Logo of Phnom Penh Post newspaper Phnom Penh Post - PM scraps rice-export licences to boost trade

PM scraps rice-export licences to boost trade

PM scraps rice-export licences to boost trade

Hun Sen calls food-security measure a ‘barrier’ for rice traders

PRIME Minister Hun Sen axed rice export licences Tuesday in a bid to boost sales of the Kingdom’s “white gold”.

In a move widely welcomed by the business community, the premier ordered a 2008 circular to be cancelled. The document ordered would-be exporters to apply to a Ministry of Commerce-run company called Green Trade for a permit.

“We have to nullify applications for licences to export rice from Cambodia through the Green Trade Company now,” Hun Sen said at a Government-Private Sector Forum in Phnom Penh. “It is barrier for all rice traders at the moment,” he added.

The circulation, numbered 02, was issued in 2008, as food security concerns spread throughout the world. All traders who wanted to sell more than 200 tonnes of the grain had to apply for a permit, in an attempt to secure Cambodia's rice and paddy supply.

Now, Hun Sen believes export obstacles will exist unless the circulation is nullified.

The government wants to sell more rice into international markets to develop the economy.

According to the Ministry of Agriculture, Cambodia plans to increase paddy yield by as much as 3 tonnes per hectare by 2012. This farm year, April statistics show, the Kingdom could have 3.5 million tonnes of paddy left over for export, a 10.75 percent increase from the 3.16 million tonnes last year.

Director General of Green Trade, Thun Vireak, said Tuesday that he would not object to the nullification.

He said the permit plan had been initiated by the government.

Mong Reththy, who asked Hun Sen to “review export procedures” during the meeting, was pleased at the progress made.

The co-president of the Private Sector Task Force on Agricultural and Agro-industry said: “The re-examination of legal procedure for exporting agricultural products and the elimination of the unnecessary process of applying for licences through Green Trade company and other institutions will help bring about transparency and suitable costs for the export of agricultural products.”

Outh Renne, secretary general of the Cambodian Small and Medium Industries Association (CSMIA), said: “It will enable exporters to integrate themselves into international markets successfully.

CSMIA says four rice buyers from Sweden, Lithuania and Belgium will arrive in Cambodia on May 9 to meet with 100 rice mill representatives to discuss export capability.

MOST VIEWED

  • Hun Sen ready to ‘break record’, says Rainsy lost

    Caretaker prime minister Hun Sen used a meeting with 18,400 factory workers on Wednesday to predict that he would beat the record for being the world’s longest-serving non-royal leader. He also used the platform to slam political opponent Sam Rainsy who he said had lost

  • Sihanoukville land prices skyrocketing amid breakneck development

    Sihanoukville, the Kingdom’s most famous beach destination for tourists, is seemingly becoming a paradise for Chinese investors as well. The huge influx of Chinese investors has caused property values to rise, especially the price of land, which has nearly doubled in some places near

  • US names new ambassador to Cambodia

    US President Donald Trump on Friday appointed W Patrick Murphy as the new US Ambassador to Cambodia, replacing incumbent William A Heidt. A press release posted on the White House’s website said nominee W Patrick Murphy is currently acting principal deputy assistant secretary at

  • Kingdom is at a crossroads between East, West after poll

    It was dubbed a success by caretaker prime minister Hun Sen after the electoral victory of his Cambodian People’s Party (CPP), which is poised to take all seats in the National Assembly. But the July 29 national election has not been positively looked at by