The Royal Government of Cambodia (RGC) Wednesday organised a meeting to review and discuss the ‘Logistics Performance Index (LPI) Score’ published by the World Bank aimed to assess and improve the Kingdom’s logistics as part of broader efforts to enhance trade efficiency and support sustainable economic development.
The meeting, presided over by Sun Chanthol, Deputy Prime Minister and First Vice-Chairman of the Council for the Development of Cambodia (CDC), was participated by Peng Ponea, Minister of Public Works and Transport (MPWT) and leaders of relevant ministries and institutions held in Phnom Penh on January 15.
In his welcome remarks, the Deputy Prime Minister emphasised that the purpose of the meeting was to address the key indicator of the LPI score within the framework of monitoring and evaluating the implementation of the Pentagonal Strategy – Phase One.
Chanthol, also the Chairman of the National Council for Logistics, continued that the discussion aimed to improve the LPI score prepared by the World Bank which derived from measuring the efficiency of the logistics sector in Cambodia.
According to the CDC announcement, the Logistics Performance Index (LPI) score is assessed using six key components, each contributing to a comprehensive evaluation of a country’s logistics efficiency.
First, the efficiency of the customs system and border management (Customs) is measured, focusing on how effectively customs and border processes facilitate trade, emphasising speed, simplicity and predictability.
Second, the quality of trade and transportation infrastructure (Infrastructure) is assessed, evaluating the physical infrastructure supporting trade, such as ports, railways, roads, and information technology.
The third component, Ease of International Shipment, measures how simple and cost-effective it is to arrange affordable transportation of goods internationally.
Fourth, the ‘Logistics, Competency and Quality’ by examining the capacity and quality of logistics services, including freight forwarders and transport operators.
The third component, the Timeliness, evaluates the punctuality of shipments in reaching their destinations, reflecting the efficiency of supply chains.
Lastly, the ‘Tracking and Tracing’, accesses the ability to track goods during transit and the consistency with which shipments arrive on time.
Together, these components provide a holistic view of a country’s logistics performance and highlight areas for improvement in trade efficiency.
