Vietnam offers to sell 100,000 tonnes of rice to Philippines
(VOV) - The Vietnam Food Association (VFA) has submitted an offer to sell 100,000 tonnes to the Philippines — the second large offering this month.
Earlier the Philippines had reissued its original tender of June 5 to purchase 100,000 tonnes of rice with offers to be opened on June 16. Other major competitors in the bidding are Thailand and Cambodia.
“The price is not optimal,” said Huynh The Nang, president of the VFA but we are in a position for which we are forced to accept a lower profit margin in hopes of increasing our sales volume.
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On June 5, the VFA won an initial contract to sell 150,000 tonnes of rice to the Philippines National Food Authority said Nang, adding that at that time the tender on the current 100,000 was inexplicably withdrawn.
Since early this year, the VFA has signed contracts to sell roughly 450,000 tonnes of rice in total to the Philippines, Nang added.
Lam Anh Tuan, director of Thinh Phat Company, in turn said the price was fair and well within the going rate for comparable commercial contracts.
Last year, the Philippines acquired 1.8 million tonnes of rice from Vietnam and plan to purchase approximately the same amount this year as part of an effort to stabilise domestic prices and increase national reserves.