Philippines to Continue Rice Importation Next Year

The Philippines intends to import some one-tenth of its rice requirements early next year despite expectations of good harvest for the period, the country's agriculture chief said on Wednesday.

The Philippines, one of the world's biggest rice importer, may buy as much as two million metric tons of the grain, said Agriculture Secretary Arthur Yap, quoted by Philippine TV GMA News.

The official did not announce the date of the proposed transaction since doing so will not work out for the country's benefit.

We will continue the strategy of early buying, Yap said, adding that the government was able to secure rice stocks at a time when the grain's prices surged to 1,200 U.S. dollars per metric ton.

Manila remains open to negotiating possible government to government rice import deals with South Korea and Japan, Yap said.

This year, the Southeast Asian country has imported 2.3 million metric tons of rice, partly pushing the world prices to historic levels. Benchmark Thai rice prices peaked at about 1,100 dollars per ton in April.

Despite a survey indicating that farmers may be planting less rice owing to expensive fertilizers, the Philippine Department of Agriculture remains optimistic that rice production for next year will reach 17.3 million metric tons.