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Contract farming gives hope to agriculture cooperatives

Sok Chan / Khmer Times Share:
Amru Rice vice president Kann Kunthy and representative of Agriculture Cooperatives signing the contract farming agreement on Thursday. Supplied

Amru Rice (Cambodia), and 22 agriculture cooperatives (ACs) from three provinces signed contract farming deals to supply and produce fragrant paddy on sustainable rice platform for the 2020 cultivation season.

This is the second contract after the company signed contracts with eight ACs in Battambang province last month.

Under the sustainable rice platform, the 22 ACs from Kampong Thom (16 ACs), Kampong Cham (2ACs), and Siem Reap (4ACs) will produce and supply fragrant paddy on a sustainable rice platform.

Song Saran, president of Amru Rice (Cambodia) and president of CRF, said this contract signing has promoted and strengthened the partnership between producers, private and public sectors (4Ps) in order to promote participation from all parties to ensure the production and supply of SRP paddy market.

“The 22 ACs from Kampong Thom, Kampong Cham, and Siem Reap cover 2,300 hectare of paddy farmland, totalling of 5,536 tonnes of paddy,” he added. “This contract farming will ensure the price of paddy and market for 1,516 household farmers,” he added.

Saran added that CRF’s role and goal of its third mandate is to push rice export to meet the government target and push a sustainable market for farmers through contract farming and the SRP production. Some of the CRF members such as Golden Rice and Signature of Asia are also participating in this platform.

He added that in order to be successful farmers, the agriculture cooperatives have to transform the normal farmers to agri-preneur who will be able to access the markets, technical support from development partners, special funds and credit from the financial sector.

Saran said that in total, there are around 66 Agriculture Cooperatives of which 10,000 family growers with 45,000 tonnes yield on 15,000 hectares that will supply the crop to Amru Rice under contract farming for the 2020 season.

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