TRADE and Foreign Direct Investment (FDI) between Myanmar and the Republic of Korea is expected to increase 10 percent within next five years, the ambassador of the Republic of Korea, Mr Park Key-Chong, said at a reception held at Sedona Hotel on May 26.

The flow of FDI and trade between Myanmar and South Korea is still relatively low, Mr Park Key-Chong said, but will rise significantly with the implementation of the Korea-ASEAN Free Trade Agreement. Trade volume between Myanmar and South Korea in 2008 stood at US$360 million, while total FDI from South Korea to Myanmar has reached $240 million, Mr Park Key-Chong said.

Since June 2007, Korea has repealed tariffs on 70 percent of commodities imported from ASEAN countries, including Myanmar, under the free trade agreement.

South Korea will evntually abolish 95pc of the tariffs on commodities imported from ASEAN.

Myanmar exports more than 3000 specific items to Korea, with forestry products, garments, textiles, fisheries products and agricultural products, including beans and pulses the largest in terms of dollar value.

Myanmar mostly imports steel, industrial machines, textile fabric, electronics and electrical apparatus from Korea.

Mr Park Key-Chong said the two countries should experience significant benefits from their trade relationship.

“One of the [trade] advantages Myanmar has is that it is abundant with natural resources and manpower, while South Korea is a country with experience in technology and international trade,” he sad.

He was speaking at a farewell reception for more than 45 local businessman who were to leave on May 27 to attend the Korea-ASEAN CEO Summit, held from May 30-June 1 in Jeju island.

Mr Park Key-Chong said that if the two countries apply these resources effectively and efficiently for economic cooperation, it will be beneficial for bilateral trade and investment between Myanmar and South Korea.

The ambassador urged local businessmen sched-uled to attend the Korea-ASEAN CEO summit to maximise the benefits and opportunities the summit offered.

U Zaw Min Win, vice president of the Union of Myanmar Federation of Chambers of Commerce and Industries told The Myanmar Times members of the delegation will be matched with potential Korean partners at the summit, to increase trade and investment cooperation from the private sector.

“Local businessmen representing the trade, manufacturing and service sectors dealing with South Korea will meet with Korean businessmen,” he said.

The delegation will also conduct a tour in South Korea’s famous industrial zones and also visit some of the country’s largest corporations, U Zaw Min Win said.