Business

Approval Of US$ 3.1 Million Garment Factory Project In Takeo Province

Cambodia’s Brightness Garment Factory Co. Ltd, will invest US$ 3.1 million in setting up a garment factory in Bati district in Takeo province. The factory is expected to generate 702 local jobs. In January, the Council for the Development of Cambodia (CDC) has given the green light to seven investment projects, with a total investment of nearly US$ 27.6 million, generating some 4,000 jobs. 112 Cambodian garment factories opened in 2020 In a tumultuous period for the Cambodian garment industry, the year 2020 brought the closure of 129 factories, affecting over 70,000 workers while 112 new factory openings created more than 20,000 jobs. Of the total job losses of 71,202, 57,794 were held by women. Job losses, however, were partially offset by the opening of new garment factories which have provided employment for 23,208 workers, of whom 17,638 are women. Pav Sina, president of the Collective Union of Movement of Workers, said, “For this New Year, I see that conditions may improve as many countries order vaccines against Covid-19 for their people. As vaccinations are rolled out, economic activities and trade will recover. People will go back to work again.” At the end of last year, the Cambodian government announced a seventh round of stimulus measures to mitigate the impact of the crisis on key sectors of the economy. In the latest provisions, the government extended a programme providing US$ 40 per month for the first three months of the year to workers with suspended contracts. Employers in the garment sector are required to provide an additional US$ 30 for each furloughed worker, bringing the total monthly subsidy to US$70.