The Irrawaddy Magazine

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• Turkish Foreign Minister Visits Burma, Offers Assistance to Arakan State     
• Heavy Downpours Continue to Batter Arakan State       
• Mon Groups Fear Surge of Burman Migrants
• Over-Extraction, Chinese Slowdown Blamed for Jade Price Slump
• Ma Ba Tha Airs Its Dirty Laundry
• Burma Army Deploying Armed Drones
• Enter La Niña: Cold and Heavy Rain Predicted From September
• Bangladesh Arrests 85 Islamists in Crackdown After Wave of Killings
• Outgoing President Warns Philippines About Specter of Martial Law
• In Major Test, Burma Scrambles to Clear Port Jam Threatening Growth       

Turkish Foreign Minister Visits Burma, Offers Assistance to Arakan State      Posted: 13 Jun 2016 08:16 AM PDT Turkish Foreign Minister Mevlut Cavusoglu meets with his Burmese counterpart Aung San Suu Kyi in Naypyidaw, June 13, 2016. (Photo: Burma Ministry of Foreign Affairs / Facebook) RANGOON — Visiting Turkish Foreign Minister Mevlut Cavusoglu thanked the Burmese government on Monday for its efforts to quell racial and sectarian violence in Arakan State, expressing a desire for mutual cooperation to resolve the issue. "We would like to cooperate with the Union government to solve this problem, and we will support the actions of the Union government," the Turkish foreign minister said at a joint press conference with Foreign Affairs Minister Aung San Suu Kyi in Naypyidaw. "As a result, there will certainly be peace and development [in Arakan State]," he said, adding that he admired, in particular, the citizenship verification process for Muslims in Arakan State, although some Rohingya Muslims have rejected this new verification exercise on the grounds that it omitted their ethnicity and religion. "To solve the problems in Arakan State, the Burmese government should also work with international agencies like the UN, without discriminating on the basis of creed and color," Cavusoglu said. Cavusoglu and other Turkish officials were scheduled to arrive in Arakan State at noon on Monday and to meet with leaders of both Muslim and Buddhist groups at Sittwe Airport. Cavusoglu was also to join Muslims from the region in prayer. "The Turkish International Cooperation and Development Agency [TICA] has been giving assistance without discrimination [in Arakan State]. TICA has offered new projects to local authorities, and it will give assistance to open clinics and fulfill other requirements. The Turkish government will extend similar assistance at the request of the Union government and the Arakan State government," the foreign minister told reporters. "We are working to improve the situation in Arakan State. I am thankful that Your Excellency [Cavusoglu] understands our delicate situation," Suu Kyi said. The Turkish foreign minister also invited Suu Kyi to visit Turkey to share his country's experiences in the health, education, infrastructure and tourism sectors. Cavusoglu said that his government expects to boost its trade value with Burma, which currently stands at US$38 million, highlighting an ambition to fly Turkish Airlines to Burma. He also urged the Burmese government to open an embassy in Turkey, seeing as how the latter opened a Turkish embassy in Rangoon four years ago. Suu Kyi said that Burma will make efforts to improve international diplomatic relations with Turkey and move toward relaxing entry visa regulations for Turkish nationals. Translated from Burmese by Thet Ko Ko.  The post Turkish Foreign Minister Visits Burma, Offers Assistance to Arakan State      appeared first on The Irrawaddy.

