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Chinese entrepreneurs seek to capitalize on domestic textile markets
May '08
Chinese textile enterprises are eyeing Cambodia as a suitable destination for future investments as the country offers a host of advantages that can help further trade with other potential markets.

For instance, textile and clothes made in Cambodia can be exported to Europe and America without any quota limitations. In fact, some of the goods in the textile and cloths category even enjoy zero customs while making exports to the region.

Another significant advantage is that of cheap labor force in Cambodia which can help Chinese enterprises to lower their cost of production and increase their profit margins.

This apart, Cambodia being a member of ASEAN Free Trade Area, would throw open the vast Asian market to the Chinese entrepreneurs for capitalization.

Other countries have also taken vantage of such lucrative offers and this can be evidenced from the policy adopted by Taiwan. After the imposition of anti-dumping duties on Chinese and Vietnamese shoes, a Taiwan merchant set up the Manhattan-Svay Rieng Export Processing Zone in Cambodia which is expected to contain some 30 factories.

Statistics show that presently, the total fixed asset investment of China in Cambodia reached US $461 million ranking the country first among all the other foreign investors.

Fibre2fashion News Desk - China

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