The all-in-one logistical portal for parcel senders and recipients Jalat Logistics is continuing to develop its AI-driven application showcasing Cambodia’s emerging e-commerce sector in line with the government’s Digital Economy and Society Policy Framework 2021-2035.
Jalat Logistics was founded by three Cambodian entrepreneurs Lylay Ung, Sou Sethey and Sreyphoung Sou, who are some of the first Angkor500 graduates to be awarded pre-seed funding of over $100,000 by IG International Group.
The company is the first Cambodian startup to compete and win against 29 other startups from ASEAN + Korea in the pursuit of finding an innovative startup which not only can scale the impact in its country but to other countries in ASEAN.
In addition, the founders participated in NextRise 2022 event pitching to investors and companies from Korea and global networks creating potential collaboration between investors and companies to create and expand our operation in other countries in ASEAN region.
Speaking to Cambodia Investment Review the three founders of Jalat Logistics said the company was conceived after a deep-rooted investigation into last mile chain logistics in Phnom Penh.
“The problem lies even more on the business side as the logistics management for businesses is non-existent with no tracking of parcels and proper logistics reporting, and worse, high delivery fees. What separates us from other delivery apps in the market is our hybrid model,” the group said.
“We can offer one of the most affordable delivery fees in Phnom Penh fixed at KHR 3400 (USD 0.83) or even lower with a complete solution from the pickup, delivery, cash on delivery, and reporting while our consumers are guaranteed a 4-6 hour delivery,” they added.
Long-term development for Cambodia’s tech sector
Following on from the company’s pre-seed capital injection its long-term growth strategy is to vertically expand its services.
“Our aim is for every business size with small-sized to bulky and cold chain products can utilize our logistic infrastructure to store, pickup, deliver anything hand to hand within the same city along with documentation and reporting all in one logistic management app,” the group said.
Cambodia is continuing on its long-term vision of becoming an upper-middle-income country by 2030 and ultimately a high-income country by 2050; implementing the Cambodia Digital Economy and Society Policy Framework 2021-2035.
The framework aims to build a vibrant digital economy and society by laying the foundations to promote digital adoption and transformation in all social actors including the state, citizens, and businesses, to accelerate new economic growth and promote social welfare in the new normal.
To read more about e-commerce platforms need to integrate with Cambodia’s digital logistics infrastructure click here.
Executive Director of the Techo Startup Center H.E. Dr. Nguonly Taing explained at a recent Give A Day talk that developing Cambodia’s tech startup ecosystem was vital to establish new drivers of Cambodia’s economic growth and overcome internal and external challenges being presented now and over the coming years.
Jalat Logistics showcases Cambodia’s emerging startup scene
Techo Startup Center is a conduit between various services to assist Cambodian start-ups to develop and ultimately scale as well as assist in building essential FinTech infrastructure to support the products and services.
“We need to find new growth drivers to make our economy more resilient. The advancement of digital technology creates an opportunity for a new emerging economy, the so-called “Digital Economy” that will increase in value from $100 billion in 2019 to an estimated $1 trillion in 2030 for the South East Asian region,” he said.
To read more about Give a Day’s talk on Cambodia’s Digital Economy, Fintech Landscape and Development Policy click here.
Reflecting on Cambodia’s tech startup sector the group says the sector has only recently formed in the last few years so there is still a lot of room for improvement.
“The government has been supportive and nominated us to join and validate our business model and product market fit, for instance, an ASEAN level competition hosted by ASEAN Korea Center,” the Jalat Logistics group said.
“However, for us, as a local startup would like to see the government set up a Startup Tax Exemption scheme and regulate competition to avoid a price war, especially with foreign companies that have large capital,” they added.