NFA: 5 SE Asian firms offer lowest bids at rice tender
FIVE Southeast Asian (SEA) companies will likely supply the 500,000 metric tons (MT) of rice under a government to private sector (G2P) importation scheme needed by the Philippines to boost its buffer stock, the National Food Authority (NFA) said Tuesday.
During the bidding, the NFA said two companies from Thiailand and one each from Singapore, Myanmar, and Vietnam submitted the lowest bids for the procurement of the additional rice imports.
A total of 15 companies actually bought bid documents and showed up during the bidding process. However, only 14 qualified for the bidding while one failed due to the lack of statement of its ongoing contract.
The rice imports (25 percent broken, well-milled, long grain white rice) were divided into nine lots with volume of importation ranging from 10,000 MT to 118,000 MT.
For the first lot of 65,000 MT in La Union, Singaporean company Olam International Ltd. had the lowest offer of $429.80 per MT for a total of $27.9 million.
Vietnamese Tan Long Group Joint Stock Co. submitted the lowest offer for lot 2 in Subic at 118,000 MT at $459 per MT.
Both lots 3 and 4 in Batangas and Tobaco were captured by Olam International after submitting bid offers at $425.80 per MT and $432.10 per MT, respectively.
Shwe Wah Yaung Agriculture Production Co., Ltd. from Myanmar had offered the lowest price at $418.65 per MT for lot 5 in Iloilo and Bacolod at 28,000 MT.
Thai company Asia Golden Rice Co. Ltd., meanwhile, submitted the lowest bid for lot 6 in Cebu and Tacloban and lot 7 in Zamboanga, Cagayan de Oro and Surigao. Its offers were $458 per MT and $439.75 per MT, respectively.
For Lot 8 in General Santos City and Davao at 45,000 MT, another Thai company Thai Capital Crops Co. Ltd. submitted the lowest price at $439.75 per MT.
Lastly, Olam International had the lowest bid for lot 9 in Manila at $43 per MT.
Reference price for the importation was set at $470 per MT based on the foreign exchange rate of $1 to P54.50
The total amount of all bidders reached P$220.1 million or P12 billion, saving the government around P800 million.
The NFA has allotted a total of P12.8 billion for the procurement of the 500,000 MT of rice.
“We are happy. We can now say that this is a successful bidding,” said NFA Deputy Administrator for Marketing Operations Judy Carol L. Dansal.
She said winning bidders shall be subjected to a one-week post-qualification evaluation to be conducted by the NFA Bid and Awards Committee. If they qualify, that’s the only time the notice of ward will be issued by the NFA.
The 500,000 MT additional imports shall be shipped to the Philippines from Dec. 15, 2018 until Jan. 31 next year.
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