Special MadeInCambodia counters are now a familiar sight in supermarkets across Phnom Penh and other major cities, reflecting a growing national effort to encourage Cambodians to look inward when they shop. For years, imported goods from China, Thailand, Vietnam, Malaysia, South Korea, and Japan have filled store shelves, shaping consumer habits and perceptions about quality and value. While local manufacturing and agro processing have steadily expanded, many shoppers still associate foreign brands with higher standards and stronger reputations. Against this backdrop, the Ministry of Commerce has launched a nationwide year long MadeInCambodia campaign, aiming to inspire patriotic buying and strengthen domestic consumption. But beyond national pride, the deeper question remains whether the campaign can truly shift consumer confidence and purchasing behavior in a meaningful and lasting way.

A National Campaign Backed by Policy and Promotion

The official launch of the campaign took place on February 14 at Chip Mong 271 Mega Mall, presided over by Commerce Minister Cham Nimul. The initiative involves more than 300 supermarkets, marts, and mini marts in Phnom Penh and across the provinces, with monthly promotional weeks dedicated to highlighting high quality local goods. Speaking at the ceremony, Nimul said, “The MadeInCambodia campaign holds significant meaning for our people, demonstrating their support for national products, Cambodian farmers and producers, and their patriotic spirit.” The campaign is not only about boosting sales. It is designed to showcase the diversity of Cambodian products, improve market linkages for domestic enterprises, and raise awareness about price, quality, and regulatory compliance. At the same time, the ministry is working to prevent the circulation of low quality, defective, and illegal goods, emphasizing that quality assurance requires cooperation from authorities, businesses, and consumers alike. “When consumers are knowledgeable and understand the products they purchase, it creates awareness among producers. Those involved in production, including anyone who may consider engaging in quality fraud will be encouraged to act with integrity. Our main goal is to promote greater consumption of Cambodian products,” Nimul underlined, adding, “More importantly, we want to empower consumers so they have real choices in terms of price, taste, and variety. Consumers must also feel confident to say, ‘This product is not good, I will not buy it.’ When that happens, poor-quality products will automatically disappear from the market.”

Understanding Consumer Perception and Market Realities

Economist Prom Tevy of the Royal Academy of Cambodia explains that products in Cambodia generally fall into three categories: unprocessed goods, minimally processed goods, and highly processed goods. At present, most MadeInCambodia products belong to the first two categories, including agricultural produce, ready to eat food, and household items such as soap and shampoo. These products, she argues, are well within the country’s production capacity and do not require advanced technology. However, Cambodia still relies heavily on imports for highly processed goods such as premium cosmetics, perfumes, electronics, motorcycles, and cars. In a free market economy, consumers with greater purchasing power will naturally seek products from abroad, and imports cannot simply be restricted. Tevy believes that real change will depend on improvements in processing capacity, packaging, pricing, and consistent quality. As Cambodia’s economy strengthens, and as local brands become more competitive in presentation and performance, consumer dependence on imports is likely to decline gradually rather than overnight.

Business Leaders See Opportunity and Constraints

Lim Heng, Vice President of the Cambodian Chamber of Commerce, notes that rising nationalist sentiment and occasional calls to boycott certain foreign goods have contributed to stronger interest in local products. Still, competition remains intense, particularly from ASEAN member states and neighboring countries. He points out that most Cambodian manufacturers still import a large share of their raw materials, which can make domestic production more expensive than importing finished goods. When local raw materials such as agricultural inputs are used, Cambodian producers can compete effectively. However, in sectors that depend heavily on imported components, cost pressures remain significant. For Heng, the timeline for building lasting consumer trust depends on market dynamics. If patriotic buying continues and consumers support local brands even when profit margins are small, momentum will grow. If enthusiasm fades or prices appear uncompetitive, progress may slow.