Heavy Downpours Continue to Batter Arakan State        Posted: 13 Jun 2016 07:56 AM PDT Recent flooding of a school in Arakan State's Taungup Township. (Photo: Kaungmratnaing Maungdaw / Facebook) RANGOON — Heavy rain and severe flooding continue to devastate parts of Arakan State, a spokesperson for the Arakan State Government, told The Irrawaddy on Monday. Four women in Taungup Township, a man in Thandwe Township and a student in Ann Township were killed by deadly deluges on Sunday, according to spokesperson Min Aung. However, the Ministry of Social Welfare, Relief and Resettlement has reported a different figure of four total deaths in the region for the month of June. In terms of damage, 155 households were destroyed in Ann Township, while in Thandwe Township the heavy downpours have caused water levels to rise seven feet, Min Aung added. Arakan State's Ministry of Social Welfare and Ministry of Electric Power, Industry, and Roads and Communications reportedly intend to visit flood-affected townships to deliver aid, including food and material for building houses. Since the beginning of June, several other parts of Burma have also been struck by severe rainfall. The Ministry of Social Welfare, Relief and Resettlement has reported that natural disasters have claimed the lives of two people in Pegu Division, two people in Sagaing Division, one person each in Magwe and Irrawaddy divisions and one person in Kachin State. More than 5,000 households in total have also been affected by flooding, with some homes having been completely submerged and others rendered essentially unlivable. With the La Niña weather pattern looming, it is likely that Burma will continue to be hit by extreme weather in the coming months. The post Heavy Downpours Continue to Batter Arakan State        appeared first on The Irrawaddy.

Mon Groups Fear Surge of Burman Migrants Posted: 13 Jun 2016 07:29 AM PDT Ethnic Mon children wear their national dress during the Mon National Day in February in Chaungzon Township. (Photo: Lawi Weng / The Irrawaddy) RANGOON — Last week, more than 10 Mon civil society organizations (CSO) demanded that the Mon State Chief Minister review the government's plan to issue household registration cards to internal migrant workers who have moved from Upper Burma to work on rubber plantations and salt farms in Mon State. Naing Htun Myint, chairman of the Mudon Youth Organization, expressed dissatisfaction with Chief Minister Min Min Oo's project, saying ethnic Mon people will face worsening trespassing problems caused by the migrant workers. Several land dispute cases with residents have recently emerged in the region as migrants construct shacks and dwellings near existing villages. Many local Mon have left their homes to find work in neighboring Thailand, leaving the local agriculture businesses with labor shortages. This led to seasonal migrant workers coming from Upper Burma, who later settled in Mon State. "We worry that the large amount of Burmans will gain more influence than the Mon," said Naing Htun Myint. He was concerned that after receiving the household registration cards, the migrants would be able to obtain or change their national registration cards, giving them the right to vote in local elections. This could erode the ethnic Mon political parties' power in state legislature, he said. "The Mon state government has not revealed details of this project to the public," Naing Htun Myint said. "We are unhappy with the lack of transparency." Three days after the CSOs sent their demands to the state government, there has been no official response. Mon State parliament Deputy Speaker Aung Naing Oo confirmed that they received a copy of the letter. Some ethnic Mon politicians are also dissatisfied with the chief minister's plan because he did not provide necessary details—he merely informed parliament that the project would be included as a part of the state's 100-day policy. The state legislator agreed with the CSOs, saying, "I can't support the government's plan." Aung Naing Oo said that issuing official household registration documents would result in unexpected problems in Mon State. Buying land from locals is fine, he explained, but trespassing on their property could lead to ethnic conflicts between the two communities. "The government should review the project if they are serious about being the voice of the people," said Aung Naing Oo. "This could result in big problems in Mon State." Naing Ngwe Thein, chairman of the Mon National Party (MNP), said his party's representatives already voiced their opposition to the chief minister's unpopular plan, to no avail. He argued that migrant workers could stay their whole lives with no problems in Mon State without having household registration documents. "Some places like Kyaikhto and Bilin townships are already full of Burmans," said Naing Ngwe Thein. A nationalist monk, Thaddhamma Pala of the Mon Young Monks Union, said migrant workers are guests and should return to their places of origin after completing their work. He claimed if the government provided household documentation, Burmans would form the second-largest population in Mon State. According to 2014 census result, Mon State has a population of more than 2 million official residents, a figure the Mon Young Monks Union claims does not include some 500,000 migrants. The government is currently compiling data on migrant workers, but their total population remains uncertain. The Irrawaddy contacted the Mon State government office on Monday but received no response. The post Mon Groups Fear Surge of Burman Migrants appeared first on The Irrawaddy.

