May 31, 2011
Cambodian soy exports increase amid soaring prices
The amount of soy export in Cambodia increased more than twofold between January and April this year in contrast to the same period last year, according to statistics from the Ministry of Commerce's Camcontrol Department.
Some 2,479 tonnes of soy were exported during the period in 2011, up from 823 tonnes in the period last year, the statistics showed.
Camcontrol Director Khuon Savuth said the ministry was working to directly connect Cambodian farmers with foreign buyers with the goal of increasing agricultural exports.
"This avoids the loss of profit to middlemen; a reason why farmers cultivate other crops instead of soy," he said.
Ministry of Agriculture, Forestry and Fisheries officials pointed to strong growing conditions for soy in the last year.
"Last year, farmers extended cultivation and the weather was favourable for soy as well," said Khan Samban, director of the Ministry's Agro-Industry Department. "Soy is also in a higher demand in the markets."
US soy prices closed on Friday (May 27) at US$13.7975 a bushel on CBOT.
The price has gained 45% in the past year as Chinese purchases climbed to a record.
Samban added that the ministry urged private sector producers to act together to acheive higher prices.
Cambodian traders said they are seeing rising demand for the crop in recent months.
"Soy is being sold to Vietnamese traders, because their demand is increasing and they buy at high prices," said a trader.
His beans are fetching US$720/tonne this year, from US$520/tonne last year.
He said he has sold two thirds of the 60 tonnes he had purchased from farmers during the harvest season.
However, despite high prices, he said the province's farmers will reduce soy cultivation to plant more cassava and corn, as they offer higher yields and are also subject to rising demand from international buyers.
Ministry of Commerce statistics show Cambodia's exports of soy totalled US$11.14 million and 49,769 tonnes last year.
