MYANMAR PADAUK TRADING CO.

, LTD

LOGISTICS, SUPPLY CHAIN AND EXPORT/ IMPORT

KNOWLEDGE SHARING

BY CHERRY HTUN (EX/IM DEPT:)

 Contents
• Logistics & Supply Chain
• Incoterms 2020
• Ex/Im Objective & Process
• MACCS process (Briefly)
• In fact how to compare your services or
your products
 What is Logistics & Supply Chain?

Logistics is the task of coordinating material flow and information flow across the supply
chain to meet end-customer needs.

A supply chain is the network of individuals, companies, resources, activities, and

technologies used to make and sell a product or service.

• Logistics is concerned with managing two key flows.

MATERIAL FLOW - The goal is continuous, synchronous flow

INFORMATION FLOW – of demand data from the end-customer back to purchasing and to
suppliers, and supply data from suppliers to the retailer, so that material flow can be planned and
controlled accurately.
DIFFERENCE LOGISTICS & SUPPLY CHAIN
THREE TYPES OF LOGISTICS & SUPPLY CHAIN
(INBOUND, INTERNAL, OUTBOUND)
INBOUND LOGISTICS
Differ of Inbound & Outbound
 4 PRIMARY MODE OF LOGISTICS

• The four primary modes of transportation in logistics are shipments by

truck, ship, train and plane — also known as
By Land (Truck, Train)
By Sea
By Air
INCOTERMS 2020
Any Mode of Transport
• EXW - Ex Works - Seller is only responsible for having the goods packed made available at the seller's
premises. The buyer bears the full risk and costs from there to the destination - including the loading of the
cargo.
• FCA - Free Carrier - Seller is only responsible for delivery to the named place. The seller is responsible for the
loading. Risk and cost are transferred to the buyer as soon as delivered at the named place. Unloading is the
buyer's responsibility.
• CPT - Carriage Paid To - Seller arranges the transportation and costs to the named destination. Risk is
transferred to the buyer once delivered at the first carrier.
• CIP - Carriage and Insurance Paid to - Seller arranges the transportation, costs, and insurance on behalf of the
buyer to the named place at the destination. Risk is transferred to the buyer once delivered at the first carrier. The
seller must obtain extensive insurance cover complying with insurance Cargo Clauses (A) or a similar clause in
the buyer's name.
• DAP - Delivered at Place - Seller delivers the goods to the agreed place at the destination. Seller assumes all
costs and risks until the goods are ready for unloading at the named place of destination.
• DPU - Delivered at Place Unloaded - Seller assumes all costs and risks until the goods are unloaded at the
agreed named place of destination. The buyer is responsible for import customs formalities.
• DDP - Delivery Duty Paid - Seller delivers goods to the agreed place destination. Seller assumes all costs -
including import formalities and risks until the goods are ready for unloading at named place of destination.

Sea and Inland Waterway Transport

• FAS - Free Alongside Ship - Seller is responsible for delivering goods at the port alongside the vessel. From this
point, onwards risk and cost transfer to the buyer.
• FOB - Free On Board - Seller is responsible for goods loaded onboard the vessel. Risk and cost are transferred
as soon as the goods have been loaded on board the vessel.
• CFR - Cost and Freight - Seller covers freight costs to the named port of destination or place. Risk is transferred
as soon as the goods have been loaded on board the vessel.
• CIF - Cost, Insurance, and Freight - Seller covers insurance and freight costs to the named port of destination
or place. Risk is transferred as soon as the goods have been loaded on board the vessel. Seller is required to
obtain the minimum insurance cover complying with Institute Cargo Clauses (C) in the buyer's name.
In fact to achieve objective
Documentation (Nay Pyi Daw)
- To know information are key
- To prepare in advance to avoid error
- To motivate & cooperate
- To build well relationship with OGA
- To alert for government sector changes

Customer Service (Yangon)

- To know documents are key
- To build the strong relationship with partners
- To collect accuracy data, goods nature from all source
- To keep confidential information by all partners
- To analysis market requirements and to share our services

Operation (Yangon)
- To know well prepare in advance &
relationships are the key
- To save Time
- To save Cost
- To proceed with Honesty
- To reduce problems & solving in time
 NPD Section
- License Applying
- Recommendation Applying (FDA, DISI)
LICENSE FDA
LICENSE – Export/ Import/ Transit/ Re Export
FDA – Food/ Supplement, Cosmetic, Drug & Medical
Device

DIC – Chemical (Industry Grade Chemical)

*** Prohibited, Restricted – NARCOTIC

DIC
 License Process
Step 1 (ONLINE)
• -Tradenet Account ဝင်ရန်။ User Name & PW
• -Data ြဖည့်
• -Document Attach
• -Preview
• -Online Fees
• -Submit

Step 2 (MANUAL)
• -Computer
• -Section PIC - ဦး/�ှိ - လက်/��န် - ဒု/��န-် ��န/် မ�း
• -Pass ြဖစ်လ�င် ေကာ်မတီပါ။ / Pass မြဖစ်လ�င် T/D ကျ

Step 3 (ONLINE)
• -ေကာ်မတီပါ�ပီးလ�င် ခွငြ့် ပုေကာ်မတီေရာက်လ�င် IL approve ကျ
• -Make Payment IL Fees
TURNDOWN - sample
 FDA
FOOD & SUPPLEMENT
IR (Import Recommendation)
LICENSE
IMPORT
IHC (Import Health Certificate)

COSMETIC/ MEDICAL DEVICE

IR
LICENSE
IMPORT

DRUG
DRC (Drug Registration Certificate)
LICENSE
IMPORT
DIAC (Drug Importation Approval Certificate)
 DIC – CHEMICAL Process
• LAB – SAMPLE (before shipment) – Dept. of Research & Innovation (Ministry of Science&
Technology)
• RECOMMENDATION – Dept. of Industrial Collaboration (Ministry of Industry)
• IMPORT LICENSE
• IMPORT
• PRE INSPECTION
• LAB – SAMPLE with customs seal (After inspection)
• CARGO RELEASE
CHEMICAL INSPECTION
 Dangerous Goods (DG cargo)
• DG Cargoes means “Dangerous Goods” that often called hazardous materials in
the USA.
• It may be pure chemicals, mixtures of substances, manufactured products or
articles which can pose a risk to people, animals or the environment if not
properly handled in use or in transport.

