By Madelaine B. Miraflor
The National Food Authority (NFA) failed for the third time to ensure delivery for most of the 250,000 tonnes (MT) of rice for which the order was given to import the rest of the year, such as Vietnam and Thailand – the only countries with existing rice trade agreement with the Philippines – will not sell their rice at a lower price.
On Tuesday, NFA once again provided bidding for the supply and purchase of 203,000 MT of 25 percent broken, long grain white rice under a government-to-government (G2G) import.
But Vietnam and Thailand both offered a higher bid than the reference price of NFA of US $ 447.88 per ton (MT).
In particular, Thailand offered to supply NFA 100,000 tonnes of rice for US $ 480.80 per tonne, which should arrive in two countries, half of which should not be later than December 15, and the rest would be here before December 31 must be.
Vietnam, for its part, tried to sell 203,000 tons of rice to the Philippines for $ 483 per ton.
The two countries were then given the opportunity to make another offer, but ultimately bids were made that were still above the NFA reference price.
During the second part of the bidding, Vietnam decided to lower its bid price, but only to US $ 481.50 per MT, while Thailand set its new offer price at US $ 481.50 per MT.
In an interview NFA & # 39; s assistant manager Maria Mercedes Yacapin emphasized that the reference price of NFA "is based on our research into the trends of the international market".
"We do our own world market monitoring of prices," Yacapin said.
Data from the Live Rice Index also show that the price of rice in Thailand has been on a declining trend since October, with its 5 percent broken rice priced at $ 11 per MT from November 11th.
"If the price of 5 percent broken rice is $ 375 per ton, the price of 25 percent is broken rice [which we are importing] should be around US $ 360 per MT, "Samahang Industriya sa Agrikultura (SINAG) President Rosendo So said in a text exchange." Thai rice was going to compare US $ 10 per MT last month ".
So, so to speak, there is no longer a need to import NFA, especially if Thailand and Vietnam do not lower their bid price.
"MIF import will also begin to arrive," said.
The subject for bidding was the balance of the 250,000 MT that was offered to bid on 18 October in the context of an open tender scheme.
With a majority of the bids exceeding the NFA approved budget of US $ 428.18 per MT, only 47,000 MT was awarded to three suppliers offering lower prices than the approved budget.
On 6 November, NFA first tried to get offers for the delivery of the remaining 203,000 tons of rice via a G2G tender, but also failed because Thailand and Vietnam refused to participate in bidding.