[{"bbox": [97, 76, 1133, 289], "category": "Text", "text": "This action supports the Royal Government of Cambodia (RGC) in the development of inclusive and sustainable trade policies and strategies while it prepares for LDC graduation, including effective enforcement mechanisms for the protection of consumers and data privacy. It also contributes to the implementation of relevant trade facilitation for faster and transparent customs procedures, and it helps setting up and piloting an effective system of export support services to SMEs in key value chains. Cambodian SMEs will have access to comprehensive support services, including how to become more competitive by adapting to existing and future regulations on social and environmental due diligence and standardisation. Compelling business advocacy strategies will be deployed to nurture the public and private sector dialogue throughout the action."}, {"bbox": [97, 314, 1133, 660], "category": "Text", "text": "This action contributes to two priorities of the EU-Cambodia Multiannual Indicative Programme (2021-2027): Sustainable Value chains and improved Trade and Business Climate. This action is complementary to the EU-ASEAN Regional Sustainable Connectivity Package whose first outcome focuses on trade, economic connectivity and sustainable value chains. While the regional programme will work on trade facilitation mainly at the regional level (for instance formulating recommendations for domestic trade policy reforms to align them with regional/international standards, and to harmonise them within ASEAN), EU GATE will provide all needed trainings, development of Standard Operating Procedures (SOPs) and formulation of secondary regulations when necessary at the national level. Similarly, efforts to ensure environmental and social sustainability in ASEAN value chains will be accompanied by EU GATE export support services, and sustainability awareness raising activities. Accordingly, synergies have been considered in this action design and will be promoted at implementation through regular coordination. Moreover, because of its contribution to boost competitiveness and sustainable value chains, EU GATE is part of the Global Gateway strategy. This action targeting sustainable and inclusive trade development in Cambodia is consistent with SDGs 17, 8, 1, 5, 10, and 16."}, {"bbox": [97, 685, 1133, 739], "category": "Text", "text": "The Overall Objective of the Action is to increase the competitiveness of Cambodia's economy, as it prepares for LDC graduation."}, {"bbox": [97, 740, 1133, 792], "category": "Text", "text": "The Specific Objective/Outcome is to contribute to inclusive and sustainable trade and a stronger private sector, which meets international standards for export to the EU and regional markets."}, {"bbox": [97, 819, 404, 845], "category": "Text", "text": "This action consists of 3 outputs:"}, {"bbox": [136, 871, 1133, 951], "category": "List-item", "text": "1) **Trade Policy:** Cambodia's capacity to formulate and implement successfully laws, policies, and strategies in support of environmentally and socially (gender and disability inclusive and resulting in decent work conditions) sustainable trade development, is strengthened while preparing for LDC graduation;"}, {"bbox": [136, 952, 1133, 1004], "category": "List-item", "text": "2) **Trade Facilitation:** Improving the effectiveness, transparency and competitiveness of Cambodia's trade facilitation infrastructure by implementing critical components of WTO-FTA and ASEAN commitments;"}, {"bbox": [136, 1005, 1133, 1111], "category": "List-item", "text": "3) **Private Sector:** SMEs' capacity for exploiting the business opportunities offered by the ASEAN single economic space (AEC), EU, and global markets in selected value chains, is strengthened, including their ability to meet EU and international standards and to focus on a market-led and gender and disability-inclusive value chain approach."}, {"bbox": [97, 1136, 1133, 1322], "category": "Text", "text": "The programme contributes to two TEIs in Cambodia, TEI 1 Sustainable landscapes, forest and agriculture and TEI 2 Green energy and industrial value chains, as it aims at simplifying customs procedures for agri-business and garment. Moreover it supports agroindustry SMEs to meet standards and legal requirements in target markets, and it also contributes to improved advocacy for green and social due diligence. EU GATE is also an enabler of two Cambodia AAP 2023 Actions: Cambodian Partnership for Sustainable Agriculture and Food Systems (EU CAPSAFE), and EU Partnership for Sustainable Energy Practices in Industry, for the greening of the garment sector, which are both key export sectors for Cambodia."}, {"bbox": [85, 1378, 322, 1408], "category": "Section-header", "text": "# 2 RATIONALE"}, {"bbox": [85, 1444, 234, 1470], "category": "Section-header", "text": "## 2.1 Context"}, {"bbox": [97, 1489, 1133, 1674], "category": "Text", "text": "The COVID-19 pandemic reversed some of the progress made since 2010, a period when Cambodia's GDP grew at a yearly average of more than 7%, mainly thanks to its export sector. In 2022, the RGC deployed a \"Living with COVID-19\" strategy that facilitated recovery, building on continued resilient goods exports, a revival of the services sector including tourism, and increased foreign direct investment (FDI) inflows. Unfortunately, the global economic slowdown following Russia's war against Ukraine has put new downward pressure on Cambodia, due to sharp rises in prices in oil, gas, and certain agricultural products (fertilizers and pesticides) as well as higher inflation threatening food security."}, {"bbox": [1038, 1682, 1143, 1706], "category": "Page-footer", "text": "Page 4 of 23"}]