Logo of Phnom Penh Post newspaper Phnom Penh Post - Cassava processing factory to open

Cassava processing factory to open

Content image - Phnom Penh Post
Ministry of Agriculture, Forestry and Fisheries spokesman Srey Vuthy says the factory will ensure a stable cassava market for farmers. Heng Chivoan

Cassava processing factory to open

Hong Kong-based Green Leader Holdings Group Co Ltd, which announced its first cassava processing factory earlier this year, aims to commence operations by next year, according to Green Leader (Cambodia) Co Ltd CEO Gao Hua.

The company is set to invest a total of $150 million in the cassava industry, which its first broke ground in April in Kratie province. Construction has been delayed, with the factory originally planned to be launched by the end of the year.

“The factory is nearly 70 per cent completed, as it was delayed due to rainy season and some technicalities in construction. The installation facility has already been prepared and we are awaiting shipments from China,” Gao said, adding that the factory is to commence operations by February next year.

The Kratie province factory is located on 20ha of land in Snuol district, making it the largest such facility in Cambodia. It will be able to process some 600,000 tonnes of fresh cassava roots per year, with an annual production capacity of 150,000 tonnes of modified starch.

Gao said a team comprised of Ministry of Agriculture, Forestry and Fisheries (MAFF), Ministry of Commerce (MoC), and United Nations Development Programme (UNDP) officials has identified approximately 10 nearby farming cooperatives to supply 30 per cent of the factory’s annual requirement, and estimates they will identify close to another 40 per cent by next year.

“The contract farming has been carried out well, though the speed of completion is slow. But [the team] is steadily taking into consideration the vast number of farmers involved as well as the location coverage."

“The confidence in completion is high due to the fact that the MAFF, MoC and UNDP are initiated, committed and involved in the project,” he said, adding that Green Leader has developed a clear vision and commitment to focus on a new export market to destinations such as China, Japan and the EU.

MAFF spokesman Srey Vuthy expressed his confidence that the factory will ensure a stable cassava market for farmers.

“It will provide a stable market for cassava farmers and ensure steady cassava prices thanks to contract farming,” he said, adding that the farmers are “no longer concerned with the market” as Green Leader will provide farmers with consistent work through contract farming.

According to the ministry’s figures, last year cassava cultivation in the Kingdom reached 614,000ha of land, yielding 13,817,000 tonnes.

MOST VIEWED

  • School reopening to be postponed until November

    Minister of Education Hang Chuon Naron on Tuesday wrote to Prime Minister Hun Sen requesting a delay of school reopening across the Kingdom until November, when the new academic year begins. In his letter, Chuon Naron said the postponement is warranted to avoid the new

  • Foreigners in Kingdom must now register in FPCS system

    The Ministry of Interior’s General Department of Immigration (GDI) announced that it would not grant visa extensions to foreigners staying in Cambodia if their names are not listed on the Foreigners Present in Cambodia System (FPCS) by July 1. Foreign nationals can register in the

  • Covid-19 at ‘alarming rate’, health ministry says

    The Covid-19 risk level for individual transmission is at an “alarming rate” in the Kingdom and its probability is “not low”, warned Health Ministry spokesperson Or Vandine. “Cambodia’s coronavirus scenario is classified as being at an early stage of the pandemic because of ongoing

  • Mandatory quarantine for 30,000 workers begins

    Some of the roughly 30,000 workers from factories and enterprises across the Kingdom who went on leave during Khmer New Year began their government-imposed 14-day quarantine on Monday. Speaking at a press conference while visiting workers at the Phnom Penh Special Economic Zone on Monday, Ministry

  • Unemployed to get $40 per month

    The Ministry of Labour and Vocational Training has instructed enterprises, business owners and travel agencies in five provinces to prepare the proper forms for the suspension of employment contracts. This, it said, will make it easier for the ministry to transfer $40 a month to workers

  • Gov’t travel ban flouted

    While the majority of Cambodians have paid heed to Prime Minister Hun Sen’s order to stay put and not travel during the Khmer New Year – the holidays of which were also postponed – several hundred have left Phnom Penh nonetheless. They have allegedly breached provincial

  • G20 energy ministers struggle to finalise oil output cuts

    Top oil producers struggled to finalise production cuts during a virtual summit held by Group of 20 (G20) energy ministers on Friday, despite US President Donald Trump’s mediation efforts to end a standoff with Mexico. The final G20 communique appeared to gloss over simmering divisions

  • Kingdom revises travel restriction order

    The government on Friday eased the district and provincial border restrictions issued on Thursday. People are now allowed to cross districts within their provinces. Phnom Penh and Kandal province are to be treated as a single region where people are allowed to travel freely. In

  • Private schools struggling

    The Cambodian Higher Education Association has claimed that 113 private educational establishments are facing bankruptcy because of their inability to pay rent and staff salaries in light of nationwide school closures caused by the Covid-19 outbreak. It said the financial trouble started when the Ministry of

  • Khmer New Year holidays postponed

    In an effort to halt Covid-19 infections in the Kingdom, Prime Minister Hun Sen has postponed the Khmer New Year holidays scheduled from April 13 to 16. While the people will not have their usual break, nor will there be any public celebrations or gatherings at pagodas,