Vietnam’s Rice Rally Rumor Gets a Reality Check
On Thursday (Sept 22), Vietnam’s Agriculture Minister, Le Minh Hoan, cut rumors that a secret rice price‑fixing deal was simmering with Thailand. “No pact in place,” he said in a government meeting in Hanoi. “Our ministries have only been chatting and collaborating, nothing more.”
Why the Whiff of a Cartel?
Last month a Thai official floated that the two countries were planning to step up global rice prices. That claim went viral in the markets, and the half‑month lag before Vietnam’s clarification sparked plenty of questions.
What’s Actually Happening?
- Both nations are big players: they together account for roughly 10 % of the world’s rough‑rice supply and ~26 % of global exports.
- In May, the Thai spokesperson pitched a joint price‑boost as a way to tighten their bargaining power and lift farmer incomes.
- Thai exporters, though, have cautioned that such a cartel could backfire—making the two harvest houses lose competitiveness, especially if the price hike isn’t feasible.
- Meanwhile, the Vietnam Food Association predicts rice exports will climb to 6.3 – 6.5 million tonnes this year, up from 6.24 million last year thanks to strong demand.
Bottom Line
So, no secret rice price‑fixing plan is currently on the table. Vietnam and Thailand are focusing on general cooperation rather than a high‑stakes cartel. The world will sit on its lasso—watch how the global market bends to the grain tide!
