Vietnam wins bid to supply 150,000 tons of rice to the Philippines
Vietnam won a bid against rival Thailand to supply 150,000 tonnes of rice at $410.12 per tonne to the Philippines.
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Reuters reported that the Philippine National Food Authority (NFA) has invited contractors from Vietnam and Thailand to supply 250,000 tonnes of 25% broken rice for delivery in July and August this year to supplement national rice stocks during the lean season (July - September) as well as to curb rising domestic rice prices.
Initially, Vietnam offered 150,000 tons of rice at $419.35 per ton and Thailand offered 100,000 tons of rice at $419 per ton, but the NFA rejected both because the prices were higher than the reference price and allowed re-offers.
Vietnam agreed to lower the selling price to $410.12 per ton, equal to the NFA reference price, but Thailand withdrew because it said the NFA reference price was too low.
The Philippines imported 300,000 tons of rice from Vietnam and 200,000 tons from Thailand earlier this year. The NFA is allowed to import an additional 350,000 tons of rice in case El Nino negatively affects agricultural production. Vietnam will have to deliver 150,000 tons of rice it won in the bid earlier this year to the Philippines by July.
The Philippines’ increased demand for rice imports is expected to support the continuously falling export prices in Asia. Export prices of 5% broken rice from Thailand, Vietnam and India are currently at 365 USD/ton, 355 USD/ton and 380 USD/ton, respectively, down from 410 USD/ton, 380 USD/ton and 390 USD/ton at the beginning of the year./.
According to VOV.online
