From renewable energy to quantum computing, technological innovation and the global shift towards sustainability have increased the demand for rare earths and minerals. As a country with the world's third-largest tin ores1 and the fourth-largest producer of rare earths2, as reported by Channel News Asia and Statista, Myanmar is well-positioned to take advantage of the global market's growing needs.
However, capitalising on these opportunities requires navigating the complexities of the mining and export business, which can be tricky, especially if you’re new to the trade. To address this challenge, we've compiled this guide to spotlight the specific natural resources in Myanmar with export potential and offer insights on how to ship these minerals abroad.
Identifying key minerals for mining and export
With the wealth of natural resources to choose from, one might wonder: Which are the most important minerals that businesses in Myanmar should focus on extracting? When determining a mineral’s mining and export potential, an evaluation can be made based on demand and rarity.
1. What rare minerals are found in Myanmar?
In terms of rare earths, Myanmar's advantage lies in its reserves of dysprosium and terbium, which are exclusive to Myanmar and China. This is in addition to their importance in the emerging clean energy and smart technology sectors. What these mean for firms in the mining industry is the potential to command higher prices in the market with these exports, making these minerals an attractive option to explore.
2. What other lucrative minerals can be extracted?
Apart from mining ores for natural resources for industrial use, Myanmar boasts an array of gem-quality minerals and precious metals. Among these, rubies, sapphires, and imperial jadeite are celebrated as some of the world's finest gems alongside Myanmar gold, all of which are popular exports among investors and the luxury industry for their use in jewellery.
Meanwhile, shipping copper, zinc, tin powder, and iron abroad can also be worthwhile. This is because copper, lead and tin powder are integral in emerging industries. Meanwhile, iron is fundamental to the construction of machinery, vehicles, aircraft, and structural elements for our built environment.
3. Where are my customers, and what do they need?
As the demand for rare earths and minerals can vary across regions, it’s vital to first research and understand the specific needs of your target market before curating your exports. Another tip is to explore new and emerging markets with lesser competition. Through these ways, businesses can enhance the odds of gaining a stronger foothold and capturing market share abroad.
Tips for effective mineral export planning
The export potential for rare earths and minerals is evident. However, knowing what to export is just one part of the puzzle; managing international shipping and regulatory requirements is equally important for a seamless delivery experience for you and your customers. Given the complexity of the latter segment, here are some tips to help you with effective logistics planning.
1. Research on export requirements
When it comes to international shipping, understanding and complying with export regulations and documentation requirements is key to avoiding delays, fines, and even confiscation of shipments. In terms of minerals export, an export licence from Myanmar’s Ministry of Natural Resources and Environmental Conservation (MONREC) is required alongside other standard shipping documents.
However, customs regulations differ significantly across countries. As such, researching the specific regulations of your target market is advised, and local government trade portals would be a good place to get started.
2. Get help from logistics experts
As the process can be tricky to handle when you’re new to the industry, engaging a broker can be helpful. Otherwise, logistics service providers in Myanmar, such as DHL Express, can also help you with the mineral export process in the following areas:
- International shipping and last-mile delivery (except loose gems).
- Ensuring that your customs paperwork, shipment declarations and tariff classifications are accurate and comprehensive.
- Assisting with trade agreements and calculating duties and taxes.
- Real-time parcel tracking.
- Offering direct support and guidance for contingency planning.
By offering end-to-end support, these service providers help you eliminate the hassle of dealing with multiple parties while giving you and your customers greater peace of mind.
3. Keep your commodities protected during transit
Once the necessary paperwork is in place, the focus shifts to preparing your commodities to keep them well-protected during transit.
i. Minerals with special logistics requirements
With different minerals having different chemical properties, transporting them safely requires specific packaging and handling approaches that take their special logistics requirements into consideration. Generally, here are some of the common challenges in exporting rare earths and ways to address them:
- Corrosion: To guard against corrosion, pack minerals sensitive to moisture and air with secure, sealed packaging. Depending on the type of mineral, you may also include desiccants to keep moisture at bay.
- Fragile items: Minerals that are easily damaged need to be wrapped individually in shock-absorbent materials like foam, bubble wrap, or other protective padding to safeguard them from impact. Picking the right packaging that fits your items well is also vital to prevent the commodities from shifting and becoming damaged during transport.
- Temperature sensitivity: For minerals that could degrade with temperature changes, it is recommended that insulated containers and temperature-controlled shipping be used.
- Labelling and marking: For safer handling and minimised risk of accidents, properly marking packages with content details, handling instructions, and hazard symbols is recommended.
ii. High-value items
If you’re exporting high-value items, such as gems, the following practices are also recommended:
- Tamper-evident packaging and security seals: These act as a deterrent against tampering and are an effective way to affirm that your shipment has remained untouched during transit.
- 24/7 tracking: By opting for tracking, you can easily monitor your shipment, both within facilities and in transit, enabling any issues to be quickly identified and addressed.
- Shipping insurance: It is also advisable to get shipping insurance from your logistics service provider in Myanmar. The guaranteed compensation for lost or damaged items enables you to quickly resend goods to clients to prevent damaging trust while avoiding your business’ financial loss.
Deliver minerals to global clients effortlessly with DHL Express
Given how customer satisfaction and smooth global trading hinges on efficient last-mile delivery, entering a strategic logistics partnership can make all the difference in your business’ success abroad. By working with an experienced partner like DHL Express Myanmar, you can benefit from reliable services and international reach to facilitate a seamless delivery experience for your customers.
With holistic value-added services, including optional shipping insurance, reinforcing your commitment to delivering excellence to your customers is made easy. Open a business account with DHL Express today to get started.