Local Producers Feel the Shift

On the ground, several business owners say they are already seeing tangible results. Chang Sok Hung, owner of Yang Li Yi Tofu enterprise, recalls a time when supermarket shelves were dominated by imports and Cambodian products struggled for visibility. Today, she says, local goods are far more prominent, and public support has motivated her to focus even more on hygiene, safety, and quality standards. Sar Srey Houch, owner of Ringacam Enterprise, reports sales growth of 20 to 30 percent, driven by increased confidence in Cambodian made goods. “For me, what makes me happiest is that I am able to support Cambodian farmers,” she said. “I am proud to process Cambodian raw materials and sell Cambodian products back to local consumers. This helps keep the financial cycle within our country, allowing our money to circulate domestically.” In Siem Reap, Kun Dama of Dama Prahok handicraft says her sales have jumped by 30 to 40 percent as more Cambodians actively choose local brands. For these producers, the campaign is more than a slogan. It represents expanded market access, stronger brand recognition, and greater economic circulation within the country.

Quality Remains the Decisive Factor

Despite the positive momentum, consumer voices suggest that patriotism alone will not determine buying decisions. Eng Ratha, a Phnom Penh resident, says he regularly buys locally made food, beverages, and household goods. However, for cosmetics, fragrances, and certain personal care products, he still prefers imported brands. “For cosmetics and fragrances, local production has not yet been able to meet market demand or consistently achieve the level of quality consumers expect. The quality remains relatively low,” he said. His view reflects a broader reality: trust is built on consistent performance. For many shoppers, quality, safety, packaging, and brand reputation outweigh emotional appeals. Supporting local products matters, but only when those products deliver comparable value.

Conclusion

The MadeInCambodia campaign has already strengthened national awareness and improved visibility for local producers. It has sparked conversations about economic independence, consumer responsibility, and domestic value creation. Yet consumer confidence cannot be mandated. It must be earned through reliable standards, competitive pricing, attractive packaging, and transparent regulation. If businesses, policymakers, and consumers continue working together, the label MadeInCambodia may gradually evolve from a patriotic gesture into a genuine mark of trust and quality in the marketplace.

Why Does Cambodia Indonesia Trade Still Have Room to Grow?

The 11th episode of Cambodia’s Economic Growth Policy Dialogue took a close look at “Trade and Economic Relations with the Republic of Indonesia,” bringing together senior diplomats and business leaders to evaluate where the partnership stands and where it could go next. The session was hosted by H.E. Prof. Bundit Sapheacha Dr. Sok Siphana, Senior Minister in charge of Special Missions and Chairman of the Trade Policy Advisory Board, alongside H.E. Santo Darmosumarto, Ambassador Extraordinary and Plenipotentiary of the Republic of Indonesia to the Kingdom of Cambodia, and H.E. Dalton Wong, President of the Indonesia Chamber of Commerce in Cambodia. While diplomatic relations between the two countries have now spanned 66 years and remain strong, the conversation made it clear that trade performance has yet to reach its full potential. Bilateral trade has stayed at just over one billion dollars in recent years, but a slight dip in the first half of 2025, largely due to lower Cambodian exports, has raised concerns. Much of the trade still centers on commodities rather than deeper investment collaboration. Business leaders suggested that future growth depends on moving beyond traditional buying and selling toward joint ventures and co investment strategies that mirror Indonesia’s partnerships elsewhere in the region. Cambodia’s rice sector was highlighted as a policy success story, with exports rising from about 15,000 tons in 2010 to between 700,000 and 800,000 tons annually today, showing how targeted reforms and private sector engagement can transform an industry. Participants also pointed to agro industrial development, including cashew processing and rice based products, as areas where Indonesia’s technical expertise could help Cambodia climb the value chain.

How Can ASEAN Markets Unlock Greater Opportunity?

The discussion also placed Cambodia Indonesia trade within the broader ASEAN framework. Intra ASEAN trade currently accounts for around 20 percent of the bloc’s total trade, a figure many see as modest given the region’s economic size and integration goals. Sok Siphana described intra ASEAN trade as a “low hanging fruit” that remains underutilised, urging businesses to make better use of existing trade facilitation agreements. While ASEAN countries often produce similar goods, new complementarities are emerging as economies diversify. Indonesia is expanding into electric vehicle industries and related supply chains, strengthening its industrial base. The Ambassador underscored Indonesia’s global engagement through its participation in BRICS and longstanding membership in the G20, positioning it as both ASEAN’s largest economy and a bridge to global markets. At the same time, he emphasized that ASEAN operates as a community of equal members, with Indonesia seeking collaboration rather than dominance.

What Logistics and Investment Gaps Must Be Addressed?

