Cambodia Int'l Tools & Hardware Trade Show 2015 Kicked Off in Phnom Penh
by Fastener World Inc.
Cambodia is one of the most economically open countries in Southeast Asia. Currently it is en route to becoming a market economy. In recent years, the Cambodian government has been offering favorable benefits such as business income deduction/exemption and tariff exemption for imported raw materials. Many companies have considered Cambodia the top priority for establishing their own manufacturing bases. The most prevailing local industry sectors are textile, agriculture, and real estates. Therefore, products imported by Cambodia are mainly fuel, construction materials, automobiles, etc.
The 5th edition of Cambodia Int'l Tools & Hardware Trade Show held at Diamond Island Convention and Exhibition Center during August 21-24 covered 7 main exhibiting areas including hardware machinery & in-house equipment, tools, locks & fittings, aftermarket & automotive accessories, building materials, gardening, and security parts. The show included national pavilions for Vietnam, Japan, Taiwan, and Belarus, and attracted 160 companies from 23 countries such as Germany, Italy, South Korea, Malaysia, Vietnam, Taiwan, China, and India. Compared with other international shows, this show was smaller in scale and corresponded to demand of the local textile and manufacturing industry. Textile equipment and peripheral products accounted for nearly 2/3 of the whole exhibiting area, followed by agricultural equipment and packaging machines.
According to our correspondent in the show, the market scale of Cambodian fastener industry is still smaller, as Cambodian industries have not been very mature yet. There were only 3 fastener exhibitors in this show, but on the first day of the show a Taiwanese agricultural machine maker said that he needed to purchase a great number of large bolts for their machines. Although we have not seen direct fastener demand in the short term, fastener companies may however gain good sales results if they change the target to makers of textile equipment, agricultural equipment, and manufacturing equipment which also show certain demand for fasteners.
With an improving investment environment, Cambodia has become one of the fastest growing economies in the world since the last decade. In addition, Cambodia plans to make the capital Phnom Penh a regional logistics center. The ground-breaking ceremony for an economic zone (with the total investment value being USD 100 million) was given on July 2nd, 2015. A regional logistics center in Kandal’sTakhmao District of Phnom Penh is scheduled to inaugurate in 18 months and will definitely speed up goods shipment of Cambodia with the world.