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Cambodia's rice exports dropped by more than 5,000 tons in the first quarter

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PHNOM PENH, Sept. 12 (Xinhua) - Cambodia's rice exports to the international market have fallen by about 5,000 to 563 tonnes in the first quarter of 2018 compared to the same period in 2017, according to the official report of the One Window Export Secretariat.
In the first quarter of 2018, Cambodia's rice exports totaled 161,115 tons, down 5,563 tons, compared to 166,678 tons in 2017, the report said.
The European Union is a potential market for Cambodia. Exports of rice from Cambodia to the EU accounted for more than 40 percent of total exports.

 
Italy has recently submitted a request for the European Commission to investigate and restrict Cambodia's rice sector, in the case that Cambodian rice is incompatible with European farmers.
Under Article 24 of the GSP Act, the import rate may be re-used for any product if it is determined that the product imports a quantity or price that is causing or threatening, seriously affecting production in the European Union or directly in competition with European products.
However, the inquiry into Cambodian rice has already been convened with officials from the Ministry of Agriculture and Trade.
Hean Vanhorn, director-general of the General Department of Agriculture at the Ministry of Agriculture, told reporters that negotiations with the European Union were not difficult without political interference.
"We are currently in talks with the European Union, and we have no comment on the outcome of the talks," he said. "Without political interference, I believe that negotiations will not be difficult because our exports are based on the EBA agreement," he said.
Meanwhile, Nong Veasna, vice-president of the Rice Federation, commented on the case that there are two factors that have led to a decline in exports to Cambodia.
The first factor is due to competitors from Burma that sells cheaper rice markets than Cambodia. He added that Cambodia recently, the high price of Cambodian rice in the European market was a factor that led to Cambodia's decline. The second factor is that Italy has submitted proposals to the EU concerning Cambodian rice.
"We are the first drop because of the price of rice from Cambodia that has been rising since December, and Italy has submitted a proposal to the EU since 2013, but the Italian currency is not quite right, and he says Cambodian rice is very competitive in Italian rice.
Cambodia's rice exports to more than 60 countries exported to over 60 companies. In the first quarter, China remained the leading buyer of more than 640,000 tons of rice, followed by France with more than 2 tons and Malaysia with 10,000 tons.

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