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Clothing exports grow stupendously in 2011
Apr '11
Officials of the Cambodia's Ministry of Commerce revealed that, the first quarter of the current year saw Cambodia's exports going up by almost 50 percent, over corresponding period last year, but in spite of this, the country's trade deficit grew bigger during the period.

According to statistics, exports witnessed a year on year rise of 49.6 percent and grew to US$1.13 billion, from $756.6 million.

Not only had the rise in demand for textiles and garments, but even in agricultural products stimulated this rise in exports, Ok Boung, Ministry of Commerce Secretary of State said.

During the review period, exports of textile and garments, Cambodia's key exports items, grew by 45.5 percent from $670.9 million to $976 million, while imports comprising inputs for garments, petroleum, food, vehicle, medicine and construction materials increased by 71 from $908.5 million to $1.55 billion.

Huot Pum, a Professor of Economics at the Phnom Penh based Royal University of Law and Economics said that, these figures are indicative of that, Cambodia comparatively has more potential to produce items which are sought by other countries.

However, he held the rise in raw material imports for the garment industry to be a reason responsible for the expanding trade deficit.

This is the reason that when exports rise, imports too rise correspondingly, as Cambodia presently lacks the potential to produce the materials required for the garment industry by itself, he added.

Fibre2fashion News Desk - India

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