Spotlight on the Garment Industry

Today the garment industry is a leading sector of the economy in Myanmar, with more than 300 factories employing more than 250,000 workers. About half the factories are foreign-owned. All garment production is exported to customers located in many countries around the world. Export sales exceed USD$1.6 billion. Special, simplified procedures have been developed to expedite the production and export of clothing articles. To read about these special procedures, click here.

Currently almost all garment production in Myanmar is done under the “Cut, Make and Package” (CMP) process. A foreign agent provides the fabric and other materials to produce garments according to contract specifications. An import license to import the fabric and other materials is obtained from the Ministry of Commerce, based upon recommendation letters from the Ministry of Industry and the UMFCCI. No export license for the finished garments is required. Imported materials and exported finished garments are duty and tax free. The Ministry of Industry monitors the production of factories through daily statistical reports and also issues certificates of origin.

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