May 16, 2007
Philippines extends corn import arrivals to August
The Philippines has extended from July to August the arrival of proposed yellow corn imports of up to 80,000 tonnes, sources said on Tuesday (May 15).
The state-run National Food Authority (NFA) is holding a tender on Thursday to purchase the corn representing local feedmillers as well as poultry and livestock firms as local stock is unable to fill the demand.
The sources, who request anonymity, said the NFA sent notices to traders of the change in the arrival schedule on Tuesday.
Feed millers and livestock producers have requested for the extension as the rainy season would result to possible transport and warehousing problems with corn imports arriving in May to September.
Philippine firms led by San Miguel Corporation, Southeast Asia's largest food and beverage firm, have committed to buy 67,640 tonnes of yellow corn at the tender on May 17, the NFA said.
Out of the total, San Miguel was given a quota to buy 40,000 tonnes while the Philippine unit of US firm Cargill
got a quota of 10,000 tonnes.
The remainder is divided among 10 local feedmillers, livestock and poultry firms.
The country plans to buy 400,000 tonnes of corn overseas this year to bridge the gap in local production for animal feed. Local firms have already bought 120,000 tonnes of yellow corn from Argentina via tender in April 11.
Of the 120,000 tonnes bought, Cargill Philippines got the nod to supply 60,000 tonnes from Argentina at US$215.48 per tonne, including cost and freight, for arrival no later than July 31.
Toepfer International Asia, on the other hand, won a contract to supply the remaining 60,000 tonnes at US$215.50 per tonne, including cost and freight, for arrival no later than June 30.
Local firms asked the government to waive the minimum 35 percent tariff on imported corn so that the grain would cost the same as local corn.
Instead of paying the tariff, the NFA charged local firms a fee of 1 peso ($0.02) for every kilo of corn bought.
($1=47.06 pesos)
