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Prakas #607 on Procedure for Factory License Application_090722

Published: 2011 Sep 19

Kingdom of Cambodia
Nation Religion King

Ministry of Industry, Mines and Energy
No: 607

Phnom Penh, 22 July 2009

PRAKAS
ON
PROCEDURES AND FORMALITIES FOR ESTABLISHMENT OF FACTORY
AND HANDICRAFT

Minister of Industry, Mines and Energy

  •  Having seen the Constitution of Cambodia;
  •  Having seen the Royal Decree No. NS/RKT/0908/1055, dated September
    25, 2008, on Appointment of the Royal Government of Cambodia;
  •  Having seen the Royal Kram No. NS/RKM/O196/05, dated January 24,
    1996, Promulgating the Law on Establishment of Ministry of Industry.
    Mines and Energy
  • Having seen the Royal Kram No. NS/RKM/0606/018, dated June 23,2006,
    Promulgating the Law on Management of Factories and Handicrafts;
  • Having seen the Law on Quality Control and Safety of Goods and
    Services,
  • Having seen the Sub-Decree No. 35 ANKr.BK, dated April 26, 1999, on
    Organization and Functioning of the Ministry of Industry, Mines and
    Energy (MIME);
  • Pursuant to the necessity of the Ministry;

HEREBY DECIDES

SECTION ONE: INTRODUCTORY TERMS

Article 1: Objective

The prakas herewith (hereafter the “Establishment Prakas” or “this prakas”) is
issued pursuant to the Law on Management of Factories and Handicrafts
promulgated by Royal Kram No. NS/RKM/0606/0l8, dated June  23,2006 (the
“Law”) to further the following goals:

1.  Protect the public health by ensuring that natural and legal persons who
establish new factories and handicrafts in Cambodia do so in compliance
with the Law.
2.  Provide clear guidance to national and sub-national government on how
to satisfy their duties to register new handicrafts or permit new factories
under the Law.
3.  Encourage expeditious establishment of responsible, new factories and
handicrafts in Cambodia by:
a.  Providing clear, standardized and comprehensive guidance on how
to register new handicrafts and permit new factories under the
Law,
b.  Providing clear standards for granting national permits for
factories and permitted handicrafts under the Law, with authority
to MIME to coordinate and expedite action by other agencies
involved with permitting to be accountable and transparent,
c.  Providing handicrafts and factories with potentially permanent
establishment permits under the Law, provided that the owners
continue to comply with Law and other applicable laws and
regulations, including the Operation Prakas or other regulations
requiring payment of public service fees for regulated services,
d.  Exempting certain very small-scale handicrafts  facilities from all
registration requirements,
e.  Harmonizing the requirements of this prakas with the
requirements of the  other ministries and institutions  to  avoid
conflicting or needlessly duplicative requirements.
4.  Encourage the establishment of world-class manufacturing facilities, by
providing a voluntary process for facilities to be certified as Premium

Manufacturing Facilities, which meet internationally acknowledged
standards of safety and product quality.
Article 2: Definitions

Manufacturing Facility: Any Factory or Handicrafts, that must be registered or
permitted under the Law is deemed to be a Manufacturing Facility, subject to the
requirements of this Prakas. For purposes of the Law and this prakas, the terms
“factory” or “handicraft” are understood in their customary, normal usage.

Handicrafts Facility:  A handicrafts facility is a Manufacturing Facility, which
contains, or is expected to contain, tools, machines, equipment and furniture to
be used in the facility to produce manufactured products, which have a total
replacement value of less than $50,000.

Factory:  A Factory is a Manufacturing Facility, which contains, or is expected to
contain, tools, machines, equipment and furniture to be used in the facility to
produce manufactured products, which have a total replacement value of equal
to or more than $50,000.

Required Documents:  Every Applicant for a Permit or Registration under this
prakas must submit the documents specified in this prakas as Required
Documents for the specific kind of Permit or Registration in question.

Establishment Permit Application:  An  Establishment Permit  Application  is  a
formal  and written  request  through relevant offices  to the  MIME  to issue a
permit, authorizing establishment or initial operation for a new Manufacturing
Facility subject to the Permit requirements of this prakas.  The  Establishment
Permit  Application  includes the  Application Form plus all the Required
Documents specified for that Permit.

