[1]
(1) Increased rubber sales to local consumers rather than exporting
According to the report I received (on) agricultural work, compared to 2025 (regarding) exports, the total revenue from product sales was 833 million dollars, an increase of about 24% compared to 2024 […] However, what interested me was that the revenue from rubber exports stood at about 604 million dollars (or) a decrease of 9.1%, but the revenue from domestic rubber sales stood at about 223 million dollars, which is an increase of 131%. This means that rubber sales are serving (local consumers) rather than exporting. We sell locally and meet the demand for local products. This is the goal of agricultural development […]
(2) Agro-industry aims to keep added value in the country
The development of agriculture has its stages. Firstly, the production and export of raw materials, then (secondly) the production and export of semi-finished products, and thirdly, the finished products, which drive the agro-industry. The main goal is to maintain the total value, the added value in the country […] to maintain (the added value) locally through processing raw materials into semi-finished products or finished products. If we can promote processing on site (we will maintain added value) not only in agriculture, but also in agro-industry, meaning not only farmers or plantation owners, rice farmers, but also those who work in processing factories, various transport jobs, as a production chain […]
(3) Connecting local rubber producing community with the tire manufacturers
Two years ago, the local tire factories used a lot of imported materials (and less domestic materials). But in the past few years, we have connected (to use domestic materials). In 2024, I had (the Minister of Agriculture, Forestry and Fisheries) HE Dith Tina and (Deputy Prime Minister and First Vice-Chairman of the Council for the Development of Cambodia) HE Sun Chanthol conducted a study about the rubber producing community, which includes the tire manufacturers, how to connect the chains without having to import rubber from abroad. At that time, we imported 30% of the rubber from Thailand. As for the domestic rubber (that is produced locally), we (exported) it through a different port. It did not enter the (local) factory. We must find a way to connect them […] because there are (raw materials) in the country, why do we have to transport it from abroad […]
(4) While ensuring local food security, Cambodia ensures regional food security to some extent
According to the CDC report […] the previous terms, there was a continuous increasing (use of rubber in the local industry), and in the past two or three years, there has also been a rise in the use of locally produced rubber as an export product […] We have more strategic crops that the Ministry of Agriculture, the Ministry of Industry, and the Ministry of Commerce need to consider together to increase productivity and add value to farmers. Local cultivation […] is primarily necessary to ensure food security. Cashew nuts and some crops cannot be conserved for exported. They must be consumed locally to ensure food security within the country. We also play a role in helping to ensure food security in the region to some extent […]
(5) Increase the rate of return and reduce the cost of production for farmers
In addition to ensuring food security, the most important thing (in the Cambodian agriculture) is to (firstly) increase the return value of the products in the same land size and increase the income of farmers. This means that a hectare of land that is used to earn $1,000 per year (we need to find a way) to increase its return so that a hectare of land in the same place earns (an increasing income) of $1,500 per year. Secondly, reduce the cost of production. If a hectare uses USD 800 as investing cost to plant crops, we need to reduce it to USD 600 […] There have had negotiations to find a way to solve the cost of electricity, not to charge taxes, and to build roads to (reduce) transportation costs so that (the cost of) transportation to the place of sale is not too expensive, plus the cost of fertilizer. Negotiations are underway now […]
(6) Thank the Chinese for help in producing fertilizers at a lower price possible
I thank the Chinese (people and) government for agreeing to help solve some problems so that we can produce (fertilizers at a lower price) […] I am interested in finding a way to produce and supply the organic fertilizers […] Whenever I see advertisements about domestic fertilizer production, I always ask, what percentage of the fertilizer is made from local raw materials? […] Is it enough? Is it sustainable? Sometimes organic fertilizers can be produced, but it is not consisting of sufficient (ingredients and/or the production quantity is not enough to meet demand) […] I’d say (if) it is not possible to replace 100%, then at least it should be able to replace (the imported ones) between 40% and 60%. In short, (we should look at increasing own production capacity […]
(7) Making raw materials cheaper to reduce cost of production for farmers
