Voluntary Report - public distribution

**Date:** 2004/4/14

**GAIN Report Number:** TW4015

TW4015

**Taiwan**

**Grain and Feed**

**Results of 3^rd^ Private Sector Rice Quota Allocation**

**2004**

**Approved by:**

![](media/image1.wmf)Jonathan P. Gressel

American Institute in Taiwan

**Prepared by:**

ChiouMey Perng & Eric Trachtenberg

**Report Highlights:**

On April 14, Taiwan allocated the third and final tranche of Taiwan's
50,652 metric ton 2004 private sector rice quota. Import rights of
20,000 mt were awarded to 12 of 82 bidders through a competitive bidding
process. The winning prices ranged from NT\$12.999/kg to NT\$12.513/kg,
with a weighted average of NT\$12.536/kg. This average winning bid was
NT\$1.582/kg and NT\$2.209/kg higher than the 2^nd^ and the 1^st^
tranches, respectively. Exchange rate: NT\$32.80 = U.S.\$1.00.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Taipei \[TW1\]

\[TW\]

**Final Private Sector Allocations for 2004**

On April 14, Taiwan allocated the third and final tranche of 20,000 mt
of the 2004 private sector rice quota (see Table 1). The quotas were
awarded to 12 of 82 bidders through a competitive bidding at prices
ranging from NT\$12.999/kg to NT\$12.513/kg, with weighted average at
NT\$12.536/kg. (As of April 14, 2004, the exchange rate was \$1 =
NT\$32.80).

These import rights will be valid from June 1 to September 15, 2004.
Compared to the last two tranche prices, the average, maximum and
minimum prices were much higher. The higher prices indicate a growing
spread between Taiwan internal and world rice prices.

###### Table 1. Taiwan 2004 Rice TRQ Allocation Results

+------+--------+------------+--------+-----------+----------+--------+
| Pro  | Quota  | Quota      | Allo   | Max.      | Min.     | \# of  |
| duct | Amount | Validity   | cation |           |          | Alloc  |
| Name |        | Duration   | Date   | Bid Price | Bid      | ations |
|      |        |            |        |           | Price    |        |
+------+--------+------------+--------+-----------+----------+--------+
| Rice | 10,000 | Jan. 1/    | Nov.   | NT\$      | NT\$     | 14     |
|      | mt     | Sept. 15   | 28     | 11.011/kg | 9.800/kg |        |
+------+--------+------------+--------+-----------+----------+--------+
|      | 20,652 | April      | Feb. 4 | NT\$      | NT\$1    | 16     |
|      | mt     | 1/Sept. 15 |        | 12.000/kg | 0.368/kg |        |
+------+--------+------------+--------+-----------+----------+--------+
|      | 20,000 | June       | Apr.   | NT\$      | NT\$1    | 12     |
|      | mt     | 1/Sept. 15 | 14     | 12.999/kg | 2.513/kg |        |
+------+--------+------------+--------+-----------+----------+--------+
| T    | 50,652 |            |        |           |          |        |
| otal | mt     |            |        |           |          |        |
|      |        |            |        |           |          |        |
|      | (Note: |            |        |           |          |        |
|      | The    |            |        |           |          |        |
|      | per    |            |        |           |          |        |
|      | ki     |            |        |           |          |        |
|      | logram |            |        |           |          |        |
|      | we     |            |        |           |          |        |
|      | ighted |            |        |           |          |        |
|      | bid    |            |        |           |          |        |
|      | prices |            |        |           |          |        |
|      | were   |            |        |           |          |        |
|      | NT\$   |            |        |           |          |        |
|      | 10.327 |            |        |           |          |        |
|      | for    |            |        |           |          |        |
|      | the    |            |        |           |          |        |
|      | first  |            |        |           |          |        |
|      | t      |            |        |           |          |        |
|      | ranche |            |        |           |          |        |
|      | and    |            |        |           |          |        |
|      | NT\$   |            |        |           |          |        |
|      | 10.954 |            |        |           |          |        |
|      | for    |            |        |           |          |        |
|      | the    |            |        |           |          |        |
|      | second |            |        |           |          |        |
|      | tr     |            |        |           |          |        |
|      | anche, |            |        |           |          |        |
|      | and    |            |        |           |          |        |
|      | N      |            |        |           |          |        |
|      | T\$12. |            |        |           |          |        |
|      | 536/kg |            |        |           |          |        |
|      | for    |            |        |           |          |        |
|      | the    |            |        |           |          |        |
|      | 3^rd^  |            |        |           |          |        |
|      | tra    |            |        |           |          |        |
|      | nche.) |            |        |           |          |        |
+------+--------+------------+--------+-----------+----------+--------+

# Private Quota Utilization

According to the Taiwan Directorate General of Customs, 10,848 mt of the
2004 rice import quota rights had been utilized as of March 31. Imports
from the U.S. and Egypt each only took a 4 percent market share, while
Thailand took the lion's share of 92 percent. Of the Thai total, 22
percent consisted of flour and processed products. In addition, Taiwan
imported 4,751 mt of long grain glutinous rice from Thailand in the
first quarter of 2004 through the use of private sector import rights.