Exporters Worried Over Decline in Myawaddy Border Trade
The capture of Junta military bases and surrender of three battalions on the outskirts of Myawaddy Township, situated in Karen State along the Thailand-Myanmar border, has sparked concern among Thai traders exporting goods to Myanmar.
As of now, Myawaddy-Mae Sot Friendship Bridge No. 1 and 2 remains open. Despite rumours prompting temporary departures by some locals from Myawaddy, downtown areas appear unaffected, with normal conditions prevailing and traffic continuing as usual, according to locals.
"Traders in Myawaddy are still operating their businesses as usual. But lately, we have not seen many large container trucks arriving from the Thai side anymore. The Myawaddy garment factory will also be closed for Thingyan. Trade activity in Myawaddy has been decreasing recently.
Currently everyone is depending on Htaw Kaw Koe Road. Since the bridges are still open, I believe customs operations will continue normally”, a Myawaddy-based trader told KIC.
As of now, both the Junta troops and the resistance forces have not restricted entry and exit from Myawaddy.
Joint resistance forces, led by the Karen National Liberation Army (KNLA), successfully seized all Junta bases on the outskirts of Myawaddy on April 5. Social media is also abuzz with rumors of imminent heavy aerial bombardments by the Junta in Myawaddy. As a consequence, there has been a drastic reduction of large cargo trucks crossing from Thailand into Myanmar with Thai traders anxious about further hostilities.
"The current decline in truck arrivals from the Thai side is raising deep concern among Thai traders, who fear that escalating conflicts may disrupt their exports. The decrease in border trade volume could also be attributed to the upcoming Thingyan, the Myanmar traditional water festival”, a source close to border traders said.
Unconfirmed rumors circulating on social media suggest that if the ethnic resistance forces gain control of the entire Myawaddy Township, Thailand may suspend border trade.
"There is no solid proof to back up these claims. I doubt Thailand would shut down border trade entirely. Even if the resistance takes over Myawaddy, trade will continue. Thailand relies on Myanmar for cheap labor and raw materials, and many scholars and professionals also come to Thailand. They will see the benefits and keep the trade going”, Maung Kyaw Swar, a political analyst said.
U Moe Gyo, chairman of the Joint Action Committee for Burmese Affairs (JACBA), expressed confidence that Thailand would not close border trade due to potential harm to its own interests.
He stated that even if some restrictions were imposed, he would explore various methods to sustain border trade operations.
"Even if official trade routes are closed, smuggling across the Moei (Thaungyin) River will continue.
We will explore every avenue to maintain legal trade. If not, we will collaborate with former members of the Border Guard Force (BGF), now known as the Karen National Army (KNA), to ensure continuity”, he said.
According to the Ministry of Economy and Commerce under the Junta, from March 1 to 29 of this year, the export value of the Myawaddy border trade zone reached USD 319.062 million, while the import value stood at USD 824.468 million, resulting in a total trade volume of USD 1,135.113 million.
