BurmaNet News, July 3-6, 2010

[Editor]

July 3-6, 2010 Issue #3994

INSIDE BURMA
AFP: Energy giants ‘fund Burma’s nuclear drive’
SHAN: Burma Army’s newly installed radars are 1L117
DVB: Burmese army targets ‘dispirited’ youths
DVB: Suu Kyi’s party takes to the country
Mizzima: NLD branches join row over party emblem

BUSINESS / TRADE
DVB: Economic growth ‘to accelerate’ in 2010-11
Xinhua: More private companies cooperate with Myanmar gov't in mineral
extraction
Myanmar Times: Timber industry body works to counter falling teak output

HEALTH / AIDS
Irrawaddy: Deadly plague found in Burma

DRUGS
Thai Press Reports: Many problems remain unsolved in Golden Triangle drug
trade

REGIONAL
Irrawaddy: In China, Junta Secretary 1 vows 'democracy, stability and
development'
Deccan Herald News: Remains of a lost kingdom (Thibaw the last king of Burma)

INTERNATIONAL
Irrawaddy: Clinton criticizes Burma at democracy conference

OPINION / OTHER
Jakarta Post: Challenge impunity in Myanmar
The National: Ethnic tensions grow in Myanmar - Sarah Birke
Irrawaddy: House odds stacked in favor of the junta - Yeni

____________________________________
INSIDE BURMA

July 6, Agence France-Press
Energy giants ‘fund Burma’s nuclear drive’

Burma’s military rulers are using gas revenue from US and French energy
giants Chevron and Total to fund an illegal bid to build nuclear weapons,
human rights monitors said in a report on Monday.

Burma’s Yadana gas pipeline, run by the two companies along with Thai firm
PTTEP, made billions of dollars for the military leaders, the Paris-based
group EarthRights International said, citing data from the firms.

The NGO also branded the companies complicit in human rights abuses such
as targeted killings and forced labour at the pipeline.

It said Chevron, Total and PTTEP have generated US$9 billion dollars from
Burma’s Yadana gas pipeline since 1998, more than half of which has gone
straight to the ruling junta.

“The companies are financing the world’s newest nuclear threat with
multi-billion dollar payments,” EarthRights said in a statement. “The
funds have enabled the country’s autocratic junta to maintain power and
pursue an expensive, illegal nuclear weapons programme.”

The US has voiced concerns about Burma’s cooperation with alleged nuclear
proliferator North Korea after DVB said Burma was trying to build an
atomic bomb. The Burmese government last month dismissed the claims as
“baseless.”

EarthRights said its investigations showed gas revenue had found its way
into offshore bank accounts and alleged they were destined to buy arms and
nuclear technology.

Citing testimony by residents and refugees, also alleged: “The oil
companies are complicit in targeted killings of two ethnic Mon villagers
and in ongoing forced labour. These violent abuses were committed by Burma
army soldiers providing security for the companies and the pipeline within
the last year.”

EarthRights demanded the companies publish details of their payments to
Burma’s leaders. “Now is the time for the international community to focus
on the Burmese

generals’ nerve center, its gas revenues,” it said.

The report included responses by Chevron and Total, which said they
favoured transparency but were prevented from publishing certain details.

“Chevron respects human rights in the communities and countries where we

operate,” the US company’s response said. “Chevron’s subsidiary in Myanmar
[Burma] conducts its business consistent with US laws and regulations,” it
added, but said “contractual obligations” prevented it from publishing
details of payments.

EarthRights cited a statement by Total which said the company supported
transparency and human rights but was bound to respect Burma’s will when
it came to keeping payments confidential.

“Total respects state sovereignty and refrains from intervening in the
political process,” said a statement, cited in EarthRights’ report. “As a
result, Total cannot disclose any financial or contractual information if
the host country is opposed to such disclosure.”

____________________________________

July 6, Shan Herald Agency for News
Burma Army’s newly installed radars are 1L117 - Hseng Khio Fah

Most of the ruling Burma Army radar stations are said to be installed with
Russian-made 1L117s, according to Thai Burma watchers.

So far Burma has 7 radar units that have been set up in different areas in
the country. The radar stations are located at:

1. Loi Mwe, 20 miles south of Shan State East’s Kengtung under Triangle
Region Command and 82 miles north of Maesai, Thailand
2. Nat Yegan Taung in Mandalay Division, Central Region Command
3. Tada Oo in Mandalay Division, Central Region Command
4. Marit (Myeik) in Tanintharyi or Tenasserim Division, Coastal Region
Command
5. Ngwe Hsaung in Irrawaddy Division, Coastal Region Command
6. Taung Nyo in Pyinmana, Naypyitaw Region Command
7. Duwun in Moehnyin, Kachin state, Northern Region Command

“Duwun is the latest one,” said a source.

According to him, the radar base at Nat Yegan Taung has to use electricity
produced by the hydropower plants for generating. “They just finished the
construction of the hydropower plant last month.”

The 1L117 radar provides a maximum range of 350 km (218.75 miles).
Besides, it has the advantages of “low cost, high reliability, simplicity
and friendliness of operation control” plus “Built-in identification
‘friend or foe’ (IFF) interrogator,” according to its catalogue.

The radar sets were transferred to the Army in Rangoon’s Thilawa dockyard
in February 2009.

Another border watcher commented that these radar systems are to be used
to deter external threats and to scare ethnic groups,” he said.

In addition, the Burma Army has also put to use the UTM (Universal
Transverse Mercator) maps which allow easy and quick navigation
calculations, possibly expediting the movement of junta troops and has
been training in another Russian-made lgla MANPADS (Man portable Air
Defense System), according to SHAN reports in January 2009.

____________________________________


July 6, Democratic Voice of Burma
Burmese army targets ‘dispirited’ youths - Thurein Soe

Hundreds of children, some as young as 13, are being coerced into military
training in Burma’s northeastern Shan state.

One 16-year-old said that around 260 youths in the border town of
Tachilek, close to Mae Sai in Thailand, were enrolled in training in
mid-June. Authorities reportedly told them that they would be trained in
fire-fighting.

“For the first two days of the training, we were actually taught the
basics on fire-fighting. But over the next days, they brought guns to the
training and taught us how to assemble and dissemble them,” the boy told
DVB.

Locals in Tachilek speculated that the government could be attempting to
persuade dispirited youths in the town who failed high school exams last
year to join the army.

The trainees were given an allowance of between 2000 and 3000 kyat (US$2
to US$3) allowance depending on which ward in Tachilek they came from.
Sources told DVB some of the youths, after learning that the training was
for military purposes, went into hiding.

Burma’s child soldier issue was raised at the UN last week by the
secretary general’s special representative for children in armed conflict.
Radhika Coomaraswamy urged the Burmese government to allow the UN access
to armed rebel groups thought to use child soldiers.

But the Burmese junta is also thought to be one of the world’s leading
recruiters of child soldiers. A Human Rights Watch report in 2002 claimed
that there could be as many as 70,000 child soldiers within the Burmese
army, despite it being illegal under domestic law.

Their use is symptomatic of the government’s aggressive expansion of its
army, which is now thought to number around 500,000, or nearly one soldier
for every 10 people in the country. Battalion commanders are ordered to
fulfil quotas of troop numbers and are rewarded with food or money when
this is achieved, hence the ongoing forced recruitment of children.

