Logo of Phnom Penh Post newspaper Phnom Penh Post - Employees added as garment sector grows

Employees added as garment sector grows

Employees added as garment sector grows

Domestic garment factories have added workers as the sector rebounds from the global financial crisis, according to an International Labour Organisation report released yesterday.

Some 305,832 workers were employed at domestic garment factories in October, a 3-percent increase on 296,800 a year earlier, according to the ILO’s survey of 131 factories.

A recovering world economy fueled a rebound in the Kingdom’s garment and textile industry last year, the report said.

“Cambodia’s apparel industry, one of the most adversely impacted countries during the downturn, stabilised and grew in 2010,” it said, adding the garment industry represented some 90 percent of Cambodia’s exports.

There were 262 active factories in December 2010, up from 243 the year previous.

Two changes to the global garment market would likely benefit Cambodia, it said.

Rising wages for Chinese, Vietnamese and Bangladeshi workers meant foreign producers could continue to diversify supply chains, while the European Union’s Everything But Arms initiative also makes exporting from Least Developed Countries more attractive.

“LDCs can now export to the EU duty free even if the country only partakes in the processing of goods. Cambodia, a country that imports all of its fabric, will be one of the greatest beneficiaries of the new rule,” it said.

Although the ILO maintained a positive outlook for the industry, it claimed a continued rise in the price of cotton could be “problematic,” but added greatest pressure would be felt outside of Cambodia where higher-value apparel products are made.

The ILO also sounded optimistic about labour relations in the report, claiming unions and manufacturers are committed to “finding common ground to improve industrial relations.”

Garment Manufacturers Association in Cambodia officials could not be reached for comment yesterday.

MOST VIEWED

  • Kingdom’s domestic milk still cannot compete with imports

    Price competition and a lack of confidence by consumers are the main reasons the dairy market cannot compete with imports, said domestic milk producers. The large displays of imported fresh milk at the Kingdom’s supermarkets present a cumbersome obstacle for local producers, they said.

  • ‘Pesticide-laden cucumbers’ kill two, poison 150 in Banteay Meanchey

    At least two youths have died and 243 others are being treated for vomiting, diarrhoea, breathing difficulties, dizziness and muscle weakness after they ate cucumbers suspected to consist of pesticides. The incident happened on Saturday, said Banteay Meanchey provincial police chief Ath Khem. He told The

  • Three dead, 13 injured in collapse at Siem Reap pagoda

    At least three people were killed and more than 10 others injured on Monday after a dining hall under construction collapsed at Prasat Kokchak pagoda in Kokchak commune, Siem Reap province. Provincial police chief Tith Narong said Military Police, soldiers and local volunteers had successfully recovered 16

  • Forest Harmony’s $18M luxury villas break ground in Kampot

    Local and French joint-venture Forest Harmony has broken ground on its $18 million “second-home” Luxury Holiday Villas project in Kampot province. Century 21 Mekong CEO and local shareholder of the project Chrek Soknim told The Post that the project will comprise 90 villa units covering 18ha on a 97

  • China Unicom enters Cambodia

    China Unicom, the country’s largest telecoms operator, has expanded into Cambodia to build optical telecommunication pathways in the Kingdom as part of the Belt and Road Initiative (BRI). The Hong Kong-listed company officially opened its China Unicom (Cambodia) subsidiary on Monday to become the

  • PP-SHV Expressway on track for completion in early 2023

    The construction of the $1.9 billion Phnom Penh-Sihanoukville Expressway, which broke ground at the end of March, is on track to be completed by early 2023, Ministry of Public Works and Transport spokesman Vasim Sorya said on Monday. The 190km high-speed highway linking the capital to the