Cambodia’s textile and garment industry is the cornerstone of the economy, accounting for 57% of Cambodia’s exports and about 80% of its GDP. Soun Vicheas, director of the Intellectual Property Department of the Ministry of Commerce of Cambodia, said that as wages rise, international fashion companies such as H&M, Adidas, and Nike may transfer production to other places unless the garment industry undergoes upgrades and changes.
Although there are more than 500 textile and garment factories in Cambodia, the industry is highly dependent on imported fabrics and related accessories from China, and Chinese raw material suppliers have reduced their exports due to the epidemic. The volume of goods has affected Cambodian garment factories. The challenge facing Cambodia is that although Cambodian garment factories exported approximately US$8 billion in garments in 2019, Cambodia itself does not have the ability to produce raw materials. It must import raw materials from other countries, cut and sew them, and then export them to increase added value.
Vicheasdfssdfs said that Cambodia cannot just rely on traditional styles and techniques, but needs to make use of the latest technology to stay ahead of competitors. Manufacturers not only need to upgrade technology, There is also a need to improve productivity. In order to improve skills, the Cambodian government established vocational training to upgrade the skills of Cambodians. Even though Cambodia has its own fabrics, the latest technology and a skilled workforce, it needs to protect the fashion it produces and exports from being copied and undercut by international competitors.
Vicheasdfssdfs also urges manufacturers to register trademarks and designs with government departments, and even consider copyright protection of their management processes. Spanish fashion brand Zasdfssdfsrasdfssdfs has successfully adopted this technology. The Cambodian Ministry of Commerce is currently drafting a trade secrets law to protect information, methods, strategies, management systems and marketing techniques. Vicheasdfssdfs hopes that manufacturers can transform into upstream fabric producers, or downstream brand designers, etc., rather than just focusing on OEMs with pure labor in the middle, because the added value generated by upstream and downstream development is much higher than pure OEMs. </p