- Business

Vietnam’s rice export to enjoy favourable conditions in 2023

– Vietnam’s rice export this year is expected to benefit from many favourable conditions, including high global demand, to reach 7 million tonnes, according to the Cong Thuong (Industry & Trade) newspaper.

The January report by the US Department of Agriculture forecast the global rice trade in 2023 will decrease about 4% from last year.

Large rice exporters are predicted to witness declines, including Argentina, Brazil, Cambodia, China, the EU, India, Laos, Malaysia, Pakistan, Paraguay, Russia, Senegal, Tanzania, Turkey, Uruguay, and the US. Among them, India and Pakistan may see the sharpest falls, down by some 2.1 million tonnes in total, due to lower output and domestic market stabilisation policies.

Climate change impacts and drought in the US, Europe, and China are posing a risk of supply shortages, the Foreign Trade Agency under the Ministry of Industry and Trade told a recent conference on rice export.

Aside from rising global demand, improved quality has also boosted importing countries’ demand for Vietnamese rice, the agency noted, expecting an export volume of 6.5 – 7 million tonnes in 2023.

Import demand in traditional markets like the Philippines and Africa will stay stable in the first half of this year as they are increasing food stockpiles, according to Chairman of the Vietnam Food Association Nguyen Ngoc Nam.

Nguyen Viet Anh, Director General of the Phuong Dong food company, said businesses are now highly optimistic, and that since 2019, the sector has no longer needed support to sell out the grain, but sometimes even run out of rice to meet demand.

Last year, Vietnam exported nearly 7.2 million tonnes of rice, gaining 3.49 billion USD

Source: Lao News Agency