FOUR Asian countries have signified their interest to supply the Philippines with rice as part of Manila’s “contingency” procurement for the coming lean months.
The Philippine International Trading Corp. (PITC) held on Monday its 300,000-metric ton (MT) rice importation via government-to-government transaction (G2G) with India, Vietnam, Thailand and Myanmar participating in the bidding held via Zoom.
The four Asian countries were declared eligible bidders by the PITC after they submitted all required documents, including financial statements and authority letters from their respective states.
Under the updated terms of reference (TOR) for the G2G transaction, only foreign governments or state-owned or -controlled enterprises are allowed to participate in the bidding process.
Vietnam was represented by its state trading enterprise Vietnam Northern Food Corp. 1 (VinaFood 1), while Thailand was represented by its Department of Foreign Trade.
The National Agricultural Cooperative Marketing Federation of India Ltd. (Nafed) represented India in the bidding, while Myanmar Rice Federation (MRF) was authorized to represent Myanmar.
The PITC’s TOR set the approved budget for the contract (ABC) at P24,833.33 per MT of 25 percent brokens, well-milled long grain white rice.
Under the TOR, all bids should be converted to Philippine peso at the prevailing exchange rate of the Central Bank on the bid opening date, which was at $1 to P49.904.
The TOR also stipulated that bids shall be divided into five lots based on the designated discharge ports and volume (Manila at 184,000 MT; Cebu at 42,000 MT, Tacloban at 15,000 MT, Zamboanga at 24,000 MT, and Davao at 45,000 MT).
The winning suppliers shall deliver the first half of the volume of their secured lots not later than July 14, while the remaining half must enter the country not later than August 14, based on the TOR.
Bids
Myanmar offered to supply 33,000 MT (10,000 MT for the first delivery and 23,000 for the second tranche) out of the 174,000 MT of Manila lot at an offer price of $489.25 per MT or equivalent to P24,415.532 per MT. Myanmar also bid to supply the whole Cebu lot at $494.25 per MT or about P24,665.052 per MT.
India offered to supply 4 out of 5 lots except for Manila. For the Cebu lot, India offered to supply it in full volume at a price of $484.7 per MT or P24,188.4688 per MT. India offered to supply the second tranche of the Tacloban lot (7,500 MT) at $485.7 per MT or P24,238.3728 per MT.
The South Asian country offered to supply the Zamboanga lot in full volume at a bid price of $484.70 per MT, equivalent to P24,188.4688 per MT, while it offered to supply half (second tranche) of the Davao lot at $485.7 per MT or about P24,238.3728 per MT.
Thailand, which has been an active participant of the Philippines’ G2G rice importation transactions in the past, only submitted an offer to supply the full volume of Manila lot at $541 per MT (P26,998.064).
Lastly, Vietnam submitted supply offers for all the 5 lots. For the Manila lot, Vietnam submitted a bid offer of $530 per MT (P26,449.12) for the supply of 64,500 MT (divided in two tranches).
The Southeast Asian state offered to supply in full volume the lots of Cebu, Tacloban and Zamboanga at a price of $530 per MT. Vietnam also offered to supply 30,000 MT in two deliveries for the Davao lot at $497.30 per MT (P24,817.2592)
Under the TOR, the Notice of Award shall be issued to the prospective supplier within three days from bid opening, unless otherwise advised by PITC in writing through an amendatory bulletin. Afterward, the PITC shall issue the supply contract and the notice to proceed to the foreign supplier.
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