Exports to S. Korea Soar as Rubber Begins to Take Off

via CAAI News Media

2010-02-26

Xinhua

Web Editor: Hu Weiwei

Cambodian exports to South Korea surged 391 percent in January compared with the same month last year to 4.33 million U.S. dollars amid an overall rise in bilateral trade between the two countries, local media reported on Friday.

Total trade was up 77 percent to 27.715 million U.S. dollars. Imports from South Korea climbed 58.2 percent to 23.39 million U.S. dollars as economic activity rebounded from the very low base at the start of 2009, when the economic crisis was at its height in the Kingdom, according to the figures of Korea Trade-Investment Promotion Agency (KOTRA). Last January, trade between the two countries declined 20 percent.

Korea Chamber of Commerce in Cambodia Chairman Nam Shik-kang was quoted by the Phnom Penh Post as saying that rising demand from North America -- Cambodia's main export market -- likely helped spur the recovery in trade.

Natural rubber was by far Cambodia's biggest export to South Korea last month, accounting for more than 50 percent of total bilateral exports at 2.357 million U.S. dollars.

Nam Shik-kang said Thursday he expected bilateral trade to rise 20 percent this year after declining 5.51 percent in 2009, although he said that logistical and electricity costs in Cambodia are "too expensive compared to neighbouring countries."

Cambodian exports rose 26 percent last year while imports from South Korea dropped 7 percent.

South Korea is the second-largest source of visitors to the Kingdom, next to Vietnam, according to Ministry of Tourism figures, although before the downturn it had been the top source.