Tracking Cambodia’s Industrial Growth: End of 2023 Factory Count Revealed
As of the end of 2023, Cambodia boasts a total of 2,125 operational factories, marking a notable increase of 7.21 percent compared to the previous year, according to an official report released on Tuesday.
The report, issued by the Ministry of Industry, Science, Technology, and Innovation, highlights the opening of 241 new factories alongside the closure of 98 establishments throughout the year.
These factories, spread across the nation, collectively represent an investment capital of US$18.56 billion, reflecting an 11.24 percent surge from the figures recorded in 2022, the report indicates.
Furthermore, the report underscores the productive output of these factories, with a production volume totaling US$16.36 billion in the past year. This demonstrates a notable increase of US$531 million, equivalent to 3.35 percent, compared to the previous year’s data.
H.E. Hem Vandy, Minister of Industry, Science, Technology, and Innovation, emphasized the industrial sector’s significant contribution to Cambodia’s economic growth, noting that it accounted for approximately 7.7 percent of the nation’s economic expansion in 2023.
During an annual meeting held on Feb. 20, Minister Vandy outlined projections for the industrial sector’s growth in 2024, anticipating a continued expansion of around 8.5 percent. He attributed this growth forecast to the expected recovery of the garment sub-sector, complemented by the sustained robust performance of the non-garment manufacturing sub-sector.
The garment, footwear, and travel goods industry remain pivotal in Cambodia’s economic landscape, serving as the largest foreign exchange earner for the nation. Presently, this sector comprises approximately 1,300 factories and branches, providing employment opportunities to nearly 900,000 workers, predominantly female.
Source: AKP