PHNOM PENH: Japan has previously exported Cambodian cashews to the Japanese market, however, now Japan is also planning to set up a large factory in Cambodia to produce cashew nuts and process cashew nut shells into fuel for export to the world market.

The Minister of Agriculture, Forestry and Fisheries, Dith Tina, has expressed support for the investment of Japanese companies in Cambodia in the past, especially the export of cashews to the Japanese market.

Speaking at a working meeting with the CEO of Top Planning Japan Co., LTD on Tuesday, 7 February 2023, Minister Dith Tina said that while he also supports the project to establish a cashew nut processing plant in Cambodia, he advises the company to adhere by environmentally conscious practices, such as by recycling and using environmentally friendly packaging, to gain further support in Japan and from the world.

"Processing cashew nut shell into fuel is a good thing, but companies should study more about the possibility of processing it into food products or agricultural fertilizer, as Cambodia is in need of fertilizer as well," said Minister Dith Tina.

He also requested for cooperation through JICA to obtain Japanese Japonica rice to be grown in Cambodia for export.

In the 13 January plenary session of the Council of Ministers earlier this year, the Royal Government encouraged relevant ministries, institutions and the private sector to promote the development of producing and processing agricultural products such as rice, rubber, cassava and cashew nuts to increase value and expand to other export markets.

Currently, there are 10 provinces in Cambodia that cultivate cashews: Kampong Thom, Ratanakkiri, Kratie, Kampong Cham, Preah Vihear, Stung Treng, Oddar Meanchey, Tbong Khmum, Mondulkiri and Siem Reap.

From 2015 to 2021, the area used for cashew nut cultivation in Cambodia increased from 94,308 hectares to 405,991 hectares, while the area for harvesting increased from 78,584 hectares to 275,679 hectares, allowing for total yield to increase from 93,944 tons to 472 636 tons.

About 184.9 tons of processed cashew nuts were exported to Japan from 2019 to 2022 — 126.44 tons were exported in 2022 alone.

Cashews are a potential agro-industrial crop and one of the 12 priority crops that the Royal Government has chosen to focus on in order to increase its production and competitiveness in the market through economic diversification. Currently, Cambodia's cashew nut industry has gained investment shares from international markets such as the United States, Germany, the Netherlands, China, the United Kingdom, France, Australia, the United Arab Emirates and Japan.