Contracts have been signed for the export of 3.5 million tons of rice.
According to the VFA chairman, rice prices are unlikely to break through in the second quarter.
Mr. Truong Thanh Phong
The Vietnam Food Association (VFA) stated that the global rice supply is currently abundant, so rice exports may increase in volume. However, according to the Association, rice prices are unlikely to surge in the second quarter. Therefore, businesses need to closely monitor market developments to determine reasonable export prices. Regarding this issue, a VOV reporter interviewed Mr. Truong Thanh Phong, Chairman of the VFA.
PV: Could you please tell us about the progress of purchasing and stockpiling 1 million tons of rice from farmers for export purposes?
Mr. Truong Thanh Phong:To date, we have basically completed the temporary stockpiling and achieved favorable prices, reaching 1 million tons. Current rice prices are very good, leading some to request increased purchases, but we don't see the need for an increase. Since prices are already high, increasing purchases would likely cause prices to fall. The plan to stockpile 1 million tons of rice for export by businesses has essentially met its targets.
PV: To date, how much rice have we contracted to export, sir?
Mr. Truong Thanh Phong:Currently, contracts for 3.5 million tons of rice for export have been signed, with 90% being commercial contracts. Of this, 1.1 million tons have already been exported. Compared to the same period last year, signed contracts have increased by over 22%, while the volume exported has increased by over 12%. Thus, despite economic difficulties, contract signings and rice exports have still increased compared to the same period. From April onwards, the volume of rice exports will increase more rapidly to compensate for the lower-than-planned exports in the first quarter.
PV: What is your forecast for the price of Vietnamese rice exports?
Mr. Truong Thanh Phong:Overall, agricultural production in many countries has been unstable recently due to the impact of natural disasters, leading to unstable consumption of agricultural products. Therefore, businesses need to closely monitor market conditions to make adjustments. The rice market is currently very large. India currently has 35 million tons of rice in stock. Thailand has 14 million tons in storage and is expected to yield 12 million tons of paddy rice in the next harvest, equivalent to about 7 million tons of milled rice. Thus, Thailand can also supply 21 million tons of rice for export while still applying a policy of supporting rice purchases for farmers. Therefore, rice prices did not increase in the first six months of this year, and consequently, domestic rice export prices could not increase either.
Interviewer: Thank you, sir!
According to (VOV) – LC
