PROPOSAL TO REMOVE 5% VAT ON RICE – UNTYING THE KNOT FOR EXPORT BUSINESSES

According to VnExpress, at the end of July, the Vietnam Food Association (VFA) submitted a proposal to the Prime Minister to exempt rice products from the 5% Value-Added Tax (VAT), aiming to facilitate the growth of this strategic sector and enhance its competitiveness.

🌾 Under the new Value-Added Tax Law, the rice industry will be subject to a 5% VAT starting from July 1, 2025. The VFA argues that this will place significant financial and administrative pressure on enterprises. Furthermore, Vietnam risks losing its competitive advantage against international rivals—many of whom either do not impose such a tax or have swift tax refund mechanisms.

In the first half of this year, Vietnam exported more than 4.7 million tons of rice, with an export turnover of USD 2.45 billion—a positive performance compared to the same period last year.

📌 In light of these developments, businesses must adopt solutions that optimize costs while improving productivity and the quality of finished products. DTCGroup is a trusted partner for numerous rice mills and processing facilities, helping to maximize output and reduce operating costs through advanced, high-tech machinery, including:
👉 Rice/paddy & bulk rice color sorters
👉 Automatic packing scales
👉 Rice milling lines
👉 Rice flour milling machines

Let DTC be your companion on the journey to elevate the value of Vietnam’s agricultural products!
📞 24/7 Consultation Hotline: 0832 66 67 68