Vietnam PM: Vietnam Mulling Imposing New Export Tax on Rice

Vietnamese Prime Minister Nguyen Tan Dung on May 6 said that the government of Vietnam is considering imposing a new export tax on rice in an attempt to ensure the country’s food safety.

 

This is part of a package of measures PM Nguyen read before the lawmakers at the National Assembly's opening session May 6 about government efforts to curbing inflation, stabilize macroeconomy, balance goods supply and demand, including key staple, rice in the context of the world food crisis.

 

PM Nguyen also asked provinces and cities all to halt staple speculation, tighten state management of agricultural land, restricting transferring paddy areas for industrial parks, tourism and golf projects.

 

The government's General Customs Department said that Vietnam shipped a total of 1.57 million tons of rice between January and April, and it still has 1.23 million tons in store.

 

The Ministry of Agriculture and Rural Development said Vietnam’s total paddy output has reached 19.8 million tons since November last year, of which the domestic rice demand was estimated at 14.8 million and five million tons of paddy (or 2.8 million tons of rice) are for export.

 

Truong Thanh Phong, chairman of the Vietnam Food Association was quoted by the Saigon Giai Phong newspaper Monday as forecasting that the price of export rice is soon approaching a record of US$1,400/ton, which was seen in 1973.

 

This year, Vietnam has set the target of exporting 3.5 million-4 million tons of rice. (Government Report)