Logo of Phnom Penh Post newspaper Phnom Penh Post - Non-textile industrial exports up 50%

Non-textile industrial exports up 50%

Content image - Phnom Penh Post
Cambodia exported $755.34 million worth of electrical equipment and electronic components to international markets in 2020, up 31.49 per cent compared to $574.44 million in 2019, according to the Ministry of Commerce. Hean Rangsey

Non-textile industrial exports up 50%

Cambodia earned $1.8997 billion from the export of non-textile-based industrial products in the first half of this year, an increase of 49.9 per cent from $1.2672 billion in the same period of 2020, the General Department of Customs and Excise of Cambodia (GDCE) reported.

The sound growth in the exports was a result of the implementation of the government’s policy on industrial diversification in Cambodia, said the GDCE, a department under the Ministry of Economy and Finance.

The GDCE listed some of the items as bicycles and related parts, electronic and wiring components, auto parts, decorative lamps and plank boards.

Cambodia Chamber of Commerce vice-president Lim Heng told The Post on July 19 that the export of the Kingdom’s non-textile-based merchandise has steadily increased since the outbreak of Covid-19.

This, Heng said, reflects, the progress of Cambodian production chains serving everything from light industry to modern heavy industry, which he asserted every developing country in the world is looking for.

He added that the growth in the exports was in line with Industry 4.0 and the Cambodia Industrial Development Policy 2015-2025, as well as the new investment law, which was recently approved by the Council of Ministers.

“Growth in non-textile-based exports is a good sign of national economic growth, as it is a key starting point for achieving a heavy industrial sector – which all developed countries need – and long-term sustainability,” he said.

According to Heng, some countries today do not want to accept investment in the garment sector, disregarding it as a light industry.

After all, investors can always relocate and hire less-skilled workers elsewhere.

Heng added: “For me, if Cambodia can get both [well-functioning light and heavy industries], it is better for both sectors to work well together to create jobs and provide national income.”

Hong Vanak, director of International Economics at the Royal Academy of Cambodia, said export diversification is necessary for the Kingdom to boost economic growth.

He suggested Cambodia harness the preferential treatment benefits provided by major global markets and increase the export potential of a variety of products, pointing out that garments, the linchpin of the Kingdom’s economy, faces a litany of challenges posed by Covid-19.

“Diversification of non-garment export products will help make the Cambodian market stronger and more targeted,” he said, adding that surges in shipments abroad would also help strengthen the capacity of Cambodia’s skilled labour.

Non-textile-based industrial products accounted for 26 per cent of Cambodian exports last year, up from 17.2 per cent in 2019, reported the finance ministry, listing milled rice, furniture, bicycles and electronic components as notable goods.

MOST VIEWED

  • Two luxury hotels latest quarantine options for inbound travellers

    The Inter-Ministerial Committee to Combat Covid-19 has designated two luxury hotels as alternative quarantine options for travellers who wish to enter Cambodia through Phnom Penh International Airport – Sokha Phnom Penh Hotel & Residence and the Courtyard by Marriott Phnom Penh. In a notice detailing guidelines issued

  • Visa A holders get to quarantine at Himawari Hotel

    The Ministry of Health has permitted foreign diplomats, UN and International NGO officials to undergo quarantine at Himawari Hotel in the capital in case they do not have a separate place suitable for this purpose, but the government would not be responsible for the expenses.

  • Jabs for kids bring hope for school reopenings

    Cambodia is tentatively planning to reopen schools – at least at the secondary level – when the vaccination of children aged 12-17 is completed, even though daily transmissions and deaths in other age groups remain high. Schools across the country have been suspended since March 20, one month

  • China denies Mekong hacking

    As the US and its allies joined hands last week to expose what they allege to be China’s Ministry of State Security’s malicious cyber activities around the world, the attention also turned to Cambodia with the US Department of Justice claiming that four

  • Governor: Covid subsides in capital

    Phnom Penh municipal governor Khuong Sreng said the Covid-19 situation in the capital’s 14 districts has eased, with only two districts still recording a high number of infections. “Transmission cases in all districts are dropping, though they are relatively higher Meanchey and Por Sen Chey.

  • Hun Sen: Get 12-17 age group ready for Covid jabs

    Prime Minister Hun Sen has told parents of children aged 12-17 in Phnom Penh and the provinces of Kandal and Preah Sihanouk to get them ready for vaccinations soon. “There is a need to vaccinate children and youths aged 12 to 17. According to the statistics provided