In the first seven months of this year, Cambodia saw a 20.59 percent decrease in banana exports, totaling 143,481 tonnes, as reported by the Ministry of Agriculture, Forestry, and Fisheries. This downturn resulted in an income of over $96.7 million, with China, Japan, Korea, and Vietnam being the primary importers of Cambodian bananas. The decline has been attributed to climate change and increased competition from neighboring countries, according to MAFF spokesperson Khim Finan. Despite the drop, there is optimism for recovery next year.
Agriculture remains a cornerstone of Cambodia's economy, contributing 24.4 percent to the GDP in 2021. Last year, the country exported 8.4 million tonnes of various agricultural products, including rice, bananas, and cashew nuts, generating around $4.3 billion. China is the largest market for Cambodian bananas, purchasing over 90 percent of the exports. However, challenges such as the pandemic have impacted trade, with a noticeable reduction in banana exports to China in 2022. Despite these challenges, Cambodia was still the third-largest banana supplier to China last year.
The Cambodian government has been proactive in enhancing the agricultural sector, launching a new strategic plan to transition from household to commercial farming and boost farmers' incomes through value-added products. Part of this initiative includes deploying agricultural officials across the country to provide technical assistance and support to farmers, aiming to increase the number of officials to over 1,300 by 2025. This move is expected to foster agricultural development and reduce production costs, benefiting the sector and the economy at large.
Source: Khmer Times