The tariff reduction will not have much impact on Vietnamese rice production and trading as the countries does not have many rice export contracts with ASEAN countries, except for the Philippines, said deputy head of MARD’s Institute of Agriculture and Rural Development Policy and strategy.

Five other ASEAN member, including Vietnam, would apply the zero tax rates on the other members in 2015.

At that time, farmers would benefit from the lowered prices of fertilizers and other materials from ASEAN countries, Thi said, adding that the exporters should attach great importance to the improvement of the quality and the competitiveness of Vietnamese rice on regional and world markets,

Vo Tong Xuan, former rector of An Giang University, said Vietnam cannot meet demands of either the domestic or foreign markets as the areas under cultivation with high-quality rice varieties still remained limited.

Nguyen Van Dong, director of the Hau Giang provincial Department of Agriculture and Rural Development, meanwhile, attributed the poor quality of rice to the cultivation of too many hybrid varieties. The MARD, therefore, has directed provinces to focus on two or three key varieties for the 2009-2010 winter-spring crop.

Some provinces with favourable conditions would be able to grow high-yield varieties both for domestic consumption and export.

Hau Giang province would plant one or two high-quality rice varieties on an area of 20,000 ha out of the province’s total 82,000ha rice growing acreage for this year.

He also recommended the State invest in high-quality seed, better infrastructure for agricultural production, and a commodities trading floor for rice, adding that close cooperation among the States, enterprises, scientists and farmers would benefit growers, exporters and consumers.

It is not easy to forecast the rice export volumes and prices due to unpredictable factors like bad weather in other rice-growing countries, according to the Ministry of Industry and Trade.

This year, Vietnam has signed contract to export 2.3 million tonnes of rice to the Philippines by September. Exporters, however, found it difficult to expand their markets.