The Garment Manufacturers Association of Cambodia released a report stating that the Cambodian apparel industry is facing hardships in competing with neighbour countries due to low productivity, labour strife, and increasing wages.
According to their statistics, Cambodian garment sector’s productivity is only 60 per cent of China’s, 80 per cent of Vietnam and Indonesia’s, and 50 per cent of Bangladesh’s. GMAC’s Secretary-General, Ken Loo holds low productivity, high wages, and trade unions operating with impunity, as the main reasons for facing difficulties in competing.
According to GMAC, where exports to Europe have grown because of the zero-tariff scheme in the first quarter of 2015, to the US, have gone down by 8 per cent.