Logistics emerged as a critical factor affecting competitiveness. Although global shipping costs have largely stabilised since COVID 19, transport expenses in Cambodia remain comparatively high. Sok Siphana pointed to plans to deepen the country’s main seaport to handle larger vessels and reduce reliance on regional transshipment hubs. Inland waterways were also described as underused assets that could lower export costs if properly developed. The Dialogue identified specific investment gaps, including Cambodia’s dairy market. With daily demand estimated at 120,000 to 150,000 litres and local production supplying only about 20,000 litres, the shortfall presents a clear opportunity for Indonesian investors with dairy processing expertise. Speakers encouraged Indonesian companies to see Cambodia not only as a domestic market of 17 million consumers but also as a strategic production base connected to ASEAN and broader regional trade agreements. Manufacturing, packaging, and assembly operations in Cambodia could serve much larger export markets under existing frameworks.

Why Are Youth and Perception Central to the Next Phase?

Generational change within Cambodia’s private sector was another key theme. Sok Siphana reflected on how earlier generations built businesses under post conflict constraints, often with limited international exposure. Today, a new wave of entrepreneurs educated abroad is returning with stronger familiarity in governance, compliance, and global business standards. Indonesia’s Ambassador described these young leaders as essential partners for deeper bilateral engagement and recalled initiatives that brought Cambodian entrepreneurs to Indonesia to broaden their regional outlook. Perception gaps were also discussed. Many Indonesians still associate Cambodia primarily with historical narratives, while Cambodian views of Indonesia may be shaped by external media. Expanding media collaboration, student exchanges, and business networking was seen as crucial to reshaping mutual understanding. Participants concluded that while government ties are solid, the next stage of cooperation will depend on stronger business to business links, academic partnerships, and more active information sharing across sectors.

Conclusion

Cambodia and Indonesia have built more than six decades of diplomatic trust, yet their economic relationship remains underdeveloped compared to its potential. By shifting from commodity trade to joint investment, improving logistics infrastructure, leveraging ASEAN frameworks, and empowering a new generation of entrepreneurs, both countries can unlock deeper and more sustainable growth. The Dialogue made one point clear: the foundation is strong, but the real opportunity lies in translating political goodwill into practical, private sector driven results.

Why Did Cambodia’s FDI Rise by 16 Percent in 2025?

Cambodia attracted $5.1 billion in foreign direct investment in 2025, marking a strong 16 percent increase from the $4.4 billion recorded in 2024. According to data from the Council for the Development of Cambodia and the National Bank of Cambodia, the growth comes despite global economic uncertainty, geopolitical tensions, and tighter financial conditions in major economies. The steady rise in capital inflows signals that international investors continue to see Cambodia as a stable and promising destination. The performance reflects growing confidence in the Kingdom’s macroeconomic stability, consistent reforms, and open investment framework, all of which have strengthened its competitiveness in the region.

How Dominant Is China in Cambodia’s Investment Landscape?

China remained Cambodia’s largest foreign investor in 2025, contributing approximately $3.76 billion, a sharp 42.3 percent increase from $2.6 billion in 2024. This means China accounted for 73.7 percent of total FDI, further consolidating its position as a central partner in Cambodia’s industrial expansion. Much of this investment flowed into export oriented manufacturing such as garments, electronics assembly, machinery components, and light industrial production. The surge underscores Cambodia’s expanding role in regional and global supply chains, particularly as Chinese enterprises continue to diversify production bases across Southeast Asia.

Are Other Countries Increasing Their Presence?

While China dominates the investment landscape, Cambodia is also seeing broader diversification in capital sources. Singapore ranked second with $347 million, representing 6.8 percent of total inflows. Canada followed with $230 million at 4.5 percent, while Malaysia invested $174 million or 3.4 percent. South Korea contributed $165 million, accounting for 3.2 percent of total FDI. Although these figures are significantly smaller than China’s share, they highlight sustained interest from both regional neighbors and Western economies. This diversified investment base strengthens Cambodia’s economic resilience and reduces overreliance on a single market.

Which Sectors Are Driving Investment Growth?

