HANOI (Bernama-VNA): Rice prices in Vietnam’s Mekong Delta region last week surged to the highest level recorded in the past 10 years, triggered by India's recent ban on the export of non-basmati white rice.
The price of Vietnam's 5 per cent broken rice on July 27 skyrocketed to an unprecedented range of US$550-575 per tonne, marking the highest price since 2011. Just one week earlier, the same grade of rice was priced at a more moderate range of US$515-525 per tonne, according to Vietnam News Agency (VNA).
The General Department of Vietnam Customs reported that Vietnam's average rice export price for the first six months of 2023 reached US$539 per tonne, showcasing a remarkable 10.2 per cent increase over the same period in the previous year.
Exporters in Vietnam are closely monitoring the situation and anticipate further price hikes for rice following India's decision to restrict rice exports.
Meanwhile, Thailand's rice market also experienced a parallel price surge. On July 27, Thailand's 5 per cent broken rice prices peaked at US$605-610 per tonne, registering the highest levels in the past 11 years.
India's ban on rice export, issued on July 20, aimed at ensuring adequate domestic availability of rice at reasonable prices. Consequently, India's own rice prices soared to US$445-450 per tonne, setting a record high in the past five and a half years.
The impact of India's export ban on rice prices is not confined to the international market; it has also significantly affected the domestic market in Vietnam. According to the Vietnam Food Association, rice prices locally have risen sharply.
For instance, the price of 5 per cent broken rice in Vietnam's domestic market escalated to Vietnamese Dong (VND) 12,500 (US$0.53) per kg, resulting in an average price of VND 12,304 per kg-an impressive increase of VND 754 per kg. - Bernama/VNA
