Chairwoman of the High Quality Vietnamese Goods Club, Vu Kim Hanh, said the seminar, whose theme was Rice – from the Paddy Field to the Dining Table, was held to discuss ways of making locally grown rice more competitive.

Dr Vo Thi Thanh Loc of the Mekong Institute for Rice Research said the Cuu Long (Mekong) Delta represented 12 per cent of the country’s area and 31.6 per cent of Viet Nam’s arable land.

It provides nearly 20 million tonnes of rice per year, accounting for over 51 per cent of the country’s rice production, she said.

The Delta also contributes 4.5 million tonnes of rice for export, or 80 to 90 per cent to the country’s exported rice.

However, Loc said, most farmers were leading a hand-to-mouth existence because of high production costs.

With paddy priced at VND2,300 to 2,400 per kg in 2006, farmers earned VND4.5 million (US$300) to VND7.5 million per ha for the winter crop, the most profitable crop of the year.

With costs deducted, they earned a net profit of VND1.5 million to VND4.5 million per ha.

To ensure higher profits for rice growers, Loc said closer links between farmers, traders, processors, retailers and customers should be established to minimise production costs.