Phnom Penh, Sep 5 : Cambodia on Thursday launched a 27-million USD project to enhance sustainability, export, competitiveness and inclusiveness of the kingdom's cashew nut and pepper industries, said a joint press release.

Jointly funded by the European Union (EU) and Germany's Ministry for Economic Cooperation and Development, the five-year project will be implemented by the German Agency for International Cooperation or GIZ in collaboration with the Cambodian Ministry of Agriculture, Forestry and Fisheries in at least four key provinces including Kampong Thom, Kratie, Tboung Khmum, and Kampot.

The project will be focused on increasing local value addition and strengthening national systems governing food safety and climate-resilient agriculture, the press release said, Xinhua news agency reported.

It also aims to ensure decent work practices for workers, and to increase capacity of producers and processors to adopt sustainable practices and relevant standards to meet export requirements of markets, it added.

Minister of Agriculture, Forestry and Fisheries Dith Tina said the project represented a crucial step in strengthening Cambodia's cashew nut and pepper value chains.

"By embracing green growth and enhancing export competitiveness, we are not only improving the livelihoods of our farmers but also ensuring that Cambodia contributes to Carbon Net Zero and remains resilient in the face of climate challenges," the minister said at the event.

EU Ambassador to Cambodia Igor Driesmans emphasized the importance of investing in sustainability and social due diligence to expand access to niche markets for Cambodian agriculture products.

/IANS