Phnom Penh: The Agricultural and Rural Development Bank (ARDB) has released nearly $20 million from a special $40 million government fund to purchase rice from farmers, according to officials.
The Cambodian government announced the $40 million package on Nov. 8, 2025, pledging additional financing to stabilize rice prices during the harvest season. The fund, managed by ARDB in cooperation with the Ministry of Agriculture, Forestry and Fisheries, provides revolving loans to rice mills so they can buy paddy directly from farmers at fair prices.
ARDB Director General Kao Thach told KPT English that more than 20 rice mills have already accessed the financing, with most focusing on the Phka Rumduol variety. “These mills are largely members of the Cambodia Rice Federation and partners of the Ministry of Agriculture, Forestry and Fisheries,” he said.
Lay Chhun Hour, president of the Cambodia Rice Federation, said member mills using the government package are currently purchasing about 15,000 tons of paddy per day from farmers.
Officials emphasized that the special fund is designed to ease pressure from falling rice prices, while ensuring mills have the resources to maintain stable purchasing and protect farmer incomes.
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By: May Kunmakara
©KPT English