The market will remain favorable for Vietnam's rice exports through the first quarter of 2023.
Source: Unsplash
Vietnam is on track to export a record seven million tons of rice by 2022, with revenues of US$3.5 billion, made possible by the price, now the highest in the world, and a larger share in major markets.
Data from the Ministry of Industry and Trade reveal that the volume of rice exports in the first eleven months was 6.7 million tons valued at US$3.24 billion, a year-on-year increase of 16.3% in quantity and 6.9% in value.
Chairman of the Vietnam Food Association (VFA) Nguyen Ngoc Nam noted that Vietnamese rice export prices have already surpassed those of Thailand to lead the market.
At present, Vietnam’s 5%-broken rice is being offered at $438 per ton, up $10 per ton, and 25%-broken rice at $418, up $10. Compared to those from Thailand, Vietnamese rice is $20 higher per ton.
"Not only white rice but also fragrant rice and Japonica from Vietnam are now in high demand," Nam said, referring to prices of fragrant rice for export to the Middle East and Europe at $600 a ton and Japonica at $700.
Focus on exports
In the 11-month period, Vietnam’s rice exports to the Philippines rose by 18% to $1.39 billion for nearly three million tons, accounting for 44.9% of total volume and 42.9% of revenue. China came in second with 808,000 tons for $408.5 million, and Ivory Coast at third with 655,600 tons for $294 million.
The export volume to RCEP member countries hit 4.42 million tons worth $2.09 billion, up 17% in quantity and 9.1% in value, and those from CPTPP at 544,000 tons of $263.1 million.
According to experts, the situation will remain favorable for Vietnam’s rice exports until the first months of 2023.
China, one of the world’s largest rice exporters, has now focused on the domestic market due to the impacts of the Covid-19 pandemic, while India put a ban on the export of broken rice and restricted the sale of 5% broken white rice.
Source: HANOI TIMES
Read more: Rice Industry Report