CHICAGO - The Philippines was expected to retender shortly to buy U.S. rice after the U.S. Agriculture Department extended the deadline to use its export credit guarantees until April 18, U.S. rice traders said on Monday. USDA also raised the total amount of guarantees available to $75 million, up from $65 million when the credits were first announced, according to the government's Web site.
The credits were expected to allow the Philippines to buy 75,000 to 100,000 tons of U.S. rice, traders said.

The guarantees are part of USDA's GSM-102 program, which promotes the sale of U.S. farm goods to developing countries by assuring lenders they will get paid even if a borrower defaults.  

The Philippines National Food Authority passed on a tender on March 14 due to receiving only one bid for close to $1,000 per town, including shipping costs. The Philippines could not retender at the time because the credits were only valid on sales registered by March 15.

A few days later the Philippines was able to buy 335,500 tons of rice at an average price of $708.04, including freight, from Thailand, Vietnam and Pakistan.

The Philippines, one of the largest rice importers in Asia, has been increasingly anxious about its rice supply. The government has asked fast-food restaurants to serve half-portions of rice and President Gloria Macapagal Arroyo went outside normal commercial channels to try to get Vietnam to guarantee it more rice.