Rice exports hit a record in both output and value
Dong Thap - one of rice granaries of Mekong Delta, in 2024, rice exports are estimated to reach 1.366 million tonnes, an increase of 157.59% compared to 2023, reaching 227.67% of 2024 plan; export turnover reached 865 million USD. This is the year that Dong Thap has quite impressive growth in exporting rice abroad.
The province currently has about 174 enterprises operating in field of rice milling and polishing, with an estimated rice milling and polishing output of 2.1 million tonnes in 2024, an increase of 17.25% compared to 2023. Key rice export market is Asia, accounting for the highest proportion, followed by Oceania and the rest are other continents.
Ms. Vo Phuong Thuy - Director of Department of Industry and Trade of Dong Thap province - said that India's continued maintenance of rice export restrictions to stabilize domestic market, along with a decrease in supply in some rice exporting countries due to El Nino, has pushed up world demand and rice prices. Dong Thap province's rice exporting enterprises have taken advantage of this opportunity to increase rice exports and increase farmers' income.
According to report of Ministry of Agriculture and Rural Development, in 2024, Vietnam achieved a record in both output and export value, about 9 million tons with 5.7 billion USD. Average rice export price also reached the highest level ever with over 600 USD/tonne. Average rice export price of Vietnam in the past three years has had an impressive growth journey, increasing by over 28%, leading to double-digit growth in export turnover. In 2024, Vietnam ranked 3rd in the world in rice exports after India with 17 million tonnes and Thailand with 10 million tonnes. Mr. Do Ha Nam - Chairman of the Board of Directors, General Director of Intimex Group - assessed that Vietnam is building a rice industry with a different direction, focusing on fragrant rice, high-quality rice, gradually reducing low-quality rice. In 2024, rice exports set a record of 9 million tons in 2024 thanks to production and business according to market demand. In terms of production, Vietnamese farmers are focusing on producing high-quality rice varieties that are popular in the international market such as Dai Thom 8, OM 18, ST varieties, etc., which sell well and have high economic efficiency.
Vietnam also imports a lot of cheap rice from India, Pakistan, etc. to serve processing and consumption for the low-income segment. In addition, there is a source of rice from Cambodia to serve both consumption and export because this country does not have good processing infrastructure like Vietnam.
Exports in 2025 are forecast to face difficulties
The year 2024 is gradually coming to an end with positive export results for many key agricultural products, rice stands out with an export value of about 5.7 billion USD, which is also the highest level ever. And this is also the time when many businesses have begun to offer and sign rice sales contracts for 2025.
Mr. Nguyen Ngoc Nam - Chairman of the Vietnam Food Association (VFA) - commented that rice exports in 2025 are expected to face many difficulties such as the return of India, which is forecast to export 22 million tonnes, an increase of 5 million tonnes compared to 2024. Regarding import market, Indonesia, the world's largest rice importer, is expected to reduce imports. In addition, China has sharply reduced rice imports in 2024, which is also noteworthy. Mr. Nguyen Ngoc Nam suggested that banks pay attention to the issue of loans and suggested that the tax sector promptly refund value added tax to support exporting enterprises.
Regarding this, Mr. Duong Duc Quang - Deputy General Director of the Vietnam Commodity Exchange (MXV) Vietnam Commodity Exchange also commented that next year, rice exports of many countries, including Vietnam, will face more challenges than in 2024 because the world's rice supply will become more abundant.
Many rice exporting countries in the world are making efforts to increase food supply, besides, India has also reopened the supply. Perhaps, for above reasons, average export price of rice may drop below 600 USD/tonne.
Looking at it from a rather optimistic perspective, export enterprises believe that the export price of rice may decrease slightly when supply recovers but opportunity for Vietnamese rice is still there because quality of Vietnamese rice is increasingly focused on to ensure the increasingly strict standards of import markets. And this will be main competitive advantage of Vietnamese rice in the coming time.
Accompanying businesses in rice export activities next year, Ms. Nguyen Thi Thu Huong - Deputy Director of Department of Crop Production (Ministry of Agriculture and Rural Development) - said, we will conduct research on which areas are suitable for growing high-quality, high-yield rice. Inefficient rice areas that still maintain a part of high quality, converting the structure to grow rice with crabs, rice with fish, and rice with shrimp is also a good way to build a brand for the Vietnamese rice industry.
On part of Ministry of Industry and Trade, in the coming time, the Ministry will focus on trade promotion activities, effectively exploiting the incentives of Free Trade Agreements (FTAs); supporting businesses to promote new markets and potential markets; regularly participating in trade promotion conferences with Vietnamese trade office system abroad. At the same time, improve forecasting capacity, market information, promptly inform industry associations and businesses about developments in export markets so that businesses can grasp, have appropriate production plans, and orient to seek orders from markets. Closely monitor situation, market developments and import-export policies of countries to promptly inform businesses. According to experts, more abundant supply, more competitive prices and stable demand are expected to benefit consumers, contributing to global food security. However, this is also a signal that competition is increasing in global rice market, forcing businesses to be flexible in their export strategies.

Source: Vitic/ congthuong.vn