Phnom Penh: February 22, 2022, The United States Agency for International Development (USAID) announced two new partnerships with private firms to co-invest in the cold chain, agricultural storage capacity, and logistics in Cambodia. These partnerships will advance the country’s economic competitiveness and inclusiveness by addressing gaps in the agricultural sector’s supply chain.

Khmer Cold Chain Company (KCCC) and Amru Rice will develop, test, and operationalize agricultural cold chain storage and logistics capabilities and services in Cambodia, creating a secure, temperature-controlled supply chain. The partnerships will address market system barriers to import-export opportunities, focusing on improving market access for smallholder farmers and woman- and youth-owned businesses.

Nancy J. Eslick, USAID/Cambodia Mission Director said, “USAID’s partnerships with Cambodian firms reduce their financial risk, so they can test and promote successful solutions and inspire investment in agriculture to increase regional and international trade integration”.

Under the two-year partnership, KCCC, a Phnom Penh-based cold chain logistics and services company, will provide approximately $1 million of its funding and leverage an additional $1 million in U.S. Government and private sector funding to operationalize its cold-storage facilities, allowing farmers to get better prices for their goods, sell internationally, and ensure consumers have access to high-quality goods.

Amru Rice, a food producer, and trader that exports rice, cassava, cashews, and pepper, will provide approximately $600,000 of its funding and leverage an additional $400,000 in U.S. Government funding to establish on-site cold storage rooms near its headquarters and at its agricultural cooperatives’ sites, creating a decentralized cold storage and logistics network for its smallholder farmer suppliers. This innovative approach to the vegetable supply chain will grow Cambodian farmers’ untapped potential to deliver high-quality products to domestic and international markets, improve food security, increase smallholder farmer incomes, and reduce Cambodia’s reliance on imported vegetables.

USAID’s co-investment aims to expand Cambodia’s economic development to rural households who remain vulnerable to food insecurity because of limited access to formal markets within Cambodia and beyond. USAID/Cambodia is committed to facilitating partnerships and activities that increase sales and job opportunities within the agricultural sector in Cambodia.

Photo by: U.S. Embassy Phnom Penh, Cambodia