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Shandong Lubei to build Myanmar pesticide plant

Chinese company Shandong Lubei Chemical has come to an “initial agreement” with the Myanmar Ministry of Agriculture that would see it invest in a pesticide production plant in the former capital of Yangon. The decision comes after representatives from Lubei Chemical visited Myanmar on a fact-finding tour last month. Initial plans, which are still under consultation, suggest that the plant would manufacture herbicides, insecticides and plant growth regulators. Shandong Lubei identifies Myanmar as having “huge market potential” with pesticide market prices several times higher than in China and an agricultural area of some 17 million ha. Shandong Lubei is principally engaged in the manufacture of chemical fertilisers. The Myanmar authorities hope that the proposed project will help the country meet its agricultural development needs, the Chinese company adds. Myanmar's Ministry of Finance and Revenue has instituted a commercial tax exemption on insecticide imports this month (see this issue).

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