Nguyen Danh Cong – Partner
Nguyen Thi Thuy Tien – Associate
Nguyen Quang Thai – Junior Associate
On 23 September 2026, the Government issued Decree No. 365/2026/ND-CP detailing the rice export and import business (“Decree 365”). Decree 365 takes effect from 01 October 2026, replacing the previous management mechanism under Decree 107/2018/ND-CP on rice export business (“Decree 107”), and for the first time establishes a relatively comprehensive management mechanism for rice import activities. In addition to inheriting appropriate provisions, Decree 365 adds many new management mechanisms to improve the quality of merchants participating in the market, increase transparency in export and import activities, and encourage the development of high-value-added rice products. Some notable highlights are as follows:
1. Rice export activities
a. Rice export business conditions continue to be strictly controlled
Inheriting previous regulations, according to Decree 365, a merchant is granted a Certificate of eligibility for rice export business (“Certificate”) if they meet the following two (02) conditions:
(i). Having at least one (01) specialized warehouse for storing paddy and rice that meets the regulations on food safety, standards, and technical regulations; and
(ii). Having at least one (01) rice milling facility that meets the conditions prescribed by law. These facilities can be owned or legally leased through written contracts.
Notably, to limit the sharing of physical facilities to legitimize business conditions, Decree 365 continues to stipulate that merchants who have been granted a Certificate are not allowed to sublease the warehouses or milling facilities declared in their licensing dossier to other merchants for the purpose of applying for a new Certificate.
This regulation shows that the issue of controlling the actual capacity of rice export enterprises, rather than relying solely on administrative records, has always been prioritized by the state in the past and in the future.
b. Expanding preferential mechanisms for specific, high-value-added rice lines
To promote the development of high-quality rice products and enhance the competitiveness of Vietnamese rice in the international market, Decree 365 continues to apply an exceptional mechanism for organic rice, parboiled rice, and micronutrient-fortified rice.
Accordingly, merchants exporting the aforementioned types of rice will not have to meet the rice export business conditions, are not required to apply for a Certificate, and are exempt from the mandatory circulation reserve obligation as well as the periodic reporting regime. This mechanism helps enterprises minimize compliance costs and creates an incentive for investment capital to focus on product segments that bring high added value rather than just racing for export volume.
Besides, Decree 365 has removed the condition related to Customs procedures to simplify procedures and create more favorable conditions for enterprises. Specifically, it removed the content: “When carrying out export customs procedures, merchants exporting organic rice, parboiled rice, and micronutrient-fortified rice without a Certificate only need to present to the Customs authority the original or certified copy of the written confirmation or certificate from a competent agency or organization, or an export rice inspection certificate issued by an inspection organization according to the law stating that the exported rice product complies with the criteria and determination methods guided by the Ministry of Agriculture and Rural Development and the Ministry of Health according to Point e, Clause 2, Clause 3, Article 22 of this Decree.”
c. Simplifying Certificate issuance procedures but strengthening enterprise responsibility
Decree 365 expands the application submission methods, allowing merchants to apply for a Certificate through various flexible forms such as: direct submission, via postal service, via the National Public Service Portal, or the web portal of the Ministry of Industry and Trade. The processing time is shortened to 10 working days from the date the agency receives a complete and valid dossier. The issued Certificate will be valid for 05 years.
Along with the simplification of administrative procedures, the Decree shifts its focus to a post-audit mechanism. Enterprises are allowed to self-declare their dossiers and must be legally responsible for the accuracy of this information. This change requires enterprises to tighten their internal compliance control processes to minimize legal risks during post-licensing inspections and audits.
d. Post-audit mechanism and strengthening sanctions for rice export business
Decree 365 still inherits the principle that enterprises self-declare and are legally responsible for the dossiers and contents declared in the application for a Certificate.
Accordingly, for the post-audit mechanism, Decree 365 specifies the post-audit period within 45 days from the date the Ministry of Industry and Trade issues the Certificate to the merchant, and adds the authority of the Provincial People’s Committee where the merchant has a specialized warehouse for storing paddy and rice to preside over and direct local functional agencies to coordinate with functional agencies in other areas (if any) to organize post-audits.
Regarding sanctions for violations, in addition to the grounds for Certificate revocation as in the old regulations, Decree 365 has added the following violations as grounds for Certificate revocation:
(i). Not being named in an export declaration for 12 consecutive months (Shortening the time a merchant is not named in an export declaration from 18 consecutive months down to 12 months).
(ii). Failing to comply with and not properly maintaining the mandatory paddy and rice reserve norms; or
(iii). Being revoked upon the proposal of competent functional agencies.
These regulations show a trend of strengthening post-audits and attaching legal compliance responsibilities throughout the process of production, purchasing, processing, and reserving rice instead of just checking at the time of licensing, ensuring national food security policy.
e. Credit rating assessment
From 01 January 2028, a credit rating assessment mechanism for rice export merchants will be implemented. This is considered a new management tool to enhance transparency and screen the capacity of entities participating in the market.
2. Rice Import Activities: Adding a comprehensive management mechanism for rice import activities
Unlike previous regulations which mainly focused on export activities, Decree 365 for the first time sets management requirements for rice import merchants. Specifically, rice import business merchants must:
Notify their import plan to the Ministry of Industry and Trade according to the form attached to Decree 365. In case of changes to the rice import plan, merchants must submit an additional import plan notification as prescribed;
- Report periodically on a quarterly and annual basis and report unexpectedly upon the request of the Ministry of Industry and Trade and the Ministry of Finance regarding the rice import business situation according to Form No. 10 stipulated in this Decree;
- Comply with the directives of ministries, sectors, and localities in managing rice imports.
3. Transitional provisions
For Certificate application dossiers submitted before 01 October 2026, the competent authority will continue to review and process them according to the provisions of Decree 107 and related amending and supplementing documents.
For enterprises currently engaged in importing rice, when the Decree takes effect, the registration of import plans must be carried out within 45 days from 01 October 2026.
For foreign-invested enterprises that were granted rice export business rights before 2010, business activities will continue to be carried out according to the issued licenses but must ensure compliance with the new provisions of the Decree during operation.
4. Some recommendations for enterprises
To proactively comply with the new provisions of Decree 365, enterprises need to note the following:
a. For rice export enterprises:
- According to customs declaration data, avoid the situation of not being named on an export declaration for more than 12 consecutive months to avoid the risk of having the Certificate revoked.
- Review the legality and usage status of warehouse and milling facility lease contracts to ensure that these physical facilities have not been registered and recorded in the Certificate of another merchant.
- Proactively evaluate the product portfolio and consider expanding activities for organic, parboiled, or micronutrient-fortified rice to take advantage of exemption mechanisms regarding business conditions and compliance obligations.
- Strengthen the internal compliance management system, especially concerning the reporting regime, ensuring the 45-day deadline, circulation reserve obligations, and the maintenance of business conditions throughout the validity period of the Certificate.
b. For rice import enterprises:
- Rice import enterprises need to urgently develop and register their import plans with the Ministry of Industry and Trade within the prescribed time limit (within 45 days from 01 October 2026) to avoid risks affecting business operations;
- Pay attention to the regulations on periodic reporting on rice import activities to ensure compliance with reporting deadlines;
- Regularly update local information in rice import management to comply.
Overall, Decree 365/2026/ND-CP shows the new management orientation of the State for the rice industry: strengthening the control of actual capacity of merchants, enhancing the transparency of import and export activities, and at the same time encouraging the development of high-quality rice segments. With these changes, enterprises need to proactively prepare and adapt to take advantage of business opportunities, while ensuring full compliance with legal requirements in the new period.
