Maintaining its position as the largest rice exporter to Singapore.
Citing statistics from the Singapore Enterprise Agency, the Trade Office of the Vietnamese Embassy in Singapore stated that in the first six months of 2024, the total value of rice imports from the world to the Singapore market increased significantly by 13.62% compared to the same period in 2023, reaching nearly 224.5 million SGD.
In terms of volume, the total import of the 9 main rice varieties (HS10062010, HS10062090, HS10063030, HS10063040, HS10063091, HS10063099, HS10064090, HS10063050, and HS10063070) is estimated at approximately 214,516 tons, an increase of 12.98% compared to the same period in 2023.
Regarding the market share structure of rice products, white milled rice holds the largest market share (31.61%), followed by milled or hulled fragrant rice (17.49%), hom-ma-li white rice (17.62%), and parboiled rice (14.93%). Other rice products are evenly distributed across the remaining segments.
According to statistics from the same agency, the rice import market in Singapore in the first six months of 2024 continued to witness fairly good growth in both import volume and value. Eight out of nine main rice groups showed good growth, some with very high increases such as: glutinous rice (up 201.83%), milled or hulled fragrant rice (up 90.95%), parboiled rice (up 161.87%). The only group, which also holds the largest market share, white rice, saw a decline of 29.86%.
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| The Vietnamese Trade Office delegation in Singapore and the Singapore Food Authority attended the Vietnam- Hau Giang International Rice Festival in December 2023. |
Notably, after the first six months of 2024, Vietnam maintained its position as the largest rice exporter to Singapore, accounting for 32.69% of the market share. “This was achieved thanks to a very high export turnover, reaching SGD 73.40 million, a 54.67% increase compared to the same period in 2023,” the Trade Office reported, adding that Thailand and India held the next two positions with turnovers of SGD 70.73 million and SGD 58.41 million respectively. The combined turnover of the top three exporting countries accounted for 90.21% of the rice market share in Singapore.
The strong upward trend in Singapore's rice import demand since 2023 continued into the first six months of 2024, primarily attributed to India's rice export ban and the rapid recovery of tourist numbers in Singapore, leading to increased rice imports.
Statistics also show that Vietnam's rice exports to the Singapore market in the first six months of 2024 continued to grow very well, reaching a value of approximately 74.4 million SGD, an increase of 54.67% compared to the same period in 2023. Notably, some groups continued to witness very strong growth: glutinous rice (value of 8.9 million SGD, an increase of more than five times), broken rice (value of 1.5 million SGD, an increase of 187.3%), and fragrant milled or hulled rice (value of 27.27 million SGD, an increase of 161.35%).
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Exhibition and trade promotion of rice products in Singapore, December 2023. Photo: Le Duong |
Vietnam's main rice product group in the Singapore market, white rice, saw a slight increase of 1.91%, reaching a turnover of SGD 34.5 million. The only group experiencing a decline compared to the same period last year was regular brown rice (with a turnover of SGD 102,000, down 51.2%).
Currently, Vietnam holds the largest market share in Singapore for three rice categories: white rice (48.62%); milled or hulled fragrant rice (69.43%); and glutinous rice (78.05%).
Meanwhile, India dominates the market almost entirely for parboiled rice (99.74%) and milled or hulled basmati rice (96.89%). For other rice products, Thailand holds the largest market share, specifically: brown homali rice (99.18%), white homali rice (97.17%), and broken rice (57.73%). For regular brown rice, Japan holds the largest market share (74.89%).
Focus on trade promotion and boosting exports.
According to Mr. Cao Xuan Thang, Commercial Counselor and Head of the Vietnamese Trade Office in Singapore, Thailand, India, and Japan are currently Vietnam's biggest competitors in the Singapore rice market.
Essentially, the Singapore rice market has stable demand at 300 to 400 million SGD per year. India's ban on the export of non-basmati rice varieties, a type of white rice in which Vietnam has a competitive advantage, effective July 20, 2023, on India's white rice (a dominant market share for Vietnam), has been effectively utilized by Vietnamese businesses to increase their market share and export value to Singapore.
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The Vietnamese Trade Delegation in Singapore and the Singapore Food Authority worked with Duong Vu Rice Company (Long An province) in May 2024. |
Besides the interest of industry associations and businesses in trade promotion and seizing opportunities, the business support activities of the Trade Office of the Vietnamese Embassy in Singapore, along with the close guidance of ministries, sectors, and localities, have contributed to boosting the growth of rice exports to the Singapore market.
Nevertheless, in terms of trade promotion, the promotion and introduction of Vietnamese rice in the market remains relatively limited, with no large-scale promotional activities by businesses focusing on rice. Currently, trade promotion activities and rice product exhibitions in Singapore are mainly carried out regularly by the Vietnamese Trade Office. Meanwhile, countries such as Thailand, Japan, and India are very interested in investing in promoting the image of their products and have agreements with importers and distributors to retain the names and brands of their rice products.
Furthermore, Vietnamese rice exporting businesses still pay little attention to investing in large-scale product promotion and marketing activities. Therefore, importers and distribution systems in Singapore often import Vietnamese rice packaged with Singaporean domestic designs, packaging, and brands for easier market distribution.
According to the Head of Trade, this is the second consecutive quarter that Vietnam has held the top position in rice exports to the Singapore market. Therefore, businesses must continue to strive to improve their competitiveness and the quality of their rice products, as the Singaporean rice market is strictly regulated by the Singaporean government, as evidenced by the government's review and licensing of imports; and its direct inspection and quality control of rice before it is released to the market.
In this context, the Commercial Counselor and Head of the Vietnamese Trade Office suggested that signing an agreement and commitment at the government level between the two countries regarding rice supply is necessary and could contribute to stabilizing Vietnam's rice export turnover to Singapore.
" Vietnamese rice products are not only consumed in the Singapore market but are also exported by Singaporean businesses to other countries around the world. Therefore, businesses need to pay attention to Singapore's important role as a transit hub, not just the nearly 6 million inhabitants of the island nation ," Mr. Cao Xuan Thang advised, noting that to boost market share, sustainably maintain the leading position, and compete with rice products from India and Thailand, continued support from ministries, sectors, localities, industry associations, and Vietnamese rice businesses is needed.
Source: https://congthuong.vn/viet-nam-duy-tri-vi-tri-so-1-kim-ngach-xuat-khau-gao-sang-singapore-335333.html
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