Vietnam is set to ship 800,000 tons of rice to the Philippines between May and August. PHOTO: NGOC THANG
The Philippines' state food agency has awarded contracts to supply the nation with 800,000 tons of rice to two Vietnamese firms
Vinafood 2 will supply 600,000 tons of 15-percent broken, long grain well-milled rice; the remainder will be supplied by Vinafood 1, Filipino media reported Tuesday.
Shipments will be delivered between May and August, according to a release from the Philippines' National Food Authority (NFA).
The two Vietnamese firms offered the lowest prices during a tender held by the NFA on April 15.
Vinafood I offered to supply 100,000 tons at US$436 per ton and another 100,000 tons at $439 per ton.
Meanwhile, Vinafood 2 offered to sell 600,000 tons in total at prices ranging from $436.5 to $439.25 per ton.
The two firms beat out a number of foreign traders, including Louis Dreyfus Commodities Asia of Singapore, Thai Hua of Thailand and Singsong (HK).
Philippine rice imports could reach 1.4 million tons this year, the US Department of Agriculture has said.
Reuters quoted experts who predicted the island nation's imports will rise even higher due to a string of natural disasters, last year, that included two strong typhoons which impacted badly on local crops and depleted stockpiles.
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