Vietnam fragrant rice price hits 4-month high as exporters hold back fresh offers

Vietnamese fragrant rice prices rose to their highest level in nearly four months as exporters held back offers to prioritize existing contracts and rebuild inventories amid rising production costs, market sources told Platts, part of S&P Global Energy, April 7.

Platts assessed Vietnam Fragrant 5% rice at $436/ metric ton FOB on April 6, up 1.4% day over day and 6.6% month over month, marking the highest level since Dec. 16, when the price was assessed at $440/mt FOB.

The Philippines drives demand

The Philippines, Vietnam's largest rice export destination, continues to drive demand, with buyers actively seeking volumes, particularly after the Philippines set a combined import allocation of 600,000 mt for May and June.

"Currently, Philippine importers remain actively interested in placing new orders," a Ho Chi Minh City-based exporter said. "However, Vietnamese exporters are not willing to offer new quotations at this stage, as they are prioritizing the fulfillment of contracts signed in February and March."

The exporter added that despite rising domestic prices, some suppliers are continuing to execute earlier contracts at a loss.

Vietnam exported 711,264 mt of rice to the Philippines in the first two months of 2026, up 30% year over year, according to Vietnam Customs data.

"Philippine buyers are interested, but many exporters cannot cover their costs at current market levels," the first exporter said.

The Philippines is expected to import 3.1 million mt of rice in the marketing year 2025-26 (July-June), down 42.8% year over year, according to S&P Global Energy CERA.

Exporters holding DT8 variety

Another Ho Chi Minh City-based exporter said they were not offering DT8 this week, citing market risks. "It's too risky to offer now," the exporter said, adding that a significant share of available volumes is being allocated to signed contracts while the rest is being held in stock.

Higher production, packaging and logistics costs, driven in part by rising global oil prices, amid the Middle East conflict, have added to upward pressure on prices, market sources said.

"Vietnam's expenses for rice have increased by 10% compared to March, driven by higher input costs," the second exporter said. "Prices need to increase, or exporters will lose money," the source added.

A third Ho Chi Minh City-based exporter said high costs across the supply chain are weighing on margins, adding that DT8 prices could rise to about $470/mt in May.

The winter-spring harvest in Vietnam is expected to conclude by late May, with the harvest of the summer-autumn crop set to begin in June.

Market participants said the transition between crops, combined with higher input costs, is likely to support prices in the near term, with buyers continuing to secure shipments through June.

According to CERA, Vietnam's rice exports are projected at 7.6 million mt in the marketing year 2025-26 (January-December), down 5.7% year over year, while milled rice production is forecast at 26 million mt, a 2.8% decline year over year.