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The Republic of the Union of Myanmar
Myanmar Investment Commission
Notification No. 1/2013
5th Waning Day of Pyatho, 1374 M.E, Nay Pyi Taw Classification of Types of Economic Activities
The Republic of the Union of Myanmar, Myanmar Investment Commission in exercise of the powers conferred under paragraph 56(b) of the Foreign Investment Law, with the approval of the Government, announces the List of Prohibited Economic Activities, List of Economic Activities allowed in the form of Joint Venture with Myanmar citizens and List of Economic Activities which shall be allowed under the specific circumstances, which are stipulated in Chapter 2 of Foreign Investment Law. List of Economic Activities under Prohibition
Type of Economic Activities
Manufacturing and related services of Arms and ammunition for the national defence. Economic activities which is deemed to deteriorate the watershed or catchment protection forests, religious places, traditional belief, pasture land, shifting cultivation farms and water resources. Agriculture and Manufacturing which are not compliance with Fertilizer Law, Seed Law and Agricultural Laws promulgated from time to time. Installation of Factory in Myanmar utilizing of the imported wastes. Manufacturing of chemicals which can cause ozone depletion such as 34 kinds of Hydrobromo fluoro-carbon (HBFC), Bromo-chloromethane(1), Chloroflurocarbon(5), Halogenated (CFC)(10), Halon(3), Halogenated CFC(10), Carbon tetrachloride(1) which are strictly prohibited in accordance with Vienna Convention and Montreal Protocol to Ozone Protection and its amendments Manufacturing of 21 types of organic compound which are prohibited by Stockholm Convention referring to the prevention of organics which are long lasting and polluted to the environment. Manufacturing of hazardous material which are not incompliance with the environmental and conservation Law, Rules and Procedures promulgated from time to time 10. Production of minerals by medium scale and small scale 11. Manufacturing and marketing of Construction Materials whose composition includes Type of Economic Activities
12. Administration of Electric Power System 15. Utilization and Importation of MTBE (Methyl Tertiary Butyl Ether), TEL (Tetra Ethyl Lead) which can deteriorate natural environment and health 16. Activities which may emit hazardous chemicals, minerals, rays, noise, particles etc. and may cause earth/water/air pollution which affect public health 17. Exploitation of minerals including gold in the revering and water way 20. Joint Printing and Broadcasting Service 21. Periodicals in national ethnical languages including Myanmar List of Economic Activities to be allowed only in the form of Joint Venture with
Myanmar Citizens
Type of Economic Activities
Production and Distribution of hybrid seeds Production and propagation of High-yield seeds and local seeds Manufacturing and marketing of grain products such as biscuits, wafers, noodles, macaroni, vermicelli, spaghetti and other cereals related food products Manufacturing and marketing of all kinds of confectionery including those of sweets, cocoa, and chocolate Preserving, manufacturing, canning and marketing of other food products except milk and milk products Manufacturing and marketing of malt and malt liquors and non-aerated products Distilling, blending, rectifying, bottling and marketing of all kinds of spirits beverages and non-beverages Manufacturing and marketing of all kinds of ice Manufacturing of purified drinking water 10. Manufacturing and marketing of cordage, rope and twine of textile fibers 11. Manufacturing and marketing of enamelware, cutlery, crockery of all kinds. 12. Manufacturing and marketing of plastic wares Type of Economic Activities
15. Processing of hides, skins and leathers of all kinds, excluding synthetic leather, and manufacturing and marketing thereof including foot wears, handbags, etc. 16. Manufacturing and marketing of all kinds of paper 17. Manufacturing and marketing of paper, paper board including carbon paper, waxed paper, 18. Manufacturing and marketing of chemicals based on natural resources available in domestic. 