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Yang Saing Koma
ARUN International Symposium
         6-7 September, 2012
CEDAC
Organic Rice   Storage +
                             Marketing   Shop and
 Production    Processing
                              & Sale       other
  (Farmer        (Private
                               (SKC)      private
supported by    Rice Mill)
                                          retails
   CEDAC)
CORB : production, storage, processing, sale
and marketing support services to rice farmers
CORB seeks to achieve following social
objectives by combining development and
business approach:
  Improving livelihood for organic rice farmers
  Contributed to sustainability of rice
   production systems
  Contributed to improved public health
   Around 1.8 million rice farmers families (60 %
    of Cambodia population)
   Issues of rice farmers:
- Lower yields, higher expenses on external
input
- Lower prices, prices determined by traders
- Soil degradation and pollution
 - Health problem
 - Lack of trust in cooperatives
   CEDAC as Cambodian NGO set up in August
    1997 to work for the improvement of livelihood
    of farmers, with > 100,000 farmers supported to
    improve rice production
   2004: Integration of organic rice marketing
    support services through opening pilot shop in
    Phnom Penh
   2009: Established Sahakreas CEDAC (SKC) to be
    responsible in sale and marketing of organic
    food products, especially organic rice,
   2012: Introduction of the rice mill cooperative
    initiative
   Company owned by CEDAC and farmers
   Set up in 2009 to provide sale and marketing
    services to farmers
   Current main products: organic rice, wild
    honey, traditional rice wine and palm sugar
   Market: Phnom Penh, USA, Ho Chi Minh City
   Number of organic rice farmers : 2000
    families supported by CEDAC projects
   Main investment partners: Oiko Credit and
    ARUN, mainly in paddy procurement
   Procurement of paddy
   Storage (private warehouse and own
    warehouse)
   Milling (private rice mill)
   Packaging
   Distribution and sale services
   Export services
   Organic rice brand development
   Technical support services to small rice
    farmers to increase rice production and to
    produce organic fragrant rice with lower
    cost/zero expenses on external inputs
   Quality control (organic certification) services
   Producer organizations development and
    management support
   Consumer education and raising awareness
    on organic food and organic farming
27.10.2012
   CEDAC support: Improved production with lower
    cost on external input, improved producer
    organization, improved soil fertility
   SKC business: improved access to market and
    higher prices for farmers, increased motivation to
    work together in producer organizations and to
    produce higher quality rice
   CEDAC + SKC = higher net income for rice
    farmers, improved cooperation among farmers,
    change of power relationship, laying foundation
    for financial sustainability of the whole operation,
   Growing demand of organic rice, domestic and
    international markets
   Foundation for CEDAC organic rice laid, including
    brand popularity, distribution and retail networks
   Increasing number of rice farmers supported by
    CEDAC producing rice surplus for the markets
   Donors’ support to CEDAC work with rice farmers
    to improve rice production
   Favorable government policies to support rice
    business and rice export
   Improve more benefits to farmers by
    integration of community-based rice mill
    cooperatives (RMC) into the systems
   Improving profits to ensure the financial
    sustainability and autonomy the whole
    operation of CORB
   Expanding the benefits of CORB to more rice
    farmers, up to 100,000 farmers by 2022
   Producing can sell milled rice with higher
    price than paddy
   Access to rice husks for improving soil
    fertility and rice bran for developing animal
    husbandry and fish culture
   RMC can be the focal point for farmers to
    interact with each other and to interact with
    other stakeholders as well as future service
    provider centers for farmers
CEDAC
             Storage +
                           Marketing     Shop and
Production   Processing
                            & Sale         other
 (Farmer)      (Private
                             (SKC)        private
              Rice Mill)
                                          retails




             Storage +                      Retails
Production                 Marketing &
             Processing                    (Private
 (Farmer)                   Sale (SKC)
               (RMC)                      Business)
RMC
      PG


 PG



PG
           RMC   SKC   RMC




                 RMC
   Raising awareness and educating farmers on
    benefits cooperatives, especially RMC, and
    organic rice farming business
   Capital contribution from farmers to invest in rice
    mills and in procuring paddy (RMC investment
    fund)
   Changing the attitude of farmers in selling paddy
    to selling milled rice to get installment payment
   Developing RMC and SKC business and financial
    management capacity
   Developing human resources to applying
    business approach in development