Manufacturing remains the backbone of Cambodia’s FDI inflows, attracting 68.1 percent of total investment in 2025. This reinforces its central role in the country’s export growth strategy and industrial development agenda. Financial activities captured 11.9 percent, reflecting expansion in banking and microfinance services that support business operations. Construction accounted for 6.1 percent, while energy attracted 3.5 percent, demonstrating continued investment in infrastructure and power generation to sustain industrial expansion. Agriculture received 2.7 percent, accommodation services 2.2 percent, and real estate 2.0 percent. The remaining share was distributed across logistics and other service sectors, indicating balanced growth across multiple industries.

What Does This Growth Mean for Cambodia’s Economy?

The latest figures demonstrate Cambodia’s resilience in attracting foreign capital and maintaining investor confidence. Speaking to Khmer Times, leading economist Duch Darin said, “The 16 percent increase in the FDI to $5.1 billion indicates that investors continue to repose confidence in Cambodia’s macroeconomic stability, open investment policy and reforms. Darin noted that diverse FDI is economically important because it facilitates industrial upgrading, attracts more financial capital, supports export diversification, promotes technology transfer and creates more jobs. “Continued FDI inflows will not only further consolidate Cambodia’s industrial base but also lead to a sustainable expansion and improved living conditions,” he added. His assessment highlights how sustained investment inflows can help the Kingdom move beyond traditional industries and achieve long term economic transformation.

Conclusion

Cambodia’s ability to secure $5.1 billion in foreign direct investment in 2025 reflects strong investor confidence, particularly in its manufacturing sector and reform agenda. While China remains the dominant source of capital, the presence of other regional and Western investors underscores growing diversification. With manufacturing leading the charge and infrastructure, finance, and services supporting expansion, Cambodia is positioning itself as a resilient and competitive investment hub in Southeast Asia. If the current momentum continues, FDI will remain a key driver of sustainable growth, industrial upgrading, and improved living standards across the Kingdom.

Cambodia has officially rolled out a nationwide campaign to champion locally made products and encourage consumers to choose homegrown goods over imports. But what does this initiative really mean for businesses, retailers, and everyday shoppers across the country?

Why Is Cambodia Encouraging Citizens to Buy Local?

The Ministry of Commerce has launched the National Product Campaign #MadeInCambodia with a clear objective to strengthen domestic industries and reduce reliance on imported goods. Unveiled at Chip Mong 271 Mega Mall in Phnom Penh, the campaign aims to bring Cambodian products into the heart of modern retail spaces and everyday consumer choices. From agricultural produce and processed foods to manufactured items and traditional handicrafts, the initiative covers a wide spectrum of the economy. By positioning local goods in mainstream markets, the government hopes to reshape buying habits and build stronger national pride around Cambodian brands.

How Will the Campaign Support Local Businesses?

At the launch event, Minister of Commerce Cham Nimul connected the campaign to Valentine’s Day, describing support for Khmer made products as a patriotic expression of love for the country’s farmers and entrepreneurs. Beyond symbolism, the programme is structured around three strategic pillars. First, it seeks to elevate brand perception by highlighting the quality, diversity, and competitiveness of Cambodian products. Second, the ministry will act as a bridge between micro, small, and medium sized enterprises and major retail chains, helping local producers secure distribution channels that were once difficult to access. Third, the government is collaborating with more than 300 retail outlets nationwide to secure premium shelf space and dedicated display areas for national brands, ensuring visibility where it matters most.

What Does This Mean for Cambodia’s Economic Future?

The presence of senior government officials alongside executives from Chip Mong Retail signals a stronger alignment between public policy and private sector leadership. This partnership reflects a broader push toward economic diversification and resilience. By integrating domestic producers into modern supply chains, Cambodia is not only supporting small businesses but also strengthening its internal market ecosystem. For entrepreneurs and investors, the campaign presents new opportunities to expand distribution networks and capture a growing segment of consumers who are increasingly conscious of supporting local brands.

Conclusion

The #MadeInCambodia campaign is more than a promotional effort. It is a coordinated strategy to elevate local products, empower MSMEs, and deepen collaboration between government and the private sector. As Cambodian goods gain greater visibility in major retail outlets, the initiative has the potential to reshape consumer behavior, strengthen domestic industries, and reinforce national economic independence. The real impact will depend on sustained collaboration, consistent quality standards, and continued consumer engagement.