CEBU, Philippines - A failure of bidding was declared yesterday by the Bureau of Customs on the P25-million worth of abandoned rice shipment at the port of Cebu.
Lawyer Rico Rey Francis Holganza, legal chief of the BOC in Cebu, was forced to declare a failure of bidding after the nine bidders submitted a bid amount way below the floor price set by the National Food Authority.
The government, through the BOC, is bidding out the 14,560 bags of rice shipment that was abandoned by the importers. The shipment was divided into three lots for purposes of the public auction.
Lot one is composed of 4,650 bags at P1,654 per bag or a total price of P7,683,425. However, the bidders only submit a bid price ranging from P4.6 million to P5 million.
Lot two has 4,680 bags at P1,783 per bag or a total amount of P8,344,440. The bidders only submitted P6.6 million. Lot three is composed of 5,200 bags at P1, 865.50 per bag or P9,700,600. The bidders only want to buy it for P5 million to P7.7 million.
According to the bidders, the floor price was too high.
“The price is very unattractive. Walang negosyante na gustong malugi†said one of the bidders.
The rice shipment arrived in Cebu on March 16 and 22 and April 16 last year. The shipment came from Vietnam.
The BOC declared that the shipments were abandoned after no import entries were filed within the 30-day period from arrival. (FREEMAN)