Thailand to Invest on Rice Mills in Cambodia as exporting over 100,000 tons in 2011

By Sok Lak

Ten –member Thai delegate to meet with President of Federation of Cambodia Rice Millers Associations on October 7 to gather information on rice production in Cambodia to consider investing with high standard rice mill in country to export to international market.

“After discussion and study on rice mills in Cambodia, I will bring all information to report Prime Minister Yingluck and relevant institutions to support on rice mill construction in Cambodia to export milled rice,” PruttichaiViriyaroj, Thailand Trade Representative said after meeting with Okhna Dr. Phou Puy, President of Federation of Cambodia Rice Millers Associations.“Thailand may consider investing on relevant milled rice work to help Cambodia to promote milled rice.” he stresses.

During the meeting, Okhna Dr. Phou Puy said: “Cambodian rice exporter will have opportunity to increase two or three times in 2012 if comparing to this year as Cambodia exported milled rice to international market over 100,000 million tons. He added: Nowadays, a lot of investment partners are seeking opportunity with Cambodia to export rice to international market. Currently, Cambodia remains 4 million tons of rice products for exporting as the capacity of rice mills in Cambodia lacked technique and the problem of investment capital. “However, the level of rice export is increasing while rice association pushes and encourages small rice mills across the country to increase their ability and their rice stocks.” He added.

Every year, Cambodia can produce around 8 million tons of rice products, but the capacity of rice mill in the country is not enough to mill.” He noted. “Cambodia needs a lot of private sector from both domestic and international businesspeople to build modern and high -tech rice mills in order to export in large amount for international market,” He emphasized.

Till now, Cambodia has only four big rice mills and thousands of small rice mills across the country, so the rice mill in Cambodia need to broaden its . In Cambodia, only Korean and Vietnamese investors to make business on large the rice mills while other countries are small volume. In the last decade, Thailand also imports Cambodia, but Vietnam becomes a big importer of rice from Cambodia in the last three years which is equal to 80 percent of total amount.“This year, Cambodia rice destroyed only 4 percent during the flash flooding which hit 14 provinces in Cambodia.” Puy said.

PruttichaiViriyaroj, Thailand Trade Representative (center)

However, the rice in Thailand also destroyed 6 of 25 million tons. As most of the rice paddies in Cambodia can harvest rice product for only one time a year. Puy expected that Cambodia rice can produce 12 million tons in its full capacity as its land is not expanding new areas. Currently, Cambodia has cultivated land about 3-4 million hectares of rice paddies.

“When we could harvest rice for two times in a year, the government will be able to implement rice policy to increase rice production. In the future, Cambodian rice products would have surplus amount of 8 million tons for exporting so that it needs more rice mills,” expected.

Source: http://thesoutheastasiaweekly.com/?p=1612