Logo of Phnom Penh Post newspaper Phnom Penh Post - Agriculture Ministry to ink $50 million mango pact

Agriculture Ministry to ink $50 million mango pact

A Cambodian vendor wraps up some produce for a customer at a tourist site on the outskirts of Phnom Penh in 2013.
A Cambodian vendor wraps up some produce for a customer at a tourist site on the outskirts of Phnom Penh in 2013. Tang Chhin Sothy/AFP

Agriculture Ministry to ink $50 million mango pact

The Agriculture Ministry is set to sign a mango export investment deal with a Chinese firm worth up to $50 million, the second such deal in the country, Agriculture Minister Veng Sokhon said yesterday.

Sokhon said the agreement with Weighai Dragon Union Agriculture Co Ltd was expected to be signed next month after the company presented a $40 million to $50 million plan to package fruit from Kampong Speu province to export to China and Japan.

“I’m confident that our mangoes will find a strong market,” Sokhon said, adding that Weighai Dragon also proposed setting up an agricultural bank to help farmers expand their cultivation.

“First they’ll focus on the mango exports, and then they will look at other potential fruits in Cambodia,” he added.

A local subsidiary of Hyundai Corporation, the South Korean conglomerate best known for producing cars and SUVs, was the first company to invest in mango exports, Sokhon added.

Hyundai CNF Inc is targeting markets in South Korea and Japan, and will begin operations at the beginning of next year, Sokhon said. The company has invested $4 million in developing a processing and distribution centre in Kampong Speu province to wash, process and package mangoes grown on Hyundai’s 400-hectare plantation as well as on local partner Mao Legacy’s 2,000 hectares of mango farms.

Mong Reththa, vice chairman of the board of directors at Mong Reththy Group Co Ltd, said mangoes currently had the most potential for the international market, but farming techniques needed to be improved.

“In order to reach the international market, we need to have techniques and standards for maintaining a mango farm, then focusing on packaging and freezing,” he said.

The foreign investment deals would help spur family farms to adopt more technical methods and “add value for the farmer”, Reththa said. Kingdom Fruits International Co Ltd, a sister company of Mong Reththy Group, was the first to export mangoes abroad.

MOST VIEWED

  • All inbound flights set to face added scrutiny

    Ministry of Health spokesperson Or Vandine said on Monday that the ministry is monitoring all inbound flights, after it was announced that only those from Malaysia and Indonesia will be temporarily cancelled from August 1. Vandine said on Monday that the two countries were identified as

  • Flights from Indonesia, Malaysia cancelled

    A Ministry of Health official has warned of the possibility of Covid-19 spreading through community transmission after the total infected cases in the Kingdom rose to 225. Ministry spokeswoman Or Vandine told reporters on Saturday that the possibility of community transmission cannot be overlooked and that

  • Man in quarantine dies of ‘overdose’

    The Ministry of Health on Thursday said a Cambodian migrant worker who died while being isolated at a quarantine centre in Tbong Khmum province’s Kroch Chhmar district may have died from syncope or overdose of tablets. In a statement, the ministry said the 21-year-old

  • Ministry set to reopen 20 schools in August

    The Ministry of Education, Youth and Sport will allow 20 high-safety-standards schools to reopen next month despite new cases of Covid-19 in the country. Ministry spokesperson Ros Soveacha wrote in a Telegram message on Wednesday that the schools are in Phnom Penh, Siem Reap and Battambang.