PHNOM PENH – Amid rising public support for locally made products, Prime Minister Hun Manet has urged stronger agro-industrial production to support local businesses while reducing reliance on imports.
He advised Agriculture Minister Dith Tina, Industry Minister Hem Vanndy and Commerce Minister Cham Nimul to maximize the use of local raw materials through processing before export or domestic use, enabling local producers to gain greater value-added benefits.
His call was made during the inauguration of the rubber processing factory Kims Rubber (Cambodia), a subsidiary of China-based Mainland Group, on May 27 in Tboung Khmum province.
Despite the potential of local raw materials, Hun Manet noted that Cambodia has relied on imported raw materials, as many domestic raw materials are exported abroad instead of being processed into semi-finished or finished products locally.
An example was natural rubber, which he described as one of the strategic agricultural products that should be processed locally.
He said he had tasked Dith Tina and Deputy Prime Minister Sun Chanthol in 2023 or 2024 with working with local rubber producers and tire production companies to connect the supply chain by reducing rubber imports from Thailand.
He called on the three ministries to work on the rubber supply chain by developing rubber communities, diversifying rubber products and improving prices to boost production.
“The recent company investment in rubber production capacity will make a significant contribution to the development of the domestic rubber sector. Most importantly, it creates direct employment for nearly 300 people at the factory and indirect employment for more than 50,000 rubber tappers,” Hun Manet said.
He had seen stronger local production and affirmed the government’s commitment to supporting local producers through tax incentive policies and other initiatives to encourage more quality and sustainable local products.
He also intended to see more local production, including furniture and kitchen facilities.
“Currently, the government has been minimizing imports of four main products, including milk, noodles and sugar, since the border clashes with Thailand,” he said.
To facilitate the smooth flow of production, Hun Manet also called on Finance Minister Aun Pornmoniroth to examine the possibility of increasing investment budgets to develop an integrated transport and logistics system and construct a complete and affordable electricity grid.
He further urged the creation of competitive industrial parks, agro-industrial parks, and local free trade zones aimed at reducing production costs, diversifying the production and processing of agricultural products.
In 2025, Cambodia earned $603 million in revenue from exports of natural rubber latex, down from $663 million in 2024. However, domestic consumption of rubber latex recorded a notable increase of 146 percent to 124,231 tonnes in 2025.
