AsemconnectVietnam - Vietnamese rice has gradually affirmed its brand and reputation in the international market, so our country's rice exports are expected to continue to make a breakthrough in 2024.

Vietnam's main rice export markets in the first quarter of 2024
The statistics figures from the General Department of Customs showed that, by the end of the first quarter of 2024, Vietnam's rice exports reached nearly 2.2 million tonnes with a value of 1.4 billion USD, an increase of 17.8% in quantity and increased by 45.6% in value compared to the same period last year.
In the first quarter of 2024, Vietnam's rice exports to main markets such as the Philippines, Indonesia, Malaysia, etc. all grew at high double-digit rates.
Rice export price in the first quarter of 2024 reached 654 USD/tonne, up by 23.6% over the same period of 2023.
Notably, in the first quarter of 2024, for the first time, Vietnam was the largest rice exporter to the Singapore market, accounting for 32.03% of the market share, a higher turnover than India (6.96%) and Thailand (8.28%). Vietnam's rice exports to the Singapore market in the first quarter of 2024 reached a turnover of about 36.15 million SGD, an increase of 80.46% over the same period of 2023.
World rice price and rice trading expectation in 2024
According to many forecasts, world rice prices may continue to increase in 2024 due to tight supply due to unfavorable weather in many leading rice producing countries, while import demand from foreign partners increases. Main partners such as the Philippines, Indonesia, Africa, etc. still remain at a high level this year.
Notably, India - a country that accounts for 40% of global rice trade - is still restricting rice exports. Thailand, the second largest rice exporter, will also cut the amount of rice exported to ensure domestic food security. If Vietnam still ensures to maintain food output, there will be more and more opportunities to dominate the market.
According to the World Bank's "Global Commodity Outlook" report, global rice prices are unlikely to decrease before 2025. According to predictions by BMI - a research unit of Fitch Solutions - concerns about the supply, which is effected by the El Nino weather phenomenon increases temperatures and reduces rainfall - shifting to La Nina, with higher than normal rainfall, may ease in 2025.
Challenges for Vietnam's rice exports
In addition to favorable factors, Vietnam's rice exports are also facing many difficulties and challenges. Accordingly, the competition for market share among exporting countries is expected to increase and continue to put pressure on rice prices in the international market. While Thailand and Vietnam are actively looking for new contracts, Pakistan is forecast to have a bumper crop this year.
On the other hand, the geopolitical situation remains complicated. The developments in the Red Sea affect shipping routes, and the tensions between Iran and Israel are expected to affect the rice export business of Vietnamese traders in the last months of 2024.
According to the Import-Export Department (under the Ministry of Industry and Trade), as of January 22, 2024, the whole country had 161 traders granted Certificates of eligibility for rice export business. This number is significantly reduced compared to mid-August 2023 (210 traders) and October 2023 (170 traders qualified to do rice export business).
To protect the achievements of 2023, take advantage of opportunities and continue to export successfully in 2024, in addition to fundamental solutions, it is necessary to promptly resolve immediate and long-term problems, aiming for development lasting.
Currently, Vietnam ranks third in the world in rice export. Vietnam's main rice export markets currently are the Philippines, Indonesia, Indonesia, China, Ghana, Malaysia, Singapore, etc. The Philippines account for more than 38% of Vietnam's total rice exports.
In the first quarter of 2024, for the first time, Vietnam became the largest rice exporter to the Singapore market. Currently our country accounts for more than 32% of the market share. Vietnamese rice export turnover to Singapore is higher than that of India (6.96%) and Thailand (8.28%). Vietnamese businesses have successfully expanded their export product portfolio to other items such as milled or peeled sticky rice and fragrant rice.
Last year, the country's rice exports reached 8.13 million tonnes with a value of 4.7 billion USD - a record high.
Vietnam's rice output and export goals in 2024
In 2024, Vietnam aims to maintain rice cultivation area of 7.1 million hectares, with the rice output of over 43 million tonnes, ensuring domestic consumption and rice export of over 8 million tonnes. This year, Vietnam expects rice exports to reach 5 billion USD.
To accompany Vietnam's rice industry as well as support rice export businesses, the Ministry of Industry and Trade said it will comprehensively deploy many solutions to take advantage of market opportunities and promote rice production and export in the long term in accordance with the Prime Minister's direction, contributing to realizing the goals set out in Vietnam's Rice Export Market Development Strategy to 2030 approved by the Prime Minister in Decision No. 583/QD-TTg dated May 26, 2023.
At the same time, we need to well implement the goals and principles of rice export business management according to the provisions of Decree No. 107/2018/ND-CP dated August 15, 2018 of the Government on rice export business. In addition, we should also implement the Prime Minister's direction in Directive No. 10/CT-TTg dated March 2, 2024 on promoting sustainable, transparent and efficient rice production, business and export in the new situation and implementing Directive No. 03/CT-BCT dated March 25, 2024 of the Ministry of Industry and Trade on promoting market development activities, trade promotion, promoting circulation and consumption of rice in the new situation.
The Ministry of Industry and Trade also requested ministries, branches, localities, associations and traders to actively coordinate with the Ministry of Industry and Trade to ensure consumption of rice and commodity rice at prices beneficial to farmers; maintain minimum circulation reserve levels according to regulations; balance exports and domestic consumption, contributing to stabilizing domestic rice prices and facilitating trade, ensuring effective exports and improving competitiveness and value of Vietnamese rice products on the world food market.
The Ministry of Industry and Trade will continue to promote market development activities, trade promotion, and promote circulation and consumption of rice products in the new situation.
CK
Source: VITIC/congthuong.vn