Contract secured after bidding price lowered and Thailand bows out.
Vietnam has won a bid for 150,000 tons of rice exports to the Philippines in a tender that opened on June 5 after agreeing to cut its price, with an agreement signed with the National Food Authority (NFA) of Philippines.
World rice market analysts oryza.com said that Vietnam won the bid of 150,000 tons out of a total bid package of 250,000 tons. The prices submitted by both Vietnam and Thailand were rejected as being too high, and after declining to reduce its price Thailand was then excluded.
Vietnam’s initial price for 150,000 tonnes was $419.35 per ton and $419 per ton for 100,000 tons. The price was higher than the reference price of NFA and was not accepted.
It then reduced its price for 150,000 tonnes to $410.12 and secured a contract to supply this amount. Thailand refused to cut its price, saying the reference price was too low.