Trade between Cambodia and Indonesia has grown by 43.2 per cent to $304 million in the first quarter of 2023, with the textile industry being a significant contributor to the trade between both countries. According to trade data, Cambodia’s fabric exports to Indonesia showed impressive growth in 2022, reaching $11.607 million from $0.397 million in 2018. The growth rate continued with exports valued at $0.707 million in 2019, $2.575 million in 2020, $7.329 million in 2021, and $1.061 million in the first two months of 2023.
Cambodia is a net exporter of garments and fabric to Indonesia, with exports consistently growing in previous years. On the other hand, Cambodia’s fabric imports from Indonesia have seen a downward trend in previous years, with imports valued at $4.541 million in 2022, down from $11.308 million in 2020 and $7.864 million in 2021.
In terms of apparel exports, Cambodia has consistently increased its exports to Indonesia after COVID-related disruptions in 2020, with exports valued at $20.504 million in 2022 from $16.144 million in 2021. This marks a significant recovery from the steep fall in trade during 2020 when exports were valued at $14.560 million, against $22.292 million in 2019. Cambodia had exported apparel worth $18.360 million in 2018. During the first two months of 2023, Cambodia exported apparel worth $2.381 million. Cambodia’s import of apparel from Indonesia was valued at $1.840 million in 2022.
While both countries are major exporters of textile products, there is limited scope for bilateral trade in the textile industry between both countries as Indonesia’s textile imports from Cambodia are need-based and in limited quantities. However, the growth rate in Cambodia’s textile exports to Indonesia is impressive, while the country’s fabric imports from Indonesia have seen a downward trend.
The trade data indicates that the textile industry remains a significant contributor to the trade between Cambodia and Indonesia, with Cambodia being a net exporter of garments and fabric to Indonesia. The impressive growth rate in Cambodia’s textile exports to Indonesia shows the country’s potential in the textile industry.
Cambodia’s Minister of Commerce, Pan Sorasak, said that the impressive growth rate in Cambodia’s textile exports to Indonesia is a reflection of the country’s effort to diversify its export markets. He added that the government will continue to provide support to the country’s textile industry, including improving infrastructure and promoting the use of advanced technology in the production process.
The Minister also expressed hope that Cambodia’s textile exports to Indonesia will continue to grow in the future, especially as Indonesia’s textile industry continues to grow rapidly. He urged Cambodian textile producers to take advantage of the opportunities offered by Indonesia’s growing market.
In conclusion, Cambodia’s impressive growth in textile exports to Indonesia highlights the potential of the country’s textile industry. As the government continues to provide support and promote the use of advanced technology in the production process, it is expected that Cambodia’s textile exports to Indonesia will continue to grow in the future.