Philippines spent USD 1.2 billion to buy Vietnamese rice in the first half of 2024

The Vietnam Trade Office in the Philippines has just announced the latest data. Accordingly, Vietnamese rice is leading the market in the Philippines - Vietnam's largest rice export partner for many years.

In June this year, the Philippines reduced the rice import tax from 35% to 15%, applicable until 2028, and is expected to increase the import volume from 4 million to 4.5 million tons. The opportunity for Vietnamese rice in the year's second half is assessed to be very open.

However, although the opportunity to export rice is expanding, many businesses still need to be cautious due to high input prices and the impact of storms and floods that could reduce rice supply at the end of the year. The year-end market is expected to fluctuate, contributing to businesses' concerns when signing new export contracts.

The Vietnam Trade Office in the Philippines recommends businesses balance costs to offer competitive prices and maintain market share. At the same time, the Ministry of Industry and Trade, the Embassy, and the Vietnam Trade Office will also support businesses in trade promotion activities, advertising, and improving product quality to increase export value.

Last year, Vietnam exported more than 3 million tons of rice to the Philippines, down 3% compared to 2022. However, thanks to high prices, export turnover reached USD 1.75 billion, up 17.6% compared to the previous year.

According to the Ministry of Agriculture and Rural Development (MARD), the Philippines, Indonesia, and Malaysia are the three largest markets for Vietnamese rice exports. In the first seven months of 2024, Vietnam exported 1.98 million tons of rice to the Philippines, accounting for 38.2% of Vietnam's total rice exports.

Indonesia ranked second, with Vietnam's rice exports to this market reaching 830,000 tons. The Indonesian market accounts for 16% of our country's rice exports.

Malaysia ranked third. In the first seven months of 2024, this country imported more than 461,000 tons of rice from Vietnam, accounting for 10.2% of Vietnam's total rice exports.