Cambodia and India are poised to establish a Joint Business Council (JBC) under the leadership of Cambodia’s Commerce Minister, Cham Nimul, in an endeavor to foster trade and investment collaboration between the two nations. Devyani Khobragade, the Ambassador of India to Cambodia, made this significant announcement recently, underscoring the commitment of both countries to deepen their economic ties.
Speaking at the grand launch of the Indian Business Chamber in Cambodia (IBCC) at the luxurious Sofitel Phnom Penh Phokeethra, Ambassador Khobragade expressed her confidence in the transformative potential of the JBC. She emphasized that this council would serve as a catalyst for private sector initiatives in both countries, providing a platform for businesses to interact and explore opportunities.
“The interaction within the JBC will facilitate the exchange of information regarding various opportunities and the identification of synergies,” Khobragade explained. She also highlighted that the JBC meetings, in conjunction with the high-level Joint Commission at the Foreign Ministers’ level, would garner substantial support from both India and Cambodia, bolstering the council’s initiatives.
The launch of the IBCC was described by the Ambassador as a milestone for both nations, paving the way for increased trade between Cambodia and India. She expressed satisfaction with the steady growth in bilateral trade over the past few years. India’s Duty-Free Tariff Preference (DFTP) Scheme, extended to Least Developed Countries, including Cambodia since August 2008, has played a pivotal role in this growth.
The DFTP Scheme, expanded in 2014 to cover 98.2 percent of India’s total tariff lines, provides preferential market access for Cambodian exports. By 2023, exports from Cambodia to India had reached $293 million, marking a substantial 49 percent increase compared to 2022, as reported by Cambodia’s General Department of Customs and Excise.
Further facilitating trade and investment between the two nations is the ASEAN-India Free Trade Agreement. Ambassador Khobragade revealed that both countries are currently engaged in negotiations for a Bilateral Investment Treaty and a Preferential Trade Agreement, aiming to strengthen their economic ties even further.
India, as one of the world’s fastest-growing economies with a GDP exceeding $3 trillion, boasts the distinction of being the world’s second-largest consumer market, with a population surpassing 1.3 billion. The nation harbors ambitious goals, aiming to achieve a $5 trillion economy in the near future.
The establishment of the Joint Business Council signifies a new chapter in the Cambodia-India relationship, poised to foster economic growth, facilitate trade, and create opportunities for businesses in both countries. As these initiatives materialize, they hold the promise of enriching the lives of their citizens and contributing to regional economic development.
This strategic partnership between Cambodia and India serves as a testament to the power of international cooperation in driving economic progress and prosperity in an interconnected world.
Source: Khmer Times
