Cambodia garment sector fears competition from Myanmar
Dated- 27 Apr , 2012 - Cambodia
The lifting of EU sanctions against Myanmar is bound to have an impact on the Cambodian garment sector, Cambodia Sin Chew Daily reported on Thursday.
The European Union announced earlier this week that it was lifting sanctions against the country. Japan and Canada have made similar announcements since the end of last week.
"The Cambodian garment industry will certainly be affected after EU sanctions against Myanmar are abolished," Garment Manufacturers Association in Cambodia (GMAC) Secretary-General Lu Qijian was quoted as saying.
"But we do not know the effect as we do not know the details of the EU suspension of sanctions against Myanmar."
Lu reportedly said that the impact on local companies will not be felt soon and that, for the time being at least, the local garment industry will not move to Myanmar.
Min Soe, of the Myanmar Garment Manufacturers Association, was quoted as saying that the Myanmar textile and garment sector could recreate 20,000 jobs next year once sanctions were lifted. Over a period of 10 years, the report noted, sanctions led to the loss of about 80,000 jobs in the sector.