Artisans Associations of Cambodia

Dear Friends of the Artisans Association of Cambodia,

We hope that this update finds you well and enjoying the onset of Spring.  At the Artisans Association of Cambodia (AAC), we are happy to share that this has been a season of growth for AAC and our members.

• The most notable achievement thus far in 2016, was the 6^th Annual Angkor Handicraft Fair January 14-17, 2016. AAC organized its annual Angkor Handicraft Fair from January 14 to 17, 2016 at the river garden in front of Raffles Grand Hotel d’Angkor, Siem Reap city, Siem Reap province with an aim to promote Cambodian hand-made products that respect social and environmental values. The fair was daily open to public during the four-day from 9:00 a.m. to 9:00 p.m. There were 47 booths from 40 organizations across Cambodia.
• As a result of the Fair, AAC has been working with 13 buyers among those 3 are repeated buyers, 7 sample order buyers and three buyers just inquired about type of products and shipment procedure. Majorities are from USA and the rest are from Singapore, Japan, Australia, France and Germany, more detail information is in other sector of the report. In addition, we shared 100 copies of the AAC Catalog 2016 and AAC Member Profiles.
• In collaboration with the Ministry of Commerce of Royal Government of Cambodia (MOC) AAC has gained following support:

1. Exhibit booths at the pavilion at the Angkor Sankranta Event and Handicrafts and Souvenir Fair from April 13^th, to 16^th in front of Angkor Wat temple Siem Reap province. In this regard, AAC has drawn some supports from MOC to support 14 exhibitors.
2. Two exhibit booths free of charge for Ta Prohm and Caring for Young Khmer/Pidan Khmer to attend the Bangkok International Gift Fair and Home Ware Fair in Bangkok Thailand from April 19^th to 23^rd, 2016
3. Three nights hotel and local transportation from hotel to exhibition center and from exhibition center to hotel for 17 representatives from 9 AAC members that will be going with AAC for an exposure trip to visit the Bangkok International Gift Fair and Home Ware Fair and Accessory suppliers market in Bangkok from April 19^th to April 22^nd, 2016.

Additional highlights of the AAC's achievements this quarter include: 

• Sales: The income generated through AAC trade facilitation was approximately $5,607.
• Members: The total number of active AAC members is 45.
• Workshops: AAC attended a workshop on “Celebration Home Based Workers Twenty Years and Time for Action” March 20^th to 22^nd, 2016 held at the Ramada Hotel, Ahmedabad, India. WIEGO and HomeNet South Asia jointly organized the event.
• Technical Support: An individual internship from France has joined AAC since early February 2016 and will be ended by April 2016. She works on fair trade and working together with AAC she will assist with our application for the World Fair Trade Organization label.
• Development Sans Frontier (DSF)/Development Without Border: DSF has sent two more volunteers in marketing and design to work with AAC since March 16, 2016 for 8 months and a designer will be coming to work for AAC in the first week of April 2016 until the end of November 2016.
• Capacity Building: AAC has collaborated with Nomi Network in order to further capacitate AAC members through a joint organizing more trainings/workshops on Design and Market Access from June until November 2016.
• Design Technical Support: AAC identified an interior designer and professional photographer from France to work with AAC members who are in need of display assistance at their shops, updates to their catalog or price list for marketing purposes. The interior designer has been creating a common catalog for four AAC members and hopefully the catalog will be completed by April.

