Procedures for Export and Import and Customs Clearance

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1. Procedures for Export and Import

An enterprise permitted under the Foreign Investment Law has to be registered as
exporter importer upon business recuirement. with the Export Import Registration
Office, Directorate of Trade.
The Registration of Exporters/Importers
The following persons or enterprises can be registered at the Ministry of Trade as
exporters/importers:
A citizen or an associate citizen or a naturalized citizen of the Union of
Myanmar
Partnership firms
Limited companies or joint venture corporations, formed under the Myanmar
Companies Act 1958 or Special Company Act 1950
Co-operative societies, registered under the Union of Myanmar Co-operative
Law, 1970
Registration Fee
The fee for registration as exporter/importer is Ks 5,000 for one year and Ks 10,000
for three years. The same fees are payable on renewal.
Goods which may be Exported
Myanmar products can be exported with the exception of some selected items like
teak, rice, etc. under the export licence issued by Ministry of Trade.
Export Licence Fee
Generally there is no export licence fee. However, if hardwoods are to be exported in
log form. the following service fees are payable to the Ministry of Trade.
Sr. No.

FOB value of the Licence

(Kyat)

Service Fee
(Kyat)

1.
2.
3.
4.

1
50,001
100,001
150,001

to
to
to
and

50,000
100,000
150,000
Above

25,000
50,000
75,000
100,000

Validity Period of Export Licence

The validity period of export licence is normally 6 months. If necessary, the period
may be extended by the Ministry of Trade.
Goods which may be Imported
All goods which are not prohibited by the respective government department, can be
imported under the import licence issued by the Ministry of Trade.
Import Licence Fee
Import licence fees are payable on all imports from abroad, it includes those imports
for which import permits are not required, those imported by means of a permit, an
import licence or open general licence; imports through the border and those imported
for general trading purposes by the State Economic Enterprises (SEEs), government
departments, co-operatives and private enterprises. Licence fees must be paid
according to the specified rate for import of goods on consignment basis either by
SEEs or private enterprises and entrepreneurs.With a view to reducing the cost of
living and to being competitive under the market economy, the Ministry ofTrade has
issued an Import Licence Fees Order on June 28, 1991, revising the licence fees
payable on commodities imported from abroad with effect from July 1, 1991.
The import licence fees payable on the C.I.F (Yangon) value of goods imported from
abroad ranges from a minimum fee of K 250 to a maximum of K 50,000 as follows:
K
10,000
K
10,001
K
25,001
K
50,001
K
100,001
K
200,001
K
400,001
K 1,000,001

C.I.F value
-

K
25,000
K
50,000
K
100,000
K
200,000
K
400,000
K 1,000,000
and above

Import Licence Fees

K
250
K
625
K 1,250
K 2,500
K 5,000
K 10,000
K 20,000
K 50,000

Licence fees must be paid before the date prescribed in the import licence/permit.
Those import licence/permit for which licence fees have been paid may be extended
by another three months, if such extension is necessary.
If amendment of any item mentioned in the original import licence/permit is to be
made, a fee of 500 Kyats for each item so revised or 2 per cent of the total value of the
licence or permit, whichever is less, must be paid as correctional fees.
Exemption from licence fee has been granted to organisations, companies and joint
venture corporations permitted by the Union of Myanmar Foreign Investment Law on
the import of such goods as machinery, equipment, instruments, machinery

components, spare parts and materials used in the enterprise and imported as they are
actually required for use during the period of construction, with foreign capital
prescribed by the Union of Myanmar Foreign Investment Commission. Such
exemption also includes raw materials and packing materials imported for the first 3
years commercial production in order to export finished goods following the
completion of construction.
Note: If it is beneficial to the State and to the organisations, companies and joint
venture corporations in which investment is made, exemption from the levy of import
licence fee will be granted as may be appropriate for a further period after the
completion of the said 3 years.
Although the enterprises permitted under the Union of Myanmar Foreign Investment
Law are granted exemption from import licence fees they will be allowed to import
only after obtaining an Import Licence or Open General Licence.
Exemption of import licence fee on imported raw materials for the production of
finished goods for general trading within the Union of Myanmar, which is not covered
by the permit of the Union of Myanmar Foreign Investment Commission will not be
granted. With effect from February 1993, the following items have been exempted
from licence fees:
a. fertilisers.
b. agricultural machinery and implements.
c. pesticides.
Validity Period of Import Licence
The validity period of import licence is normally 6 months. However, if requested,
this period may be extended by the Ministry of Trade.
Export Procedure
1. Registered exporter must obtain an export licence, in conformity with the rules
and regulations laid down by the Directorate of Trade. No fee is charged for the
issuance of an export licence.
2. An irrevocable Letter of Credit has to be opened at the Myanma Investment
and Commercial Bank by the buyer through a correspondent or acceptable
bank.
3. The vessel the cargo is to be shipped by has to be nominated by the buyer.
4. Myanma Port Authority has to be contacted for the shipment of cargo that is to
be shipped on F.O.B. basis.

