Indonesia tenders to buy 500,000 tonnes of rice: Traders

The main rice harvest is usually in March and April, but El Nino is expected to delay that by one to two months. PHOTO: AFP

HAMBURG, Germany - Indonesian state purchasing agency Bulog has issued an international tender to buy 500,000 tonnes of rice, European traders said on Jan 18.

The white rice was sought for arrival in February and March, with the offer deadline set at Jan 29.

Accepted origins are Vietnam, Thailand, Myanmar, Cambodia, Pakistan, India and China.

The rice of 5 per cent broken grade should be sourced from the 2023/2024 crop and milled no later than six months ago, they said.

Indonesia in December 2023 ordered its army to help farmers plant rice after severe drought reduced output in South-east Asia’s most populous country, lifting prices, requiring increased imports and threatening food security.

Indonesia’s rice output in January and February is estimated to fall 46.3 per cent from the same period a year ago as an El Nino weather pattern hits harvests.

Indonesia’s national food agency on Jan 18 said the imported rice is expected to arrive before main harvest. The main rice harvest is usually in March and April, but El Nino is expected to delay that by one to two months, the government said.

The government has set an Indonesian 2024 rice import quota of two million tonnes.

The new tender continues major import efforts by Indonesia’s government.

Bulog said it had purchased more than 500,000 tonnes of rice in a tender in December 2023, with rice to be sourced from Thailand, Vietnam, Pakistan and Myanmar. European traders said the December purchase was for rapid shipment, with arrival by Jan 30. REUTERS

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