Doing Business in Cambodia

Subject (Course): International Trade and Business in Cambodia - Phnom Penh. Syllabus:

1. Introduction to the Kingdom of Cambodia (Southeast Asia).
2. Cambodian Economy
3. Doing Business in Phnom Penh
4. Cambodian international trade.
5. Sihanoukville Autonomous Port
6. Foreign Direct Investment (FDI) in Cambodia.
7. Case Study:
   1. Special Economic Zones in Cambodia - Phnom Penh SEZ.
   2. Importing into Cambodia.
   3. Royal Group - Kith Meng
8. Business Opportunities in Cambodia:
   1. Telecommunications
   2. Garments
   3. Agribusiness
9. Access to the Cambodian Market
10. Business Plan for Cambodia

Objectives of the subject "Doing Business in the Kingdom of Cambodia":

1. To analyze the Cambodian economy and foreign trade
2. To evaluate business opportunities in Cambodia
3. To explore Cambodia's trade relations with the student's country
4. To know Cambodia's Free Trade Agreements
5. To examine the profile of Cambodian businesspeople and companies
6. To develop a business plan for the Cambodian Market

Sample of the subject - Doing Business in Cambodia:

Subject Description (Doing Business in Cambodia).

The Kingdom of Cambodia is situated in Southeast Asia, sharing borders with Thailand, Laos, and Vietnam.

1. 90% of the population of Cambodia is ethnically Khmer.
2. The capital, Phnom Penh (2 millions of people) is the economic and political center of Cambodia.
3. Type of Government: Unitary Parliamentary constitutional monarchy
4. Monarch of Cambodia: Norodom Sihamoni
5. Independence: 1953 (from France)
6. Area: 181.035 Km²
7. Cambodian population: 15.5 millions of people
8. The official language of Cambodia: Khmer. French is also spoken.

Theravada Buddhism is the religion of 95% of the population (38 million).

Cambodia belongs to the Buddhist Civilization

Cambodian Economy.

1. Cambodia is a member of the ASEAN since 1998.
2. Cambodia has accomplished high economic growth (average of 9.4% annually).
3. The manufacturing production is focused on the garment sector, these products dominate exports of Cambodia, especially to the United States.
4. The Cambodian service sector is strongly concentrated in commerce activities and catering-related services.
5. The Royal Government of Cambodia has approved twenty-one Special Economic Zones situated along the border with Thailand and Vietnam (Koh Kong, Poipet, Savet, and Phnom Den), at Sihanoukville and Phnom Penh.
6. Companies within the Special Economic Zones benefit from some fiscal incentives (revenue tax, customs, VAT benefits...)
7. Economic aid received: 989 million dollars in grants or concessional loans.
8. Cambodian currency: Riel (KHR)

International Trade of Cambodia.

1. The total value of import augmented by 21% (from 1.990 to 2.409 billion riels), compared to the same last year.
2. The total value of export amount 1.045 million dollars, an augmented by 30.04% (from 804 million dollars, compared to same period last year) (Source: Customs and Excise Department)
3. Top exports products of Cambodia: garments, shoes, cigarettes, natural rubber, rice, pepper, wood, and fish.
4. Largest export markets of Cambodia: the United States, Germany, the United Kingdom, Singapore, Japan, and Vietnam
5. Top imports of Cambodia: fuels, cigarettes, vehicles, consumer products, and machinery.
6. Top import partners of Cambodia: Thailand, Singapore, the People's Republic of China, Hong Kong, Vietnam, Taiwan, and the United States.
   
7. Sihanoukville Autonomous Port is the only international seaport of the Kingdom of Cambodia.

Foreign Direct Investment (FDI) in Cambodia.

1. The Kingdom of Cambodia has opened its economy to foreign direct investment in all sectors of the economy (banking, insurance, or telecommunications)
2. Foreign investors in Cambodia are allowed to control 100% of the shareholding, without local participation requisite.
3. The biggest foreign direct investment (FDI) comes from Korea, the People's Republic of China, Russia, Thailand, the United States, and Vietnam.

Cambodia's Free Trade Agreements (FTA) and Market Access:

1. Association of Southeast Asian Nations (ASEAN)
2. Cambodia is a member of the ASEAN Free Trade Area and the ASEAN Economic Community
3. Cambodia has Free Trade Agreements (as a member of the ASEAN) with China, India, the European Union, Japan, Korea, Russia, and the United States
4. ASEAN (Cambodia)- ustralia-New Zealand (Free Trade Area)
5. Generalized System of Preferences (GSP)
6. Mekong Economic Cooperation Strategy (ACMECS)
7. Greater Mekong Subregion (GMS)

Cambodia is a member of:

1. Mekong River Commission
2. Asian Development Bank
3. Economic Social Commission Asia-Pacific (ESCAP)
4. Boao Forum for Asia