19. Manufacturing and marketing of solid, liquid, gaseous fuels and aerosol (Acetylene, Gasoline, Propane, Hair Sprays, Perfume, Deodorant, Insect spray) 20. Manufacturing and marketing of Oxidants (Oxygen, Hydrogen Peroxide), compressed (Acetone, Argon, Hydrogen, Nitrogen, Acetylene) 21. Manufacturing and marketing of corrosive chemicals (Sulfuric Acid, Nitric Acid) 22. Manufacturing and marketing of industrial chemical gases including compressed, liquefied 23. Manufacturing of raw materials for drugs 25. Prospecting, exploration and production of Industrial minerals and metallic mineral 27. Establishment of factories to manufacture structural metal framework for buildings and girders, and prefect and precast concrete 28. Construction related to develop rail/road links such as bridges, highways, bypass, subways 29. Establishment of international standard golf courses and resorts 30. Establishment , sales and lease of residential apartments /condominiums 31. Establishment and sales of office/commercial buildings 32. Establishment, sales and lease of residential apartments in residential areas connected to 37. Passengers and cargo transport services by vessels and barges 38. Building new ships and repairing services at docks 39. Inland Port services through construction of Inland Container Depot (I.C.D) and warehouse 40. Manufacturing of new locomotive wagon, coaches and locomotive engine 41 Private special hospital / Private hospitals specializing in traditional medicine List of Economic Activities Permitted with the Specific Condition
List of Economic Activities Permitted with the recommendations of the Relevant
Ministry
Type of Economic Activities
Condition
Ministry of Agriculture and
Irrigation
Needs approval from the Union Government and needs the recommendation from Ministry Needs approval from the Union Government and needs the recommendation from Ministry of Agriculture and Irrigation Needs approval from the Union Government and needs the recommendation from Ministry of Agriculture and Irrigation Needs approval from the Union Government and needs the recommendation from Ministry of Agriculture and Irrigation Needs approval from the Union Government and needs the recommendation from Ministry of Agriculture and Irrigation Needs approval from the Union Government and needs the recommendation from Ministry of Agriculture and Irrigation Needs approval from the Union Government and needs the recommendation from Ministry Ministry of Livestock and
Fisheries
To produce with GMP basis. To comply with the instruction on Food and Drugs Administration. To get foreign technical and foreign market. To abide Law, procedures, rules, regulations, directives of Department of Fishery. To construct factory in the fisheries developing regions. To produce according to the mesh size of the net. Type of Economic Activities
Condition
To abide Law, procedures, rules, regulations, directives of the Department of Fishery. To construct together with fishing jetty and fish auction market with modern construction of cleanliness and security system. Quality of water and product inspection shall be Culture of fish affecting local biodiversity is not Ministry of Environmental
Conservation and Forestry
Needs recommendation from Ministry of Environmental Conservation and Forestry Needs recommendation from Ministry of Environmental Conservation and Forestry and maintenance of good quality teak, valuable, scarce species and tree tissue culture and related commercial business. Type of Economic Activities
Condition
conversion, wood based value added Environmental Conservation and Forestry products) More than 25 % foreign investment is not allowed More than 35 % foreign investment is not More than 49 % foreign investment is not Needs the approval of the Union Government Ministry of Mines
Not more than 2 years for Mineral Prospecting, not more than 3 years for Mineral Exploration and not more than 2 years for Feasibility Study. Application for extension of afore mentioned permits shall be submitted 3 months before expiry. Require to obtain of the approval of the Union Government. The term will be allowed for 15 years. Extension can be applied once in 5 years, extension 4 times allowed. The extension must be applied 6 months in advance before the expiry term for large scale production. Mining life can be allowed with assessing of the latest estimated are reserves and production target. Type of Economic Activities
Condition
To be allowed Joint Venture with the State. mineral. Manufacturing and marketing of gems, jewellery and The permit term is allowed for 15 years and for extension once in 5 years for two times allowed. For extension to apply before the expiry of 1 year in advance. Needs the approval of the Union Government after production of coal and granite stone. Ministry
Industry
Local raw materials must be used at least Manufacturing and marketing of soft Local raw materials must be used at least 20%. beverages, aerated and non-aerated Local cropping raw materials must be used at least 60% after 3 years factory completion. They must be environmental friendly factories. To convert production stage by primarily used local raw materials within first 3 years. The raw materials must be used at least 50%, which is bought by the income earned after exporting local Virginia. And then exporting 90 %. The list of local raw materials to be used and exporting program must be attached in the investment proposal. Local raw materials must be used 50% within 5 years after the construction of factory. To allow to do joint venture with the State. To be allowed Joint Venture with the State. solid.(Titanium Powder), self reactive substance (Potassium Sulfide), substance which is contact with water, emit flammable gases (Calcium Phosphide) Type of Economic Activities
