Indian Exporters Face Uncertainty as Myanmar-Thailand Earthquake Disrupts Trade

Gujarat is among the states whose business community is feeling the rumblings of the powerful earthquake that rocked Myanmar and Thailand on March 28, as the two nations are important trade partners for the states most affected in India. Exporters are worried about huge losses running into crores with infrastructure damage and breakdown of communication threatening shipments and payments.

Gujarat’s businesses share deep economic ties with Myanmar and Thailand and export essential products like textiles, pharmaceuticals and chemicals. Just the state’s textile industry exports garments and grey fabric worth ₹600 crore each year to these markets, as per trade associations. ₹2,100 crore are pharmaceuticals, and ₹100 crore chemicals — mainly dyes and industrial chemicals. Exports of timber and wood, which are vital for the furniture industry, are also expected to be affected.

Former PDEXCIL chief Bharat Chhajed said Myanmar’s Industry Minister Dr Charlie Than confirmed that there was extensive damage in Mandalay, an important trade hub. Communication networks are badly impacted, with many telephone lines down and it has become difficult even for Indian businesses to contact their counterparts.

Exporters are preparing for a host of challenges, including shipment delays, logistical difficulties, and delayed payments. If the damage is extensive, trade could slow dramatically, straining supply chains and cash flows, Chhajed warned. Also, business groups have called on the Indian government to intervene and offer relief measures to avoid financial loss and trade disruptions.

Exporters are on edge as the situation develops, praying for a quick recovery in Myanmar and Thailand so that India’s trade sector does not see prolonged disruptions.