Global Rice News

Vietnam’s Rice Export Prices Reach Record High

Vietnam’s rice export prices have reached a record high as the demand for high-quality products continues to rise globally. Farmers in different provinces have reported receiving higher prices for their rice crops.

In the Mekong Delta province of An Giang, a farmer named Hoa has stated that traders have been offering high prices for her Dai Thom rice. “I sold my rice for VND8,000 ($0.33) per kilogram last season, an unprecedented level. But now prices have climbed to VND9,000,” said Hoa, indicating a 12.5% increase.

Similarly, farmers in the Central Highlands and northern regions have experienced a similar trend. Dang, a farmer in the Central Highlands province of Kon Tum, shared that the traders offered him VND9,000 on Oct. 26. When he didn’t sell, they came back and offered him VND11,000 the next day, a 22% increase.

The Ministry of Agriculture and Rural Development has reported that rice prices have been consistently rising, especially in the northern and Mekong Delta regions. This rise in domestic prices has also led to an increase in export prices. Vietnam’s export price for rice is now $643 per ton for 5% broken rice, the highest mark in 15 years. This surpasses Thailand’s price by 13% and Pakistan’s price by 16%.

Exporters have attributed the rise in prices to the improvement in Vietnamese rice quality and the growing demand for rice globally. Additionally, the current Autumn-Winter rice season has produced a lower yield compared to previous seasons, resulting in a decline in supply.

The limited supply of rice has made it difficult for rice exporting companies to purchase enough rice to meet the demand. Traders have become hesitant to sign new export deals due to fear of not being able to fulfill the orders. as domestic prices are even higher than export prices these days. If domestic prices continue to stay at this level, exporters will have to sell at $650-680 per ton to gain profits.

Despite the challenges, demand for rice globally is expected to remain high, especially from countries like Indonesia, the Philippines, and China. China has been facing damages to its rice farming regions due to floods and storms, and Indonesia is still in need of importing 1 million tons of rice to fill its reserves.

In the first nine months of the year, Vietnam has exported 6.6 million tons of rice, and experts predict that the year’s total could reach up to 7.8 million tons worth $4.5 million, setting another new record for the country.

Source: e.vnexpress.net