27 December , 2023

On December 26th, in Nay Pyi Taw, Myanmar's capital, a significant step was taken in the development of the Kyauk Phyu Special Economic Zone. The signing of the Addendum to the Concession Agreement for the deep-sea port project marks a substantial commitment from China, signifying an investment of millions of dollars dedicated to the project's realization.

Kyauk Pyu town is located on the coast of the Bay of Bengal and is a place of great strategic value for future development. Therefore, it has been designated as a special economic zone and international investments have been invited, said Deputy Prime Minister and Union Minister of Transport and Communications, General Mya Tun Oo, who is also a member of the State Administration Council and a member of the Central Committee on Myanmar Special Economic Zones.

General Mya Tun Oo expressed confidence that the deep-sea port projects within the Kyauk Phyu SEZ would significantly bolster Myanmar's economic development through substantial investments.

General Mya Tun Oo highlighted that the China-Myanmar Economic Corridor (CMEC) spans 1,700 kilometers, traversing China's Yunnan Province, linking Kunming to Mandalay City in central Myanmar, and ultimately leading to Kyauk Phyu City, serving as the western sea outlet.

He mentioned that following the signing of the project agreement, the project's implementation has faced a delay of over two years, primarily due to the widespread impact of the COVID-19 pandemic. Additionally, ongoing negotiations between the Kyauk Phyu Special Economic Zone Management Committee and CITIC have contributed to this delay.

He outlined that to swiftly reinstate the deep-sea port project, it's imperative to enhance the comprehensiveness of the prior Concession Agreement and ensure a clearer, more precise understanding. Consequently, today's signing of the Addendum aims to achieve this objective.

He elaborated that this project serves not only to enhance trade and economic collaboration between Myanmar and China but also offers a strategic corridor. Leveraging this corridor, the transportation of goods imported from South Asia, West Asia, and Africa to mainland China will be expedited, resulting in significant time and cost savings.

The Kyauk Phyu Deep Sea Port project represents Myanmar's inaugural internationally recognized deep sea port. This project includes the simultaneous implementation of an industrial park within the Kyauk Phyu Special Economic Zone, complementing the construction of the port.

General Mya Tun Oo expressed a desire for the swift implementation of the project, hoping for increased cooperation between Myanmar and China across multiple sectors, such as trade and investment.

Following that, U Aung Naing Oo, who serves as the chairman of the central working committee for Myanmar Special Economic Zones and as the union minister for the Union Government office(1), alongside the Chairman of China’s CITIC and the Charge d'affaires of the Embassy of the People's Republic of China, provided clarification concerning the signing of the Addendum to the Concession Agreement.

After that, for the implementation of the deep sea port project within the Kyauk Phyu Special Economic Zone, an addendum that supplements the Concession Agreement was signed by U Kyaw Shwe Tun, Chairman of the Kyauk Phyu Special Economic Zone Management Committee, and Mr. Liang Chuanxin, Director of the Kyauk Phyu Special Economic Zone Deep Sea Port Company Limited.

-ymg/knl