(As) we (have) seen in experience, while there is this fighting in Iran, we have had concern regarding importing oil and gas. (This is) because we do not have own production (of oil and gas). As for agriculture, without fertilizer, it is difficult to cope (with to increase production). (We have had to) guarantee our own production to some extent, to make raw materials cheaper (to) reduce the cost of production for farmers per hectare, whether it is cashews, rice and/or rubber […] No country can control the price of agricultural products from going up or down […] However, if we maintain the stability of the production chain, meaning guaranteeing fertilizer and other ingredients, not worrying about stockouts, then prices can be stable, in addition to ensuring transportation, connecting to the market by connecting infrastructure (to make prices) lower […]
(8) The Funan Canal will improve transport of agricultural products by water
As of now, most of the transportation (of goods) from Kampong Cham province to Kampong Som is by truck because there is no connection (via any other means). When the Funan Canal is completed, we will restore the waterways in Kratie and in Kampong Chhnang, etc. We hope that the connection will (help) make it possible to transport agricultural products from here on out because transporting agricultural products by water does not block traffic. Our river is big. I believe that if it does, it will not be blocked like a car. And the chance of ships colliding is less. So (water transport) ensures the flow, the transport sustainability and better prices for farmers […] The Ministry of Commerce, and other specialized ministries must prepare various incentives to ensure (a local supply chain and good prices for farmers) […]
(9) A study instructed to figure out production promotion of the local products
I have instructed the Ministry of Agriculture, Industry and Trade, especially the Ministry of Industry, whose minister is here today, to conduct a study. We are promoting the production of local products. So, think about this chain and the incentives. What products contain rubber? Can it be used to support various manufacturing industries, for example, kitchenware, plates, plastic spoons, paper, etc., and can some bamboo planting be done to connect the supply chain? How much incentive should be given to help local industries? Can the tire industry be taken as a model […] I urge you to look at and promote strategic industries, strategic domestic investments by expanding local capabilities, seizing on opportunities that citizens support local products. We must ensure quality and sustainable products and quality and sustainable buyers […]
(10) Tax incentive policies implemented to help local production capacity
We have tried to expedite local products such as milk, rice, sugar […] which the state has set as a goal to reduce imports (through expanding production) to the maximum. For example, when there is a situation (at the border), we stop importing instant noodle, but the domestic industry could substitute only 20% of the market demand. To encourage expansion (production), the state must implement some tax incentive policies to help local production capacity […] For instance, the Kirisour Fresh Farm, which produces international quality Cambodian milk, its production capacity is small and capital is limited […] Since the company has potential, a market, and customers trust it, in order for it to expand (production), we (have done something to) help it […] In the past, it rented hundreds of hectares of land to grow grass for its cows […] Now the state gives free land for local companies to grow grass, and the result is affordable and quality milk […]
(11) “If it is a cluster, it is easy to assist”
Apart from these few food products, think about whether we can connect (supply chains) on some furniture or kitchenware, some appliances (or backward linkages) […] In this mandate, I instructed focus on (economy of) scale. So, sometimes two or three districts or a region or a province produce a product […] For example, Tbong Khmum becomes a province with large potential to produce rubber to serve the production of tires and other products from rubber. Sometimes it expands to a scale that we can help. If it is big, it is easy to assist. Put them together in a group, which in economic terms is a cluster, creating an ecosystem. If they are sporadic, it is difficult (to assist). We are trying to promote cashew nuts. We do not just direct them to just anywhere. We take them to one place where we put in place an industrial park […]
(12) The main goal of industrial park is high-value and stable market for farmers
(According to) the team that I sent out to study for over a year […] what would be the main goal in creating an industrial park? […] Creating a chain and the ability to process locally for export companies is a secondary goal. The main goal is to find a high-value and stable market for farmers […] we do not do it just for factories to grow and farmers not to grow. The biggest goal is for factories to be able to afford high prices, to guarantee contracts, and for farmers to have a stable market instead of going across the border […] This is the goal of agro-industry. Ultimately, farmers are the main goal, whereas making agro-industry work is to create a market on site, a market with high value […]
(13) With the coming development of the Sihanoukville port, goods go to the world directly
