'Delayed arrival to soften prices of rice imports'

Prolonging the deadline for the arrival of rice shipments would allow local importers to negotiate better rates for their imports amid threats that their contracts are being canceled due to volatility in prices, resulting in lower landed costs and retail prices.

- JASPER EMMANUEL ARCALAS

This, industry sources told The STAR, could generate savings in both the prices of imported rice as well as their freight costs that could translate to lower landed costs of the staple, resulting in cheaper retail price.

Agriculture Secretary Francisco Tiu Laurel Jr. told The STAR that he extended the must ship-out date for imported rice to 60 days from 30 days to allow local importers to “shop around and get better rates” for freight costs. Tiu Laurel explained that freight companies have increased their rates on local rice importers due to the earlier 30-day deadline for rice imports to arrive in the country.

“The 30-day [deadline] served its purpose before to make clear how much volume of rice would enter last November and December,” he said.

The must ship-out date stipulates the deadline that an allowed rice import must enter the country beginning on the day that the shipment’s sanitary and phytosanitary import clearance (SPSIC) was issued.