HANOI, November 9 – Vietnam’s renowned rice exports have shattered price records, with the highest rates seen in the past decade, the Vietnam News Agency reported. Amidst a burgeoning global demand, the nation’s premium grains have commanded prices that mark a historical peak, with a $10 increase in 5 percent broken rice now trading at $653 per ton, and 25 percent broken rice reaching a zenith at $638 per ton.
Vietnam’s reputation for quality
Economic analysts attribute this price uptick to Vietnam’s reputation for quality, which has entrenched the country as a favoured choice among international consumers. The fiscal reverberations of this surge are palpable, as Vietnamese exporters optimistically predict the maintenance of a $640-650 per ton price range as 2023 draws to a close.
$4 billion exports
This price escalation parallels a surge in turnover, with Vietnam exporting over 7.1 million tons of rice, valued at $4 billion, in the first ten months of the year — up by 35 percent in value and 17 percent in volume compared to the previous year, as per the General Department of Vietnam Customs. The Ministry of Agriculture and Rural Development anticipates exports to crest at 8 million tons by year-end, underscoring the sector’s vibrancy. However, these impressive statistics are juxtaposed against internal market tensions, with domestic prices outpacing export rates and stockpiling tendencies prompting supply concerns — issues that experts like Do Ha Nam, Vice-Chairman of the Vietnam Food Association, suggest require strategic navigation.
Global palate inclined towards Vietnam’s rice
The global rice market, where Vietnam stands as a key player alongside the likes of India and Thailand, is observing how the country balances these domestic challenges with its international commitments. With the global palate increasingly inclined towards Vietnam’s rice offerings, the focus now shifts to how the country will sustain this growth trajectory in an ever-fluctuating market landscape.
Vietnam’s agricultural triumphs serve as a testament to our robust and dynamic market strategies. However, to continue this momentum, we must address our internal pricing mechanisms and supply chain efficiencies,” states a senior economist from the Vietnam Institute of Economic and Policy Research.
As the country tilts towards a promising economic harvest, the resilience of its rice farmers and the agility of its market strategies will be crucial in maintaining Vietnam’s prized position in the international arena.
