Cambodia’s rice exports have continued to flourish, with the nation exporting 401,699 tonnes of milled rice in the first eight months of this year, yielding an impressive revenue of $278 million. These remarkable figures underscore Cambodia’s growing prominence in the global rice market.
China Leads the Way:
China retained its position as the top buyer of Cambodia’s milled rice, procuring 143,818 tonnes, equivalent to 35 percent of the total milled rice exports. This partnership generated a significant gross revenue of $91 million. European Union countries and members of the Association of Southeast Asian Nations (ASEAN) followed closely, importing 164,682 tonnes and 36,692 tonnes, respectively.
Progress Towards Annual Goals:
The January-August export figures account for 58 percent of the targeted 700,000 tonnes planned for this year. Cambodia’s commitment to achieving its annual export goals is evident, and the nation is well on its way to meeting its targets.
Impact of Global Market Dynamics:
The price of paddy rice has experienced a noticeable increase from July to September, primarily driven by export bans imposed by India, the world’s largest rice exporter. India’s measures, aimed at stabilizing domestic prices and ensuring food security, have prompted countries reliant on rice imports to secure their supplies. These factors have led to a sharp rise in rice prices, particularly in Asia, where prices surged from $500 to over $700 per ton.
It is important to note that this surge in prices is considered a short-term transition period. As the international rice market stabilizes, prices have already begun to return to normal levels, with the price of white rice currently standing at approximately $580 per ton. This price level ensures that farmers can continue to profit from rice production.
Government Initiatives and Future Prospects:
The Ministry of Agriculture, Forestry, and Fisheries, in collaboration with the private sector and the Cambodia Rice Federation, is actively working to expand into new markets. These efforts aim to maintain rice prices in Cambodia at levels that are conducive to both farmers and investors.
Furthermore, the ministry is actively courting investors to invest in essential agricultural inputs, including rice seed production, fertilizers, pesticides, and more. This approach is designed to reduce production costs and increase overall profits, thereby bolstering Cambodia’s position in the global rice market.
In addition to the notable export figures, Cambodia engaged in cross-border trade, exchanging 2.92 million tonnes of paddy rice with neighboring countries, generating a substantial revenue of $814 million. In 2022, Cambodia made strides in exporting over 630,000 tonnes of milled rice to 59 countries.
These achievements underscore Cambodia’s resilience and prominence in the global rice trade, showcasing its ability to navigate international market dynamics while ensuring prosperity for its agricultural sector and broader economy.
