Illustrative image (Source: bangkokpost.com)PhnomPenh (VNA) – Cambodia’s rice exports in January 2019 dropped 5 percentcompared to the same period last year, after a full year of decline in 2018.
Hun Lak, Vice President of the Cambodian Rice Federation, said the decrease isnot a worrying problem because it is only a month-long figure, and the drop wasnot severe.
However, he noted it also showed that the country’s rice sector is likely toface disadvantages, especially when the European Commission (EC) re-imposedduties on rice imports from Cambodia on January 18.
The sector may face more problems exporting to the EU market if the EverythingBut Arms (EBA) preferential trade agreement is suspended, he added.
“We cannot evaluate anything now. We need to wait and see in two or three moremonths,” he said. “I think those who like the taste of Cambodian rice willcontinue to eat it because prices have increased only a few cents per kilogramme”.
Lastmonth, Chan Sophal, Director of the Policy Research Centre under the CambodianEconomic Association (CEA), said that rice farmers in Cambodia must cut downproduction costs and even completely transfer their crops in order to deal withthis situation.
Other experts said that Cambodian rice producers should seek new marketsbesides the EU. However, at present, Europe remains the indispensable marketfor the Southeast Asian nation.
The latest statistics showed that Cambodia exported 59.625 tonnes of rice inJanuary, down from 62,623 tonnes recorded in the same period last year. Of thetotal, 23,899 tonnes or 40.7 percent were shipped to EU markets.
China imported 18,671 tonnes of rice from Cambodia, ASEAN member states got9,226 tonnes, while other destinations received 7,839 tonnes.
Last year,Cambodia exported 626,225 tonnes of rice – down slightly from 635,679 tonnes in2017.-VNA
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