For a more diversifed export structure and a better distribution of domestic income
in Cambodia, agriculture and agro-industry have been specifed as export potentials.
While empirical impact studies within those sectors have been limited, this paper
attempts to assess the impacts of the promising export sectors on domestic economy
by applying a computable general equilibrium framework. Results show that
the increase in export demand for the selected sectors—food–beverage–tobacco,
rubber industry, and agriculture—generate favorably on growth, employment, and
household welfare, with the contributions of the former two higher than that of the
latter, suggesting that priority should be given to agro-processing exports to increase
production chain. The fndings indicate that in order for the trading sectors to expand
the benefts, productivity growth of low-skilled and medium-skilled labor is crucial. The
infuence of the selected sectors would be greater when the demand disturbance is
combined with supply-side efciency measure to promote the export orientation.

• Potential roles of export orientation of Cambodia’s agriculture and agro‑industry: an application of CGE analysis