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4. presentation skc

  • 1. Yang Saing Koma ARUN International Symposium 6-7 September, 2012
  • 2. CEDAC Organic Rice Storage + Marketing Shop and Production Processing & Sale other (Farmer (Private (SKC) private supported by Rice Mill) retails CEDAC)
  • 3. CORB : production, storage, processing, sale and marketing support services to rice farmers CORB seeks to achieve following social objectives by combining development and business approach:  Improving livelihood for organic rice farmers  Contributed to sustainability of rice production systems  Contributed to improved public health
  • 4. Around 1.8 million rice farmers families (60 % of Cambodia population)  Issues of rice farmers: - Lower yields, higher expenses on external input - Lower prices, prices determined by traders - Soil degradation and pollution - Health problem - Lack of trust in cooperatives
  • 5. CEDAC as Cambodian NGO set up in August 1997 to work for the improvement of livelihood of farmers, with > 100,000 farmers supported to improve rice production  2004: Integration of organic rice marketing support services through opening pilot shop in Phnom Penh  2009: Established Sahakreas CEDAC (SKC) to be responsible in sale and marketing of organic food products, especially organic rice,  2012: Introduction of the rice mill cooperative initiative
  • 6. Company owned by CEDAC and farmers  Set up in 2009 to provide sale and marketing services to farmers  Current main products: organic rice, wild honey, traditional rice wine and palm sugar  Market: Phnom Penh, USA, Ho Chi Minh City  Number of organic rice farmers : 2000 families supported by CEDAC projects  Main investment partners: Oiko Credit and ARUN, mainly in paddy procurement
  • 7. Procurement of paddy  Storage (private warehouse and own warehouse)  Milling (private rice mill)  Packaging  Distribution and sale services  Export services  Organic rice brand development
  • 8. Technical support services to small rice farmers to increase rice production and to produce organic fragrant rice with lower cost/zero expenses on external inputs  Quality control (organic certification) services  Producer organizations development and management support  Consumer education and raising awareness on organic food and organic farming
  • 9.
  • 10.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16. CEDAC support: Improved production with lower cost on external input, improved producer organization, improved soil fertility  SKC business: improved access to market and higher prices for farmers, increased motivation to work together in producer organizations and to produce higher quality rice  CEDAC + SKC = higher net income for rice farmers, improved cooperation among farmers, change of power relationship, laying foundation for financial sustainability of the whole operation,
  • 17. Growing demand of organic rice, domestic and international markets  Foundation for CEDAC organic rice laid, including brand popularity, distribution and retail networks  Increasing number of rice farmers supported by CEDAC producing rice surplus for the markets  Donors’ support to CEDAC work with rice farmers to improve rice production  Favorable government policies to support rice business and rice export
  • 18. Improve more benefits to farmers by integration of community-based rice mill cooperatives (RMC) into the systems  Improving profits to ensure the financial sustainability and autonomy the whole operation of CORB  Expanding the benefits of CORB to more rice farmers, up to 100,000 farmers by 2022
  • 19. Producing can sell milled rice with higher price than paddy  Access to rice husks for improving soil fertility and rice bran for developing animal husbandry and fish culture  RMC can be the focal point for farmers to interact with each other and to interact with other stakeholders as well as future service provider centers for farmers
  • 20. CEDAC Storage + Marketing Shop and Production Processing & Sale other (Farmer) (Private (SKC) private Rice Mill) retails Storage + Retails Production Marketing & Processing (Private (Farmer) Sale (SKC) (RMC) Business)
  • 21. RMC PG PG PG RMC SKC RMC RMC
  • 22. Raising awareness and educating farmers on benefits cooperatives, especially RMC, and organic rice farming business  Capital contribution from farmers to invest in rice mills and in procuring paddy (RMC investment fund)  Changing the attitude of farmers in selling paddy to selling milled rice to get installment payment  Developing RMC and SKC business and financial management capacity  Developing human resources to applying business approach in development