The beginning of this decade witnessed a shift in Cambodia from a centrally planned to a
market economy. This resulted in an enormous increase in entrepreneurial activities,
as described in our previous study on the rice milling industry in North West Cambodia.[1] A
similar development can be seen in the brick and tile producing industry, subject of this
CAS Occasional Paper. One of our informants told us that when he set up his brickyard in
Banteay Meanchey Province in 1990 there were only one or two other businesses engaged
in the production of bricks in that area. Currently, in 1999, there are about 15 brick and tile
factories in Banteay Meanchey Province. In Battambang Province a similar growth in brick
related enterprises took place.
In this rapidly changing business-economic climate the Private Sector Development (PSD)
unit of CARERE (Cambodia Area Rehabilitation and Regeneration Project) has supported
the formation of private business associations in North West Cambodia. In 1997 the PSD
Unit facilitated the establishment of two Battambang and one Banteay Meanchey Rice
Millers Associations. Before long, another industrial sector in the North West, the brick and
tile industry, saw similar developments: two associations of brick and tile manufacturers,
one in Battambang and one in Banteay Meanchey Province, were formed.[2]
The PSD Unit commissioned the Center for Advanced Study (CAS) to conduct micro
economic research at brick and tile plants operated by members of the newly formed
Associations, in order to get a better understanding of the competitive state of these
enterprises. CAS was well positioned to undertake this task as their small business research
team just had completed a similar series of case studies of the rice mills belonging to the
Rice Millers Associations in both Battambang and Banteay Meanchey Province.[3] The
Executive Committees of the two Brick and Tile Manufacturers Associations identified and
selected six brick factories at which CAS conducted detailed case studies.