India continues to ban rice bran exports, Vietnamese import businesses may face risks

Vietnamese enterprises have been importing more than 54% of India's rice bran exports. However, the world's leading rice exporter has just ordered a further "closed" export of all rice bran products, effective immediately from July 28, after banning the export of all regular rice products since July 20.

India's rice exports

Information from the Ministry of Industry and Trade on July 31 said that after banning the export of all types of regular rice, the Directorate General of Foreign Trade of India continued to issue Notice No. 21-2023 on banning the export of rice bran, which took effect from July 28 and will last until November 30. According to the Vietnam Trade Office in India, this decision was made due to the significant increase in prices of milk and dairy products in India and the skyrocketing price of animal feed, in which the main ingredient is rice bran extract or rice bran extract, a major ingredient in animal feed, poultry and fish.

In the first 5 months of the year, India exported 288,000 tons of rice bran (HS code 23069090), down 21.54% over the same period. Vietnamese enterprises have signed contracts to import large quantities of rice bran from India. Of which, the amount of rice bran that India exported to Vietnam was 155,900 tons, accounting for 54.13% of India's total exports.

The Vietnam Trade Office in India believes that India's ban on rice bran exports, which takes effect immediately, will impact rice bran export contracts that have not yet been delivered. Since Vietnam is a large importer of rice bran from India, Vietnamese import businesses may be at risk. Vietnamese import businesses need to quickly work with their export partners in India to check the status of goods and resolve issues based on signed contracts.

The Ministry of Industry and Trade added that in the first 5 months of the year, Vietnam imported a total of 367,500 tons of Indian rice (all types), an increase of 31.76% over the same period, ranking 8th among countries importing Indian rice. The reason why Vietnamese enterprises import a lot of Indian rice bran is to process animal feed because the price of Indian rice bran is cheaper than Vietnamese rice bran.

VAN PHUC/SGGP NEWSPAPER

Source: https://baosoctrang.org.vn/kinh-te/an-do-tiep-tuc-cam-xuat-khau-cam-gao-cac-doanh-nghiep-nhap-khau-cua-viet-nam-co-the-gap-rui-ro-66710.html