Rice exports have increased by 49% year-on-year in the first five months to US$2.02 billion, the highest growth in 10 years.

It grew by 40.8% in volume terms to 3.9 million tons, according to the Ministry of Agriculture and Rural Development.

The Philippines was the biggest buyer with 1.29 million tons, a 40.6% increase. Exports to Indonesia rose by 26 times.

On average, a ton fetched $517, a 5.8% increase from last year.

Vietnamese rice producers are having a bountiful year with high yields and rising demand in traditional markets such as the Philippines, China and Malaysia, Nguyen Ngoc Nam, chairman of the Vietnam Food Association, said.

There were also sharp spikes in exports to southern African countries, he told VnExpress. Some fragrant Vietnamese rice varieties are also popular in some niche markets, he added.

Vietnam is seeing increased opportunity since major competitors India and Thailand are being affected by El Nino, the warming of the ocean surface in the central and eastern parts of the tropical Pacific Ocean.

The Russia-Ukraine war has also caused an increase in global food stocking.

Vietnamese producers said there has been a surge in orders in recent months but not enough supply for exports.

Exports are forecast to reach 6.5 million tons at most this year, down 8.4% from last year, according to the Vietnam Food Association.

Published Date: June 2, 2023