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The Better Cambodia > Blog > Editorial > Editors Pick > Building Cambodia’s Cooperative Farming Future with Inspiration from India
EditorialEditors Pick

Building Cambodia’s Cooperative Farming Future with Inspiration from India

Surya Narayan
Last updated: October 4, 2025 3:03 pm
Surya Narayan
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Farming in Cambodia is not just about economics; it’s how people live day to day. For most families in the countryside, the farm is everything. It feeds them, pays for school, and keeps villages alive. Every morning, before the sun rises, you’ll see farmers walking into their rice fields, or tending mango and cashew trees, or growing small patches of vegetables. Their work supports the community, and it brings money into the country too.

Contents
  • Learning from India’s Experience
  • Smarter Land Use and Diversification
  • Why Finance Matters
  • The Role of Technology
  • Government as a Partner
  • A Cooperative Revolution for Cambodia
  • Looking Ahead

But the truth is, many of them are still earning too little. They sell raw crops at prices set by others. The same cashews or mangoes often travel to another country, get processed there, and then are sold for many times more than what the Cambodian farmer received. This is where the problem lies—most of the value is leaving Cambodia.

This is recognised by the government. The Law on Agricultural Cooperatives, new policies for mango and cashew, and a focus on agro-processing are all signals that change is coming. These steps could be the start of something bigger: a proper cooperative farming system that allows farmers to work together, add value to their crops, and compete strongly in export markets.

Learning from India’s Experience

Cambodia doesn’t have to start from the beginning. Other Asian countries have already tried and succeeded, and India offers powerful lessons. Two examples stand out: Amul, a dairy cooperative that became a global brand, and Sahyadri Farms, a horticulture group that shows how technology and sustainability can transform small farms into large, competitive businesses.

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Amul: Farmers Owning Their Future

Dairy farmers in Gujarat, India, faced exploitation in the 1940s. Middlemen paid them almost nothing for their milk. Instead of accepting it, they organised. The process began at the village level, progressed to district unions, and ultimately culminated in a state federation. Farmers owned the cooperative, professionals ran the business, and profits went back to the members.

It worked. Currently, Amul handles around 35 million litres of milk per day. It has over 3.6 million farmers involved, across nearly 18,600 villages. The federation’s annual turnover is close to ₹66,000 crore (about US$8 billion), and the larger Amul brand earns even more—over ₹90,000 crore (US$11 billion).

Amul exports to more than 50 countries, from the Gulf to the U.S. and Europe. And this happened not because of foreign investors, but because farmers built a system that worked for them.

For Cambodia, the message is simple: when farmers unite, they don’t just gain bargaining power—they also gain dignity and the ability to stand on equal ground in the global market. Imagine a similar federation here, but for cashews, mangoes, vegetables, and rice by-products. Local cooperatives could manage production, provincial unions could handle processing, and a national body could market Cambodian produce abroad under a farmer-owned brand.

Sahyadri Farms: A Modern, Zero-Waste Approach

Sahyadri’s story began much later, in 2010, in Maharashtra. Grape farmers were struggling with price crashes. Instead of giving up, they formed a Farmer Producer Company (FPC) under the leadership of Dr. Vilas Shinde. They invested in packhouses, cold storage, and processing units and soon expanded into other fruits and vegetables.

Today, Sahyadri has more than 29,000 farmers covering 40,000 acres. It exports grapes, mangoes, pomegranates, and tomatoes to both Indian supermarkets and international buyers. The facilities are advanced, with grading machines, cold chains, and processing plants that keep produce fresh and market-ready.

What makes Sahyadri different is its zero-waste philosophy. Nothing is wasted. Seeds, pulp, and peels are all reused and turned into oils, animal feed, or even renewable energy.

This idea could easily be applied in Cambodia. Cashew shells could become biomass fuel or activated carbon. Mango seeds could be processed into oils for cosmetics. Rice husks could become organic fertilisers. Cambodian farmers can earn more and show their commitment to sustainable farming by using every part of the crop.

Smarter Land Use and Diversification

Rice will always remain Cambodia’s main crop, but not all land is perfect for it. In some regions, it would be smarter to grow high-value crops like tomatoes, pomegranates, or citrus fruits. These crops could give farmers higher income with less risk.

Another big opportunity is dairy. Even small-scale milk cooperatives could raise incomes, improve nutrition in villages, and reduce dependence on imports. Cambodia doesn’t yet have a strong dairy industry, but the potential is there.

Right now, about 95% of Cambodia’s raw cashews are exported for processing abroad. That means jobs and profits are going overseas. With cooperatives and processing units inside Cambodia, this could change. Farmers would finally keep more of the value they create.

Why Finance Matters

None of this can happen without money. Farmers need loans for seeds and inputs, investment for cold chains and plants, and working capital to survive between harvests. India made this possible through systems like credit guarantees and farmer equity funds, which reduced the risk for banks and encouraged lending.

Cambodia could do the same. A government-backed guarantee fund, supported by development banks, would make it easier for local banks to lend to cooperatives. This could attract investors as well, especially those interested in climate-smart and inclusive agriculture.

The Role of Technology

Technology will determine the success or failure of Cambodian cooperatives. Farmers need access to mobile apps for weather forecasts, market prices, and advice on crops. Digital payments and transparent systems will reduce corruption and build trust. Cold chain logistics and proper storage will cut post-harvest losses.

Traceability is also crucial. Buyers in Europe, China, and other markets want to know where their food comes from and whether it meets safety standards. If Cambodian cooperatives can guarantee traceability and earn certifications like GlobalG.A.P. or HACCP, they will be able to compete for premium markets.

Government as a Partner

The government already supports cashew and mango strategies, which is a positive start. It can go further by offering tax incentives to cooperative processing units, giving priority to cooperatives in government procurement, and fast-tracking export certifications.

Just as India created the National Dairy Development Board to guide Amul, Cambodia could build a national body to mentor, train, and monitor cooperatives. Such an institution would reassure both farmers and investors that the system is transparent and professional.

A Cooperative Revolution for Cambodia

If Cambodia follows this path, the results would be wide-reaching. Farmers would have better incomes and more stability. Women—already important in farming communities—would gain new leadership opportunities. Rural areas would become more resilient to climate change and global price swings.

And Cambodia itself would move closer to food self-sufficiency while also building a respected global brand: farmer-owned, sustainable, and proudly Cambodian.

Looking Ahead

In the next decade, Cambodia could change its role in global agriculture. By mainly exporting raw produce, it could become known for branded, high-quality, and sustainable products. India’s Amul and Sahyadri show what’s possible, but Cambodia’s version will be unique, built on its culture and community spirit.

The question is no longer whether Cambodia can do it, but whether it chooses to. Farmers, the government, and investors are working together to make the cooperative leap not just possible, but achievable.

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BySurya Narayan
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Founder at The Better Cambodia | Communication Advisor to the Minister attached to the Prime Minister of Cambodia | Marketing Director at True North Lean
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