ព័ត៌មាន

On September 23rd 2010 at 10:30 Neak Oknha Kith Meng and members of the Cambodia Chamber of Commerce has met with the Japanese Delegation of Nippon Keidanren lead by Mr. Kenjiro FUKUBAYASHI at the office of the Chamber to offer view of the Private sector on doing business in Cambodia.

Oknha Kith Meng has noted that there’re increasing numbers of large companies from abroad coming in recently to study and to start business in Cambodia. He further noted that delegation has already debriefed with Prime Minister, Deputy Prime Ministers and CDC and therefore has gathered a lot of information already about the government’s policies and regulations. Cambodia is offering very good opportunities and advantages compared to neighbor countries as this country is enjoying peace and stability. Cambodia faced difficulties in the past due to lack of logistic system i.e infrastructures, electricity and political stability etc but up to 2010 everything has been restored and improved with a lot of new roads network continues to improve, with more and more roads sealed every year. Soon there’ll be a number of very large hydro plants invested by China coming online, which will reduce power costs in Cambodia. Among the many priority Oknha Kith Meng has strongly emphasis requirement of investment in logistic and transportation as he believe that this will satisfy huge immediate demand further attract more FDI. However, he noted that among FDIs he seems to notice very few Japanese companies, though he expressed his understanding that Japanese company are normally adopt strict corporate management and clear study before deciding their investment.
 
In response Mr. Kenjiro FUKUBAYASHI, leader of the Nippon Keidanren Business Mission, has admired that his delegations has already met with Prime Minister and Ministers of different ministries to seek to know about the potential of investing in Cambodia. He acknowledged that Cambodia is in the center of gravity of the most dynamic region in Southeast Asia. In consideration of its geographical location, Mr. FUKUBAYASHI was further informed that there is a good potential for developing hydro electricity and export processing zones. After listening to the government the delegation wish to hear from the Private Sector of what field should companies from Japan invest and which partners should they join venture with.
 
Oknha Kith Meng has introduced Oknha Siv Thai, Chumteav Lim Chhiv Ho, Mr. Ho Vandy, H.E. Nguon Meng Tech, Chumteav Chung Chan Sophea, representative from Phnom Penh Autonomous port and Oknha Chim Sakorn to Japanese counterparts to consider and discuss when looking for partners.
 
Chumteave Lim Chhiv Ho has affirmed that time is right for considering investing in this country and the government has already given a lot of incentive and encouraged opening of SEZ as part of its effort to promote investment in this country. She expressed that we badly need logistic system, processing plant, and agro related industries. We have seen in the past a lot of Japanese companies coming to see the SEZ and some of them are negotiating.
 
Mr. Ho Vandy asked that we need to see Japanese Airline flight straight to Cambodia and to see Japanese companies invest in Cambodia’s tourism such as amusement parks. We want to see also visas facilitation for people’s of both countries to travel easily and ultimately to see more Japanese tourists arrive to Cambodia in the near future.
 
Mr. Kenjiro FUKUBAYASHI said that his delegation together with the Japanese Ambassador has already met with H.E. Cham Prasidh yesterday at which this point has also been touched upon and H.E. Cham Prasidh has informed that there is a possibility to have straight flight from Japan to Siem Reap when Siem Reap Airport is fully and successfully expanded to receive large aircraft. For visa issue, Mr. FUKUBAYASHI has noted that this is a political matter and requested not to comment and leaving it to the government to tackle.
 
Oknha Siv Thai has shared his view that he has over 15 years of doing business with Japanese companies. He noted that psychologically Cambodian has very well confident about Japanese products and brands. Even though this market is small but there is large potential. Though we now have political stability, large supply of electricity, improved rail, roads but the key to success is to select the right partner for one’s business.
 
Mr. Takashi FUJINO has noted from yesterday that Cambodian government has adopted rectangular strategy in which human resource development is part of its core strategy. Mr. Takashi FUJINO has asked that as far as the private sector is concerned, do private company face any challenges with respect to lack of capacity of its human resources.
 
Oknha Kith Meng has explained that at the outset we employ a lot of foreign expatriate staff to help run the companies. And the expatriate has a very important role in training his local counterpart. Within a certain period of time, the expatriate must transfer all the necessary knowledge to the local manager and by the time number of expatriate will be reduced e.g. ANZ is now adopting this solution. A lot of local labor forces are being sent to work oversea like Korea, Malaysia and Middle East etc through which they gain some skill from their job. Furthermore, they also make good money to support their families and contribute about US$1 billion to the national economy.
 
Mr. Noji NAMIKAWA is a subcontractor who own construction engineering company. He wishes to join partnership in construction of roads, bridges, ports and airport etc.
 
Oknha Kith Meng expressed that Cambodia want to see high rise building, highways, bridges etc. All Mr. Noji NAMIKAWA needs to know is to look for architect and engineer, land owner and those who have money. If he can find these people then he can start his join venture business.
Oknha Kith Meng said that he normally would like to do business by join venture rather then being sole proprietor starting small and grow by itself. He said small company is not growing fast and take very long time to get mature.
 
Toll Transport from Australia, together with royal group, has signed an agreement in rehabilitating Cambodia’s railway network, and it will form a key part of the Singapore-Kunming Railway which run through Singapore-Malaysia-Thailand- Camboida-Vietnam and Kunming. We’re also planning for two more lines running from Phnom Penh through Stueng Treng to Lao PDR and Phnom Penh Siem Reap which will require participation of private company. We have already started rehabilitation projects, and expect to have the first leg of the railway between Sihanoukville and Phnom Penh up and running later this year.