Kandal Cold Storage (Phase 1)

Cambodia
Providing cold storage facilities to smallholder farmers and SME agribusinesses in Phnom Penh
Sector
Bulk Storage / Logistics
Total PIDG Commitment
USD 6.12m
Related SDG Goals
Project Overview
CompanyKhmer Cold Chain Company
SectorBulk storage / logistics facilities
CountryCambodia
Total Project CostUSD 19.7m
PIDG Commitment
  • Equity: USD 6.04m 
  • TA: USD 76k 
Dates of PIDG involvement
  • 2021 – Present 
Challenge

In Cambodia, temperature-controllable storage facilities are few, mainly privately-owned and operated by large conglomerates and food chains. These facilities are not accessible to small and medium businesses looking to import and export goods, nor to farmers who are looking to export their produce.  

Based on a feasibility study conducted, Cambodia’s demand for cold storage capacity is expected to grow ~79% to 317,076 m3 by 2030. 

Solution

PIDG has invested in a temperature-controlled cross-docking facility located adjacent to the Phnom Penh Autonomous Port (PPAP). The facility – Khmer Cold Chain – represents Phase 1 of the project situated in the Kandal Province on the national road No. 1, and in the vicinity of the Lower Mekong River connecting to Vietnam and China. Construction of this cross-docking facility completed in July 2023 and operations have commenced since Q3 2023.   

Impact

People

The project will handle produce sourced from smallholder farmers, either directly or through aggregators. 

Wider economy

The cross-docking facility can serve Cambodian and regional farmers, agribusinesses, food processors, pharmaceutical companies, food retailers and hotel/restaurant catering (HORECA) businesses.  

Market transformation

The project is first of a kind in terms of port-linked cold storage in Cambodia and it is expected to support the growth of the nascent cold logistic sector in Cambodia. 

Technical Assistance

Business skills training was conducted for female employees to upgrade their technical and soft skills needed for existing and future roles. 

HSES considerations

Gender Based Violence and Harassment prevention has been integrated into internal policy. 

Project News

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