NIPPON Express and Xamato Green expressed their interest after seeing a potential investment in Cambodia’s agriculture sector.
The plan was disclosed during a meeting last week led by Yamato Green company’s Chairman Nabeshima Katsuhito and Ngin Chhay, the director-general of the General Directorate of Agriculture at the Ministry of Agriculture.
Nabeshima said the company is piloting a project investment on vegetable and fruit in Cambodia, adding that the company is also planning to process and package for export to the international market.
“The project is already appearing and it will be implemented after an agreement signed with General Directorate of Agriculture, ensuring the project to be smoothly implemented,” he was quoted as saying.
Ngin Chhay said he firmly support the project investment, which he said, it will be line with the government policy attracting such an investment in the agriculture sector. He pledged to speed up work on the memorandum of understanding to get it signed soon so that the firm can begin implementing the project.
“This project will be an additional contribution to the value chain, adding the value on vegetable and fruits, and we believe that investment cooperation between the two firms will eventually attract more companies to invest in Cambodia’s agriculture sector, he said.
He added once the investment is realised, it will certainly help to reduce importing vegetable and fruits from foreign markets, while helping to increase agri-processed products for export and creating additional income to the local people.
Takahashi Fumiaki, president of the Japan-Cambodia Association (JCA), said the association is planning to delegate representatives of leading Japanese companies interested in exploring the Kingdom’s business climate and investment policy. The official visit is scheduled for December this year.
Takahashi previously said Japanese investors’ main focus was the agriculture sector.
Figures released for 2019 from the Council for the Development of Cambodia (CDC), a government arm responsible for overseeing investment, show that there are currently 143 registered Japanese investment projects representing a capital investment of $2.7 billion.
According to the CDC, some of the businesses and sectors that have benefited include electronic and vehicle auto parts production, technical equipment, food processing, agro-industry, healthcare and tourism.