In addition, we have products that can be exported directly, without having to go through a second or third party, and with the current capability now, no longer depends on transportation through other countries. Currently, only 15% or 16% of large shipments from around the world come to our port. Ships dock in this or that country. In a little while, with the development of the Sihanoukville port, we will be able to deliver (goods) out to the world directly. (This will) reduce (transportation costs). For a while now, we can transport agricultural products directly to China. In the past, we relied on Laem Chabang (port), transferring up and down (making transportation expensive) and having problems too […]
(14) Economists see the Funan Canal benefits for the entire economy are many
Some people are still not convinced about the benefits of the Funan Canal. They look at it from the business side. They say that the canal is expensive to build (so) the operation may be expensive and may not be profitable. I don’t know yet. Profitable or not (is a matter) for the company. But the state has helped a lot. We will be together to make this project work and run for a long time. As an economist, I don’t just look at the accounting benefit […] Economists look at (the effectiveness and results of) policies […] The benefits for the entire economy are many, as it is ensuring transportation capacity all times. Along (the canal), at least, there is going to be an irrigation system for (irrigating) thousands of hectares of agricultural land. That way, it can also create opportunities for various special economic zones, additional industries […]
(15) The newly renovated and expanded National Road No. 7 will create additional potential for agro-industrial and industry
Some projects must be done for the benefit of the entire economy, for instance, to help the agricultural sector, the agro-industrial sector, all sectors, especially the transportation sector to ensure competitiveness. I dare to guarantee that this is the outcome of the Funan Canal, not a loss, but a gain. If we look at the economic aspect […] helping to expand and organize this connection system will help agriculture. Tbong Khmum province is a famous agricultural province […] it was only separated (from Kampong Cham) in 2013 […] when it was separated into two, Kampong Cham received an expansion development from Phnom Penh […] the (newly renovated and expanded) National Road No. 7 is to be inaugurated on July 7, 2026 […] this connection will create additional potential (for) agro-industrial and industrial […] which can create hundreds of jobs in factories and special economic zones, creating income for hundreds of thousands of families […]
(16) Will stay with the company to make investments successful and increase trust
We have a duty to increase farmers’ income in agriculture. No matter what crop they grow. Organizing and promoting processing factories, whether rubber or cashew, is to help factories run and create more jobs […] so that farmers have a stable market and dare to offer good prices rather than exporting abroad. This is a policy of modernization and industrialization so that Cambodia is able to reduce the export of raw materials (and swapping) to export semi-finished products or finished products that can guarantee prices, because overseas rice prices can fluctuate, but I don’t see canned corn price easily fluctuating. Finished products guarantee (prices) more stability […] I support companies to expand in Ratanakiri further to do more local agro-processing. The Royal Government encourages and will stay with to make investments successful and increase trust in Cambodia […]
(17) While control the situation, keeping money with people is the main task
I thank China, which has always been the number one investor in (Cambodia), for increasing trust, and the governments will stay together. This is part of strengthening bilateral relations […] In the past, the state has lowered many taxes, even land taxes. The Cambodian People’s Party led the country by not charging taxes on agricultural land […] We have reduced electricity prices. In the last one or two decades, we have reduced them and are looking for ways to do it further. When there was a problem in Iran […] the state was willing to pay the losses through EDC so that people would not have to spend more money from their own pockets. While trying to control the situation, leaving money for the people is the main task […] We have preferential taxes, especially for agriculture, even finished products like these tires are exported free of taxes. We do not charge taxes for these products […] so that they can be sold profitably, at a reasonable price and competitively, and in return, they can buy local rubber at a higher price. In so doing, we help farmers accordingly […]
(18) So long as the Cambodian People’s Party has the people’s support to lead the country, there will still be no tax on agricultural land
In short, for us, it is socio-economic (progress), where the people’s livelihood has improved. That is the economic result that we benefit from […] The state has helped a lot, put (money) in people’s pockets so that people can ensure a balanced lifestyle […] The Royal Government will continue to help, especially in the agricultural sector, not levying taxes on agricultural land. So long as the Cambodian People’s Party still has the people’s support to lead the country, we will still not levy taxes. This is the clear policy of the Royal Government, and this is what the assistance to farmers is […]./.