Over-Extraction, Chinese Slowdown Blamed for Jade Price Slump Posted: 13 Jun 2016 06:07 AM PDT Dump trucks loaded with soil at a jade mine in Hpakant, Kachin State (Photo: Soe Zeya Tun / Reuters) RANGOON — With the government's biannual gem emporium looming at the end of this month, prices for Burmese jade have continued to slide against weakening demand. Industry insiders have blamed an economic slowdown in China, over-extraction in jade mines, and market uncertainty linked to the transition of power to a democratically elected government in Burma. "Here, the economy is cooling along with China. The market for jade is stagnant. There are many jade stones, with lots heaping up unsold," said Tun Hla Aung, joint secretary of Myanmar Gems Traders Association. Kyaw Kyaw Oo, executive committee member of the Myanmar Gems Traders Association, highlighted over-extraction—far outstripping current demand—for the slide in prices and what he considered the poor state of the jade market. "If the government can control such over-mining, things should return back to normal," Kyaw Kyaw Oo said. "Prices have been cut to cover production costs [in the short term], but jade prices keep falling," he said, without specifying by how much. "Our main customers are from China. Recently, their banks have not been giving loans to gems and jade traders, due to new economic policies from the Chinese government," he explained. However, Kyaw Kyaw Oo said that recent disputes and accusations—to which he was party—within the Myanmar Gems Traders Association had not affected the market. On June 2, 81 members of the association held a press conference in Rangoon, calling on the Ministry of Resources and Environmental Conservation to address the so-far unexplained loss of over US$100 million from the association's coffers—a scandal in which the former President Thein Sein has been implicated. "Some people thought this dispute might affect jade and gems trading. Actually, it has not," Kyaw Kyaw Oo said. The Myanmar Gems Enterprise, which operates under the Ministry of Resources and Environmental Conservation, will stage the biannual Gem Emporium for local and foreign traders in Naypyidaw from June 24-27. The process is tightly regulated. Only those holding mining, trading and company licenses, and members of the Myanmar Gems Traders Association, are eligible to take part. Buyers must give a deposit amounting to 5 percent of their expected expenditure. From June 13, an administrative committee in the Myanmar Gems Enterprise's head office in Naypyidaw will register local and foreign dealers for the emporium. "Around 6000 jade lots will be displayed, fewer than last year," Min Thu, assistant director of the Myanmar Gems Enterprise, told the Irrawaddy. "Although the market is broadly cool, I hope local traders will still be interested in attending." Jade mining in Burma is concentrated around the town of Hpakant in Kachin State, northern Burma. Mining there was suspended between 2012 and 2014, due to the resumed war between the Burma Army and the Kachin Independence Army, which has yet to be resolved. In 2014, the (now defunct) Ministry of Mines began reissuing licenses. More than 850 licenses have been issued to firms at over 8,000 sites since private companies were given permission to mine in 2007. Conditions for local workers are hazardous: The Hpakant area has been plagued by a string of landslides since late last year, including a collapse on November 21 that killed more than 100 people. International advocacy group Global Witness released a report in 2015 that estimated the value of Burma's jade production for 2014 at US$31 billion. The greater part of such huge sums are said to be derived from illegal trade with Chinese buyers, from which a shadowy network of military-linked companies and non-state armed groups profit. The post Over-Extraction, Chinese Slowdown Blamed for Jade Price Slump appeared first on The Irrawaddy.

