Logo of Phnom Penh Post newspaper Phnom Penh Post - Garments, footwear, travel goods exports slip 6.48% in Q1

Garments, footwear, travel goods exports slip 6.48% in Q1

Content image - Phnom Penh Post
Workers at a garment factory sew material in Phnom Penh’s Dangkor district. File Photo/Post Staff

Garments, footwear, travel goods exports slip 6.48% in Q1

The Kingdom exported $2.410 billion worth of garments, footwear and travel goods in the first quarter of this year, shrinking 6.48 per cent from the $2.577 billion posted in the corresponding period of 2020, according to data from the General Department of Customs and Excise of Cambodia.

Analysed by category, garments fell 6.43 per cent from $1.897 to $1.775 billion, footwear slumped 7.33 per cent from $341 to $316 million, and travel goods – including suitcases, backpacks, handbags and wallets – declined 5.89 per cent from $339 to $319 million.

Cambodia Footwear Association president Ly Kunthai told The Post on May 5 that the ongoing global Covid-19 epidemic has forced people to stay indoors and has shut down the tourism sector of each country, resulting in plummeting demand for footwear.

He said, however, that the dip in the volume of exports in the first quarter had not been as steep as in the third and fourth quarters of 2020, though he did not provide any concrete figures.

"The reason for the decline in the value of footwear exports from Cambodia in the first quarter was due to declining demand on the international market, and not related to manufacturing activities," he asserted.

He posited that coronavirus vaccination campaigns around the world, coupled with the gradual reopening of tourism in major countries, would lead to increased orders of Cambodian-made footwear starting in the second half of 2021.

"I am optimistic that orders will pick up in the coming months," he said, claiming that the Kingdom would remain a desirable investment destination, particularly in key sectors such as garments, footwear and travel goods.

Garment Manufacturers Association in Cambodia (GMAC) deputy secretary-general Kaing Monika could not be reached for comment on May 5.

Cambodia Logistics Association (CLA) president Sin Chanthy noted that a shortage of empty shipping containers has increased the costs of transporting goods abroad from Cambodia since the second quarter of 2020.

Rising shipping costs are more or less affecting all orders, especially to distant destinations such as the US and Europe, he said.

"Since mid-2020, shipping costs have risen steadily, now five times higher to some destinations than in 2019” before the Covid-19 outbreak, Chanthy said.

The Kingdom exported $17.21537 billion worth of goods last year, up by 16.72 per cent from $14.74874 billion in 2019, the Ministry of Commerce said in its 2020 annual performance report.

Broken down by sector, garments ranked first in exports, reaching $7.42028 billion, down 10.24 per cent on a yearly basis, followed by footwear ($1.11673 billion, down 11.69 per cent) and travel goods ($964.7 million, down 10.58 per cent).

MOST VIEWED

  • Cambodia to waive quarantine requirements Nov 15, no PCR test required

    Prime Minister Hun Sen has decided to lift all quarantine requirements for fully vaccinated travellers and visitors – both Cambodians and foreign nationals – effective from November 15 onward. In a special message addressed to officials and relevant authorities on November 14, Hun Sen said this policy will enable

  • PM: No more quarantine for vaccinated travellers

    Cambodia is lifting all quarantine requirements for vaccinated inbound travellers entering Cambodia by air, waterway or land border checkpoints effective from November 15. Travellers will be required to take a rapid antigen test on arrival rather than waiting for the results of the lengthier polymerase chain

  • No payment required for travellers taking rapid Covid tests on arrival

    Ministry of Health officials said there would be no payment required for the rapid Covid-19 tests given to travellers who arrive in Cambodia from November 15 onwards after the quarantine requirement is lifted for fully vaccinated people. Health ministry spokeswoman Or Vandine told The Post on

  • General’s gun smuggling ring busted

    The Military Police sent six military officers to court on November 22 to face prosecution for possession of 105 illegal rifles and arms smuggling, while investigators say they are still hunting down additional accomplices. Sao Sokha, deputy commander of the Royal Cambodian Armed Forces and commander of

  • More Cambodians studying in US

    The number of Cambodian students studying at US colleges and universities in 2020-21 increased by 14.3 per cent over the previous year despite the Covid-19 pandemic, according to a recent US government report. The 2021 Open Doors report on International Educational Exchange showed that 848 Cambodian students studied

  • Cambodia, Thailand to discuss border reopening

    Cambodian authorities from provinces along the Cambodia-Thailand border will meet with Thai counterparts to discuss reopening border checkpoints to facilitate travel, transfer of products and cross-border trade between the two countries. Banteay Meanchey provincial deputy governor Ly Sary said on November 22 that the provincial administration