected to Explode In Coming Years -Drewry
China appears to be gradually easing its lockdown of Shanghai, but that won’t bring immediate relief to global supply-chain congestion, according to a major shipping company. Read More

Hellmann acquire overnight express specialist OptimNet
Global full-service provider Hellmann Worldwide Logistics is taking over Czech and Slovakian-based overnight express provider Optimnet solutions s.r.o. Read More

In Graphic Detail: The Rise of the Shipping Container
Every industry has its base unit, the quantity by which growth and decline are measured. Read More

Singapore's $14 Billion Mega-Port Takes Aim at Shipping Chaos
As the world’s economies struggle to untangle unprecedented congestion in global supply chains, one of the world’s busiest ports is backing an ambitious modernization plan to provide solutions. Read More

Supply chains are more resilient than they appear
The resilience of global supply chains in manufacturing has been under scrutiny following COVID-19 and geopolitical shocks. Read More

Import & Export

Suzuki auto plant in Thilawa suspends production due to import difficulties
Suzuki auto factory in Thilawa did not close down but has suspended manufacturing due to difficulties importing auto parts, U Myo Min Tun, managing officer of SUZUKI (MYANMAR) MOTOR CO., Ltd, told The Daily Eleven. Read More

Cross Border

Trilateral Highway: India-Myanmar-Thailand and beyond
The project will boost trade, commerce and investment between the two regions and the ASEAN – India Free Trade Area. Read More

India, Myanmar land route trade likely to reopen after a gap of 2 years
After a gap of over two years, India and Myanmar are likely to resume trade through the land route. Read More

Brother Can You Spare a Kyat? Currency Woes in Myanmar
With a notification issued on 3 April 2022, the Central Bank of Myanmar (CBM) sent alarm bells ringing throughout the country’s business community and put its economy on pause. Read More

Technology

NTC Group launches two New Businesses with Boxory Logistics and Cargonix Xpress
The announcement was made on June 24 in Chennai at the NTC event held by Thangam Thennarasu, (Minister for Industries, Tamil Official LanguageTamil Culture Archaeology, Tamil Nadu). Read More

WaaS: Big picture thinking for e-commerce and logistics
The acceleration in digitalisation has permanently transformed the business ecosystem. Read More

Karzo's Latest Updates!

Karzo is a tech-based logistics partner in Myanmar and Cross border into Thailand and onto SEA. Read More

This is Ko Min Naing Swe, one of the dedicated fleet officers in the Karzo container fleet team, he has been working at Karzo since 2019. Read More

USD-MMK FX Rate
15/06/2022 - 1,850.0
13/07/2022 - 1,850.0
Source: https://forex.cbm.gov.mm/index.php/fxrate

Premium Diesel Yangon
15/06/2022 - 2,635 MMK
13/07/2022 - 2,255 MMK
Source: https://maxenergy.com.mm/#pricelist

Karzo manages the largest truck fleet in Myanmar providing goods transportation, logistics, cross-border imports and exports, and warehousing for corporate businesses moving cargo anywhere in the country.

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