Ma Ba Tha Airs Its Dirty Laundry Posted: 13 Jun 2016 05:45 AM PDT The two senior monks, U Parmaukkha and U Wirathu, at an event for the National Prosperity Party in 2015.  (Photo: NPP / Facebook) RANGOON — Fissures have appeared within the Buddhist extremist organization Ma Ba Tha, after two senior members of the monk-run, anti-Muslim organization traded barbs on social media over the weekend. U Parmaukkha, a one-time senior monk within Ma Ba Tha, the Burmese acronym for the Association for the Protection of Race and Religion, condemned his former organization for supporting only one political party in last year's election.. Ma Ba Tha allied itself with ex-president Thein Sein's Union Solidarity and Development Party (USDP), which was routed in November's elections. "They did not focus on national issues and just concentrated on supporting one political party [the USDP] during the election. That is why I resigned from the organization," said U Parmaukkha, who resigned from Ma Ba Tha last month. "Ma Ba Tha proposed a so-called race and religion protection law, which was ratified by the USDP government. In gratitude, Ma Ba Tha encouraged the people to support the USDP during the election," he said. He said Ma Ba Tha believed the Thein Sein government supported the cause of "protecting" race and religion, but that he has not seen that same commitment from the new National League for Democracy government. U Parmaukkha was a high-ranking member in Ma Ba Tha who was heavily involved in anti-Rohingya protests around the country; the Rohingya are a persecuted Muslim minority denied citizenship in Burma. The country experienced widespread violence against during the quasi-civilian government of then-President Thein Sein, who ruled from 2011-2016, and human rights activists have accused members of Ma Ba Tha of involvement in the unrest. The third anniversary of Ma Ba Tha's founding was celebrated in Rangoon earlier this month, and this dispute was first sign of divisions within the organization. "I wanted the Ma Ba Tha to not just work on race and religion issues, but also to take up major national concerns, but they did not listen to me," U Parmaukkha said. "I wanted everyone in the country to love and support Ma Ba Tha. I wanted to have a pure Ma Ba Tha that all people in the country, not just one political party, could support." In response, Wirathu, another senior monk from Ma Ba Tha, posted a message on his Facebook page on Sunday attacking U Parmaukkha. "We all supported you when you attained a high position [in Ma Ba Tha], but you insulted others and were jealous when other people were promoted above you," Wirathu wrote on his Facebook. "You were the most hostile member of our organization," he wrote. "We did not kick you out—you left on your own because you were upset you did not get a higher position." But the nationalist monk remained resolute that Ma Ba Tha would overcome its first public spat. "We can do fine without you," Wirathu wrote. "The Ma Ba Tha is a strong force no matter what." The post Ma Ba Tha Airs Its Dirty Laundry appeared first on The Irrawaddy.

Burma Army Deploying Armed Drones Posted: 13 Jun 2016 03:21 AM PDT An aid convoy sits parked along the side of a road in the Kokang Self-Administered Zone in February 2015. (Photo: JPaing / The Irrawaddy) RANGOON—The Burma Army has deployed armed military drones in ethnic minority regions in Burma's north, likely for surveillance and surgical strikes, said a  military analyst in a report for the consultancy IHS Jane’s. "The unmanned combat aerial vehicles [UCAVs] can be used for reconnaissance and surveillance for extended periods over remote terrain, and for surgical strike missions," Anthony Davis, a Bangkok-based military expert who writes for IHS Jane’s, told The Irrawaddy. The IHS has confirmed that one or more Chinese-made CH-3A drones, with the capacity to carry air-to-ground missiles and satellite-guided bombs, have been deployed from an airfield—likely Lashio in northern Shan State or Bhamo in southeastern Kachin State. Davis noted that the CH-3As have not typically been used in Burma other than in Shan State's Kokang Self-Administered Zone last year, which is believed to be the first time they were used in the country. The Kokang Army, also known as the Myanmar National Democratic Alliance Army (MNDAA), was in protracted conflict with the Burma Army last year, during which time the government army conducted airstrikes against the Kokang army’s bases. "They [the drones] can play an important role in gathering intelligence. As we’ve seen in the Pakistani tribal areas, they can be lethally effective in surgical strikes against insurgent command centers—provided there is adequate intelligence on the ground level on which to base the targets," said Davis. The IHS confirmed the deployment of the drones after a picture, believed to be taken by a serviceman, was posted on Facebook. The photograph showed a group of seven military personnel standing around a CH-3A, with its distinctive three-bladed propeller. It appears that the CH-3As have also been deployed along the Bangladesh border. However, it is unclear whether that is because of Arakan Army (AA) insurgent activity or in support of border reconnaissance for counternarcotics and counter illegal migration purposes, said Davis. The post Burma Army Deploying Armed Drones appeared first on The Irrawaddy.

