Gov’t Reaffirms Commitment to Agriculture FAcknowledges Problems of Ag Sector at Meeting

Government officials Wednes­day repeated their commitment to developing the agricultural sector on, while admitting big challenges remain to turn it into a viable industry.

“The primary goal of the Royal Government is to promote agriculture development, as approximately 85 percent of the population are farmers, and relative and absolute poverty prevail in the rural areas,” Minister of Cabinet Sok An told a conglomerate of government officials, aid groups and business representatives at the MiCasa Hotel Apartments.

Two weeks ago, Prime Minis­ter Hun Sen told a regional conference on poverty reduction that developing the rural economy is the key priority of government policies.

While per capita income in Phnom Penh has risen steadily over the past decade to about $1,000 in 2002, it has fallen slightly in the provinces in that time, a report from the Economic Insti­tute of Cambodia said. Per capita income in the provinces was less than $200 last year.

As the country is close to joining the World Trade Organization, the government, aid groups and academics are trying to devise ways to spread the wealth.

“Economic growth has been based just in Phnom Penh,” EIC economist Chea Samnang said Wednesday at the institute’s launch. “The fear is that the WTO will increase the gap between Phnom Penh and the provinces.”

At the MiCasa seminar, Sok An identified an extensive list of development needs that must be accelerated for the agriculture sector to be developed, including a small-scale private irrigation system, expanded fish raising and the use of appropriate technology in rice paddies.

The challenges to realizing agri­cultural development are vast, Var Huoth, president of the economic, social and cultural observation unit at the Council of Ministers, told the seminar.

“Efficiency and effectiveness to implement policy are always limited because of lack of good governance, the uncertainty of political ins­tability, the global economy, un­precedented situations in the im­pact of globalization, natural disasters and the contagion of external crisis, as well as budget shortage and financing capability,” he said.