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UK based garment unit relocates operations to Cambodia
May '09
From amongst all the depressing news that is flowing through the Cambodian garment sector, the news of a UK based garment manufacturer relocating its product development centre to Cambodia has raised a ray of hope in the apparel manufacturing community.

The UK based, New Island Company will be shifting its whole garment production operations to Cambodia, i.e. right from designing to placement of orders which is the first of its kind in the country and set up a high level product development centre.

Economists and experts have welcomed the move of the British company and aver that this is a indicator of the international competitiveness of the garment industry in Cambodia, despite the impact of the global economic crisis.

New Island has been present in Cambodia since nine years and produces around 75,000 men's shirts per week, but is shifting operations since the fabric is also sourced from the ASEAN region and also to consolidate its operations at one place.

The Cambodian garment export industry constitutes for 70 percent of overall exports from the country and is the backbone of the economy, but in the last few months has seen around 60 units closing down leading to nearly 50,000 job losses.

Fibre2fashion News Desk - India

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