Cambodia Investment Review
Cambodia is seeking to attract new investment into agricultural processing through an Australia-backed framework that could generate as much as $5.1 billion in economic value and create more than 100,000 jobs over two decades.
The Council for the Development of Cambodia (CDC) and the Australian Embassy brought together investors, agribusiness companies and industrial park developers on August 27 to present opportunities under Cambodia’s new Agri-Food Industrial Park (AIP) Framework.
Prime Minister Hun Manet approved the framework on May 29, 2026, as part of the government’s efforts to modernise the agricultural economy, expand domestic processing and strengthen Cambodia’s export competitiveness.
One Industrial Park Could Create 100,000 Jobs
According to a 2022 study conducted through the Australian government-funded Cambodia Australia Partnership for Resilient Economic Development estimated that establishing a single agri-food industrial park could contribute up to $5.1 billion to Cambodia’s economy over 20 years.
The project could also:
- Create more than 100,000 jobs, including over 56,000 positions for women
- Help more than 20,000 people move out of poverty annually
- Strengthen connections between agricultural producers and processors
- Increase domestic value-added production and agricultural exports
The framework is based on a private sector-led development model supported by government policies, investment incentives and facilitation measures.
CDC Introduces Enhanced Investment Support
The investment information session was presided over by Sun Chanthol, Deputy Prime Minister and First Vice Chairman of the CDC.
Officials presented the framework’s policy objectives, project eligibility requirements and an “AIP Qualified Investment Project Plus Support Package,” which provides enhanced incentives and investment facilitation for eligible developments.
Sun Chanthol said the framework would support inclusive economic growth while helping Cambodia modernise its agricultural value chains.
“The AIP Framework represents an important milestone in Cambodia’s efforts to modernise its agricultural economy, strengthen value chains and create an enabling environment for private sector investment,” he said.
Agro-processing has been designated as a priority investment sector by the CDC as Cambodia seeks to capture more value from agricultural products before they are exported.
Australia Backs Domestic Processing Push
Australia has supported the development of the framework since 2022, working with the CDC, the Ministry of Economy and Finance and public and private sector stakeholders.
Australian Ambassador to Cambodia Derek Yip said the framework could attract responsible investment while improving links between Cambodian farmers and processing businesses.
“As Cambodia navigates a complex global market environment, strengthening domestic processing can help build a more competitive and resilient agri-food sector, support rural livelihoods and food security and create new market opportunities,” Yip said.
Agriculture continues to employ more than one-third of Cambodia’s population. The sector generated more than $3 billion in exports during the first seven months of 2026, according to the joint statement.
The proposed industrial parks are expected to bring producers, processors, logistics companies and supporting services together in designated locations, potentially reducing production costs and improving access to export markets.
