An analysis of Emerging Organic Rice Marketing

and Potential on Small holders Farmers in

Cambodia

Sok Chanmony
46618002/M1
Literature review
Asia is
distributed of organic
agricultural land about
9% comparing to the
world organic land.

Cambodia has12,058ha of
organic agricultural land in
2015. About 5% of sharing
in organic agricultural land
in Asia.
0.2% of sharing organic
agricultural land in the
Source: FiBL-IFOAM Survey 2015, world 2016.
Literature review
The demand for
organic products
(e.g organic rice) is
significantly
increasing due to the
increasing number
of people who
prefer to consume
safe food and live a
healthy lifestyle.
Literature review
Cambodia has
Agriculture GDP 28.6%.
agricultural land
Cambodia has rice ( MAFF, 2016)
about 5,450,000
cultivation area
ha. ( FAO, 2014)
about 3,051,412
ha. (MAFF, 2016)
Cambodia has
12,058 ha of
organic
agricultural land
in 2015. ( FiBL &
IFAOM, 2017)
Literature review

In this province, Organic farming is

currently covering about 12,000 ha with
4000 smallholder farmers, which
produce over 25,000 tons paddy per year
(one crop per year) ( Amru, 2016).
Literature review
• Organic farming also can be use as a tool for
productivity and poverty reduction in Asia
(Giovannucci, 2007).
• Global organic production has increased significantly
in south-east Asia.
• However, there are some problems in selling their
organic production for good price due to certificate
labelling which create problems and challenges in
marketing of organic agricultural production. (Vonny
and Arai, 2017)
Literature review
• These problems are also applied to
organic agricultural products in
Cambodia, Especially, small household
farmers.
• Nowadays, most of the organic rice
production in Cambodia is only for
exporting.
Organic food Organic food
demand supply
model Motivation

Environmental friendly, Food mileage, Health and nutrition value

* SOF : Sporadic SOF* and Inexperienced
TOF ( true organic consumers )
Organic Food organic food consumers
consumers Trust
Producers/Farm Store/label/Certificate
Type of channel
Short channel Long channel

specialization Products assortment

and variety
Quantities sold
Local/ Regional Import/Regional/
production National production
Source: adapted from Essousi and Zahaf, 2012
Framework of factors Exogenous factors
that affects consumers • Market environment
purchase decision on • Public legal standards
organic food production • Private control institution
• Food quality and safety level
Product related factors Consumer related factors
Values and
Perceived attributes: attitudes
Product Social and
• Health benefit • Health issues
characteristics: demographics:
• Food safety • Environment
• Price • Gender
• Animal welfare
• Taste • Age
• Environment Knowledge and
• Value • Education
impact awareness:
• Certificate • Income
• Origin • What is
• Packaging • Family size
• Social standard organic ?
• Labeling
• Uniqueness?

Consumer preferences
Organic product
Source: Yiridoe et al, 2005 purchase decision
Past study review

• According to my past study (BS) showed

that only contract farmers can get
certificate of organic rice, and also get
higher income than normal organic
farmers.
Productivity and profitability

Source: Field survey, 2017

Source: Field survey, 2017
 Characteristic of the past studied farmers

Profile of Studied Farmers

Contract Farmer Non-Contract Farmer Mix farmer
Male Female Male Female Male Female
Number of respondent (HH) 32 32 21
Average Family size (Person) 5 6 5
Average Age 38 38 41 39 38 28
Number of head household 17 15 19 13 14 7
Average Farming experiences (years) 18.6 18.9 22.7 22.5 23 11.4
Education level
No school 1 1 4 4 3 1
Primary school 11 10 10 4 10 2
Secondary school 2 4 5 4 1 3
High school 3 0 0 1 0 1
University 0 0 0 0 0 0
Source: Field survey, 2017
Problem statement
• Farmers have low education and are
difficult in requirement of getting
certificate.
• In marketing there are problems on organic
rice productions for farmers who do not
have organic rice certificate yet. ( e.g low
price )
• Lacking of distribution channel of organic
rice and difficult to meet consumers
satisfaction. (Domestic market)
Objectives
1. To clarify organic rice both national
and international certificates.
2. To determine current situation of
organic rice marketing channel.
3. To Clarify contribution of NGOs, and
private company as domestic market
intermediaries.
Significant of study
• To contribute to the development of
organic rice marketing opportunities
for small household farmers.
• To contribute strategy formulation of
NGOs, private company in relation to
organic rice marketing.
 Study plan
May-18 June July Aug Sep Oct Nov Dec Jan-19 Feb Mar

Proposal + Pre-Survey or collect Preparing Revise

Literature review report report Main survey
Questionaire secondary data data questionniare
 References
AMRU rice, (2016). Cambodian organic rice nourishing the World, pp1-4
Arai S and Moore RH, (2004) The tendency and characteristics of organic agriculture in
Midwest of the United State, The case study of the State if Ohio. Journal of Rural
Economics., Special issue, pp395-401
Essoussi LH and Mehdi Zahaf M, (2012) The organic food market: Opportunities an
challenges, organic food and agriculture-new trends and developments in the social
sciences, Matthew Reed (Ed.) ISBN: 978-953-307-764-2. InTech, Available form:
cdn.intechopen.com/pdfs/25733.pdf
FAO, (2014) FAPDA country fact sheet on food and agriculture policy trends/cambodia.
IFOAM, (2017) The World of Organic Agriculture 2017.
Giovannucci D, (2007) Organic agriculture and the poverty reduction in Asia: China
and India focus .
MAFF, (2016). Annual summit Report of Ministry of Agricultre, Forestry, and Fishery
Yiridoe EK, Bonthi-Akomah S and Martin RC, (2005) Comparison of consumer
perception and preferences toward organic versus conventionally produced foods: A
review and updated of the literature.