____________________________________

July 6, Democratic Voice of Burma
Suu Kyi’s party takes to the country - Khin Hnin Htet

Celebrated elders of the now-defunct National League for Democracy (NLD)
are touring Burma to meet with regional party members and visit families
of iconic imprisoned activists.

Two of the group’s senior members, Win Tin and Tin Oo, who have both spent
lengthy periods in detention, last week met with the families of Min Ko
Naing and Ko Ko Gyi. The two are sentenced to 65 years in prison each for
their role in the September 2007 monk-led uprising.

“[Tin Oo said] he had wanted to visit us since he was released from
detention but didn’t get a chance,” said Min Ko Naing’s aunt. “We were
happy – the Burmese [have a tradition of] supporting and helping one
another.”

Min Ko Naing, one of Burma’s most renowned political activists, is being
held in Keng Tung prison in northeastern Shan state, where weather
conditions can be harsh. “He gets hypertension when he is stressed,” said
the aunt. “[In a letter] a while ago, he said it was getting cold there.”

The brother of Ko Ko Gyi, Aung Tun, said that his situation was similar in
Mai Sat prison in Shan state, close to the border with China: “Now it is
rainy season so it’s not easy to visit him. It’s really cold there – the
temperature reaches to about two degrees Celsius in the winter.”

Win Tin and Tin Oo, who led a 15-member delegation, also met with the
family of imprisoned comedian, Zarganar, who is serving a 35-year
sentence. Win Tin said that the elections this year, which the NLD
boycotted, may usher in a “more open” political environment which could
see the release of political prisoners.

Since its legal dissolution as a political party in May this year, the NLD
has said it will focus more on social work after two decades of vying for
political space in Burma. The current ‘tour’ to more remote areas of Burma
appears to be the first step in connecting with its countrywide support
base after years of centralised power in Rangoon.

“[We were told] that it’s not true that the NLD doesn’t exist anymore,”
said Than Ngwe, NLD member in Shan state’s Taunggyi, who met with several
Central Executive Committee (CEC) members. “However, instead of just
focusing on social work, we will mix social work and politics.”

Additional reporting by Yee May Aung

____________________________________

July 3, Mizzima News
NLD branches join row over party emblem

New Delhi– At least eight branches of the National League for Democracy
have joined the row with splinter group, the National Democratic Force,
over its use of a symbol that before the 1990 elections had become
synonymous with the party led by opposition leader Aung San Suu Kyi.

NLD members from Rangoon, Mandalay, Magway, Sagaing, Pegu and Irrawaddy
divisions and Kachin and Karen states and MPs elected from these
constituencies in 1990 were planning to send an objection letter to the
Union Election Commission (UEC) over NDF members’ use of bamboo hats
during campaigning, an MP said.

Farmers’ traditional hats became a compelling pro-democracy icon of
solidarity with all levels of society after NLD members wore them during
campaigning ahead of the 1990 elections, which the party won by a
landslide. The junta rejected the results of the election and refused to
relinquish power to the people.

However, the NDF, formed from senior NLD members who broke away from the
party over its boycott of this year’s elections, has started using the
hats, which has led to further aggravation between the former colleagues,
with the suggestions that the NDF is trading on NLD popularity.

“Using the bamboo hat is an allusion to the people of a connection to the
NLD as people know the NLD as Daw Aung San Suu Kyi’s party and the ‘bamboo
hat’ party,” Hlaing Aye, MP-elect from Pakokku No. 1 constituency in
Magway Division, told Mizzima. “We cannot accept [the NDF] using our
symbol as their party emblem and logo. We shall send our objection to the
UEC”.

MPs-elect Myat Hla from Pegu, Aung Soe Myint from the city of Taungoo and
Nan Khin Htwe Myint from Pa-an Township will also join the protest, a
party source said.

The political group must send its objection letter against the name, flag
and emblem of the NDF to the commission before Tuesday. The Political
Parties Registration Law states that an objection can be lodged against
the fraudulent imitation of other parties’ flags or emblems. NLD party
leaders said on Thursday that they would abide the commission’s decision.

NLD responded to unfair electoral laws by not re-registering the party
with the commission, which effectively meant they were boycotting the
upcoming election.

Similar rows over party emblems have occurred recently and the commission
has decided in favour of those who had objected. The 88 Generation
Students and Youths (Union of Myanmar) party and the Union of Myanmar
Federation of National Politics (UMFNP), both believed to have close links
to the military junta, tried to use the fighting peacock, which had
originally been the symbol of the All Burma Federation of Student Unions.
Writers, journalists and artists objected to the symbol’s use and the
parties had to modify their logos and emblem after the commission’s
decision.

____________________________________
BUSINESS / TRADE

July 6, Democratic Voice of Burma
Economic growth ‘to accelerate’ in 2010-11 - Francis Wade

Investment in Burma’s energy sectors will speed up economic growth in the
coming year although the ruling junta will continue to run wide fiscal
deficits, a report states.

Discounting the expansion of the gas and hydropower industries, the
Burmese economy will remain weak and growth “sluggish” in 2010-11, the
monthly Economist Intelligence Unit (EIU) report says.

It warned however that natural gas production, which is rapidly becoming
the cornerstone of Burma’s export sector, has plateaued and won’t record
strong growth until new fields come on stream, which likely won’t be until
2013 at the earliest. Burma is currently embroiled in a dispute with
Bangladesh over ownership of offshore gas blocks that isn’t likely to be
resolved until 2014, while a lucrative gas deal with China won’t become
functional until 2012.

Burma remains one of the world’s least developed countries, and was last
year ranked 138 out of 182 countries in the UN’s Human Development Index.
The UN Development Programme said last month that Burma would struggle to
meet any of the Millennium Development Goals by 2015.

Its slow growth has been made starker by the accelerating economies of
neighbouring China, Thailand and India, which are now pouring money into
Burma’s energy sector.

Regardless of new investments, however, its projected GDP growth rate for
next year is less than one percent, a figure more akin to the world’s most
developed countries, and nothing close to the nine percent and six percent
respectively for China and India, two emerging economies.

If the status quo remains in Burma, increasing foreign investment will do
little to benefit the country as a whole: decades of military rule and
economic mismanagement means that little wealth has reached Burmese people
– the average annual wage stands at around US$220, and the government
spends 1.8 percent of its budget on healthcare, compared to an average of
6.4 percent across Southeast Asia.

The report also pointed a figure at the government’s myopic focus on
channeling money into strengthening the military, as well as the billions
of dollars that have gone into building the new capital, Naypyidaw.

There was a small bit of good news for the country’s “buoyant” agriculture
sector, which was hit hard by cyclone Nargis in May 2008 but “rebounded in
2009”. The report warned however that ongoing lack of government
investment and access to equipment means that it will “continue to
struggle to grow rapidly”. Moreover, the effects of foreign aid that
contributed to its revitalisation could taper off in the coming years.

The ruling junta has announced it will hold elections later this year, and
analysts speculate that a new pseudo-civilian government will take the
reins, with many of the old guard of the military holding onto key
positions.

