PM Announces a Halt Issuance of Brewery Licenses for Domestic Distribution in Cambodia

• 29 November 2024
• Local News
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In a significant policy shift, Prime Minister Hun Manet has banned issuing new licenses for breweries intended for domestic distribution in Cambodia. This announcement was made during the closing ceremony of a meeting summarizing the Ministry of Mines and Energy’s work results for 2024.

PM Hun Manet clarified that while licenses for breweries focusing on export production will continue to be granted, the government will no longer issue permits for those aimed at the local market. He stated, “I have stopped the beer brewing licenses for domestic distribution. There are seven breweries; if production is for export, I will permit it. However, no new licenses will be issued for local distribution. We must consider the implications of this decision.”

The Prime Minister pointed out that issuing more licenses could hinder the growth of existing investors in the already limited Cambodian market. He emphasized the need for careful consideration, particularly regarding large investment projects, suggesting that these should be evaluated based on potential investments of USD100 million to USD200 million.

In addition, PM Manet encouraged the private sector to explore opportunities in car assembly plants, drawing comparisons to other countries like Singapore, which have restricted car production licenses to foster growth in the industry.

The government’s strategic approach aims to protect and bolster existing investors while maintaining a balanced and thriving economic environment. The cessation of brewery licenses marks a pivotal moment in Cambodia’s regulatory landscape as it seeks to effectively manage domestic production and export opportunities.

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