Ponnagyun industrial zone project awaits approval from farmland committee: Arakan State minister

The military regime’s Arakan State Administration Council (ASAC) says every preparation has been made for implementation of the Ponnagyun industrial zone, which was first proposed some seven years ago.

By DMG 22 Nov 2022

DMG Newsroom
22 November 2022, Ponnagyun

The military regime’s Arakan State Administration Council (ASAC) says every preparation has been made for implementation of the Ponnagyun industrial zone, which was first proposed some seven years ago.

The ASAC’s junta-appointed economic minister, U San Shwe Maung, told DMG that only approval from the Central Farmland Management Committee (CFMC) is needed to get the project started.

“We have a developer that is ready to start construction. But the project area includes farmland, and we have therefore sought approval from the CFMC to allow us to use farmland for our purposes,” said the minister.

At a press conference in October of last year, the ASAC said it was pushing ahead with the industrial zone project as a priority to bring about regional development and create jobs for locals. More than a year later, there are no visible signs of progress.

Former Arakan State lawmaker U Aung Than Tin criticised the lengthy delay.

“The industrial zone is not a project proposed by a private business. It is a project of the Arakan State government, and has been approved by the parliament. There is no reason to take this long seeking permission from the central government,” he said.

The industrial zone project was first proposed in 2015, under the government of former President U Thein Sein. The project was approved by the Arakan State legislature in August 2016.

The National League for Democracy (NLD) government blamed its subsequent failure to implement the industrial zone project on what it said was a lack of investors.

Following the military coup in February 2021, the regime said it was pushing ahead with the Ponnagyun industrial zone project.

“It is good for locals if an industrial zone is implemented. We have no jobs now and are experiencing severe hardships,” said a Ponnagyun resident. “And travel restrictions are also making life more difficult. Things will still be tough as long as there is no stability. If there is stability, we can manage to make a living even if there is no industrial zone.”

Locals from several villages in Ponnagyun Township recently fled their homes amid rising military tensions and frequent clashes between the Myanmar military and the Arakan Army (AA).

It will be difficult to implement the industrial zone project in the current conflict environment, said U Aung Than Tin.

“Without foreign investment, development projects will not succeed. I don’t think this project will be successful if there is no political stability,” he said.

According to the regime, the industrial zone will include garment factories, food processing facilities, agricultural equipment manufacturing plants, pharmaceuticals makers and other value-added operations. The Ponnagyun industrial zone, if completed, will be the second largest in Arakan State, after only the China-back Kyaukphyu industrial zone.