Vietnam wins tender to ship rice to Philippines

April 15, 2013 | 08:00
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Vietnam has successfully bid for selling 187,000 tons of rice to the Philippines at a bidding round held early this month with the participation of Vietnam and Thailand, according to the Vietnam Food Association (VFA).


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The bidding which is the Philippines’s first of the year was held in April. A total 187,000 tons will be sold at $459.75 per ton and delivered from now until June.

The offering price of Vietnam’s 25pct broken rice on Thursday stayed at $355-365 per ton, which is over $30 lower than the same rice of India and $170 lower than that of Thailand.

At a review meeting on rice export held in HCMC last week, VFA chairman Truong Thanh Phong recommended that enterprises should not arbitrarily sign commercial contracts with Philippine importers to avoid problems for the bidding joined by the Government.

The big export contract with a high selling price is expected to push up Vietnam’s exporting price in the coming time.

The U.S. Department of Agriculture (USDA) forecasts that the Philippines will import around 1.2 million tons of rice this year while the Philippines’ National Food Authority says it will import only 187,000 tons. The forecast of USDA is based on the Philippines’ rice reserve which has declined to under two million tons, the lowest since 2008.

SGT

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