As RCEP kicks off, China mulls Cambodia hub for agri and industrial products

Cambodia’s high-quality agricultural products such as rice, bananas, mangoes, fragrant coconuts and cashews shall be exported to Japan, South Korea, Singapore, etc., which will effectively promote enterprises to improve efficiency and sustainable development


 


Bangkok Post – After much deliberation, the Regional Comprehensive Economic Partnership (RCEP) trade pact came into effect from Jan 1, 2022. The pact was signed on Nov 15, 2020, by the 10 Asean member countries along with five Asean free trade agreement (FTA) partners. At least six members of Asean and three non-Asean nations then ratified the agreement.


RCEP is the world’s biggest FTA measured by GDP, larger than the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, the EU, the Mercosur trade bloc in South America, and the recent US-Mexico-Canada FTA. RCEP is the first multilateral agreement to include China, and the first FTA between China and Japan as well as Japan and South Korea.


RCEP trade volumes tallied over $10.7 trillion, or 30.3% of global trade, in 2020.


Cambodia’s rice export to China alone surpassed 300,000 tons for the first time in 2021, marking another historic milestone in the rice sector between the two countries, according to a report from the China Certification & Inspection Group (CCIC)’s Cambodia branch published last week.


Similarly, Cambodia’s high-quality agricultural products such as rice, bananas, mangoes, fragrant coconuts, and cashews can also be exported to Japan, South Korea, Singapore, etc., which will effectively promote enterprises to improve efficiency and sustainable development.


The RCEP is designed to remove tariffs on 91% of goods, and standardise rules on investment, intellectual property and e-commerce among other trade practices. It aims to create an integrated market with 15 countries, making it easier for products and services from each of these countries to be available across this region.


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Author: Bangkok Post 


Source: Khmer Times


January 04, 2022