Hatta Rajasa, Minister for Economic Affairs in Indonesia has made a request to the Ministries of Trade & Agriculture to delve deep into the matter of illegitimate rice imports from Vietnam. According to the Vietnam News agency traces of license abuse in Cipinang or Baten province on Jan 30th have been found, which is the part of eastern Jakarta. And the estimated quality is predicted 16,900 tons, which was sold on lesser prize than the domestic paddy using legal licence issued by ministry of Indonesia. It is said that individuals are not allowed to sell the rice like this so it has been reported that it came by the legal way.
NFA presaged that according to the license, importers can only purchase the food grain from China, Thailand, Australia and India and they must take special permission for the imports from other countries, so their licenses can be blocked for this illegal step. In October 2013, 120,000 tons of rice contracts between the two firms named Filipino private import firms and the other one Southern Food Corporation was held illegal. Vietnam’s rice exports to Philippines, Indonesia and Malaysia have dropped spectacularly. Vietnamese rice is facing barriers in biggest markets as it is welcomed in China still it is cautious for the future. Vietnam rice export is going through a critical stage these days as in Philippines it showed a downfall of 63 percent. As in 2013 it fell down four times compared to year 2012 and the figure of 2012 was 1.6 million tons. Chinese gulped 32 percent of the Vietnam grain and South African swallowed near about 30 percent. However Vietnam has been alarmed and not to rest on china much as their policies are baffling.
It has been predicted by the US dept. of agriculture that the demand will be high in future from three loyal markets in 2014 to 4 million and from 8 Asian big rice importers by 20.1 percent to 9.22 million tons.