Logo of Phnom Penh Post newspaper Phnom Penh Post - Up to $85M earmarked to develop agriculture sectors

Up to $85M earmarked to develop agriculture sectors

A team of farmers prepare to plant rice seedlings in a Kampot province paddy last year.
A team of farmers prepare to plant rice seedlings in a Kampot province paddy last year. Pha Lina

Up to $85M earmarked to develop agriculture sectors

Representatives of Cambodia’s rice sector and the Ministry of Economy and Finance (MEF) met yesterday with the International Fund for Agricultural Development (IFAD) to discuss the implementation of a five-year program to promote the Kingdom’s agricultural products.

The Accelerating Inclusive Markets for Smallholders (AIMS) initiative will allocate $85 million toward the development of 10 different sectors of the country’s agriculture industry, according to Hun Lak, vice president of the Cambodia Rice Federation (CRF).

“The project will focus on promoting farming products first in local and then in international markets,” he said. “The budget will be used to improve Cambodia’s agricultural productivity as well as to provide the technical skills, production capacity, packaging facilities and the capital to bring these products to market.”

Starting next year and running until 2022, the AIMS project will support producers of meat, vegetable, fruits and rice products. IFAD has pledged to contribute $45 million to the project, while the MEF will provide $8 million. The remaining funds will be obtained through private sector investments, Lak explained.

“If the plan progresses well, we hope that it will help a lot of farmers and promote greater economic growth,” he said, adding that the project’s details would be finalised on September 8.

Cambodia’s agricultural sector already benefits from significant amounts of aid through IFAD programs. The NGO’s initiatives have a combined budget of $100 million.

Yang Phirom, business adviser for the Cambodian Center for Study and Development in Agriculture (CEDAC) and chief executive of Cambodia Farm Enterprise (COFE), welcomed news of the AIMS project, but warned that IFAD needs to work with the appropriate institutions to maximise its success.

“This is a really good project for developing the agricultural sector, but we need to make sure that those involved work with the organisations that have a good understanding of the market issues and the challenges facing farmers,” he said.

“The government should also guarantee retail prices for farmers otherwise they will give up their jobs in the farming industry.”

MOST VIEWED

  • ‘Education’ a priority traffic-law penalty

    A top National Police official on June 21 neither rejected nor confirmed the authenticity of a leaked audio message, which has gone viral on social media, on a waiver of fines for a number of road traffic-related offences. General Him Yan, deputy National Police chief in

  • Siem Reap’s $18M zoo said to educate public, help wildlife

    Angkor Wildlife and Aquarium Co Ltd has invested $18 million in a zoo in Siem Reap province, which will be opened in October to educate and promote animal conservation as well as attract national and international tourists. Currently, the Angkor Wildlife and Aquarium is building the

  • Volunteer scheme to foster ‘virtuous’ humanitarian spirit

    A senior education official said volunteer work contributes to solidarity and promotes a virtuous humanitarian spirit among the youth and communities. Serei Chumneas, undersecretary of state at the Ministry of Education, Youth and Sport, made the comment during the opening of a training programme called “

  • Chinese firms unveil preliminary results on metro, monorail for capital

    Minister of Public Works and Transport Sun Chanthol and representatives from China Road and Bridge Corp (CRBC) and its parent company, the state-owned China Communications Construction Co Ltd (CCCC), met on June 24 for talks on results of the firms’ preliminary study on a potential metro

  • Nestle’s debut may spur dairy market

    Leading confectionery manufacturer Nestle plans to invest in Cambodia by setting up an operation in the near future, a move majorly hailed by local dairy farmers as a means of boosting the fresh milk market in the Kingdom. During a visit by a delegation led

  • ACLEDA, WU to enable global money transfers

    Cambodia's largest commercial bank by total assets ACLEDA Bank Plc and global money transfer firm Western Union (WU) have partnered to offer customers cross-border money transfers to 200 countries via “ACLEDA mobile” app. In Channy, president and group managing director of ACLEDA, said the June 22 agreement