In the First Three Months of 2024, Vietnam's Rice Exports to Singapore Reach Approximately 36.15 Million SGD, Up Over 80% Year-On-Year"

According to the Vietnam Trade Office in Singapore (Ministry of Industry and Trade), data from the Singapore Business Authority indicates that in the first quarter of 2024, Singapore’s total rice import value from around the world reached nearly 112.9 million SGD, up 23.86% compared to the same period last year.

Strong Growth in Vietnamese Rice Exports

Singapore's demand for rice imports has increased since 2023 and continued in the first three months of 2024 due to India's rice export ban and the rapid recovery of tourist arrivals in Singapore.

Specifically, in the first three months of this year, Vietnamese rice exports to Singapore continued to show strong growth, reaching approximately 36.15 million SGD, an increase of 80.46% compared to the same period last year.

Although some categories such as regular brown rice and white rice saw a decline, this was offset by categories like sticky rice, which reached 3.79 million SGD, up 221.76%, and fragrant rice (milled or husked) with a value of 18.06 million SGD, up 291.17%.

India and Thailand hold the next positions with export values of 33.63 million SGD and 33.16 million SGD, respectively.

According to the Vietnam Trade Office in Singapore, the first three months of 2024 marked a significant milestone as Vietnam became the largest rice exporter to the Singaporean market for the first time, capturing 32.03% of the market share.

Vietnamese rice export value exceeded that of India (6.96%) and Thailand (8.28%). Together, these top three exporting countries account for 91.21% of Singapore's rice market.

Vietnamese Rice Surpasses Thailand and India

According to the Vietnam Trade Office in Singapore, in addition to its traditional strength in white rice, two other categories—sticky rice and fragrant rice (milled or husked)—have also captured significant market shares in Singapore, reaching 80.08% and 73.33%, respectively.

These factors have helped Vietnamese rice surpass Thailand and India to become the largest market share holder in Singapore.

Additionally, India almost dominates the market with its specialty rice products such as parboiled rice (99.29%) and basmati rice (95.66%).

Thai products also hold large market shares in specific categories, such as brown Homali rice (98.26%), white Homali rice (96.83%), and broken rice (68.16%).

Meanwhile, Japan holds the largest market share for regular brown rice (71.72%).

According to these statistics, Thailand, India, and Japan are the main competitors for Vietnamese rice in the Singaporean market.

Furthermore, India's export ban on non-basmati rice since July 20, 2023, has been effectively leveraged by Vietnamese companies to increase their market share and export value to Singapore.

However, Vietnamese companies will need more time and effort to sustainably maintain their leading position. They also need to continue improving their competitiveness and ensuring the quality of their rice products.

Singapore Imports Vietnamese Rice to Rebrand

According to the Vietnam Trade Office in Singapore, countries such as Thailand, Japan, and India are keen on investing in and promoting their products, and they have agreements with importers and distributors to maintain their product names and brands in Singapore.

In contrast, Vietnamese companies, with limited resources, rarely invest in product promotion and branding. As a result, Singaporean importers and distributors prefer to repackage Vietnamese rice with local Singaporean brands for easier market consumption.

Therefore, to increase market share, sustainably maintain a leading position, and compete with Indian and Thai rice products, Vietnamese companies need support from ministries, associations, and trade promotion agencies to enhance product branding and company reputation.

Additionally, signing a Memorandum of Understanding (MOU) on rice cooperation between Vietnam and Singapore could be an effective tool to maintain the top position of Vietnamese rice in this market.

Source: Vietstock