Pakistan beats Vietnam with 420,000 tonnes of rice exports

Pakistan has strengthened its position in the global rice market after surpassing Vietnam in monthly export volumes, despite rising shipping costs and disruptions caused by geopolitical tensions in the Gulf region.

The country’s rice exports recorded a strong performance in September 2026, with Pakistan shipping 420,000 tonnes compared with Vietnam’s 337,000 tonnes, according to official trade figures from Vietnam’s foreign trade agency.

Pakistan also achieved higher export prices, earning an average of $621 per tonne during the month. In comparison, Vietnamese exporters received an average of $563 per tonne, reflecting strong international demand for Pakistani rice varieties.

The performance highlights the resilience of Pakistan’s rice industry, particularly its premium Basmati segment, which has continued to attract international buyers despite the US-Iran conflict and disruptions to important maritime shipping routes.

Global Basmati trade remained stable at approximately 6.9 million tonnes, matching the volume recorded in 2025. Buyers in major international markets continued to prioritise aromatic rice from Pakistan and India despite higher transportation costs, increased marine insurance premiums and logistical difficulties.

Rice industry expert Hamid Malik said Pakistan’s export performance had been improving since December 2025, when the country surpassed Vietnam’s monthly export volume for the first time in more than two decades.

The achievement comes after a difficult 2025, when Pakistan, Thailand and Vietnam experienced considerable declines in rice exports due to unfavourable weather conditions and market pressures. India, however, maintained its dominant position in international rice trade.

Pakistan’s rice export sector operates largely through private businesses and market-based procurement. Unlike some competing countries, the industry does not benefit from a government-backed minimum support price for paddy, state-funded marine insurance or freight subsidies.

The situation became more challenging in 2026 following escalating tensions and conflict in the Gulf. Higher inland transportation expenses, rising processing costs, shipment delays and extended payment cycles placed additional pressure on international traders.

These disruptions contributed to a general decline of 20 to 30 per cent in non-aromatic rice exports from major exporting countries, including Pakistan, Thailand and Vietnam.

Despite these challenges, Pakistan’s rice industry began the 2026-27 financial year with considerable momentum.

Malik attributed the improvement to substantial carry-over stocks and an 18 to 20 per cent expansion in rice cultivation during the latest planting season.

Better access to urea fertiliser, agricultural financing and targeted banking sector support also helped strengthen production and export capacity.

Pakistan’s total rice export volumes increased by 51 per cent during the July-September quarter of 2026 compared with the corresponding period, while foreign exchange earnings rose by 37 per cent.

The latest figures underline the growing competitiveness of Pakistan’s rice sector and its ability to maintain export momentum despite international trade disruptions.

The improved performance could further strengthen Pakistan’s position in the global rice market and support its efforts to secure a higher ranking among the world’s leading rice-exporting countries.