8 January 2020, Vietnam: Vietnam earned over US$3 billion from exporting rice in 2020, according to the Vietnam Food Association (VFA), a year-on-year increase of more than 10%.
The rice sector is expected to again post high growth this year, when new-generation free trade agreements (FTAs) Vietnam has signed with foreign partners come into play.
Amid the difficulties posed by the ongoing COVID-19 pandemic, rice exporters quickly made appropriate adjustments and actively sought new markets while fully tapping into the advantages brought about by FTAs.
Vice Chairman of the VFA, Do Ha Nam, said 2020 was a successful year for Vietnam’s rice exports, which he attributed to increasing demand in many countries and the improved competitiveness of Vietnamese rice around the world.
The EU-Vietnam FTA (EVFTA) has created a major opportunity for Vietnamese rice to enter European markets and then make inroads into other choosy markets, Nam said.
Experts said that if Vietnam wants to maintain rice export growth in 2021 it needs to focus on building a complete rice value chain and controlling quality in production, processing, and distribution.
The VFA predicted that rice exports will continue to grow this year because export markets, such as the Philippines and Africa, are continuing to sign contracts.
Within the framework of the Vietnam-Eurasian Economic Union (EAEU) FTA, EAEU member states have pledged to give Vietnam a tariff quota of 10,000 tonnes of rice for this year.
Vietnam’s rice exports to the UK will also enjoy zero percent tariffs without quotas under the recently-signed UK-Vietnam FTA.
To fully tap into the advantages available under FTAs, rice export giants such as the Intimex Corporation JSC, the Loc Troi Group, the VRICE Co., and the Trung An Hi-Tech Agriculture JSC are planning to seek additional importers in markets where Vietnam has signed FTAs, especially in the UK.
The Ministry of Industry and Trade will continue to support exporters via providing timely information on market demand and strengthening trade promotion efforts.