Condition
To allow up to 70% of foreign investment. chemical product such as paint, varnish, polish, dye, thinner and lacquer ware paint. To be allowed Joint Venture with the State and Except production of Hazardous, Explosive, Oxidized, Flammable chemicals, other works are allowed to do in limited period, the rest. Ministry
Electricity
Must obtain a license granted by the Cabinet. License would only be granted to the foreign investors who establish a joint venture company with the Union Government on Build, Operate and Transfer basis. Ministry
Transport
Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Computer Reservation System(CRS) Needs approval from the Union Government Services and needs the recommendation of Ministry of Transport. Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Aircraft Leasing with Crew Services Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Needs approval from the Union Government and needs the recommendation of Ministry of Type of Economic Activities
Condition
Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Needs approval from the Union Government and needs the recommendation of Ministry of Transport. Needs approval from the Union Government. To allow joint venture Investment amount not less than USD 1 million 20 Shipping agency services for foreign To be allowed Joint Venture with the State. To be allowed Joint Venture with the State. To be allowed Joint Venture with the State. To be allowed Joint Venture with the State. Type of Economic Activities
Condition
Ministry of Communications and
Information Technology
Needs recommendation from the Ministry of Communications and Information Technology Needs recommendation from the Ministry of Communications and Information Technology Ministry
Needs recommendation from the Ministry of petroleum products and petroleum as Energy raw materials. Needs approval from the Union Government and needs recommendation from the Ministry of Energy Needs recommendation from the Ministry of Energy Needs approval from the Union Government and needs recommendation of Ministry of Energy Needs recommendation from the Ministry of 10 Ministry
hospital Needs recommendation from Ministry of investment Needs recommendation from Ministry of Health and to do joint venture with the government. to do according to the terms and conditions prescribed by Ministry of Health Private pharmaceutical production. to do according to the terms and conditions to do according to the terms and conditions Private medical and health Institute to do according to the terms and conditions and training school. Type of Economic Activities
Condition
to do according to the terms and conditions prescribed by Ministry of Health to do according to the terms and conditions to do according to the terms and conditions to do according to the terms and conditions to do according to the terms and conditions prescribed by Ministry of Health 11 Ministry
Construction
If BOT system, it can be implemented with If joint venture, the local partner shall contribute the right to use the land on long term basis as his equity (or) he shall only lease the land to the foreign partner on long term basis; The land shall be returned to the owner upon expiry of the permitted business term; In case of urban heritage buildings, to utilize according to the Conservation Management Plan, without effecting the original design. To implement according to the specification of (MRA) and Myanmar National Building Codes, Rules and Regulations. To implement according to the specification of (MRA) and Myanmar National Building Codes, Rules and Regulations. To implement according to the specification of (MRA) and Myanmar National Building Codes, Rules and Regulations. To implement according to the specification of ASEAN Mutual Recognition Arrangement (MRA) and Myanmar National Building Codes, Rules and Regulations. Type of Economic Activities
Condition
To implement according to the specification of (MRA) and Myanmar National Building Codes, Ministry of Hotels and Tourism
To operate in accordance with the rules and regulations of Ministry of Transport and To do the wellness spa business only in Three Star and above hotels. In addition, it is also To allow with approval of the Union government. It is allowed to operate in Hotel which is located in restricted areas in the country which is permitted by the Ministry of Home Affairs in accordance with its rules and regulations. Myanmar citizens are not allowed to play. 13 Ministry
