FILE PHOTO: People eat bowls of noodles during a noodles feast at a pagoda in Phnom Penh on June 9, 2019. Small-scale producers in Cambodia generate a variety of consumer goods, including instant noodles, bottled water, dried fish, ready-made meat products, sausages, nuggets and burger patties, palm sugar, snacks and cashew nuts. - AFP
PHNOM PENH: Cambodia is embarking on a major economic transformation to bolster self-sufficiency by promoting its home-grown "Khmer Products” to rely less on imported goods.
Its central policy focuses on building economic self-confidence, leveraging the capacity of small and medium enterprises (SMEs), and harnessing its demographic advantage to enhance food security - particularly in the fast-moving consumer goods sector.
The strategy has gained momentum as border crossings between Cambodia and Thailand have remained closed since a border conflict in July, slowing imports from the neighbouring country.
"It is a wake-up call for us now, we used to depend a lot on imports from Thailand. Now is a golden chance to improve our economic self-reliance and support our local products and SMEs,” Phnom-Penh-based independent Socio-Economic Researcher Dr Chey Tech told Bernama.
The recent "Khmer Products Exhibition 2025,” held twice in the capital, showcased hundreds of locally made items, enhancing the country's economic diversification strategy.
According to government data, about 750,000 micro, small and medium enterprises operate in Cambodia, employing nearly three million people.
And 60 per cent of these enterprises are managed by women.
Cambodia is also reaping its demographic dividend - at least 60 per cent of its 17 million population is under the age of 30.
"It is good for our SMEs that were facing difficulties since the Covid-19 pandemic, but now they can expand their market share. They have enough capital and technology to produce for local and international markets,” said Tech.
Local SMEs primarily operate in the commercial, agriculture, manufacturing and services sectors.
Small-scale producers generate a variety of consumer goods, including instant noodles, bottled water, dried fish, ready-made meat products, sausages, nuggets and burger patties, palm sugar, snacks and cashew nuts.
The theme "Khmer Can Do It” has further galvanised the business community’s commitment to move towards self-sufficiency and support local producers.
"Most of the goods were sold out in those exhibitions, which shows the Cambodians are ready to support local products and more local investors are also moving into manufacturing,” said Tech.
The first Khmer Product Exhibition was held in late September, and due to its popularity, another exhibition was held this week.
The Asian Development Bank (ADB) forecast Cambodia’s economy to grow by 4.9 per cent this year. The bank revised from its earlier estimate of 6.1 per cent due to the United States tariffs on Cambodia of 19 per cent and the ongoing border tensions with Thailand.
"Our SMEs are still growing in this situation. Our industrial sector is the major contributor because of high demand for garments, footwear (and travel goods), bicycles and electronic products,” said Tech. - Bernama
