Exports of rice to decrease sharply

Saturday, Oct 05, 2013 14:23

By September 30, Vietnamese rice export volume has reached 5.2 millions tonnes. — File Photo

HCM CITY (Biz Hub)  — Viet Nam's rice export will reach 1.8 million tonnes in the fourth quarter this year, 128,000 tonnes lower than planned due to an export decrease in September.

This year, the country's rice export is planned to stand at 7 million tonnes, according to the Viet Nam Food Association (VFA).

Viet Nam's main importer is still China but the market is becoming increasingly competitive with fierce rivalry coming from Pakistan, Myanmar, African nations and familiar competitors - Thailand and India.

According to the VFA, the world rice export market faced difficulties as supply outstripped demand, while rivals from Thailand implemented generous price subsidies for farmers and India's export volume rallied.

Thailand also benefited from the decreasing cost and rising global demand of both white rice and parboiled rice, which it specialises in growing.

In the fourth quarter, it is estimated that the rice demand of African countries will range between 3-3.5 million tonnes while Indonesia will import 500,000-700,000 tonnes, making both attractive markets for Vietnamese exporters.

By September 30, Vietnamese rice export volume had reached 5.2 millions tonnes at an average price of about US$429 per tonne. However the rice volume decreased $13.79 per tonne over the same period last year. — VNS

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