India-Myanmar trade hit by border closures

India-Myanmar border area near Tamu. Traders in the area say the Indian authorities ordered border gates in the area closed on March 9. Photo - Supplied. Sketched by the Pan Pacific Agency.

NAY PYI TAW, Mar 12, 2020, Myanmar Times. Trade across the India-Myanmar border slows due to the closure of border gates in Mizoram and Manipur, India, ordered by government of India as a precaution against the spread of the coronavirus outbreak sweeping the world. Chin State and Sagaing Region in Myanmar share borders with Manipur and Mizoram in India, Myanmar Times reported.

Myanmar traders say the state governments of Mizoram and Manipur ordered three border gates closed on March 9.

According to U Kapno, chair of the Chin State Federation of Chambers of Commerce and Industry, India’s gates along the Chin border were closed on March 10 but reopened again the next day.

However, cross-border trade in Tamu, which lies along the Sagaing-Mizoram border has been stopped since March 10, U Khin Maung Tint, secretary of the Tamu Border Trade Association, told Myanmar Times.

“As a preventative measure, India initiated the closure of the border. It wasn’t done through bilateral negotiation. It was closed solely by India,” U Khin Maung Tint said, adding that Myanmar is going to be affected as exports via the Tamu border gate has come to a stop.

Much of Myanmar-Indiacross-border trade is conducted via Htantalan and Reed camps in Chin state, and Tamu in Sagaing Region.

“All the businesses that rely on border trade are going to come to a stop. Travellers will also face difficulties returning to their own countries. Myanmar farmers will also be affected if exports of agricultural goods stop,” said U Khin Maung Tint.

“We could have time to prepare if they had sent us a warning. We have been informed verbally that the closure will be for one week, but this is unofficial. Who knows how long it will be based on how the virus situation changes?” he added.

According to the Ministry of Commerce, the total trade volume from Tamu border trading post in FY 2018-19 was US$96.667 million, with exports valued at US$95.38 million and imports of US$1.28 million. Total trade volume via the Reed border trade post in the same period was US$104.58 million, with exports valued at US$82.11 million and imports US$22.46 million.

Trade volume via the Tamu border gate in three months of FY 2019-20 to December totalled US$19.34 million, with exports valued at US$19.32 million and imports US$29,000.

In the same period, the total trade volume via the Reed border trading post stood at US$14.73 million, with exports valued at US$13.42 million and imports US$1.311 million.

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