The situation of the price of goods in Cambodia

Price of gasoline at a Total station in Phnom Penh (Photo: Ouk Savborey, RFA)

Thursday, April 24, 2008
By Ouk Savborey
Radio Free Asia
Translated from Khmer by Socheata

The price of foods and gasoline in Cambodia remained stable in some provinces, but it has increase in some other cities and provinces.

Ms. Chak Ieng, a pork meat seller in O’Russei market, indicated that the price of one kilo of pork meat increased to more than 20,000 riels (~$5) before the Cambodian New Year. Following the New Year celebration, the price of one kilo of pork dropped to 19,000 riels ($4.75) because the government allowed the import of live pigs, following a short import ban.

Ms. Chak Ieng indicated that the price of chicken is about the same as the price of pork, but the price of beef increased to more then 30,000 riels (~$7.50) per kilo: “It’s because Samdach Hun Sen made a lot of noise, that’s why the price is stable, otherwise, it would be just like beef also, it keeps on increasing nonstop.”

Merchants along various markets in Phnom Penh indicated that dry goods, like rice, soy beans, peanuts, mung beans, corn, lotus seeds, etc… saw their price increased to more than it was before the New Year, the exception being the dry season rice where the price of a kilo lowered from 2,500 riels to 2,200 riels ($0.63 to $0.55).

Song Kheng indicated that the price of cereal increased because of the low supply within various provinces, and the price of peanuts increased from 6,000 riels ($1.50) to 6,500 riels ($1.63).

Sinuon, a seller at the Poipet market, indicated that the price of beef and pork lowered by 10 Baths per kilo (about 1,200 riels ~$0.30): “A few days back, one kilo was 18,000 riels ($4.50), so the price was reduced by 10 Baths.”

Lok Lin, an owner of a rice mill in Thmor Puok district, indicated that the price of rice is stable: “For one bé, i.e. 50 kilos of rice, it cost 1,200 Baths (~153,500 riels or ~$38.31) … I don’t know how much it is in Khmer riels, here my prices are in Baths only.”

In Kampong Cham and Kratie provinces, local villagers claimed that the price of rice, fish, meat, vegetables did not rise after the Cambodian New Year.

Along the southwest provinces, after the New Year, the price of rice decreased, but the price of fish, meat, vegetables increased somewhat. In Phnom Penh, the price of gasoline, diesel at major gas stations, such as Caltex, Total, PTT and Sokimex, is now increased by 200 riels ($0.05) per liter.

A taxi driver from Svay Rieng province indicated that the price of gasoline in Bavet is 4,000 riels ($1.00) per liter, but it is only 3,800 riels ($0.95) only in the provincial center.

On Wednesday 02 April, Prime minister Hun Sen indicated that there are 4 problems that cause inflation: (1) the price increase of oil on the international market, (2) the lower exchange rate of the US dollars, (3) the necessity to increasing food production, and (4) the use of cereal for bio-fuel production.

Hun Sen said that his government resolved the inflation problem by increasing the salary of factory workers and civil servants, by subsidizing the price of electricity, and by the sale of rice at low cost in various markets in Phnom Penh city.

It should be noted that, after the New Year celebration, government workers in charge of low cost state rice sale, indicated that the government stopped selling this rice on the market.

Rice price increase: The Min. of Commerce accuses middlemen manipulating the prince, the Min. of Economy accuses foreign buyers from Thailand and VN

Gov’t accuses rice price increase on instigators

Tuesday, March 25, 2008
Everyday.com.kh
Translated from Khmer by Socheata

Officials from the ministry of commerce said that the sharp increase in the price of rice in the past 2 weeks was caused by middlemen shaking up the price. On his part, Kep Chuktema, the governor of Phnom Penh, believes that there could be people behind the instigation of this situation, this is why he called on the population to remain calm because the government is currently looking for these instigators. The Rasmei Kampuchea reported that on 24 March, the cheapest rice saw its price increasing from 2,000 riels ($0.50) per kilo to 2,300 riels ($0.58). The good quality rice, such as the Phka Mlis (Jasmin), Phka Kh-nhey (Ginger flower), saw their price rising up to 3,500 to 4,500 riels ($0.88 to $1.13) per kilo. An official from the ministry of commerce said on Monday that the ministry is looking to find the cause of this price increase. He said that based on preliminary report, it appears that middlemen are shaking up the price in combination with the approaching election. This official said that along the provinces of Prey Veng, Kampong Cham, Pursat, and Battambang, there is no much change in the price of rice. Kep Chuktema said that the increase in the price of rice is a bad sign because there are instigators behind it, he said that he ordered the police to look for these instigators to arrest them and bring them to justice.

Panic rice buying to try to beat price inflation

22 March 2008
Everyday.com.kh
Translated from Khmer by Socheata

In the last few days, Phnom Penh city dwellers start to buy rice in a panic hoarding mode because they are concerned that the price of rice will significantly increase in the future. Recently, the price of rice has been steadily increasing without any end in sight. The Koh Santepheap newspaper reported that the price of rice has increased dramatically: one kilo of rice has been increasing by about 1,000 riels ($0.25) more than the normal going rate. The price increase stems from their purchase by foreign traders from Vietnam and Thailand who are coming in large drove to buy rice in Cambodia in an anarchic manner. Cambodian people are currently concerned about the increasing price of rice because the next crop season will not take place until 8 more months. According to claims made by rice sellers near the Phnom Penh train station, the price of rice has increased significantly beyond its normal price by more than 1,000 riels ($0.25) per kilo in the past 20 days. The price increase also instills concerns among Phnom Penh city dwellers who are starting to hoard them as well. People who normally would buy one bag of 50 kilos of rice, are now hoarding 2 to 3 bags at a time. Rice sellers said that a bag of No. 1 Phkar Mlis (Jasmin) rice which in the past cost between $18 to $20 only, now fetches $40 per bag.

Keat Chhon worries about rice shortage, Tao Seng Huor says no worry: Are they working for the same gov’t?

Friday, January 18, 2008
Everyday.com.kh
Translated from Khmer by Socheata

Keat Chhon, the minister of economy and finance, is concerned about rice shortage this year because the farmers are selling their rice to businessmen from neighboring countries for export. Speaking to reporters outside the National Assembly building on Wednesday, Keat Chhon said that farmers living along the borders with Thailand and Vietnam, sold their rice to businessmen from these two countries, rather than transporting them to Phnom Penh city for sale. Keat Chhon said that the large amount of rice sale to neighboring countries is a cause of concerns for him because of potential rice shortage this year. He said that it is regrettable that neighboring countries came to buy our rice and thereby causing the price increase this year. However, Tao Seng Huor, the deputy director of the council for rural development and agriculture, said that the government should not prevent farmers from exporting their rice because there is a surplus of 2.3 million tons of rice. Tao Seng Huor said that we shouldn’t worry about rice shortage.