The American multinational conglomerate holding company FedEx Corporation focused on transportation, e-commerce and services will become the first large-scale freight forwarding firm to launch its direct flights from the US to Cambodia in October 2022 amid rising bilateral trade between the two countries, according to a senior official of the State Secretariat of Civil Aviation (SSCA).
The senior representatives of FedEx had a discussion with Mao Havanall, Minister in Charge of SSCA and confirmed the plan to launch the direct flights offering cargo transportation from and to Cambodia from October this year, said the official.
Chea Aun, Secretary of State of SSCA, told Khmer Times yesterday that Cambodian aviation authorities, as well as the government, welcome and support the plan of the world-class firm as it will bring economic benefits to Cambodia, especially its air transportation industry by ending transition of cargoes in other countries such as Singapore, Thailand, Japan, South Korea and China.
“It is good for our country as such a large company with many transportation networks around the world, which would reduce costs and time, but increase connections to overseas producers, competition and responsibilities among freight forwarders. So, we will provide them with the necessary support so that they will be able to join the aviation transportation industry with us,” Aun said.
He believes that the presence of FedEx will attract other large-scale freight forwarding firms to launch direct flights such as DHL when they see the increase in the number of cargoes carried by the air from and to Cambodia to the rest of the world. “Consequences, our air transportation will be improved, especially being faster like fall from two days to one day,” he added.
Masamichi Ujiie, senior vice president of FedEx, also led a delegation to meet Sun Chanthol, Minister of Public Works and Transportation to gather more information and insights about the Cambodian government regarding the current developments, investment opportunities, infrastructure and transportation plans in the country to be input for its business expansion plans.
Chanthol told the delegation that the government has plans to develop two logistics centres—one in Phnom Penh and another one in Sihanoukville through commissioning YCH and WorldBridge Group with agreements to be signed soon. The minister has assured Cambodia’s support to the initiative of FedEx to launch direct flights to carry cargoes to Cambodia.
“It is his first time to visit Cambodia and see the actual developments beyond expectation and the delegation also expressed their interests in investing in infrastructure and transportation industry in the Kingdom to join in the development of the economy,” Masamichi said in a release by the public work ministry pointed out, adding that the freight forwarder also wants to join enhancement of relations between Cambodia and the US.
The plan was also unveiled during a meeting between Buon Sarakmony, Secretary of State of MoC and Vice Presidents of Memphis-based FedEx—Wallace K. Hsuesh and Audrey Cheong attended by officials of the ministry on Tuesday in the building of MoC after they had received facilitation.
“The representatives of the company paid gratitude to the officials of the ministry for cooperation and especially assistance in facilitation in fulfilling formalities and procedures for it to be able to kick off its direct flights next month,” the release pointed out
Sarakmony stated in the meeting that the trade volume between Cambodia and the US has increased by 61.54 percent in the first half of this year compared to the same period of 2021 despite the impacts of the Covid-19 pandemic.