Establishment Permit:  An Establishment Permit is a permanent, written
permission from MIME to establish a new Factory or new Permitted Handicrafts
Facility, including the detailed terms of the permission granted.  When the
Factory or Facility is completed, an Operating License is required to begin initial
operation.

Operating License Application: For Factories and Permitted Handicrafts
Facilities, an Operating License Application is a written statement from an
Applicant that a Facility for which an Establishment Permit was granted, has
been completed and is ready to manufacture according to the technical standard
determined by the Ministry in accordance with Establishment Permit
requirements, and ready to submit a request for MIME to issue an Operating

License. For Registered Handicrafts Facilities, there is no Operating License
Application separate  from the Registration Application, which serves a
combined function.

Operating License: An Operating License is a written acknowledgement from
Department of Industry, Mine and Energy (DIME) that a Registered Handicrafts
Facility has registered properly, or from MIME that a new Factory or Permitted
Handicrafts Facility has been completed in accordance with its Establishment
Permit or MIME applicable  technical  standards, and that  the owner  can  start
manufacturing.  The Operating License is valid for three (03) years from date of
issuance, and shall be automatically renewed by the relevant MIME office on
payment of the annual fee and submission of an annual report. The Operating
License will be posed at an open place in the Manufacturing Facility, in
accordance with Article 16 of the Law.

Establishment Permit Requirement: The minimum compliance standards set by
MIME to receive a particular kind of Permit under this Prakas.

Registration Application: A Registration Application is formal notification to the
DIME and the relevant MIME office that a new non-exempt Handicrafts Facility
will be opened. The Registration Application includes the Application Form plus
all the Required Documents.

Registration: Registration of a Handicrafts Facility is completed when  the DIME
and  the relevant MIME office records the Registration Application, issues the
initial Operating License and assigns the Permanent Number to the Facility.

Applicant: Is the legal entity or person signing an Application Form under this
prakas. Any Applicant is free to retain any third party agent of its, his or her
choice to file and manage the application process.

Application Form: The initial pages of either  an Establishment Permit
Application, Operating License Application or a Registration Application, in the
form specified in Attachment A to this prakas.

Registered Handicrafts Facility: All Handicrafts Facilities that are subject to
provisions of the Law and this prakas, except for the Exempt Handicrafts Facility
and Permitted Handicrafts Facility, shall be properly registered with the DIME.

Exempt Handicrafts Facility:  Is a Handicrafts Facility, which contains, or is
expected to contain, tools, machines, equipment and furniture to be used in the
facility for manufacture, with a total replacement value of less than $3,000, and is
not manufacturing products on the list for Permitted Handicrafts Facilities.  To

administer this type of handicraft facility, DIME can arrange their staff to collect
the information and record them for statistical use, as needed; but the owners of
the exempt handicraft facilities are not required to register.

Permitted Handicrafts Facility: In order to protect the public health, certain
Handicrafts Facilities which manufacture food or drinks for human
consumption, chemical products or other potentially dangerous substances shall
request for the Establishment Permit and Operating License in advance from
MIME in order to be considered a legal Handicraft Facility.

Premium Manufacturing Facility:  Is a Factory or Permitted Handicrafts Facility,
which voluntarily opts to be certified by MIME as a Facility, which meets strict,
internationally recognized standards for safety and product quality.

Permanent Number: Every Manufacturing Facility, which receives its first
Operating Certificate under this prakas will simultaneously receive a unique
Permanent Number for the Facility, to assist in tracking all records about it.
Establishment Prakas:  This prakas only specifies how legal and natural persons
who plan to open and operate a Manufacturing Facility must register or request
for the Establishment Permit or Operating License. It does not apply to ongoing
operation of existing facilities that are subject to provisions of the Operating
Prakas.
Operation Prakas: MIME will issue a separate prakas on Factory and Handicrafts
Operation and Administration, known as the “Operation Prakas”.
Article 3: What this Prakas Covers
Before anyone establishes, expands or relocates a manufacturing facility in
Cambodia, the facility must first be exempt, registered or permitted as provided
in this prakas. Procedures and formalities herein shall apply to any natural
person or legal person who wishes to establish a Manufacturing Facility, which
will manufacture and sell products in any of the following industrial sectors:

