Cambodia saw a huge hike in electronic goods sales in 2018 as middle-class consumers increase, a Singaporean firm's report revealed. Sales grew by 27.8 percent last year, which is equivalent to $413 million added into the Asian country's economy.
According to Phnom Penh-based outlet Khmer Times, Singapore's global research company GfK revealed in a new report that Cambodia significantly increased its electronic sales last year with mobile phones accounting for the largest chunk at $282 million. Analysts attributed the development to the increasing number of consumers within the middle-class group.
Other consumer products such as washing machines, refrigerators, televisions, and air conditioners hauled in $121 million compared to $109 million in the previous year.
In 2017, electronics sales recorded a total of $323 million. In that year, mobile phone sales accounted for $214 million of the overall sales in the market. Experts believe the country's electronics industry will continue to grow as long as the economy also thrives.
CEO of Ggear, Sok Piseth said of the demand in Cambodia and other markets, "Last year our sales numbers were huge. Despite this, our sales of consumers electronics did not grow much as expected because the competition is tough." Ggear has been authorized by LG Electronics to distribute products in the Cambodian market.
Piseth added that he hopes to see "fair competition" among electronics stores and providers in the country so sellers can continue providing quality service and products to consumers while ensuring that they are able to fulfill tax obligations.
Managing director of Sunsimexco, Hor Men echoed Piseth's statements as he noted that competition made it hard for the company to have a significantly improved record in sales in 2018. "There is too much competition," he explained.
Meanwhile, German companies have started extending their reach to the Cambodian market in a bid to help enhance the country's technological sect. Robert Bosch Co., Ltd., and Wurth have joined hands in providing high-end electrical machines to the Polytechnic Institute of Banteay in Meanchey Province.
According to The Phnom Penh Post, the joint venture seeks to provide vocational training support to young Cambodian talents who have goals in the electrical and technological industry. The program further aims to expose state-of-the-art technology from Germany to instill advanced engineering skills in students as demand for electronics in the country increases.
The German Business Group Cambodia and GIZ Regional Economic Development Programme RED IV initiated the collaboration. Head of the RED program, Stefan Hanselmann said of the project, "The sponsorship of tools by Wurth and Bosch is an excellent example of how German companies can pro-actively support vocational education in Cambodia."
