HANOI: The Vietnamese government has told the trade ministry to seek to boost rice exports to the US, China, the EU and Japan as the country looks to manage an oversupply of the grain, according to a government document reviewed by Reuters.
The government has also told the central bank to extend loans to firms so they can stockpile rice, according to the document which was signed this week by Prime Minister Pham Minh Chinh.
“During the first months of 2025, the global rice trade has been evolving in a complicated manner with oversupply,” the document said, noting demand was weak and large importers had been prudent in purchasing and stockpiling rice.
Vietnam, the world’s third-largest rice exporter after India and Thailand, has seen its export receipts fall as the global market absorbs rising supplies from India and as Indonesia seeks to boost production.
Vietnam’s 5% broken rice has so far this year fallen 19% to $389 per metric ton from $481 per ton at the end of last year, according to the Vietnam Food Association.
Vietnam February rice exports up by 26.3% y/y at 696,000 T
Vietnam exported 1.24 million metric tons of rice valued at $675 million in the first two months of this year, up 18.9% in terms of volume from the same period a year earlier but down 4.9% in terms of value, according to government data.
Thailand’s commerce minister said on Thursday that Thailand was seeking cooperation with India and Vietnam to find ways to tackle falling rice prices.
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