  • Foods, beverage and tobacco;
  • Textile, wearing apparel and leather products:
  • Paper product sector;
  • Chemical, rubber and plastic products, except oil and gas;
  • Non-metallic mineral based product;
  • Basic metal;
  • Fabricated metal, machinery and equipment;
  •  Other sectors such as: production of jewelry, decoration material, musical
    instrument, sport equipment, toy and office equipment;

The following activities are not Manufacturing Facilities for which a Permit or
Registration may be required under this prakas:

1.  Restaurants, cafés, bars, hotels or other locations where food and
beverage is prepared to be served and eaten on the premises;
2.  Buildings, places or vehicles for the growing and harvesting of food
and other agricultural products;
3.  Warehouses, which are not otherwise an integral part of a factory or
handicrafts facility;
4.  Auto, truck, or vehicle equipment repair facilities, including body
shops;
5.  Buildings, places or vehicles for production of computer software,
internet services, computer network service firms or other places
providing computer related services which do not require fabrication;
6.  Offices and professional services of any kind,
7.  Other buildings, places or vehicles which the General Department of
Industry of MIME may from time to time determine not to be a Factory
or Handicraft Facility, for which the Law or this prakas require
Registration or a Permit under this prakas.
This Establishment Prakas does not apply to any  registered or permitted
Manufacturing Facilities before the date it becomes effective, except that Permits
under this Prakas will apply to expansions, branch establishments or relocations
of Factories under Article 11 and Article 12 of the Law.

Article 4: Application, Registration and Permitting Process: Summary

1.  Before any legal or physical person can establish and start manufacturing
a Handicrafts Facility subject to Registration under this Establishment
Prakas, that person or its agent must:

–  file Registration Application,
–  pay the fee for it, and
–  receive its Operating License as of right.

2.  Before any legal or physical person can establish and start manufacturing
in a new Permitted Handicrafts Facility, that person must:

–  first submit a Permit Application,
–  pay the fee,
–  have the Establishment Permit approved, and

–  receive its Operating License.

 

3.  Before any legal or physical person can establish and start manufacturing
in a new Factory, that person must:

–  first submit an Establishment Permit Application,
–  pay the fee,
–  have the Establishment Permit approved,
–  complete the establishment of the Factory, and
–  receive its Operating License.

 

4.  MIME may from to time update standard Application forms for each kind
of Permit or Registration under this prakas.

5.  Every Application must be submitted with the correct Application form
and correct Required Documents for that specific kind of Application.

6.  Every Application must be screened and reviewed for formal compliance
with this prakas and directions issued under it, before it is accepted for
processing.

7.  All compliant Applications must be accepted for processing. Once
accepted, the Applicant must pay the required fee.

8.  Registrations must be issued as per the rights within seven days after an
Application is accepted for processing, along with the Operating License.

9.  Establishment Permits shall be issued for the applicant no later than seven
working days after review and assessment by the relevant office of MIME.
To get an Establishment Permit, the Applicant must submit required
information and documents on the Manufacturing Facility that the
Applicant wishes to operate.

10. The Permit and Registration requirements of this Prakas shall not be
applied to any person or legal entity conducting activities not explicitly
regulated by this prakas.

SECTION TWO: APPLICATION PROCESS – GENERAL TERMS

Article 5:  Application Forms

The Application Form is available from:

1.  The Provincial-Municipal Department of MIME
2.  The one-stop service secretariat of MIME, or
3.  The website of the MIME at www.mime.gov.kh

Article 6: Where and When to File Applications

Handicrafts Registration Applications shall be filed with the Provincial
Department of MIME in the province where the Facility is located. Factory and
Handicraft Permit Applications shall be filed and accepted for processing with
the one-stop service secretariat of MIME, or with the Provincial Department of
Industry, Mine and Energy in the province where the Facility will be located, or
with the Phnom Penh’s one-stop service for Facility located in Phnom Penh.

If any Permit Application is filed provincially, the office receiving the
Application must copy it and immediately submit the original to the  one-stop
service secretariat of MIME in Phnom Penh.

