Rice prices to go down as imports arrive from Thailand, Vietnam

MANILA, Philippines — After more than five months, rice prices are expected to slowly go down as imports from Thailand and Vietnam start arriving next week.

State-run National Food Authority (NFA) said the 250,000 metric tons (MT) of rice imported via government-to-government scheme is scheduled to arrive toward the end of the month.

“We will already receive the first tranche of the G2G by end-May until June 15. By the first of June, the imported rice will be available at the markets,” NFA spokesperson Rex Estoperez told reporters yesterday.

“Prices will definitely start to go down once the stocks reach the market,” he added.

Rice prices have been increasing since the start of the year following the lack of supply of cheaper rice from NFA.

NFA rice serves as stabilizer in the market to avoid an increase of prices of commercial rice.

Currently, the average wholesale price of well-milled rice is at P41.14 per kilogram, while its average retail price is at P43.86 per kg.

The wholesale price of regular-milled rice, on the other hand, is at P37.70, while its average retail price is at P40.04 per kg.

The NFA will sell the imported rice at P27 per kg and P32 per kg.

NFA’s current inventory remains less than a day and the 250,000 MT will increase buffer stock by seven days only.

Despite this, the grains agency is optimistic prices will continue going down in the next few weeks.

“It will depend in the inventory management of selling in the market. If market strategy is good, then prices will still go down,” Estoperez said.

Last May 4, NFA successfully secured from Vietnam the supply of 130,000 MT of rice, 80,000 MT of which is at 25 percent brokens and the remaining 50,000 at 15 percent brokens, both well-milled long grain white rice.

Meanwhile, Thailand will supply 120,000 MT, all at 15 percent brokens.

The rice imports will be discharged in the ports of La Union, Subic, Manila, Tabaco, Iloilo, Bacolod, Cebu, Tacloban, Zamboanga, Cagayan de Oro, Gen. Santos City, Davao and Surigao.