Vietnamese traders win deal to export 29,000 tons of rice to Philippines
Farmers gather rice on field in the Mekong Delta – PHOTO: TRUNG CHANH
CAN THO - Two Vietnamese firms have won rice export contracts for a combined volume of 29,000 tons of rice in the Philippines’ 250,000-ton government-to-private (G2P) rice tender, opened on October 18.
The director of a rice firm in the Mekong Delta region told The Saigon Times the same day that the two Vietnamese firms that won the export contracts were Vietnam Southern Food Corporation (Vinafood 2) and Vietnam Northern Food Corporation (Vinafood 1).
According to the source, Vinafood 2 won the contract for 15,000 tons of rice at US$427.68 per ton, and Vinafood 1 secured a contract for 14,000 tons at US$427.5 per ton.
Meanwhile, Thai Capital Crops Co., Ltd, of Thailand won a deal to export 18,000 tons of rice to the Philippines at US$426.3 per ton.
As the rice exports secured by suppliers totaled only 47,000 tons, the Philippines still needs to import 203,000 tons to reach its 250,000-ton target.
This combined volume is low as suppliers have offered prices higher than the projected price of the Philippines’ National Food Authority (NFA), at US$428.18 per ton.
The Philippines earlier announced it would open tender for 250,000 tons of 25% broken rice from any source of supply. Its reference price was US$431.2 per ton, with the cargo to be delivered to designated warehouses.
The Philippines divided the 250,000 tons of rice into nine packages. Bidders were able to bid for all or just one package.
However, bidders were also required to have completed at least one rice export contract with a size equivalent to the selected bidding package within the past five years.
The NFA last May opened tender for 250,000 tons of rice under the G2P scheme. At the time, Vietnamese firms did not win any contracts.
Also in May, Vietnam won a deal to export 130,000 tons of rice, in the Philippines’ 250,000-ton government-to-government rice tender.
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