Global inventory deficit favors Vietnamese rice

Global inventory deficit favors Vietnamese rice

Global production of this grain in the 2023-2024 crop is expected to be around 518 million tons, while estimated total consumption is 525 million tons, General Statistics Office chief Nguyen Thi Thu Huong said, citing data from the US Department of the Agriculture.

The fact that there is a deficit of this magnitude will undoubtedly provide greater opportunities for rice exporters, including Vietnam, he noted.

For his part, the director of the trade promotion department of the Ministry of Industry and Trade, Vu Ba Phu, pointed out that the supply of the above-mentioned grain will not be plentiful, as the main supplier India will reduce its sales abroad by four million tons compared to the Previous year.

Furthermore, in statements quoted by VNA news agency, he added that other export markets such as the Philippines, Indonesia, Thailand and Cambodia are also expecting a decline in their sales volume due to the impact of the El Niño phenomenon and climate change.

Industry experts here predicted that the national export volume of this grass this year could – at least – be the same as in 2023, but the value would be between 15 and 20 percent higher, meaning that sales abroad could exceed five billion dollars.

Vietnam exported almost 8.3 million tons of rice in 2023, an unprecedented amount, and also under very favorable conditions, as the price of Vietnamese grain broke records at many times of the year and became the highest in the world, making this possible the entry of more than 4.8 billion greenbacks.

The Ministry of Agriculture and Rural Development's forecasts for the current harvest aim to cultivate 7.1 million hectares and achieve a production of more than 43 million tons, of which around eight million would be destined for sale abroad.