Cambodia Market News from November 1 to November 30, 2024

Cambodia earns over $376 million from exporting over 500,000 tons of rice in 10 months (Khmer Times -7/11)

In the first 10 months of 2024, Cambodia exported 507,029 tons of rice worth $376.63 million through 55 rice exporters to 66 destinations, according to a press release by the Cambodia Rice Federation (CRF), published on November 7, 2024.

CFR noted that Cambodia exported 254,945 tons of rice to 26 European countries worth $196.93 million; 93,197 tons to China, including Hong Kong and Macau, worth $61.48 million; to seven ASEAN countries, including East Timor, 100,996 tons worth $66.61 million; and to 30 other countries, including Africa, the Middle East, the United States, Canada, Australia, New Zealand, among others, 57,891 tons worth $51.61 million.

Exported rice types include 73.21% fragrant rice, 21.71% white rice, 3.04% parboiled rice, 1.74% organic rice and 0.30% other rice.

Cambodia also exported 4,036,336 tons of paddy rice, estimated to be worth $1,184.16 million, of which 86% was exported through export document certification requirements from competent authorities.

Cambodian rice wins world's best rice award:

Malis Angkor, the certification mark for Cambodia's Premium Fragrant Rice, won the World's Best Rice award for the sixth time from the World's Best Rice Competition on Thursday (November 7) during the World Rice Conference 2024 held in Manila, Philippines.

The competition is organized by the International Commodity Institute (ICI) and the US Rice Trade Association.

3 tire factories process 200,000 tons of rubber latex per year in Cambodia (Khmer Times - November 12)

The General Department of Rubber under the Ministry of Agriculture , Forestry and Fisheries (MAFF) said recently that three Cambodian tire factories have the capacity to process about 200,000 tons of Cambodian rubber latex per year.

The three factories are Cart Tire Co., Ltd., based in Bavet City, Svay Rieng Province, General Tires Technology (Cambodia) Co., Ltd., based in Preah Sihanouk Province, and NEWBUSTAR (Cambodia) Co., Ltd., based in Snuol District, Kratie Province.

Cambodia's total rubber plantation area is 404,000 hectares, of which 80 percent of this land is designated for rubber exploitation.

The report of the General Department of Rubber stated that in the first three quarters of 2024, Cambodia exported 248,535 tons of rubber products, an increase of 5,881 tons, equivalent to 2.42 percent over the same period last year, earning more than 397 million USD.

The report also added that Cambodia earned more than $397 million from rubber product exports from January to September 2024, up 23.44 percent year-on-year.

Cambodia will also celebrate the 100th anniversary of Cambodia's oldest rubber tree and a rubber tapping competition this month at the Chup Rubber Plantation in Tbong Khmum province.

This plantation has the largest remaining population of ancient rubber trees in the world. There are 448 trees on 14 hectares, playing an important role in researching rubber varieties with high growing conditions and productivity suitable for Cambodia's agricultural environment.

Cambodia launches CDC Investment Project Management System (Khmer Times - November 23)

The Council for the Development of Cambodia (CDC) is set to revolutionize investment procedures with the official launch of the CDC Investment Project Management System (cdcIPM) on Wednesday.

This innovative system aims to streamline and digitize investment procedures, making it easier for businesses to invest in Cambodia.

cdcIPM is a technological system that allows investors to apply for investment projects online, including submitting applications, paying service fees, and receiving digital project registration certificates, and until access to connect with relevant ministries and organizations in the future, said Deputy Prime Minister and First Chairman of CDC Sun Chanthol.

He said the system is one of the government's milestones in reforming and promoting the domestic investment environment.

The Council for the Development of Cambodia (CDC) approves investment projects, including qualified investment projects (QIPs), to expand production, establish special economic zones (SEZs), and develop infrastructure, tourism, and industry.

A QIP may consist of one or more phases, including an application for a QIP extension. A QIP may be eligible for tax incentives, such as a 1 percent upfront tax on income (TOI) exemption and a minimum tax exemption.

Prime Minister Hun Manet announces two new investment monitoring mechanisms (Khmer Times - November 23)

Prime Minister Hun Manet announced the establishment of two high-level mechanisms under his direct supervision to enhance support for both domestic and foreign investors, ensuring favorable conditions for businesses and effective growth.

These two mechanisms include: 1) the Trade Policy Advisory Committee, which acts as a strategic advisor to the Royal Government, monitoring global trends and ensuring policies remain competitive; and 2) the Private Sector Dispute Resolution Promotion Committee, which resolves issues quickly and effectively.

He made the announcement on Tuesday (November 26) at the China Global Economic and Technology Summit 2024 held at the Sofitel Phnom Penh Phokeethra.

“We recognise that time is precious for businesses, which is why we have digitised the company registration process and streamlined investment approvals. In addition, I have established two high-level mechanisms to support businesses,” the Prime Minister said.

The first is the Trade Policy Advisory Committee, which acts as a strategic advisor to the Royal Government, monitoring global trends and ensuring our policies remain competitive. The second is the Private Sector Dispute Resolution Promotion Committee, which is dedicated to resolving issues quickly and effectively.”

At the same time, the Prime Minister also reaffirmed the Royal Government of Cambodia's support for businesses and investors, promising open opportunities for new investments, stable and predictable policies, and steadfastness in promoting business growth.

Ministry of Mines and Energy plans to build oil refinery to ensure fuel reserves (Khmer Times - November 28)

The Ministry of Mines and Energy (MME) plans to build an oil refinery to secure domestic fuel reserves even as it continues to seek investors for both onshore and offshore oil and gas exploration in Cambodia.

“In the near future, the ministry plans to apply for a domestic oil refining project to have a strategic oil reserve, although Cambodia’s oil market is still small,” Keo Rattanak, Minister of Mines and Energy, said at the ministry’s annual meeting last Thursday.

The Minister said MME has increased its focus on safety in the transportation, storage, distribution and use of petroleum products as it moves forward with plans for the strategic refining sector.

The move comes at a time when the government, through MME, is looking for investors in Block A besides exploring the potential in other blocks.

Cambodia’s dependence on imported oil and diesel continues to increase, with imports jumping 16 percent to $3.23 billion in the first ten months of this year, according to a report from the General Department of Customs and Excise (GDCE).

From January to October, the Kingdom imported mineral fuels, mineral oils and other distillates.

MME forecasts that demand for petroleum products in Cambodia will increase to 4.8 million tonnes by 2030, up from 2.8 million tonnes in 2020.

Because the country's undersea oil reserves remain untapped, Cambodia relies on imported fuel supplies from Singapore, Thailand and Vietnam.

Cambodian retailers import fuel from companies such as Tela Sokimex, Papa Savimex, Lim Long and others. Foreign companies importing fuel into Cambodia include Total, Caltex and PTT.

Regarding offshore oil and gas exploration, the Ministry has received interest from nine companies in Block A, of which four have submitted proposals to develop oil fields, while five others have yet to submit formal development applications.

The four companies that have applied for development are EnerCam Resources Co Ltd (EnerCam) from Canada, Cambodia Gather Energy Co Ltd from China, Vietnam Investment Construction Services from Vietnam and MPC Future Company Limited Co Ltd from Thailand.

The other five companies that have yet to submit formal development applications are Valeura Energy Inc and Lee Li Holdings Inc from Canada, Petrovietnam Exploration Production Corporation Ltd from Vietnam, BP from the UK and UACU from Thailand.

Source: https://moit.gov.vn/tin-tuc/thi-truong-nuoc-ngoai/ban-tin-thi-truong-camuchia-tu-ngay-01-11-den-ngay-30-11-2024.html