After a long period of high prices, Vietnamese rice has suddenly dropped significantly, moving away from its peak. Meanwhile, the price of similar rice from Thailand has surged, reclaiming the top spot in the global market.

Data from the Vietnam Food Association (VFA) shows that the price of Vietnamese 5% broken rice soared to a historic high of $663 per ton and remained at this level for an extended period.

Thus, Vietnamese rice had the highest price among the world's major exporting countries. Notably, on November 21, 2023, the price of Vietnamese rice was $78 per ton higher than Thai rice and $85 per ton higher than Pakistani rice.

However, recent trading sessions have seen the price of Vietnamese 5% broken rice decline. As of January 26, the price of this commodity was $642 per ton, a decrease of $21 per ton from the peak of $663 per ton.

Similarly, the price of Vietnamese 25% broken rice has decreased from a peak of $648 per ton to $614 per ton.

In contrast to the decline in Vietnamese rice prices, Thai rice of the same quality has shown a strong upward trend. On January 26, Thai rice prices rose to $656 per ton, $14 per ton higher than Vietnamese rice and $18 per ton higher than Pakistani rice.

With this price, Thailand has surpassed Vietnam and is now at the top of the list of countries with the highest export rice prices in the world.

According to preliminary statistics from the General Department of Customs, Vietnam exported over 194,000 tons of rice in the first half of January 2024, earning $134.6 million.

Recent forecasts suggest that rice prices will continue to rise this year due to tight supply. India continues to restrict rice exports, and supply from other Asian countries is declining due to the effects of El Niño. Meanwhile, rice demand remains high in many countries.

Recently, Indonesia announced a tender for 500,000 tons of white rice for delivery in February-March 2024. The country has approved an import quota of 2 million tons of rice for this year.

Mr. Le Thanh Hoa, Deputy Director of the Department of Quality - Processing and Market Development (Ministry of Agriculture and Rural Development), stated that global rice production could reach a record high of nearly 520 million tons, with consumption nearing 525 million tons. This means a global rice shortage of 5 million tons in 2024.

Additionally, global rice stockpiles have decreased to just over 160 million tons. Meanwhile, the demand for imports in various countries will fluctuate. Countries such as Indonesia, the Philippines, and China have significant rice import needs. Mr. Hoa believes this presents a good opportunity for the Vietnamese rice industry.

Given the forecasted high rice prices for 2024, Nguyen Nhu Cuong, Director of the Department of Crop Production, reported that despite a decreasing rice acreage, the crop production plan for 2024 aims to maintain rice planting area at 7.1 million hectares and production over 43 million tons, ensuring exports of at least 8 million tons of rice.

Source: Vietstock