Farmers plant rice in southern Dong Thap Province. Photo by VnExpress/Ngoc Tai

Vietnamese rice prices, which used to be the highest in the global market, have now subsided to sixth place.

The country’s 5% broken rice fetched US$574 per ton May 30, lower than that of the U.S., Thailand, Pakistan, Myanmar, and India, according to the Vietnam Food Association.

Vietnam rice prices have dropped 13.5% from a historic peak in December.

They are now 7.4% lower than competitor Thailand’s.

Dinh Ngoc Tam, deputy CEO of exporter Co May, said his company still has large inventories and is therefore selling at lower prices.

Nguyen Viet Anh, CEO of rice exporter Orico, said supply is high in Vietnam and prices have therefore fallen after staying high for a long time.

Other exporters say rice prices are also falling in many other countries, and would dip further if India resumes exports.

The U.S. forecast rice supply will be rising globally.

The Ministry of Industry and Trade recently ordered the Vietnam Food Association too look into exports to Indonesia, warning too low prices might violate competition laws.

Vietnam’s Loc Troi Group won a bid to supply rice to Indonesia’s state-owned Perum Bulog at $563.

Vietnam’s rice exports rose 34.8% year-on-year to $2.3 billion in the first five months of 2024.

Published Date: June 1, 2024