Enter La Niña: Cold and Heavy Rain Predicted From September Posted: 13 Jun 2016 02:07 AM PDT Meteorologist Tun Lwin considers the weather from his Rangoon home. (Photo: J Paing/The Irrawaddy) After Burma saw one of the most stifling hot seasons (March to May) on record, brought on by the El Niño weather phenomenon, veteran meteorologist Tun Lwin warns of a 70 percent likelihood of the related La Niña phenomenon hitting Burma from September. La Niña's weather effects are caused by a cooling of the surface of the equatorial Eastern Central Pacific Ocean, and are generally the inverse of that of El Nino. According to Tun Lwin, La Niña would bring colder temperatures and higher rainfall. This comes as a warning to Burma, which experienced deadly floods due to torrential rain in July and August last year. Irrawaddy reporter Thuzar talks to Tun Lwin about La Niña and Burma's year of extreme weather. What are current notable weather patterns in Burma? El Niño ended in Burma early this month. La Niña would start in September, bringing cold and heavy rain. Meteorologists have predicted that rainfall this rainy season, starting in June, will exceed that of last year in Burma and elsewhere in South East Asia. Monsoon winds are currently strong in the Bay of Bengal. We have to be on our guard. Recent rain reminds us of the deluges of July and August last year. Countries across the world, including Burma, appear to be grappling with the effects of climate change. What is your view? The whole world is experiencing climate change, with different impacts felt in different places. What is constant is a rise in worldwide temperatures year on year. Some places see persistent rain while others see drought. In Burma, we predicted extreme weather patterns early this year. It is raining across Burma now, but it is not yet raining in Indonesia and Malaysia. For the past 12 months, the Southeast Asian region has seen low rainfall and hot weather. So far, Arakan State in the west, and Kachin State and upper Sagaing Division in the north of Burma have experienced torrential rain. Yet, rainfall is low in Vietnam, Thailand, Cambodia. What is your view of post-disaster relief and rescue operations in Burma compared to other countries?  Burma has a lot to learn from other countries, even from neighbors such as Bangladesh and Thailand. It is important also that Burma adopts a system most suited to the country. Are you satisfied with the actions and measures of the current government regarding disaster prevention? We now have a new government, which we have greater hope in. The government has shown interest [in disaster management] and has sought advice from experts. They have reached disaster areas promptly and are totally different from the previous government. There will be progress, although it will take time. What measures should the agricultural sector adopt to adapt to climate change? The governments should seek advice from agriculturalists. I can only discuss weather. We predict extreme weather this year, which will surely have an impact on agriculture. It could result in low harvests and the destruction of crops. What is your prediction on the likelihood of flooding in Burma this year? Some places have already experienced floods. According to NASA satellite photographs, the likelihood of flooding is high in southern parts of Pegu, Rangoon and Irrawaddy divisions. Do you predict that Burma will see severe flooding like last year? It is not impossible. People need to be on the alert. They need to keep their ears open to weather forecasts and alerts from the authorities. And responsible authorities should take action according to their own disaster prevention and response plans. The post Enter La Niña: Cold and Heavy Rain Predicted From September appeared first on The Irrawaddy.

