The government is planning to establish a special zone for agro-processing and is now studying the concept and seeking input from relevant stakeholders to make it as comprehensive as possible.
The study is being conducted by the working group of the research management project unit to support the agricultural sector analysis under the Agriculture Services Programme for Innovation, Resilience and Extension (ASPIRE) framework of the Supreme National Economic Council (SNEC).
The idea is to create a special cluster for agro-processing sector to serve local consumption and exports.
The plan was revealed on at a meeting between the Cambodia Rice Federation (CRF) and representatives from the research working group under ASPIRE.
The study will consider potential areas to establish the special zone, a mechanism support from the government and private sector and define the conditions, incentive measures, including taxes learned from other countries.
Chan Sokheang, vice-president of the CRF and Signatures of Asia chairman and chief executive officer, welcomed the initiative. He said that establishing a special zone for the agro-processing sector is crucial for dealing with agriculture products. He added paddy is an important crop that boosts the national economy.
During the meeting, Sokheang provided the input, challenges, opportunities and other requests to the SNEC’s research working group. “The input will help the research team to have more data and a base to expand the study further towards the possibility of establishing a special zone for agro-processing,” Sokheang said.
After completing the consultancy meeting, the SNEC’s working group will continue more comprehensive research as well as collecting information, ideas and other input not only in the rice sector but in other agriculture sectors.
According to the Ministry of Industry and Handicraft, there are 530,000 small and medium enterprises in Cambodia, 97 percent of which have fewer than 10 employees and thus are classified as micro-enterprises.
This article was first published in Khmer Times. All contents and images are copyright to their respective owners and sources.