The newly formed Cambodia Travel Goods and Leather Association (CLTA) will ‘bridge the gap’ between the government and private enterprise to better assist the industry that exported over a billion dollars worth of products last year.
More than 500 members, sponsors, and partners attended the launch event at the Sofitel in Phnom Penh the launch including Deputy Prime Minister H.E Men Sam An and Neak Oknha Keth Meng, Chairman of Cambodia Chamber of Commerce.
The event also brought together over 20 business associations and chambers in Cambodia and was sponsored by Kasen Group, Alpha Commercial Bank, Huawei Technologies, ES Packaging, Singapore Cambodia International Academy, and Hanuman Beverages.
A common platform for the industry
The CLTA will be led by Honorary Chairman Oknha Ly Kunthai and Chairman Lim Tong, who stated the association was established due to the growing numbers of small and large factories in Cambodia.
“There was a need to establish the independence of the manufacturing sector of each product is increasing, it is necessary and timely to form this association to give focus on each product with efficiency,” Oknha Ly Kunthai said.
“CTLA will serve as a common platform for members to provide ideas, and facilitate communication in providing appropriate solutions to all stakeholders for the common benefits and contribute to the development of Cambodia’s economy,” he added.
Chairman Lim Tong explained that the export data of bags and traveling products to foreign markets increased by over 55% compared to 2021, with a total value of $1.02 billion.
“Since the establishment of the association, we have gained full support from all factories in this industry,” he said.
“Our association aims to join the government in attracting investors, facilitating setting up of factories and providing employment opportunities to workers in Cambodia, stimulate the economic growth of the Kingdom of Cambodia to grow even stronger,” he added.
Working with partners to help members
The CLTA also signed several agreements to work with partner institutions including the Cambodia Chamber of Commerce, the Singapore Cambodia International Academy, and Huawei Technologies.
The agreements will allow the CLTA to implement training sessions for its members, develop better communication technology infrastructure via smart devices as well as implement green energy infrastructure across the industry.
Cambodia Investment Review has previously reported local manufacturing companies have been requesting the government cancel burdensome grid connection capacity charges as well as offer more favorable tariffs for rooftop solar to ensure the sector remains competitive.
In addition, the sector is currently undergoing a transformation focusing on developing sustainability for its workforce as well as its carbon footprint.
To read more about the transformation click here.
The association said it will also be guiding member factories to adhere to International Labor Organization Better Factories Cambodia requirements in improving workplace conditions, maintaining the interest of both employers and workers, and aligning with the development strategy of the government.