Having sold a huge amount globally, Vietnamese businesses also won a bid to supply 185,000 tons of rice to a Southeast Asian country.

The Vietnamese and Myanmar companies that won the bid this time both offered a price of 563 USD/ton. This price is equivalent to the price at which Vietnamese companies won the bid in May 2024.

Indonesia forecasts its rice import demand to increase to 5.18 million tons in 2024, creating a significant opportunity for Vietnamese rice exporters.

The Indonesian National Logistics Agency (Bulog) recently announced the results of its July rice tender, totaling 320,000 tons. Vietnamese companies won 7 out of 12 tenders, securing a total of 185,000 tons of rice. Source: Rice News, a specialized website on the rice market.

According to a recent report by the Ministry of Agriculture and Rural Development, in July 2024, Vietnam exported nearly 500,000 tons of rice, earning $290 million. Cumulatively, in the first seven months of 2024, Vietnam exported 5.18 million tons of rice with a value of $3.27 billion, an increase of 5.8% in volume and 25.1% in value compared to the same period in 2023. The average export price of rice reached $632 per ton, an increase of 18.2% compared to the same period last year.

In terms of markets, the Philippines, Indonesia, and Malaysia are the three largest importers of rice from Vietnam. In the first seven months of 2024, Vietnam exported 1.98 million tons of rice to the Philippines, accounting for 38.2% of Vietnam's total rice exports.

Indonesia ranks second, with Vietnam exporting 830,000 tons of rice to this market. Compared to the same period in 2023, exports to this market increased by 44.6% in volume and a sharp increase of 82.1% in value. The Indonesian market accounts for 16% of Vietnam's total rice exports.

In Singapore, during the first six months of 2024, Vietnam maintained its position as the largest rice exporter, accounting for 32.69% of the market share. This was achieved thanks to a strong increase in export value, reaching SGD 73.40 million (over USD 54.6 million), a 54.67% increase compared to the same period in 2023.

Currently, Vietnam holds the largest market share in Singapore for three rice categories: white rice (48.62%); milled or hulled fragrant rice (69.43%); and glutinous rice (78.05%).

In terms of production, the area planted with rice reached 6.25 million hectares, an increase of 0.2% compared to the same period last year; harvested 3.82 million hectares, an increase of 1.3%; average yield was 65.6 quintals/hectare, an increase of 0.5 quintals/hectare; rice production from the harvested area reached 25 million tons, an increase of 2%.

In the first seven months of the year, Vietnam exported 5.18 million tons of rice worth $3.27 billion, an increase of 5.8% in volume and 25.1% in value compared to the same period in 2023.

Chairman of the Vietnam Food Association, Nguyen Van Nam, shared: “Vietnam’s rice exports have made remarkable progress in recent years. We have continuously strived to improve product quality, diversify export rice types, and expand into new markets. As a result, Vietnam has affirmed its position as the world’s number one rice exporter.”

With impressive results in the first half of the year, businesses and experts alike expect Vietnam's rice exports to continue to thrive in the second half of 2024.

Currently, global food consumption and stockpiling remain high, while supply is tight due to economic and political instability and climate change. With increased rice imports from many countries, especially from traditional markets for Vietnamese rice such as the Philippines, Indonesia, Malaysia, and some African countries, export rice prices will recover, continuing to create significant opportunities for Vietnamese rice export businesses in particular and the development of Vietnam's rice industry in general.