Market Trends of Cambodia Freight And Logistics Industry
Surge in import and exports boosting the logistics market
In 2021, Cambodia was the number 101 economy in the world in terms of GDP, 69 in total exports, 61 in total imports, 149 in the economy in terms of GDP per capita, and 92 in the list of most complex economies according to the Economic Complexity Index (ECI).
Textile industries play an important role in the growth of Cambodia’s economy. It is easier for Cambodia to produce good quality and cheaper textiles compared to some other countries due to the abundance of cheap labor, natural resources, and government support.
Cambodia largely imports the raw materials for finished textiles from China and exports the final products to many other countries.
The top exports of Cambodia were Knit Sweaters (USD 2.47 Bn), Trunks and Cases (USD 2.04 Bn), Knit Women's Suits (USD 1.84 Bn), Non-Knit Women's Suits (USD 1.52 Bn), and Leather Footwear (USD 933 Mn), exporting mostly to United States (USD 9.59 Bn), China (USD 1.94 Bn), Germany (USD 1.89 Bn), Vietnam (USD 1.88 Bn), and Japan (USD 1.74 Bn). In 2021, Cambodia was the world's biggest exporter of Tanned Furskins (USD 471 Mn).
The top imports of Cambodia are Gold (USD 10.9 Bn), Refined Petroleum (USD 2.71 Bn), Light Rubberized Knitted Fabric (USD 2.66 Bn), Bi-Wheel Vehicle Parts (USD 611 Mn), and Cars (USD 578 Mn), importing mostly from China (USD 11.3 Bn), Singapore (USD 11.2 Bn), Thailand (USD 6.69 Bn), Vietnam (USD 4.91 Bn), and Hong Kong (USD 955 Mn).
In 2021, Cambodia was the world's biggest importer of Raw Furskins (USD 377 Mn), Military Weapons (USD 139 Mn), and Leather Sheets (USD 80.4 Mn).
Growth in e-commerce
The rapidly developing e-commerce movement in Cambodia is shaping up to be an exhilarating game-changer. Online shopping has quickly become a significant part of life in the Kingdom, creating an array of opportunities for small to medium-sized businesses.
The swift rise of e-commerce has introduced a new lifestyle for many in Cambodia, altering their shopping habits. Once primarily a trend in the capital, it’s anticipated to spread across the nation.
One of the most significant advantages of online shopping is the convenience it offers – from comparing prices and product features to a diverse range of products often available at better prices than physical stores. The diversity of payment options, including credit cards, debit cards, money transfers, and digital wallets, combined with convenient and cost-effective delivery options, have significantly boosted the appeal of online shopping.
The rise of digital platforms is dramatically altering the way Cambodia’s small and medium-sized enterprises (SMEs) interact with customers. With a virtual presence, these businesses can attract customers far beyond their local neighborhoods.
The government’s role in bolstering e-commerce has been notable, with the Ministry of Commerce undertaking key initiatives to enhance knowledge and capacity. The government is trying to enrich the local e-commerce ecosystem and assist local SMEs in leveraging e-commerce and digital trade with the help of the Go4eCAM project.
