Reshuffle puts 'right person in right place': government

24 Business THE MYANMAR TIMES JULY 29 - AUGUST 4, 2013
TRADE MARK CAUTION
DIAGEO KOREA Co., Ltd, a company incorporated
under the laws of Republic of Korea, and having its
principal place of business at 7-2, Gobaik-Ii, Boobaleup,
Icheon, Republic of Korea, is the Owner and Sole
Proprietor of the following Trademark:-
WINDSOR
Word Block Letters
Reg. No. 4/4290/2013
in respect of “Class 33: Alcoholic beverages (except
beers).”
Any fraudulent imitation or unauthorized use of the said
Trademark will be dealt with according to law.
U Chit Swe, Advocate
U Kyaw Moe Htet, Attorney at Law
U Nyunt Tin Associates International Limited,
Intellectual Property Division
Tel: 959 4500 59 247-8, Email: info@untlaw.com
Partnership in practice with
Ms. Saowaluck Lamlert, Attorney at Law
Siam Premier International Law Office Limited
Email: saowalck@siamlaw.co.th
For DIAGEO KOREA Co., Ltd
Dated: 29 th July, 2013.
DESIGN CAUTION
Diageo Brands B.V., a company incorporated under the
laws of The Netherlands and having its principal place
of business at Molenwerf 10-12, 1014 BG Amsterdam,
the Netherlands, is the Owner and Sole Proprietor of
the following Designs in (7) different views:-
Gem Lab eyes ‘Ruby Land’
A FOREIGN company is working
to bring international testing
standards to Myanmar’s
gem industry – and provide
recognised quality certificates
to boost prices.
Gubelin Gem Lab, a Swiss
company that has a regional
office in Hong Kong, sent foreign
gemologists to Mogok,
known as “Ruby Land”, in
early July to test gemstones in
the area, which has previously
been off-limits to foreigners.
“After the government allowed
foreigners into Mogok
in April we received permission
for our technicians to go
into the area,” said Ko Hpone-
Phyo Kan-Nyunt, a Gubelin
Gem Lab gemologist.
The company has already
sent stones back to its main
lab in Hong Kong and will announce
their quality soon.
“There is no database of
Myanmar gemstones at our
lab, which is why we wanted
to do our own sampling and
testing,” Ko Hpone-Phyo Kan-
Nyunt said.
The company also held
seminars on gems and testing
in Mandalay and Yangon
on July 20 and 21 at which its
experts made presentations
about gems and gem labs, said
seminar organiser Ko Ko Myo.
A gem trader examines a nine-stone ring. Photo: Staff
Lore Kiefert, a chief gemologist
at Gubelin, said Myanmar’s
rubies are rated the best
in the world and its sapphires
second best.
Ko Hpone-Phyo Kan-Nyunt
said Myanmar needs better
labs to certify the quality of
stones mined here.
“Myanmar’s gemologists
are good at testing but our
testing facilities do not meet
international standards,” he
said.
“When traders sell stones,
foreign buyers often ask for
certificates, which cannot be
provided. This leaves the quality
of stones – and the industry
– a little uncertain and lowers
prices.”
Kyaw Thu, owner of a gem
lab at FMI Centre, said Myanmar
needs top-quality labs
to certify its stones in an increasingly
competitive market.
“When we sell gems internationally
we need quality certificates,”
he said.
“Many gemstones are
mined in parts of Africa and
Vietnam that are quite similar
to ours but not quite as good.
If we don’t have certificates,
then we won’t earn the same
prices.”
Gubelin plans to open a
mobile lab in Myanmar.
Damp demand hits car show
AYE NYEIN WIN ayenyeinwin.mcm@gmail.com
MONSOON rains drowned out possible car sales
at a July 20-23 show at Tatmadaw Hall in Yangon.
The show was intended to allow car showrooms
to offer discounts in the hope of making
quick sales after several lean months.
“This is the fourth car show we’ve participated
in,” said Ko Zar Ni, managing director of Afreen
Auto Service. “But because of the weather we were
only able to sell four cars. Normally we can put lots
of cars in the hall’s compound but that wasn’t possible
this time because of the rains, and not many
buyers turned up either.”
Other car traders said constant changes to import
policies, fluctuating exchange rates and ever
worsening traffic are reducing demand.
Ko Win Ko, from Win Ko Services Co, said he
had expected sales at the show to be limited.
“We did not sell as many cars as we have in previous
events, in part because not many customers
came,” he said. “It rained for most of the four days,
but I only participated in this event to advertise my
company and did not expect to make many sales.”
Ma Shwe Sin Win, director of event organiser
Smart Business Group, said participating in shows
is good for business even if showroom owners do
not sell vehicles.
“Even if people don’t buy on the spot, if they see
a car they like they often approach the centre later,
so it’s good advertising for the companies that take
part,” she said.
BRIEFS
Mandalay
Waso robe prices surge
Japanese-made cotton robes
have been in high demand in
Mandalay since the start of the
Waso religious festival, when
they are traditionally donated to
monks, according to sellers.
