After India imposed a 20% tax on all of its rice exports, Vietnam’s rice exports suddenly rose sharply in October 2022. By the end of October 2022, Vietnam had exported 6.1 million tonnes of rice, bringing in 03 billion USD. Significantly, the average export price of Vietnamese rice is currently leading the world market, leaving Thailand (the country with the second-highest average rice price) at 23 USD/tonne…
October 2022 has become the month with the record high level of rice exports in the history of the Vietnamese rice industry.
In three quarters of 2022, on average, our country exports 600,000 tonnes of rice per month. However, from the end of the third quarter, the world rice market has seen many changes in favor of the Vietnamese rice sector. Due to extreme weather in many Asian countries, rice supply is in shortage.
RICE EXPORTS INCREASED SHARPLY
Since October 2022, the world rice market has unexpected developments when India, which accounts for 40% of global rice exports, has announced a ban on exports of this commodity. At the same time, India also imposes a 20% export tax on white rice and brown rice (accounting for 60% of India’s total rice export).
This move of India has caused the initial rice export race with three strong competitors now only 02 major countries “competing for the first and second place”, including Vietnam and Thailand.
“ In 10 months of 2022, Vietnam’s rice exports reached 6.085 million tonnes, valued at 2,945 million USD, up 17.4% in quantity and 7.6% in value compared to the same period in 2021. The average export price of rice in the first 10 months of 2022 is estimated at 484 USD/tonne”.
According to the General Department of Customs.
According to the General Department of Customs, Vietnam’s rice exports in October 2022 reached 713,546 tonnes, valued at 341.064 million USD, up 22.3% in quantity and 23.9% in value compared to September 2022. October 2022 has become the month with the record high level of rice exports in the history of our rice industry.
In terms of the market in 10 months of 2022, rice exports to the Philippines reached 2.739 million tonnes, accounting for 45.02%, worth 1.266 billion USD, up 30.84% in quantity and 18.39% in turnover compared to the same period in 2021.
According to the latest data from the Philippine Bureau of Plant Industry (BPI), by the end of October, the country’s total rice imports reached 3.234 million tonnes, nearly one million tonnes higher than the 2.242 million tonnes in October 2021.
According to the latest estimation by the US Department of Agriculture (USDA), the Philippines, the world’s second-largest rice buyer, is expected to import a total of 3.4 million tonnes of rice this year. BPI’s data also shows that total rice imports by November 03 reached 3.242 million tonnes, including 2.701 million tonnes of rice from Vietnam.
Vietnamese rice exports to the Chinese market in October 2022 reached 131,609 tonnes, valued at 63,306,470 tonnes, up 66.68% in quantity and 75.04% in turnover compared to October last year.
Cumulatively in the first 10 months of the year, rice exports to China reached 757,575 tonnes, accounting for 12.45%, worth 382,676,125 USD, down 18.01% in quantity and 16.78% in value compared to the same period last year.
Thus, the Philippine and Chinese markets account for 57.47% of the country’s total rice export volume, so when one of these countries tends to buy more rice, it will immediately have a strong impact on the domestic rice market.
Exports to difficult markets also recorded high growth. In 10 months of the year, rice exports to the US market increased by 84.8%, and to the EU market by 82.2%.
According to the Vietnam Food Association (VFA), after nearly 2 years of implementing the EU-Vietnam Free Trade Agreement (EVFTA), Vietnam’s rice exports in particular are gradually affirming its position in the EU market.
Aromatic rice or high-quality rice such as ST24, ST25, Jasmine, etc are popular with people in this area. The EU granted a quota of 80,000 tonnes of rice at a preferential rate of 0% after EVFTA came into force.
However, in 2021, Vietnam’s aromatic rice exports to the EU only reached nearly 38,000 tonnes. It is expected that Vietnam’s rice exports in 2022 to the EU market will reach at least 60,000 tonnes./.