China has pledged to purchase 400,000 tonnes of rice from Cambodia this year, according to Prime Minister Hun Sen’s facebook post.
The pledge was made during the bilateral meeting in Beijing between Mr Hun Sen and Chinese president Xi Jinping yesterday evening.
Mr Xi promised Mr Hun Sen that China will increase the quota of rice import from Cambodia in 2019, aimed at boosting the bilateral trade between the two countries to about $10 billion in 2023.
Mr Xi said that China will grant Cambodia $4 billion Chinese Yuan or $600 million from 2019 to 2021, the post said.
Mr Xi said that the ties between China and Cambodia are very special, according to the post.
“It is an important relationship between the two nations,” the post said “He said that China and Cambodia will continue to work together and cooperate in all sectors, including politics, security, economy and between people and people.”
Last year, Cambodia exported 626,225 tonnes of rice to international markets, a drop of 1.5 percent compared to 2017.
By individual country, the largest buyer was China (170,000 tonnes), followed by France (90,000 tonnes), Malaysia (40,000 tonnes), Gabon (30,000 tonnes), and the Netherlands (26,000 tonnes).
China’s pledge to buy more rice from Cambodia came as the European Commission last week imposed tariffs on rice imports from Cambodia and Myanmar.
The EU commission has decided to re-introduce import duties that will be steadily reduced over a period of three years.
During the first year, 175 euros ($199.5) per tonne will be levied, 150 euros ($171) in the second year, and 125 euros ($142.5) in the last.