Saturday, October 22, 2016
Chinese to invest $2 billion in agricultural SEZ
“The first investment capital on the special economic zone will be about $2 billion in developing a 300-hectare site in western Kampong Speu province, where storage facilities, and packaging and processing factories for agricultural products will be built,” he said.
“With this MoU, the firm will start contracting farmers to grow a variety of crops and sell to our company to be processed and then exported.”
He said that mangoes would be the first product the firm would buy from local farmers, but suggested that other fruit and vegetables would also be sought.
He stressed that the venture would also act as a magnet to attract other Chinese agricultural firms to begin operating in Cambodia.
“Our SEZ will attract more and more Chinese enterprises to invest in agriculture processing factories in Cambodia...China has many processing companies and they are waiting for investing in Cambodia, so this cooperation is a good start,” he said.
I have not talked about Cambodia for a long time. Nevertheless I am still excited about its prospects long term. Foreign Direct Investment like this investment by the Chinese will be a key to Cambodia's growth over the upcoming years. I am playing Cambodia with my holdings in NagaCorp which has a huge casino hotel and entertainment complex in downtown Phenom Penh. The company has a multi-decade monopoly on this market.