Bangkok: Private sector officials have raised urgent concerns over the closure of the Myawaddy-Mae Sot border crossing, calling for immediate action to mitigate the significant impact on exports. The Ministry of Commerce, meanwhile, anticipates a resolution within the next two to three days.
According to Thai News Agency, Mr. Anan Tinaphong, President of the Thai Authorized Customs Brokers Association, has submitted a letter to Mr. Chatuporn Buruspat, the Minister of Commerce. The letter presses for expedited negotiations with Myanmar’s government to address the sudden closure of the border checkpoint at the Second Thai-Myanmar Friendship Bridge, a critical trade route between Myawaddy in Karen State and Mae Sot District in Tak Province. Mr. Tinaphong highlighted that the closure, which took effect on August 18, 2015, has halted the transport of large goods and is part of a longstanding issue related to conflicts between the Burmese military government and the KNU Karen minority.
The closure stems from Myanmar’s attempt to prevent ethnic minorities from receiving consumer goods from Thailand, effectively stopping Thai goods from traversing the border. Mr. Tinaphong emphasized the need for the Thai government to engage in dialogue with Myanmar to resolve the situation, while the Thai private sector plans to discuss the matter with the Myanmar Ambassador to Thailand.
Historically, the Mae Sot-Myawaddy crossing has been the most frequently used route for border exports to Myanmar. However, recent conflicts with ethnic minorities have led the Myanmar government to restrict transportation routes. Myanmar has also mandated import licenses for goods coming from Thailand.
Currently, around 600 containers, each valued at over 2 million baht, are stranded at the border. This situation has frozen transport for nearly a month, threatening the average monthly export value of 60 billion baht. The existing law allows for a 30-day transit period before goods are confiscated, but with some businesses facing only three days remaining, there is increasing pressure on the Ministry of Commerce to find a quick solution. Furthermore, there is a call for legislative changes to extend the transit period to 60-90 days to avoid potential rerouting of goods by Myanmar, which would be detrimental to Thailand’s trade opportunities.
The Minister of Commerce acknowledged the issue and noted that discussions between the Director-General of the Department of Foreign Trade and the Myanmar commercial attach© are ongoing. The closure was reportedly due to import license inspections and counterfeit goods checks, and a resolution is expected shortly. The Minister also confirmed that the closure was not pre-notified to Thai authorities and clarified that while the Myawaddy-Mae Sot crossing is temporarily closed, other border crossings remain operational. Nonetheless, the Myawaddy-Mae Sot crossing is the most significant in terms of trade volume.