Cambodia is striving to become the world’s leading cashew producer by 2030, with a strong push from both the government and the private sector to enhance processing and boost exports as government plans the establishment of its first-ever cashew industrial park. The Kingdom produced 850,000 tonnes of cashew nuts in 2024, marking a 26.8% increase from the previous year. Exports reached 815,000 tonnes, up 31%, with Vietnam remaining the primary market at 793,453 tonnes. To strengthen the cashew industry, Cambodia is planning to establish its first-ever cashew industrial park in Kampong Thom, the province with the largest cashew cultivation. Covering nearly 600 hectares, the park will focus on cashew processing and is located about 13 kilometres from Stung Sen City, the provincial capital. During a media trip to Kampong Thom province on Sunday, journalists visited Kampu Nuts Agro Product Co., Ltd, a cashew processing company in Taing Kork district, which mainly exports processed cashew nuts to China. Since its first operation in 2018, the enterprise has exported a total of 20,000 tonnes of dried cashew nuts to China. With a processing capacity of 3,000 tonnes per year and a storage capacity of 15,000 tonnes, it is one of the key players in Cambodia’s cashew industry. Hout Hyhaikeang, Director of Kampu Nuts Agro Product Co., Ltd, explained that his enterprise processes around 50 tonnes of cashew nuts per day. Officially operating cashew processing machinery, since 2023, the company can process between 12.5 to 15 tonnes of semi-finished products daily. “We collect unprocessed cashew nuts from traders, farmers, and communities across the country,” he said, noting that he purchases wet cashew nuts at 6,300 riel per kilogramme. Hyhaikeang added that his company is exploring the possibility of expanding exports to new markets, including the European Union, Arab states, and ASEAN countries. However, he also highlighted key challenges, including investment capital, a shortage of skilled human resources and technical assistance. His company currently employs about 60 staff, with an additional 100 to 200 workers hired for cashew drying yards. “The support from the government is important. We appeal to the government to examine the possibility of further exemptions or preferences for the domestic processing sector to enhance competitiveness more actively,” he said, adding that his enterprise expects to expand the warehouse and increase productivity. According to Silot Uon, President of the Cashew Nut Association of Cambodia (CAC), cashew prices at the start of this season are not only high but also stable, currently set at 6,400 riels per kilogramme, with the lowest price at 5,400 riels per kilogramme. He attributed the stable and favourable pricing to several factors, including CAC’s efforts in organising business matching events and B2B collaborations, which have facilitated direct partnerships between sellers and buyers, reducing the circulation of cashew nuts outside the local market. Ky Sereyvath, a senior economist and Director of the Institute of China Studies at the Royal Academy of Cambodia (RAC), who joined the trip to Kampong Thom, stressed the importance of government policies in supporting the cashew industry. “It reflects the government’s efforts to support the cashew industry, particularly for farmers and local communities. It encourages production, processing, exporting, human resource development, and financial investment,” he said. “This is a long-term policy.” The National Cashew Policy 2022-2027, formulated by the Ministry of Agriculture, Forestry and Fisheries (MAFF) and the Ministry of Commerce (MoC), aims to increase Cambodia’s cashew processing capacity from the current 5% to 25% by 2027, and to approximately 50% by 2032. However, Sereyvath pointed out that while the policy is comprehensive, the government has yet to develop a concrete strategy for its implementation. According to MAFF, Cambodia currently exports about 90% of its raw cashew nuts, with the majority sent to Vietnam, posing a challenge for the country’s cashew processing sector. Sereyvath emphasised the sector’s potential, noting that Cambodia is already a major exporter. “The cashew industry contributes to agriculture, processing, and export services,” he said. “I believe the government should focus more on providing preferential treatment for cashew enterprises, supporting procurement, and facilitating financial flows to Cambodia for purchasing, manufacturing, and expanding cashew processing. Additionally, there should be easier procurement from the community and streamlined export procedures,” he added. Touch Bun Hour, Secretary of State at the Ministry of Agriculture, Forestry and Fisheries (MAFF), recently conducted an inspection of cashew cultivation, warehouse locations, market conditions, and pricing in Kampong Cham, Preah Vihear, Stung Treng, and Ratanakiri provinces from February 16-20. “Looking ahead to 2030, I am confident that we will become the global leader in cashews. My first reason is based on the National Cashew Policy 2022-2027, which sets the goal to increase the value-added of cashew processing by 25% by 2027,” he said.