Philippines inks rice deal with Vietnam

13-Jun-2012 Intellasia | Business World Online | 7:01 AM Print This Post

The volume, which should arrive in the country by mid-July, comprises the entire amount the government intends to import this year via state-to-state deals.

“The NFA Council passed the contract and I signed it last week along with the Vinafood director,” NFA administrator Angelito T. Banayo, said in a phone interview.

The NFA chief last week said the government would be sourcing the entire volume from Vietnam as an arrangement had not been reached with Cambodia.

An initial deal for 100,000 MT was endorsed last month, with the NFA’s bids and awards committee noting that Vietnam had offered better terms than Thailand.

(File: Reuters)

“Vietnam’s offer was placed at $470 per metric tonne, which includes the shipping costs, delivered to NFA warehouses,” Banayo said, adding that a deal last year only extended to delivery to the port of unloading.

“Loading will start as early as this week and the shipments are expected to come in starting this month and will probably be completed by July 15,” Banayo added.

The shipments will come in through ports in Metro Manila, Cebu, general Santos and Cagayan de Oro.

The Agriculture department, through the NFA, imports rice to ensure ample supply of the grain for the lean months. The Philippines will import a total of 500,000 MT this year.

The NFA last month completed the awarding of permits for the 380,000 MT to be procured by the private sector. Licenses to import the staple duty-free were granted to 124 traders and farmers’ groups.

All private sector imports are expected to arrive by the end of this month.

The Philippines imported 860,000 MT of the grain last year. The private sector accounted for 660,000 MT while the NFA purchased the remaining 200,000 MT. percentE2 percent80 percent99t-inks-rice-deal-with-Vietnam&id=53290


Category: Business

Print This Post

Comments are closed.