Cambodia’s rice harvests have been rising significantly since 2005, powered by improved and expanded irrigation and attractive farm gate prices. In 2010, the Cambodian government announced an export target of 1.0 million tons of milled rice by 2015. This analysis, which updates reports prepared in 2009 and 2011, seeks to identify short-term policy measures that can assist Cambodian exporters in boosting exports in the near term. This report examines new and expected investments in the larger rice mills and polishing factories, export trends, recent changes in milling costs, and provides a look at logistical costs and some alternatives. Additionally, import trends are examined in two current markets - the European Union (EU) and Russia, and in three other key markets - Indonesia, the Philippines, and China. Finally, an analysis is provided of the current Thai rice policy which impacts on local prices and investment interests by Thai rice exporters.
Abstract
Cambodia’s rice harvests have been rising significantly since 2005, powered by improved and expanded irrigation and attractive farm gate prices. In 2010, the Cambodian government announced an export target of 1.0 million tons of milled [...]
Cambodias rice exports are on a steep upward trajectory, benefiting from import duty preferences and new investments in rice mills and polishing factories. Cambodia’s major export competitors are Thailand and Vietnam. Thailand is a main competitor for fragrant rice, exporting itself ca 2.65 million tons of aromatic rice (including brokens) in 2010/2011. Vietnam is the principal competitor for the nonaromatic white rice markets such as the Philippines and Indonesia. Pakistan and Burma are competing with Cambodia for low-grade white rice markets mainly in Africa. The government needs to intensify its export facilitation efforts to increase its rice exports. Cambodia has reduced its milling costs but more needs to be done to improve competitiveness of its rice export. The capacity of Cambodia’s logistics system from mills to ports is inadequate to accommodate large-scale volumes. All of Cambodia’s rice exports are shipped in containers from Phnom Penh and Sihanoukville ports. Unless the government obtains a transit access to Saigon Port via the Mekong River for un-containerized milled rice, it is unlikely that Cambodia will export even 500,000 tons by 2015.
Abstract
Cambodias rice exports are on a steep upward trajectory, benefiting from import duty preferences and new investments in rice mills and polishing factories. Cambodia’s major export competitors are Thailand and Vietnam. Thailand is a [...]
Cambodia Rice Sector Review : Turning Cambodian Rice into White Gold 