China'S Textile Industry'S Entry Into Kampuchea Contributes To Its Economic Development.

< p > a row of second-hand SINGER (Singer) sewing machines is placed in a blue and white and sparkling garment factory in Kampuchea.

These sewing machines were shipped from a Chinese factory closed last year.

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< p > the factory belonging to TopForm of Hongkong has a total of 700 workers.

Over the past year, a large number of enterprises have moved factories (mostly from China) to Kampuchea, where wages are lower, roughly 1/3 of China's.

Delis is one of them.

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< p > China's wage level has increased by two digits, and the shortage of factory labor has led many enterprises to move to lower cost countries such as Vietnam, Bangladesh and Indonesia.

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< p > > a href= "http://www.91se91.com/news/index_f.asp" > bra < /a > the chief executive officer of the manufacturer, Gao Hua (Clover), a href= "http://www.91se91.com/pioneer/" > Liu Minzi < /a > (AngieLau) said that her company found that it is easier to operate in Kampuchea than in India.

The company also has a factory in India.

Moreover, the production efficiency of its Kampuchea plant is rapidly catching up with the level of its Chinese factories.

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< p > Kampuchea has a population of only 15 million, and a large influx of foreign enterprises is changing the economic situation of the country.

In the vicinity of the capital, Phnom Penh, a factory has sprung up.

Some of the investments were pferred from Thailand, so there were many factories near Kampuchea's border with Thailand.

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Last year, the scale of foreign investment in Kampuchea increased dramatically, mainly because Chinese Hongkong enterprises and Japanese enterprises were investing in the country in order to find cheaper labor force.

Peter Brimble, a senior economist at ADB, estimates that the total foreign direct investment (FDI) in Kampuchea has surged from $850 million in 2011 to $1 billion 500 million in 2012, thanks to increased investment in manufacturing, agriculture and finance.

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< p > > a href= "http://www.91se91.com/news/index_p.asp" > Taiwan < /a > virtue has a factory producing surgical gowns for the medical international Limited by Share Ltd (Medtecs) in Kampong Cham (KampongChamprovince), which is located in the Central lowlands of Kampuchea, which is adjacent to Vietnam. There are 4000 employees.

LarryKao, general manager of the company, jokes, "we hope that Kampuchea's population will double as soon as a large number of foreign enterprises are fighting for workers."

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< p > LarryKao estimates that the wages of Kampuchea workers have risen to US $110-130 per month, compared with us $85-100 three years ago.

However, this is still below the monthly salary of 400 US dollars for Chinese workers.

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< p > except for investors from mainland China and Hongkong, the production business has been moved from China to Kampuchea. In the past year, several Japanese companies have also invested in Kampuchea, especially in areas close to Thailand border.

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In the early December of last year, Kampuchea Prime Minister Hong Sen (HunSen) attended the foundation laying ceremony of a shopping mall built by P in Phnom Penh, Japan. (Aeon)

AEON's president promised that he would invest in four more shopping malls.

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Less than P, Phnom Penh, the more leisurely traffic in the past was also caused by the emergence of a large number of SUV cars. Some of the vehicles were opened by Chinese businessmen.

Chinese restaurants are also full of business executives from mainland China.

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< p > however, with the influx of investment, the acceleration of industrialization has also led to a series of problems, such as wage inflation and land occupation.

Last year, virtue went to the state employees for 3 days, partly because they were dissatisfied with their wages.

But LarryKao said he was lucky because his factory had only two unions.

He said, "I have heard that there are 14 unions in some factories, which is like a large group of wives."

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< p > < a > href= > http://www.91se91.com/news/index_cj.asp > > economic > /a > rapid development. In addition, it is necessary to make land for factories and large farms, resulting in a lot of disputes in Kampuchea. As a result, the World Bank (WorldBank) suspended all loans to Kampuchea in 2011.

Last November, protesters who had been forced to demolished gathered around the US Embassy before President Barack BarackObama visited Kampuchea.

A 72 year old woman complained at a lake filled with sand at Phnom Penh that when she was forced to drive from her home, she was thrown into prison because of her resistance to being beaten.

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< p > the Kampuchea government's human rights record has been criticized.

But foreign investors believe that the Kampuchea government welcomes overseas funds.

They are impressed by the relatively high level of young labor force in Kampuchea.

Brimble said that a Japanese small car manufacturer opened a factory in Kampuchea last year. The company told him that the production efficiency of the factory is equivalent to that of Liu Minzi, 80%. Gao Hua of their factory in China. Although "China has the best skilled workers, Kampuchea is catching up."

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Less than two p foreign businessmen, who do not want to be named, receive a one year business visa in a day. They are impressed by the efficiency.

But they said that "urgent fee" should be set up as an administrative fee so that it can be legally paid.

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< p > however, BRB, of the Asian Development Bank, says that it is not corruption that hinder investors, but the shortage of engineers and local managers needed by factories, and the high cost of electricity consumption.

Kampuchea's electricity tariff is much higher than that of neighboring Vietnam, and power supply in many areas is also unstable.

One foreign investor says, "if your factory needs continuous power supply, you have to prepare a generator with good performance."

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MichaelChoy, manager of the factory, P, said that although he wanted to increase the number of workers to 2000 people, he had to train workers and teach them how to make elaborate underwear.

In the product line of Dai's, the top grade underwear is still produced by the company's remaining two factories in China, while the workers in Kampuchea are confined to producing simple pattern bras.

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< p > despite the fact that no one is complaining about the shortage of labour, clothing manufacturers say that the shortage of labour will become a constraint in the future.

"Kampuchea can not absorb all orders pferred from China," said KenLoo, Secretary General of the a href= "http://www.91se91.com" clothing industry /a.

He pointed out that last year Kampuchea's clothing exports amounted to only 4 billion 300 million dollars.

The scale of textile and clothing exports in Vietnam and Bangladesh is about 20 billion US dollars, while China's textile and clothing exports amounted to US $270 billion in the first 10 months of last year.

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< p > KenLoo said: "the order pferred from China is worth tens of billions of dollars.

No country in Southeast Asia can absorb these orders alone.

As jobs shift from China to Bangladesh and Kampuchea, consumers in the West will have to adapt to the rising price of clothing and shoes, because wages in these areas will also rise.

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