The Council for the Development of Cambodia (CDC) has recently approved a new garment factory, Auspicious Bag and Shoes Accessories Co Ltd, which will invest US$2.4 million in Kraing Makak Village, Ang Snuol District, Kandal Province. The production and manufacturing of ready-made garments is expected to create 380 jobs.
In recent months, the CDC has approved 10 new investment projects, with a total investment of approximately US$80 million. Most of them will set up factories to produce clothing, travel bags, and footwear. Cambodia’s clothing, footwear, and travel bag manufacturing industries are suffering from the impact of the epidemic. Some factories have been forced to temporarily close due to local epidemic outbreaks, and some factories have closed permanently. According to the Cambodian Ministry of Industry, 101 factories closed in 2020, most of which were garment factories. When the epidemic broke out again in mid-May 2021, a total of 27 factories closed and 75 factories filed for bankruptcy.
However, there are signs that the worst period is over. According to statistics from the Cambodian Ministry of Commerce, Cambodia receives many orders from Myanmar. Due to Myanmar’s human rights issues, American companies have switched orders from Myanmar to Cambodia for production. In the first half of this year, exports to the United States exceeded US$3 billion, an increase of 35% over the same period in 2020. , the export products are mainly clothing, bags and footwear.
