Myanmar’s cosmetics market is expected to grow significantly in coming years.
Ah Kyin @ San San Htay 's products- a beauty & personal care company
It boasts one of Southeast Asia’s largest populations (53 million people) and a growing middle class. However, consumer sophistication and spending power remains low compared with many countries in the region – its 2014 gross national income per head was US$1,280, according to the World Bank.
According to a 2014 report by researcher Euromonitor International, Myanmar was identified as one of 20 countries that will offer the most opportunities for consumer goods companies globally.
It has a mean age of 30 years, which is below average for the Asia Pacific region, noted Euromonitor.
“Growing middle class and increasing consumer sophistication bolstered sales of non-essential products, such as beauty and personal care, tissue and hygiene and home care products. Beauty and personal care reached a market value of $318m in 2013, after growing at a CAGR [compound annual growth rate] of 14% since 2009,” states the report.
However, for now at least, spending power in Myanmar is among the lowest in the Association of Southeast Asian Nations (ASEAN) block. According to survey findings released on 7 July by the Myanmar Rice Traders’ Association, 51% of household income is spent on food. That marks a fall from 64% in 2012, according to the country’s Central Statistical Organisation, but indicates that further economic growth – which the Asian Development Bank forecasted to be 8.4% in 2016 – is needed for the cosmetics and personal care sectors to grow.