US and EU sanctions on the country look set to remain in place in the near
future in an attempt to further isolate the economy, although their impact
has been dampened by ongoing trade with Southeast Asian countries. One of
the few tangible impacts of sanctions has been on the country’s once-rich
gem sector, which has dwindled in tandem with a tightening boycott and
lacklustre global demand for precious stones.

The EIU report said however that a replenished regional demand for timber
and pulses will strengthen that area of the market, despite warnings from
environment groups that Burma is suffering from alarming rates of
deforestation.

____________________________________

July 6, Xinhua General News Service
Roundup: More private companies cooperate with Myanmar gov't in mineral
extraction - Feng Yingqiu

One more private mining company, Top- 10 Stars Manufacturing Co Ltd, has
signed a profit-sharing contract with the State Mining Enterprise-1 to
jointly mine lead, standing the third cooperating with the government in
mineral extraction so far during this year.

Lead will be extracted from Bawsai Mines, Kalaw township in Shan State
(South), according to Tuesday's official daily New Light of Myanmar.

In the beginning of this year, two private companies, DELCO and Ngwe
Chinthae, had signed profit-sharing contracts respectively with the State
Mining Enterprise-2 and -3 to cooperate in mineral extraction.

The prior was on apportionment of tin and tungsten product quotas for the
Kanpauk Mine, while the latter was on production of granite on commercial
scale in Kyettaikkwin region.

Myanmar has been encouraging local and foreign investment in mining of
such minerals as gold, gems, copper, lead, zinc and tin as well as coal.

Such private sector's involvement in mineral exploration work increased in
Myanmar in 2009 following privatization of many mining blocks in the
country during the year.

The local and foreign companies undertaking such work significantly
include Asia World company working in Baw Sai mining block, Lin Pyae
company in Yadanar Theingi, Myanmar Ivanhoe company in Monywa, India's
Delco in Hinda and China's Non-Ferroutl Metallic company and Kenbo in Chin
state.

As for gold exploration activities, some mining blocks were granted with
private companies under a lease term with the state enterprise for at
least three years and 35 percent of the gold output from the blocks is set
to be shared by the state, while the rest is allowed to be sold by the
private investor freely in domestic market.

So far, 380 small blocks for gold mining have already been granted to the
private entrepreneurs and most of the gold are produced from those blocks
in Sagaing and Mandalay divisions, the Myanmar mining authorities said,
adding that besides the two divisions, other small blocks have also been
under exploration in Kachin, Mon and Bago states and divisions.

Over the past two years of 2008 and 2009, Myanmar granted some five blocks
in Shan state's Mongshu and Namhyar, Kachin state's Moenyin and Sagaing
division's Mawhan Mawlu and Mandalay division' s Mogok for domestic
investors to carry out gem and jade mining work on competitive bidding
basis.

Earlier in 2006 and 2007, over 500 gems and jade mining blocks were
allotted for such undertakings.

With each block measuring one acre (4,000 square-meters), these blocks
were normally leased on a three-year term.

For the development of gem industry, Myanmar has been holding gem shows
annually starting 1964 and introducing the mid-year one since 1992 and the
special one since 2004. On each occasion, the country's quality gems,
jade, pearl and jewelry worth of millions of dollars were put on sale
mainly through competitive bidding.

In the 47th annual Myanmar gems emporium held in Yangon in March this
year, a total of 7,000 jade lots along with other gems, jewelry and pearl
lots were displayed, attracting about 6,000 foreign gem merchants.

A total of 400 million euros were earned from the emporium.

Myanmar, a well-known producer of gems in the world, boasts ruby, diamond,
cat's eye, emerald, topaz, pearl, sapphire, coral and a variety of garnet
tinged with yellow.

The authorities designated the proceeds from the sale of gems at these
emporiums as legal export earning to encourage the private sector in the
development of the gem industry. The government's Central Statistical
Organization revealed that in the fiscal year 2009-10, Myanmar so far
produced over 22,600 tons of jade and 9.5 million carats of gems which
include ruby, sapphire, spinel and peridot, as well as 229,951 mommis
(862.3 kilograms) of pearl.

Meanwhile, in 2008, Myanmar discovered a new large coal mine in northern
part of the country's Shan state and mining of the mineral has been sought
with the local private company of AAA.

The newly-found coal mine in Mongma area holds the highest deposit of
quality coal and it is estimated to yield thousands of tons of the mineral
annually to help meet a domestic demand for at least 30 years, then report
said.

There are about 10 coal mines in the northeastern state in operation.

Statistics show that with a total of 82 coal mining blocks in the whole
country, Myanmar produced 233,983 tons of coal in the fiscal year 2009-10.

Coal, a non-metallic mineral, is also among minerals being explored and
mined by foreign companies investing in Myanmar.

Since 1998, Indonesian and Chinese companies have been engaged in
prospecting, exploration and feasibility study for the development of coal
resources in Myanmar's southern Tanintharyi division and northern Kachin
state.

Meanwhile, by using coal for the first time mined in the Shan state,
Myanmar has planned to build its first coal-burning electric power
station.

Official statistics showed that foreign contracted investment in Myanmar's
mining sector has so far amounted to about 1.395 billion U.S. dollars in
60 projects since the country opened to such investment in late 1988,
accounting for 8 percent of the total foreign investment and standing as
the fourth largest sectorally.

Foreign firms engaged in mineral exploration in Myanmar include those from
Australia, China, Japan, Malaysia, Singapore, Thailand, the United States
and Russia.

____________________________________

July 5 - 11, Myanmar Times
Timber industry body works to counter falling teak output - Ye Lwin

The recession-hit timber industry is struggling, as consumers spend less
on teak and other high-end hardwoods, industry sources say.

But though the industry faces many problems, longer-term prospects are not
all bleak, as timber merchants look to deals with ASEAN partners.

The volume of teak and other hardwoods logged during the 2009-2010
financial year declined by comparison with the previous year from 3.45
million cubic metres to 3.18 million cubic metres, according to statistics
from the Ministry of Forestry.

“To make matters worse, EU and US economic sanctions also act as a trade
barrier to our industry,” said an official from the Myanmar Timber
Merchants Association (MTMA).

Teak production has fallen by more than 20 percent, from 700,000 cubic
meters in 2008-2009 to 540,000 cubic meters in 2009-2010.

Economic recovery in the developed world seems to be concentrated on the
financial sector, leaving prospects for the high-end timber market in
doubt, said U Win Naing, deputy general manager of Myanma Timber
Enterprise (MTE), as customers seel cheaper products.

During the first week of May, more than 40 factories participated in a
Myanmar furniture fair, displaying products made from alternative
hardwoods costing less than teak such as In, Kanyin, Htaukkyant, Ingyin
and Thityar.

“We hope hardwoods other than teak will have better prospects in the world
market,” said an MTMA official.

But trade sanctions and other restrictive measures adopted by some
developed countries continue to block the Myanmar timber industry’s access
to world consumers, U Win Naing told the 6th ASEAN Forest Products
Industry Club (AFPIC) meeting last month.

Timber exports are a major contributor to the country’s economy. But
despite its long history, the condition of the industry is still somewhat
unsatisfactory because of a lack of technology, shortages of skilled
workers and inadequate capital for development, he said.

“These are the weak points of the timber industry,” U Win Naing said.

