The Vietnam Trade Office in the Philippines yesterday informed that since the beginning of 2025, the Philippines' rice import demand has continued to increase, domestic rice prices have remained high while domestic supply has not been stable.
In 2024, the Philippines imported up to 4.15 million tons of rice from Vietnam. Looking ahead to 2025, forecasts suggest that the country may need to import as much as 4.35 million tons to maintain food security and stabilize domestic prices.
The Philippine government has implemented various strategies to regulate prices and guarantee food security; however, the market remains susceptible to potential fluctuations. In this scenario, Vietnam's influence in the Philippine rice market is becoming increasingly significant and is expanding.
Currently, Vietnam serves as the primary rice supplier for the Philippines, representing approximately 80-85 percent of the nation's total rice imports. According to trade agreements, it is projected that by 2025, Vietnam will export around 4.35 million tons of rice to the Philippines. The appeal of Vietnamese rice stems from its competitive pricing, consistent quality, efficient transportation, and the enduring trade relationship between the two nations.
From January 1, 2025, the Philippine Government applied a ceiling price of 58 pesos a kg for retail rice to control food inflation. In February 2025, the country also declared a state of emergency on food security to increase its market intervention rights. However, the above measures are considered to be short-term and of limited effectiveness.
According to the trade deal, the Philippines will still be the world's largest rice importer this year. Vietnam will continue to be a key export partner. However, businesses need to closely monitor risks from the Philippines' price management policy as well as competitive pressure from other sources from Thailand, India and Cambodia.
According to the General Department of Customs under the Ministry of Finance, in 2024, Vietnam's rice exports to the Philippines reached about 4.15 million tons, a sharp increase compared to the previous year. Rice export turnover to this market surpassed US$2.6 billion making an important contribution to Vietnam's total export turnover, which exceeded US$6 billion for the first time in 2024. The Philippines is also Vietnam's largest rice consuming market.