Information
Publishing of periodical newspapers Needs the recommendation of Ministry of in foreign languages Myanmar, indigenous national languages or foreign languages To do with the approval of Union government and needs recommendation of Ministry of Needs recommendation of Ministry of Information Type of Economic Activities
Condition
Needs recommendation of Ministry of Information Needs recommendation of Ministry of Information 12 Film processing , editing, recording Needs recommendation of Ministry of Needs recommendation of Ministry of Information Needs recommendation of Ministry of Information Needs recommendation of Ministry of Information List of Economic Activities Permitted with Other Conditions
Type of Economic Activities
Condition
Practice (GAHP) and Good Manufacturing Practice (GMP ) Practice (GAHP) and Good Manufacturing Practice (GMP) To comply with Good Manufacturing Practice To comply with ASEAN Guideline on GMP for Type of Economic Activities
Condition
To comply with Good Animal Husbandry Practice (GAHP) Accreditation of Milk Processing Establishment To comply with Hazard Analysis Critical Control Point (HACCP) and Good Manufacturing Practice (GMP) accreditation livestock product establishment of manufacturing meat product in hermetically- sealed containers To comply with Good Manufacturing Practice To comply with ASEAN bio-security management manual for commercial poultry farming, Good Animal Husbandry Practice (GAHP) and Good Manufacturing Practice (GMP) To comply with Good Animal Husbandry Practice (GAHP) fresh water , marine fish To comply with environmental friendly and To do as per ASEAN MRA specification and Myanmar National Building Code, Rules and To allow only 100 % foreign investment for 3 stars and above hotels. To allow to do with joint Allow only for value-added production. At least 40 % local investment must be included in producing using imported necessary joint-venture input materials Type of Economic Activities
Condition
Small-sized retail trading is not allowed. Super Market, Department Store, Shopping Center are allowed. Doing in the close vicinity of local investor is not allowed. Priority must be given for trading in local product. At least 40 % local investment must be included in joint-venture 20 Retail trading (excluding vehicle and To allow after 2015. Minimum investment To allow only franchisor for foreigners. Small, medium-sized ware-houses are not allowed. At least 40 % local investment must be included in joint-venture Require the recommendation from Ministry of Commerce. To allow to open representative office. The Representative must be Myanmar citizen. Area 50000 sq ft and above for department store and hyper market. Area 12000 sq ft to 20000 sq ft for supermarket. Area 2000 to 4000 sq ft sized store only. Myanmar ownership is 51% for joint venture. main employees must be Myanmar. 100% foreign owned shall be allowed to foreign publisher. List of Economic activities which required Environmental Impact Access
Type of Economic Activities
Condition
Ministry of Environmental
Conservation and Forestry
It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment Type of Economic Activities
Condition
Construction of large scale irrigation It will be allowed that depend on situation of dam and embankment. Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact laying and excavation of water canal carried out for initial study of environment of long length. Production of heavy motor vehicle, construction of river crafts. It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of dyeing of heavy cotton and garment Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment Type of Economic Activities
Condition
It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment 16 Large Scale Production of foodstuff It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment 18 Large Scale fresh water, marine fish, It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment Type of Economic Activities
Condition
It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment It will be allowed that depend on situation of Environmental Impact and Social Impact or Environmental Impact and less Social Impact carried out for initial study of environment After obtaining the EIA, needs opinion from the Ministry of Environmental Conservation and Forestry. Type of Economic Activities
Condition
After obtaining the EIA, needs opinion from the Ministry of Environmental Conservation and Forestry.

Source: http://www.dica.gov.mm/includes/FIL-notification%20_English_%20A4.pdf