Rice demand increases, which are opportunities for Vietnamese rice?

Market Information
icon date25/07/2023

Why is the increase in world rice demand a great opportunity for Vietnamese rice? At the same time, it is also an chance for partners and customers to use Vietnamese rice

World rice demand is growing

According to the report of the Ministry of Health of Vietnam, up to now, the covid 19 epidemic has been more stable because the regulations on social distancing are no longer as strict as before.

Therefore, the demand for rice in countries around the world has also increased, which has opened up great opportunities for rice exporters in Vietnam.

In the preliminary plan of the General Department of Customs, in the last 3 consecutive months, rice exports to foreign markets increased continuously. In September 2022, it increased by 19%, in volume, 20.5% in turnover and 1.3% in price compared to August 2021.

Compared with September 2020, there was also a sharp increase of 54.5% in volume, 50% in turnover, but the price decreased by 2.8%, reaching 593,624 tons, equivalent to 293.15 million USD, the average price was 493.8 USD/ ton.

In September 2021, our country exported 4.57 million tons of rice to the international market and earned nearly 2.42 billion USD, the average price reached 529 USD/ton, decreasing 8.3% in volume. The volume decreased by 1.2% in turnover but the price increased by 7.8%.

In addition, the world food demand is expected to recover. The US Department of Agriculture forecasts world rice consumption in the 2021-2022 season to reach 512.3 million, increasing 1.8% over the same period.

The quality of Vietnamese rice is going up

November 2022 is a milestone marking the increasing volume and value of Vietnam’s rice exports. Specifically, this month, the value of rice reached 6.69 million tons and 3.24 billion USD, increasing 16.3% in volume and 6.9% in value over the same period last year.

Nguyen Quoc Toan, Director of the Department of Agricultural Product Processing and Market Development, said: “The export price of Vietnamese rice has surpassed Thailand and is the highest in the world. The asking price of 5% broken rice is a $438/ton, up $10/ton, up $10/ton. At this level, the price of Vietnamese rice is slightly higher than that of Thai rice of the same type by about 20 USD/ton.

The quality of Vietnamese rice is increasingly improved because the quality of the product has dominated many difficult markets. On the other hand, world conflicts, weather, epidemics… also make rice demand in many countries increase sharply.

General Director of Trung An Hi-tech Agriculture Joint Stock Company, Pham Thai Binh, one of the famous rice exporters, assessed: In recent years, the initiative from production to processing has improved quality and value of Vietnamese rice grains.

Most of the production areas for export have put new rice varieties into use, improving the production process, so the amount of fresh rice is higher than Thai rice of the same type, so many markets choose it. The company has signed many orders to export rice to Europe, America, Korea, Singapore at high prices.

Confirming further, Marketing Director of Vrice Phan Van Co Co., Ltd. said: Most of Vietnam’s exported rice has increased in price. The price of fragrant rice for export to customers in the Middle East, Europe… is up to 600 USD/ton. Japonica rice alone has a higher price of about 700 USD/ton.

Thanks to the above factors, Vietnamese rice has met the rice demand of many major markets in the world.

PVMachino – the leading company in the field of agricultural export

PVMachino is a leading rice importer and exporter in Vietnam, through the process of testing the quality of rice to meet the correct standards according to the process required by the State. Our company always gives priority to ensuring the cleanliness, purity, safety, quality and food hygiene for consumers.

We always take the motto “Consumer health” as a premise for rice production, and thanks to this core motto, the company has brought many successes up to the present time.

The implementation of rice quality testing has helped the company improve its position, brand and reputation in the market. Through that, consumers choose to make food for their families and friends, which is something we are very proud of.

At the same time, rice quality testing is a bridge to help businesses and manufacturers affirm the position and prestige of their own products before being exported or sold at any establishment.

Moreover, ensuring the prestige of the product will also show that the product quality is good, creating favorable conditions for businesses to increase sales in the market. Through this, many customers and partners will know about this business because of its increasingly improved quality and reputation in the domestic and international markets.

Through our sharing about the world’s rice demand, we have partly explained the above question. Hopefully, this will be a useful resource to help customers and readers understand more about the quality of Vietnamese rice.