Cambodia’s garment exports increased by 11.40 per cent from January to September 2021 compared to the same time previous year reveal General Department of Customs and Excise stats. Despite Covid, the Cambodian garment industry managed to avoid falling into negative territory. The industry has been gaining market share as a result of extraordinary hurdles stemming from political concerns and Covid consequences of rival nations. The surge in garment exports bodes well for economic activity in the country as other nations grapple with the difficult conditions imposed by the virus. This year Cambodia was lucky to receive some orders shifted from Myanmar and would have grown bigger were it not for the February 20 community outbreak.
The country is working to simplify the local investment and business climate in order to create trust in businessmen and investors as market access to a variety of nations is expanded. Cambodia has inked new free trade agreements with China, South Korea, and other markets in order to make Cambodia a more attractive investment destination. Cambodia’s garment exports fell 10.44 per cent in 2020 compared to 2019. The EU has decided to withdraw one-fifth of the Everything But Arms (EBA) for Cambodia covering Cambodia’s exports of garment and footwear products, travel goods, and sugar. Without EBA, Cambodia will find it difficult to continue the necessary transformation of the textile industry.