Thanks to soaring production costs in China coupled with surge in labour wages, Myanmar's garment sector is emerging as the last low-cost production frontier for factory relocation and diversification in Southeast Asia.
This, together with the difficulty in hiring garment workers and the Chinese government's policy of upgrading its #
To allow maximum flexibility for foreign investors, the Myanmar Investment Commission (MIC) allows 100 per cent FDI in setting up textile and garment factories in the country. Among Myanmar's garment exporters, large factories are either wholly foreign-owned or operating through joint-venture (JV) agreements between local and foreign companies, most of which come from the Chinese mainland, Hong Kong, Japan, Korea, and Taiwan. While most of the small factories are locally owned, medium-size factories are locally owned or operated through JV. (SH)
ALCHEMPro News Desk – India
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