HK trade surges in early 2011

[PHNOM PENH POST]

TRADE between Cambodia and Hong Kong rose sharply year-on-year in the first two months of  2011, as the Kingdom imported more materials for the garment sector, according to officials.

Trade between the two countries grew 39.4 percent to about US$99 million in January and February, up from $71 million in the same period last year, according to statistics from the Hong Kong Development Council obtained by The Post on Friday.

Cambodia’s total exports to Hong Kong surged 95 percent to more than $5 million, while total imports from Hong Kong climbed 37 percent to $93 million.

Ministry of Commerce Secretary of State Ok Boung said Cambodia’s garment industry benefited from relaxed import regulations in the European Union, requiring more imports of raw materials. Hong Kong businesses often also ran operations in mainland China, which was increasingly doing business with Cambodia, he said.

“[Cambodia’s] exports should increase, and imports of raw materials will also rise,” he said.

Cambodia’s main imports from Hong Kong were cotton and other fabrics, as well as related  garment-manufacturing machinery and parts, which soared an annualised 858 percent during the period. The Kingdom exported mostly footwear and finished clothing to the island, the statistics showed.

Nguon Meng Tech, Director General of the Cambodia Chamber of Commerce, said the adoption of Cambodia’s new anti-corruption law also made the country very attractive for foreign investors.

“[Trade] would be increased in parallel with efforts made by the government [to end corruption]. I see investors coming here a lot,” he said.