Applications may be filed at the specified MIME office during working days
from  07:30 to 11:00 and from 14:30 to 17:00. Registration Applications shall be
filed no later than seven days after the Applicant has begun operation at any
Handicrafts Facility subject to registration.

Article 7: Decisions of MIME
MIME shall respond to  all Establishment Permit Application requests  after the
Application is accepted for processing with:

1.  An acceptance and Establishment Permit, without conditions
2.  An acceptance and Establishment Permit, subject to the condition that
MIME will not issue an Operating Certificate until the Applicant has
received:

a.  A location permission from the local or district authorities;
b.  A permit from the Ministry of the Environment for evaluation and
protection plan to prevent environment impact;
c.  Confirmation from the Council for the Development of Cambodia
or the relevant provincial authority.

3.  A request for further clarification, modification or amendment to the
Application
4.  A rejection.

If MIME takes any action other than granting the Permit without conditions, it
shall clearly explain in writing the reasons for its decision, and in cases 2 and 3,

above, provide instructions in sufficient detail to enable the Applicant pursue its
Application effectively.

Article 8: Checking, Categorizing and Correcting Applications

The officer responsible for accepting Applications will review each Application
(including the Required Documents for it) to verify its completeness and
correctness before the Application is accepted for processing.

When an officer reviews the Application for processing, such officer shall not
judge the merits of the Application, but must accept for processing all
Applications that meet minimum standards for submission for the kind of
Application in question. The review of the merits of Permit Applications shall
only be conducted after the Applications are accepted for processing and only by
responsible officer.

There is no review of the merits of proposed Registered Handicrafts Facilities.
The officer accepting the Application shall, however confirm, based on the
Application, whether the planned Registered Handicrafts Facility is  required to
register, or:

1.  Cannot be Registered because it will manufacture products listed as ones
for which Permits are required, or
2.  Will be too large to qualify as a Registered Handicrafts Facility and must
be permitted as a Factory.

If an officer rejects an Application, he or she shall immediately provide the
Applicant with specific reasons for the rejection and advice on what changes
must be made for the Application to be accepted for processing.

Any Applicant may contact the SME Secretariat of MIME during working hours
for explanation or clarification regarding the completion of any Application free
of charge, or for assistance with local officers whom the Applicant believes have
incorrectly rejected an Application.

Article 9: Required Documents

Before an Application is accepted for processing, the Applicant must submit the
Required Documents in full and correct form for that kind of Application.

The following documents must be submitted as Required Documents for the
various Permit or Registration Applications under this Establishment Prakas.

Applicants may choose to provide additional documents, but no other
documents shall be required:

All required documents:

1.  One copy of the Application Form, completed and including the statement
of value for the Manufacturing Facility and signed by the owner or
authorized representative of the legal entity,
2.  One copy of the identification card or passport of the person signing the
Application Form, and
3.  One copy of Receipt of commercial registration, if the application is being
filed by a legal entity, or receipt of payment for commercial registration, if
the final registration is not yet complete.

For All Permitted Handicrafts Facilities and Factories:

1.  One copy of the location approval from the local communal authorities, (if
any)
2.  One copy of design plan and schematic layout of the operation and
production lines
3.  One copy of environmental impact table, (if any)
4.  One copy of approval in principle of the Council for the Development of
Cambodia, (if any)
5.  One copy of each document which the Applicant wishes MIME to
consider in deciding whether or not the Applicant has met the Permit
Requirements (if any).

For Premium Manufacturing Facilities Only:

1. One copy of additional documents required by MIME to confirm that
the Facility, if completed as proposed, will comply with the specific,
international standards applicable to that kind of Facility.

Article 10: Recording Applications, Fees and Receipts:

As soon as they are accepted for processing, all Applications will be recorded as
received by the relevant office, with the date and  time received noted on the
Application.  The Applicant shall then pay the service fees for filing the
Application as determined.  If an Application is rejected, the Applicant  may
revise it and re-submit it for reconsideration repeatedly without having to pay
any additional Application fees.

Fees for various Permits and Registrations under this prakas will be determined
by an inter-ministerial Prakas of MIME and Ministry of Economics and Finance.

Two receipts of payment will be issued: one copy is to be kept by Applicant and
the other one is to be kept in the application file.  The Applicant might use
his/her receipt to track the application, if necessary.

