418 items of Cambodia's products to its market is an impetus for
Cambodian producers; however, the country has still not taken the
maximum advantage of the offer.
"The China's tax exemption is the open of the market for Cambodian
products and is an encouragement for Cambodia's producers to increase
their production," Ok Boung, secretary of state at the Ministry of
Commerce, told Xinhua in an interview.
"The provision is very useful to reduce Cambodia's reliance on only
the European markets, or the United States."
However, the country is still unable to maximize the benefits from the
bilateral cooperation due to the shortage of resources, quality
products, and market information.
"Cambodian producers need to learn more about Chinese market in terms
of product characteristic and qualities," he said. "It's important to
know about the needs of Chinese consumers."
Ok Boung said among the 418 tax-free items, Cambodia has exported to
China mostly garment and textile, footwear, some agriculture and
forestry products, and food products.
"Our export to China is still in small amount, but, in the future, we
see China as the largest market for our products," he said.
The tax-free products the government of China provided to Cambodia
include garments, textiles, shoes, food products, living animals such
as cattle and swine for breeding, according to the list of tax
exemption items, provided to Xinhua by Cambodia's Commerce Ministry
on Thursday.
Also, a number of agriculture and forestry products include cashew
nut, cane sugar, fruits, coffee, furniture, vegetations for using in
pharmacy, rattans, crude maize oil, castor oil, sesame oil and other
fixed vegetable fats.
Rice, cassava, rubber and corn, which are mostly grown in Cambodia,
have not been included in the tax exemption list.
Kong Putheara, director of the Commerce Ministry's Statistics
Department, said the tax exemption was very good for Cambodia to boost
production and to diversify Cambodia's export destinations.
"We see China as a stable and huge market for us -- unlike the
European markets that now are facing debt crisis," he said.
He said the exemption also helped boost Cambodia and China bilateral
trade relations.
According to the Commerce Ministry's reports, the two countries '
trade volume was $912.76 million in the first six months of this
year, up 82 percent from $501 million in the same period last year.
During the period, Cambodia's exports to China was $66.31 million,
increased 275 percent from $17.68 million, and Cambodia's imports from
China reached $846.45 million, up 75 percent from $483.37 million.
The two countries expected that the trade volume in 2011 would hit $2 billion.
China's tax free provides impetus for Cambodian producers
http://www.chinadaily.com.cn/usa/business/2011-11/25/content_14163616.htm
2011-11-25
