This is a best prospect industry sector for this country. Includes a market overview and trade data

Overview

Eighty percent of Cambodia’s population resides in rural areas, and around 37 percent of the total workforce was directly engaged in the agriculture sector in 2017.  The primary agricultural commodity is rice.  Other major crops include cassava, maize, mung bean, and soybean.  As a matter of policy, the Cambodian government encourages investment in agriculture, diversification of agricultural products, and investment in improved irrigation and water control.  The sector accounted for approximately 23.5 percent of GDP in 2018.  The Cambodian government set a goal of exporting one million tons of milled rice by 2015, but actual exports totaled only 538,396 tons.  In 2018, 626,225 tons of milled rice was exported.  Most of the current demand for water pumps, well-drilling machines, tractors, tilling equipment, rice milling, drying, and packaging equipment, fertilizers, insecticides, and seed comes from private agribusiness investors and NGOs.

The government of Cambodia’s Industrial Development Policy 2015-2025, launched in 2015, included the goals of reducing logistics and electricity costs in food processing.  
 

Sub-Sector Best Prospects

There is significant potential to expand the production and processing of high yield varieties of rice, cassava, sugarcane, and other crops.  Several investment projects in mango and vegetables are underway. 
 

Opportunities

Higher quality seeds, fertilizers, and other agricultural inputs and new technology – such as spraying machines, pest identification drones, cold storage systems, and other equipment and training – would greatly benefit the agriculture sector, which is only slowly becoming modernized.  The presence of an increasing number of plantations also creates opportunities for the establishment of processing plants to add value to basic products for export and domestic consumption.  With Cambodia trying to diversify its export market, food safety technology has been in great demand.  With limited application of the Sanitary and Phyto-Sanitary (SPS) measure, a significant number of Cambodian products continue to be excluded from export markets due to poor hygiene in handling or other contaminations. 
 

Web Resources

Ministry of Agriculture, Forestry, and Fisheries                                                                             
Ministry of Industry and Handicraft
Council for the Development of Cambodia
Cambodia Rice Federation

Rice Production and Exports

2015

2016

2017

2018

2019
(Forecast)

Total Paddy Rice Surplus for Export

4,649,702

5,110,000

5,560,000

5,772,760

5,992,125

Total Rice Surplus for Export

2,975,809

3,270,400

3,560,000

3,752,294

3,954,918

Total Export of Milled Rice

538,396

542,144

635,679

626,225

650,000

Unit: In Tons
Data Sources: Ministry of Agriculture, Forestry and Fisheries, Cambodian Rice Federation and Mekong Oryza
Note: Figure for 2018 is an unofficial estimate

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