Cambodia Trade Integration Strategy 2019-2023.

The main goal of this Cambodia Trade Integration Strategy (CTIS) 2019-2023 is to develop an up-to-date integration strategy that can be mainstreamed through the new Rectangular Strategy IV and Vision 2030 and to serve as a basis for the design of the National Strategic Development Plan (2019-2023).
Chapter 12 examines challenges and opportunities on increased value-added processing and export diversification for four selected agricultural sectors: Cassava, (milled) rice, rubber, and fruits and vegetables. According to the CTIS, The Cambodian rice sector offers significant opportunities to grow and add value, despite the many challenges to overcome. These include market and product diversification. One possibility to add value to Cambodia’s rice sector is to diversify its destination markets, by targeting ideally large, dynamic and open markets that are currently not served by Cambodia. Cassava is the country’s second largest agricultural crop after rice. Cassava is an industrial crop and gives rise to a very well-developed value chain with multiple uses and applications ranging from human and animal food to consumer and industrial products as well as bio-fuels. Policy recommendations relevant to Cassava include: 1. Strengthen the Implementation of modern process standards to improve quality through the entire cassava value chain; Develop product standards to help promote the uniqueness of Cambodia starch and starch derivatives through introducing GAP farming practices and GMP or HACCP methods in processing, develop product standards, especially for starch. Standards should follow international cassava starch standards but also reflects unique properties of Cambodian starch; etc. 2. Encourage the creation of a Cassava Private Sector Apex Organization to structure the private sector and serve as access point for information about markets, prices, processing opportunities by current sector players and new foreign buyers and investors; etc. Cambodia’s fruits and vegetable sector needs to move into commercial and export oriented agroprocessing. In terms of product upgrading, organic and environmentally-friendly produce are also opportunities for Cambodia’s fruits and vegetable sector. In addition, TBT, SPS and certification issues are discussed in Chapter 7 (on quality infrastructure and standards), skills and training in Chapter 3, and trade logistics in Chapter 5. Two important cross-cutting themes are also discussed in the CTIS: (1) increased competitiveness supporting LDC graduation and Vision 2030 and (2) harnessing new sources of growth to be found in services and industry 4.0 revolution.