Myanmar Production Comes in From the Cold

The European Union is poised to become the largest export market for “Made in Myanmar” apparel this year, three years after the group of nations lifted economic and trade sanctions against the Southeast Asian country. The surge in exports to the EU and overall growth in the sector comes despite continued concerns over labor conditions and a lack of clarity regarding Myanmar’s wage regulations that have resulted in a spate of strikes at factories around Yangon, the country’s largest city. Apparel export revenue for 2014 reached an estimated $1.5 billion, up about $300 million from 2013, according to the Myanmar Garment Manufacturers Association. The MGMA said an average of one factory a week opened over the course of 2014. Apparel exports to the EU showed particularly strong growth in 2014, with about $400 million worth of goods reaching the market, more than doubling 2013 shipments. Around a dozen factories in Myanmar now produce primarily for the EU. Japan and South Korea, the two biggest export markets for Myanmar-made garments, are forecast to be surpassed this year by the EU, the MGMA said. The growth in the sector is part of a larger trend since reformist Thein Sein became president in 2011, which has resulted

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