Yangon – All farmland and grazing land included in the 4,000 acres allocated for the newly designated Kyauk Phyu Sepcial Economic Zone will be compensated accordingly to international rules, said U Myint Thein, Deputy Minister for Ministry of Rail Transportation and Chairperson of the Kyauk Phyu SEZ Management Committee.
Although the SEZ was initially planned as a 1,000 acre site, unexpected terrain changes after the surveys forced it to relocate. The new site will have an area of 4,000 acre and will include only a little farmland and grazing land. No village will be included.
“The sea port of the previous site is just south of the naval base. West of the port lies Thit Taw village tract. Next to it is a mud volcano. So we moved the site backwards to a safe enough location. No village is included in the new location. We avoid it intentionally,” said the deputy minister.
The previous site contained a mud volcano and two villages. The new site might include a little agricultural land and grazing land.
Members of the Kyauk Phyu SEZ Management Committee did not provide the exact area of agricultural land and grazing land included since the site survey is still in process. However, the land included in the special economic zone will be compensated in accordance with international standards. In addition to financial compensation, corporate social responsibility projects will be implemented for the livelihood of the local community, according to the committee members.
“We will learn from past mistakes and avoid those mistakes in the Kyauk Phyu SEZ. So we are trying our best to be transparent in terms of this project,” said U Aung Kyaw Than, Joint Secretary of Kyauk Phyu SEZ’s Bid Evaluation and Awarding Committee.
In order to implement the Kyauk Phyu project in 2015, a marketing road show will be held in Singapore on July 7th, and on July 14th, the management will invite tenders from global investors.
Three international investors will be selected for the projects of deep-sea port construction, industrial zone implementation, and infrastructure building.
The selection process for the three investors is expected to finalize by the end of December, and the projects are to kick off in March 2015.
Kyauk Phyu Special Economic Zone will become an economic hub linking China, India, and Southeast Asia. After full implementation, the revenue from the SEZ will occupy 80 percent of the country’s GDP, CPG Corporation, a consultant company for the Kyauk Phyu SEZ project, estimates.