Sum Manet / Khmer Times.

The Ministry of Commerce (MoC) Friday held high-level discussions with three Japanese leading rice importers, focusing on enhancing Cambodian rice exports to the Japanese market.

Samheng Bora, Secretary of State of MoC and Chairman of the Export Promotion Task Force, along with the Undersecretary of State, led the discussions in Tokyo, Japan, aiming to strengthen Cambodia’s presence in Japan’s rice market, according to news released by MoC on Sunday.

During the meeting, the Secretary of State emphasized the MoC’s commitment to expanding agricultural exports through the Export Promotion Task Force.

Bora highlighted the Royal Government’s efforts to align Cambodian rice with international quality standards and outlined a broader vision to foster trade relations and explore new opportunities for cooperation between the two nations.

“In response, Japanese companies expressed strong interest in Cambodia’s rice sector, recognizing its potential and showing optimism about incorporating Cambodian rice into their supply chains,” MoC said.

Both parties concluded the discussions on a positive and collaborative note, reaffirming their shared commitment to promoting Cambodian rice in Japan and strengthening bilateral trade ties.

It is worth noting that Japan’s top three leading rice importers collectively hold 80 percent of the Japanese market share, including ITOCHU Corporation, the country’s largest rice importer.

Cambodia’s exports to Japan surged to $1.4 billion from January to December 2024, up 20.1 percent compared to the previous year, according to a recent report from General Department of Customs and Excise of Cambodia.

Further, the report noted that in 2024 the bilateral trade volume between Cambodia and the US reached $2.16 billion, reflecting an increase of 20.7 percent year-on-year.

Of the total trade volume, Cambodia’s import from Japan accounted for $752.56 billion, an increase of 19.8 percent compared to 2023, read the report.

Speaking to Khmer Times, Lim Heng, Vice President of the Cambodia Chamber of Commerce (CCC), highlighted Cambodia’s strong presence in regional agricultural exports, noting that the country has consistently supplied a variety of agricultural products, including rice, cassava, corn, and rubber, to international markets.

At the same time, Heng pointed out that Cambodia’s import profile is dominated by consumer goods, food and beverages, and construction materials. These imports are vital to meet the demands of the growing domestic market, as well as to support ongoing infrastructure development.

“Although Cambodia has made strides in processing some consumer goods locally, our production capacity remains constrained. This limitation results in a heavy reliance on imports, particularly from neighboring countries,” Heng said.

He acknowledged the challenge this presents to the Cambodian economy, especially when it comes to balancing trade and reducing dependency on foreign products.

In light of these challenges, Heng urged foreign investors to consider opportunities in Cambodia’s processing industry, which could significantly enhance the kingdom’s domestic production capabilities. By investing in this sector, Cambodia would not only reduce its reliance on imports but also raise the quality of locally produced goods.

“This strategy will allow Cambodia to better compete with imported products in the domestic market, and more importantly, it will bolster our export potential, creating more opportunities for economic growth and diversification,” Heng added.

He emphasized that strengthening local industries and improving the quality of Cambodian products is crucial for ensuring long-term economic sustainability and increasing the country’s competitiveness in global markets.

Published Date: January 28, 2025