Smuggling goods from Ranong to Yangon earns up to 7 million kyat per tonne
296
Htet Nadi/Pearl (NP News) - March 24
A trader told The Statesman that the market value of illegally importing goods from Ranong to Yangon is between three and seven million kyats per tonne.
When applying for an import license, the relevant departments only grant permission after thorough scrutiny. Although it is not easy to obtain a license, illegal importers are able to easily transport illegal goods.
“It takes a long time to get a license. We have to try many approaches. We have to pay the government for the earning costs, license fees, and taxes. We have both a maritime trade license and a border trade license. The state sets priorities for imports. If your goods are not on the priority list, you have to wait a long time. It is not easy to get a license. Even if you get it, the costs are high. Then there are taxes to pay to the government and other investments. Once the goods are allowed to be imported and become available, we also face the world market price. Now, cargo trade costs are expensive. These are the things that businessmen are facing,” he said.
He also said that the market collapse is hurting legal traders due to price differences between legal and illegal goods in the market.
“So, when we import goods with great difficulty, smugglers earn between three and seven million kyats per tonne transporting goods from Ranong to Yangon. It is not easy to sell our goods when we are competing with them; it is very difficult. I am not satisfied with the current situation involving smugglers. Almost all incoming goods are brought in illegally by them. When illegal goods enter the market, they undermine legally imported goods that have already paid taxes. As a result, the markets are being destroyed,” he said.
It is reported that the illegally imported goods include food, consumer goods, milk and dairy products. The prices vary depending on the type of goods, and these goods are transported from Ranong to Yangon using various methods.
"Transporting from Ranong to the sea is not done by container, but it costs about 12 million kyats per container. If you run it yourself and hire an agent, it will cost 1.5 million kyats. If you hire an agent, it will cost between three to seven million kyats. Valued items are more expensive. The goods are food products, mainly restricted food products. It is difficult to get a license for food products that are not on the priority list. It is even harder to compete with them. They also deliver to Yangon. We can't go to their warehouses and see what they have to offer. They sell them in the whole lot," he said. –