The Philippines’ rice supplies may increase after two industry groups signed an agreement to source rice from the United States starting next year, marking a step toward reopening and expanding trade in US rice to the archipelago.
The memorandum of agreement signed by the USA Rice Federation (USA Rice) and the Philippine Rice Industry Stakeholders Movement (Prism) involves the supply and purchase of US-origin rice.
‘As the largest buyer of rice in the world, this agreement has great potential to help the Philippines manage its import needs by partnering with one of the key global origins for rice,’ USA Rice and PRISM said in a joint statement.
Under the accord, Prism members will procure 100,000 metric tons (MT) of bagged and/or bulk US-origin rice annually in 2027 and 200,000 MT in 2028.
Consequently, Prism members will secure US rice through open tenders and collaboration with USA Rice member companies. The two parties expect to work diligently with their members and government to promptly facilitate this potential trade flow.