If you choose the wrong rice manufacturer in Vietnam to work with, you will face a very large loss that can damage not your time, and money but your reputation and the belief of your customers. That’s why in this article, we will find out the criteria you need to pay attention to find a suitable rice manufacturer in Vietnam, as well as other important notes when importing rice from Vietnam.
- 1 Overview of rice manufacturer in Vietnam
- 2 Which types of rice to buy from rice manufacturer in Vietnam?
- 3 Things to know when working with rice manufacturer in Vietnam
- 3.1 Location rice manufacturer in Vietnam
- 3.2 Opportunities from open policies from the government and FTAs
- 3.3 Check rice export business conditions of rice manufacturer in Vietnam
- 3.4 Standard inspection of exported rice
- 3.5 How to choose a credible rice manufacturer in Vietnam?
- 4 Top 5 credible rice manufacturers in Vietnam
Overview of rice manufacturer in Vietnam
Before knowing how to choose a credible rice manufacturer in Vietnam, firstly we need to understand the wide picture of Vietnam’s rice export!
Vietnam is the world’s leading rice exporter, its rice has been exported to nearly 160 countries and territories, accounting for 15% of the global rice market share, and also initially penetrated demanding markets that require high quality such as Japan, Korea, the USA, EU…
In the period between the years 2010 and 2020, on average, Vietnam exported over 6.4 million tons of rice, accounting for close to 20% of the nation’s total output, and increased the number of rice manufacturer in Vietnam at the same time.
According to statistics from the Import-Export Department (Ministry of Industry and Trade), by the end of June 15, 2022, the country’s rice exports reached 3.11 million tons, worth $1.52 billion, an increase of nearly 12.3 % in volume and slightly increased by 0.7% in value over the same period in 2021.
Besides high-end markets such as the US, Europe (EU), Japan, and South Korea, the Philippines is still the most potential market for Vietnamese rice. In the first 6 months of 2022, the Philippines continues to be the leading market, accounting for 49.89% of the country’s total rice exports. Besides the Philippines market, the markets of China, Africa, and Cuba are also very stable, which has contributed to boosting rice exports in the 2nd quarter and first 6 months of 2022, which is very optimistic for both Vietnam’s import-export balance and rice manufacturer in Vietnam. On the other hand, rice export to demanding markets is expected to increase in the near future with the improvement of the competitiveness of rice manufacturer in Vietnam.
Which types of rice to buy from rice manufacturer in Vietnam?
Vietnam has many kinds of rice, from ordinary to specialty. And rice produced by rice manufacturer in Vietnam could be divided into varieties based on:
- Shape: long grain rice, medium grain rice, short grain rice
- Color: White rice (often long grain white rice), brown rice, red rice…
However, because the quality affects a lot to the price of rice, so for import-export, rice manufacturer in Vietnam will produce and classify rice into three main types:
- Specialty: These are the high-value and special varieties of rice that are grown only in Vietnam. They are ST25, ST24, and Huong Lai Fragrant rice,.. with a very natural and unique aroma, often with a soft flavor.
- Fragrant rice, high-value rice: includes some famous types of rice such as Jasmine rice, Japonica, KDM, DT8… These types have good quality at a reasonable price, used and favored by many markets. These are the main types of rice produced by rice manufacturer in Vietnam currently.
- Ordinary rice: includes low-value and cheap rice, the quality is often lower than the above-mentioned types of rice. This type is often exported to the African market and some Asian countries, with some typical types such as OM5451, IR504, Ham Chau rice… The rice manufacturer in Vietnam is having the trend of decreasing these types in production.
Compared with rival Thailand, Vietnam’s rice varieties are more diverse, with many varieties that Thailand and Cambodia do not have. For higher-grade rice exported to the European market, Vietnam’s rice is also in a very good position when some varieties such as Jasmine, ST24, and ST25 are asserting their position.. Most rice manufacturer in Vietnam is aiming to produce this high-value and specialty rice.
“Notably, Vietnam not only has a market but there are also competitive and specialty rice varieties such as DT8, ST… that Thailand does not have”
Things to know when working with rice manufacturer in Vietnam
Location rice manufacturer in Vietnam
Vietnam’s rice is grown in four major regions, they are the Mekong Delta, Red River Delta, Central Coast, and Northern Mountainous regions. Each is distinctive in geography and climate characteristics, yet they all have a hand in the success of Vietnamese rice.
