Friday, 31 July 2009

Most Members of the Cambodian Rice Millers Association Do Not Get State Funds to Buy Paddy Rice to Store It – Thursday, 30.7.2009

Posted on 31 July 2009
The Mirror, Vol. 13, No. 623
http://cambodiamirror.wordpress.com/

“Phnom Penh: A three-page document with the names of medium and big scale rice millers in three districts of Battambang shows that they do not receive benefits from the Rice Millers Association. The source of such benefits is US$18 million that the government, through the Rural Development Bank, provides to the Rice Millers Association each year, to be distributed to rice millers that are members of the association, to buy paddy rice for storage. But the director of the Rural Development Bank, Mr. Son Kunthor, and the president of the Cambodian Rice Millers Association, Mr. Phou Puy, rejected this claim.

“Owners of eleven rice mills in Sangkae, Thma Koul, and Moung Russey districts in Battambang claimed that they have difficulties to gain benefits from the association. At least five of them said that they have never received any benefits since they became members of the Rice Millers Association.

“A member of the Rice Millers Association, Mr. Touch Kim Huot, told Deum Ampil by phone in the evening of 29 July 2009 that the Rice Millers Association had contacted him, inviting him to borrow money from the association, but the amount of money offered was very little, so that he could not do anything with it. He added, ‘Therefore, I didn’t borrow from them; I don’t want to risk anything, because the amount of money was too small. I have not borrowed money from the association for four or five years.’ According to this rice miller, the Rice Millers Association requires to deposit real estate before anyone can borrow money from the association. As he has only one piece of real estate, he cannot put it as mortgage to the Rice Millers Association. He might better ask for a loan from banks where, through mortgaging the same real estate, he can request much more loans.

“Another owner of a rice mill in Thma Koul in Battambang, Meng, said, ‘I have never asked for a loan, because there is no benefit from it.’ He said that when he first became a member of the Rice Millers Association, he attended their meetings, but after he found that there was no benefit from it, he then normally did not attend, even when he was invited for a meeting. Without criticizing anybody directly, this rice miller said, ‘Only their partisans can get something, as for us, we have never received anything.’

“Besides the above two rice millers, some others who have received small amounts of loans complained about the complicated procedures and the commissions to be paid. Responding to Deum Ampil via telephone, another rice miller, Cheng, said that the procedure to request for a loan from the association is complex. Just for submitting the forms, one has to pay money, and after having received a loan, one month interest is taken immediately. When paying back the loan, one has to spend more for service charges to the association, which is responsible for taking the money back to the state in Phnom Penh. He said, ‘I decide to ask for a loan from the Canadia Bank, because it is easier.’

“Another rice miller from the Ou Ta Ki commune, Thma Koul, Battambang, said, ‘The association can offer loans, but 5% of the total loan must be paid in advance, and the interest rate is 0.5% per month. Actually, this expense is comparable to private banks. Therefore, to ask for a loan from a private bank is easier. Another thing is that the association has never assigned any work or supplied rice for me; they share only with their special members.’

“They complained about their difficulties in receiving benefits from the Rice Millers Association, and this disappoints some members to almost not attend the meetings. However, this does not apply to all, as some rice millers close to the Rice Millers Association president and his relatives can receive some benefits.

“Last week, both the president of the Cambodia Rice Millers Association, Mr. Phou Puy, and the secretary general in charge of the above affairs, Mr. Son Kunthor, rejected the above information and moreover, Mr. Phou Puy toldDeum Ampil briefly, ‘Don’t believe those ghosts!’”

Deum Ampil, Vol.3, #249, 30.7.2009
Newspapers Appearing on the Newsstand:
Thursday, 30 July 2009

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