Exports Rise, but Value of Goods Remains Weak

Cambodia saw significant percentage gains in regional trade in the first six months 0f the year, though the gap between imports and exports remained large, according to data released yesterday by the Ministry of Commerce. According to the figures, the country saw regional exports to five major trade partners rise 94.9 percent in the first half of this year compared to the same period last year, from $69.23 million to $134.93 million. However, imports from Vietnam Thailand, South Korea, Malaysia and Singapore rose 63.7 percent overall in the first six months, from $933.88 million to $1.53 billion, according to the data.

Kong Putheara. Director of the Ministry of Commerce’s statistics department, said Cambodia still mostly exports garment and agricultural products, which keeps the value of exported goods low in comparison to those of regional countries, who often import more valuable products to Cambodia.  “We don’t have any other products for export besides our current main products,” Mr Putheara said. “We still don’t have the technology to produce new things for export.” Goods imported from Singapore in the first half of 2001 increased 164 percent to about $165.174 million, but exports t Singapore increased only 21 percent, to $10.16 million. Exports t South Korea increased 29 percent to $15.77 million, while South Korea’s exports t Cambodia increased 39 percent to $138.98 million. Malaysia’s exports t Cambodia rose 81 percent to $127.14 million.

While exports from Cambodia t Malaysia, although they rose by 163 percent, were only $23.72 million in value. Exports to Vietnam increased by 117 percent to $76.35 million, while imports from Vietnam increased by 39 percent to $668.82 million. Exports from Cambodia to Thailand increased 98 percent to $8.91 million, while imports from Thailand increased 88prcent to $429.07 million. Khin Pisey , a researcher at the Economic Institute of Cambodia, said that utility costs in Cambodia such as electricity remained high compared with costs in neigh boring courts, resulting I low value and low quantity for oversea exports.   “We export one item to another country, but they export to us with 10 items,” he said. “Our local production remains weak due to high infrastructure cost, including [transportation], water and electricity.”