PH rice imports to exceed 1M tons: FAO
Philippine rice imports may exceed one million tons in the first year of the Duterte administration.
According to the Food and Agriculture Organization’s October 2016 edition of the AMIS Market Monitor, the Philippine government, through the National Food Authority, has awarded the contract for the supply of 250,000 metric tons of rice.
“Furthermore, the NFA is set to permit private imports of up to 805,200 tonnes of rice,” the AMIS Market Monitor said.
The NFA’s 250,000-metric ton importation was awarded under a government-to-government purchase scheme, with the NFA buying the rice from Thailand and Vietnam. The rice was bought at $424.84 per ton, 15 cents lower than the reference price set by the NFA tender. The rice quality must not be lower than 25 percent broken.
The NFA’s importation on its own was to comply with its mandate to maintain adequate supply of rice. The FAO said the NFA may import as much as 293,100 tons that it can also source from China, India, Pakistan, Australia, and El Salvador.
The rice shipments must be brought in by February 28, 2017 and are subject to a 35-percent import tariff.
“The measures were followed by an announcement that the government is considering to forego the extension of quantitative restrictions on rice, which are due to expire in July 2017,” the Market Monitor added.