Cambodian-Thai trade up 10%, tops US$3 billion Jan-Sep

Thailand is Cambodia's fourth-largest trading partner after China, the US and Vietnam, according to the General Department of Customs and Excise (GDCE).

GDCE statistics show that from January to September, total trade between Cambodia and Thailand amounted to $3.169 billion, up 12.4% from the same period in 2023.

Exports to Thailand totalled $645.5 million, down 1%, while imports reached $2.523 billion, up 16.4%. This resulted in a trade deficit of $1.878 billion for Cambodia, rising from $1.515 billion in the same period in 2023.

In September alone, bilateral trade was valued at $381.68 million, up 37.73% compared to September 2023. Exports amounted to $74 million, a 55.9% increase, while imports stood at $307.68 million, up 34%.

Kim Huot, director of the Battambang provincial Department of Commerce, which borders Thailand, told The Post on October 23 that the flow of goods between Battambang and Thailand is continuing smoothly. Cambodia mainly exports mangoes, cassava, corn, pepper and beans to Thailand, while imports include construction materials, electrical equipment, agricultural machinery, food, spices, beverages and fruits.

“The exchange of goods between Cambodia and Thailand remains similar to last year,” he said.

He added that farmers and exporters of agricultural products often face challenges during harvest seasons as Thai authorities tend to tighten import restrictions to stabilise their domestic market and prices.

Sareem Fariid, head of the Koh Kong provincial commerce department, noted that as the province shares a maritime border with the neighbouring Kingdom, rather than a land crossing, there is less exchange of goods than with some other border provinces. 

Despite this, he explained that Cambodia mainly exports fisheries products, electronic components and electrical appliances produced in Koh Kong to Thailand, while importing vegetables, fruits, spices and beverages.

“Trade between Cambodia and Thailand through Koh Kong is not as significant as in provinces with land borders,” he acknowledged.

Hong Vanak, an economist at the Royal Academy of Cambodia, highlighted that most of the daily trade between the two countries consists of Cambodia exporting raw natural resources and agricultural products, while Thailand imports tend to be processed goods such as food, daily necessities, agricultural machinery, vehicles, fertilisers and construction materials.

He added that due to the extensive land and sea borders shared between the two countries, the actual trade volume likely exceeds official records.

“Due to Cambodia’s limited finishing and processing capacity, there is a continuous flow of agricultural products and natural resources to Thailand. Thailand remains an important market for Cambodian agricultural products,” he explained.

In February, Cambodian Prime Minister Hun Manet led a high-level delegation, including representatives from the private sector, on an official visit to Thailand. 

During the visit, Cambodia and Thailand signed several memoranda of understanding (MoUs) on cooperation, including an MoU on cross-border goods between Cambodia's GDCE and Thailand's Customs Department, an MoU between the Cambodia Chamber of Commerce and the Thai Exim Bank and an MoU between the Cambodia Chamber of Commerce and their Thai counterparts.

During the visit, both sides expressed their hopes that diplomatic relations, trade and bilateral investments would be further strengthened. Both governments also set the goal of achieving $15 billion worth of bilateral trade by 2025.

According to the GDCE, in 2023, Cambodia-Thailand trade totalled $3.71 billion, a decrease of 17% compared to 2022, with Cambodia’s exports to Thailand at $817.57 million, down 1.7%, and imports from Thailand at $2.89 billion, down 20.5%.

Hin Pisei

The Phnom Penh Post

Asia News Network