Vietnam Asks Traders: Keep A Stable Rice Supply

Vietnam on Friday called on the country's food association to ensure sufficient domestic rice supplies and food security after India's move to curb its exports, Khanh Vu reported for Reuters.

Photo Insert: Vietnam is the world's third-largest rice exporter, after India and Thailand.

India, which accounts for 40% of world rice exports, on Thursday ordered a halt to its largest rice export category to reduce domestic prices.

"India's move to curb its rice exports will affect the global rice market," Vietnam's Ministry of Industry and Trade said in a document sent to the Vietnam Food Association and reviewed by Reuters.

The ministry asked the association, which represents rice exporters and processors, to order its members to follow the rule of maintaining rice reserves equivalent to at least 5% of their export volume in the previous six months.

It called on rice traders to balance between exports and domestic sales to stabilize domestic prices. Vietnam is the world's third-largest rice exporter, after India and Thailand.

Its rice shipments in the first half of this year rose 21.3% from a year earlier to 4.24 million tons, according to the government's customs data. Vietnam's 5% broken rice was offered at $533 per ton on Friday, traders said, up from a range of $515-$525 on Thursday.

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