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PHNOM PENH – The number of garment and footwear factories in Cambodia increased from 528 in late 2013 to 640 in March 2015 – a 21 per cent rise – while exports are up by more than 10 per cent in the past 16 months. These are two findings of a recent International Labour Organisation (ILO) report, which claims the burgeoning state of the industry has confounded those who suggested that increased minimum wages for workers would lead to a decline of the sector and the exit of inward investors. The buoyant state of the textile industry in Cambodia also offers a pointer for Myanmar where Korean investors are threatening to leave if new minimum wage legislation is implemented.

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