Logo of Phnom Penh Post newspaper Phnom Penh Post - Rocky road for logistics after dull H1

Rocky road for logistics after dull H1

Content image - Phnom Penh Post
Industry insiders have said no remarkable gains in freight transport activity have been recorded over the past six months. Heng Chivoan

Rocky road for logistics after dull H1

Despite the significant jump in movement of agricultural products for export, no remarkable gains in freight transport activity have been recorded over the past six months, industry insiders have said.

Border closures and a sharp decline in orders for textile products from Cambodia stemming from the Covid-19 outbreak have stifled the transport sector.

Cambodia Logistics Association (CLA) president Sin Chanthy told The Post on Thursday that despite the current surge in agricultural product exports – especially milled rice – overall activity in the sector saw minimal growth last month compared to March, April and May, with goods shipments falling in virtually all segments.

He added that the general quietness in the industry may be due to foreign investors not reinstating their orders despite the slowly stabilising Covid-19 situation, leading to goods transport and shipping of raw materials to fall in suit.

“The volume in goods transport now is in the ballpark of just 30-40 per cent of pre-Covid figures. Freight transport activity is only slightly up from three to four months ago,” said Chanthy.

He said international air freight is nearly nonexistent while transport via water and land has been largely muted.

The sector will see even greater headwinds if health authorities cannot claim victory over Covid-19, he said with a sense of uncertainty.

Established as a non-profit association in March 2004, the CLA in April announced that it had changed its name from the Cambodia Freight Forwarders Association, or Camffa.

SHA Transport Express Co Ltd CEO and co-founder Khut Saroeun noted that some countries have begun to reopen to limited freight traffic as Covid-19 fears subside.

Continuing relative stagnation will deal a significant blow to the transport sector, he said.

“Even though the Covid-19 situation has improved, goods deliveries at my company have not gone back up, as shipping volumes remain low compared to before the beginning of the Covid-19 outbreak,” he said.

A formal free trade agreement (FTA) with China is expected to be signed later this year, which experts say will spur the Kingdom’s economy and greatly increase freight activity due to the massive scale of the world’s most populous nation.

Minister of Commerce Pan Sorasak has said the FTA will result in a 20 per cent rise in exports to China.


  • All inbound flights set to face added scrutiny

    Ministry of Health spokesperson Or Vandine said on Monday that the ministry is monitoring all inbound flights, after it was announced that only those from Malaysia and Indonesia will be temporarily cancelled from August 1. Vandine said on Monday that the two countries were identified as

  • Flights from Indonesia, Malaysia cancelled

    A Ministry of Health official has warned of the possibility of Covid-19 spreading through community transmission after the total infected cases in the Kingdom rose to 225. Ministry spokeswoman Or Vandine told reporters on Saturday that the possibility of community transmission cannot be overlooked and that

  • Man in quarantine dies of ‘overdose’

    The Ministry of Health on Thursday said a Cambodian migrant worker who died while being isolated at a quarantine centre in Tbong Khmum province’s Kroch Chhmar district may have died from syncope or overdose of tablets. In a statement, the ministry said the 21-year-old

  • Ministry set to reopen 20 schools in August

    The Ministry of Education, Youth and Sport will allow 20 high-safety-standards schools to reopen next month despite new cases of Covid-19 in the country. Ministry spokesperson Ros Soveacha wrote in a Telegram message on Wednesday that the schools are in Phnom Penh, Siem Reap and Battambang.