USDA hikes PH rice import projection to 4.1M metric tons for 2024

The Philippines is expected to increase its rice importation this year, more than what was initially estimated, further cementing the country’s status as the world’s top importer of the grain staple, according to the latest report by the United States Department of Agriculture (USDA).

In the March edition of its Grain: World Markets and Trade report, the USDA projects the Philippines to import 4.1 million metric tons (MT) of rice this year, higher by 200,000 MT than its February estimate of 3.9 million MT. 

The USDA cited “smaller crop” as reason for upgrading its rice importation projection for the Philippines, notably due to El Niño phenomenon.

The American Agriculture department also took note of the increases in imports for the country.

In its earlier report, the USDA attributed “strong recent purchases from Vietnam” as the reason for adjusting its earlier projection.

The Philippines and Vietnam have signed a Memorandum of Understanding (MOU) on Rice Trade Cooperation during the state visit of President Ferdinand ''Bongbong'' Marcos Jr. to Hanoi in late January.

Under the MOU, Vietnam agreed on a five-year trade commitment to supply white rice to the Philippine private sector, amounting to 1.5 million to 2 million metric tons (MT) per year at a competitive and affordable price.

“Kahit may projections ang USDA hindi naman normally nangyayari ang ganun (Even though the USDA has projections, it does not normally materialize),” Agriculture Assistant Secretary and spokesperson Arnel de Mesa said at a forum in Manila on Wednesday.

De Mesa cited the USDA’s projection for 2023 of 3.9 million MT of rice importation, but the country’s actual imports turned out to be lower than expected.

“Ang datos natin ayon sa Bureau of Customs (BOC) kasama na rin ang Bureau of Plant Industry (BPI), our importation was at 3.6 million MT dahil ‘yung ating local harvest medyo mataas [at] record harvest din last year at 20.06 million MT in palay form,” he said.

(Our data according to BOC and BPI showed that our importation was at 3,6 million MT because our local harvest was high at a record 20.06 million MT.)

De Mesa, however, admitted that the El Niño phenomenon might impact the country’s rice production.

Thus, he said, “we’re pegging our productivity [this year] would be a little over similar to last year.”

“We’re looking very conservatively because of what’s happening and a possibility of La Niña in the second semester,” De Mesa said.—AOL, GMA Integrated News