Paving way for rice exports to Mexico

13:23 | 26/03/2016 Trade

(VEN) - Vietnam has become the second largest rice provider for Mexico thanks to a series of helpful activities implemented by the Vietnamese Trade Office in Mexico.

Paving way for rice exports to Mexico

Vietnamese rice exports to Mexico have steadily increased

Vietnamese rice did not enter the Mexican market until 2013. However, rice exports to its market reached 11,670 tonnes in 2013 and 66,440 tonnes in 2014.

Rice exports have achieved outstanding results thanks to efforts of domestic businesses, the Vietnam Food Association and the Vietnamese Trade Office in Mexico. For the period between May 24 and June 3, 2014, the Vietnamese Trade Office in Mexico in cooperation with the Vietnam Food Association arranged rice export businesses to visit Mexico and seek partners, contributing to creating a breakthrough in opening up the Mexican market to Vietnamese rice.

The office collected information in terms of rice production and imports in Mexico to complete a report sending to ministries, departments and the Vietnam Food Association in 2014 and 2015. In addition, the office informed Vietnam about Mexico’s quarantine policy changes for imports.

The Vietnamese Trade Office in Mexico actively worked together with local agencies to explain Vietnam’s cheaper rice prices were due to high productivity, low labor costs and favorable conditions in terms of soil and climate after Mexico debated whether to conduct an investigation about accusations of rice dumping. There were also no rice subsidies as Vietnam is a market-led economy. As a result, the Mexican Secretariat of Economy did not conduct its investigation.

The office has played a key role in resolving trade barriers for Vietnamese exports. For example, Mexico stipulated that imported rice must be packed by polyethylene bags with weight of under 50kg. Vietnamese rice was packed by polypropylene bags in 2013 and 2014. If Vietnam had followed new regulations, the country would have changed all packaging systems, easily causing an increase in costs. Therefore, the office worked together with the Mexican Plant Protection Service to discuss about keeping the old bags. Thanks to efforts, Mexico amended its regulation, creating favorable conditions for Vietnamese rice. 

The Vietnamese Trade Office in Mexico has provided practical and effective support for Vietnamese businesses, especially rice exporters.

 

Vietnamese Trade Counselor in Mexico Hoang Tuan Viet

 

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