Ambassador Vu Xuan Truong and Secretary Arthur Yap exchanged  the MOU in an ceremony witnessed by Philippines President Gloria Macapagal Arrroyo and her several senior Cabinet officials. International and local media also came to cover this important event.
Following the ceremony, Ambassador Truong together with Secretary Yap had a briefing to media on the MOA, in which Vietnam agrees to sell to the Philippines up to 1,5 million metric tones of rice annually.

The MOA was signed amid the tightening of supply in the world market. In addition to that, the local rice production falls down due to the natural disasters and rising input costs, leading to shortage of rice supply. It is estimated that Philippines has to import over 2,2 million metric tones of rice. However, the Philippine traditional markets such as India, Pakistan…etc  imposed limitation or postponement on rice export in order to assure food security in these countries.

The MOA, therefore, is to ensure stable rice supply to the Philippines  to overcome such the rice shortage.  Ambassador Truong stressed that the MOA would not only serves as a commercial agreement, but also highlights the solidarity, assistance, friendship and cooperation between Vietnam and the Philippines,   neighboring ASEAN countries. The MOA is highly appreciated.