Having just finished harvesting 1.4 hectares of OM 18 rice, Ms. Nhat Hoa in Long Duc commune (Long Phu district, Soc Trang province) said that 2 days ago, traders deposited 7,700 VND/kg; the next day, they reduced the price to 7,600 VND; on January 5, it was only 7,500 VND/kg. The price difference in just a few days reduced Ms. Hoa's family by about 1.4 million VND/ha.
Ms. Hoa said that in the 2024 Winter-Spring crop, her family cultivated 20 hectares, with production costs of over 90 million VND (all stages were hired labor). However, the yield was not as expected due to unfavorable weather and unseasonal rain, estimated at only 6.5 - 7 tons/ha, down about 2 tons/ha compared to the same period.
“Productivity has decreased, rice prices have dropped, and profits have become even lower. Last crop, I earned 220 million VND (before deducting expenses), but this crop, I sold all the rice for just over 100 million VND,” Ms. Hoa said sadly.
According to Ms. Hoa, Tet is approaching, all expenses depend on money from selling rice, and with the current situation this year, families will not be able to celebrate Tet happily.
Mr. Tran Quoc Khoi in Long Duc commune (Long Phu district, Soc Trang province) has just harvested nearly 3 hectares of rice, with a yield of about 9 tons/ha. Traders bought at 7,600 VND/kg, down more than 1,000 VND/kg compared to the beginning of the season.
“Initially, traders bought the rice at 7,700 VND/kg on the condition that they bring the rice to the main road for transportation. Due to difficulties in gathering the rice, we proactively reduced the price to 7,600 VND/kg to sell it faster. This price is still profitable but about 50% lower than before. The income is enough to cover Tet but we would be happier if the rice price was higher,” said Mr. Khoi.
A trader who is purchasing rice in Long Duc commune (Long Phu district, Soc Trang province) said that rice prices have decreased since mid-December 2024. More than a week ago, OM 18 rice was sold for 8,800 - 9,000 VND/kg, but now it is only 7,700 - 7,600 VND/kg (beautiful rice, firm grains). Many grains are flat and uneven in color, so the price is lower. Some types of rice are even only over 5,000 VND/kg, but traders are still reluctant to buy.
According to this trader, by 2025, the world's rice supply will return to the Indian market, a factor that will strongly affect the world's rice export price, including Vietnam's.
According to an update from the Vietnam Food Association (VFA) on January 3, the export price of 5% broken rice from Vietnam has decreased by another 8 USD compared to the end of 2024 and is now only 473 USD. Similarly, 25% broken rice has decreased by 16 USD to 438 USD/ton. This has made many farmers in the Mekong Delta worried as they are entering the biggest rice harvest of the year.
