Logo of Phnom Penh Post newspaper Phnom Penh Post - High food prices shrink imports in third quarter

High food prices shrink imports in third quarter

High food prices shrink imports in third quarter

Food and beverage imports in the Kingdom fell more than 70 per cent in the third quarter, as high international prices and the growth of domestic production dragged on demand.

About 192,580 tonnes of food and beverage products entered Cambodia between July and September, down 72 per cent from 682,141 tonnes in the same period last year, according to Minister of Commerce statistics.

Cambodia Institute for Development Study president Kang Chandaroth pointed to rising international food costs as the reason imports dropped, but said the decrease was an “opportunity for local production to increase".

Federation of Association for Small and Medium Enterprises of Cambodia president Te Taing Por said the Kingdom’s food-makers were working to fill the gap left by falling imports.

“Our domestic products are on the rise as a result of our push for high quality,” he said, adding that consumer demand for the products had increased as a result.

FASMEC and the Cambodian government had been working to drive domestic production, Te Taing Por said.

The ban on illegally imported food products from Vietnam and Thailand also aided the boost in consumption of domestic products, he added.

Te Taing Por said the Kingdom would now better compete with other ASEAN countries when full economic integration of the region was implemented in 2015.

“Nowadays, fish sauce and soy sauce products that are processed here are of good quality and are able to compete,” he said.

As well as fish and soy sauces, Cambodia produ-ces packed instant noodles, canned fish, vinegar, milk, wine and fruit juices, among other items, according to the Ministry of Commerce.

Chamkar Dong Soy Sauce owner Seng Chena told the Post her production levels had doubled last quarter as customer demand for domestic sauces rose.

Her previous per-day output of 100 dozen bottles rose to 200 dozen over that period.

However, Seng Chena did note that foreign companies held greater amounts of capital and used advertisements to sell their products, which put her at a competitive disadvantage in the market.

She said she hoped growing support among domestic customers would drive sales in the future, along with prices that were lower than those of her foreign competitors.

MOST VIEWED

  • Malaysia MP accused of ‘influencing law’

    Malaysian Member of Parliament (MP) Larry Sng arrived in Siem Reap early on Wednesday, in what was slammed by one NGO as efforts by Kuala Lumpur to “influence Cambodian law”. The Malaysian Embassy in Phnom Penh requested on January 30 “cooperation from the Ministry of Foreign

  • Ministries begin measures to offset EU’s EBA decision

    In the wake of the EU’s controversial announcement this week that it has begun the withdrawal process for Cambodia’s Everything But Arms (EBA) preferential agreement, government ministries and political analysts continued to share their reactions and economic mitigation plans in preparation for the

  • Emirates launches route connecting Phnom Penh, Bangkok

    Emirates will launch a daily service on June 1 linking Phnom Penh (PNH) and Bangkok (BKK). The service from Phnom Penh to Dubai, via Bangkok, will provide more flight options to passengers travelling between the capitals of Cambodia and Thailand. Travellers from the Southeast Asian nations

  • 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