On 28 April, the Prime Minister allows rice export fully from May 2020, following the proposal from the Ministry of Industry and Trade to suspend the rice export limit and allow rice export activities to return to normal.
MEASURES
- Earlier, rice export was limited to 400,000 tonnes, with an additional 100,000 tonnes allowance permitted for the month of April.
- Traders are required to observe the requirements stipulated under Decree 107/2018/ND-CP on rice export, in particular to set aside rice volume equivalent to at least 5% of their rice shipments from the previous six months to meet the demand from the local market.
- The Ministry of Industry and Trade will continue to coordinate with relevant ministries to regularly monitor the situation of production, consumption, reserve and export of rice.
IMPACT ON FOOD SUPPLY CHAIN
- With the lifting of the rice export limit, it is necessary to speed up the clearance of existing rice stocks at ports and minimise storage costs.
- The temporary suspension in the past one month has nonetheless resulted in market loss for the local traders as new contracts were held back due to the export limit.
On 24 April, Directive No. 19/CT-TTg 2020 was issued by the Prime Minister on the continual implementation of measures to prevent and combat COVID-19.
MEASURES
- Amid the call to continue to observe the necessary restrictions and safety measures, there are several relaxation, including the permission to resume public passenger transportation across provinces under the guidance of the Ministry of Transport, e.g. passengers and drivers to put on masks, adequate facilities, soap and disinfectant solution for passengers to wash their hands. Appropriate measures are also applied to the aviation industry to ensure the safety of passengers.
- Factories and production facilities are allowed to continue with operation. Measures must be taken to protect workers and laborers.
- High-risk areas shall continue to implement the strict control measures according to the Prime Minister’s Directive No. 16 / CT-TTg that was issued earlier on 31 March.
IMPACT ON FOOD SUPPLY CHAIN
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As part of the socio-economic development measures, the Directive orders the Ministry of Industry and Trade and concerned ministries to concentrate and urgently promote the signing of export contracts with EU countries, make preparation for the necessary trade conditions and goods, especially goods with export advantages and potential and to proceed as soon as countries remove the blockade and reopen.