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>> Myanmar locals losing out in China's new silk road vision. Since this stretch of water was made off limits for Beijing's new oil pipeline, 100s of fishermen in Kyaukpyu have been stripped of their lively hood.>> They stop us when we go out fishing. We've been facing many difficulties since these big ships arrived.
Our income has been slashed.>> The area is slated to become a $10 billion special economic zone. It's state run Chinese developer says it will provide 100,000 jobs. But as Reuter's Emu Lee explains, there's a glaring problem.>> So while Myanmar and China have already started their initial negotiations on the contract terms regarding to the special economic zone.
The environmental and social studies had actually not started yet and legal experts told us that this had actually violates Myanmar environmental laws. There are some 20,000 villages living in the area of the proposed special economic zone. A local government official told us that these people are likely to be removed from their ancestral land.
And if materialized, this could be one of the largest relocation plans in Myanmar.>> The pipeline scheme is crucial for Myanmar's leader, Aung San Suu Kyi. She needs a win after a year in office that critics say delivered little reform. And China's support is key to stabilizing ethnic unrest on the border.
>> So the special economic zone falls in Myanmar's western state, which is one of the country's poorest regions. So it could indeed help the government boost the economy. And on top of that, Myanmar possibly doesn't want to upset China. One of Myanmar's most important trading partner. And Myanmar also needs China's support for its peace process.
>> While authorities tell Reuters the villagers would be removed according to international standards of human rights. So far there's been no discussion or a clear plan about how exactly they'll be moved.