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Minister Nguyen Xuan Cuong said this year, prices of agricultural products decreased 5-15%, especially rice.

The reason is the impact of El Nino in the end of 2015 and the first half of 2016 causing reduction in the volume of global food. Many countries had to balance their stockpiles, so the rice market in 2018 witnessed good prospect in both volume and value.

Vietnamese rice hit a record average price of more than USD500 a ton. However, in 2019, supply from the stockpiles of big countries was sufficient. Even countries which previously imported Vietnamese rice now could balance themselves.

The Minister said that the short-term solution is to expand into new markets, focus on the African and ASEAN markets to compensate for the decline in the Chinese market. For local production, the ministry will structure rice varieties to suit the above markets.

At the same time, production costs must also be reduced by comprehensively applying scientific advances from varieties and technical processes to ensure profits of farmers.

In the first half of the year, the Philippines ranked first among Vietnam’s rice exporters with a 33.7% market share. Rice export value also increased in some markets such as Ivory Coast 67%, Hong Kong (China) 60% and Saudi Arabia 38%./.