Sun Chanthol, Deputy Prime Minister and First Vice-Chairman of the Council for the Development of Cambodia (CDC) on Saturday led a delegation to explore the Free Trade Zone (FTZ) in Xiamen, a port city located in the southeastern Fujian province, China, aimed at attracting private investments to boost socio-economic diversification in the Kingdom.
The Deputy Prime Minister’s visit to the ‘Xiamen Area of China (Fujian) Pilot FTZ’ was welcomed by Weng Xiaolan, Vice-Chairwoman of the Xiamen Municipal Administration Committee held in China on September 7.
Hun Lak, Secretary General of the Cambodian Oknha Association (COA), Suon Sophal, Deputy Secretary General of the Cambodian Investment Board (CIB) of CDC and Kuon Thida, President of Orienda International Hospital were present on the occasion.
An official of the Xiamen administration highlighted the effort and performance of the Government of the People’s Republic of China (PRC) in establishing the pilot FTZ under the framework of Xiamen city through the use of new technologies to operate this type of commercial area.
Soon after the presentation, the Fujian FTZ and CDC agreed to examine the possibility of establishing close cooperation aimed at jointly promoting private investments from China, enhancing Cambodia’s socio-economic diversification.
Chanthol also led the delegation to meet with the Xiamen Xiangyu Group (XMXYG), a company expert in port and logistics management currently investing in the Xiamen Pilot FTZ area.
The visit to XMXYG aimed at briefing on the emerging investment opportunities in Cambodia along with connected infrastructure projects to facilitate trade activities including bridges, roads, ports and the Funan Techo Canal project, the CDC statement added.
On the occasion, the Cambodian delegation urged the company to explore the possibility of expanding its investment into the Kingdom’s ports and logistics sectors for mutual benefits.
Speaking to Khmer Times Dr Ben Li, Founder and Honorary Chairman of the Cambodia Chinese Commerce Association (CCCA) said, “The most potential industry in Cambodia for the next three to five years is definitely the logistics sector.”
“If we look closely into the country right now, the development of logistics is growing significantly including the new airport, the canal and the expressways are building up just like the old Hong Kong, Shenzhen, Tokyo and New York cities.”
He stressed that the major concern of entrepreneurs who do business in the Kingdom is the cost of logistics which are very expensive due to time consuming while transporting the products.
For farm owners, factory owners and construction material producers, the longer time you spend on the road, the higher the cost of insurance will rise. Additionally, you will also need to pay more for men’s powers to monitor the process of transportation as well, the Founder of CCCA added.
