Rice Imports Reach 1.6 Million MT in Early May
Published on: May 10, 2024.
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THE PHILIPPINES Relies on Importing Rice
As of early May, the Philippines has imported 1.6 million metric tons (MT) of rice, according to the Bureau of Plant Industry (BPI). This marks a significant amount of rice being brought into the country. In April alone, shipments fell by 19.5% compared to the previous year, totaling 416,026 MT. Clearly, the demand for rice is high in the Philippines.
The US Department of Agriculture (USDA) projects that the Philippines will import a total of 3.9 million MT of rice this year. However, this estimate has been downgraded from the initial forecast of 4.1 million MT. Agriculture Secretary Francisco P. Tiu Laurel, Jr. has described this projection as a “worst-case scenario” in case domestic production cannot meet demand. This highlights the importance of ensuring a stable supply of rice for the country.
Vietnam remains the top supplier of rice to the Philippines, accounting for a significant 76.3% of imports with 1.12 MT. In January, Vietnam agreed to supply the Philippines with 1.5 million to 2 million MT of rice annually for the next five years. This agreement is crucial in maintaining a steady rice supply for the Philippines.
Thailand is another major supplier, providing 271,037 MT of rice during the period, which is 16.9% of all shipments. Pakistan also contributes to the rice imports, supplying 136,124 MT. Other sources of rice imports for the Philippines include Myanmar and China, accounting for 62,480 MT and 5,200 MT, respectively. The Philippines relies on a variety of countries for its rice supply.
Despite the import numbers, the Philippines still faces challenges in rice production. Output of palay, or unmilled rice, fell by 2% during the first quarter to 4.69 million MT, as reported by the Philippine Statistics Authority. This decline is attributed to the impact of climate change, specifically the El Niño phenomenon. As a result, the Department of Agriculture (DA) has downgraded its palay target to 20.4 million MT for this year, compared to the initial target of 20.8 million MT. The effects of El Niño have impacted domestic rice production.
The damage caused by El Niño is estimated to be worth P5.9 billion, with rice and corn being the most affected crops, according to the DA. Losses to the rice crop alone are valued at P3.14 billion, with a volume lost of 129,350 MT. This highlights the urgency of finding solutions to increase domestic rice production and ensure food security for the Philippines.
In conclusion, the Philippines heavily relies on importing rice to meet its high demand. Vietnam remains the top supplier, followed by Thailand and Pakistan. However, challenges in domestic rice production, such as the impact of climate change, have resulted in lower output and a need for imports. It is crucial for the Philippines to work towards improving rice production to reduce dependence on imports and maintain food security in the country.
Source: [https://www.bworldonline.com](https://www.bworldonline.com){:target=”_blank”}
