Hong Kong, Taiwan investors to develop $500m Yangon technology park project

Downtown Yangon, Myanmar. Photo: Pixabay

In what will be the first industrial zone project to be led by the Yangon region government, a group of investors from Hong Kong and Taiwan will be developing Yangon HtanDaPin Technology Park, a $500 million investment industrial zone, in HtanDaPin township.

Golden Myanmar Investment Co Ltd, Wedtex International HK Co Ltd and Yangon Well Development Co Ltd signed a memorandum of understanding (MoU) with the Yangon region government last week at the Yangon Investment Forum.

Located in the western border of central Yangon region, the industrial zone area of HtanDaPin – which is about a two-hour drive from the Yangon city – spans across 1,000 acres. The project is currently awaiting the approval of the Parliament and will proceed as per the Myanmar Investment law.

“The new industrial zone could also benefit Yangon’s congested industrial zone areas as a new destination for investors as well as job seekers outside Yangon,” said Phyo Min Thein, chief minister of Yangon region government.

Thein said Yangon has been prioritising on supporting the inflow of investments.

So far, development in HtanDaPin, located near Nyaungdon, Twantay and Hmawbi, has been slow when compared to other townships in the outskirts of Yangon such as Hlaing Tharyar. The latter has witnessed development with respect to industrial zones and is considered a destination for workers.

However, Thein said HtanDaPin is set to become an important place that can support the flow of goods from the Ayeyarwarddy region to the northern part, such as Pyay town.

Aye Lwin, a member of the Myanmar Investment Commission, says investment from Taiwan investors could add value to the development of the industrial zone in the area.

The Yangon region government will work on the required infrastructure needs such as electricity and land availability to help boost investments.

According to the statistics from the Yangon region government, between fiscal 2011-2012 and 2018-2019, foreign investment into Yangon reached $22 billion, which accounted for over 50 per cent of the investment that came into the country. Investment from local investors accounted for K8,559 billion ($5.5 billion) during the same period.

With the new HtanDaPin Industrial zone, the Yangon region will have a total of 30 industrial zones.

Private companies have so far signed MOUs to develop as many as 18 projects around the country such as Zayetkwin Garden Industrial Park in Yangon and New City Light Industrial Park project, to be developed by Hong Kong’s Bauing International Construction Investment Co Ltd and Myanmar’s New City Development Public Co Ltd.

Meanwhile, Kaung Myanmar Aung Forestry Enterprise Co Ltd from Myanmar has signed MOUs for a slew of agricultural projects and has partnered with China’s Chengtong Industrial Investment Co Ltd and Jiangxi Qiaofeng Industry Co Ltd.

The country is also expected to see a spurt in manufacturing projects with the development of automobile assembly factory being in the pipeline.