Rice prices have experienced a sharp decline, forcing businesses to sell off inventory to curb further loss.

Several rice trading companies in the Cai Lay and Cai Be districts of Tien Giang Province in the Mekong Delta have advertised to reduce rice price to clear their warehouses.

Tien Giang Province is home to approximately 500 rice milling and processing businesses with the highest concentration of rice trading enterprises in the Mekong Delta region.

Some business owners said that in recent days, rice prices in Tien Giang have decreased by about VND2,000-VND3,000 a kg compared to before. Businesses that have not signed export contracts will suffer losses. The longer they store rice, the heavier the losses, so they have no choice but clear their warehouses to mitigate further loss.

According to the Department of Industry and Trade of Tien Giang Province, local rice exporters are facing challenges due to a lack of orders in early 2025. India has lifted its rice export restrictions. Meanwhile, the Philippines, Vietnam’s largest rice importer, has temporarily halted purchases.

Worse, Indonesian authorities have recently announced a ban on certain agricultural imports, including rice, due to sufficient domestic supply. This also poses a significant challenge to Vietnamese rice exporters.

By Ngoc Phuc – Translated by Anh Quan

Published Date: January 20, 2025