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

  • Reuters: US Embassy fired 32 staff members for sharing pornography

    The United States Embassy in Phnom Penh has fired 32 non-diplomatic staff members who were allegedly caught exchanging pornographic images and video, including of minors, according to the news agency Reuters. Four sources, who spoke on condition of anonymity, told Reuters the content was shared in

  • Our 2018 guide to spending Khmer New Year in Phnom Penh

    Khmer New Year festivities are upon us. For the next few days, travellers will be making their way to their home provinces to eat, celebrate, play traditional games and visit a pagoda with offerings. If you will be staying put in Phnom Penh for the

  • US think tank warns of China's 'ulterior motives'

    A US think tank on Tuesday warned that spreading Chinese investment in the Indo-Pacific follows a pattern of leveraging geopolitical influence at the expense of the nations receiving investment, including Cambodia. The report looks at a sample of 15 Chinese port development projects, noting that the

  • More than three tonnes of ivory reportedly bound for Cambodia seized in Mozambique

    A total of 3.5 tonnes of ivory reportedly bound for Cambodia was seized by authorities in Mozambique late last week, according to the NGO Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). CITES' information was based on a report from the