The structure of Vietnam's rice for exports has shifted towards increasing the proportion of high-value-added rice varieties and reducing the rate of low-grade rice products.
It will be difficult for Vietnamese businesses to keep stable rice exports to the Philippines in large quantities as currently seen, experts said.
Vietnam is likely to reach its rice export target of 6.7 million tonnes this year thanks to favourable market conditions and high global demand, according to the Ministry of Agriculture and Rural Development.
Since May this year, Vietnam’s rice export activities have returned to normal, with the month recording the highest rice export price seen in recent years and paving the way for the country to outpace Thailand in global rice exports in 2020.
After a year letting the private sector import rice on a “tax-based mechanism” instead of a quota-based mechanism in line with the G2G regime, the Philippine side is considering a comeback to the previous regime to import 300,000 tons of rice.
The Vietnam Food Association has petitioned authorities to prioritise customs clearance of consignments of rice exports stuck at ports.
South Korea has opened up its market to Vietnamese rice, setting the annual import quota of Vietnamese rice at 55,112 tons, according to the Import-Export Department at the Ministry of Industry and Trade.
The Ministry of Industry and Trade has granted 47 certificates of eligibility to rice export businesses over the past year, lifting the number of rice exporters to 182 traders.
Products which claim to feature the ST25 rice strain which was crowned the World's Best Rice at a recent contest have flooded in the Vietnamese market.
Thailand has passed a plan to allocate its budget of 21.5 billion baht to help stabilize rice prices for Thai farmers. This subsidy program may affect rice exporters including Vietnam, according to local rice operators.