State Administration Council Chairman Prime Minister Senior General Min Aung Hlaing meets MSME businesspersons from Kachin State
NAY PYI TAW December 13
Chairman of the State Administration Council Prime Minister Senior General Min Aung Hlaing this afternoon met with businesspersons of micro, small and medium scale enterprises from Kachin State at the city hall in Myitkyina to talk about development of businesses.
Also present at the meeting were Joint Secretary of the SAC Lt-Gen Ye Win Oo, Council members Jang Phang Naw Taung and Saw Daniel, Union ministers Lt-Gen Tun Tun Naung, U Win Shein, U Hla Moe, Dr Charlie Than and U Aung Naing Oo, Kachin State Chief Minister U Khet Htein Nan, senior military officers from the Office of the Commander-in-Chief, the commander of Northern Command, deputy ministers, state cabinet members, MSME businesspersons and officials.
Individual reports on requirements for development of businesses
First, the State Chief Minister reported on regional facts, establishment of Myitkyina industrial zone, formation of industrial ward, manufacturing of industrial products at the industrial ward, operation of MSMEs in Kachin State, assistance for development of MSMEs in Kachin State, disbursement of loans by the government for MSME development and extension of industries, setting products for operating one villageone product scheme, and implementation of agriuclture and livestock farms with the State economic promotion fund.
Then, U Aung Than Htut Oo of Swan-in Pyae-hlyan advanced briquette industry, Daw Ni Ni Lwin of Shwe-oak-saung amber health product industry, U Benjamin of Phyo Wai Wai paper recycling industry and U Than Win of Manaw Myanmar weaving industry reported on difficulties of MSME in Kachin State, needs of aid from the government, negotiation for reducing commercial tax in export of finished products to foreign countries with the use of domestic raw materials, disbursement of capital loans and needs for local businesses.
U Zakhun Wein Saung of Kachin Special Region (1) retold the thanks expressed by local people to the government for development undertakings in Chipwe and Panwa region, better transportation for quick development of local socio-economic life, and other requirements.The businesspersons also submitted general requirements.
Discussions of Union ministers on relevant sectors
In their response to the indivdual reports and discussions of businesspersons, the Union ministers and deputy ministers discussed turning out of human resources in establishment of border region development training schools, undertaking of regional development tasks including smooth transportation, fulfillment of relevant ministries in holding meetings with businesspersons for development of MSMEs, setting up a State economic promotion fund to provide capital funds to regions, states and self-administered regions, encouragemet of the State to have further development of MSME sector, a plan to set up a fund for providing capitals to them, needs to pay back the loans to the government in set period as the government disbursed loans under various titles, readiness of the govern-ment to assist in all tasks of businesspersons under the procedures, and correct tasks of those businesspersons, seeking market shares for MSME products, and needs of concerted efforts to eradicate illegal trade for improvement of MSMEs. The Kachin State Chief Minister discussed arrangements for fulfilling needs for development of MSMEs in Kachin State.
Encourage and support MSMEs
In his speech, the SeniorGeneral said he came to meet the MSME entrepreneurs to fulfil the needs of the MSME industry. Visits were paid to various regions and states for promoting MSMEs to contribute to national economy. Not only developing countries like Myanmar but also developed ones have their local businesses, over 90 percent of which are MSMEs. So, the State is making efforts for the MSME development. With weaknesses in economic and trade management since 2018, the country’s economy has declined without much foreign income. Larger imports have led to trade deficits. Goods were imported with the money earned from non-trade activities. The lack of encouragement for domestic production and much reliance on imports resulted in huge trade deficits got the country into debt and in a dangerous situation.
Although we did not receive foreign loan and cash assistance when we started assuming State
duties, we have been paying our foreign debts. Now, the country’s economy has improved again to a certain degree. The encouragement of local businesses will improve national economy. This is why MSMEs are being encouraged. Rural economy, in other words, agricultural and livestock breeding, which are main businesses of the country must be encouraged. Socio-economic progress of the rural people will see increased demand. Then, cash flow will be smooth and production increase, thereby contributing to national economy. Thus, the government is encouraging local businesses such as MSMEs, import-substitute goods and increased exports.
Electricity and fuel oil needs
National economic progress measures require State peace and stability as well as electricity. Our country can generate about 40,000 megawatts of electricity from hydropower sources. But for various reasons, those projects halted. Kachin State has a lot of resources to produce power so they should be efficiently employed. Implementing hydropower projects takes a certain period of time plus large investments. To meet electricity needs, measures can be taken for solar power and wind power while electricity usage needs to be saved.
We have to spend large amounts of foreign exchange to import fuel oil annually. So, fuel oil should be saved as much as possible. Vehicles without fuels like bicycles should be used out of patriotism. In transporting goods also, trains should be used because they consume less fuel but can carry large amounts of goods. Individuals’ saving of fuel will reduce foreign exchange spending.
Encourage local economybased on local products
High commodity prices usually result from high production and transportation costs and imbalanced supply and demand. Already blessed with favourable soil and aquatic conditions, Kachin State can carry out agricultural and livestock activities successfully. If enough goods can be produced inside the country, commodity prices will decrease. Encouraging MSMEs is aimed at developing all local businesses. So, efforts need be made to serve individuals’ interests and then the national interests. In Kachin State, manufacturing businesses should be run to serve the interests of the majority rather than individuals’. Ago- and livestock-based MSMEs can produce import-substitute consumer goods and foodstuffs. As Kachin State has a large acreage of rubber plantations, tyres and other consumer goods can be produced from rubber. Enough production is necessary and value-added products can be exported. The state has abundant bamboo and wood. With the use of them, pulp can be produced to meet local paper demand. Other kinds of bamboo-based products can also be manufactured. For that, the State will provide necessary assistance. Likewise, processing of fruits grown in Kachin State into value-added goods will ensure exports and benefits.
Systematic efforts should be made for the availability of strain, soil, water and quality seeds, good soil, adequate water supply and correct cultivation method which are basic agro-factors for regional rice sufficiency. Increase in per acre yield is more important than sown acreage extension. Replacement of traditional breeding method with cage-breeding will increase income and bring a lot of benefit to the country as more products can be exported.So, agro-based MSMEs should serve as a driving force for the success regional businesses.
Education promotion for human resources production
Raw materials, inputs, capital and human resources are the main requirements for the success of MSMEs. In this age of market-oriented economy, use of easily available raw materials will lead to success of production businesses. The government is providing encouragement to the best of its ability to generate qualified human resources through education promotion. Education promotion programs also cover the higher education sector. Education promotion campaigns improve the future of every individual and the country. In this regard, education promotion is a must. Only then will the country be able to produce human resources for further progress.The government will provide assistance to the best of its ability for progress of MSMEs in Kachin State. Entrepreneurs should also make collective efforts to reach this end.
The Senior General cordially greeted MSME entrepreneurs. With keen interest, the Senior General viewed the mineral products, foodstuff, social goods, industrial goods, handicrafts, textiles, and traditional medicines, displayed at the exhibition hall and asked information about the market.