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Cambodia: Green is ‘this year’s colour’ for the garment sector
Thirty Cambodian garment factories have signed up for the EU-funded Switch Garment auditing process, with 20 more slated to join the initiative by the end of the year.
The initiative is meant to reduce carbon greenhouse emissions. The Global Green Growth Institute estimates that improved energy practices in Cambodia’s garment production could reduce greenhouse gasses (GHG) by 17 percent.
McKinsey & Company, the world’s foremost consultancy and advisory firm, estimated that the garment industry produced some 2.1 billion tonnes of GHG in 2018, accounting for approximately 4 percent of the world’s emissions.
“There are several benefits to going green in the garment industry from altruistic to commercial,” Garment Manufacturers Association of Cambodia (GMAC) Secretary-General Ken Loo told Khmer Times.
“There is increased emphasis on green production and sustainability from companies placing orders who have their own environmental standards. Consumers are also demanding it. Going green means that the entire industry will be more sustainable in the long run.”
GMAC is an implementing partner in the Switch Garments initiative in partnership with Global Green Institute and nongovernmental organisation Geres-Cambodia.
Loo added that the cost of electricity in Cambodia is the highest in ASEAN and accounts for “a substantial amount of manufacturing costs”.
Despite experiencing a tumultuous 2020, Cambodian exports of garments, footwear and travel products rose by 0.9 percent in the first half of this year to $4.681 billion.
Stakeholders are preparing to enter negotiations next month on raising the minimum wage with unions proposing that wages be increased by $50 to $250 per month.
Loo urged unions to reconsider their demands in light of the pandemic.
Unions will enter negotiations with the Ministry of Labour and Vocational Training, GMAC and trade unions.
Source: https://www.khmertimeskh.com/50924131/green-is-this-years-colour-for-the-garment-sector/