Cambodia: 161 new factories registered in Jan-Nov
Cambodia registered 161 new factories in the January-November period of this year, bringing the total number of factories to 1,968, according to the Ministry of Industry, Science, Technology, and Innovation.
The total factories had a total investment of $16 billion as of November, said the ministry’s Secretary of State and spokesman Heng Sokkhung.
A total of 72 factories were shut down during the period, he said.
Industrial factories produced products worth almost $12 billion during the period. He said that products worth $8.4 billion were exported to foreign markets while the rest were supplied in the domestic market.
Sokkhung attributed the country’s industrial development to peace and stability, particularly the government’s successful handling of the pandemic situation that led to the resumption of all kinds of socio-economic activities.
The number of new factories opened reflected the potential of the manufacturing sector to attract investors, helping the country’s economy return to normal, he said.
“Cambodia has received a steady influx of investment despite the Russia-Ukrainian war and the Covid-19 crisis,” he said yesterday.
Garment, footwear and travel goods industry is the largest foreign exchange earner for Cambodia.
Cambodia’s non-garment manufacturing products include electronic components, bicycles, auto parts, furniture, leather, plastic and other industrial products.
Lim Heng, vice president of the Cambodia Chamber of Commerce, said the Regional Comprehensive Economic Partnership (RCEP), Cambodia-China Free Trade Agreement (CCFTA) as well as the country’s favourable new investment law are key in attracting new investors.
“Having new factories opened up clearly shows that Cambodia is a potential destination for both domestic and foreign investors,” Heng told Khmer Times.
The new bilateral free trade agreement between Cambodia and South Korea is effective on December 1, expanding the wider market to Cambodia-made products, said Penn Sovicheat, under-secretary and spokesman at the Ministry of Commerce.
The Cambodia-South Korea free trade agreement can help boost Cambodian export of garments, textiles, and footwear, he said.
“The agreement is expected to attract more foreign investment, adding that goods exported to the South Korean market must adhere to high technical quality, both industrial and agricultural products,” Sovicheat said in October.