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Cambodian T&A industry needs to align product mix as per global trends

30 Apr '23
2 min read

Insights

  • Cambodia's Industrial Transformation Map for Textile and Apparel Industry 2023-2027 sees a need for the sector to align its product mix as per international sourcing trends, integrate backwards to reduce dependence on imports and diversify its market mix.
  • It has four levers, including technology and sustainability, and infrastructure and governance.
Cambodia’s Industrial Transformation Map for Textile and Apparel Industry 2023-2027 (T&A ITM) sees a need for the sector to align its product mix as per global sourcing trends, integrate backwards to reduce dependence on imports and diversify its market mix.

The T&A ITM’s objective is to build a competitive T&A industry with an increased focus on value addition, sustainability, technology adoption, skills and entrepreneurship, according to a government report.

It has four levers: product mix and international trade, skilling and productivity, technology and sustainability, and infrastructure and governance.

It also aims at attracting investment in supportive industry and promoting market diversification of garments, footwear and bags, according to Cambodian media reports.

Challenges include internal factors like rising wages, low productivity, low level of interest among young people to join the T&A industry and limited focus on sustainability parameters, it pointed out.

The development strategy identified a few focus areas for the short-to-medium term. It includes strengthening human resources to increase productivity and create career paths for workers-employees, improving working conditions and welfare of workers-employees, promoting domestic and foreign investments in high-extra value industries and focusing on expensive and unique products.

The map was designed and formulated based on the evaluation of the global and Cambodian T&A sector and the government’s Cambodia Garment, Footwear and Travel Goods Sector Development Strategy 2022-2027.

Fibre2Fashion News Desk (DS)

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