5. Preshipment inspection, if required, will be conducted by Inspection and

Agency Services with respect to specification, weight, quality and packing.
6. Details of the cargo, such as shipping bills, other shipping documents and
customs pass etc., must be presented to the Bank for transaction.
Import Procedure
1. Registered importer is required to open foreign exchange account at a Bank in
order to apply for an import licence from the Directorate of Trade.
2. In applying for an import licence, the application shall have attached the sales
contract and/or proforma invoice mentioning detailed specifications, mode of
packing, and delivery phasing.
3. Import licence fees payable on the C.l.F. (Yangon ) value of the goods imported
from abroad is mentioned under Chapter IV.
4. An irrevocable letter of credit (L/C) has to be opened by the importer at the
Bank.
5. If the purchase is made on F.O.B. basis, the importer has to secure insurance
from Myanma Insurance and freight booking from Myanma Five Star Line.
6. After receiving shipment advice from the suppliers, the importer has to arrange
for the clearance of the goods.
2. Customs Clearance Procedures for Export and Import
The Tariff Law was enacted on March 12, 1992 with a view to assisting the market
economy system in order to facilitate external trade. In accordance with the Law, a
notification was issued to regulate the classification of imported goods and assessment
of duties. For modernisation and standardisation, in line with the international
practice, the Harmonized Commodity Description and Coding System (H.S) was
introduced in April 1992.
Customs Declaration Form for Import/Export Clearance
Import
Under the existing rules and regulations all incoming consignments of goods must be
cleared through the Customs Department under an Import Declaration form
(CUSDEC - 1). The Import Declaration form is to be accompanied by the following
documents: -

1. Import licence / permit

2. Invoice
3. Bill of Lading or Air Consignment Note
4. Packing list
5. Other Certificates and permits issued by the relevant Government Departments
as a condition for Import.
Customs duty is payable according to the tariff schedule. Import duty is levied on the
tax base, assessable value, which is the sum of C.l.F. value and landing charges of 0.5
per cent of C.I.F. value. Together with customs duty, Commercial tax is levied on the
imported goods basing on the landed cost which is the sum of assessable value and
import duty. These taxes are collected at the point of entry and the time of clearance.
Export
On the shipment of export commodities an Export Declaration Form (CUSDEC - 2)
must be submitted to the Customs Department together with the following documents:
1. Export licence / permit
2. Invoice
3. Packing list
4. Sales Contract
5. Shipping Instruction
6. Letter of Credit or General Remittance Exemption Certificate
7. Payment advice referring Inward Telegraphic Transfer Private No./Inward
Telegraphic Transfer Government No.
8. Sample of goods
9. Forest pass for the shipment of forestry produce
10.Health Certificate for the export of live animals
11. Forest permit for the export of wild live animals

12.Other certificates and permits as required by the government agencies

concerned.
Customs duty is levied on exported goods according to the tariff schedule and export
duty is levied on the tax base F.O.B value.
Customs Declaration Form for Transit Trade
All commodities, not for domestic consumption and imported for transit trade, are
required to furnish the prescribed form, ie. CUSDEC - 3, attached with the following
documents:
1. Bill of Lading or air consignment note or truck note
2. Transit Trade Licence or permit issued by the Ministry of Trade
3. Commercial Invoice
4. Sales contract between seller and buyer or contract between seller and
authorised agent
5. Guarantee bond, undertaken in strict compliance with regulations: failure to
export will be dealt with according to the existing law.
Transit duty is based on the C.l.F. value of the imported goods and will be levied at
2.5% ad valorum rate.
Clearance under Special Order
A special order may be granted for rapid clearance of the following types of goods
imported by sea or air:
1. Perishable goods
2. Goods immediately required by government projects and enterprises
3. Live animals, human remains.
Temporary Importation
Commodities, imported temporarily for inward processing. such as industrial raw
materials, packing materials are exempted from customs duty for a period of two
years under bond to re-export within a time limit.
Claims for Drawback

Seventh-eighth of the customs duty paid on goods that could be easily identified will
be refunded when such goods are withdrawn from the country again under the
drawback facility in accordance with the following conditions :1. The re-export goods must be identical with those imported on payment of duty.
2. Two years must not have elapsed since their importation in cases where the port
of re-export is the same as that of import. The time may be extended up to three
years on application.
3. The re-export goods must not be included among the articles declared to be
incapable of being identified.
4. The goods must not be re-exported to a port to which shipment under claim for
drawback is prohibited.
5. The goods exported must not be of less value than the amount of drawback
claimed.
6. The claim for drawback should not ordinarily be less than 5 kyats in respect of
any single shipment.
7. The goods must not be included among the articles declared to be prohibited or
restricted.