The Best Just Got Better: Vietnam’s Rice Triumphs Again

Indonesia’s National Logistics Agency has issued a tender for 450,000 tons of rice for September – the highest tender quantity to date – for 5% broken white rice produced in the 2024 crop (milled no more than 6 months ago). 

According to Indonesia’s requirements, the rice must originate from Vietnam, Thailand, Myanmar, Cambodia, or Pakistan, and delivery will take place in October and November.

In the first six months, Indonesia was Vietnam’s second-largest rice import market, with a 44% growth rate compared to the previous year, importing nearly 709,000 tons.

Also related to the global rice market, India recently decided to abolish the minimum export price policy for basmati rice, which was applied in July 2023, to prevent the export of non-basmati white rice – a type banned from exportation under a false name.

Initially, basmati rice was subject to a minimum export price of $1,200, which was later reduced to $950. This move relaxes the rice export ban as India’s largest rice harvest of the year begins.

According to the Vietnam Food Association (VFA), the export price of Vietnamese 5% broken white rice is at $563/ton, equal to that of Thailand and $26/ton higher than that of Pakistan of the same grade; lower than the end of August by about $10/ton.

According to customs data, in August, Vietnamese enterprises exported 837,000 tons of rice, earning $502,000; down 6% in volume and nearly 5% in value compared to the same period last year. Cumulatively, in the first eight months of the year, Vietnam exported 6.06 million tons of rice, bringing in nearly $3.8 billion; up 4.7% in quantity and up 20.5% in value.