Article 11: Permanent Number and Operating License:

The  DIME  responsible for Registration or Operating License  or MIME  shall
provide a Permanent Number to Manufacturing Facility that has requested.  This
Number is unique for one Facility and is permanent.  If the Manufacturing
Facility already has a tax identification number assigned by the Ministry of
Economy and Finance, then the MIME Registration or Permit number shall be
the same as the tax identification number.

The Operating License is a one page document in the form determined by MIME
and which contains the following information:

1.  The name of the Applicant and Owner of the Manufacturing Facility,
2.  Contact address and location of the Manufacturing Facility,
3.  The categories of goods produced in the Facility;
4.  The Permanent Number for the Facility.
5.  The issuance date of the Operating License.
6.  The expiration date of the Operating License

SECTION THREE:
REGISTRATION AND EXEMPTION OF HANDICRAFTS FACILITIES

Article 12: Registered Handicrafts Facilities

The owner or agent of a new Handicrafts Facility subject to Registration has the
right and obligation to submit a Registration Application for it and have the
Facility registered. The DIME must accept and register all properly submitted
Registration Applications.

Registration Applications shall not be required from any Exempt Handicrafts
Facility or from any Handicrafts Facility, which is required to be a Permitted
Handicrafts Facility.

When submitting the Application, the Applicant must pay an application fee in
the amount set by inter-ministerial prakas of MIME and the Ministry of
Economics and Finance.

The relevant Provincial or Municipal Department of MIME must issue an
Operating License to the Applicant within 07 (Seven) working days from the
date of receiving the Application.  No further fees, Receipts or Permits will be
required from Registered Handicrafts Facilities from MIME except as specifically
provided in the Operation Prakas.

SECTION FOUR: PERMITTING IN GENERAL

Article 13: Permit Requirements:

Permits are not issued as per the rights, but only after an applicant has satisfied
the applicable Permit Requirements. MIME can update or improve the terms and
conditions of the  Permit, by lowering  Permit Requirements for  small and
medium enterprises and by setting separate standards  for Facilities, which
voluntarily opt to be certified as Premium Manufacturing Facilities under this
prakas.

Minimum Standards for Providing Permit:

  •   Minimum standards to ensure the basic safety of the Factory or Permitted
    Handicraft Facility, for the environment and the workers and/or
  •   Minimum standards for systems to monitor and ensure product quality
    and hygiene.

Article 14: Principles for Permit Decisions:

MIME may from time to time issue specific Permit Requirements for particular
categories of Manufacturing Facilities. When there are no existing specific Permit
Requirements, MIME  will  follow these general principles in exercising its
discretion to grant or deny a Permit Application:

1.  MIME  will  promote the effectiveness, transparency, expedience and
simplicity of the  processing of Permit Applications to encourage
maximum investment in the continued development of responsible
Manufacturing Handicrafts and Industry in Cambodia.
2.  MIME shall use its best efforts to assist Permit Applicants as needed to
prepare acceptable Applications.
3.  MIME shall promote the protection of fair competitiveness and unless
Applicants are seeking certification as an Premium Manufacturing
Facility, Permit Applications shall be judged for ability to demonstrate

minimal compliance with the  typical production practices and standards
followed by well-run, comparably sized, existing Cambodian Handicrafts
or Factories which make products like those proposed.
4.   MIME shall not use its power to issue Permits to limit market entry by
qualified applicants.

Article 15: Kinds of Handicrafts Facilities for which Permits are Required:

All Handicrafts Facilities which will manufacture the following products in the
minimum amounts stated must first receive Permits from MIME as Permitted
Handicrafts Facilities before they can establish and begin operations. MIME may
update or amend the list of Permitted Handicrafts in this Article by publishing
changes to it in a notification of  the Ministry. The list of Handicrafts Facilities
producing products that requires the permit form the Ministry:

1.  Foodstuff, food and beverage
a.  Food processing (above 250 tons a year)
b.   Ice and drinking water (above one ton a year)
c.  Orange juice, Siro water, Soda (all sizes)
d.  Alcohol production and processing (all sizes)
e.  Beer and alcohol processing (all sizes)
f.  Soy sauce- fermented yellow bean sauce, chilly sauce, tomato sauce
(all sizes)
g.  Fish sauce (more than 500,000 liters per year)
h.  Water treatment and clean water supply and distribution (all sizes)
i.  Cooking oil (all sizes)
j.   Steam oven baked bread and cakes (all sizes)

