NFA officials said trading agency will conduct two separate biddings will be held next month for the importation of 200,000 MT and 400,000 MT of rice.
The first bidding will be held on May 4 and the second auction on May 24. NFA Administrator Gregorio Tan had said earlier his agency wants to buy all of the country’s rice import requirements during the lean months of July to September.
NFA originally set an import target of 1.1 million MT, but adjusted this to as high as 1.6 million MT because of the prolonged drought brought about by the El Niño phenomenon. Should the country’s rice imports reach 1.6 million MT, it will be the highest since 1998 when a dry spell across
Asia forced government to bring in 2.1 million MT of rice. NFA officials said this year’s El Niño occurrence will definitely reduce rice production by a significant volume although the Bureau of Agricultural Statistics (BAS) has yet to release figures on the actual rice production for the first quarter of 2005, the second quarter standing crop and the planting intentions for the third quarter.
The May 24 bidding will be for the importation of 300,000 MT of 25-percent broken variety and another 100,000 MT of iron fortified rice either in five, 15 percent or 25-percent broken grade.
The supply will likely be coming from Thailand, Vietnam, China, Pakistan, Australia and US for arrival between June and August this year.
The imports will also plug the production shortfall during the third quarter period as consumption of rice, the country’s major staple is constantly increasing and is now averaging 28,000 MT a day from only 27,500 MT last year.
On the other hand, BAS indicated that rice production in the first semester this year is projected to be flat or the same as the previous year’s yield of six million MT.
Earlier, the NFA awarded contracts, mostly to Vietnamese rice traders, for the shipment of 887,500 MT of rice.