Rice traders’ inactivity, perfunctory function of processing plants and businesses’ reluctance to export the grain threaten to break the supply chain in the Mekong Delta, Vietnam’s rice bowl.
Tran Van Nam of Thoi Lai District, Can Tho City, said he has harvested some 20 tons of high-quality rice from his three hectares. Two months ago a rice trader had deposited VND9 million to buy his rice at VND6,000 per kilogram, he said.
“One week ago I harvested the rice, and the trader said if I did not lower the price to VND5,300, he would no longer to buy and was willing to forfeit the deposit. After one day of consideration, I decided to reduce the price. Now the price has decreased to VND5,100.”
According to Nam, many traders have decided not to buy from farmers in the district, instead opting to lose their deposits.
Many traders admitted this is true.