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November 2, 2011

 

Philippine feed millers seek government approval on corn imports


  

Feed millers in the Philippines are seeking the approval of the government to import 100,000 tonnes of yellow corn between January and March to support the requirements of the livestock industry after typhoons damaged local crops.
 
In an October 26 letter to Agriculture Secretary Proceso Alcala, the Philippine Association of Feed Millers Inc. (Pafmi) said that two strong typhoons in late September and early October had damaged the quality of local corn crops, pushing up local prices.
 
PAFMI says domestic corn supply may further tighten next year as indicated in farming surveys which showed corn farmers may delay planting following the typhoons.
 
Although there are planned importations of feed wheat, this will not substitute for corn requirements of the poultry industry, Pafmi president Norman Santos said this will not substitute for corn requirements in the poultry industry.
 
The planned corn imports would account for only 13 percent of the total requirement of the industry estimated for the first quarter of 2012, and should not adversely affect demand and price of local corn, Santos said.
 
The industry group said corn crops submerged in floods for several days after the typhoons had higher moisture content, with benchmark local prices rising by more than 20 percent following the typhoons.
 

Last month, Santos said the industry group was looking at importing both corn and feed wheat in 2012 to meet the requirements of its members.

The Southeast Asian country did not import corn this year but bought around one million tonnes of feed wheat mainly from Australia.
 
In an initial crop damage report released after the two typhoons battered northern Philippine provinces, the Agriculture department had said corn losses hit 34,839 tonnes, or 2.25 percent of the target output of 1.55 million tonnes in the December quarter.
 

On Monday (October 31), the department said the northern Cagayan Valley region, a major rice- and corn-growing area, was still expecting bumper harvests of rice and corn despite the typhoon damage.

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