Wednesday, May 31, 2006

Cambodian garment industry continues to grow

Wednesday May 31, 2006

(Kyodo) - Cambodia's garment industry retains its place of pride even though the Multifiber Arrangement ended a year ago, according to figures released Wednesday by the International Labor Organization.

"The total value of exports of Cambodian garment and textile increased almost 10 percent to $2.175 billion in 2005. Exports to the U.S. grew by just over 10 percent in quantity and nearly 20 percent in value," the ILO said in a statement.

The statement refers to research on the industry's post-quota performance.

Garment export in 2004 was worth $1.8 billion.

The statement, said that from Jan. 1, 2005 to April 30, 2006, nearly 30,000 new jobs were created. The number of garment workers was 293,600 in April 2006 and the number of factories increased about 13 percent in 2005 even though some factories closed.

"This data is very encouraging," said Ros Harvey, chief technical adviser for the ILO's Better Factories Cambodia project.

"We are seeing a steady growth in the sector, however, there are still many challenges ahead for the industry," she added.

"We need to build on the successes and further improve labor standards and productivity in the industry. This is not a trade-off," Harvey said.

The ILO research shows the average wage remained fixed at $72 a month, a 6 percent decrease when adjusted for inflation.

Rong Chhun, senior adviser to the Free Trade Union of Workers in the Kingdom of Cambodia, said even though the garment sector dominates most of the country's exports, the actual monthly salary is still low at just $45, while working condition remains unchanged.

The garment sector represents almost 80 percent of Cambodian exports.

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