The Prime Minister's dispatch on management to ensure balance between rice supply and demand in the face of developments in the world and domestic markets stated that in the first months of this year, global rice trade has been complicated, with world supply in surplus. Import demand from countries has decreased, with no signs of recovery in the short term.

Therefore, Vietnam's rice exports in the first two months of this year have tended to decline due to the continuous decrease in export prices. Domestically, the Mekong Delta provinces are in the midst of a bumper harvest, so the rice purchase price has decreased significantly compared to the same period last year.

To ensure the balanced management of domestic rice supply and demand and promote sustainable rice production, business and export activities, the Prime Minister requested leaders of relevant ministries, branches, chairmen of provincial and municipal People's Committees, and enterprises to closely monitor and promptly update changes in policies and market developments of rice exporting and importing countries.

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Vietnam's rice export prices have fallen sharply, to a multi-year low. Photo: Tam An

In particular, the Prime Minister requested the Minister of Agriculture and Environment to direct localities in the Mekong Delta to ensure production output and area according to plan. In the immediate future, focus on producing and harvesting winter-spring rice on time and promoting the replication of the model of 1 million hectares of high-quality rice.

Coordinate with ministries, branches and localities to closely monitor developments in the world rice market, especially policy adjustments in major rice exporting countries such as India, Thailand, etc. and rice import demand in markets with much room to update localities and businesses; make timely adjustments.

The Minister of Industry and Trade continues to preside over and promote the implementation of tasks and solutions to implement the Strategy for developing Vietnam's rice export market to 2030 and the tasks directed by the Prime Minister.

Preside over and coordinate the establishment of an interdisciplinary inspection team to inspect the implementation of rice purchasing and import and export, contributing to a healthy market, especially the ability to reserve compulsory reserves as prescribed in Decree No. 107.

Strengthen trade promotion, boost exports in large markets, potential markets, with much room left.

The Prime Minister requested the Ministry of Industry and Trade to summarize, evaluate, review and propose to the Government to comprehensively amend Decree No. 107 and Decree No. 01 in the second quarter of 2025.

In particular, the study proposes to supplement criteria and conditions for rice trading, exporting and importing enterprises in the direction of giving priority and incentives to units with production and product consumption chains with synchronous and modern warehouse and logistics systems to overcome the situation of traders buying at low prices from farmers. It is proposed to develop criteria to assess the level of trust for rice exporting and importing enterprises towards reducing intermediaries and information transparency.

The Prime Minister also requested the Governor of the State Bank to direct research and calculate the expansion of quotas and loan terms for capable enterprises with warehouse systems to temporarily purchase rice during periods of market fluctuations and low purchase prices.

Direct commercial banks to create favorable conditions for people and businesses to access credit capital with preferential interest rates to serve the purchase and export of rice, especially winter-spring rice in the Mekong Delta provinces.

The Prime Minister also requested The Minister of Finance directed to create conditions for early export tax refunds for rice trading and exporting enterprises; create a quick and convenient customs clearance mechanism. At the same time, proactively develop a plan to purchase national rice reserves in 2025 to promptly implement when there are adverse fluctuations in rice prices.

In addition to the tasks of organizing production, the Prime Minister requested the Chairmen of the People's Committees of provinces and cities to direct propaganda and mobilize farmers to continue producing the Summer-Autumn crop according to plan, to ensure stable output.

In addition, strengthen market management; strengthen inspection, examination and supervision of the buying and selling situation of key enterprises and traders, avoid taking advantage of the situation to force down prices, profiteering; and unfair competition between enterprises.

The Prime Minister requested that associations, corporations and rice exporting enterprises proactively seek markets, especially traditional customers. At the same time, they should actively buy and temporarily store rice for farmers.

With the price of Vietnamese rice still in a series of days of bottomless decline, down to only 390 USD/ton, the leader of the Ministry of Industry and Trade said that he is considering a proposal to activate the floor price, considering stockpiling.