In particular, the Mekong River Delta is the main Vietnam rice production area of the country, with an average annual output of about 24 million tons, providing over 90% of Vietnam’s rice exports. Therefore, most of the rice manufacturer in Vietnam is located in the southern region of the country.
To facilitate the process of rice harvesting, rice milling/processing, and transportation for export (usually at Cat Lai port, Ho Chi Minh, Vietnam), these rice manufacturer in Vietnam are located in a centralized location in some provinces such as An Giang, Long An, Tien Giang, Can Tho, Ben Tre…
Opportunities from open policies from the government and FTAs
Vietnam is one of the countries that are open and deeply integrated with the world. The rice export industry in general, as well as other sectors of Vietnam, greatly benefited from various incentive policies from the government as well as FTAs of Vietnam with many countries and territories. So the rice manufacturer in Vietnam can get benefits from these open policies and FTAs
Notably, the rice manufacturer in Vietnam is benefiting in exporting rice from free trade agreements such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) when increasing exports to Australia and Singapore markets.
In addition, Vietnam’s rice exports to the EU market were previously subject to very high taxes, up to 45%. There are even some countries in the EU that impose import taxes on Vietnamese rice up to 100% or higher. The Vietnam-EU Free Trade Agreement (EVFTA) now allows Vietnam and rice manufacturer in Vietnam to be exempt from tax with a quota of 80,000 tons of rice per year; in which, 30,000 tons of milled rice, 20,000 tons of unmilled rice, and 30,000 tons of fragrant rice, and at the same time, complete freedom for broken rice.
Within the framework of the World Trade Organization (WTO), rice manufacturer in Vietnam and Vietnam’s rice exports are supported by promoting the piloting of building material areas meeting export standards, being granted a planting area code, and is associated with export enterprises, such as 50,000ha of rice produced by rice manufacturer in Vietnam in An Giang and Kien Giang.
Check rice export business conditions of rice manufacturer in Vietnam
Rice manufacturer in Vietnam is required by Government Decree 107 to have professional storage facilities for paddy and rice that are compliant with national standards, as well as technical regulations on rice warehouses, rice processing facilities, or grinding facilities. Rice manufacturer in Vietnam must invest in growing regions, collaborate closely with farmers, and follow strict farming procedures to produce high-quality rice.
In particular, rice manufacturer in Vietnam or exporting companies are required to have a minimum of one specialized warehouse with a storage capacity of 5,000 tonnes of rice and a minimum of one facility for grinding grains and rice with a production rate of 10 tons per hour. The government’s decree No. 109/2010/CP lays forth these conditions to increase the competitiveness and pricing of rice manufacturer in Vietnam and rice exporters relative to their overseas rivals.
In countries like China, if you want to import rice from Vietnam, you need to have a quota import from the Chinese government while the rice manufacturer in Vietnam or exporters do not have a quota for export. However, currently, China is promoting official exports, so only rice manufacturer in Vietnam and Vietnamese enterprises have the conditions for infrastructure as well as quality management systems, following the Protocol on Phytosanitary for Vietnamese rice exports to China and other requirements of the Chinese side, can be exported to China.
Standard inspection of exported rice
Vietnamese rice grains are very susceptible to residues of fertilizers, antibiotics, or pesticides that reduce the quality and value of rice. If you want to import rice from Vietnam, you need to pay attention to rice manufacturer in Vietnam/exporters must have the GAP standard for rice grain quality requirements. Although each type of rice will have different standards, you can refer to the general Vietnamese export rice standards as follows when working with rice manufacturer in Vietnam:
Specification standard of Vietnam exported rice
|White logn grain rice 25%||<25||<14.5||<2.0||<1.5||<5.0||<30||<8.0||<1.5||Well Milled & Double Polished|
|White long grain rice 15%||<15||<14||<1.5||<1.25||<0.2||<25||<7.0||<0.3||Well Milled & Double Polished|
|White long grain rice 10%||<10||<14||<1.25||<1.0||<0.2||<20||<7.0||<0.2||Well Milled & Double Polished|
|White long grain rice 5%||<5||<14||<1.5||<0.5||<0.1||<15||<6.0||<0.2||Well Milled & Double Polished|
Depending on markets, there will be different requirements on the technical standards of imported rice and rice manufacturer in Vietnam, however, the European market is considered to have more strict requirements than other markets, these requirements include food safety and hygiene, restricting the presence of pesticides in products from plants and animals intended for human uses; and packaging and labeling… So you need to ask the rice manufacturer in Vietnam for these standards.
How to choose a credible rice manufacturer in Vietnam?