Class (1) - Explosive (ေပါက်ကွဲေစတတ်ေသာပစ�ည်းများ)

Class (2) - Gases (ဓါတ်ေငွ�များ)
Class (3) - Flammable Liquids (မီးေလာင်လွယ်ေသာ အရည်များ)
Class (4) - Flammable Solids (မီးေလာင်လွယ်ေသာ အစိုငအ် ခဲများ)
Class (5) - Oxidizing Substances (မီးေလာင်မ�ကို အားေပးေသာ ပစ�ည်းများ)
Class (6) - Poisonous (Toxic) and Infectious Substances
(အဆိပ်အေတာက်�င ှ ့် ကူးစက်ေရာဂါ ြဖစ်ေစ�ိငု ေ
် သာ ပစ�ည်းများ)
Class (7) - Radioactive Substances (ေရဒီယိုသတ�ိ�ကပစ�ည်းများ)
Class (8) - Corrosives (ေလာင်စားေစတတ်ေသာ ပစ�ည်းများ)
Class (9) - Miscellaneous Dangerous Substances
(အေထွေထွ အ��ရာယ်�ိှ ပစ�ည်းများ)
***MSDS – MATERIAL SAFETY DATA SHEET
 CUSTOMER SERVICE
(Documentation)

ESTIMATE COST SHIPPING PASS DOC/ INFO TO

INSTRUCTION OTHER SECTION

•Bill of Lading •Deal for IL/ EL

•Cargo Name •Country Origin •Deal for Recom
•Tax •Insurance •Invoice/ Packing
•IL or NIL •Label & Name Plate List/ Required doc:
•Other Recom •Stuffing Process that to do clearance
Requirement by customs
•Exemption •Trader Needs &
Wants
Operation Section Process

ETA CHECKING
TRACE CTNR TILL
BEFORE
PORT CLEARNCE TO CUSTOMER
CUSTOMS WAREHOUSE
CLEARANCE

INFORM TO
CAR OFFER DOCUMENTATION
AGENT OFFER SITUATION FOR
CTNR RELEASE

CUSTOMS HOUSE OPERATION

PROCESS BACK DUTY & PO COSTING & KEEP
UP FILE
 What is MACCS?
• MACCS means “Myanmar Automated Cargo Clearance
System”.

• Intends to be perfectly supporting for trade logistics between

the governments and private sectors.

• MACCS can control not only customs process but also the
cargo maintenance and cargo information well.
- Speeding-up Trade Logistics
- Ensuring Safety
- Optimization of Business
- Appropriate tax Collection
 What can MACCS do?
Quick - Support function on Import/ Export declaration
- Automatic check of declaration contents
Response - Automatic calculation of tax, examination
- E payment

- Share and Re-use of Cargo Information

Link - Cargo control in Customs Area
(Cargo & Clearance) - Tracking and reference of Cargo Information

MACCS’s
Functions National Single
-
-
System Cooperation with MOC
Cooperation of test application with OGA (Other
Window Government’s Agencies)

- Importer/ Exporter Management

Risk - Selectivity Criteria Management
- Analyzing and utilizing information accumulated in
Management MCIS (Myanmar Customs Intelligences Systems)
 MACCS & Cargo Information Process
Cargo Information Database :
- Enable re-use of cargo information.
- Prevent miss-input by re-input
We need to give or submit to MACCS :
Customs Brokers Customs
Carrier CY, CFS, Warehouse - Examination
- Import Declaration
- Manifest - Carry in (PKI) Completion
(IDC)
(MFR/ DMF) - Carry Out (CYO) - Release order

We will receive from MACCS :

Customs
Carrier CY, CFS, Warehouse Customs Brokers - Ex/Im Record
- Cargo information - Release order - Release order - Ex/Importer
- Cargo information info:

All cargo information can track and take reference by broker and Exporter/ Importer. (ICG)
INSPECTION CARGO & PHOTO
ISO OBJECTIVE
 Responsibilities

Procurement
Right products
Right quality
Right quantity
Right place (From/ To)
Right Time (From/ To)
Decision for shipping schedule

MP Trading (As Service)

Labelling (To be match as policy)
Shipping Documents
Shipping Inquiry (Based on customer's Sales Contracts) FOB, CIF
Shipping schedule
Cargo ready to release
Cargo delivery to warehouse
What kinds of facts you have to compare your service or your products
based on “COMPETING THROUGH LOGISTICS?

There are 3 ways/ 3 objective to compare your service or your products competing
through logistics.
1) Hard Objective
2) Soft Objective
3) Supportive Capabilities

HARD OBJECTIVE (Easy to measure)

• - Quality
• - Time
• - Cost
SOFT OBJECTIVE (Need to be measure in different way to hard objectives, such as through
customer attitude)
• - Confidence/ Skill : queries answered promptly, courteously and efficiently.
• - Security/ Confidential : customer’s information and property treated in a confidential and
secure manner.
SUPPORTIVE CAPABILITIES
• - Key to creating logistics advantage in the marketplace