How do new contracts affect coffee production in Cambodia
Coffee prices in Cambodia's Mondulkiri Province have risen after producers and a purchasing company signed a supply agreement for fresh coffee beans on October 30. Fresh bean prices went from 1,350 to 1,500 riels per kilogram, and the provincial agriculture director expects them to hold steadier over the next two years through contractual guarantees instead of individual trader sales.
Mondulkiri has 351 hectares planted with coffee, 342 hectares harvestable, and a yield of 705 tons. About 250 tons were set to be sold to an intermediary company. Officials say the contracts support farmer incomes, food security, women's economic capacity, and a more standardized production of coffee beans. Cambodia's coffee history dates to the French colonial period, with main areas above 800 meters.
Coffee bean prices in Cambodia's Mondulkiri Province have recently risen, driven by long-term supply agreements signed between producers and purchasing companies. Mondulkiri Agriculture Director Suong Chan pointed out that in the past, when farmers sold coffee beans individually to traders, prices fluctuated significantly, but now with contractual guarantees, prices are expected to stabilize over the next two years. This cooperation not only boosts farmers' incomes but also helps ensure food security, strengthen the economic capacity of women, especially ethnic minorities, and promote standardization and sustainable development of the production chain. Currently, Mondulkiri's coffee planting area reaches 351 hectares, with 342 hectares harvestable and a yield of 705 tons. The price of fresh coffee beans has risen from 1,350 riels per kilogram to 1,500 riels, and is expected to continue climbing next year. Cambodia has a long coffee history dating back to the French colonial period, and today its main production areas are located in high mountain regions above 800 meters in altitude, with superior soil and climate conditions. As the government actively promotes the coffee industry, Cambodian coffee beans are gradually entering European, Asian, and American markets, with the potential to become a rising star in Asia's coffee market.
According to Cambodian media reports, coffee prices in Mondulkiri Province have recently shown an upward trend due to procurement contracts previously signed with intermediary traders.
Earlier reports stated that about 250 tons of coffee beans from Mondulkiri Province would be sold to an intermediary company. On the morning of October 30, producers and the purchasing company officially completed the signing of an agricultural agreement for the supply of fresh coffee beans.
Mondulkiri Agriculture Director Suong Chan explained that in the past, local farmers sold coffee beans directly to traders at unstable prices; however, once farmers establish contractual relationships with enterprises, they can maintain better price levels over the next two years.
Suong Chan also mentioned that cooperation between farmers and purchasing companies can effectively increase incomes, ensure food security, and strengthen the economic capacity of women, particularly ethnic minority groups. In addition, the signing of the agreement helps ensure the production chain meets standards and is sustainable, while maintaining market competitiveness and improving farmers' living conditions.
Currently, Mondulkiri Province has 351 hectares of coffee planting area, of which 342 hectares are harvestable, with total production reaching 705 tons.
Affected by this, the recent price of fresh coffee beans or blended coffee beans ranges from 1,350 riels (about $0.32) to 1,500 riels (about $0.36) per kilogram, an increase of 200 to 300 riels from before, and is expected to rise to around 1,400 to 1,600 riels next year.
Looking back at Cambodia's coffee history, from 1867 to 1941, Cambodia was a French colony, and Phnom Penh was once called the "Little Paris of the East." At that time, coffee culture gradually permeated Cambodia through the French and subsequently took root and developed locally.
Cambodia's local coffee beans are mainly produced in high mountain areas above 800 meters in altitude. These regions have mild climates and significant temperature differences between day and night, which are highly favorable for coffee cultivation. In addition, Cambodia's soil is mainly red and brown earth, with brown earth having a relatively high pH, suitable for coffee bean growth.
With the evolution of the global coffee market, the market prospects for Cambodian coffee beans are attracting increasing attention. The Cambodian government also recognizes the importance of the coffee industry and has actively taken measures in recent years to promote its development. Currently, Cambodian coffee beans are mainly exported to Europe, Asia, and the United States. It is foreseeable that Cambodian coffee beans have the potential to become a rising star in Asia's coffee market, injecting new opportunities into the global coffee industry.
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