GIEWS Country Briefs

Reference Date: 20-December-2012

FOOD SECURITY SNAPSHOT Slight decrease in 2012/13 main wet-season paddy crop estimated due to dry spell followed by floods Rice prices remain relatively firm mainly in response to the adequate supplies The overall food security situation is generally satisfactory but concerns remain for the flood-affected population

Slight decrease in 2012/13 main wet-season paddy crop estimated due to dry spell followed by floods

Harvesting of the 2012/13 main rainy season began in December and will continue until end of February. The season started in June-July with normal rains, which was followed by a period of below average rains until early September. According to the Ministry of Agriculture, Forestry and Fisheries (MAFF) the dry spell affected some 140 647 hectares of rice fields (or about 5.8 percent of the total cropped area for the main wet season), mainly in Oddar Meanchey and Battambang in the north-west, Svay Rieng and Prey Veng in the south-east and Takeo in the south-west. Furthermore, a period of heavy rains in mid September caused localised flooding across western parts of the country. Although, the rains provided much relief to soil moisture and enabled farmers to continue rice planting, they are also estimated to have damaged some 45 587 hectares of paddy crop, particularly in Banteay Meanchey. However, support provided by the government through its, policy emphasis on rice cultivation, including increased use of fertilizers and improved seeds, as well as adequate irrigation supplies are expected to help mitigate the negative impact of the erratic weather.

FAO’s current production forecast of the ongoing 2012 main wet season paddy crop is set at 6.6 million tonnes, some 1.5 percent below the previous year’s record harvest of the corresponding season. Including the forecast output of the next secondary dry season, the 2012/13 aggregate paddy production is forecast at 8.7 million tonnes, slightly below the record crop the year before, but the second best on record.

Harvesting of the 2012 maize crop was completed in October. According to the official estimates, the area to maize increased by almost 10 percent, reflecting farmer’s positive reaction to higher maize prices.

Overall, the cereal output for 2012 is estimated at 9.5 million tonnes, similar to last year.

Forecast of cereal exports in 2013 marketing year (January/December) is put at a record level of 1.6 million tonnes (comprising rice about 1.3 million and maize about 250 000 tonnes), some 7 percent above the previous year. Some rice is exported formally but much of the milled rice and/or paddy pass through cross-border trade to Viet Nam and Thailand.

Rice prices remain relatively firm mainly in response to the adequate supplies

Wholesale prices of rice have remained relatively stable or declined in recent months reflecting adequate supplies from the ongoing main wet season harvest. In November 2012, wholesale prices of mixed-rice in Phnom Penh showed a decrease of 18.2 percent from its high level a year earlier. Rice prices in Battambang market, which have been increasing since May 2012, decreased in November and were 13.7 percent lower from the corresponding month last year. Prices are generally lower in Battambang, the main rice producing area of the country, located in the west bordering Thailand.

The wholesale prices of soybean in most markets have remained stable since July 2012.

Latest figures from the National Institute of Statistics (NIS) indicate that a year-on-year increase in the Consumer Price Index (CPI) in July 2012 was 1.3 percent, mainly due to increases in the cost of food and non-alcoholic beverages.

The overall food security situation is generally satisfactory but concerns remain for those affected by floods

As indicated by the FAO/WFP Joint Report published in April 2012, at the national level, overall availability of rice in the country is satisfactory. However, at the household level, access to a stable, sufficient and diverse diet remains a challenge and is manifested in the high levels of chronic and acute child malnutrition.

Furthermore, the country has been hit by floods for the second year in row. Reportedly, this year’s floods affected over 14 322 households, damaged or destroyed houses, schools, infrastructure and roads.

According to the Report rehabilitation of the damaged farm infrastructure is considered as an urgent priority. In the short ‐ and medium ‐ term, the mission recommended scaling up of targeted social safety net programmes to enhance coping capacities, protect assets and increase income and access to food among the poorest and most vulnerable households, including those most affected by the floods.

Furthermore, the ongoing efforts to strengthen and expand multi ‐ sectoral, community ‐ based nutrition programmes, focusing on the critical window of opportunity from conception until two years of age, are essential to address the multiple causes and high levels of malnutrition. Nationwide scale up of priority health sector nutrition interventions, including micronutrient supplementation, management of acute malnutrition and communication on infant and young child feeding practices and expansion of food fortification initiatives to improve the nutritional status of the entire population are also critical actions. Improving hygiene and sanitation practices, given most households’ poor access to adequate sanitation facilities, is a key to improving nutrition outcomes of Cambodian children.

The Mission also recommended that the rice development strategy, emphasizing increased production and exports of the commodity, should be examined with consideration of the full environmental costs as well as the long term sustainability of the rice production system. In this regard, adoption of conservation agriculture, crop rotation, diversification and other sustainable production practices should be examined.