25 March 2020. The Ministry of Agriculture and Rural Development (MARD) actively worked with provinces/cities to prepare plans and expedit a range of response measures in an attempt to harvest a paddy production of 43.5 million tons.

As reported by MARD, the unexpectedly spreading Covid-19 pandemic and unfavorable weather conditions may affect food production, consumption and demand in the world but MARD will take active actions to ensure sufficient supply for domestic use and export.

The first months of 2020 saw favorable export of rice. The higher export price benefits the Government, enterprises and producers. As of 15 March 2020, totally 1.298 million tons of rice were exported, increased by 2.5%, worth USD 602 million or increased by 34.6% in comparison with the same period of 2019. As remarked by Viet Nam Food Association, the price on 20 March 2020 was 418 - 422 USD/ton for 5% broken rice, 403 - 407 USD/ton for 25% broken rice; and 528-532 USD/ton for Jasmine rice. Such price of 5% broken rice was 30-40 USD/ton higher than the price in February 2020.     

The domestic prices remained relatively stable. Between 5 and 12 March 2020, enterprises paid VND 4,950 – 5,150 for a kilogram of fresh paddy in the fields in the Mekong Delta, and VND 4,950 – 5,500 for a kilogram of long-grain paddy.

Despite the immediate favorable conditions, MARD predicted that various extreme events in 2020 (e.g., drought, saltwater intrusion in the Mekong Delta, Central Region and Central Highland, and warm winter in Northern provinces) would affect the national rice production.

Therefore, MARD has been working actively with provinces/cities to plan and expedite numerous response measures to harvest 43.5 tons of paddy, an increase of 80,000 tons compared with 2019, in order to supply for domestic use and export 6.5-7 million tons of rice.

To harvest 43.5 million tons of paddy, the whole country needs to maintain at least 7.364 million ha of rice in 2020, reduced by 115,000 ha against 2019 due to crop restructuring and saltwater intrusion; and the yield of 59.3 quintals/ha, increased by 1 quintal/ha in comparison with 2019 to compensate for the reduced area.

MARD proposed that the Prime Minister would assign the Ministry of Trade and Industry (MOIT) to take the lead and continue its strict monitoring of other markets’ import and export demand in order to take any possible advantages, especially monitoring of India’s export and other exporting countries in the region. At the same time, MARD and MOIT will work with Viet Nam Food Association and rice exporters to ensure their reserve, circulation and price stabilization of rice for the domestic market and export in the context of spreading Covid-19.