March 31, 2004

Philippines To Import Corn 350,000 MT Corn

The Philippine National Food Authority (NFA) said on Wednesday it will proceed with its plan to buy up to 350,000 metric tons of yellow corn this week despite the absence of an executive order that will allow the agency to buy the corn at zero tariff.
 
NFA administrator Arthur Yap said the agency has sufficient time to obtain the necessary approval of the imports before the cargoes arrive between April to June this year.
 
The NFA will hold a tender Friday to buy up to 350,000 tons of corn at zero tariff to fill in a domestic shortfall. The NFA will buy the corn on behalf of poultry, livestock and feed milling industries.
 
To bring in corn imports at zero tariff, the NFA needs to obtain the approval of the Fiscal Incentive Review Board of the Department of Finance, Yap said.
 
Such approval is necessary before the President can sign an executive order that will allow for the tariff removal of the corn imports, he added.
 
"We're confident we'll get these two things done before the imports arrive," Yap said.
 
Corn is a major ingredient in animal feeds. Imports have a 35% to 50% tariff.
 
Philippine corn output in 2002 reached only about 4.6 million tons against an annual consumption of around 6 million tons.