2.  Textile, Clothes and leather products
a.  Leather tanning and processing (all sizes)
b.  Traditional Cambodian glue (known as Kav Spek Kor Krabei) (all
sizes)

3.  Production of paper
a.   Paper powder and paper (all sizes)

4.  Chemistry products:
–  Chemistry products, organ, non-organ (all sizes)
–  Chemical fertilizers, and medicines for insecticide (All sizes)
–  Painting, varnish and Cambodian traditional painting known as Khmok
Mrak (all sizes)
–  Soaps, toilet perfume and other products (all sizes)
–  Plastic products and rubber wheels (all sizes).

–  Batteries and small batteries (all sizes)
–  Synthesis and frozen wood glue (all sizes)
–  Gas products and fluorine (Thmor Sauy) (all sizes)
–  Diesel (all sizes)

Article 16: Discretion of MIME in the Review of Establishment Permit
Application

Within four working days after a Permit Application has been received by
MIME, the General Department of Industry shall review the Permit Application
and Required Documents and prepare its written recommendation to the
Minister of MIME on whether or not the proposed Factory complies with the
minimum Permit Requirements. With the discretion to examine and decide on
the Application, MIME has the following alternatives:

Alternative One:

MIME shall review and evaluate the Handicraft Facility Establishment
Application based the comments and approval of the relevant competent
authority and the Ministry of Environment as necessary.

However,  the decision whether to approve or not approve the
Establishment Permit shall be the sole discretion of the MIME based on
the technical requirements for the establishment of the Factory-
Handicrafts Facilities, which have been determined and published. In this
regard, MIME may choose to decide on the application without waiting
for comments from the relevant competent authority or evaluation on the
environment impact or protect from the Ministry of Environment. Based
on its discretion, MIME shall decide to  issue the Establishment Permit
according to the request but may set requirements before issuing
Operating License by requiring the Applicant to provide the confirmation
of receiving approval of the location from the local authority, other
permits from other relevant competent authorities or approval letters from
the Ministry of Environment for related issues and environment impacts
and protection.

Alternative Two:

Before MIME decides to issue an Establishment Permit, the Applicant
must first provide a written permission from the local authorities or MoE
for the Applicant to establish the Factory or Permitted Handicraft Facility

in the location for which it is proposed.  To receive the Establishment
Permit, the Applicant need not demonstrate its ownership or legal right to
use the land where the Facility will be built. The determination of the
requirements to have approval from other institutions or local authorities
shall be determined solely by MIME as per its necessity.

Article 17: Handicrafts Facility Operation and Operating License

At any time when the holder of an Establishment Permit has completed or nearly
completed building the Facility, the holder shall file a License Application with
the MIME office as stated in Article 6 where the Establishment Permit
Application was filed.  This Application shall be  forwarded to the MIME for
review and decision  to issue the Operating License before the Factory-
Handicrafts Facility start its operation.

Within five business days of receiving the Operating License Application, the
General Department of Industry or it  agents shall conduct its investigation, if
any, to confirm that the Factory was completed in substantial compliance with
the plans submitted with the Establishment Permit Application, or otherwise in
compliance with applicable MIME Minimum Standards. The Ministry shall issue
the Operating License no later than seven working days of receiving Operating
License Application of the owner of the Factory-Handicrafts Facility and after the
General Department of Industry has confirmed that the Factory-Handicrafts
Facility was built and completed in accordance with its requirements.

If the General Department of Industry finds that the Factory-Handicrafts Facility
was not completed substantially in compliance with the plans submitted with the
Establishment Permit Application, or otherwise in compliance with applicable
MIME Minimum Standards, it will contact the Applicant within seven working
days of receiving the Operating License Application with specific, written
recommendations on actions which the Applicant should take to bring the
Factory-Handicrafts Facility into substantial compliance. MIME will not require
any actions from the Applicant other than those specified.

At any time when the Applicant completes the actions recommended, he/she or
it may submit proof of actions taken, and request again in writing that MIME
issue a Operating License.

