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PROJECT “NETWORK FOR AGRICULTURE AND RURAL DEVELOPMENT
            THINK-TAKS FOR COUNTRIES IN MEKONG-SUB REGION” (NARDT)


                  At the Sixth Legislature 2018 - 2023, the Royal Government of Cambodia
            (RGC) has initiated the implementation of the Rectangular Strategy for Growth,
            Employment, Equity, and Efficiency strategy phase IV, with the orientation toward
            2030.  In  the  Rectangular  4,  Side  1  for  Inclusive  and  Sustainable  Development,  the
            Royal Government aims to strengthen the role of the agriculture sector in generating
            jobs, reducing poverty, and developing rural areas. For many years, rice cultivation
            has become an important factor in food security and employment for rural areas.
            Ensuring the development of the rice sector in Cambodia by strengthening the rice
            value chain enables an advanced supporting system to the sector and improvement
            in development for a higher value.

                  The goal, by 2030, sets out to improving productivity, quality, and diversification
            through increasing the investment in Research and Development of highly value-added
            crops, livestock, and aquaculture; promoting model Farm development; promoting
            agricultural  extension  service;  strengthening  farmer  cooperative  management;
            preparing contract farming production mechanism; continuing to reduce the cost
            and improve quality of agricultural inputs; conducting studies on the establishment
            of agricultural insurance services; financial products for serving the agricultural
            production; and promoting the use of digital and smart technology; upgrading the
            processing industry through the promotion of private investment in agricultural
            products with high potential; promoting agricultural commercialization through
            further strengthening of the Sanitary and Phytosanitary, trade facilitation, additional
            investment in quality Laboratory for exportation as well as promoting production and
            consumption of domestic agricultural products.

                  By 2030, Cambodia expects to increase its production value from 3.1 billion USD
            to 6.6 billion USD; export value increasing from 350 million USD to 3,243 million USD;
            over 70% of paddy rice will be processed in Cambodia, from 43%; value-added in the
            sector will reach 3.1 billion USD; and farm income per ha will grow from USD 380/ha to
            USD 550/ha.

                  As for resolve of the climate change issue, The Royal Government’s strategic
            goal is to minimize environmental impacts, enhance the capacity to adapt to climate
            change, and contribute to reducing global climate change to ensure sustainable
            development. The key achievements of the Royal Government include strengthening
            technical and institutional capacities in environmental management; mainstreaming
            climate change into various policies, regulations, and plans, at both national and sub-
            national levels; introducing measures to control water resources and eco-system
            pollution, as well as improved capacity in the use of technologies, contributing to
            clean energy production and collaborating with development partners to respond to
            the climate change. Key challenges include an increase in natural resource utilization,
            deterioration in environmental quality, be it water, land, and air, limited capacity in
            mainstreaming technology that is resilient to the climate change, as well as the limited
            cooperation and participation from stakeholders, and the need to ensure water and
            energy security in the long term.

            3.1.2. Lao PDR

                  Rice is one significant crop for Lao PDR, so the government has been regulating
            several policies supporting rice production in the country and setting rice as a priority
            crop for national food security. Food security in Lao PDR has been one of the main

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