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The Philippines and Vietnam agreed on a five-year trade agreement for the supply of white rice
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The commitment covers 1.5 million to 2 million metric tons per year at a competitive price
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The memorandum of understanding on rice trade cooperation, which will be executed through the private sector, was signed during President Ferdinand Marcos, Jr.’s state visit to Vietnam on January 30
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The Philippines and Vietnam also signed an MOU on cooperation in agriculture and related fields
The Philippines and Vietnam have agreed on a five-year trade commitment for the supply of white rice amounting to 1.5 million to 2 million metric tons (MT) per year at a competitive price.
The memorandum of understanding (MOU) on rice trade cooperation, which will be executed through the private sector, was signed during President Ferdinand Marcos, Jr.’s state visit to Vietnam on January 30.
The Philippines is a major importer of rice and Vietnam, one of the top exporters of rice, is the Philippines’ top source of the grain. In 2021, Vietnam accounted for 3 million metric tons of the total 3.6 million metric tons rice imported by the Philippines.
Prior to the signing of the MOU, Vietnamese Prime Minister Pham Minh Chinh at a bilateral meeting with Marcos at the sidelines of the 43rd Association of Southeast Asian Nations Summit and related summits in September 2023 suggested a rice supply deal, which Marcos had welcomed.
According to the latest insight from the US Department of Agriculture, the Philippines is poised to maintain its status as the top global rice importer in 2024. The US agency’s projections indicate a record increase in rice procurement, with the country expected to import 3.8 million metric tons this year.
READ: PH to remain as top rice importer in 2024
Apart from rice trade, the Philippines and Vietnam also signed an MOU on cooperation in agriculture and related fields.
The MOU aims to intensify tie up between the Philippines and Vietnam in the fields of agriculture, rural development, and other related fields, as well as establish 19 areas of cooperation including high value crops, livestock, aquaculture, farm management and sustainability, smart agriculture and aquaculture technology, research trainings, and exchanges of experts.
