NFA to rebid 120,000 MT of rice import volume

The National Food Authority will repeat the bidding process for 120,000 metric tons (MT) of rice after the agency’s bids and awards committee discovered some “suspicious" documents submitted by post-qualified bidders. “In order not to repeat the previous year’s folly, the agency deems it best to rebid the volume," said NFA administrator Angelito Banayo in an interview with reporters Wednesday. In a speech in January, the President exposed an alleged scam in the private sector-financed importation of rice in 2010, which appeared to him as benefiting only one group or individual. Banayo said the NFA will conduct the rebidding in May to complete the bidding of the 600,000 MT of rice that was auctioned off in March. He said the agency will award close to 500,000 MT of this volume no later than Friday. The Philippines plans to import 860,000 MT of rice for 2011, of which 660,000 MT is allocated to the private sector and farmers’ groups. The other 200,000 MT has been sourced from Vietnam in a government-to-government deal. Higher rice importation The NFA meanwhile said that if the palay production from January to June does not shoot up to the projected 15.3 percent, the government could increase its rice import volume. “It is my gut feel that the country should import an additional volume of more than 300,000 MT rice to the buffer stock in time of unexpected major calamities," Banayo said. “An additional 300,000 is not much," he added. “We will not be over-importing. What we should be wary of is a situation of under-importation. How will the government respond if a super typhoon hits the country and people are lining up for rice?" In a briefing on Tuesday, however, Agriculture Secretary Proceso Alcala said the 860,000 MT import volume will be enough for the country’s consumption. On the other hand, Bantay Bigas spokesperson Lita Mariano had earlier criticized the government for "entrusting" the Philippines' rice security to the private sector, stressing the importance of fortifying rice production and not relying on importation. — With Paterno Esmaquel II/VS, GMA News