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Cambodian garment exports likely to grow in 2013: GMAC
Apr '13
Cambodian garment exports are expected to grow in 2013 with the increasing foreign investments along with focus on new market including Japan and China, according to the Garment Manufacturers Association of Cambodia (GMAC)
In 2012, apparel exports of Cambodia grew nine percent to US$ 4.61 billion as compared to exports worth US$ 4.24 billion in 2011.
Speaking to fibre2fashion, secretary general of GMAC, Mr. Ken Loo said, “We are optimistic about the prospects of the Cambodian garment industry this year.”
According to him, the garment manufacturers are looking forward to new markets including Japan and China. “We may continue to see growth primarily driven by exodus from China for the Japanese and European markets,” Mr. Ken Loo opines.
Last year, China turned out to be the largest investor in Cambodian garment sector with a total investment of US$ 121 million followed by Taiwan with US$ 112 million and Korea with US$ 70 million. Singapore, the US, Malaysia, Japan, Thailand, Australia, England and India were some other countries that invested in Cambodian apparel sector in 2012.
However, ongoing economic crisis in the traditional export markets such as the US and the EU coupled with numerous strikes are slowing the export growth of Cambodia.
When asked about the challenges faced by the garment manufacturers in Cambodia, Mr. Ken Loo says, “Our main challenge continues to be on the industrial relations front dealing with workers’ strikes as well as the multiplicity of unions.”
“In addition, high infrastructure costs continue to put pressure on the industry, although we see gradual improvements on this front as we move along,” he adds.

Fibre2fashion News Desk - India

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