Philippines: Grain and Feed Update

While COVID-19 and African Swine Fever continue to constrain Philippine feed demand, corn and rice posted strong production in the third quarter of MY20/21 and are both set for record high output. Post raises MY21/22 rice production to 12.4 million MT due to greater adoption of improved varieties through the Hybrid Rice Program. With the pace of corn and wheat trade slowing during the second half of MY20/21, Post lowers imports of corn by 100,000 MT and wheat by 300,000 MT. Reduced feed consumption is the main factor in both cases, although logistical costs are also increasing. With rising wheat prices and lower economic growth expected in 2021, wheat imports for MY21/22 are lowered by 400,000 MT to 6.4 million MT.