Fumiiaki Takahashi, head of the Japan-Cambodia Association (JCA), has conveyed Japanese investors’ keen interest in Cambodia’s Small and Medium Enterprises (SMEs). Their focus is on the production of processed goods for export using the Kingdom’s raw materials and Japanese technology.

During his meeting with Prime Minister Hun Manet Takahashi on September 12, Takahashi said Japanese investors are primarily interested in two sectors.

“First, we are focusing on processing for export purposes. Second, we provide vocational training in fields such as hospitality, mechanics, vehicle repairs, cosmetics, elderly care and IT,” he said.

Manet expressed his support, saying that investment in this sector aligns with the Kingdom’s development goals. He noted that these industries correspond well with the Kingdom’s current socio-economic policies and the first phase of its Pentagonal Strategy.

He encouraged Takahashi to strengthen cooperation with relevant Cambodian entities to achieve mutual goals, saying: “We are ready to support Japanese businesses through concrete policy and incentive packages.”

Lim Heng, vice-president of the Cambodia Chamber of Commerce (CCC), welcomed the move, anticipating that it would boost the nation’s refined agricultural exports.

“So far, we’ve been exporting more raw materials than processed goods. We rely on neighbouring markets for products like cassava, maize, cashews and rubber. There is significant demand for more funding for processing factories,” he said.

Heng is optimistic that the investment incentives for domestic and international private sectors will drive the project to fruition.

According to the General Department of Customs and Excise (GDCE), Japan is Cambodia’s fifth-largest trading partner. From January to August this year, Cambodia’s exports to Japan dropped 2.4 per cent to over $770 million, while imports from Japan declined by over 20 per cent to $430 million over the same period last year.