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Cambodia: PM wants boost for food processing
Prime Minister Hun Sen called for more investment in the agro-processing sector in Cambodia from Vietnamese investors and businesspeople because of its lack in Cambodia. He sees it as crucial for both Cambodians and Vietnamese businesses in the Kingdom.
The premier made the call during the celebrations for the Vietnamese New Year 2020 with Vietnamese communities and Vietnamese businesspeople in Cambodia on Friday at Sokha Phnom Penh Residence Hotel.
He said Cambodia exported mostly raw materials to foreign countries, especially to Vietnam. Therefore, if there is more investment in processing plants, it would help to create more jobs for people and provide added-value.
Mr Hun Sen congratulated Vietnam on its remarkable economic development in recent years. He said that in 2019, although there has been tension between China and the US, the inflow of foreign direct investment to Vietnam reached $32 billion which increased about 3 percent in the first 11 months compared with the same period in 2018.
Mr Hun Sen also congratulated Vietnam on the signing of a free-trade agreement (FTA) and investment protection between the European Union and Vietnam, which is continuing the development of the economy, trade and investment between the two.
“I believe that the growth of Vietnam’s economy and the signing of the free-trade agreement will not only provide benefits directly to Vietnam but also provide advantages to other neighbouring countries including Cambodia through the flow of trade, investment and tourism,” Mr Hun Sen added.
Bilateral trade between Cambodia and Vietnam is 2018 achieved at $4.7billion, increased by about 24 percent compared with 2017. However, in 2019 the bilateral trade was at $5.2billion. It was achieved over the target set by both governments to reach $5billion by 2020.
Vietnamese Ambassador to Cambodia Vu Quang Minh said the year 2019 was a prosperous one between Cambodia and Vietnam in that both nations achieved big successes on national and economic development while their roles on the international stage were promoted.
He said cooperation between Cambodia and Vietnam has grown significantly in all sectors including the economy, national defence, security, culture, education and between individuals.
“The remarkable development regarding the economy and trade is because they are supported and encouraged by both governments, especially with support from the Cambodian government for Vietnamese business and investment in Cambodia,” Vu added.
Nguyen Thanh Dung, chairman of the Vietnam Business Club in Cambodia, acknowledged the fact that doing business in Cambodia has led to Vietnamese business growth and success. He said it is because of the support of the government of Cambodia and other relevant institutions in Cambodia.
“The solid economic growth in Cambodia, political stability, security, social order and peace have created a good environment for doing business in Cambodia,” Nguyen said.
He added trade and investment between Cambodia and Vietnam has increased remarkably. Bilateral trade has increased $5.26 billion, up nearly 12 percent, compared with 2018.
He said as of January this year, Vietnam has 214 projects registered in Cambodia, with a total investment capital of $3.07 billion. Of them, 176 valid projects registered total capital of $2.77 billion.
Nguyen said Vietnam is among the top three of foreign direct investors in Cambodia. He said Vietnamese business activity is mostly involved with agriculture, banking, telecommunication and technologies and food processing.
He added that the investment activities of Vietnamese enterprises in Cambodia are not only successful for Vietnamese businesses but also contributed to the development of the economy and social security of Cambodia.
“Our investment will be an efficient and long-term investment in Cambodia because we are considering Cambodia as a second home, so we hope that the government of Cambodia will put their belief in us and support us,” Nguyen said.
Mr Hun Sen urged the Council for the Development of Cambodia (CDC) and relevant ministries to push the development of the special economic zone along the Cambodian and Vietnamese border, adding to the existing special economic zone in Bavet, Svay Rieng province.
“I believed that for the moment, to facilitate and encourage more investment from Vietnam, we are trying to solve issues that Vietnamese investors and businesses have met in Cambodia,” he added.
“Now, the Cambodian government is welcoming all the decisions of the foreign investors, especially, Vietnamese investors who choose and aim to invest in Cambodia and set Cambodia as their first place to start their investment or expand their business,” Mr Hun Sen said.
Source: https://www.khmertimeskh.com/50681330/pm-wants-boost-for-food-processing