At the same time there are many advantages that could contribute to the
development of the industry. “The availability of raw materials, land for
forest plantation and a strong labour market are encouraging factors,” he
said.

“The establishment of new financial institutions, privatisation programs
and strong consumption in India and China are also advantages for the
timber sector,” U Win Naing said.

Investment in Myanmar’s timber industry represented a good opportunity for
foreign companies. Myanmar is aiming to gradually reduce the export of
timber in log form in order to develop downstream processing within the
country, he said, inviting investment from ASEAN members in forest
plantation and downstream processing.

An official from the MTMA said wood-based products manufacturers in ASEAN
should consider outsourcing programs that would lead to mutual benefits.

This could appeal to ASEAN members such as Malaysia and Vietnam, which are
making advances in the timber industry and could benefit from Myanmar
labour to build capacity under an appropriate bilateral agreement, he
said.

____________________________________
HEALTH / AIDS

July 5, Irrawaddy
Deadly plague found in Burma - Aung Thet Wine

Rangoon — An unspecified number of Rangoon residents have been diagnosed
with plague, a contagious disease primarily transmitted by rodents (mostly
rats), according to the Burmese Ministry of Health (MOH) in Naypyidaw.

An epidemiologist at MOH who asked to remain anonymous told The Irrawaddy
that some people infected with plague were found in Rangoon in June but
all survived after treatment by the MOH.

“It was the first time in decades that we found plague in Rangoon,” said
the MOH official.

The MOH has yet to make a public statement regarding the diagnosis of plague.

A Rangoon medical students said it is not appropriate that the regime has
covered up information about the disease and that it should be open about
health-related issues that directly affect the public.

“Having no openness in health issues means we are probably putting the
lives of people at risk,” said the student at the University of Medicine
in Rangoon.

A medical specialist in Rangoon, however, said that the plague nowadays is
not fatal and can be treated successfully if diagnosed early.

The MOH and other ministries have developed and implemented a project to
eradicate rats for the prevention of plague, according to a MOH official
in Naypyidaw.

“Rat eradication is secretly going on in different departments,” he said.

An official from the Rangoon Municipal Committee said it had formed
special task forces for rat eradication and has killed tens of thousands
of rats on a daily basis.

The MOH reportedly has determined through laboratory experiments that rats
migrating to the south from Naypyidaw are carrying bacteria for contagious
disease such as the plague, and it was developing a treatment program
should the disease spread.

A plague awareness program has started among government staff in
Naypyidaw, according to one source.

State-run newspapers recently warned that the plague can be transmitted to
humans by fleas, but it failed to mention that the disease had already
infected people in Rangoon.

An official with the Livestock Breeding and Veterinary Department (LBVD)
said people who find rat corpses should take them to the nearest LBVD
department for examination .

Details of plague cases in Burma can be found in the WHO report on Global
Surveillance of Epidemic-prone Infectious Diseases.

____________________________________
DRUGS

July 6, Thai Press Reports
Many problems remain unsolved in Golden Triangle drug trade

Call it a desperate public relations stunt, but since 2005 the United Wa
State Army (UWSA) - a 30,000-strong ethnic army that operates from the
yanmar (Burmese) sector of the Golden Triangle - has been holding "drug
bonfires" to support the International Day Against Drug Abuse and Illicit
Trafficking.

The irony of this is that the UWSA has been dubbed the world's largest
armed drug trafficking gang, and a number of its commanders are wanted by
Thai and US law enforcement agencies for heroin trafficking and money
laundering.

Unfortunately for this outfit that desperately wants to convince the world
that it has kicked the habit, such PR stunts haven't paid off. To make
things worse, the military government of Burma, a UWSA ally since 1989,
has not been very helpful. The Burmese junta's refusal to join the Wa PR
stunt has nothing to do with the argument that the UWSA effort is a sham.
If anything, it's more to do with the fact that the two sides have been at
odds ever since the ouster in October 2004 of General Khin Nyunt from the
junta's top decision-making body, the State Peace and Development Council
(SPDC).

Khin Nyunt was the then Burmese security tsar, who orchestrated a
ceasefire with the UWSA in 1989 in exchange for limited Wa autonomy in the
so-called Special Region 2 along the Sino-Burma border. Within a decade,
the UWSA extended its military and administrative reach to areas along the
northern Thai border after defeating rival opium warlord Khun Sa and his
Mong Tai Army, in 1996.

Since Khin Nyunt's fall from grace, the 1989 ceasefire has been very
shaky. The SPDC wants full control of all the Special Regions they granted
to ceasefire groups, and have told the Wa and other ethnic armies to
surrender their weapons. The idea is to turn them into some sort of border
security regiment under the command of the country's regular army.

So far the SPDC has taken military action against the Kokang Chinese - a
similar outfit to the UWSA but much smaller in terms of troop strength -
and twisted the arms of several smaller groups to surrender in a series of
staged ceremonies.

The Golden Triangle has never been for the faint-hearted. Ethnic armies,
opium warlords and drug cartels play for keeps in this rugged area that
generates heroin and floods the world with millions of methamphetamine
pills on a weekly basis.

The Burmese junta bears much of the responsibility for the situation,
having adopted a laissez faire policy over the past two decades rather
than meaningful efforts to change the status quo.

Groups like the UWSA have used this time to strengthen themselves
strategically and formulate their own foreign policy, hoping to legitimise
themselves in the international community. UWSA chairman Bao Yuxiang has
called on the UN and other international agencies to help with crop
substitution, while the junta puts the plight of poor opium farmers within
its own policy formulation.

But drugs and insurgency in the Golden Triangle are two sides of the same
coin. The drug equation cannot be tackled without addressing the political
factors - which are the grievances of the ethnic armies. Moreover, the
Burmese leaders thought the UWSA could become a trump card against the
Thai government, permitting the Wa to function as a buffer along the
border. Given the historical mistrust between the two countries, such a
move was understandable.

While the Burmese actions are strategic in nature, few in the
international community find justification for the position taken by
Thailand. The Thaksin administration in late 2003 was suckered into
donating Bt20 million to a half-baked alternative crop substitution
project, the Yong Kha Development Project, to be carried out in a
UWSA-controlled area near the Thai border. Some said that Thaksin just
wanted to get closer to the Burmese junta for personal reasons, thus the
decision to co-sponsor this controversial initiative that did more in
terms of legitimising the UWSA than addressing the plight of poor Wa
farmers. Thaksin reached out to the Wa despite having publicly declared
war on Wei Hsueh-Kang, a UWSA commander wanted in the US and Thailand for
heroin trafficking. He had earlier vowed to take down Wei, dead or alive.
Moreover, Thai troops are known to have had regular shoot-outs with Wei's
men along the rugged border.

But even with Thai help, the Wa's chequered past could not be erased. Just
a year after the project began, the US Department of Justice, in January
2005, indicted eight UWSA leaders on new heroin trafficking charges, thus
putting the Wa's dream of international acceptance further on the back
burner.

The US indictments were a major embarrassment for Thaksin, who had earlier
given the UWSA the benefit of the doubt when he dispatched then Third Army
Region commander, Lt-General Picharnmate Muangmanee, to participate in the
opening ceremony for a Thai-funded school in Wa territory in December
2003.

