Sustainable Assets for Agriculture Markets Business and ...

Sustainable Assets for Agriculture Markets Business and Trade (SAAMBAT) & Khmer Agriculture Suite (KAS)

Dr. Ty MakararavyDigital Technology Coordinator

15 July 2020Sunway Hotel Phnom Penh

1

Who we are?

01What we do?

02

Why we do?

03How we do?

04

Who we are?

3

Project at a Glance

4

Executing Agency Ministry of Rural Development (MRD)

Implementing Agencies MRD, MEF, TSC, Center for Policy Studies

Signed date 12 Sep 2019

Start Date and End Date 01/01/2020 – 31/12/2025

Project Cost USD 65.2m + USD 57.6m (EIB) + Funding Gap

Project Finance IFAD Loan, IFAD Grant, RGC, European Investment Bank (EIB)

Sector Agriculture, Rural Economic Development

Themes Rural infrastructure, Skill Development, Enterprise Development, Digital Technology

Target Area 50 “Economic Poles” selected based on ASPIRE and AIMS

Goal Reduce Poverty and Enhance Food Security

Development Objective Sustainably increase productivity of youth, enterprises and the rural economy

About Techo Startup Center (TSC)

▪ An entity established under an innovation arm of MEF▪ Supercharge an ecosystem where startups innovate and

grow▪ Run as an accelerator (technical mentorship)▪ Focus Area: Tech Startup, Platform Innovation▪ Visit us at https://techostartup.center

5MEF: Ministry of Economy and Finance

Role of TSC in SAAMBAT

6

COMPONENT 1VALUE CHAIN INFRASTRUCTURE

COMPONENT 2SKILL, TECHNOLOGY AND ENTERPRISE

Skill for Rural Youth

Digital Technology and Enterprise for Rural Value Chain

Policy Research and Strategic Studies

1 2

2.1

2.2

2.3

What TSC do in SAAMBAT

Improve accessibility of

agricultural products to the

market through digital

technology

Empower rural economy through

digital technology

Partner with key chain actors

and startups to solve

production and distribution

problems

SAAMBAT

7

What we do?

8

KAS CORE PLATFORM

Collect and analyze data from various sources by means of automation and semi-automation to serve the basis of any innovative applications

KAS SATTELITE APPLICATIONS

Be developed under different service providers whose applications (i.e KAS-FRESH, KAS-MARKET, KAS-KONTRA, KAS-TRACK, and KAS-BOOK, etc.) will share the data with the core platform

CHALLENGE FUND

Provide grants to startups in digital agriculture value chains to support development and testing of innovative digital applications

OUTREACH CAMPAIGN

Provide digital literacy, encourage adoption and link innovators to value chain actors (farmers, traders and entrepreneurs)

PARTNERSHIPS WITH PRIVATE

SECTOR

Form partnerships with commercial partners for roll-out of applications linked to KAS through downstream activities of Sub-component 2.2

RESEARCH AND BUILDING DIGITAL

ECOSYSTEM FOR AGRICULTURE

VALUE CHAINS

Conduct researches to identify issues and needs of value chain actors aiming to develop a favorable digital ecosystem.

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What is Khmer Agriculture Suite (KAS)?

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An open digital platform for agricultural value chains by harnessing the power of emerging technology

and innovation to address main challenges in productivity and distribution.

Why we do?

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Agriculture Sector

Source: https://www.statista.com/statistics/438728/share-of-economic-sectors-in-the-gdp-in-cambodia/

12

Snapshot of Digital Statistics in Cambodia

13

8.3Musers

1.9Musers

720Kusers

500Kusers

200Kusers

330Kusers

15.2MPopulation

0.52%Fixed-line Subscription

117%Mobile Subscription

84% Internet Subscription

10% Household Broadband

6(3 share > 90%)Mobile Operators

36Internet Service Provider

PEN

ETR

ATI

ON

SOC

IAL

MED

IAST

ATI

STIC

S

Source: MPTC (2019), National Census (2019), and Hootsuite (2019)

50,000+KMLand Fiber Optical Network

Challenges in Agriculture Value Chains

Source: ADB. 2017. E-Agriculture Platform for Kampong Cham Province—Kingdom of Cambodia. Mandaluyong.

Recommendations

Adopt a climate-smart agriculture

approach

Link stakeholders via an agri-business

portal

Make farm credit available

Manage production risks

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Programme Approach

ASPIRE

Production

Technology

Marketing Support

Climate Resilience

AIMS

Marketing Support

SAAMBAT

Infrastructure

Water and Energy

Skills, Technology

and Enterprise

Gov’t

Agencies

Associations

/Coops

Donor

Agencies

Private

Sector

Projects

15

Digitalization & Covid-19

▪ Consumer access to the internet has been rising rapidly but is dominated by the 15-25 age group.*

▪ Firms’ adoption of digital technologies remains low, even in exporting, foreign-owned firms.*

▪ Digital adoption has been slow in agriculture, manufacturing and government services.*

▪ Business and financial services are more digitalized.* ▪ Change of consumers’ behavior toward online transaction.▪ Food security and self sufficiency become crucial.

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*Ref: Banga. K. & te Velde. D.W. (July 2020). Cambodia, COVID-19 and inclusive digital transformation: a seven-point plan. Retrieved from https://set.odi.org/wp-content/uploads/2020/07/covid-19-_cambodia_July-2020-Final-1.pdf

How we do?

17

KAS Core Platform

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▪ Collect data▪ Pre-process data▪ Analyze data▪ Predict

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KAS Digital Platform

KAS Satellite Applications

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Core Platform

Collect Data and Analysis

MarketsFarmer Credit

Scoring for Loan

Resource Supply

Transportation &

Traceability

Digital Payment

Social Network for

Entrepreneurs/Farmers

Innovation Ring for

Startups

• Uber for machineries

• Smart agriculture

• Drone for fertilization

• Etc.

Challenge Fund

TAP4A

22

Outreach Campaign

Provide digital literacy

Support testing and roll out digital solutions

Link digital innovators to rural value chain actors

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Partnership with Private Sector

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• Facilitate market research and product testing through providing access to

the networks of rural value chain actors;

• Support awareness raising through the downstream activities;

• Support testing of applications and business models.

Research and Development of Digital Agriculture Ecosystem

25

Study of Agriculture Value Chains Digitalization in Cambodia

Study of Digital Agriculture Ecosystem

Thank You!