Export Oriented Industries

            Resource based industries

Agro-based industries (canned fruits/ vegetables)

Wood-based industries

Leather, rubber-based industries

Copper fabrication

Seafood industries   

Non-Resource based industries

Garment/textile

Light manufacturing/ electrical appliances

Electronic industry

Footwear industry

Other export oriented industry

Domestic Market Oriented Industries

Resource based industries

Food/beverages (rice, oil, sugar mills, etc)

Agro supportive industry (farming tools, fertilizers, pesticides)

Non-Resource based industries

Cement

Simple electronic and machinery components

Plastic ware

Iron and steel

Agro supportive industry (tractor, water pump)

Packaging industry

Forestry:

           Myanmar is indeed very rich in forest resources, as the forest covers about 50.81 percent of the total land area. According to its climatic zones from temperate to arid and tropical, several variant forests types exist. They are the temperate forests in the north , the deciduous forests and dry forests in the central parts and semitropical rain forests in the south. There are over 5000 different plant species, including 2100 tree species, 840 kinds of orchid, 96 varieties of bamboo and 32 different types of cane. In 1998/99 reserved forest and protected public forest area totaled 105672 sq.km. 

The forest policy of Myanmar has been formulated according to the forestry principles adopted by the United Nations Conference on Environment and Development. The Government gives priority to protect the soils, water catchments eco-systems, bio-diversity, plant/ animal resources, scenic reserves and national heritage sites. At the same time sustainable management of the forests is practiced simultaneously so as to ensure perpetuity at the level of benefit both tangible and intangible foe future generations. It also employs the maintenance and rational use and enhancement of the forest resource base, to ensure ecological resilience and its contribution to socio-economic growth on a continuous basis.  

Mining:

          Myanmar is rich in mineral resources and minerals of potential importance are copper, gold, lead, zinc, silver, tin and tungsten, antimony, chromium and nickel. In terms of mineral potential, Myanmar ranks high among Asian Countries, but mineral resources are very much under-utilized. There still exist a large mineral potential and it is the policy objective of the Ministry of Mines to immediately boost up the present production thus fulfilling the growing domestic needs of mineral and metal products and at the same time promoting exports. 

The Myanmar Mines Law was promulgated in mid 1994, with this new law, all mining activities are administered by the Ministry of Mines. The Myanmar Mines Rules was promulgated in 1996. 

Mineral-wise the government emphasis is more on the production of copper, gold, lead, zinc, iron and steel and is collaborating with foreign companies for the exploration and exploitation of these resources. 

Types of possible investments can be through production sharing or profit sharing arrangements. It is the intention of the Ministry of Mines to make new investments by itself, rather, it would encourage foreign investors to make them. The Ministry of Mines is prepared to offer new areas or deposits for new projects or to provide raw materials, and existing facilities as its participation in the joint ventures, These participation would be valued on fair and equitable basis so that the foreign investor may receive reasonable return and the Ministry may enjoy mutual benefits. 

Production sharing type of investment could either be straight split on total production or with consideration of recovering production cost. In the cost recovery type of production sharing, it is usually done in such a way that a certain percentage of total revenue is reserved before consideration of recovering the production costs. 

Straight production split type is preferred by the Ministry of Mines in large volume, low price and low cost of production types of minerals such as dimension stones. Coal and other industrial minerals. In the case of other more valuable metallic minerals such as fold and copper, production sharing with cost recovery type of co-operation may be possible. 

            The Ministry of Mines is also welcoming investment from sources inside the country and privatization of the state run mines is being done at the same time. Some of the state owned tin tungsten mines have been transferred recently to local entrepreneurs to work in joint venture with the government. Gem and Jade mining which is also given priority, is now solely done by local entrepreneurs without government participations. It will take some time for all the state-owned mines to be fully privatized and during the Five Year Development Plan period the government would continue  to participate in the projects and joint venture operation requiring large investment and modern technical know -how. However as the private sector develops, the eventual goal of the Ministry would be full privatization of most of the state-owned operations and to emphasize more the mining activities to ensure the beneficial use of the mineral resources over a long term and the sustainable development of the Mining Sector. 

Energy:

            Much emphasis and priority is placed on the development of the electric power sector because of the its vital importance to the nation's social and economic development. At present, only about 15% to 20% of the total population are accessible to the electric power supply, and the rest had to rely on conventional national resources. The Government's economic growth target requires a substantial expansion of the national power supply. Commercialization and privatization of the electric power sector will be required to fulfill the power needs. 

Myanmar has an abundance of hydropower potential of more than 100,000 MW and huge reserve of offshore natural gas. Development of hydropower involves high capital costs and long lead time for construction in contrast to gas turbines and combined cycle power plant. In order to meet future demand hydropower has to be developed on long term basis and gas turbines will have to be built as a stop-gap measure. The abundance of hydropower potential enables Myanmar to consider development of hydropower projects not only for domestic power supply but also export to the neighboring countries. 

Myanmar has very high potential in the development of oil and gas and hydro-energy sector. Oil and gas exploration under the energy sector is contributed highest in the foreign investment in Myanmar. 

New discovery of off-shore gas fields developed by foreign investors are operating under the production sharing contracts. There is, therefore, a lot of potential can be seen in the establishment of downstream and related industries in this particular sector. 

Hotels and Tourism:

            Another prospective booming sector is tourism sector. Myanmar is a cultural destination with its rich cultural heritage and is also blessed with natural environment like snow-capped mountains, beautiful lakes, long rivers lush tropical forests, un spoilt beaches and archipelagoes. There is a growing need for international class hotels in major tourist sites. There are also many newly opened areas where there are no hotels of international standard. Many opportunities for the investment on developing golf courses, beach resorts, tourist village, amusement parks, recreational centers are also available. 

Myanmar offers considerable economic opportunities and potentials for FDI. Myanmar is situated on the dynamic crossroads, linking south east Asia, southwest China (Yunnan) and the India sub-continent which could be interpreted as a potential vast market of around 2 billion consumers. Labor in Myanmar , with English being commonly spoken in among those who are the most competitively priced in the world market. Myanmar will be incorporated into AFTA under CEPT Scheme and also into the ASEAN Investment Area. More room is widely opened for foreign investment in their prevailing competitiveness of the resources and geo- strategies positions.