CAMBODIA GOVERNMENT-PRIVATE SECTOR FORUM (G-PSF)

Cambodia’s Government-Private Sector Forum (G-PSF), established at the initiative of the Royal Government of Cambodia in 1999, is a mechanism for public/private sector consultation on investment climate issues ranging from long range policy to day-to-day operations. The G-PSF also gives Government a channel for getting private sector feedback on draft policies, laws and regulations. Chaired by the Prime Minister, the G-PSF has two plenary meetings a year which have the status of cabinet meetings, and decisions made by the Prime Minister are binding.

G-PSF objectives:

1. Discuss and exchange ideas with private sector dialogue partners to identify measures that resolve complaints in individual sectors in a timely manner, and propose these solutions to the authorities concerned.
2. Identify, in consultation with private sector dialogue partners, strategic initiatives for supporting and encouraging existing companies as well as attracting investors that will bring new businesses to Cambodia.
3. Provide a regular report to the Head of the Royal Government on the activities and direction for follow-up work, which is required for continuous implementation so that the Head of the Royal Government can propose solutions at the twice-yearly plenary sessions.
4. Address other problems as necessary within the framework of individual sector meetings and as mandated by the Royal Government.

The Working Groups

Throughout the year, eight private sector working groups (PSWGs) meet regularly to identify and prioritize common problems, and negotiate solutions with Government counterparts. These groups are currently as follows:

1. Agriculture and Agro-industry
2. Tourism
3. Manufacturing and Small and Medium Enterprises
4. Law, Tax and Governance
5. Banking and Financial Services
6. Export Processing and Trade Facilitation
7. Energy, Transport and Infrastructure
8. Industrial relations

CAMFFA and G-PSF

CAMFFA is jointly with CAMTA administrator for G-PSF Energy, Transport and Infrastructure

CAMFFA actively participate to G-PSF Export Processing and Trade Facilitation

CAMFFA actively participate to Customs-Private Sector Partnership Mechanism

On International Customs Day, January 26, 2010 in Phnom Penh, under the approval of the Royal Government of Cambodia, the Customs-Private Sector Partnership Mechanism-CPPM was established for the first time in her history.

The main purpose of the official launch of CPPM is to raise the awareness to all stakeholders, to accelerate a better cooperation, and to insure the efficiency of the implementation of trade facilitation policy of the Royal Government of Cambodia and also the policy of World Customs Organization, especially WCO SAFE Framework of standard.

These objectives are following:

1. To build trust and mutual understanding and cooperation between customs and private sector.
2. To promote fiscal morality, trade facilitation in order to enhance the compliance of laws and regulations. To insure that all customs related issues be consulted or solved at CPPM before the issues are brought to other mechanism such as inter-government body or Government-Private Sector Forum.
3. To promote the private sector participation, at the greatest possible extent, in the process of solving all customs related issues.

The mechanism consists of two hierarchical levels: Management Board and three Technical Working Groups.

The 3 working groups are characterized by its types of investments and business industries:

1. Customs-Export Oriented Garment Industry Working Group.
2. Customs-Export Oriented Non-Garment Industry Working Group.
3. Customs-Domestic Market Oriented Business Working Group

Business Associations as PSWG Secretariats

To ensure the sustainability of the G-PSF, business associations will need to play a greater role in the management of the WGs and perform the role of PSWG secretariat. Some working groups such as Law, Tax and Governance; Banking and Financial Services; Export Processing and Trade Facilitation; and Industrial Relations are already supported by associations that play a leading role in managing group activities and reporting to their constituents. These business associations will gradually take over roles and responsibilities that used to be undertaken by IFC’s Coordinating Bureau. Despite some success with this hand over, the working group process remains largely that of participation by individual business representatives, with IFC continuing to facilitate the process.

STRUCTURE OF THE G-PSF

This section summarizes the structure and roles of the key bodies taking active part in Cambodian public/private dialogue and how they interact.