Had the Industrial Development Policy (IDP) been put to work, the economic impact might have been less painful, having climbed the value chain and workers up-skilled
In 2015, when the Cambodian Industrial Development Policy 2015-2025 (IDP) was introduced, the manufacturing industry was characterised as having a narrow industrial base which focussed on garment and food processing industries.
It was missing a middle and informal industrial structure, possessed a weak and urban-centred entrepreneurship, a low value-add and low level of technology application.
Most of the production activities were family-based with lack of entrepreneurship and inadequate use of technology, thus limiting their ability to compete in international markets.
Enter the policy to transform and modernise the industrial structure to a skills-driven industry by 2025 from a labour intensive one via various methods, including connecting to regional and global value chains, and building a technology-driven and knowledge-based sector.
The realisation of this vision would contribute to national economic development, sustainable and inclusive high economic growth, create employment, increase economic value-add and a higher income for Cambodians.
Full article available: https://www.phnompenhpost.com/special-reports/feeling-burn-cambodia-keels-slow-act-attitude
