Ministry denies tax incentives for rice exported to the EU

The Ministry of Agriculture and Rural Development has denied the information that Vietnamese rice ST24 and ST25 enjoy tax incentives when exported to the EU.

The information about ST24 and ST25 being subject to tax incentive on the EU market entry which was disclosed in several newspapers recently was not correct, the ministry’s International Co-operation Department said.

The ministry said that under the Eu-việt Nam Free Trade Agreement (EVFTA), nine types of rice are subject to tax incentives within quotas when exported to EU, including Jasmine85, ST5, ST20, Nàng Hoa 9, VĐ20, RVT, OM4900, OM5451 and Tài Nguyên Chợ Đào.

The list was developed before the negotiations of EVFTA ended in 2015.

Việt Nam is proposing to adjust the list of rice subject to tax incentives when exported to the EU to ensure the appropriate to the existing rice production and export structure of Việt Nam.

Negotiations are underway, the International Co-operation Department said.

Việt Nam’s rice export to the EU reached 104,000 tonnes woth US$71.7 million in 2023, representing a rise of 10 per cent in both volume and value over 2022.

Vietnamese fragrant rice ST24 and ST25 are among the most delicious rice variety in the world.

ST24 and ST25 were named among the Top 4 of the World’s Best Rice in 2022. ST25 won the world’s best rice award for the second time in 2023.