Making an impact this quarter and planning for next quarter:

Trade Fairs:

• Through collaboration with the Ministry of Commerce (MOC) of Cambodia, AAC received support for two free booths for two of its members (Ta Prohm and Pidan Khmer) to attend the Bangkok International Gift Fair and Home Ware Fair (BIG & BIH) in Bangkok, Thailand from April 19^th – 23^rd, 2016.
• AAC is in process of coordinataing more than 17 people from 9 member organizations for an exposure trip to visit the BIG & BIH fair and accessories market from April 19^th to April 22^nd, 2016. AAC met with the members explained the purpose of visit, program of the visit and logistics needed. AAC will meet with those groups after exposure trip to draw the lesson learnt as well as incorporated those lessons in their strategic plan.
• Angkor Sankranta – Handicraft Souvenir fair from April 13^th – 16^th, 2016 in front of Angkor Wat Temple: AAC is able to gain support one pavilion 9 m x 9m for four AAC members to display and demonstrate the weaving technic, carving technic and the technic of producing silk necklace and 12 booths of 3mx3m for 10 AAC members to display products and sell. In addition to the booth support, AAC is able to convince the Ministry of Commerce to partially support the accommodation, food, transportation etc. in the amount of over USD3,000. 

Collaboration:

• At least three of AAC members (Women for Women (WfW), Watthan Association Cambodia (WAC) and Artisans of Silver) attended the MOC-101 final pitch on February 27^th, 2016 at the Ministry of Commerce of Cambodia.
• In March, 2016, AAC had a discussion with Nomi Network on possible collaboration: Nomi is an NGO supported by US group and plans to organize several training session on Design and Marketing. AAC will first collaborate with Nomi in order to invite representatives from at least eight of all members to attend a morning session in June 2016 in Phnom Penh. More courses on marketing and design will follow this first collaboration. The June 2016 event will host a guest speaker who is the top executive from one of the largest retailer. We plan to have her discuss on the topics:
• "What are buyers looking for?"
• "How to communicate with buyers?"
• "What are the trends in 2016 and beyond?"

AAC Member Catalogue and Profile:

• Completed the development of catalogue and profile for all of AAC members and printed. AAC distributed those documents to all members, also plans to distribute them to potential supporters, donors, line ministries etc.

Capacity Building:

• In collaboration with SHE International, AAC sent two of its members to attend new intake on Business Incubator Program 2016. The program runs for 6 months, 2-days per month. Topics that SHE International covers include: goal setting, business modeling, personal and business financial literacy, marketing, problem solving and leadership. This new program launch after a successful pilot last year. The cost of the course is $400, however SHE International offered full scholarships to both of them.

New Members:

• In Siem Reap, AAC Director visited Genevieve’s Fair Trade Village (GFTV) on March 30^th, 2016. Genevieve’s Fair Trade Village is an organization working solely with people with disabilities who made products from stone, wood and up cycled papers. Genevieve’s Fair Trade Village has drawing and painting projects. The purpose of joining AAC is to be able to network, receive information, assistance in diversifying products, and marketing. Most importantly GFTV wants AAC to build capacity of its current manager to be a good manager.

Challenges in 2016 and beyond that AAC and our Members continue to face:

            1) Decrease of Capacity of Production:

• Garment Factories keep moving to provinces where weavers in those provinces are no longer interest in weaving, but work for garment factories.
• Sewers begin to leave handicraft sector and work for garment factories because of socialization and simple for them.
• Minimum wage is moving up and those workers enjoy overtime job and severance pay.
• Sewers need engineering skills.
• New generation seems reluctant in this sector, lack of interest.
• The minimum wage regulated by the Cambodia government in 2015 was $USD128 per month for garment factory worker and in 2016 is $USD140 per month plus various bonuses. The government has planed to increase the minimum wage up to $USD160 or $USD180 for year 2018.

            2) Other challenges

• AAC members lack of working capital for expansion their enterprises.
• Designing/product development and marketing is a must.
• Handicraft sector lacks of skilled producers due to migration, growth of handicraft shops, young generation is not interested in learning traditional skills e.g. weaving. Lack of program from both government and NGOs to encourage people to stay in handicraft sector.
• Insufficiency of sericulture program, which led to low capacity of production of golden silk yarn and cotton.

Thank you for your continued support!  We look forward to sharing more about AAC’s activities in the coming quarter.  Until then, please know that we are most grateful for your generous support.

Warmest regards,

The WRF Team