Did you know?
Thanks to Free Trade Agreements (FTAs) such as EVFTA, RCEP, and CPTPP, Vietnamese rice can now be exported to the EU with a preferential tariff of 0%. Exporting rice has never been easier—or more profitable. So, how can importers take full advantage of FTAs and expand their global markets? Let’s explore the key strategies in this article.
1. The Golden Opportunity for Vietnamese Rice Exports under FTAs
Vietnam is one of the world’s leading rice exporters, shipping over 9 million tons in 2024 (according to Vietnam Customs). By leveraging FTAs, Vietnam has significantly expanded access to high-potential markets like the EU, Japan, and Africa with preferential tariffs. Export volume is projected to reach 7.5 million tons in 2025.
Vietnamese rice prices in the EU are 20% higher than other suppliers, demonstrating strong competitiveness.
2. Trade Policies & Preferential Tariffs
2.1 Vietnam’s Export Policies
FTA | Quota / Tariff | Main Markets | Key Requirements |
EVFTA | 80,000 tons/year, 0% | EU | C/O Form EUR.1, pesticide residue <0.01mg/kg |
RCEP | 0% or preferential | China, Japan, South Korea, ASEAN | C/O Form RCEP, Codex, HACCP standards |
CPTPP/UKVFTA | 0% or preferential | Canada, Australia, UK | OEM contracts, international standards |
Export Challenges:
- High logistics costs and rising input prices
- Heavy reliance on traditional markets (Philippines, Indonesia)
- Fierce competition from Thailand, India, and Cambodia
- Limited investment in traceability and globally certified raw material zones
2.2 Major Rice Exporting Countries
Country | Policies | Impact | Challenges |
India | Lifted ban on non-basmati rice exports (Sep 2024) | Reduces global supply pressure | Lower prices than Vietnam, highly competitive in low-price segment |
Thailand | Reduced tax on brown rice and parboiled rice from 20% to 10% | Offers Vietnam an edge via CPTPP | Thai rice is cheaper than Vietnamese rice |
Cambodia | 0% tariff to EU & Vietnam (300,000-ton quota, extendable to 2025) | Lowest rice price in EU (1.4-1.5 EUR/kg vs. 2.5 EUR/kg for Vietnamese rice) | Strong competition in budget segment |
USA | New tariffs (10% base + “reciprocal tariff”: Vietnam 46%, Thailand 36%, India 26%) | Creates an advantage for Vietnamese rice in the US |
2.3 Major Importing Markets
Country | Policies | Opportunities |
EU | 0% tariff for 800,000 tons under EVFTA | Strict pesticide residue and seed certification requirements; demand for aromatic rice is rising |
Philippines | Reduced import tariffs through 2025 to control inflation; 0% tariff under RCEP & ASEAN | Largest Vietnamese rice importer (46.4% of Q1 2024 exports at $641.7/ton) |
Africa | Expected to surpass Southeast Asia as top rice importer by 2025 (Ivory Coast, Ghana, South Africa) | Medium-quality broken and white rice meets budget demand |
USA | Rising demand for aromatic rice; Thai rice restricted by new tariffs | Opportunity for ST24, ST25 under CPTPP; ideal for Asian communities and specialty markets |
2.4 Global Policy Trends 2025
Export Restrictions: India imposes 10% tariff on brown and parboiled rice but lifts the ban on non-basmati rice exports, easing global supply pressure
Non-Tariff Barriers: EU, US, and Japan tighten food safety, pesticide residue, and green standards (e.g., carbon tax from 2026)
Trade Liberalization: RCEP and CPTPP reduce tariffs but increase competition
Climate Change: El Niño reduces Asian rice production, boosting demand but straining supply
Technology: E-commerce and blockchain enhance transparency and traceability in agricultural exports
3. How Importers Can Maximize FTAs
3.1 Understand Tariff Preferences
- EVFTA: Import up to 80,000 tons of milled, unmilled, or fragrant rice at 0% tariff; broken rice is not quota-restricted, ideal for low-cost segments
- RCEP, CPTPP, UKVFTA: Check specific import tariff preferences at the destination customs
- ASEAN: 0% tariff for Vietnamese rice with C/O Form D
3.2 Secure Certificate of Origin (C/O)
- Importance: C/O (EUR.1, RCEP, Form D) is essential to qualify for preferential tariffs
- Action: Coordinate with exporters to ensure C/O is issued by Vietnam’s Ministry of Industry and Trade; verify information to avoid customs issues
3.3 Meet Quality Standards
Country | Required Action |
EU | GlobalG.A.P., Organic certification, pesticide residue <0.01mg/kg |
Japan, South Korea, US | Codex, HACCP compliance, full traceability |
Action: Request SRP, BRC, or Organic certificates from exporters
3.4 Choose the Right Rice Type for Target Markets
Rice Type | Target Market |
Aromatic rice (ST25, Jasmine) | EU, US, Middle East |
Broken rice | Africa, food processing industry |
Organic rice | EU, UK, US – fast-growing markets |
3.5 Optimize Logistics
Challenge: High shipping costs from Vietnam to EU/US
Solution: Negotiate and share costs with exporters
3.6 Partner with Trusted Exporters
Choose partners that meet government-certified raw material standards: GlobalG.A.P, HACCP, Organic
Request OEM/Private Label contracts to build a local brand
3.7 Monitor Market Policies
Track export regulations from India and Thailand to adapt your import strategy
Stay up-to-date with import quotas and requirements via customs authorities or trade associations
4. Partner with Lotus Rice – Your Strategic Export
With over 18 years of experience exporting to more than 55 countries, Lotus Rice offers:
- A wide variety of premium-quality rice
- Certified by international standards: GlobalG.A.P, BRC, HACCP, Halal, USDA/EU Organic
- Sustainable production and full traceability
Contact Lotus Rice today—Vietnam’s trusted rice exporter—for consultation and FTA optimization. Don’t miss this golden opportunity to import Vietnamese rice at 0% tariff in 2025!
LotusRice B2BPartner VietnamToTheWorld AgriBusiness RiceExport GlobalSupplyChain PrivateLabel TrustedSupplier FoodIndustry ValueChain
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Website: https://www.lotusrice.vn/
Email: connect@lotusgroup.vn
WhatsApp: (+84 77) 6996 768
Phone: (+84 28) 3622 2236
Head office: No. 52, Street 10, Him Lam Residence, Tan Hung Ward, District 7, HCM