German food giant FUCHS Gruppe has announced plans to establish a pepper-processing factory in Cambodia under the “Tboung Khmum Pepper” trademark, marking a major step toward strengthening the Kingdom’s role in the global spice industry. The facility is expected to begin operations in 2026.
The update was shared by Andre Fich, managing director of DF World of Spices GMBH—a subsidiary of FUCHS—during a working meeting with Touch Bunhuor, Secretary of State at the Ministry of Agriculture, Forestry and Fisheries, on November 28 in Phnom Penh. FUCHS currently buys Cambodian pepper and ships it to Germany for processing, but the upcoming plant signals a shift toward value-addition within Cambodia.
During the meeting, Bunhuor highlighted Cambodia’s growing pepper sector, noting that local producers adhere to Good Agricultural Practices (GAP) and consistently deliver high-quality products. He encouraged the German delegation to work closely with the ministry to help farmers better diagnose diseases and pests, reduce production costs and improve yields.
The ministry also urged FUCHS to cooperate with technical departments to ensure the correct use of pesticides in line with requirements of importing countries, especially the European Union.
Bunhuor further encouraged the group to expand its long-term investment footprint in Cambodia. In response, Fich affirmed that beyond building the new factory, DF World of Spices GMBH will continue working with government institutions, farmers and industry partners to strengthen Cambodia’s pepper and spice value chains and expand exports to global markets.
Both sides also discussed strategies to help farming communities meet export standards for Europe, China and the United States, with an emphasis on sustainability and modern agricultural practices.
According to Mak Ny, president of the Cambodia Pepper and Spices Federation (CPSF), Cambodia currently cultivates about 6,000 hectares of pepper, yielding roughly 20,000 tonnes annually—far exceeding domestic consumption. Cambodian pepper, including the globally celebrated GI-certified Kampot pepper, is recognised for its distinctive flavour and high quality.
Ny noted that while Cambodia does not yet have a processing plant, FUCHS has long been purchasing raw pepper for processing in Germany. He believes the upcoming factory will generate significant economic benefits.
“Local processing will create jobs, increase income for farmers, generate tax revenue and bring greater visibility to the ‘Made in Cambodia’ brand,” he said. He added that FUCHS is also a member of the CPSF, demonstrating its commitment to long-term collaboration with the Cambodian spice industry.
The planned facility is expected to boost Cambodia’s competitiveness in the global market, add value to one of its signature agricultural products and support the country’s broader agro-industrial development goals.
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