After a challenging year, Cambodia's garment, footwear, and travel goods (GFT) exports surged by 21.64 per cent to $967 million in January. This positive turnaround brings cheer to an industry that employs nearly a million Cambodians and contributes significantly to the nation's economy.

All sectors within GFT saw impressive growth, led by knitted apparel and clothing accessories exports that grew by 24.3 per cent and non-knitted apparel exports that surged by 30.9 per cent, Exports of footwear and travel goods also grew highlighting a broad-based recovery.

This achievement comes despite ongoing trade challenges like the loss of GSP benefits from the US and reduced EBA benefits from the EU. This demonstrates the resilience of the Cambodian industry and its ability to adapt.

The GFT sector is a vital source of employment and economic growth for Cambodia. The recent export surge offers hope for stemming job losses and factory closures that were seen in the past year. The government's support through initiatives like the $40 monthly allowance for affected workers is also commendable.

However, Cambodia faces stiff competition from regional players like Bangladesh. To remain competitive, continuous skill development for workers and cost-effective measures like promoting renewable energy are crucial.