Hanoi (VNS/VNA) - Vietnam exported 1.7 million tonnes of rice in the firstquarter of 2023 worth over 900 million USD, a 19% increase in quantity and 30%rise in value compared to the same period in 2022.

These latestfigures were released in a latest report by the General Department ofCustoms.

According tothe Ministry of Industry and Trade (MoIT), Vietnamese rice has seen somesuccess in improvements in quality and demand over the last severalyears. 

The majorityof exported rice came from the Mekong Delta, with the rest of the country'srice production centres mainly serving the domestic market. 

Le Thanh Tung,deputy head of the plant cultivation department under the Ministry ofAgriculture and Rural Development (MARD), said rice production this year forthe Mekong Delta alone is projected to reach 24 million tonnes. Consumption forthe Delta and Ho Chi Minh City, Vietnam's most populous city, will stay around11 million tonnes, leaving 13 million tonnes for export.

Of which,premium-quality rice for export accounts for 3 million tonnes, specialty rice2.1 million tonnes and regular rice 1 million tonnes.

Vietnameserice will likely continue to be sought after in the second quarter of the yearas demand has been on the rise in major markets including the Philippines,China and Africa, said the Vietnam Food Association (VFA).

Nguyen NgọcNam, President of the VFA, said Vietnamese rice has been fetching good priceson the international market despite a gloomy outlook for the global economy ascountries look to stock up on food for uncertain times ahead. 

In addition,major free trade agreements including the European Union - Vietnam Free TradeAgreement (EVFTA) have seen tariffs on Vietnamese rice reduced by as much as175 EUR per tonne, giving Vietnamese premium rice an advantage in the Europeanmarkets. 

As demandsoars, exporters have been trying to purchase additional amounts from farmersto maximise efficiency and profit. However, many have voiced concerns over alack of capital.

Phan Van Chinh, Director of MoIT's Agency for Foreign Trade, said the ministry has been working closely with exporters to find solutions to minimising logistic costs and dealing with import/export protocols in international markets.  On the otherhand, the ministry said it is to keep a close watch on the amount of rice beingexported to ensure the country's food security. 

In anearlier development, the State Bank of Vietnam (SBV) has ordered commercialbanks to review and streamline the borrowing process for rice traders to helpthem access additional capital sources./.