Philippines calls for regional meeting on rice

Fri Apr 11, 2008 11:05pm BST
[-] Text [+]

By Carmel Crimmins

MANILA (Reuters) - The Philippines, one of the countries most affected by soaring rice prices, called on Friday for a meeting of Asian ministers to discuss a global rush for the grain that has heightened anxiety about food security.

"We must address the plight of food-poor families in the countries most affected by the rice price crisis," Agriculture Secretary Arthur Yap said at a meeting at the International Rice Research Institute (IRRI).

Rice prices have more than doubled since the start of this year as some of the world's top suppliers have curbed exports to tame surging food inflation at home, creating fears of shortages in importing countries.

The Philippines, one of the world's top rice importers, has been scrambling to bolster its stockpiles ahead of a traditional lean period in the third quarter and is being forced to fork out more and more at each rice tender.

Despite assurances that there is sufficient supply, the sight of soldiers guarding rice lorries in Manila has spooked some consumers and there are long queues to buy state-subsidised bags of the grain.

In Kuala Lumpur, Malaysia's agriculture ministry said it planned to spend an additional 6.0 billion ringgit ($1.9 billion) to raise rice production.

The money would be used to open up new rice plantations and build irrigation, the state Bernama news agency quoted Agriculture Minister Mustapa Mohamed as saying on Friday.

Malaysia produces about 70 percent of its domestic rice needs and fills the shortfall through imports. It hopes to raise the output level to 90 percent.  Continued...