The Council for the Development of Cambodia (CDC) has announced that it approved four additional proposals for textile-related factories, with total registered capital of around $22 million that are expected to create 63,380 new jobs.
This was revealed in a notice issued on December 19 by the CDC, the government’s highest decision-making body for large-scale investments.
Two will be located in Bati district of Takeo province’s north: Phoenix Fashion (Cambodia) Garment Co Ltd’s $6.3 million garment factory in Sophy commune; and Aw Cashmere (Cambodia) Co Ltd’s $5.3 million knitted and non-knitted apparel factory in Kandoeng commune, respectively planned to generate 3,358 and 1,117 jobs.
Supercan (Cambodia) Co Ltd’s $5.2 million footwear factory in Prey Veng commune, Dangkor district, Phnom Penh; and Xn Fu Industrial Co Ltd’s $5.1 million umbrella, raincoat, handbag, glove and towel factory in Lvea commune, Prey Chhor district, Kampong Cham province are set to deliver 1,264 and 641 jobs.
The Ministry of Commerce’s business registry lists addresses in the Greater China region for officers of all four companies: mainland China for Phoenix Fashion and Xn Fu Industrial; Hong Kong for Aw Cashmere; and Taiwan for Supercan.
Speaking to The Post on December 19, Cambodia Chamber of Commerce vice-president Lim Heng listed a set of key drivers for new investment projects in the Kingdom: political stability, favourable investment laws, access to a broad range of export markets, preferential tariff treatment from major countries, abundant labour supply, and availability of raw materials for export-oriented production.
“The new investment projects approved by the CDC keep coming, and they’re diverse, not all of them are light industry anymore,” he said, predicting that overall investment inflows will grow as global geopolitical and economic storms pass.
He maintained that the Kingdom is gradually emerging as a significant manufacturer of general components that are supplied to renowned factories across the world.
Hong Vanak, director of International Economics at the Royal Academy of Cambodia, agreed, commenting that the Kingdom has continually been able to draw in plenty of fresh investments even though the global economy has yet to return to strong growth post-Covid-19.
Investments would gain even more steam if trade rows among influential countries were to be resolved, he said wistfully.
“Even given these circumstances, Cambodia is still able to secure investments, thus I hope that more large companies will come and invest in … [this] very favourable market.”