Section 5: Voluntary Permit for Premium Manufacturing Facilities
Article 18: Premium Manufacturing Facilities:

MIME may, from time to time, publish Permit Requirements for the
establishment of specific kinds of Premium Manufacturing Facilities as requested
by their owner, and which the owners wish to have certified as Premium
Manufacturing Facilities. The Premium Manufacturing Facility designation is
intended as a special honor, to help:

  • Establish the credibility of the products from that Facility;
  • The owner of the Facility to gain market access to export markets with
    stricter quality control standards than those generally required in
    Cambodia;
  • The RGC to encourage gradual improvement of domestic Manufacturing
    Facilities, by recognizing a class of globally competitive, local Premium
    Manufacturing Facilities;
  • The RGC to focus its export promotion efforts on supporting local
    enterprises which have voluntarily submitted to inspection, control and
    permitting requirements which conform with practices established by
    international standard setting bodies.

No owner shall be required to have a Premium Manufacturing Facility permitted
as an Premium Manufacturing Facility as a condition of receiving any Permit
under this prakas. This certification shall be followed the voluntary mechanism
for Facility wishing to get that certificate only.

SECTION 6: Miscellaneous Provisions and Final Provisions

Article 19: Value

For purposes of this Establishment Prakas, the value of a planned Manufacturing
Facility will be initially established as the value certified in writing signed by the
owner or qualified agent in the Application Form.

The minimum value set for Factories, Handicrafts and Exempt Handicrafts
Facilities in Article 2: Definitions is equal to the amount in US dollars for the year
2008.  This value and will be automatically adjusted on February 15 of each year
for changes in the published Cambodian dollar price index during the preceding
calendar year.

Article 20:  Permanence of Permits and Registrations: All Permits and
Registrations given under this prakas will be permanent, provided the Permit or
Registration holder:

1.  Provides regular reports and pays fees which might be required by the
Operation Prakas;
2.  Operates the Manufacturing Facility in compliance with the Law on the
Management of Factory-Handicrafts Facilities, Law on the Quality
Control, Safety of Goods and Services, the Law on Environment
Protection and other then applicable laws or regulations of the Royal
Government,
3.  For Factories and Permitted Handicrafts Facilities, completed the Facility
accordance with the specific requirements of the Permit allowing its
establishment.

Article 21: Operation Prakas:

To ensure that ongoing operations of existing factories and handicrafts comply
with the Law on the Management of Factory-Handicrafts Facilities the Ministry
shall issue a separate prakas on the regulation of the functioning and operation
of Factory-Handicrafts Facilities. The Operation Prakas shall determine the
requirements for providing information, various reports, fees and renewal of
Operating License.

Article 22: Final Provision

General Departments, Departments and Provincial-Municipal Departments of
Industry, Mines and Energy shall effectively implement this Prakas for the date
of its signature.
Minister
Suy Sem

CC:

– Ministry of Royal Palace
– General Secretariat of the Senate
– General Secretariat of the National Assembly
– Ministry of Environment
– Ministry of Commerce
– Ministry of Work and Vocational Training
– Cabinet of Samdech Akka Maha Senapadei
Dechor HUN Sen, Prime Minister
– Provincial-Municipal Halls
– As in Article 12 “For Implementation”
– Archive – Chronicle

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ministry-of-information Ministry of Information
ministry-of-public Ministry of Public Works and Transport
ministry-of-education Ministry of Education, Youth and Sport
ministry-of-tourism Ministry of Tourism
ministry-of-agriculture Ministry of Agriculture, Forestry and Fisheries
ministry-of-mines-energy Ministry of Mines and Energy
ministry-of-commerce Ministry of Commerce
General Department of Taxation General Department of Taxation
General Department of Customs and Excise General Department of Customs and Excise
Ministry of industry and handicraft Ministry of industry and handicraft
Ministry of Economy and Finance Ministry of Economy and Finance
Ministry of Foreign Affairs and International Cooperation Ministry of Foreign Affairs and International Cooperation
ODA-Cambodia

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Mizuho Bank, Ltd. Mizuho Bank, Ltd.
Net Frontier Cambodia Co.,Ltd. Net Frontier Cambodia Co.,Ltd
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