If you’re searching on the Internet, you may be overwhelmed by too many names of rice manufacturer in Vietnam. And if you choose the wrong rice manufacturer in Vietnam to work with, you will face a very large loss that can damage not your time, and money but your reputation and the belief of your customers. So here are some tips you can apply to find a suitable rice manufacturer in Vietnam:
Find the information
The first step in importing wholesale rice is to find the information. You need to pay attention to all the information you see on the Internet, so make sure to check the sources of information. Because the companies or the rice manufacturer in Vietnam can easily pay for a rank on some top-list websites, it’d better find the list of rice manufacturer in Vietnam through the Vietnamese Government website, Ministry of Industry and Trade, Vietnam Rice Import and Export Association… to find leading rice factories
Check the information
You should check the website of rice manufacturer in Vietnam first, then see their presence on other marketing channels, talk to the sales and ask for information/images/address of the factory of rice manufacturer in Vietnam… These can help you have an overview of the manufacturer’s capacity, profession and avoid scams…
Visit the rice manufacturer in Vietnam in person
This is the best way to know if what you see and what the rice manufacturer in Vietnam said are the same. Besides, you can check the quality of rice, and the production process, and verify other essential information such as export licenses, quality standard certificates,… A credible rice manufacturer in Vietnam must have these standard papers
Watch the video below to see what you need to prepare for visiting Vietnam!
Top 5 credible rice manufacturers in Vietnam
Rice is one of the key export products of Vietnam, that’s why you can find hundreds of exporters and rice manufacturer in Vietnam. However, most of these rice manufacturer in Vietnam is still on a small scale, not yet meeting the standards in rice production as well as export operations.
That’s why it’s crucial to select a reliable and knowledgeable partner when importing Vietnamese rice. The top 5 most reputable rice exporters and rice manufacturer in Vietnam are shown below.
Vina Food I
When it comes to rice manufacturer in Vietnam, the first name that comes to mind is Northern Food Corporation – one of the three largest manufacturers in Vietnam. The corporation currently has more than 50 agricultural products processing facilities, mainly in the Mekong Delta and Red River Delta provinces with a rice processing capacity of over 1 million tons/year.
Along with that, Northern Food Corporation is a large rice manufacturer in Vietnam that has modern and technical facilities, investing in warehouses and processing facilities not only in the North but also reaching out to the rice bowl provinces of the Mekong Delta.
With very modern technologies, Vina Food II is one of the largest and most prestigious rice manufacturer in Vietnam.
The company buys and processes up to 3 million tons of rice annually, and then exports it to markets such as Asia, Eastern European countries, Middle East countries, Africa, the Americas, etc. Rice is the main export product of Vinafood II; Besides, the company also processes and exports a number of other agricultural products such as cashew nuts, coffee, cassava chips, corn, and beans.
Starting as a small trader specializing in buying and selling rice from Vietnam to China in 1996, after nearly 25 years, K-Agriculture is now known as a leading prestigious rice manufacturer in Vietnam.
With a methodical investment in technology and meeting technical standards, K-Agriculture’s rice factories in the southern provinces can produce 75,000 tons of high-quality rice per month, exporting about 200-300,000 tons of rice to key markets such as America, Asia, the Middle East, and Africa… every year.
K-Agriculture is aiming for becoming the leading rice manufacturer in Vietnam in sustainable production, improving quality and production processes to target more demanding markets like EU countries in the near future
Currently, the company is also expanding its products, in addition to rice as the main product, the K-Agriculture factory is providing Vietnamese rice, coffee, and spices: anise, cinnamon, and black pepper with certain success.
With about 35 years of commercial experience, Angimex is also a credible rice manufacturer in Vietnam, trusted and accepted by not only domestic customers but also demanding markets such as some countries in the EU, America, and Asia, etc
The company can produce about 2,200 tons of rice per day, with modern facilities including warehouses that can store up to 100,000 tons of rice, large material areas and various transportation.
As a public company with 100% private ownership, Gentraco is a rice manufacturer in Vietnam which focuses on the export rice processing industry. With a warehouse system, modern equipment with a capacity of 2,500 tons/day, and a stable raw material area in the rice fields of the Mekong Delta, Gentraco can meet large orders as well as high product lines. supplies are packed in 1kg-10kg bags according to the standards of supermarkets in Asia, Europe, Australia, the Middle East…
With the quality policy “Prestige – Efficiency”, orders are controlled at each stage, ensuring stable quality and timely delivery. So this is also a name of rice manufacturer in Vietnam you may consider working with.
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