Ministries of Agriculture and Rural Development, Industry and Trade, and Finance; the State Bank of Vietnam; and Vietnam Food Association met to discuss rice stockpiling plan for winter spring crop this year in the Mekong Delta.
|Farmers harvest rice with combine harvester in Vinh Long Province (Photo: SGGP)|
According to the Vietnam Food Association (VFA), rice export contracts have reached only one million tons including 504,000 tons left from contracts signed last year.
Vietnamese rice has faced severe competition from Thai and Indian rice especially in low and medium segments in China, Malaysia, Mexico and Indonesia.
Abundant supply source might impact winter spring rice consumption and prices in the Mekong Delta, it said.
The Ministry of Agriculture and Rural Development said that rice supply in the winter spring crop had surged in the Mekong Delta. Rice output has increased to 3.65 million tons in February and March while the number of export contracts has decreased in the first quarter compared to the same period last year.
Deputy Minister Vu Van Tam proposed the Government to stockpile about one million tons of winter spring rice from March 1 to April 15.
VFA will work with provincial people’s committees in the Mekong Delta on rice purchase volume in each province, which will depend on local commercial output. Rice produced under large scale paddy fields will receive priority in consumption.
Agreeing with the plan, Ministry of Industry and Trade said that trade promotion activities will be stepped up after Tet to sign more export contracts with the Philippines, Malaysia and Indonesia. The ministry will seek to regain the market share in Africa and Hong Kong (China).
The ministry will mobilize and negotiate about rice export with China, prepare to open the rice market to the US, Japan, Mexico and Chile after the Trans-Pacific Partnership is signed this year.