RP's rice imports seen to reach record 2.4 million metric tons this year

MANILA, Philippines - The country’s rice imports are expected to reach a new high of 2.4 million metric tons (MT) this year, almost 100,000 MT more than the 2.3-million MT imported in 2008, according to official data gathered by the Food and Agriculture Organization (FAO).

Agriculture officials have refused to officially reveal how much rice the country’s official grains agency, the National Food Authority (NFA), will import for the whole of 2009.

Agriculture Secretary Arthur C. Yap has declined to divulge the NFA’s rice import target, merely hinting that it would still be lower than the 2.3-million MT imported last year.

However, just last month, NFA council insiders had indicated that rice imports this year could amount to 2.2 million MT.

But in the June 2009 Food Outlook report of the FAO on rice, it reported that “shipments to the Philippines, which stood out as the leading rice importer in 2008, are officially forecast at 2.4 million tons, almost 100,000 tons more than last year, and one of the highest level on record.”

The Philippines’ higher rice imports this year comes despite an expected higher paddy rice production.

The FAO reported that “preliminary information on plantings and crop development over the 2009 season has been favourable.

“As a result and assuming a normal rainfall pattern in Asia in the coming months, world production in 2009 could gain a further one percent and reach 696 million tons (465 million tons, milled equivalent).”

The FAO acknowledged that “only part of the increase in world output in 2009 is expected to originate in Asia, where some 626 million tons are expected to be harvested, up from 624 million tons in 2008.”

While some countries are expected to post lower production due to farmers’ apprehension over deteriorating rice prices, the FAO reported that “sizeable increases are expected in Cambodia, India, Indonesia, the Philippines, Sri Lanka and Vietnam, spurred by continued public support to the sector.”

Yap’s refusal to divulge the Philippines’ rice import intentions is intended to avoid global market price spikes.

Last year, at the height of the rice price crisis, the Philippines, (which is  considered a rice market mover because of its huge rice importations) was criticized for triggering the global rise in rice prices.