EU Rice Tariffs ‘A Weapon to Kill Cambodian Farmers’

Phnom Penh Jan. 18 – The Ministry of Commerce has expressed regret over the EU’s imposed tariff on Cambodian rice; and considers the measure “a weapon to kill Cambodian farmers”.

The ministry announced it will formally protest against the decision, in accordance with international legal and trade rules, according to a press release from the ministry.

The Ministry of Commerce said that the European Union’s decision on 17 January 2019 did not fully comply with international trade rules and technical standards, and goes against previously good relations and cooperation between Cambodia and EU.

The statement emphasized that the EU’s decision will murder Cambodian farmers and families which are indebted to credit institutions.

“The decision to introduce EU market protections on Indica Rice originating from Cambodia has the effect of depriving Cambodian farmers’ income and forcing them to commit suicide,” the statement said. “He and his family are in debt with credit institutions who have given them loans. “

In the statement, the ministry also confirmed that it is reviewing the decision based on legal aspects and international trade rules to plead against the decision that the people of Cambodia feel is unjustified.

The Ministry of Commerce has also called on the European Commission to review its decision on the basis of international trade rules.

The EU will impose import taxes on rice of Cambodia and Myanmar, which are exported to 28 member EU Member States, for a period of three years from 18 January 2019-2021.

The tax will cost 175 euros per ton in the first year, 150 euros the second year, and 125 euros the third year.

The European Union is an important market for Cambodian rice. In 2018, Cambodia exported nearly 300,000 tons of rice to Europe, an equivalent to 43% of the total export volume of 620,000 tons.

The EU’s decision on Cambodian rice was made after complaints from Italy and Spain, saying Cambodia and Myanmar rice imported into Europe had affected their producers.

Information from Fresh News

Photo: GIZ