Talking About Doing Business In Burma

Ko Sala's informal interview with a Singaporean businessman who frequently conduct business in Burma.  The businessman's identity_ described here as Ayingyi_ is kept in anonymity for legal reasons. 

Ko Sala:            How is it like doing business in Burma market as an international buyer? 

Ayingyi:            Burma market is a risky market and you need to be extremely careful of economic and political uncertainties in the country. 

Ko Sala:            What else do you buy from the Burma market apart from pulses? 

Ayingyi:            In any risky business it is only good to get involved with things that you are really good at it.  I know my pulses and I would only deal with pulses in Burma.   I can easily venture into buying other commodities with my "right" contacts in Burma but I will never ever do so. 

Ko Sala:            You seem to be quite concerned with risk factors in Burma. Why do you continue to be conduct business in a risky market? 

Ayingyi:            Business is all about risk and Burma market is an offshoot of our wider operation.  There is a substantial demand for pulses in the international market and hence we continue to buy the commodity from different sources.  However, risk free business is far better business as compared to ones with risks. 

Ko Sala:            Do you like the quality of Burmese Ma-Pa`? (Ma-Pa`= a common Burmese pulses)

Ayingyi:            The quality of Burmese Ma-Pa` dwindled over the past years.  The Mayanmar (Burmese) regime has overexerted the country's yield for pulses in the international market than what the country can actually supply.  The international buyers enjoyed doing business in Burma in the early 1990s when the regime began promoting and liberalising their market for pulses.  The red tape was symbolically reduced and we were able to transport the pulses efficiently.  On the other hand it saturated the number of domestic sellers in the market without meeting the demands of the international buyers.  Lots of people in Burma set up companies to export pulses with the hope of becoming rich quickly.  As a result it created a significant number of "crook" businessmen and increased the red tape.  You have to be careful who you are dealing with in Burma.  Your money can be swindled so easily in the country.  Dishonesty is a major problem in the country.  

Ko Sala:           To an extent, according to you the international buyers for pulses do contribute a shortage of food in the domestic market.  Don't you feel responsible in some way for the malnourishment of the citizen of Burma? 

Ayingyi:            My dear friend, I am not a government minister or UN official to feel guilty or responsible for what is happening in the country.  I am a businessman and I will continue to do my business as long as opportunities are there to generate profit.  It is the responsibility of the Saya-gyis, the generals to set a quota and price of a catalogue of food commodities for the domestic market.  The concept should be somewhat like notional "butter mountain" set by your EU government to protect your farmers.  I do understand the endemic problems of food shortages in the country.  The UN aid agencies can buy pulses from me to distribute to the needy families in Burma.  Each year, I sell a significant amount of lower grade pulses to Aid agencies for it's distribution in poorer nations of Africa.  My friend, I will give you a cut if you introduce me to any business contacts in Aid agencies.  I rather buy and sell in Burma at profit than transporting it all the way to Singapore.

Ko Sala:            What changes would like to see in Burma for you conduct business in a risk free environment? 

Ayingyi:            I am not a politician and it is much more riskier for me to talk about Burmese politics if I continue to do business with Myanmar companies.  As a businessman I want to see less red tape in granting export license and end of corruption.  I would like to see the government bringing justice by eradicating "crook" businesses connected to the Say-Gyis.  In Singapore, we do not have western style democracy but the government seem to buy consensus from it's citizens by looking after their needs.   

Ko Sala:            Earlier you mentioned about political risk in doing business in Burma, could you explain what are the political risks? 

Ayingyi:            Political risk comes with connections.  The connections are very important in Burma.  Yesterday, Gen. Khin Nyunt was an immortal leader of Burma and now he is allegedly in prison.  All business connections linked to Saya-Gyi Khin Nyunt is wiped out in no time.  Similarly, Sandawin's connections died a natural death with the death of Say-Gyi Ne Win.  It is hard for our company to push the right button by entertaining the right General in Singapore.  They all want to be the guest of the company. 

Ko Sala:            What kind of entertainments do you give them?                                                    

Ayingyi:            It ranges from a game of golf in a most expensive golf course to providing prostitute for personal entertainment.  I personally want to do business in Myanmar without having to do pimping for the men in uniforms. 

Ko Sala:            It is interesting talking to you.  I look forward to speaking to more in near future. 

Ayingyi:            I hope to talk more about doing business rather politics.