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Home / Knowledge / News / Apparel/Garments / Garment enterprises to explore new markets for enhancing trade

Garment enterprises to explore new markets for enhancing trade

09
Sep '08

The Cambodian Ministry of Commerce is worried after looking at the export results of the fourth quarter of 2007. The export of garment, which is the major sector for earning foreign currency, has witnessed a significant fall of almost 46 percent during this period.

The authorities are now demanding that United States, the biggest market for the nation should bring down the import tariff rates, in order to overcome this situation.

However, in the first quarter of 2008, nation shipped apparels worth around US $1.16 billion to United States, a rise of 2.2 percent when compared to same time of previous year.

Cambodia earned nearly $2.9 billion in 2007, by exporting garments, showcasing a slight annual rise of 2.2 percent.

The Cambodian garment sector contributes almost 80 percent to the total earnings made by the country, by shipping various products in different parts of the world.

The sector also plays a vital role in providing employment to large number of people that automatically improves the economic condition of the country. At present more than 3,50,000 people are earning their living by working in garment industry.

Experts suggest that, new markets should be explored in order to boost the exports that have observed a decline in Q4 of 2007. Being one of the important sectors its earnings directly affects the economy of Cambodia. Even the slowdown in US economy is sure to affect the nation, as United States buys 70 percent of Cambodian textiles, the orders are likely to reduce.

Industry insiders also suggest that, the management of units should be done correctly as last year due to various reasons the workers had gone on strikes lot many times, which hampered the production process.

This is why the Government is now finding means to diversify exports and look for other potential overseas markets. The authorities have also asked entrepreneurs related to other industries to explore new destinations for helping the nation increase foreign revenue.

The main export partners of the country are US, Singapore, Japan, Thailand, Hong Kong, Indonesia and Malaysia.

More Apparel/Garments News - Cambodia...