Philippines Expected To Buy 300,000 Tons Rice From Vietnam

The Philippines is expected to buy its entire new
300,000-metric-ton rice import requirement from Vietnam, as offers made by Thai
competitors were deemed too high, trade participants said Wednesday.
 
  The National Food Authority, or NFA, sought offers Wednesday for the supply
of 275,000 tons of 25% broken grade and 25,000 tons of iron-fortified rice.
 
  Based on the offers, three Vietnamese suppliers namely Vin Phat Trading, An
Giang Afiex and Dagrimex, submitted the lowest price of $328.96/ton, C&F basis.
Their combined offers involve a total of 129,000 tons.
 
  The second-lowest price was made by Vietnam Southern Food Corp. and Kigifac
at $328.99/ton, C&F, involving 200,000 tons of the grain.
 
  For the iron-fortified variety, Vinafoods offered to supply 25,000 tons at
&348.99/ton, on a C&F basis.
 
  "Thai offers are way up there, so the entire volume will be supplied by
Vietnam," one trader said.
 
  Thai suppliers earlier said they hoped to supply the bulk of the Philippines'
new rice import requirement as Vietnam's FOB prices are currently at lofty
levels due to tight export supply.
 
  The rice will be for shipment between June and August this year. The imports
are intended to ensure sufficiency of the grain during the traditional lean
production months of July to September.
 
  A major buyer of rice in Asia, the Philippines plans to import 1.6 million
tons of the grain this year.