Combat illegal trade to avoid a decline in State revenue

Myanmar has been managing its internal and external trade, which occurs via maritime and land routes, from April to June 2024. While progress has been made, illegal trade continues to be a significant issue in the border regions, threatening the country’s economic growth. Effective control of border trade is essential, and local authorities must address the challenges that traders face daily, such as unacceptable costs along trade routes that can drive up commodity prices.
Under the leadership of the Illegal Trade Eradication Steering Committee, significant efforts have been made to combat illegal trade. By June 2024, authorities had seized illegal and smuggled goods worth K275.12 billion across 13,550 cases. Additionally, drug trafficking, often linked to unscrupulous businesspersons and terrorist organizations, remains a critical concern. Narcotic drugs worth K303.81 billion were seized between January and December 2023, with an additional K127.97 billion seized in the first half of 2024. Regional and state governments, alongside Nay Pyi Taw Council Area authorities, special task forces, and the Myanmar Police Force, are urged to intensify their investigations and enforce strict legal action against offenders.
The role of responsible citizens in providing information is vital for the successful combat against illegal trade. Between May and June 2024, authorities received 122 tips about illicit trade activities. Of these, 104 were accurate, leading to the seizure of unlawful commodities worth K5.376 billion in 168 cases. The confiscated items included various types of timber, personal goods, industrial goods, foodstuffs, and unregistered vehicles. As a reward for their assistance, informants were allocated K1.168 billion in the 2023-24 financial year, with plans to distribute an additional K596.132 million.
Efforts to combat illegal trade and the seizures of illicit goods are regularly reported by MRTV and State-owned newspapers, helping to raise public awareness about the negative impacts of the illicit trade on the country’s economic development as illegal trade becomes hurdles in boosting the economic development for government sector and private one in the country.
Illegal trade not only reduces the volume of legal exports and foreign exchange income but also fosters black markets, complicating the calculation of State income and expenses. This undermines financial and monetary policy-making, erodes the rule of law, and encourages corruption among public officials, ultimately harming the country’s administrative mechanisms. Therefore, it is crucial for all citizens to participate in nationwide efforts to combat illegal trade actively.