Vietnam Intensifies Rice Export Strategy to Sustain Global Competitiveness Through 2030
Hanoi, The Gulf Observer: In a bid to enhance rice exports through 2030, Vietnam’s Ministry of Industry and Trade (MoIT) has introduced a comprehensive set of measures aimed at strengthening trade promotion, tightening regulatory oversight, and accelerating the implementation of the national export strategy.
The new solutions were unveiled by the MoIT’s Export-Import Department during a conference held Tuesday in the Mekong Delta province of Tiền Giang — a key region in Vietnam’s rice production landscape.
Authorities pledged to expand international trade negotiations and agreements, while addressing long-standing logistical and regulatory bottlenecks in the rice sector. Local governments were urged to restructure production systems and develop value chain linkages among organizations, cooperatives, and exporters to enhance competitiveness.
Rice enterprises and traders were encouraged to modernize processing facilities and adopt advanced technologies to meet the quality requirements of demanding export markets. The overarching goal is to diversify Vietnam’s rice export destinations, reducing overreliance on traditional markets and mitigating associated risks.
Lưu Văn Phi, Director of the Tiền Giang Department of Industry and Trade, emphasized the province’s strengths, including its favorable geographic location and integrated transport networks. He noted that Tiền Giang is home to approximately 200 large-scale milling and processing facilities capable of producing three million tonnes of rice annually, generating an estimated US$100 million in export revenue.
To ensure the industry’s sustainable development, Phi underscored the need for investment in raw material zones, production line modernization, and improved financial capacity. He also highlighted the importance of building brand identity and consumer trust in both domestic and international markets. Current rice export regulations, he added, should be revised to keep pace with market changes and industry demands.
Export Value Drops Despite Volume Growth
The Export-Import Department reported that Vietnam exported over 3.43 million tonnes of rice in the first four months of 2025, earning nearly US$1.8 billion. This represents an 8.1% increase in volume but a 13.3% decrease in value compared to the same period last year.
The Philippines remains Vietnam’s largest rice importer, accounting for 43.3% of total volume and 45.5% of export value. The average export price fell to US$515 per tonne, a 19.8% year-on-year decline, which many in the industry attribute to increased global supply, particularly following the lifting of India’s rice export ban in late 2024.
The resulting global oversupply has triggered a downward price cycle, posing challenges for Vietnamese exporters seeking to maintain profitability and market share.
Global Outlook and Strategic Adjustments
According to the latest forecast from the United States Department of Agriculture (USDA), global rice production for the 2025–2026 crop year is expected to reach a record 538.7 million tonnes. Although output is projected to rise, supply shortages could still occur, driven by a 6.1 million-tonne increase in global consumption.
Global rice trade is also anticipated to expand, with projected volumes reaching 60.5 million tonnes in 2025 and 61.3 million tonnes in 2026. India is expected to retain its dominant position, which may limit export growth potential for other major suppliers such as Vietnam, Pakistan, and Myanmar.
To adapt to the evolving global rice market, the MoIT is currently soliciting feedback on a draft decree to amend and supplement key provisions of Decree No. 107/2018/NĐ-CP and Decree No. 01/2025/NĐ-CP, both of which govern rice export operations in Vietnam.
These efforts signal Vietnam’s proactive approach in reforming its regulatory and trade frameworks to strengthen the competitiveness of its rice industry in the face of global challenges and opportunities.
