To cool domestic prices, the Philippines has just received better rice prices from Vietnam and is trying to persuade India to sell, according to Bloomberg.
Philippine Agriculture Undersecretary Domingo Panganiban has just sent a notice to the office of President Ferdinand Marcos Jr. that he has received quotes up to $40 lower (per ton) from Vietnamese rice exporters after the latest negotiations.
In parallel, President Marcos, along with the Department of Agriculture, plans to work with the Indian government to allow rice exports to the country on humanitarian grounds. "This will hopefully pave the way for the country to get better terms to import an additional 300,000 tons to 500,000 tons of rice this year," Domingo said.
The Philippines needs to buy more rice from Vietnam and India to cool down domestic prices. "This (importing rice from the two countries) will help reduce prices because it will increase national reserves. Even without importing, we will still have enough rice for 52 to 57 days by the end of the year," Mr. Domingo explained.
Different types of rice are displayed for sale at a store in Cubao, Quezon, Philippines on August 11. Photo: Philstar
The Philippines is one of the world's largest rice producers, but it typically buys rice from major suppliers such as Thailand and Vietnam to offset production losses caused by typhoons. It expects to need to import 2.5 million tons of rice this year, compared with about 3.5 million tons in 2022.
In the country, rice prices are rising at a "catastrophic" rate comparable to the 1998 rice crisis, according to Raul Montemayor, national director of the Free Farmers Federation. The latest Philippine Department of Agriculture (DA) domestic rice price tracker for the Manila area shows that the retail price of regular rice is 49 pesos (87 cents) per kilogram, well-milled rice is 52 pesos (92 cents) per kilogram, and premium and specialty rice are priced at 56 pesos (99 cents) and 65 pesos (US$1.15) per kilogram, respectively.
In Nueva Ecija, farmers confirmed that retail prices of rice are rising despite being considered the “Rice Bowl of the Philippines.” Bongabon East Farmers and Fisheries Service Cooperative Chairman Dan Alfaro said retail prices ranged from 52 to 60 pesos (92 cents to $1.06) per kilogram. Meanwhile, in Bongabon, the price ranged from 17 pesos to 23 pesos (30 to 40 cents) per kilogram, depending on quality.
Imported well-milled rice is selling for 46 pesos (81 cents) per kilogram in the Philippines. Premium and special imported rice are priced at 52 pesos (92 cents) and 65 pesos (1.15 U.S. dollars) per kilogram, respectively. Two million bags of imported rice from Vietnam have arrived to supplement the tight supply in the domestic market, according to rice traders at Golden City Business Park and Intercity Industrial Estate in Bocaue, Bulacan.
Phien An ( according to Bloomberg, Philstar )
Vietnam.vn
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