Vietnam has exported its first rice batch to Europe following the EU-Vietnam Free Trade Agreement (EVFTA).
The batch of 126 tonnes of Jasmine 85 the fragrant rice variety, is part of Vietnam's contract to export 30000 tonnes of rice to Europe. Under the EVFTA, the Vietnamese rice exported to Europe will enjoy a zero percent tariff
The Loc Troi Group rice export accounts for 17% of the country's total export quota to Europe. Up to 50% of the firm's rice products are fragrant.
Huynh Van Thon, chairman of the group, said that his firm had built five rice production plants at rice hubs which are suitable for transportation activities.
Loc Troi Group has co-operated with An Giang Province to build new model agricultural co-operatives. Under the deal, local farmers are provided with the most appropriate methods of rice plantation to save production costs and raise productivity.
According to Minister of Agriculture and Rural Development Nguyen Xuan Cuong, since the EVFTA took effect in August, Vietnam's set rice export quota to the EU is 80000 tonnes per year, including 30000 tonnes of fragrant rice.
The minister urged to improve the quality of Vietnamese rice and boost co-operation between businesses and farmers.
In the first eight months of this year, Vietnam exported nearly 16000 tonnes of rice worth USD8.5 million to Europe. On September 4-17 only, six companies applied for exporting 4300 tonnes of rice to Europe.