For a brief moment at the opening ceremony of the Yong Kha Project in
2003, it looked as if things would change for the better in the region.
But nobody seriously believed this would last. After all, Thailand's
effort had more to do with whitewashing the world's largest
drug-trafficking army - and strengthening Thaksin's relations with the
junta - than the interests of the Wa people or any long-term peace
settlement.

Throughout the entire kiss-and-make-up episode between the Thais and the
Burmese, Wei and his gang continued to run their drug-funded businesses
through his associates in Burma, China and Thailand, while heroin and
methamphetamines coming out of clandestine laboratories in Wa-controlled
areas continued to flood world markets.

Today, a cloud of uncertainty hangs over Burma's sector of the Golden
Triangle and the future of the Wa's relationship with the Burmese junta.
And that future does not look good.

____________________________________
REGIONAL

July 6, Irrawaddy
In China, Junta Secretary 1 vows 'democracy, stability and development' -
Wai Moe

The Burmese junta's Secretary 1, Gen Tin Aung Myint Oo, told Chinese
officials he met with in Beijing on Monday that Napyidaw is “striving to
push forward democracy, national stability and development,” adding that
he appreciated China’s support for Burma, the Chinese media reported.

Li Changchun, the 5th ranked member of the Politburo Standing Committee of
the Communist Party of China (right), meets with Tin Aung Myint Oo, the
Burmese junta's secretary 1, in Beijing on July 5, 2010. (Photo: Xinhua)
According to the Xinhua news agency, Tin Aung Myint Oo’s comment came
during his meeting with Li Changchun, the 5th ranked member of the
Politburo Standing Committee of the Communist Party of China (CPC).

During the meeting, which highlighted the fact that the Burmese general’s
visit to China was focused on political issues between the two countries,
Li Changchun noted that Burma and China treated each other with “respect
and equality” in bilateral ties.

Tin Aung Myint Oo’s words are almost identical to those used by Chinese
Premier Wen Jiabao in October 2009, when he told Burmese Prime Minister
Thein Sein at the 15th annual summit of the Association of Southeast Asian
Nations in Hua Hin, Thailand, that Beijing hoped Burma “will achieve
stability, national reconciliation and development.”

Tin Aung Myint Oo, who is also Quartermaster General of the Tatmadaw
(Burmese armed forces), kicked off his China trip on Saturday, and Burma's
state-run New Light of Myanmar newspaper reported on Sunday that
junta-chief Snr-Gen Than Shwe, along with other top officials such as Vice
Snr-Gen Maung Aye, Gen Shwe Mann and Prime Minister Thein Sein, were
present to send him off.

According to the newspaper, Tin Aung Myint Oo and his delegation were
invited by Chinese Vice Premier Li Keqiang, who is also a member of the
ruling Chinese Communist Party's (CCP) Politburo Standing Committee. Li
Keqiang is ranked 7th in the Chinese ruling hierarchy, and observers have
tipped him as a possible successor of Wen Jiabao.

Tin Aung Myint Oo's visit to China sparked a rumor among Burmese
intellectuals in Rangoon that the junta decided to postpone the scheduled
elections. Observers say the rumor was fueled by reports that if the junta
shifts its election scheduled for this year, as secretary 1 of the junta,
Tin Aung Myint is supposed to inform China, the junta's closest ally.

The past two months have been a significantly busy period of diplomacy
between China and Burma, with officials from both nations making frequent
trips between Naypyidaw and Beijing. Burmese and Chinese official media
have reported that these trips are an attempt to boost bilateral ties to
mark the 60th anniversary of the Sino-Burmese relationship.

Tin Aung Myint Oo's visit marked the fifth occasion of bilateral talks
between Chinese and Burmese senior officials since the beginning of June,
and came only one week after a visit to Burma by Chinese Vice Premier Zhou
Tienong, who is also vice chairman of the Standing Committee of the
National People’s Congress and president of the Chinese Association for
International Understanding.

Zhou Tienong is not, however, a member of the ruling CPC. He is a member
of the Revolutionary Committee of the Chinese Kuomintang (RCCK), one of
eight non-communist parties in China.

During his visit to Burma, Zhou Tienong was believed to have discussed two
significant issues with Burmese officials, including Prime Minister Thein
Sein, who he met with on June 28 in Naypyidaw: Burma's 2010 elections and
ethnic issues along the Sino-Burmese border.

Wen Jiabao visited Burma on June 2-3, just a few days ahead of the 60th
anniversary. He also raised the issue of border stability with Than Shwe,
as well as other bilateral concerns and areas of mutual economic and
strategic interest.

Shortly after Wen Jiabao’s trip ended, Gen Fan Changlong, commander of the
Chinese People’s Liberation Army’s (PLA) Jinan military region in eastern
China, arrived in Burma for a five-day visit.

Gen Shwe Mann, the junta’s No. 3 and the joint chief of staff of the
Burmese Army, Navy and Air Force, met the PLA delegation in Naypyidaw on
June 8. Xinhua reported that the two generals exchanged views on matters
of common concern between the two countries.

During the same period, Burmese Foreign Minister Nyan Win visited Beijing
to attend a reception marking the 60th anniversary. Nyan Win also met with
his counterpart, Yang Jiechi, and briefed the Chinese foreign minister on
the preparatory work for Burma's general elections, according to the
Chinese Ministry of Foreign Affairs website.

____________________________________

July 4, Deccan Herald News
Remains of a lost kingdom (Thibaw the last king of Burma)

KDL Khan explores a forgotten segment of Burmese history, a crumbling
palace in Ratnagiri where the exiled King Thibaw spent his last years
longing for his empire.

KDL Khan explores a forgotten segment of Burmese history, a crumbling
palace in Ratnagiri where the exiled King Thibaw spent his last years
longing for his empire

Crumbling history Thibaw Palace is today just a sad reflection of its
youth.The year 2010 marks the 100th anniversary of the construction of the
famous Thibaw Palace, at Ratnagiri, 225 kilometers from Mumbai. This is
for all purposes, a segment of Burmese history that has found its home in
India. According to an agreement between   the governments of India and
Burma (now Myanmar) this structure will be maintained in memory of King
Thibaw of Burma (1859-1916) who was exiled here by the British. What has
happened subsequently is another story however.

After the British took away his kingdom, Thibaw was deported to India in
early 1886, first to Chennai and then to the muggy seaside town of
Ratnagiri on the Konkan coast. Thibaw was given a house, and later in
1910, was allowed to build his own home, now known as Thibaw palace.

This palace with teak detailing and Italian, colored glass windows that
reflect the setting sun beautifully, was built on twenty three acres of
land overlooking the green Arabian sea. The palace itself is a unique
example of ‘Pagoda’ style of architecture and took two years to complete.
The main building is 60 metres (197 feet)  long  and 43 metres (141 feet)
broad, with an area of 25000 square ft. The imposing two storeyed
structure, constructed with red stone was magnificent.

By all accounts, Thibaw and his family lived a life of intense boredom. 
He seemed never to have accepted his fate and, hoping for some sort of
improvement in his status, wrote several times to the Viceroy of India.
His repeated requests to be sent back to   Mandalay would have been
acceptable back in 1880, but were now diusmissed. In later times Thibaw’s
requests became more modest. He wanted to be allowed to, for instance,
attend the 1905 Delhi durbar together with the other Indian princes.

