According to explanations from the VFA, the reason for this regulation is based on Decree 109 on the rice export management and Circular 44 guiding the implementation of the Decree 109 issued before.

Accordingly, in the contract registration of rice export submited to the VFA, enterprises are required to provide full details about types of rice, export volume, rice quality, delivery method, price and payment method ... After receiving the registration form, VFA will report record meets the requirements for the following two business days. VFA will announce the qualified profiles for enterprises after two days…VFA will give priority to enterprises having contract with producers.

The association announced that Indonesia has lately purchase 400,000 tonnes of 15 percent broken rice from Vietnam. This is the amount of 820,000 tons of rice, this country had made order with Thailand in late January, but Thais enterprises failed to meet the delivery requirements.

From February 21, VFA raised the flooring price for two kinds of rice for exporting purposes, after one slumping week. In details, the 5 percent broken rice price was posted at $520 per tonne, and 25 percent broken rice rose by $10 to $490 per tonne.

After Vietnam raised the rice export price, the Filipino private enterprises showed interest for purchasing about 660,000 tonnes of rice. This is the new rice import method that Philippines has applied to encourage the private enterprises to purchase rice from neighbouring countries in the region before the government officially starts purchasing rice. (Translated by Hong Chau)