IN A BID to increase investments in the local farm sector, the Directorate of Investment and Company Administration is planning to link the agriculture and industry sectors, its deputy director-general said.
Currently, only 0.15 per cent of foreign direct investment flowed into the country’s agriculture industry. That is why the government has arranged to link the two sectors to attract more FDI, which is one of the main drivers to improve trade in any country.
Agriculture is the major industry in Myanmar. The sector continues to play an important role in the country’s economy, with about 60 per cent of the country’s 24 million working population employed in the agriculture sector.
According to the official figures of DICA, the sector received only US$7.180 million in foreign investments last financial year. In fiscal year 2010-2011, over $138 million of FDI flowed into the sector, but the country saw no further investment in the farm sector in 2011-2012.
Myanmar attracted a record amount of foreign direct investment — US$9.4 billion — last fiscal year for 217 projects in 11 sectors — agriculture, livestock and fishery, mining, manufacturing, energy, oil and gas exploration, transportation, communication, hotel and tourism, real estate industry and other service businesses.
The country received $8 billion FDI in 2014-2015 FY, compared with $4.1 billion in 2013-2014 FY.
Between 1988-1989 FY and to date, the total value of FDI reached over $64 billion, of which nearly $250 million went to the agricultural sector.