A Change of Guard

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Wednesday, 29 August 2012

Indonesia signs deal to buy minimum 100,000 tons of Cambodian Rice a year

livetradingnews.com
August 29, 2012

Indonesia on Tuesday signed a deal to buy minimum 100,000 tons of Rice from Cambodia a year, both sides’ trade ministers said.
The Memorandum of Understanding on rice trade was inked between Cambodian Minister of Commerce Cham Prasidh and Indonesia’s Trade Minister Gita Wijrawan on the sidelines of the 44th ASEAN Economic Ministers Meeting.
Under the deal, Indonesia would purchase at least 100,000 tons of milled Rice from Cambodia a year, Cham Prasidh told reporters after the signing ceremony.
“The price will be based on the market,” he said. “This is the first time we sell Rice to Indonesia and we hope the first shipment will be as soon as possible.”
Gita Wijrawan said that the MoU is the first of many steps in rice cooperation between Indonesia and Cambodia. “We hope that Indonesia will be able to deepen the relationship with Cambodia.”
Cambodia is an agrarian country. More than 80% of the population is farmers. The country produced some 8.25-M tons of paddy Rice last year. With the amount, it’s estimated that there are around 2.5-M tons of milled rice left over for export this year.
In August, 2010, the government launched the rice export promotion strategy aiming at exporting 1-M tons of milled Rice by Y 2015.
According to the Ministry of Commerce, Cambodia exported some 170,000 tons of milled Rice last year.

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