Vietnam and Thailand Aim to Boost Rice Exports to Japan

Vietnam and Thailand, two of the world’s top three rice-exporting countries, are looking to expand their rice exports to Japan.

In both nations, the production of japonica rice—the short-grain variety similar to that grown in Japan—is on the rise amid the growing global popularity of Japanese cuisine (washoku). Both countries aim to turn Japan’s surging rice prices into a lucrative business opportunity.

At a Tops supermarket in Bangkok, a major Thai retail chain, domestically produced japonica rice sells for 275 baht per 5-kilogram bag (about 1,200 Japanese yen)—significantly lower than rice prices in Japan. At other Japanese supermarkets in Thailand, locally cultivated Sasanishiki and other Japanese rice varieties are sold at similar prices.

Thailand’s warm year-round climate is ideal for rice cultivation. Although indica rice (long-grain rice) remains dominant, more Thai farmers have recently begun planting japonica rice.

A 44-year-old farmer who has grown Japan’s Koshihikari variety for one year said he can sell japonica rice for twice the price of Thai indica rice, resulting in much higher profit margins. He added that he can harvest up to three crops a year from his fields.

In 2024, Thailand’s rice exports to Japan were valued at USD 183 million (approximately JPY 26.5 billion)—a 1.3-fold increase compared to a decade earlier. Most of Thailand’s exports are still indica rice, while japonica rice is primarily consumed domestically.

The Thai government has taken a keen interest in Japan’s rice market. Commerce Minister Pichai Naripthaphan stated that the government seeks to target premium markets where Thai rice can command higher prices and to promote rice exports further.

According to a U.S. Department of Agriculture (USDA) estimate released in May, total global rice exports for fiscal year 2024 are expected to reach 61.4 million tons. India leads with about 40% of global market share, followed by Vietnam (13%) and Thailand (11%).

On June 5, the Vietnam Rice Industry Association (VIETRISA) announced that Vietnam had exported 500 tons of rice under its new “Vietnam Green Low-Emission Rice” brand for the first time. The rice, of the japonica variety, is notable for its reduced greenhouse gas emissions during cultivation.

This new rice brand is aimed at the Japanese market, where consumers place strong emphasis on environmental sustainability and high-quality standards.

VIETRISA Chairman Bùi Bá Bổng stated that Japan’s current rice shortage presents a valuable opportunity for Vietnam to enter the high-end market. VIETRISA aims for Vietnam to become a regular supplier of rice to Japan.

When importing rice into Japan, a tariff of 341 yen per kilogram applies to quantities exceeding the “minimum access” quota that are not eligible for duty-free entry.

However, Japanese trading companies continue to increase imports because even after taxes, imported rice remains cheaper than domestically produced rice.

From January to May, Taiwan’s rice exports to Japan reached 7,759 tons, more than six times the volume recorded during the same period last year. Taiwanese rice closely resembles Japanese rice in both flavor and cultivation technique.

In the coming months, Japan is expected to increase rice imports from Southeast Asia. Yet, if the price gap between imported and domestic rice continues to widen, it could negatively impact Japanese rice farmers—potentially sparking significant public debate.