Garment Exports Drop

Garment exports fell in September as a knock-on from the Ukraine-Russia crisis, which has pushed up inflation in Europe
Factory workers leave work in Phnom Penh. Kiripost/Siv Channa
Factory workers leave work in Phnom Penh. Kiripost/Siv Channa

Garment exports fell in September​ due to the Russia-Ukraine crisis, which reduced exports from Cambodia.

Spokesman for the Ministry of Labor and Vocational Training, Heng Sour, made the statement during a press conference at the Office of the Council of Ministers on Wednesday that the Russia-Ukraine crisis has pushed up inflation in Europe to increase the use of gasoline and reduce orders from brand owners.

“We do not know when the Russian-Ukraine crisis will end, it is a concern that we are paying close attention to,” Sour said.

He added that the ministry has a plan to develop the garment and bag industry, which will increase competition and skills.

“We see a significant number of exports decreasing, which is a bad thing. We will continue to monitor measures to prevent this problem,” he said

"However, the buyers decide to order from Cambodia more than the maximum compared to other countries."

The garment sector contributes greatly to the economy by creating jobs and wages opportunities. When wages change in the garment sector other sectors follow.

“If there is a suspension or closing of factories due to this export we already have a law that employers must address to workers during the suspension of employment contracts."

According to Sour, there are around two million people working in the garment sector.