Vietnamese rice exporters are facing implications after Philippines has imposed a ban on rice import from Vietnam to safeguard its local paddy cultivators. Philippines rice import suspension has hit the Vietnamese rice exporters hardly as the Philippines is the world’s largest rice importer and the biggest buyer of Vietnamese rice.
For the unversed, the Philippines imposed the ban on rice imports from the Vietnam for 60 days from September 1. In this context, the Vietnam Food Association has requested the country’s trade ministry to challenge the move by the Philippines to stop rice imports for 60 days. Traders stated that the move will significantly harm the local production.
Rice Prices Plunge to their Lowest Level
Owing to this, rice prices in Vietnam have plunged to their lowest level in nearly three years. Since the Philippines is the world’s largest rice importer and the biggest buyer of Vietnamese rice, the rice impost suspension for 60 days is a major blow for rice exporters of Vietnam. A report suggested that the Fragrant 5% rice has reached its lowest level at $439/mt FOB (Free on Board) which signifies a downfall of $63/mt month over month, and at its lowest since Sept. 28, 2022, when the price was assessed at $437/mt FOB.
However, the ban does not apply to imported milled rice covered by a valid sanitary and phytosanitary import clearance, provided it is shipped via bulk carrier, departs the country of origin on or before Aug. 30. and arrives at authorized ports of entry on or before Sept. 15. Notably, Philippines is the world’s largest rice importer and the biggest buyer of Vietnamese rice with Vietnam exporting 2.44 million metric tons of rice to the Philippines in the first seven months of the year 2025 (January to July).