Bangladesh Arrests 85 Islamists in Crackdown After Wave of Killings Posted: 12 Jun 2016 10:48 PM PDT Prime Minister Sheikh Hasina of Bangladesh addresses attendees during the 70th session of the United Nations General Assembly at the UN headquarters in New York, September 30, 2015. (Photo: Mike Segar / Reuters) DHAKA — Authorities in Bangladesh have arrested at least 85 militants as part of a broad crackdown on Islamists after a wave of brutal attacks on minorities and liberal activists, police said on Sunday. A total of more than 5,000 suspected criminals have been arrested since law enforcement agencies began a week-long drive on Friday to halt a series of targeted killings in the mainly Muslim nation. All arrests were made on specific charges, national police chief A.K.M. Shahidul Hoque said, relating to firearms, narcotics and other offences. "We will have to prevent the emergence of militancy collectively as a whole nation," Hoque said. In the past week an elderly Hindu priest, a Hindu monastery worker and a Christian shopkeeper were hacked to death in attacks for which Islamic State claimed responsibility. The Muslim wife of a key counter-terrorism police official was also stabbed and shot dead. Militants have killed more than 30 people in Bangladesh since early last year, with atheist bloggers, liberal academics, gay rights campaigners, foreign aid workers, members of minority Muslim sects and other religious groups among the victims. Islamic State has claimed responsibility for 21 of the attacks since its first claim in September last year and al Qaeda has claimed most of the rest, according to Site Intelligence Group, a US-based monitoring service. The government denies that either group has a presence in Bangladesh and says that home-grown radicals are responsible. Last month junior foreign minister Shahriar Alam told Reuters that Islamic State was trying to ride a wave of religious radicalisation by falsely claiming killings and said there was enough evidence implicating domestic militant groups. Police said that two home-grown militant groups—Jamaat-ul-Mujahideen and Ansarullah Bangla Team—were behind the attacks as part of their campaign to impose strict Islamic law on Bangladesh, whose population of 160 million are mostly moderate Muslims. At least 10 suspected members of the outlawed Jamaat-ul-Mujahideen were killed in shootouts since November, including five last week, police said. Prime Minister Sheikh Hasina has vowed to track down the killers, blaming the growing violence on political opponents linked to Islamist parties. The opposition party, led by former Prime Minister Khaleda Zia, denies the accusations and said that mass arrests were a ploy to suppress political opponents. The post Bangladesh Arrests 85 Islamists in Crackdown After Wave of Killings appeared first on The Irrawaddy.

Outgoing President Warns Philippines About Specter of Martial Law Posted: 12 Jun 2016 10:44 PM PDT President Benigno Aquino salutes the honor guard during the Independence Day celebration, two weeks before Aquino will relinquish his post to newly elected President Rodrigo Duterte (not pictured) in Manila, Philippines, June 12, 2016. (Photo: Erik De Castro / Reuters) MANILA — Philippines President Benigno Aquino on Sunday appealed to Filipinos to defend their freedom and democracy and remain vigilant as he warned the horrors of martial law under the late Ferdinand Marcos could happen again. In his last Independence Day speech before stepping down on June 30, Aquino hailed the transformation of the Philippines during his term from being the "Sick Man of Asia" to one of the fastest growing economies. He said such progress came without disregard for the rule of law, due process and human rights. As the Southeast Asian nation prepares for a change in leadership, some people fear Aquino's successor, Davao City Mayor Rodrigo Duterte, could take a more authoritarian path. Part of Aquino's speech was a video presentation about how his father and namesake and the entire family suffered during the martial law years. His father was assassinated in 1983 at Manila's international airport, three years before a mass uprising that toppled Marcos. "If we are not going to be vigilant, it could happen again," Aquino said after the video presentation at the palace event attended by diplomats, top government officials and business executives. Duterte remains hugely popular despite his comments about extrajudicial killings, calling bishops "sons of whores" and a joke about a murdered rape victim. His latest controversial comment saying journalists were "not exempted from assassination" raised concerns, though he later clarified that he does "not condone nor tolerate killing of journalists, regardless of the motive of the killers, or the reason for their killing." Duterte has also said he would allow the burial of Marcos at the Philippines' heroes' cemetery, despite strong opposition led by the Aquino family. Marcos' son and namesake said on Saturday his father's body, which remains in a glass coffin in a mausoleum in his hometown Ilocos Norte, would be transferred to the heroes' cemetery possibly in September. Marcos, who ran and lost the vice presidency in the May 9 election, said he and Duterte discussed the burial plans and the possibility of a cabinet position for him in the new administration in a meeting in Davao City over the weekend. The post Outgoing President Warns Philippines About Specter of Martial Law appeared first on The Irrawaddy.

