Kratie and Ratanakkiri provinces in Cambodia are poised for significant economic development following the approval of four new investment projects. These initiatives, collectively valued at an impressive $355 million, are projected to create approximately 12,300 jobs, signaling a robust commitment to regional growth and economic diversification in the northeastern part of the country.
The approvals stem from a crucial meeting held on January 14, chaired by His Excellency Hean Sahib, Secretary of State of the Ministry of Economy and Finance and Head of the Northeast Regional Investment Promotion Working Group (NIRIPWG). The meeting’s primary focus was on establishing special incentives, concessions, and streamlining procedural facilitation for these four projects, all of which have previously secured investment principle approval from the Cambodian government. The discussions specifically targeted their efficient implementation within Kratie and Ratanakkiri provinces.
The four approved projects span various sectors, primarily concentrating on agro-industry and sustainable forestry:
1. **Agro-Industrial Development in Ratanakkiri:** The first project involves the establishment of a comprehensive mixed agro-industrial park and a limited bonded warehouse. This significant venture, led by Tahgri-Ratanakkiri in collaboration with Down Penh Agrico, will develop approximately 300 hectares of land in Ratanakkiri province. Its aim is to significantly enhance agricultural processing and logistics capabilities within the region.
2. **Agro-Industrial Development in Kratie:** Parallel to the first, the second project will see the creation of another mixed agro-industrial park and limited bonded warehouse in Kratie province. This initiative is spearheaded by Tahgri-Kratie, working alongside Sovann Vuthy, across an expansive area of 310 hectares. It mirrors the efforts to bolster agricultural productivity and add significant value in Kratie.
3. **Sustainable Forestry Investment in Kratie:** The third project represents a substantial investment by Indochina Rubber in tree planting within Kratie province. This endeavor is undertaken under the framework of a specific “Forest Restoration Agreement,” underscoring a commitment to environmental sustainability and responsible land management practices.
4. **Integrated Agro-Forestry and Processing in Kratie:** The fourth project, undertaken by Pra Khmer Silviculture Co., Ltd., focuses on developing an advanced agro-industrial crop farm, also in Kratie. This farm will cultivate both imported timber species such as Acacia hybrid, Eucalyptus, and Kapong Doulung Sis, alongside various valuable local timber species. Beyond cultivation, this comprehensive project also includes the establishment of a modern wood processing plant, a plywood factory, and a dedicated laboratory for tree breeding, indicating a vertically integrated approach from raw material cultivation to advanced manufacturing and scientific research.
Following detailed discussions, the meeting concluded with a collective agreement on the technical conditions, operational mechanisms, and necessary procedures to accelerate the provision of these special incentives, concessions, and procedural facilitation. This concerted effort aims to swiftly prepare the cooperation agreements required for the efficient development and commencement of these crucial investments.
His Excellency Hean Sahib underscored the pivotal role of the government’s initial investment principle approval. However, he emphasized that the subsequent granting of practical incentives and concessions is equally critical for successful implementation. He further highlighted the necessity for timely responses from all relevant stakeholders to ensure that companies can commence their actual investment activities promptly, confidently, and in full compliance with all legal requirements and their planned investment timelines.
