weighted score 3.0 · ten dimensions
Sourcing Attractiveness Index · ten dimensions
Myanmar
Labour cost, supply base depth, logistics infrastructure, trade access, and innovation scores for Myanmar as a sourcing destination.
Labour cost competitiveness
9
Among the cheapest manufacturing labour globally, second only to Ethiopia. Minimum wages well below USD 100/month. However, cost advantage is offset by severe operational risks under military rule.
Supply base depth
3
Narrow supply base concentrated in cut-make-pack garments. No meaningful supplier ecosystems in electronics, chemicals, or complex manufacturing. Raw material imports required for most production.
Logistics & infrastructure
2
Port infrastructure limited — Yangon port handles modest container volumes. Road and rail networks underdeveloped. Internal logistics severely disrupted by civil war, checkpoints, and infrastructure damage.
Workforce skills
3
Large low-skill labour pool for garment assembly. Technical and engineering skills extremely limited. Education system has been severely disrupted since the coup — schools and universities closed for extended periods.
Scalability
2
EU suspended EBA preferences in 2024, removing duty-free access. Civil war and military rule make production scaling impossible. Most international buyers have exited or suspended Myanmar sourcing.
Ease of doing business
1
Military junta has destroyed the business environment. Rule of law collapsed, contract enforcement non-existent, banking system disrupted, foreign investment fled. Among the worst operating environments globally.
Trade access & tariffs
2
EU EBA suspended 2024. US GSP withdrawn. Western sanctions on military entities restrict financial transactions. Remaining trade access limited to regional partners (China, Thailand, India).
Sustainability baseline
1
No credible ESG framework operates under military rule. Environmental regulation non-existent in practice. Deforestation accelerating. ILO country office operations severely constrained since the coup.
Innovation & IP
5
No meaningful innovation ecosystem. Patent filings negligible. R&D investment near zero. Technology adoption limited to basic manufacturing processes. IP protection framework non-functional.
Quality standards
2
Basic CMP garment production met buyer quality requirements pre-coup. No established quality management certification infrastructure. Audit access now severely restricted by conflict and military controls.
Labour Cost & Garment Sector
Labour Cost & Garment Sector
- Wage level
- Myanmar has among the cheapest manufacturing labour in Asia, second only to Ethiopia globally. Minimum wages remain well below USD 100/month. For basic garment assembly, Myanmar was one of the lowest-cost sourcing origins before the 2021 coup.
- Garment sector
- Cut-make-pack (CMP) garment manufacturing was Myanmar's primary export industry, concentrated around Yangon industrial zones. The sector employed over 700,000 workers pre-coup, predominantly women, producing for EU and Japanese brands under the Everything But Arms (EBA) preference.
- Post-coup collapse
- The February 2021 military coup triggered mass strikes, factory shutdowns, and a sharp contraction of the garment sector. Many international buyers suspended or exited Myanmar sourcing. The economy has contracted significantly, with GDP declining over 15% since the coup.
Market Size & Business Environment
Market Size & Business Environment
- Population
- Approximately 55 million people, but the domestic consumer market has collapsed since the coup. Internal displacement exceeds 2 million. Banking system is severely disrupted with cash shortages and currency controls.
- EU EBA suspension
- The EU suspended Myanmar's Everything But Arms (EBA) trade preferences in 2024 due to serious and systematic violations of human rights and labour rights. This removed the duty-free access that underpinned Myanmar's garment export competitiveness (Scalability score: 2).
- Business environment
- The military junta has destroyed the business environment. Rule of law has collapsed, contract enforcement is non-existent, foreign investment has fled, and the kyat has depreciated sharply. Ease of doing business score: 1. Sustainability score: 1 — no credible ESG framework operates under military rule.