Myanmar’s rattan furniture industry faced difficulties for many years including a banking crisis in 2002, economic sanctions imposed from 1997 and dramatic exchange rate fluctuations until 2012.

Only seven producers are still in business compared to over 100 a decade ago, said Ma Swe Zin Le. Aged 28, she works for her father’s company Bella Interiors which was set up in 1994 and now runs with 1000 weavers and skilled workers.

“Our business struggled for seven years but we didn’t want to close down the company or cut back on workers too much,” she said. “Half of our business assets were liquidated to allow us to survive until today.”

Bella Interiors first started exporting to Thailand and Vietnam, where it struggled to sell its products at a fair price, she said. However, since 2013, when the European Union lifted most of its sanctions on Myanmar, business has improved.

The company can now meet buyers from Europe directly, and is helped by the EU’s provision of duty-free market access under its scheme for developing countries. Bella Interiors is now exporting 60 percent of its products to Europe, 30pc to the United States and the remaining 10pc to Asia.

“We have had more of a chance since the market opened as we were able to survive for years,” said Ma Swe Zin Le, adding that over many years her company was able to collect skilful workers, who are becoming increasingly hard to find. “New businesses surely won’t be able to employ such workers,” she said.

The company markets itself through regional trade fairs to familiarise buyers with “made in Myanmar” products, as rattan furniture was formerly primarily associated with Thailand or Vietnam, and a number of global buyers are interested.

“In the past, customers chose us, but now we can choose customers – those who fit our market strategy. We need customers who value our products in terms of quality and price,” she said.

“On the other hand, we need to make a lot of plans such as how much volume we can produce and how to finance the company’s expansion.”

The business of 100pc handmade rattan furniture and products still survives in Myanmar, while products in other countries in the region are now mostly factory-made, she said.

“That is why we cannot reduce our prices. The work from Myanmar is very different compared to products made in other countries.”

While Bella Interiors tries to meet criteria set by the global market, high logistics costs and arduous government procedures remain barriers to growth.

“Logistics costs are high and the number of steps involved in completing the necessary documents should be reduced as we export value-added products,” said Ma Swe Zin Le. “I hope the government will be able to help with this.”

Source: Myanmar Times