The SME Bank of Cambodia and the Cambodia Cashew Federation have recently signed a Memorandum of Understanding (MoU) aimed at promoting the cashew processing sector and increasing the export of Cambodian processed cashew nuts to international markets.
At a ceremony held on December 5 in Phnom Penh, Dr. Lim Aun, Chief Executive Officer of SME Bank of Cambodia, and An Dara, President of Cambodia Cashew Federation, formally signed the MoU.
Under the agreement, member enterprises of the Cambodia Cashew Federation will have the opportunity to apply for affordable financial schemes provided by the SME Bank of Cambodia, which will support the expansion and growth of their businesses.
Dr. Aun highlighted that this collaboration represents a strategic initiative by the bank to strengthen the cashew sector in Cambodia. The SME Bank of Cambodia sees the MoU as a significant step towards addressing the challenges faced by the cashew industry, including processors and exporters, and propelling the cashew processing industry in Cambodia to new heights.
Expressing his optimism about the MoU, Dara emphasized its focus on enhancing the value chain of Cambodian cashew and aligning with the national policy to foster the growth of the cashew sector. He added that the main objective is to successfully and sustainably increase the export of processed cashew nuts to global markets.
According to a report from the Ministry of Agriculture, Forestry, and Fisheries, Cambodia exported 422,482 tonnes of unprocessed cashew nuts abroad during the January-November period of 2023. This reflects a decrease of 10.14 percent compared to the same period the previous year.
The signing of the MoU signifies the concerted effort to address the challenges hindering the cashew industry’s development in Cambodia, including underdeveloped infrastructure, limited access to finance and technology, and poor market linkage. It is a significant step towards driving sustained growth within the industry and expanding the country’s capacity to export processed cashew nuts.
With initiatives like this, the Cambodian government aims to position the nation as a prominent player in the global cashew processing and export market. The collaboration between the SME Bank and the Cambodia Cashew Federation intends to provide the necessary support to enterprises and contribute to the overall growth and success of the cashew sector in Cambodia.
Source: Khmer Times
