AMCHAM launches Myanmar Chapter to boost investment and trade

The American Chamber of Commerce (AMCHAM) launched its Myanmar chapter on Thursday to boost bilateral trade and investment, the U.S. Embassy said in a statement.

The U.S. government welcomed the opening of the chapter in Yangon, thanking American businesses for their enthusiastic support of the new chapter and for bringing U.S. business to the Southeast Asian country, said U.S. Ambassador Derek Mitchell.
 

“I look forward to a strong partnership with it. The easing of economic sanctions means the U.S. government can encourage U.S. businesses to once again invest and trade here,” said Mitchell.

“We believe strongly that done the American way – responsibly, respectfully, and with eyes wide open – U.S. trade and investment here will bring substantial benefits to both countries and advance bilateral ties for the future.”

The U.S. ambassador said his government expects to see American companies demonstrate environmental, social, and labour best practices in Myanmar. As well, he added: “We wish to see them engaged in the local community, building local capacity, creating jobs, and contributing to the country’s economic development.”

One of the chapter’s first goals will be advocacy in support of a Chamber of Commerce law, which would allow the chapter to become an independent American Chamber of Commerce in Myanmar.

So far, U.S. conglomerates such as Chevron, GE, Coca-Cola, Pepsi, and Cisco have invested in the newly opened country. But overall, U.S. investment in Myanmar remains low compared to that of other western countries, according to the Myanmar Investment Commission (MIC). The establishment of the chapter, therefore, will help Myanmar to foster long-term investment and economic growth, and will deepen bilateral ties, sources say.

In response to political reforms initiated by the Thein Sein administration, the United States has broadly eased sanctions on Myanmar since July 2012. The U.S. government has waived restrictions on the provision of financial services, authorized new investment by U.S. citizens, subject to reporting requirements, and permitted the importation of all products from Myanmar, with the exception of jade and rubies.

Some financial observers say that the easing of sanctions, which has opened the door to new possibilities for economic engagement by U.S. businesses to support the development and growth of Myanmar’s economy, will help improve the livelihoods of its citizens. As more U.S. businesses participate in Myanmar’s economy, it is argued, they will provide a model for responsible investment and world-class business practices.
However, American companies investing in Myanmar's oil and gas sector and those investing US $500,000 (Ks 485.49 million) or more in this emerging market are required to file reports with the U.S. government outlining steps taken towards responsible investment. The reports include details such as what human rights and worker rights policies have been implemented in the course of the investment and what due diligence local counterparts have undertaken.

The Obama administration has been supporting U.S. businesses in Myanmar since the mid of 2012. A joint State-Treasury delegation came to Myanmar in late September of this year to learn from U.S. companies and other stakeholders about their experiences doing business in the country. The delegation met with U.S. businesses, government officials, civil society organizations, and members of the private sector in order to discuss the impact of the easing of U.S. sanctions over the past year.

source: Eleven Myanmar
http://elevenmyanmar.com/business/3925-amcham-launches-myanmar-chapter-to-boost-investment-and-trade