Logo of Phnom Penh Post newspaper Phnom Penh Post - Draft law on farmer’s co-ops near completion

Draft law on farmer’s co-ops near completion

Draft law on farmer’s co-ops near completion

Cambodia's first draft law for the regulation of agriculture cooperatives is near completion, and is expected to reach the National Assembly this year, officials said yesterday.

The draft law aims to formalise the Kingdom’s more than 250 cooperatives and provide a framework for those created in the future, officials said.

“This law is important because it is based on the international system that governs cooperatives,” Khem Chenda, director of the Ministry of Agriculture, Forestry and Fisheries’ administration department, said.

“Many countries use it to make it easier for farmers to do business,” he said, adding the Food and Agriculture Organisation consulted on the draft law.

Cooperatives allow farmers greater bargaining power with customers and suppliers, and they distribute loans to members who would otherwise seek out microfinance instutions. Cooperatives presently are governed by royal decree.

While Khem Chenda declined to offer much of the draft law’s specifics, as it was not finished, he did say cooperatives would need to register with the Ministry of Agriculture. However, they would not be required to pay taxes or administration fees.

The draft law will be sent to the Council of Ministers before reaching the National Assembly later in the year, he said.

Cambodian Center for Study and Development in Agriculture president Yang Saing Koma yesterday emphasised that the law should ensure the continued autonomy of the Kingdom’s cooperatives.

“They have to avoid taking over those cooperatives,” he said.

MOST VIEWED

  • Temi tourism project approved by the CDC

    The $500.4 million Tourism, Ecological, Marine and International (Temi) tourism project has been approved by the Council for the Development of Cambodia (CDC), according to a notice on its Facebook page on Monday. The project is part of Chinese-owned Union City Development Group Co Ltd’s (

  • Rainsy will return at ‘favourable time’

    Opposition figure Sam Rainsy on Saturday suggested he would not return to Cambodia as he had previously promised, saying that like liberators King Father Norodom Sihanouk and Charles de Gaulle, he would only do so at a “favourable time”. “I will go back to Cambodia

  • US Embassy urged to stop ‘disrespecting sovereignty’

    The Ministry of Foreign Affairs and International Cooperation called on the US Embassy in Phnom Penh on Saturday to respect the Vienna Convention on Diplomatic Relations after it called former opposition leader Kem Sokha “an innocent man” – a move deemed to be “disrespecting Cambodia’s

  • NagaWorld casino sees net profit of more than $390M last year

    Phnom Penh’s NagaWorld casino posted a 53 per cent net profit increase last year at $390.6 million, a sum which is almost equal to the combined net profit of all Cambodian commercial banks in 2017. NagaWorld’s parent company, NagaCorp Ltd, is listed on the Hong Kong