NFA rice tender for private suppliers scheduled for May 22
THE National Food Authority (NFA) will launch a tender for another 250,000 metric tons (MT) of rice on May 22, with the order to be filled by 16 private companies.
The tender will allow the NFA to replenish its buffer stock and will ask participants to fill orders for well-milled long grain white rice. The Approved Budget of the Contract (ABC) is P6.52 billion.
The tender for private suppliers completes the NFA’s import procurement program of 500,000 MT.
NFA Special Bids and Awards Committee Chairperson Judy Carol L. Dansal on Monday said that the terms of reference (TOR) are unchanged except for the removal of volume limits to “allow wider participation of traders and businesses.”
The former minimum lot size was 50,000 MT for eligible bids.
The bidders are from Thailand. Vietnam, Pakistan, Singapore and the United Arab Emirates.
According to the TOR read out during the pre-bid conference, 50,000 MT of the order will be filled with 15% broken rice while the remaining 200,000 MT will be 25% broken rice.
The 25% broken rice should arrive not later than July 31 while the 15% broken rice should arrive not later than Aug. 31.
The shipments will be bid out in nine lots for delivery to 14 designated ports.
The TOR calls for penalties for failure to comply, but Ms. Dansal said penalties to bidders are unprecedented.
“But of course, to protect the interest of the government, we always provide controls and penalties to ensure compliance,” she added.
“From the loading port, there is already an opportunity for the sellers’ surveyor to reject the goods that are to be loaded. NFA can also send a representative to make sure that whatever is loaded [is compliant so] they can reject from the load port.”
The NFA has two options for restocking its warehouses: through local procurement or by importation. Ms. Dansal said the NFA relies on importation when local procurement is unfeasible due to high prices. — Anna Gabriela A. Mogato