In Major Test, Burma Scrambles to Clear Port Jam Threatening Growth        Posted: 12 Jun 2016 10:38 PM PDT A view of the Burma industrial port terminal at the banks of the Hlaing river in Rangoon, June 9, 2016. (Photo: Soe Zeya Tun / Reuters) RANGOON — Burma's new government has been grappling with its first economic management crisis, as a weeks-long traffic jam of cargo ships at the country's biggest port threatens to scare potential investors away and choke off nascent economic growth. The bottleneck at the dilapidated port was caused by a spike in demand for goods as the opening up of the economy accelerates following a historic election win by Aung San Suu Kyi's National League for Democracy (NLD) in November. "Because of the general growth of the economy we are packed. The ships have nowhere to go," said Ma Cherry Trivedi, managing director of Ayuroma International, an advisor to Myanmar Industrial Port (MIP), where congestion has been worst. Burma boasts one of the world's fastest growing economies, expanding at 7-8 percent in the years since the military relinquished direct control in 2011. But its main port has changed little since the end of British colonial rule nearly 70 years ago —emblematic of ramshackle infrastructure that could hold back the foreign investment Suu Kyi needs to live up to sky-high expectations and remake a country impoverished by decades of junta rule. The number of ships docking in Rangoon has doubled over the past decade and the number of containers has jumped fourfold, data shows, clogging up inadequate storage space, overwhelming sclerotic logistics systems and delaying deliveries. "We bring in the steel, the cement, everything you can think of…as infrastructure grows, which is the key aspect of any development in a country like [Burma], you are going to see massive growth in imports," said Ma Cherry Trivedi. Western shipping lines are largely confined to a single creaking terminal within the port, because of reluctance to use other facilities operated by Asia World, whose majority owner Steven Law remains subject to US sanctions. Working 24/7 The tipping point into a crisis came when MIP miscalculated the volume of incoming shipments before a three-week holiday in April, when the country largely shut down, shipping companies operating at the terminal said. That meant up to 10 ships faced delays of as long as two weeks to have their cargo unloaded, causing the biggest jam the port had seen in modern times. Industry sources said the hold-up cost major shipping lines millions of dollars a week. "There was no proper cooperation between shipping lines, container storage facilities and terminal operators. Chaos," said Aye Lwin, Joint Secretary General of Burma's Chamber of Commerce, who was involved in efforts to resolve the jam. Burma's presidential office announced emergency measures in mid-May to tackle the congestion, including 24-hour port operation and customs clearance, and ordered daily reports from the ministers of commerce and transport. Some of the biggest shipping companies, such as Denmark's Maersk Line Ltd, dispatched their own specialists to help manage the situation. By Thursday, the backlog had been largely cleared, Ma Cherry Trivedi said, although additional staff flown in by shipping lines remained in place, as did the emergency measures, to prevent cargoes piling up once more. Tatsuya "Ricky" Ueki, managing director at shipping company MOL Myanmar, said the port infrastructure has not caught up with the economic development of the country. "There's no easy way out of this, but billions of dollars in the country's development hinge on how aggressive the government is in solving the problem," said Ueki. The port jam underscores the challenges Suu Kyi’s government faces to keep growth going and attract investment to a country struggling to compete with neighbors in sectors such as garment exports, which rely on accurate and timely deliveries. "Lead times are very important," said Jacob Clere, who works on a European Union-funded project to improve Burma's garment industry. "Taking a few days longer than those in the region, they [garment brands] will avoid [Burma] until the lead time is shortened." Not So Sweet Another factor contributing to the port disruption has been a crackdown by China on sugar smuggling, officials said. Up to 1 million tons of sugar is trafficked into China every year, experts say, mostly entering the country from India and Thailand via Burma. In March, just before the handover of power, Burma's outgoing government issued additional "re-exporting licences" to sugar traders, Aye Lwin of the chamber of commerce said. That meant that, just as port operations were closing down for the long April holiday, "four vessels came and discharged about 20,000 or 30,000 containers," said Aye Lwin. "These containers couldn't move for the time being, they were blocked." As China stepped up inspections, he said, "our cargo got stuck on the border. So a lot of containers cannot move and a traffic jam is formed all the way to the jetty in [Rangoon]”. "There should be quotas and some predictability," Aye Lwin added. "Our governments should talk about it. Otherwise, it's a total mess." The post In Major Test, Burma Scrambles to Clear Port Jam Threatening Growth        appeared first on The Irrawaddy.

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