HANOI (Commodity Online): Due to high rice supplies from India, Vietnam, second-biggest exporter of rice, lowered the grain price to keep up exports and trying to take over Thailand position as the world’s biggest exporter.
Vietnam is currently facing challenges from India's low priced white rice.
India, on the back of record production of 102.75 million tons for 2011-12, had earlier lowered the Minimum Export Price of rice.
Vietnam has cut the export floor price for the 25% broken grain to $420 a ton from $455 a ton, that makes the rice cheapers by $20 a tons than Indian variety.
Earlier, Thailand was the biggest obstacle for Vietnam in rice exports, but due to recent floods and government decision to raise the MEP of rice has lowered the demand for Thai grains.
Vietnam is expected to provide around 11 million tons of rice for the winter-spring crop.
Meanwhile, according to India's exporters, the rice price is expected to go down even further on heavy supplies.
