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Trade Development for Poverty Reduction

A new trade integration strategy was launched in early December by the Ministry of

Commerce and UNDP Cambodia identifying 19 new and current goods and services that

provide strong opportunities for Cambodia to diversify trade. The report says even

though the country has experienced a dramatic increase in exports which contribute

about two thirds of Cambodia’s GDP, the trade sector is overly dependent on garments,

tourism, rice and footwear. Cambodia can increase exports only if it identifies its

product “niches” and specific comparative advantages - and lowers costs. The study

urges Cambodia to identify a connection between trade development and poverty reduction

and to promote policies that redistribute the benefits of trade throughout Cambodian




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