Linking the development of raw material areas helps Vietnam's rice export develop stably.
Production must meet strict standards
The positive signs of rice exports in the first quarter are partly attributed to rice exporting enterprises taking advantage of opportunities from Free Trade Agreements (FTAs); Vietnamese rice is increasingly penetrating into "difficult" markets. These things continue to affirm that the quality of Vietnamese rice is increasing.
Accordingly, according to information from the Import-Export Department (Ministry of Industry and Trade), by the end of the first quarter of 2024, rice exports reached over 2.18 million tons, equivalent to 1.43 billion USD, with an average price of 653.9 USD/ton. Compared to the same period last year, it increased by 17.6% in volume, 45.5% in turnover and 23.6% in price.
In the first quarter of 2024, exported rice continued to dominate key markets with large consumption demand in terms of output. Of which, the Philippines is still Vietnam's largest rice import market, accounting for 46.4% of the total volume and 45.5% of the total rice export turnover; Indonesia ranked second, increasing sharply by 199.7% in volume and 308.8% in turnover, Malaysia increased by 28.8% in volume and 60.6% in turnover.
Rice export prices to all three markets increased sharply, with export prices to Indonesia increasing by 36.4% and Malaysia by 24.7%. Not only did output, turnover and prices increase, Vietnam also increased exports of high-value rice varieties that meet market demand.
According to the Import-Export Department (Ministry of Industry and Trade), rice export traders have taken advantage of market opportunities from FTAs, the market structure has gradually shifted positively towards diversification, in addition to traditional markets such as China, the Philippines, or Africa, they have also expanded to "difficult" markets such as Europe... with high value.
Besides, traders also take advantage of opportunities in challenges from the global food trade market to become alternative sources of supply in many potential markets such as the US, Canada, and Chile.
Commenting on the rice export picture, Mr. Le Thanh Tung - Deputy Director of the Department of Crop Production (Ministry of Agriculture and Rural Development) said that the structure of Vietnam's rice varieties and exports has over 80% of high-quality, specialty varieties that meet the requirements of export enterprises.
According to Mr. Tung, Vietnam's rice production is not only concerned with export issues but also takes on the issue of national food security. Currently, rice production in the Mekong Delta is focusing on sustainable farming processes that adapt to climate change, producing according to standards to meet the strict requirements of the domestic and export markets.
The deeper the integration, the more attention must be paid to meeting the requirements and standards of the import market. "In demanding markets, the standards they set are very strict, so it is necessary to organize production to meet these standard requirements," said Mr. Tung.
Promoting rice brand development
Some rice exporting enterprises informed that Europe is a difficult market and in recent times, exporting enterprises have had to make great efforts to be able to enter this market.
According to the leader of a rice company, the current export price of rice of this company to 13 European countries is at 980 USD/ton. This is a pretty good price, but to enter this market is not simple, this company has had to go through many ups and downs, in which, if not paying attention to the basic factors: Brand, technology, human resources and connectivity in the rice value chain... then the company will hardly be able to stand firm in a strict market like Europe.
And this enterprise also pointed out that to create a chain of links, it is necessary to have strong participation of local authorities together with enterprises to open raw material areas and receive local support. If the entire rice value chain is linked and works together step by step, then a raw material area will certainly be formed.
According to Mr. Bui Ba Bong - Chairman of the Vietnam Rice Industry Association, recent achievements in rice export have affirmed the brand and reputation of Vietnamese rice as localities have planned concentrated production areas to stabilize quality, aiming at export markets.
To enhance the image and position of Vietnamese rice, the expert said that ministries and sectors need to actively support enterprises and associations to promote the image of Vietnamese rice to develop domestic and international markets. In addition, enterprises need to pay attention to developing raw material areas to meet quality standards and market requirements.
"The local authorities play a decisive role in the raw material areas, because if the localities take action, enterprises and cooperatives will be able to link up with farmers. When farmers link up, there will be stable and high-quality raw material areas according to business standards. If farmers do not link up, there will be no stable, long-term raw material areas," Mr. Bong emphasized.
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According to the Ministry of Agriculture and Rural Development, the export output of commercial rice is mainly concentrated in the Mekong Delta region, the total export volume of commercial rice in 2024 in the Mekong Delta provinces is estimated at about 7.6 million tons. Of which, the high-quality rice group is about 3.2 million tons; the fragrant and specialty rice group is 2.5 million tons; the medium-quality rice group is 1.15 million tons and the glutinous rice group is 0.75 million tons. Deputy Minister of Agriculture and Rural Development Tran Thanh Nam forecasts that this year Vietnam's rice output will reach about 43 million tons, equivalent to about 20 million tons of rice. With such an amount of rice, it will meet domestic consumption demand, ensure food security and serve export needs.
According to Dai Doan Ket newspaper
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