Myanmar Timber Merchant Association - Oil Seed Crops

MYANMAR TIMBER TR

Presen
Barbe

Joint Secret
Myanmar Timber Me

29.1.

RADE AND INDUSTRY

ted By:
er Cho
tary General
erchants Association
.2013

1

No

1

2
3
4
5
6
7
8G
9
10

29/1/2013

Items Value
(US Dollar in
Natural Gas
Million)
Jade 2522.530
Matpe
Garment 2204.926
Fish 458.635
Rubber 381.058
Teak Log 305.992
Green Mung Bean 302.010
Hardwood Log 292.257
Rice 291.348
282.021
194.426

2

CURRENT PRODUCTIO

Government Sector
{Myanmar timber enterprise (MTE)}

Saw mills
Furniture factories
Plywood factories
Moulding factories
Block board factory

Private sector
Saw mills
Plywood mills
Recutting saw mills
Small finished product factories
Majority are small and medium E

29/1/2013

ON FACILITY

- 91
-5
-5
-3
-1

- 180
-5
- 1479
- 1588
Enterprise (SME)

3

GENERAL CLASSIFICATION OF

Class- 1 Facilities that use basic portable tools an
Less than 10 persons, micro-enterprise w
such as antique Or with unskilled for low

Class-2 Facilities that use basic woodworking m
moulder, boring machines, etc.) to produ
Up to 20 identical items, using more ma

Class-3 Facilities same as 2, but producing large
jigs suitable for serial production whenev
Class-4
Class-5 - different management attitude
- higher capital investment
- better thought and planning at
- strong desire to produce in larg

for in terms of product develop
- more efficient costing, producti
- the introduction of quality cont

Facilities that use special purpose machin
banders, CNC Moulders, etc.);

Facilities with integrated machining line
, furniture, doors, surface finishing, robo

29/1/2013

F INDUSTRY IN MYANMAR

nd universal woodworking machines,
with skilled craftsmen for high quality products,
w-cost products

machines ( bandsaw, planer, thicknesser, spindle
uce in small batches;
achines than by hand

er batches, using low cost mechanization and
ver possible

the mill- layout design stage
ge quantities in spite of all changes that this calls
pment
ion planning and inventory control system; and
trol procedures

ines ( four-side moulders, copying lathes, edge-

es (linked machines used for production of panel
ots used for painting, integrated lines)

4

LEVEL OF FUNCTIONING FA

Below

No Year Full Swing Full

Swing

1 2004-05 100 70

2 2006-07 55 75

3 2009-10 10 30

4 2011-12 20 40

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ACTORIES(PRIVATE)

w Intermitten Suspende Total

gt d

10 180

30 20 180

72 68 180

52 68 180

5

PRIMARY AND SECON

Log Mould
Sawn Timber Door
Veneer Furnit
Plywood Floori
Lamin
Lamin
Lamin

29/1/2013

NDARY PRODUCTS

ding/Joinery

ture
ing(Solid/Engineering)
nated Veneer Lumber(LVL)
nated Timber (LT)
nated Beams (LB)

6

EXPORT RATIO BETWEEN

Fiscal Year Log
Sale Value Percenta

2004-05 272.380 89.25

2005-06 275.934 90.45

2006-07 276.844 89.29

2007-08 274.396 88.21
2008-09 376.891 93.57
2009-10 464.587 94.39

29/1/2013

N LOG AND SAWN TIMBER

Teak Sawn Timber

age Sale Value Percentage
5 20.457 6.70
5 14.696 4.82
9 14.138 4.56
1 15.064 4.84
7 11.141 2.76
9 11.419 2.32

7

PRODUCTS OF SAWN T

29/1/2013

TIMBER

8

EXPORT VALUE FROM

Sr. No Fiscal Year
1 2003-04
2 2004-05
3 2005-06
4 2006-07
5 2007-08
6 2008-09
7 2009-10

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M TIMBER TRADE

Export Value in USD(Million)
285
305
305
310
311
402
495

9

Value in Million USD 400
350
300 200 4-05 2 005-06 2 00
250
200
150
100

50
0
200 3-0 4

Teak Logs Hard wood Logs Teak R
29/1/2013

06-07 2007 -08 200 8-0 9 200 9-1 0 20 10-2011

R/S, Teak& Hard wood Finished Products & Oth er Forest Products
10

Value in Million USD 70
65
60 2004- 05 2005- 06 2006- 07
55
50 Bud
45
40 Hard
35
30
25
20
15
10

5
0

2003- 04

Teak R/S Hardwood Log

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2007- 08 2008- 09 2009- 10 2010- 11

dget Year Teak & Hardwood Finished Products

dwood R/S

11

MARKET SHARE % OF

Sr Country Be
1 India 2
2 EU
3 Thailand
4 China
5 Japan

29/1/2013

F MYANMAR IN VALUE

efore Around 2008
2005 41
3
38 22
13
22 -

9 12

7

3

1200000 991135
1000000
800000 Cubic Ton 63077
600000 Total
400000 India
200000
2010-2011 Budget
0 Year