Money was a constant problem. Thibaw and his queen Supayalat had brought
with them precious stones as well as other valuables, which by the 1890s
were almost all sold away to local merchants.

Their pensions were small. Again and again Thibaw petitioned the British
for more funds who in turn thought that he was being irresponsible. A
number of tiresome attempts were made to better supervise Thibaw’s
spending.

And then there was a scandal during the hot summers of 1906.  Of the three
princesses, one was impregnated by an Indian gatekeeper. Thibaw and
Supayalat soon reconciled themselves to the situation, and their first
granddaughter became their new focus of attention. She was nicknamed
Baisu. But then in 1916, something happened that the royal couple could
not accept.

The second princess, always known for being strong–willed, fell in love
with a man named Khin Maung Gyi.

King Thibaw was not willing to let an ordinary citizen of Burma marry his
daughter. Then the daughter escaped from  the Thibaw palace with her lover
and  when Thibaw found that she would not return, he suffered from a heart
attack and soon died. He was buried in a mausoleum within the compounds of
Thibaw palace. Supayalat subsequently returned to Burma.

Dwindling fortunes

The first princess stayed behind with her little daughter Baisu and slowly
fell into poverty. Baisu herself married and had a sizable family, with
several children and grandchildren. She moved to Mumbai, and merged into
the great sea of the urban poor in Mumbai’s slums.

She was still alive at the beginning  of the  twenty first century and was
in her late nineties and journalists who went  to visit, spoke of her
generosity and kind manners. A little picture of Thibaw  and Supayalat
tacked onto the wall of her shack and a hint of upper class Burman
features were the only things that distinguished  her from  her
neighbours.

The fate of the second princess is something of a mystery. Her siblings
(with whom she  had no contact after her elopement) say that she and her
Burmese husband  Khin  Maung Gyi  had no children.

Apparently, the couple wound  up at the hill station of Kalimpong, near
Darjeeling, bought  a dairy farm, where they lived out the rest of their
lives in the cool pine scented air  of the Himalayan foothills. The only
surviving descendant of King Thibaw was Taw Hpaya, his eldest grandson,
who was alive in 1997 at the age of 84 in the town of Maymyo in Burma.

After decades of existing as a government office, the palace was made into
a Bombay University sub-centre and was leased to it by the government, for
Rs 60,000 per year for a two-year period which ended in 1999.  The
Archaeological Survey of India however re-claimed the palace in 1999.

Now it has also been partly converted into a museum. The museum is rather
pitiful as it has only four rooms. The three rooms on the first floor have
some old, badly damaged copper vessels, old photographs and the last room
is an attempt to recreate the grandeur of the palace. At present, the
palace is in shambles and some portion of the roof and walls may collapse
at any moment.

Meanwhile, the Government of Burma (Myanmar) has conveyed their concern
about the fate of the palace.

They must wonder that if they have preserved and maintained carefully the
mausoleum of the last emperor of India, Bahadurshah Zafar in Rangoon; why
is the Government of India  not taking a similar interest in preserving
the Thibaw Palace, where the last king of Burma lived many untold stories
and died unsung?

http://www.deccanherald.com/content/79027/remains-lost-kingdom.html#top

____________________________________
INTERNATIONAL

July 5, Irrawaddy
Clinton criticizes Burma at democracy conference

Krakow, Poland—At a high level conference on democracy, US Secretary Of
State Clinton said on Saturday that intolerant governments across the
globe are “slowly crushing” activist and advocacy groups that play an
essential role in the development of democracy.

She named Burma, Zimbabwe, the Democratic Republic of Congo, Ethiopia,
Cuba, Egypt, Iran, Venezuela, China and Russia.

Speaking at the Slowacki Theatre, Clinton assured delegates that America
continued to support democracy and freedom.

Clinton’s speech came at the opening of a 10th anniversary celebration of
the founding of the Community of Democracies, a 16-member grouping that
tries to forge international consensus on ways to support and promote
democracy.

Clinton said there are three essential elements of a free
nation—representative government, a well-functioning market, and civil
society. She said, “[they] work like three legs of a stool. They lift and
support nations as they reach for higher standards of progress and
prosperity.”

Some critics have accused the Obama administration of being too soft on
human rights and democracy violations by rogue countries.

The international community initially welcomed Obama’s policy of
"engagement with non-democratic regimes" but so far it has produced little
outcome, critics say.

Clinton said, “Democracies don’t fear their own people. They recognize
that citizens must be free to come together, to advocate and agitate.”

On Burma, Clinton spoke out about activists and civil society groups that
helped cyclone victims in 2008. She said, “Some were not trying to change
how their countries were governed. Most were simply getting help to people
in need, like the Burmese activists imprisoned for organizing relief for
victims of Cyclone Nargis. Some of them were exposing problems like
corruption that their own governments claim they want to root out. Their
offense was not just what they did, but the fact that they did it
independently of their government. They were out doing what we would call
good deeds, but doing them without permission. That refusal to allow
people the chance to organize in support of a cause larger than
themselves, but separate from the state, represents an assault on one of
our fundamental democratic values.”

Burmese activists also attended the conference. Dr Khin Zaw Win, a scholar
and former political prisoner, called for more assistance inside Burma.

In a panel discussion, “Activists for Democracy, “ he spoke about Burma's
coming election, its longest running civil war, ethnic conflict and the
coming election.

“Things are changing in Burma," he said. He said there is a space for
civil society inside Burma. Known to be a critic of trade sanctions and in
support of the upcoming election, some Burmese activists expressed
surprise to learn of his presence at the conference.

Zoya Phan, a Karen activist who also attended the conference, said she was
disappointed that Khin Zaw Win did not speak about Burma’s worsening human
rights violations in ethnic regions, its flawed Constitution, lack of
press freedom and more than 2,000 political prisoners.

On July 2, several leading members of opposition groups inside Burma,
including the National League for Democracy (NLD), sent a complaint letter
to conference organizers criticizing Khin Zaw Win, saying that he does not
represent the pro-democracy movement, according to Tin Oo, deputy chairman
of the NLD.

In her remarks, Clinton hit out at Venezuela and other countries in her
speech.

She said, “Venezuela's leaders have tried to silence independent voices
that seek to hold that government accountable.”

Touching on Russia, she said, “In Russia, while we welcome President
Medvedev's statements in support of the rule of law, human rights
activities and journalists have been targeted for assassination, and
virtually none of these crimes have been solved.”

She also criticized China’s human rights record. “And we continue to
engage on civil society issues with China, where writer Liu Xiaobo is
serving an 11-year prison sentence because he co-authored a document
calling for respect for human rights and democratic reform. Too many
governments are seeing civic activists as opponents, rather than partners.
And as democracies, we must recognize that this trend is taking place
against a broader backdrop.”

Poland’s Foreign Minister Radoslaw Sikorski, in his opening speech,
mentioned Aung San Suu Kyi and said that democracy is not as happy as it
used to be and said that enemies of democracy have been emboldened.

