Vietnamese exporters are seeking to diversity their markets. (Photo: nongnghiepmoitruong.vn)
As the world’s largest rice importer, the Philippines bought 4.8 million tonnes from overseas last year, of which Vietnam supplied the lion’s share at 3.6 million tonnes.
In the first seven months of the year, Vietnam sold 5.5 million tonnes of the cereal abroad for USD 2.81 billion, with the Philippines continuing to serve as its biggest buyer. However, revenue experienced a year-on-year fall of 13.5 per cent.
Exporters admitted that while shipments to the country have slowed, they have signed new contracts at significantly improved prices and expanded their customer base across ASEAN and South African markets.
Earlier this month, the Philippine government announced a two-month suspension of rice imports from September 1 amidst falling domestic rice prices. However, market analysts predict that overall exports will remain robust thanks to growing demand in other regions.
The United States Department of Agriculture (USDA) forecast Vietnam’s full-year rice exports at 8.2 million tonnes, up 300,000 tonnes as compared to the previous prediction. Shipments will increase in the end of the year, driven by high demands from Africa and China. Meanwhile, the Philippines’ rice import suspension is projected to trim the country’s purchases by 500,000 tonnes. Even so, the Philippines’ total imports in the year could remain at 4.9 million tonnes, the highest in the world.
Chairman of the Vietnam Food Association Do Ha Nam expressed his confidence that with the robust results achieved in the seven-month span, Vietnam’s rice shipment will surpass 8 million tonnes this year. He noted that the country is firmly positioned as the world’s second-largest rice exporter due to its own brand identity and growing recognition in the international markets.