December 4, 2007

Philippines cancels approved additional corn imports

The Department of Agriculture has cancelled the approved additional yellow corn import this year due to time constraints, the agency said Monday (December 3).

Agriculture Assistant Secretary Dennis B. Araullo said the tender for the 270,000 tonnes of yellow corn import is impossible to prosper this year or even in 2008 because there was no taker.

The tender has expired and cannot be carried over for next year, he added.

High corn prices in the world market, Araullo said, also contributed to the decision to withdraw the approved tender. Landed corn costs P15 kilo without tariff, he said.

Araullo added that for next year, the agency stands for a no-corn importation policy but all will depend on the private sector as well as the government's approval.

Eleanor Miranda, Philippine Association of Feed Millers executive director, earlier said the group has decided to pursue its request for the 270,000 tonnes of corn auction before the end of the year.

Conrad Inbañez, National Food Authority assistant administrator, however, said the agency is unlikely to call for an auction this year.

It takes at least 30 days for NFA to conduct the tender after an inter-agency committee, made up of trade, agriculture and finance officials, approves the imports.

If the tender is pursued, the grain delivery will be in January and February next year at zero tariff.