Kampong Thom’s cashew farmers are seeking more reliable markets, clearer purchasing contracts and better protection against weather related losses as the province works to strengthen its cashew value chain with support from the Public Social Private Partnerships for Ecologically Sound Agriculture and Resilient Livelihoods in the Northern Tonle Sap Basin (PEARL) Project. The project aims to help farmers produce higher quality cashews at lower costs, access more reliable markets, increase profits and become more resilient to climate change. The concerns were raised during a workshop to validate the agricultural value chain roadmap in Kampong Thom on Tuesday under the PEARL Project, which is being implemented in Kampong Thom, Preah Vihear, Oddar Meanchey and Siem Reap provinces. The event brought together representatives from the Ministry of Agriculture, Forestry and Fisheries (MAFF), the Food and Agriculture Organization of the United Nations (FAO), local authorities, farmers and other stakeholders. Cashew has been identified as Kampong Thom’s key value chain, with the project focusing on the sector from cultivation, harvesting and collection to drying, storage, processing and market access. A major concern is the drying of cashew nuts before sale. While dried cashews fetch higher prices than fresh nuts, farmers risk losses if markets and purchasing conditions are not secured in advance. Data presented at the workshop showed wet cashews can sell for about 5,000 riel ($1.25) per kilogramme, compared with 6,500 riel for dried cashews. Prices vary according to quality, moisture content and buyer requirements. Prasat Sambo Rong Roeung Modern Cashew Farming Community president Nyoung Thim said the community had spent about two years trying to secure contracts with companies to sell dried cashews but failed due to pricing and conditions. Rain during drying can increase moisture levels and reduce marketable output. He cited a previous contract to dry 150 tonnes, saying only about 80 tonnes were delivered because of weather-related losses. The community has asked the project to help identify buyers willing to purchase dried cashews under clear conditions, allowing farmers to calculate costs and profits before investing. A value chain study found that Kampong Thom has about 4,300 cashew-growing households, average yields of around 1.5 tonnes per hectare. About 98% of harvested cashews are sold to neighbouring countries, while only 2% go to domestic processors, who often lack capital to buy and stock large volumes during volume. MAFF Secretary of State and PEARL National Project Director Meas Pyseth said increasing cashew value requires more than higher selling prices. Farmers must also produce quality products that meet buyer requirements and remain competitive. “When we talk about the cashew value chain, the focus is on ensuring that every link in the value chain works well – farmers, collectors, processors and those responsible for storage – so that cashews can generate greater value,” he said, adding that reducing production costs is another way to raise incomes. Pyseth noted that the roadmap was developed through consultation with farmers, agricultural communities, technical officials and other value-chain actors rather than being imposed by the project. Feedback on prices, drying, markets, working capital, processing and weather impacts will be incorporated into the roadmap. FAO-PEARL Senior Project Officer Daniel Mate said the project aims to help smallholder farmers and other value-chain actors strengthen their capacity to adapt to climate change. “That is the reason one of our core interventions here is to support the construction of drying yards,” Mate said. Mate noted drought is among the major challenges affecting cashew production in Kampong Thom and stressed that farmers must be involved in developing solutions suited to local conditions. He said the support would continue for the next three to four years, with the overall goal of benefiting about 450,000 people, equivalent to approximately 100,000 smallholder farmers. In Kampong Thom, construction has begun on 10 drying yards, with six more planned. The project also plans to provide 17 tractors, nine harvesters and solar-powered water pumps to help farmers maintain production during periods of insufficient rainfall. The project also supports 41 communities in the province, including 33 cashew agricultural communities, four protected-area communities, three community forestry groups and one geographical indication product community. It applies environmental and social safeguards, including prohibitions on activities that could contribute to deforestation or expand cultivation into protected forest areas. Khorn Sdok, a stakeholder engagement, roadmap implementation and market development expert, said community capacity-building should go beyond providing equipment and infrastructure to include business and financial management skills. Communities need to understand revenue, expenditure and profit and have clear business plans before borrowing money or investing, he said. The project will continue training communities through the end of 2026 on computer use, technical skills, market identification, study visits and business planning. Sdok said drying yards alone would not guarantee higher profits and that communities also need information on buyers, market prices, required moisture levels, drying costs and available working capital. The roadmap validation process highlights that increasing the value of Kampong Thom’s cashews will require more than increasing production or building drying facilities. Reliable markets, clear purchasing contracts, lower production costs, better processing and storage, sound financial management and climate-adaptation measures will all be needed. The six-year PEARL Project runs from 2023 to 2028 with a budget of $42.9 million, including $36.2 million from the Green Climate Fund and $6.7 million in government funding. It supports four value chains: cashews in Kampong Thom, vegetables in Siem Reap, organic rice in Preah Vihear and Keo Romiet mangoes in Oddar Meanchey and is collectively implemented by the government, MAFF, FAO, the Ministry of Environment and other partners.