Vietnam to Eliminate U.S. Wheat Import Tariff
November 17, 2021
Vietnam’s government has announced it will eliminate a 3 percent tariff on U.S. wheat imports effective December 30, 2021, is welcome news to producers at home and their customers and wheat food processors in Vietnam.
As we reported in August 2021, U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) appreciate the efforts by the Biden Administration, USDA’s Foreign Agricultural Service (FAS) and Vietnam’s Ministry of Finance toward eliminating this tariff, which follows a reduction from 5 percent to 3 percent in July 2020.
Vietnam imported more than 500,000 metric tons of U.S. hard red spring, soft white, hard red winter, and soft red winter wheat valued at $129 million in marketing year 2020/21, second in volume only to Australia. Vietnam imports an average of about 4 million metric tons of wheat per year.
“U.S. wheat exports to Vietnam’s growing market are much slower so far this year because of short supplies and rising prices, so eliminating this tariff is very important for growers like me,” said Darren Padget, USW Chairman and a soft white wheat grower from Grass Valley, Ore.
“With about half of the wheat we produce available for export each year, we depend on increasing access to markets like Vietnam,” said Dave Milligan, NAWG President and a wheat grower from Cass City, Mich. “Here at home, NAWG will continue advocating for trade policies that work toward positive opportunities for wheat growers and their customers.”
Source: National Association of Wheat Growers & U.S. Wheat Associates