Cambodia's garments, footwear, and travel goods (GFT) exports have declined by 17.81% from January to September 2023, causing fears of job losses and factory closures. The country exported $8.20 billion worth of GFT goods during the first nine months of this year, a sharp decline from the $9.97 billion exported in 2022. GFT goods is the biggest export earner for Cambodia, helping the country earn $12.63 billion last year, an increase of 15% compared to 2021. However, this year, the earnings from the sector declined mainly due to the international economic situation and subsequent drop in demand. The decline in GFT goods exports continued even as almost all other sectors registered growth in exports. Experts attribute the decline in GFT exports to the prolonged Russia-Ukraine war, inflationary pressures, the non-renewal of the Generalized System of Preferences by the US, and the reduction in Everything but Arms (EBA) benefits by the EU. The decline in exports has resulted in factory closures and job losses for hundreds of GFT workers.

Reference: Manoj, M. (2023, October 13). GFT exports decline 17.81% triggering more job loss fears. Khmer Times. Retrieved from: https://www.khmertimeskh.com/501375664/gft-exports-decline-17-81-triggering-more-job-loss-fears/