Rice exports to China continue to skyrocket

Rice exports to China continue to skyrocket

March alone saw the country export 594,200 tonnes of rice with a value of US$257.2 million to the Philippines, the nation’s largest export market, a rise of 8.2% in volume and 19.1% in value on-year.

Other markets that have seen a sudden increase in rice export value include China, with a 4.37-fold increase, Taiwan, a market that has enjoyed a 2.79-fold rise, and Indonesia, which has soared by 92.1%.

According to data released by the General Department of Vietnam Customs, China purchased 66,222 tonnes of rice from the nation with a value of US$37 million, representing a seven-fold increase in volume along with an eight-fold rise in value on-year.

Overall, the average export price of rice during the three-month period enjoyed a surge of 6.3% to US$461.9 per tonne in comparison with last year’s corresponding period.

Elsewhere in the global market, the export price of Indian rice during mid-April hit an eight-month high with traders beginning to sign new contracts after enduring approximately three weeks of disruption as a result of the imposition of lockdown measures aimed at preventing the spread of the novel coronavirus (COVID-19).

Amid the domestic market, rice prices in the Mekong Delta region tend to increase in April, especially the price of ordinary rice. Many localities have seen traders purchase a variety of ordinary rice in order to process it into white rice for the purpose of export, resulting in a price hike.

This has been occurring more frequently following the government permitting the export of rice to resume in early April.

Specifically, the price of rice in several provinces located in the western region has seen increases of between VND200 and VND500 per kilo to between VND5,800 and VND6,700 per kilo, depending on the type of rice. Moreover, rice prices in stores across Ho Chi Minh City have also surged by VND2,000 to VND3,000 per kilo.