According to an update from the Vietnam Food Association (VFA), the export price of 5% broken rice from Vietnam has decreased by another 8 USD compared to the end of 2024 and is now only 473 USD. Similarly, 25% broken rice has decreased by 16 USD to 438 USD/ton. These are both the lowest prices in the past 2 years.
Rice price today January 6: Rice continues to fall sharply
Latest update today, according to the Vietnam Food Association (VFA), Vietnam's standard 5% broken rice is only at 473 USD/ton; 25% broken rice is at 438 USD/ton; 100% broken rice is at 332 USD/ton.
According to businesses, not only 5% broken rice but also Vietnamese fragrant rice is in a period of sharp price decline and falling below the 600 USD/ton mark.
Thailand's 5% broken rice also fell $1 to $498 per ton; the highest among the world's four largest rice suppliers. Meanwhile, Pakistan's rice of the same grade fell $4 to $450 per ton.
Rice prices in India, the world's top exporter, fell for a third straight week to their lowest in 17 months.
India's 5 percent broken parboiled rice was quoted at $436-$442 a tonne this week, down from $439-$445 a tonne last week. India's 5 percent broken white rice was quoted at $440-$449 a tonne.
The decrease in export rice prices has caused domestic rice prices to decrease by 300 - 500 VND/kg compared to the end of 2024. Specifically: According to an update from the Department of Agriculture and Rural Development of An Giang province, raw rice IR 504 has decreased by 1,200 VND, fluctuating at 7,500 - 7,600 VND/kg; finished rice IR 504 has decreased by 300 VND, fluctuating at 10,000 - 10,200 VND/kg.
Similarly, with rice, new transactions continue to be slow, farmers offer lower prices. According to an update from the Department of Agriculture and Rural Development of An Giang province, the current price of IR 50404 rice (fresh) fluctuates at 7,400 - 7,600 VND/kg; OM 5451 rice fluctuates at 8,400 - 8,500; OM 18 rice (fresh) fluctuates at 8,700 - 8,900 VND/kg; Dai Thom 8 rice (fresh) fluctuates at 8,800 - 8,900; OM 380 rice is at 6,600 - 6,700 VND/kg; Nang Hoa 9 rice is at 9,200 VND/kg; Nhat rice is at 7,800 - 8,000 VND/kg.
Recorded in many localities in the Mekong Delta today, rice transactions have stagnated due to continuous fluctuations and sharp decreases in rice prices.
The reason for the drop in rice prices, according to experts, is that 2024 has just ended, and major importing countries such as the Philippines and Indonesia have yet to make plans for the new year 2025. Indonesia announced that it may not import rice in 2025.
In 2025, the world rice supply will be abundant due to the return of the Indian market; this factor will strongly affect the world rice export price. The market is waiting for the Philippines to return to the market after the holiday to stop the decline in rice prices.
Vietnam is the main rice supplier to the Philippine market with about 75% market share, followed by Thailand, India and Pakistan. India's reopening of its reserves and resumption of rice exports from September 2024 is a factor that has cooled down the world rice market. Experts predict that from 2025, the rice market will likely become fiercely competitive again between major suppliers India, Thailand, Pakistan and Vietnam.
It is known that rice exports in 2024 set a new record in both output and turnover, with 9 million tons of rice, earning 5.8 billion USD, up 10.6% in volume but up 23% in value. These figures have helped Vietnam maintain its position in the top 3 largest rice exporting countries in the world.
The average export price of rice in 2024 will also increase by 16.7% compared to 2023. This is an impressive breakthrough after 35 years since Vietnam began exporting rice.
Businesses hope that this year, import demand in some markets such as the Philippines, China and Nepal will increase, making the rice market more vibrant.
According to the forecast of the US Department of Agriculture, global rice exports in 2025 will increase to 56.3 million tons, 2.3 million tons higher than the previously announced forecast.
Mr. Nguyen Ngoc Nam - Chairman of the Vietnam Food Association (VFA) - commented that rice exports in 2025 are expected to face many difficulties such as the return of India, which is forecast to export 22 million tons, an increase of 5 million tons compared to 2024.
Regarding the import market, many major rice importing countries in the world are forecast to reduce imports. In addition, China has significantly reduced rice imports in 2024, which is also noteworthy. Mr. Nguyen Ngoc Nam suggested that banks pay attention to the issue of loans and requested the tax sector to promptly refund value-added tax to support rice exporting enterprises.
Mr. Duong Duc Quang - Deputy General Director of Vietnam Commodity Exchange (MXV) Vietnam Commodity Exchange also commented that in 2025, rice exports of many countries, including Vietnam, will face more challenges than in 2024 because the world's rice supply will become more abundant.
Many rice exporting countries in the world are trying to increase food supply, besides India has also reopened the supply. Perhaps, for the above reasons, the average export price of rice may fall below 600 USD/ton and it is difficult to predict the bottom.
Exporters believe that opportunities for Vietnamese rice still exist because the quality of Vietnamese rice is increasingly focused on to ensure the increasingly strict standards of import markets. And this will be the main competitive advantage of Vietnamese rice in the current fierce competition.
Source: https://danviet.vn/gia-gao-tiep-tuc-giam-manh-gao-5-tam-ngay-cang-xa-moc-500-usd-tan-20250106162527926.htm
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