Direct Flights To Be Launched from China’s Kunming Province to Cambodia

AKPPhnom Penh , April 9, 2012 –Deputy Prime Minister H.E. Dr. Sok An (pictured) on Thursday last week welcomed the prospects of direct flights to be launched soon from China ’s province of Yunnan to Siem Reap and Phnom Penh .

A Government economic and trade delegation from China’s Yunnan province also announced plans to invest in rice processing factories and set up agricultural parks in two provinces of Cambodia in the near future, said the Press and Quick Reaction Unit of the Council of Miniters, adding that both sides agreed to boost bilateral trade up to US$5 billion by 2017.

H.E. Li Jiheng, Governor of Yunnan province of the People’s Republic of China, led the delegation which met with H.E. Dr. Sok An to seek Cambodia’s permission for the upcoming direct commercial flight to the Kingdom of Wonder.

H.E. Dr. Sok An welcomed the request and saying that direct flight from Yunnan will bring more tourists to Cambodia . Yunnan province and the Kingdom of Cambodia alike see tourism is one of key growth sector.

Cambodia received nearly 3 million tourists last year and that figure is expected to increase by 20 percent per year.

A newly built international airport in Kunming province worth more than US$2 billion will be inaugurated on June 28 this year. For the first step, the airport expects to receive 38 millions in bound passengers and that the figure is expected to increase up to 80 millions in the future.

H.E. Dr. Sok An accepted the invitation to attend the inauguration from which he expects that Cambodia’s civil aviation experts will learn a great deal about new developments in civil aviation.

Yunnan officials have planned to construct agricultural parks in Siem Reap and Banteay Meanchey. Agricultural equipment will be imported from China to technically support Cambodia on ways to improve its rice production along with higher quality to compete in the free market economy.

With its latest technology, China can produce rice 2 to 3 times higher than Cambodia .

“The agricultural parks in the provinces of Cambodia will contribute towards the supply and demand in the tourism industry. It also contributes towards poverty reduction,” said the Cambodian deputy prime minister.

H.E. Dr. Sok An, who is also Minister in charge of the Office of the Council of Ministers, said Cambodia has more than 4 million tons of rice (or 2.7 million tons of milled rice) surplus per year. Thus China ’s investment in rice will further boost Cambodia ’s rice sector and that move matches with the Royal Government’s rice policy of exporting up to 1.5 million tons milled rice by 2015.

H.E. Dr. Sok An said that Cambodia ’s farmers have exported their surplus crop to neighboring countries of Vietnam and Thailand in the absence of big rice investors in Cambodia . Thus, investments from Yunnan in rice processing and exporting the commodity will be a big advantage for the Kingdom.

The Yunnan delegation’s visit to Cambodia came after the visit of China ’s President Hu Jintao last month during which He and Samdech Prime Minister Hun Sen presided over the signing agreement of MOUs that included grant and loans as well as encouraging more Chinese businessmen to invest in Cambodia .

The Governor of Yunnan said that his delegation aims to execute a number of MOUs that the two leaders have agreed upon in March.

Both sides are pleased with the result of the visit by President Hun Jintao, saying they are committed to the agreement as the two countries have an ambition to reach US$5 billion two-way trade in the coming years compared to the US$2.5 billion recorded last year.

H.E. Dr. Sok An and H.E. Li Jiheng shared common views that the two countries have reached a comprehensive strategic partnership since 2010 thanks to the improvement of bilateral relations through the “One China Policy”.

H.E. Dr. Sok An said that Cambodia is pleased with the visit of the Yunnan delegation which also comprised investors and traders.

Separately, the bilateral trade between Yunnan and Cambodia recorded more than US$6 million last year, an 82 percent increase from 2010.

The Yunnan governor invited H.E. Dr. Sok An to attend the 20th trade fair to be held soon.

The delegation was also encouraged to have more exchange visits of students and officials, something he called in Chinese culture as saying that “although we live near or far from other but the more we exchange visits, the closer we will be.”

H.E. Dr. Sok An said that Yunnan province is playing a greater role in terms of trade connectivity and as a gravity center with Southeast Asian nations, given the 10-country bloc of ASEAN has plan to build rail road that will link Singapore to Kunming.

“We do hope that bilateral trade with Yunnan will be greater and greater in the years to come,” said H.E. Dr. Sok An.