Growers face difficulties in freight transport to export sugarcane to China

Farmers loading  car with sugarcane.  Photo; Chan Thar (Meiktila)
Farmers loading car with sugarcane.  Photo; Chan Thar (Meiktila)

Although China offers sugarcane at K100,000 per ton, the growers are experiencing difficulties in freight transport as the 12-wheel trucks are not available for them, said sugarcane growers.
The trade flow to China has recovered since February-end. At present, China purchases Myanmar’s sugarcane as raw materials and offers a higher price than those in the internal market, prompting the growers to export them to China. Yet, they are facing difficulties to rent the trucks, said an exporter.
“After the trade channel has reopened, sugarcanes were exported only once. The exporters of tissue-culture banana are offering high rates in freight transport. When 25 tons of sugarcanes are loaded, we give K50,000 per ton for freight transport. Meanwhile, tissue-culture banana offers a similar price (the rate is equal to pricing for 25 tons of sugarcane), just for 17 tons of loads”, he added.
Currently, local sugar millers are reducing the production rate upon the local market’s demand, driving sugarcane prices low.
With the sugar price rising in the global market, it stands at K930 per viss (a viss equals to 1.6 kg) in the domestic market. However, the millers and growers can financially do well only if it fetches K1,000 per viss.
Moreover, government departments are combating the illicit inflow of sugar from foreign countries through the border areas, in line with the export-import law, as it can hurt the interests of local sugar millers and sugarcane growers.
To protect local sugarcane growers, re-exports needed to be banned, according to the Myanmar Sugarcane and Sugar Related Products Manufacturers Association.
Myanmar produced about 450,000 tons of sugar on 440,000 acres of sugarcane plantations in the 2014-2015 fiscal year, over 390,000 tons on 390,000 acres in the 2015-2016FY, over 370,000 tons on 400,000 acres in the 2016-2017FY, over 500,000 tons on 400,000 acres in the 2017-2018FY, and 500,000 tons on nearly 500,000 acres in the 2018-2019FY. —Min Htet Aung/ Ko Htet (Translated by Ei Myat Mon)

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