29/1/2013 Teak Log

1136163
854068

72

Total
India

2011-2012 Budget 13
Year

Hardwood Log

TYPE OF TIMBER PRODUC

Sr Country
No

1 India Teak and Pyinkad
2 China
3 Thailand Teak (Log/Sawn-ti
Interior Furniture)

Teak and Pyinkad
consumption

4 Bangladesh Teak and Pyinkad

5 Vietnam Teak Log for Gard
construction

6 Singapore Teak Flooring for r

7 Other Log / Sawntimber

29/1/2013

CTS AND MARKETS

Product Type

do logs for local construction
imber) and other woods (suitable for
do Logs for re-export and local

do logs for local construction
den Furniture and Pyinkado Logs for local

real estate development and re-export

/ Plywood and Veneer

14

PRODUCTS COMPARISON BETWEE

Products
Furniture
Plywood
Sawn timber
Logs
Mouldings
Fibre Board
Others

29/1/2013

EN MALAYSIA AND MYANMAR 2008

Malaysia Myanmar

30% 3%
28% 93%
12%
15
9%
3%
5%
12%

MAJOR SPECIES OF

Local Scientific Name
Name

Teak Tectona Gradis

Pyinkaodo Xylia dolabriformis

Padauk Pterocarpus
In/Kanyin macrocarpus

Dipterocarpus
tuberculatus & spp.

Thinwin Mellettia pendula

29/1/2013

WOOD

Local Name Scientific Name

Yemane Gmelina arborea

Hnaw Adina cordifolia

Thitya Shorea oblongifolia

Taukkyant Terminalia tomentosa

Thadi Protium serratum

16

Management System

Myanmar selection system (MSS)
system since 1856.
Formation of felling series, each of w
Under MSS, only mature trees are se
Harvesting of tree is controlled by girt
Felling of exploitable trees is within th
Allowable Cut (AAC).
AAC is thus a tool that ensures the
basis.

29/1/2013

has been the principle management

which is divided into 30 annual coupes.
elected & harvested.
th limits prescribed species-wise.
he bounds of carefully calculated Annual

e harvest of timber yield on a sustained

17

Target Production
under AAC (Annu

Sr. Year

1 2012 Teak
2 2013 668,802
3 2014 566,949
4 2015 533,599
5 2016 500,249
108,162
29/1/2013

n Quantity in 2015
al Allowable Cut)

Volume in Cubic Meter
Non-Teak (Hardwood)
3225751
2595888

1982970
1982970
1982970

18

PARAMETERS OF A G

Whether the policy is documented and com
Whether there is in-built provision for revie
defined
Number of reviews undergone by the polic
Quality of review(s)
Whether SFM is incorporated
Whether it promotes environmental well-be
Whether it flags the importance of environm
Whether it promotes decentralization and p
Whether it has any provision focusing on N
communities
Whether it addresses tenure and other fore

29/1/2013

GOOD POLICY

mprehensive
ew, and whether periodicity of review is

cy

eing
mental services from forests
people’s participation,
NWFPs as a resource for local

est right issues.

19

CONTROVERSY AS AN

Forest Law 1992
8(a) A standing teak t
in the state is owned b

It makes confusion ov
plantation and commu

29/1/2013

N EXAMPLE

tree wherever situated
by the state.
ver the trees of private
unity forest.

20

WHAT IS THE AIM OF CU

Mainly it aim not to mix
Origin with the wood of

The regulation hinde
products

29/1/2013

URRENT REGULATION

x wood from Unknown
f Known Origin

er the flow of timber

21

The Potentials

Sustainable Forest Manage
Myanmar.
Reliance on natural forests
forest plantation.
Effective raw material utiliz
most manufacturers.
Improved productivity in p
cooperation with private secto
Excessively available Myanm
requirement.

29/1/2013

ement shall be more emphasized in
will be shifted by annually growing

zation practices shall be applied by
public sector is expected through
or.
mar hardwood will meet existing market

22

STRENGTH

Non-teak hardwood and other alte
Myanmar is the only gateway to S
Asian Countries.
Cheap labour with high supply.( n
Apparent transformation to marke
Availability of land for forest plant

29/1/2013

ernative raw material are available.
Southern China and India for South

now may be in question)
et economy.
tation.

23

WEAKNESS

Necessary to review and revise t
Lack of compatible technology in
Less competent workforce in eve
Inconvenient status of infrastruc
under implementation.

29/1/2013

he procedures and regulations.
n both public and private sector.
ery level of production.
cture of which development is still

24

THREATS

Higher demand for certified/Legal
Substitution of teak with other alte
unaffordable price.
Consumers perceive wood-based
Lack of reliable data of the forest
undecided what species will be m

29/1/2013

l timber products.
ernatives and less demand for its

d products as non essential items.
inventory making industries
more availble

25