On July 19, 2026, Kao Thach, director-general of the Agricultural and Rural Development Bank (ARDB) and chair of the Techo Farmers Network Association, encouraged and supported a contract-farming arrangement between City Rice and paddy-growing farmers in Banan district to work together to secure purchases of their paddy at fair and competitive market prices.
At the signing of an agricultural production contract for paddy production and supply between ឡាយ ឈុនហាំង, representing City Rice Import Export Co., Ltd., and the group of paddy growers, Kao Thach said the aim was to establish a partnership between the private sector and farmers through assured paddy purchases at fair and stable prices. He said this mechanism would help reduce market risks and price suppression by some traders that could affect farmers’ incomes.
He praised the initiative even though it was a pilot step, and hoped it could be expanded to strengthen farmers’ confidence in ARDB, which had served agriculture for many years. Both sides therefore needed to trust and respect each other as partners.
He described contract farming as an effective means of connecting market demand with production. It would not only give farmers greater confidence to grow their crops, but also provide rice exporters with a reliable source of paddy meeting clear quality standards for export.
He also urged both sides to honour the spirit of the contract sincerely. Paddy producers should follow the production techniques and quality standards required by exporters and rice-processing mills, while City Rice should purchase farmers’ paddy at the agreed prices and on the agreed terms to sustain cooperation in the future.
In addition, he encouraged farmers to calculate production costs carefully to improve profits and join the Techo Farmers Network Association, which helps connect them with technical and market information, low-interest financing sources and buyers.
ARDB, as a government policy bank, would continue providing financial support through low-interest loans to farmers for cultivation working capital and to rice millers for paddy purchasing and storage. This support would make an important contribution to stabilising paddy prices in the domestic market.
By: ង៉ែត ពិសាន្ត
