A total of 215 state-owned enterprises (SOE) out of 288 proposed from 10 ministries were privatized in Myanmar as of January this year since the country began implementation of a plan of privatization in 1995, sources with the Ministry of National Planning and Economic Development said on Wednesday.

Of the enterprises auctioned to private entrepreneurs, 124 were previously owned by the Ministry of Information, standing as the majority of the SOE privatized as far as ministry is concerned, the sources said.

Other privatized SOE include 25 from the Ministry of Commerce and lesser number from the Ministries of Industry-1, Cooperatives, Hotels and Tourism and Forestry.

Besides, eight other SOEs were leased to the private sector in another form of privatization, said the sources, adding that 65 more SOE from these ministries remain to be privatized in the future.

According to earlier official reports, in June last year, the Myanmar government proposed 11 other factories under the Ministry of Industry-1 to run with the private sector on the basis of joint venture as a form of privatization.

These factories include textile, beer, cigarette, soft drink and ice, cosmetic, glass, paint, sewing and bicycle factories scattered in the areas of Yangon, Mandalay and Kyaukse respectively.

Myanmar has since January 1995 been implementing the privatization plan for its SOE including those nationalized in the 1960s in a bid to systematically turn them into more effective enterprises.

The plan, which has been implemented by the government-formed Privatization Commission, is carried out by auctioning and leasing or establishing joint ventures with local and foreign investors. These enterprises include textile factories, saw mills, oil mills, cinemas, hotels.

Meanwhile, Myanmar is also planning to privatize its largest state-run gold mine in Kawlin, northwestern Sagaing division, for more effective operation, disclosed the state-run Myanmar Mining Enterprise-2.

The 2.66-square-kilometer Kyaukpahtoe Gold Mine currently operating under the enterprise of the Ministry of Mines will be the first of its kind to be transferred to the local private sector, the sources said.

There are over 55,000 factories in Myanmar, of which over 53, 000 are private-run. In Yangon, more than 5,500 factories are under operation in 10 industrial zones out of 19 across the country.

Official statistics indicate that Myanmar's industrial sector contributed 17.5 percent to the gross domestic product (GDP) of the nation in the fiscal year of 2005-06.

Private sector's contribution to the industrial sector stood 92. 36 percent during the year, statistics also show.

Source: Xinhua