Last year, cheaply priced
Thai- and Chinese-made robes
found greatest favour with
buyers, but this year Japanese
brands such as 555 and 777 are
attracting the most attention,
said Daw Htay Htay Yin of Diamond
and Emerald Robe Shop.
“Sales of Japanese brands
were tiny compared with Thai
and Chinese brands last year,”
she said. “But this year buyers’
appetites have shifted to
high quality brands – and the
Japanese-made robes are light
and easy to dry.”
She expects to sell about
10,000 robes during the festival,
which started on July 22 and
ends on August 21.
“This year we even have cotton
robes made in Italy that cost
K45,000.” – Aung Ye Thwin,
Translated by Zar Zar Soe
Yangon
Tips for fish exporters
American non-profit Winrock
International is offering
Myanmar fish farmers practical
advice on how to market their
products in the European and
US markets, according to a
spokesperson for the Myanmar
Fisheries Federation.
The program is funded by
the United States Agency for
International Development, said
Daw Toe Nandar Tin, executive
committee member of the
federation. The initial focus is
tilapia, with training already
offered on breeding and raising
the species. Potential exporters
are now receiving tips on how to
enter the EU and US markets,
Daw Toe Nandar Tin said.
Burt Hick, an American
volunteer in the program, said
Myanmar fisheries exports to
the US were massive before
sanctions blocked them almost
a decade ago. – Myat Nyein Aye
TANQUERAY Bottle (2009) Version
Reg. No. 4/4257/2013
in respect of “ Class 33: Alcoholic beverages (except
beers).”
Any fraudulent imitation or unauthorized use of the said
Designs will be dealt with according to law.
U Chit Swe, Advocate
U Kyaw Moe Htet, Attorney at Law
U Nyunt Tin Associates International Limited,
Intellectual Property Division
Tel: 959 4500 59 247-8, Email: info@untlaw.com
Partnership in practice with
Ms. Saowaluck Lamlert, Attorney at Law
Siam Premier International Law Office Limited
Email: saowalck@siamlaw.co.th
For Diageo Brands B.V.
Dated: 29 th July, 2013.
SEBASTIAN PAWLITA
sebastian@pwplegal.com
KYAW ZAI YA
kyaw@pwplegal.com
THE new Central Bank Law aims at establishing
a central bank free from government
interference. Nevertheless, the owner
of the central bank is, as in other jurisdictions,
the state. The authorised capital is
set at K300 billion of which the state is
supposed to pay up K100 billion. This is a
steep increase; the old Central Bank Law
of 1990 provided for an authorised capital
of K500 million and for a paid-up capital
of K200 million. The central bank is to
pay (probably in addition to the paid-up
capital) 40pc of its annual profit into a general
reserve until the amount of the paidup
capital is reached.
Typically, central banks make profits by
charging interest on loans granted to the
government and to commercial banks and
by having interest-bearing foreign currency
securities in their portfolio.
The new Central Bank Law was signed
by the president on July 11 and took effect
immediately. There is no timeline for the
establishment of the new central bank.
However, the president may determine
a “transitory period” of up to one year to
The Fine Print
Legal & tax insight
New bank law may spur confidence
“enable necessary negotiations”. The directors
of the present central bank shall continue
their operations until their responsibilities
are handed over to the new board
of directors.
The goals of the central bank are the
stability of money, the stability of the banking
system and the development of effective
payment systems. Furthermore, it is
to support the government’s general fiscal
policy in order to create a vibrant economy,
though it remains to be seen if this goal
will have any impact on the central bank’s
independence.
Central banks all over the world are
charged with keeping money stable. Simply
put, they influence inflation by adjusting
the interest rate at which commercial
banks can borrow money from them.
In a cash-based society like Myanmar,
however, the effect of interest rates on the
inflation is not very pronounced. In terms
of inflation control, the exchange rate of
the local currency to the dollar is probably
far more important. Of course, the
exchange rate as such only influences the
price of imported goods and services and
has nothing to do with, for example, soaring
real estate prices or rising wages.
However, the exchange rate is a highprofile
figure, and if the market exchange
rate is stable, people probably rightfully
expect their savings in the local currency to
retain their value.
As in many other countries, the foreign
exchange regime is decided on by the government
and implemented by the central
bank. Presently, Myanmar has adopted a
managed float system in which the central
bank holds daily auctions of foreign exchange.
Money changers may set their exchange
rate within a range of plus or minus
0.8 percent of the auction price.
The central bank may intervene (“manage
the float”) to keep the exchange rate at
a desirable level. In international practice,
such interventions are usually done by central
banks buying foreign exchange, or selling
part of their foreign reserves.
The central bank is charged with assuring
the stability of the banking sector by
licensing commercial banks and supervising
them. In a society like Myanmar, where
lack of trust in banks still prevents people
from channeling money through them,
a central bank that is perceived to be independent
is an important tool to instill
confidence.
Sebastian Pawlita and Kyaw Zai Ya are
consultants at Polatri Wint & Partners Legal
and Tax Advisors in Yangon.