“Amru has improved farmer livelihood in the context of farmers have received more incentive price from the organic rice than the normal rice, farmers’ capacity and productivity have been also improved (around 20% to 30% gains). So in total, farmers receive around 50% more than the normal conventional practices.”AMRU’s Chairman, Song Saran said.
On 29th September 2020, Oknha Song Saran, CEO of AMRU Rice Company, has attended as a speaker in the Virtual Event of the 3rd ASEAN Inclusive Business Summit, which is to address the challenge ahead in the inclusive business ecosystem in ASEAN.
Presenting about the AMRU Rice works the sustainable business, mainly in agriculture, Oknha Saran sharing the perspective on the strategy of finding product to champion and find the niche market, in which he believes that it is the key strategy to build AMRU to be one of leading rice exporter in Cambodia.
As the Summit is the gathering event via digital platform, attended by representatives from the inclusive business ecosystem in ASEAN, Oknha Saran, represented from AMRU Rice, has not only participated, but also share the wise perspective on milestones of Cambodia Rice Sector, moving to modernization in order to benefits the Cambodia farmers as the whole.
By benefiting the farmers’ livelihood, AMRU has quite good reputation by having more and more farmer to join the supply chain. In 2020, there’re 10000 farmers joining AMRU in 2 categories, the organic rice around 6000 farmers, and sustainable rice platform about 4000 farmers, this is the significance growth as first start the project in 2014, there were only 100 farmers.
Back to 2014, Oknha Song Saran, mentioned that “the company has good connection by trying to link the market for the smallholder farmer to produce organic rice supply under European Union (EU) standard and EU organic standard.”
Moreover, up until now, AMRU has been invest and expand the capacity in the rural area, mostly in highland poor provinces in Cambodia. AMRU’s work is getting quite close to 4Ps mechanism: Public, Private, Producer, and Partnership. During the presentation in the virtual event, Oknha saran has raised up about how to engage farmer in the contract farming, which is mainly to build the capacity of farmer.
“I believes that this ultimate works is the AMRU’s Cooperate Social Responsibility (CSR), as it’s become more sustainable and create more job, as well as bring more supply chain to the world”, said by Oknha Song Saran.
Block chain has been also raised up in the presentation. Oknha Saran said that in 2020 AMRU has partnered with OXFAM and Dutch Company to run the block chain, where connect farmer to the consumer directly within transparency, integrity, and accessibility. AMRU is happy to work on this business model and believe that there will be farmer joining.
“Within this business model, Amru has improved farmer livelihood in the context of farmers have received more incentive price from the organic rice than the normal rice, farmers’ capacity and productivity have been also improved (around 20% to 30% gains). So in total, farmers receive around 50% more than the normal conventional practices. Also, this help in reducing the cost and improving productivity under this organic rice project,”AMRU’s Chairman, Song Saran said.
Mentioned in the bio of the speaker on the 3rd ASEAN Inclusive Business Summit website, Oknha Song Saran, the CEO of the Amru Rice, and president of Cambodia Rice Federation (CRF), has grown his rice export to 40 countries across the globe over 320,000 tons from 2012 to 2019. The company has its niche market which is the organic food and sustainable rice, resulting in the contract farming business model working with over 66 coops with 10,000 farmers.
This 3rd ASEAN business inclusive Summit, organized by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) in collaboration with the Inclusive Business Action Network (iBAN) and the Organization for Economic Co-operation and Development (OECD). It is the online event to share learnings in the promotion of inclusive business and present the Guidelines for the Promotion of Inclusive Business in ASEAN. The Summit will also identify and explore partnerships that can help respond and recover from the COVID-19 crisis.
More info about the summit: https://www.aseanibsummit2020.com/