HANOI - Vietnam has outlined plans to boost revenues from rice exports over the next decade by focusing on a higher quality product and selling more outside Asia.
The world's third-biggest rice producer wants to boost production of higher-quality 5% and 10% broken rice and decrease output of 15% broken rice, according to a paper published on the government's website.
By doing so it aims to increase its rice exports to US$2.3 billion-$2.5 billion annually between 2021 and 2030, from an expected $2.2billion to $2.3 billion a year over 2017-20.
Vietnam is facing rising competition from rice exporters Thailand and India. Under its long-term plan, Hanoi expects the volume of its exports will actually fall from 2021, to around 4 million tonnes annually -- from 4.5 million to 5 million tonnes a year until 2020 -- as it sells less lower-grade rice.
By 2030, it aims to sell 50% of its rice exports in Asian countries, down from 60% in 2020. Africa will account for 25% of its exports by then, up from 22%, with the Americas accounting for 10%, up from 8%, and sales to Europe increasing to 6% from 5%.
Vietnam aims to keep China, the Philippines, Indonesia and Malaysia as the main buyers in Asia while increasing exports to South Korea and Japan.
The bulk of Vietnam's current exports are 5% broken rice but Hanoi wants to increase the proportion further, although it did not give details.
Last year, the country's total rice exports fell by 27% to 4.8 million tonnes as it faced rising competition from Asian rivals, as well as policy changes in China and a fall in domestic production due to drought and high water salinity.
Exports rebounded 14% in the first half of this year to an estimated 2.96 million tonnes.