Global rice price rise as the Philippines prepare to make huge purchases

In the news today, rice futures have risen for the third straight day as the market prepares for the next purchases of the Philippines. Known as the world's biggest rice importing country, the Philippines is preparing to buy 500 thousand metric ton tomorrow and another half a million tons by May 5, 2008. The volume is considered huge in the light of tight global conditions as exporters grapple with poor harvests.

Rice futures for May have risen by close to one US cent per kilo. With that amount, the Philippine government will be spending an additional 41 centavos (at the current exchange rate) per kilogram plus duties and taxes.

That is so sad taking into account the fact that Filipinos are also reported to waste 1.2 metric tons of rice every day, enough to feed 3.5 million Filipinos.