Canada’s foreign minister, Lawrence Cannon, Indonesian foreign minister,
Marty Natalegawa, and ministers from Spain, Sweden, Chile and South Korea
also attended the meeting and joined a panel discussion, “Is democracy
losing ground? What is to be done?”

Indonesia's foreign minister said that governments and civil society
should be partners to strengthen democratic values and institutions. He
said media, civil society, the government and parliament should all walk
on the same path towards the goal of a democratic society.

In Southeast Asia region, authoritarian governments are reluctant to
engage civil society and instead imposed restrictions and stringent
registration if not outright crackdowns.

____________________________________
OPINION / OTHER

July 6, The Jakarta Post
Challenge impunity in Myanmar

Last month, the UN Special Rapporteur for Human Rights in Myanmar, Tomas
Ojea Quintana, told the United Nations that Myanmar’s ruling military
junta may be committing war crimes and crimes against humanity, and that
these international crimes should be investigated. I agree.

The past three years have drawn the world’s attention to the humanitarian
and human rights crisis in Myanmar as never before.  Now Myanmar’s
dictator Than Shwe is hoping the world has a short memory; he plans a
façade of an election later this year, to put sheen of legitimacy on
dictatorial rule.

The courageous protests led by Buddhist monks in September 2007, and the
regime’s shocking crackdown, including the killing of Japanese
photojournalist Kenji Nagai, exposed more clearly than ever before the
regime’s cruelty.

Eight months later, Cyclone Nargis ripped through the country, leaving
death and devastation in its wake, and the regime’s initial refusal to
accept international aid workers evidenced its inhumanity.

The continuing military offensives against civilians in ethnic areas,
particularly in eastern Myanmar, the assassination of at least one
prominent ethnic leader and attempts on the lives of others and a callous
disregard for a famine in Chin State all expose once again the regime’s
agenda of ethnic cleansing.

As the regime prepares to hold elections this year, the world must
remember the backdrop of the past three years. Last year, a report was
published by Harvard Law School called Crimes in Myanmar.

Commissioned by some of the world’s leading jurists, including Judge
Patricia Wald (US), Hon. Ganzorig Gombosuren (Mongolia), Sir Geoffrey Nice
QC (UK), Judge Richard Goldstone (South Africa), and Judge Pedro Nikken
(Venezuela), the report concludes that the regime’s violations of human
rights may amount to war crimes and crimes against humanity, and that
these should be investigated by the United Nations. As a former UN special
rapporteur, I agree.

During my period as UN special rapporteur on human rights in Myanmar, I
received incontrovertible evidence that forced labor, the forcible
conscription of child soldiers; torture and rape as a weapon of war are
widespread and systematic in Myanmar. Since that time, the evidence has
grown stronger. It is claimed by the Thailand-Myanmar Border Consortium
that as many as 3,500 villages have been destroyed in eastern Myanmar
since 1996. Villagers have been used as human minesweepers, forced to walk
through fields of landmines to clear them for the military, often
resulting in loss of their limbs and sometimes their lives in the process.

I visited prisons and heard many testimonies of cruel forms of torture.
Today, over 2,100 political prisoners are believed to be in Myanmar’s
jails, and Nobel Peace Prize Laureate Aung San Suu Kyi, Myanmar’s
democracy leader, remains under house arrest. She has spent over 14 of the
past 20 years in detention.

Religious persecution is widespread. The regime is intolerant of
non-Myanmarese ethnic minorities and non-Buddhist religious minorities.
The predominantly Christian Chin and Kachin peoples, as well as the partly
Christian Karen and Karenni, face discrimination, restriction and
persecution, including the destruction of churches and crosses. Christians
have been forced to tear down crosses and built Buddhist pagodas in their
place, at gunpoint. The Muslim Rohingyas face similar persecution, and are
denied citizenship in the country despite living in Myanmar’s northern
Arakan state for generations. As a result they face unbearable
restrictions on movement and marriage, and have almost no access to
education and health care.

The United Nations has been documenting these crimes for many years. My
fellow former rapporteur, Rajsoomah Lallah, concluded as long ago as 1996
that these abuses were “the result of policy at the highest level,
entailing political and legal responsibility.” A recent General Assembly
resolution urged the regime to “put an end to violations of international
human rights and humanitarian law”. The UN has placed Myanmar on a
monitoring list for genocide, while the Genocide Risk Index lists Myanmar
as one of the two top “red alert” countries for genocide, along with
Sudan.

Non-Governmental Organizations have made similar assessments. Amnesty
International described the violations in eastern Myanmar as crimes
against humanity, while the Minority Rights Group ranks Myanmar as one of
the top five countries where ethnic minorities are under threat. Freedom
House describes Myanmar as “the worst of the worst”.

Human Rights Watch and the International Center for Transitional Justice
draw similar conclusions.  With “elections” looming and an increase in
crimes against humanity already prevalent in Than Shwe’s attempt to end
all ethnic minority resistance to his rule, now is the time for concerted
international action before more lives are lost.

Impunity prevails in Myanmar and no action has been taken to bring an end
to these crimes. That is why we believe the United Nations has an
obligation to respond to the current rapporteur’s recommendation and
establish a commission of inquiry, to investigate war crimes and crimes
against humanity and propose action. The UN Security Council should also
impose a universal arms embargo on Myanmar’s regime. The regime has been
allowed to get away with these crimes for too long. The climate of
impunity should not be allowed to continue unchallenged.

The writer was UN Special Rapporteur on the Situation of Human Rights in
Myanmar from 1992 to 1996 and a member of the UN Sub–Commission on the
Promotion and Protection of Human Rights from 2000-2009.

http://www.thejakartapost.com/news/2010/07/06/challenge-impunity-myanmar.html

____________________________________

July 6, The National
Ethnic tensions grow in Myanmar - Sarah Birke

Bhamo, Myanmar // Tensions between locals and the growing Chinese
community in Myanmar are rising, as Beijing’s influence in its southern
neighbour expands. Some analysts are warning that widespread race riots –
which broke out in the 1960s – could occur again.

People in Myanmar, particularly in the northern part of the country where
the majority of Chinese immigrants have settled, are increasingly vocal in
their criticism of the newcomers, as well as of China’s policies towards
their country

Most of those moving to Myanmar from China are businesspeople in search of
new markets, and bring with them their own workers from China. Locals
complain that the Chinese businesses are of little benefit to them
economically while the people make little or no attempt to integrate.

“The Chinese get rich whilst we get poor,” said Soe San, who is from a
small village on the Irrawaddy Delta, south of Bhamo. “All the
opportunities are taken by them.”

The widespread Sinophobia is aimed at the “New Chinese”, recent immigrants
from China, as opposed to the second and third generations of
Sino-Myanmarese, who are well-integrated, speak Burmese and practise
Buddhism – Myanmar’s dominant religion.

“Recent migrants, mainly from the [south-western] Yunnan province, have
little attachment to the country and keep their language and culture
intact,” said a Sino-Myanmarese analyst in Yangon, who spoke on condition
of anonymity.

Exact numbers of Chinese immigrants to Myanmar are unknown – especially as
acquiring Myanmar citizenship is a fairly simple process that many have
undertaken. Estimates run anywhere between one to three million.

