2 days ago
Philippines suspends rice imports for 60 days, hitting Thai exporters
BANGKOK: Philippine President Ferdinand Marcos Jr announced after a Cabinet meeting that he would order a 60-day suspension of rice imports, from Sept 1 to Oct 30, to ease the impact of falling paddy prices during the harvest season.
The move follows a proposal from Agriculture Secretary Francisco Tiu Laurel, who recommended a temporary halt to rice imports.
The Philippine Department of Agriculture (DA) reported that the domestic rice market has been under pressure from cheap imported rice, forcing some traders to buy paddy from farmers at only 8–10 pesos per kilogramme, well below the production cost of 12–14 pesos per kilogramme.
Farmers blamed the influx of cheap imports as the main reason for the depressed farmgate prices.
According to the Thailand's Office of Commercial Affairs in Manila, the suspension applies to regular milled rice and well-milled rice, while basmati and other speciality rice varieties will be exempted.
Industry stakeholders noted that reducing imports will increase reliance on domestic harvests, pushing farmgate paddy prices higher.
However, retail rice prices are also expected to rise by about 1–2 pesos per kilogramme.
Thai exporters hit by Philippine rice import suspension, Commerce Ministry eyes new markets
- Photo: The Nation/ANN
Arada Fuangtong (pic), Director-General of the Department of Foreign Trade at the Ministry of Commerce, said Thai rice exporters had reported that the Philippine government's decision to suspend rice imports would affect exports.
Other rice-exporting countries would also face similar impacts, as pending orders might not be delivered before the Sept 1, 2025, deadline.
She added that Philippine rice importers were discussing the matter among themselves and planned to petition the relevant authorities to allow flexibility for shipments already contracted, or alternatively to request that the suspension be lifted.
Meanwhile, the Department of Foreign Trade is preparing measures to support Thai rice exports and secure new orders to absorb domestic output and generate income for farmers.
These measures include expanding markets and strengthening trade relations to build confidence and boost Thai rice exports.
Key initiatives include accelerating government-to-government (G2G) rice sales agreements, such as the remaining 280,000 tonnes under the contract with China's state-owned COFCO; promoting exports of white rice and parboiled rice to high-demand markets such as Bangladesh, Saudi Arabia, and Iraq; organising a trade mission to Japan from September 7–11, 2025; and hosting a delegation of Hong Kong rice importers in Thailand in November 2025.
In addition, Thailand is promoting and publicising the image of Thai rice at international trade fairs to boost opportunities and expand export channels.
The Thailand Rice Convention (TRC) roadshow is also being organised, featuring seminars for rice farmers to update them on global market demand trends.
The aim is to encourage farmers to produce rice varieties that align more closely with international demand, with the programme scheduled for August.
In 2024, Thailand exported rice to the Philippines worth US$333 million, a 58.69% increase from US$210.45 million in 2023.
During the first half of 2025 (January–June), Thailand exported about 141,000 tonnes of rice to the Philippines, accounting for just 3.78% of the country's total rice exports.
'We expect overall Thai rice exports this year to reach the target of 7.5 million tonnes,' Arada said. - The Nation/ANN
