HANOI - The Vietnam
Ministry of Trade has approved the Vietnam Foodstuffs
Association's (Vietfood) proposal to allow domestic rice
exporters to continue exporting sticky and fragrant
rice, but at a restricted volume of 10,000 tonnes per
month, Vietfood reported.
Late last month,
Vietfood asked the government to allow domestic rice
exporters to continue to export sticky, fragrant and
broken rice, even though the country had met the annual
3.5 million tonne export target when South Korea
purchased 100,000 tonnes of rice from Vietnam.
Vietfood argued that the ministry's 3.5 million
tonne target should not include exports of sticky,
fragrant and broken rice, as those varieties account for
roughly 200,000 tonnes of the country's total rice
exports.
Vietfood general director Nguyen Thu
Nguyet said rice businesses are allowed to export an
additional 5,000 tonnes of sticky rice and another 5,000
tonnes of fragrant rice per month. However, Nguyet said
the ministry refused to increase exports of broken rice
on the grounds of national food security.
According to the latest forecasts from the US
Department of Agriculture, the world's rice demands in
2004 and 2005 will exceed the supply, requiring nations
to increase their rice stockpiles to ensure the security
of their food supplies. Nguyet said domestic rice
exporters are required to report any additional exports
to Vietfood.
Sticky rice and fragrant rice are
two popular varieties cultivated in the Mekong Delta
region because of their high added value. Their prices
are roughly US$10-15 and $30-35 per tonne higher than
normal rice, respectively.
Sticky and fragrant
rice are also some of Vietnam's new exports this year.
The southern provinces of Hau Giang and Tien Giang are
the first to export fragrant rice to Belgium, the United
States, Hong Kong and Norway.
According to the
Trade Ministry, the export surges in the these varieties
are aimed to entice new customers and markets, and
encourage farmers to continuously enlarge their
cultivation areas.
The ministry said the
increase will not impact national food security, as
yields from the two varieties remain modest.
Vietnam has already shipped 2.64 million tonnes
of rice out of 3.5 million tonnes committed to foreign
importers, earning $610 million (VND9.6 trillion).
Officials expect another 100,000 tonnes to be shipped
soon to the Philippines, Cuba and Africa.
(Asia
Pulse/VNA)
Aug 11, 2004
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