Logo of Phnom Penh Post newspaper Phnom Penh Post - Cambodia-Vietnam JV targets rice exports

Cambodia-Vietnam JV targets rice exports

Cambodia-Vietnam JV targets rice exports

CAVFOOD, a joint venture between Cambodian and Vietnamese companies, launched the first phase of its US$8 million rice mill in Phnom Penh on Friday.

The venture is an investment by Cambodian state-owned rice exporter Green Trade and Vietnam’s VNA Food 2 and Bank for Investment and Development of Cambodia (BIDC).

Located in the Russey Keo district, it is expected to process eight to 10 tonnes of milled rice an hour.

The second phase of the mill, in which a second milling machine will begin operations, is expected to launch in May.

Commerce Minister Cham Prasidh said on Friday at the opening ceremony that the rice mill put Cambodia a step closer to reaching its rice export goals.

“It is a contribution in accordance with the implementation of policy to reach more than four million tonnes of rice production and one million tonnes of [milled] rice to be exported in 2015, which can bring international recognition to Cambodia’s rice,” he said.

CAVFOOD director Don Anh Sang said the company’s intention was to make Cambodia one of the leading rice-exporting countries in Southeast Asia, adding that other ASEAN markets, Europe and the United States were all target markets.  

The company would export 225,000 tonnes of rice in 2015, he said, or about a quarter of Cambodia’s million-tonne goal.

Others, however, said a number of hurdles still stood in the way of the Kingdom reaching that goal.

BIDC director Tran Bac Ha, who also serves as president of the Association of Vietnamese Investors in Cambodia, said the high price of Cambodian rice was an impediment to the country competing in global markets.

To export a million tonnes of milled rice, the Kingdom would need to decrease electricity and transportation costs, as well as streamline the bureaucracy involved with the export process, he said.

To contact the reporter on this story: Sieam Bunthy at [email protected]

MOST VIEWED

  • Without shoes or a helmet, a young cyclist steals the show

    Pech Theara gripped the curved handlebars of his rusty old bike, planted his bare feet on its pedals and stormed as fast as he could towards the finish line. The odds were against him as the 13-year-old faced off against kids with nicer bikes at

  • Phnom Penh-Sihanoukville expressway on schedule

    The construction of the more than $1.9 billion Phnom Penh-Sihanoukville Expressway has not been delayed despite the Covid-19 pandemic, with more than 26 per cent of the project completed and expected to finish in about two years, according to Ministry of Public Works and Transport secretary of

  • Over 110 garment factories close

    A government official said on November 22 that at least 110 garment factories had closed in the first nine months of the year and left more than 55,000 workers without jobs – but union leaders worry those numbers could be much higher. Ministry of Labour and Vocational Training undersecretary

  • Singapore group seeks $14M in damages from PPSP over ‘breach of contract’

    Singapore-based Asiatic Group (Holdings) Ltd is seeking a minimum of $14.4 million relief from Cambodia Securities Exchange (CSX)-listed Phnom Penh Special Economic Zone Plc (PPSP) for allegedly breaching a power plant joint venture (JV) agreement. Asiatic Group’s wholly-owned Colben System Pte Ltd and 95 per

  • PM vows to protect Hun family

    Prime Minister Hun Sen has vowed to continue his fight against opposition politicians who he said intend to smash the Hun family. Without naming the politicians but apparently referring to former leaders of the Supreme Court-dissolved Cambodia National Rescue Party (CNRP), Hun Sen said there

  • Cambodia lauded for fight against Covid-19

    Cambodia has drawn global accolades for its handling of the Covid-19 pandemic, with a new report finding that the Kingdom has controlled the pandemic better than any other country in Asia. Dr Takeshi Kasai, director of the World Health Organisation’s (WHO) Western Pacific region,