Voluntary Report - public distribution

**Date:** 4/05/2004

**GAIN Report Number:** VM4020

VM4018

**Vietnam**

**Grain and Feed**

**Rice Weekly Update**

**2004**

**Approved by:**

![](media/image1.wmf)Henry Schmick

U.S. Embassy

**Prepared by:**

Tran Quoc Quan

Report Highlights: Prices continued up at the start of the week (March
29) and stayed high (\$242/mt). March exports will total about 600,000
mt (excluding border trade with China).

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Hanoi \[VM1\]

\[VM\]

**Indicative price (Week ending Apr. 2, 2004)**

Vietnam rice export prices (FOB basis) for various grades

<table>
<colgroup>
<col style="width: 14%" />
<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: 12%" />
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</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>Previous (Mar.26)</td>
</tr>
<tr class="odd">
<td>5</td>
<td>240</td>
<td>240</td>
<td>242</td>
<td>242</td>
<td>242</td>
<td>242</td>
<td>242</td>
<td>241.43</td>
<td>234.43</td>
</tr>
<tr class="even">
<td>10</td>
<td>234</td>
<td>234</td>
<td>236</td>
<td>238</td>
<td>238</td>
<td>238</td>
<td>238</td>
<td>236.57</td>
<td>229.43</td>
</tr>
<tr class="odd">
<td>15</td>
<td>228</td>
<td>228</td>
<td>230</td>
<td>230</td>
<td>230</td>
<td>230</td>
<td>230</td>
<td>229.43</td>
<td>224.29</td>
</tr>
<tr class="even">
<td>25</td>
<td>220</td>
<td>220</td>
<td>222</td>
<td>222</td>
<td>222</td>
<td>222</td>
<td>220</td>
<td>221.14</td>
<td>218.29</td>
</tr>
</tbody>
</table>

Source: Average indicative prices from exporters

Prices went up at the start of the week and remained stable (high)
during the rest of the week. The Vietnamese rice association has advised
farmers that this would be a good time for selling their rice to get the
best prices. The rice association is trying to boost confidence that
significant local supplies remain available, mostly in farmer-held
stocks. Other observers wonder if the local supplies are sufficient to
fulfill all the export contracts, local market requirements, and supply
the cross-border trade with China.

**Exports**

######## The following are reported rice exports from March 19-26, 2004

+--------------+-----------+-----------+---------------+------------+
| **Week       | **Q       | **4-WK    | **Year to     | **Year     |
| ending**     | uantity** | Avg.**    | date**        | ago**      |
+--------------+-----------+-----------+---------------+------------+
| ###          | 68,200    | 53,687    | 269,300       | 445,000    |
| #### Mar. 05 |           |           |               |            |
+--------------+-----------+-----------+---------------+------------+
| ###          | 85,700    | 61,838    | 355,000       | 520,000    |
| #### Mar. 12 |           |           |               |            |
+--------------+-----------+-----------+---------------+------------+
| ###          | 84,000    | 68,500    | 439,000       | 618,000    |
| #### Mar. 19 |           |           |               |            |
+--------------+-----------+-----------+---------------+------------+
| ###          | 153,000   | 97,725    | 592,000       | 710,200    |
| #### Mar. 26 |           |           |               |            |
+--------------+-----------+-----------+---------------+------------+

According to the Ministry of Agriculture and Rural Development (MARD),
the quantity of Vietnam rice going via border trade to China is more
than 200,000 mt during the first three months of 2004.

As of the end of March/early April, many ships are loading rice in
Saigon Port. Post expects March (March 1-31) exports to reach nearly
600,000 mt (excluding China border trade), while the previously expected
volume for March was only around 400,000 mt. All this activity is going
to complete old contracts; no (significant) new sales have been
reported.

End of Report