New Delhi, Dec 10 (IANS): The Confederation of Indian Industry (CII) has signed a pact with Cambodia's Association for Small and Medium Enterprises (FASMEC) in a move towards boosting ties with an ancient trading partner, the industry lobby said here Monday.

CII signed a second memorandum of understanding (MoU) with the Indian Chamber of Commerce in Cambodia.

The two agreements will enable growth of trade and commerce between India and Cambodia, which have ancient civilisational bonds dating to the 4th century A.D.

Pointing out that Cambodia recorded a growth rate of 10 percent over the past decade, CII described the Southeast Asian nation "as the best ASEAN destination for Indian SMEs (small and medium enterprises)".

The two MoUs were signed Saturday at the Business Marker event in Phnom Penh, Cambodia, organised jointly by the FASMEC and the Embassy of India.

Speaking on the occasion, Dinesh Patnaik, India's Ambassador in Cambodia, said the time is right for Indian SMEs (small and medium enterpises) to look at Cambodia as its key partner for accessing the ASEAN market, as well as be a part of Cambodian growth story.

The event coincides with the visit of a CII SMEs delegation to Cambodia, as well as the ongoing second edition of the ASEAN-India Car Rally scheduled to end Dec 20.

Addressing the Business Marker, Phok Sovannarith, secretary of state in Cambodia's ministry of industry, mines and energy, sought the support of Indian SMEs and said Cambodian SMEs look up to India to study the latter's best practices and develop globally competitive Cambodian enterprises.

CII added that the visit of its SMEs delegation to Cambodia will lead to cooperation in areas like capacity building, database management and collaborations with CII's Center for Excellence (CoEs) for research and development and testing, thereby facilitating joint ventures and technology transfers.