Monday, May 5, 2014

Rice Tax Break Hopes to Strengthen Industry

5 May 2014

The Ministry of Finance has instructed that customs fees on milled rice exports should be scrapped in a bid to strengthen the industry and bolster sagging export figures.

Director-general of the general department of agriculture, hopes the government directive will enable the industry to bounce back and expand after milled rice exports dropped by 11 % during the first quarter. First-quarter exports fell from 95,228 tons in 2013 to 84,330 tons this year. The drop came as demand from Thailand slumped from 13,000 tons in 2013 to 300 tons this year as the country attempts to sell its huge stockpiles at below market rates following the collapse of its state rice-buying scheme.

The tax change will help increase milled rice exports. [The tax break] will speed up the rice export process, and rice exporters will be able to sell more milled rice and make prices competitive in the international market. But rice exporters must improve their capacity in rice processing and stocks for export.

Source:
http://www.cambodiadaily.com/business/rice-tax-break-hopes-to-strengthen-industry-57629/

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