Whatever the true figure, Mandalay, Myanmar’s second biggest city, is 30
per cent to 40 per cent Chinese, according to statistics from Global
Witness, a London-based human-rights monitor; Lashio, the capital of Shan
state, is dubbed “Chinatown”, and Mandarin is the language of choice in
Kachin state.

Denied permission to work in professional positions, many of the Chinese
immigrants entered business with large firms bringing in Chinese workers.
They dominate Myanmar’s economy and have a disproportionately large
presence in the country’s higher education.

Myanmarese industry is underdeveloped as China supplies cheap goods from
Yunnan province. Imports from China to Myanmar have reached unprecendented
levels, rising in value from US$546 million (Dh2 billion) in 2000 to $2bn
in 2008, according to the Internatonal Monetary Fund.

The real value of exports is likely far higher given the considerable
black market trade.

Underlying much of the tension between the Myanmarese and Chinese
immigrants are Beijing’s policies in Myanmar.

Political support from Beijing, which has a veto in the United Nations
Security Council, is seen as a major reason for the stability of Myanmar’s
junta, a source of resentment among many in Myanmar who long for
democracy.

China is also pushing to extract more of Myanmar’s resources, including
hydropower, oil and gas.

“The Burmese population believe that China’s exploitations have caused
environmental degradation and undermined Myanmar’s democratic
aspirations,” said the analyst in Rangoon.

China has rapidly expanded its foreign direct investment in Myanmar in
recent years, mostly in the field of resource extraction, and now boasts
$1.85bn in official direct investment in the country; the real figure is
believed to be higher as not all such investment has to be channelled
officially.

According to a 2008 report by Earth Rights International, there are at
least 69 Chinese corporations investing in over 90 hydropower, mining, oil
and natural gas projects in Myanmar.

Two Chinese pipelines running through Myanmar are due to go online within
the next two years. One will bring oil from the Middle East, while the
other will have the capacity to bring 12 billion cubic metres of
Myanmarese gas to China every year.

Apart from concerns about the fact that Myanmar – where electricity is
intermittent – is selling off gas it needs itself, critics accuse China of
brutally exploiting both people and the environment in its quest for
resources.

“Imagine your home has been bulldozed for a dam construction project, your
farm, which is your livelihood, has been seized without compensation, and
you and your family are forcibly relocated,” said Ko Ko Thett, a
commentator for The Irrawaddy, a Yangon-based daily.

“Then the Chinese immigrants come to work the land where your farm used to
exist. This is the source of tensions.”

In the past two months there have been protests by villagers in Kachin
against the Myitsone Dam being built by the state-owned Chinese Power
Investments Company which is causing the relocation of up to 15,000
people. In April unclaimed bomb blasts killed four Chinese workers.

In addition, a conflict between the Myanmarese army and the Kokang, a
largely Chinese minority, has intensified in the border region.

“Repressed anger against the New Chinese has been seething for years and
could easily build up to a communal clash,” said Ko Ko.

“There is also potential for the destruction of Chinese projects as long
as there are groups which can exploit the justifiable grievance of the
local people who have been displaced by such projects.”

foreign.desk at thenational.ae

http://www.thenational.ae/apps/pbcs.dll/article?AID=/20100703/FOREIGN/707029796/1015

____________________________________

July 5, Irrawaddy
House odds stacked in favor of the junta - Yeni

The people of Burma love to gamble, which leads to entertainment pleasure
for the masses, a few lucky winners and many social ills. There is one
game in Burma, however, that the masses will not find very entertaining,
only the junta stands to win and is certain to perpetuate most of the
country's social problems: the coming election.

Burma is known as "the land of gold," which may be true for the ruling
class of military generals who enrich themselves by selling off the
country's gas, timber, jade and other natural resources. But the junta's
mishandling of the economy means that people at the bottom of society
struggle desperately, and one of the few escapes from their miserable
daily existence is gambling.

Yeni is news editor of the Irrawaddy magazine. He can be reached at
yeni at irrawaddy.org.
Apart from the national lottery, there are three main types of illegal
gambling that are widely practiced in Burma: the two-digit lottery, in
which winning numbers are based on the last two digits of the Thailand’s
SET Index; the three-digit lottery, based on Thailand's official lottery;
and betting on football.

A Rangoon-based economist calculated that gambling transactions in Burma
through the two-digit lottery alone could be worth approximately five to
ten billion kyat (US $5-10 million) a day.

Currently, all gambling eyes in Burma are focused on the World Cup
competition. Burma has a more permissive attitude towards sports book and
sports betting than neighboring countries, so even though football
gambling is illegal, people gamble publicly.

According to Burmese law, anyone caught gambling or taking bets could
receive a prison sentence of between three months and two years, but the
ability to bribe most policemen and administrative officials has allowed
illegal gambling to thrive in the world's third most corrupt country, as
ranked by Berlin-based Transparency International in 2009.

The ease with which people in Burma place bets is drawing outside interest
as well. It is believed that Chinese and Thai sports bookmakers are now
setting up gambling operations in Burmese border towns, where they can
build a network of illegal gambling inside Burma.

For those who live below the poverty line, there appears to be nothing to
loose by gambling, except perhaps a bamboo shelter with a tarpaulin roof.
But in Burma, where the illegal gambling industry’s profits are based on a
large number of addicted gamblers, including the poor who run up
relatively huge debts, the often hidden social costs of gambling are
incalculable.

There is substantial evidence that gambling can lead to addictive and
destructive behavior, much like alcohol and drugs. Ultimately, problem
gamblers cause a net loss to the community that includes increased crime,
lost work time, personal bankruptcy, domestic violence, child abuse and
financial hardships to family members.

According to a report from Integrated Regional Information Networks
(commonly known as IRIN), a part of the UN Office for the Coordination of
Humanitarian Affairs, even Burmese children can become involved in paying
off gambling-related debts—parents often take their children out of school
and send them to work in return for credit from the bookmakers.

The tentacles of black money have affected every corner of society in
Burma, making it almost impossible under current conditions to effectively
curb illegal gambling businesses or even to set up a social safety net of
programs such as public and private awareness campaigns, child protection
services or micro-finance programs.

This is one more reason why Burma needs to launch a new beginning,
replacing the current unelected regime with dynamic, effective political
leadership elected to national and state parliaments through free and fair
democratic polls. Unfortunately, the junta's proposed elections may be the
most rigged game in town, and participation the riskiest bet.

Webster's New World Dictionary defines “gambling” as playing a game of
chance for money or some other stake, or taking a risk in order to gain
some advantage. In a “fair game,” the expected value is at least equal to
the stake.

Some argue that even with the odds stacked against the opposition, reform
in Burma can begin at the margins, then move into the mainstream once a
more level playing field is established in the future. In their view, a
reversion to real democracy should not be expected immediately. Therefore,
they say, opposition and ethnic politicians, as well as voters, should
take a gamble and participate in—rather than complain about—the regime’s
“road map” and so-called election, accepting for now whatever trickles
down from the ruling military elite in hopes of winning a big payoff in
the future.

But under the junta's house rules, the big payoff may never materialize.
This means that unless the rules are changed to make the coming election
free and fair, members of the opposition are destined to toss their
energy, resources, credibility and even lives into the junta's rigged
political slot machine with no hope of ever winning the jackpot of real
democracy. And that is not a fair game.