The government has cut the approved quota for fragrant rice exports by 50%, aiming to keep domestic rice supply stable, ensure food security and control potential price pressure in the market.
Under a notification issued by the Commerce Ministry’s Export-2 branch, the fragrant rice export quantities previously allocated to 278 approved companies have been reset to half their original amount. The revised allocation takes effect immediately and will remain valid until Dec. 31, 2026.
As a result of the government’s decision, exporters ranging from large food-processing companies to medium and small-scale exporters will not be able to export more than half of their previously approved quantity of fragrant rice.
Alongside cutting the quota, the Commerce Ministry has set 10 conditions to ensure oversight, accountability and repatriation of foreign currency in export activities.
The conditions are: 1. The provisions of the Export Policy 2024-27 must be properly followed. 2. The relevant approval will remain valid until Dec. 31, 2026. 3. Customs authorities will verify the quality and authenticity of goods before each shipment is exported. 4. Documentation for each consignment must be submitted to the Commerce Ministry’s Export-2 branch after shipment. 5. For any future new export-approval applications, full information and evidence of actual exports against the previously approved quota must be provided. 6. Under no circumstances may rice be exported in excess of the revised approved quantity. 7. To protect product prices in the international market, a minimum FOB export price of $1.60 per kilogram has been set. 8. The approval is entirely non-transferable; exports may not be made through subcontracting or another company. 9. In the public interest, the government may cancel the approval at any time without showing cause. 10. Submitting a Proceeds Realization Certificate has been made mandatory as proof of repatriating export earnings to the country.
The Commerce Ministry had earlier granted permission, in two phases, for 278 companies to export a combined 45,270 metric tons of fragrant rice. As of Aug. 30, 2026, 129 companies had managed to export a combined 2,419 metric tons of fragrant rice.
The government’s policy position is that while earning foreign currency through exports is important, priority must be given to domestic market supply and price stability when it comes to food products. With that in mind, the approved quota for fragrant rice exports has been cut by 50%, and strict conditions have been imposed on export price, quantity, documentation and repatriation of foreign currency.
Under the new arrangement, exporters must operate within the approved limits, and provide a full account of their previous export activity when applying for future approval. As a result, those in the relevant sector believe fragrant rice exports will see increased oversight on one hand, and greater transparency and accountability in export management on the other.
The main goal of the government’s initiative is not to halt exports entirely, but to manage fragrant rice exports in a controlled, sustainable manner while maintaining the country’s food security and market stability.