Voluntary Report - public distribution

**Date:** 09/14/2004

**GAIN Report Number:** VM4054

VM4018

**Vietnam**

**Grain and Feed**

###### Rice Weekly Update

**2004**

**Approved by:**

![](media/image1.wmf)John H Wilson

U.S. Embassy

**Prepared by:**

Truong Minh Dao

**Report Highlights**:

So far, the Ministry of Trade has not increased the export target for
rice exports to 3.8 MMT as was suggested in last week's report. It
remains unclear whether or when the target will be increased.

Vietnam rice exports in the first nine months of 2004 reached nearly 3.0
million metric tons, a slight increase compared with exports during the
same period last year. Since last week, export prices of Vietnamese rice
have continued to fall due to limited new demand in the market.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Hanoi \[VM1\]

\[VM\]

**Indicative price (Week ending September 10, 2004)**

Vietnam rice export prices (FOB basis) for various grades

<table>
<colgroup>
<col style="width: 13%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 11%" />
<col style="width: 17%" />
</colgroup>
<tbody>
<tr class="odd">
<td rowspan="2"><p>Grade</p>
<p>% Broken</p></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2">Period Averages</td>
</tr>
<tr class="even">
<td>#1</td>
<td>#2</td>
<td>#3</td>
<td>#4</td>
<td>#5</td>
<td>#6</td>
<td>#7</td>
<td>Current Average</td>
<td><p>Previous</p>
<p>(Sep. 03)</p></td>
</tr>
<tr class="odd">
<td>5</td>
<td>226</td>
<td>227</td>
<td>225</td>
<td>226</td>
<td>226</td>
<td>226</td>
<td>226</td>
<td>226.00</td>
<td>234.43</td>
</tr>
<tr class="even">
<td>10</td>
<td>223</td>
<td>224</td>
<td>222</td>
<td>224</td>
<td>223</td>
<td>223</td>
<td>223</td>
<td>223.14</td>
<td>231.29</td>
</tr>
<tr class="odd">
<td>15</td>
<td>219</td>
<td>220</td>
<td>220</td>
<td>220</td>
<td>219</td>
<td>219</td>
<td>220</td>
<td>219.57</td>
<td>228.71</td>
</tr>
<tr class="even">
<td>25</td>
<td>216</td>
<td>217</td>
<td>216</td>
<td>215</td>
<td>216</td>
<td>217</td>
<td>216</td>
<td>216.14</td>
<td>223.86</td>
</tr>
</tbody>
</table>

Source: Average indicative prices from exporters

By the end of last week, export prices continued to fall by around
\$8/MT compared with prices quoted on September 03 due mainly to limited
fresh demand.

Exporters have been facing difficulties in concluding new sales as their
transaction prices have been requested to be close to the price levels
guided by Vietnam Food Association (Vietfood). Last week's guided prices
(USD/MT FOB Ho Chi Minh City) issued by Vietfood for Vietnam rice 5%
broken, 10% broken, 15% broken and 25% broken were 228, 225, 222 and 218
U.S. dollars per metric ton, respectively. These levels were roughly
\$2/MT higher than actual quoted prices.

In domestic markets, paddy prices were further down by VND 100/kg to

VND 1,950 - 2,050/kg compared with VND 2,100-2,150/kg quoted last week.

(Exchange rate is \$1 equal to VND 15,780 as of September 10, 2004)

**Exports**

######## The following are reported rice exports (metric tons) from August 27 to September 03, 2004.

+--------------+-----------+-----------+---------------+--------------+
| **Week       | **Q       | **4-WK    | **Year to     | **Year ago** |
| ending**     | uantity** | Avg.**    | date**        |              |
+--------------+-----------+-----------+---------------+--------------+
| ###          | 131,000   | 71,750    | 2,162,000     | 2,250,000    |
| #### July 02 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| ###          | 118,000   | 93,500    | 2,280,000     | 2,321,000    |
| #### July 09 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| ###          | 72,000    | 95,500    | 2,352,000     | 2,395,000    |
| #### July 16 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| ###          | 103,000   | 106,000   | 2,455,000     | 2,449,000    |
| #### July 23 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| ###          | 97,000    | 97,500    | 2,552,000     | 2,539,000    |
| #### July 30 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| #####        | 65,000    | 84,250    | 2,617,000     | 2,573,000    |
| ## August 06 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| #####        | 98,000    | 90,750    | 2,715,000     | 2,641,000    |
| ## August 13 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| #####        | 79,000    | 84,750    | 2,796,000     | 2,743,000    |
| ## August 20 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| #####        | 76,000    | 79,500    | 2,872,000     | 2,799,400    |
| ## August 27 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+
| #######      | 88,000    | 85,250    | 2,960,000     | 2,878,000    |
| September 03 |           |           |               |              |
+--------------+-----------+-----------+---------------+--------------+

Exports from January 1 --September 3, 2004 totaled 2,960,000 metric
tons, compared to 2,878,000 metric tons during the same period of 2003,
a slight increase of 2.8%.

End of Report