Agricultural Cooperative Development in Cambodia Paper for 19th ASWGAC Meeting on 18-19 May 2017 Vientiane , Lao PDR Chea Saintdona, Director, Dept of Agricultural Cooperative Promotion (DACP),GDA,MAFF, Cambodia

Contents Regulations on Promoting ACs in Cambodia Government Support Mechanism to Promote AC Promotion activities for AC Updated data of AC in Cambodia Challenges to promote AC Recommendations for regional cooperation

Policy and Regulations on Promoting AC Rectangular Strategy of RGC and The National Strategic Development Plan 2014-2018; Agricultural Sector Strategic Development Plan 2014-2018; Policy Paper on the promotion of Paddy production and rice export (Aug 2010); Sub-decree on Contract Farming; Law on Agricultural Cooperatives (2013) Model by-law and internal regulation for Agricultural Cooperatives

Continued Model by-law and internal regulation for Agricultural Cooperative Union Model by-law and internal regulation for Agricultural Cooperative Alliance Ongoing Preparation Sub-decree on Agricultural Cooperative Development Fund (Drafted) Sub-decree on Policy Board for Agricultural Cooperative (Drafted) Ministerial proclamation on Business Contract Guideline for Operating Business of Agricultural Cooperatives (Drafted) Ministerial proclamation on procedure of Establishment and Registration of Agricultural Cooperative, Agricultural Cooperative Union and Agricultural Cooperative Alliance (Drafted)

Government’s Support Mechanism for Agricultural Cooperatives 1. At National Level Department of Agricultural Cooperative Promotion (DACP), May 12, 2014 . 2. Sub-National Level 25 Provincial Offices of Agricultural Cooperative Promotion(OACP) under the provincial Departments of Agriculture, Forestry and Fisheries.

Organizational Structure of DACP

Promotion Activities for AC 1- Establishment and registration of AC 2. Dissemination of regulations to farmers and stakeholders 3. Capacity building 4. Business development and marketing 5. Monitoring and Coaching AC

AC formation and Registration Done in 2016 Province name No of AC established in 2016 Mondulkiry 1 Prey Veng 5 Koh Kong 2 Svay Rieng Kraties Battambang Odormeanchey Preah Vihea Kampong Thom Total : 9 provinces 20 AC

Training Courses Done with AC in 2016 No of Training Courses No of ACs trained Farmers trained Book keeping and accounting 5 100 Internal monitoring 4 Annual report writing 12 226 Input supply business 3 84 Dissemination of regulations on AC 8 217 Cooperative promoters

Training Manuals and Materials Prepared 1. Model standard annual report format for AC to apply 2. Guideline on running supply business 3. Guideline on conducting internal auditing for Supervisory Committee to apply 4. Booklet on rights and obligation of AC’s management and members 5. Booklet on the concepts of Agricultural Cooperatives 6. Leaflet on the seven principles of cooperatives 7. Booklet on the concepts of internal auditing for AC

Continued 15. Model official letter and request for AC to apply 8. Model internal regulation for credit business management 9. Guideline on how to organize annual general meeting of AC 10. Annual action plan and financial plan format for AC to apply 11. Management of Agricultural Cooperatives 12. Guideline on surplus distribution 13. Business development plan format for AC to apply 14. Model meeting minutes of Board of Directors and Suppervisory Committee 15. Model official letter and request for AC to apply

Ongoing preparation of training manuals Concepts and guideline on how to establish Agricultural Cooperative Business Network Entrepreneurship concepts for Agricultural Cooperatives Book keeping and Accounting Credit business management guideline

Farmers participation in training courses

Continued

Continued

Coaching farmers

Marketing promotion for AC

Updated data of ACs by December 2016 Description Number/Amount Average/AC Agricultural Cooperatives 857 Membership 87,986 102 (farmers) Female membership 53,136 62(female farmers) Shares 6,103,018$ 7,121$ Share capital 9,843,564$ 11,486 $ Sources: DACP’s annual report in 2016

Number of ACs in Cambodia

Men and Women in Board of Directors

Men and Women in Supervisory Committee

Businesses of Agricultural Cooperatives Common Businesses Credit business Agricultural input supply business Emerging New Businesses Marketing business Joint use facility business Processing business

Cambodia Jasmine Rice ( Pkha Romdoul, World best rice)

Agricultural produces

Kampot Organic Pepper (GI produce)

Kampot Organic Pepper (GI Produce)

Challenges to promote AC Inadequate legal frameworks and policies to promote AC; Inadequate education and training materials; Lack of national and regional training centers; Limited human resources in the field of agricultural cooperative development; Limited budget to promote AC;

Challenges to promote ACs Most leaders of AC are old and have low education level Most farmers lack business knowledge and experience Less participation of young people in AC

Proposed Recommendations 1. Share and exchange of regulations on agricultural cooperatives 2. Share and exchange of education and training manuals/materials 3. Visiting cooperative experts of advanced cooperative development countries to less cooperative development countries 4. Study visits with success ACs.

Thank You Very Much!