Apr 22, 2011

Myanmar barter trade with North Korea

Port records point to an increasing trade between North Korea and Myanmar, all of which is handled by Myanmar's government owned companies. In August last year, then prime minister and now president Thein Sein visited Pyongyang. According to the official Korea Central News Agency, he said that "the government of Myanmar will continue to strive for strengthening and development of the friendly and cooperative relations between the two countries."

According to investigation done by Myanmar Business News, due to the lack of cash the trading between the two countries is usually based on barter as Myanmar supplies North Korea with alcohol and agricultural commodities, such as rice and corn in exchange for North Korea's cement and industrial chemicals. When payments are involved, the transactions are mostly settled outside the banking system, in cash.

Source: Myanmar Business News