Wednesday, December 17, 2014

17th December (Wednesday),2014 Daily Exclusive ORYZA E-Newsletter by Riceplus Magazine

India Rice Quotes Lower Today; Other Asia Rice Quotes Unchanged

Dec 16, 2014
India rice sellers lowered most of their quotes by about $5 - $10 per ton today. Other Asia rice sellers kept their quotes mostly unchanged.
5% Broken Rice
Thailand 5% rice is quoted at around $405 - $415 per ton, about $20 per ton premium on Vietnam 5% rice shown at around $385 - $395 per ton. India 5% rice is quoted at around $390 - $400 per ton, down about $5 per ton from yesterday and about $20 per ton premium on Pakistan 5% rice quoted at around $370 - $380 per ton.
25% Broken Rice 
Thailand 25% rice was last quoted at around $350 - $360 per ton, on par with Vietnam 25% rice shown at around $350 - $360 per ton. India 25% rice is quoted at around $350 - $360, down about $10 per ton from yesterday and about $20 per ton premium on Pakistan 25% rice quoted at around $330 - $340 per ton.
Parboiled Rice
Thailand parboiled rice is quoted at around $405 - $415 per ton. India parboiled rice is quoted at around $375 - $385 per ton, down about $5 per ton from yesterday and about $35 per ton discount to Pakistan parboiled rice quoted at around $410 - $420 per ton.
100% Broken Rice
Thailand broken rice, A1 Super, is quoted at around $330 - $340 per ton, on par with Vietnam 100% broken rice shown at around $330 - $340 per ton. India's 100% broken rice is shown at around $300 - $310 per ton,  about $10 per ton premium on Pakistan broken sortexed rice quoted at around $290 - $300 per ton.

Brazil Paddy Rice Index Declines Slightly from Last Week

Dec 16, 2014

Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216brazilpaddyriceindex.jpg?itok=rM8VO6HDThe Brazilian paddy rice index maintained by CEPEA reached around 37.91 real per 50 kilograms as of December 15, 2014, down about 0.11% from around 37.95 real per 50 kilograms recorded on December 8, 2014.In terms of USD per ton, the index reached around $283 per ton on December 15, 2014, down about 3% from around $292 per ton recorded on December 16, 2014.

Global Rice Quotes
December 16th, 2014

Long grain white rice - high quality

Thailand 100% B grade           420-430           ↔
Vietnam 5% broken     385-395           ↔
India 5% broken          390-400           ↓
Pakistan 5% broken     370-380           ↔
Cambodia 5% broken 460-470           ↔
U.S. 4% broken           540-550           ↔
Uruguay 5% broken    595-605           ↔
Argentina 5% broken   595-605           ↔

Long grain white rice - low quality

Thailand 25% broken NQ       ↔
Vietnam 25% broken   350-360           ↔
Pakistan 25% broken   330-340           ↔
Cambodia 25% broken            435-445           ↔
India 25% broken        350-360           ↓
U.S. 15% broken         515-525           ↔

Long grain parboiled rice

Thailand parboiled 100% stxd             405-415           ↔
Pakistan parboiled 5% broken stxd      410-420           ↔
India parboiled 5% broken stxd           375-385           ↓
U.S. parboiled 4% broken       580-590           ↔
Brazil parboiled 5% broken     570-580           ↔
Uruguay parboiled 5% broken             NQ       ↔

Long grain fragrant rice

Thailand Hommali 92%           900-910           ↔
Vietnam Jasmine         515-525           ↔
India basmati 2% broken         NQ       ↔
Pakistan basmati 2% broken    NQ       ↔
Cambodia Phka Mails 820-830           ↔

Brokens

Thailand A1 Super       330-340           ↔
Vietnam 100% broken             330-340           ↔
Pakistan 100% broken stxd     290-300           ↔
Cambodia A1 Super    385-395           ↔
India 100% broken stxd          300-310           ↔
Egypt medium grain brokens   NQ       ↔
U.S. pet food   445-455           ↔
Brazil half grain           NQ       ↔


All prices USD per ton, FOB vessel, oryza.com

Guyana's 2014 Rice Production Reaches Record 633,000 Tons; Up 18% from Last Year


Description: Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216guyanarice.jpg?itok=qwkiMAo5Guyana's rice production in 2014 has reached around 633,000 tons, up about 18% from around 535,212 tons from last year, local sources quoted the country's Agriculture Minister as saying. The Minister noted that output from the final crop reached around 300,000 tons. He expressed confidence that the country would be able to export over 500,000 tons of rice earning around $250 million in 2014. He noted that already 481,000 tons of rice has been exported so far this year.
Guyana exported around 394,000 tons in 2013. The government is keen on exploring new export markets without compromising on price, according to local sources. Guyana has export agreements with Venezuela and Panama and is in the process of finalizing deals with several West African countries.
Sowing for the first crop of 2015 has begun and is progressing well, according to the Head of the Guyana Rice Producers' Association (RPA). He noted that about 60% of paddy rice is already cultivated. He told local sources that the government is supporting farmers with several measures and has set aside around $500 million in the 2014 budget to help the country's rice sector increase its competitiveness.
USDA estimates the country to produce 620,000 tons of milled rice in the MY 2014-15 (January 2014 - December 2014) and export about 450,000 tons. The country's consumption needs during the year are estimated at 145,000 tons. The UN's Food and Agriculture Organization (FAO) estimates Guyana to produce 570,000 tons of milled rice and export around 460,000 tons in 2014.

Thailand Attorney General Seeks More Evidence to Conclude Prosecution of Ex-Premier

Dec 16, 2014

Description: Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216thairice.jpg?itok=dlS194MtThailand's Attorney General has sought more evidences from the National Anti-Corruption Commission (NACC) to conclude the prosecution of the former Prime Minister (PM) Yingluck Shinawatra in the controversial rice pledging scheme, according to local sources. The Office of the Attorney-General (OAG) spokesman and the Director-general of the OAG's litigation department reportedly told at a press conference that the Attorney General agreed with the findings of an OAG working group that the case in its present form was incomplete and more people needed to be questioned before indicting the former PM. They noted that information over government-to-government (G2G) transactions was not clear and so more evidence is needed in this regard.
Last week, the NACC Chairman told local sources that the investigation committee has completed all the formalities relating to gathering adequate evidences and questioning of witnesses, including the former Commerce Minister Boonsong Teriyapirom and his then-deputy Phum Sarapol. The NACC accused that the former Ministers allegedly struck a G2G deal with the Chinese government to sell rice pledged under the rice pledging scheme.In this backdrop, the NACC Secretary General defended the evidences which the submitted by the Commission and has ruled out further questioning related to G2G contracts saying the OAG's request was irrelevant to the investigation into the former PM and her ignorance to their warnings. He reiterated that their investigation was complete in all respects. It is understood that the NACC Commissioner is in China to seek evidences from the Chinese officials who apparently signed G2G deals with Thailand during Yingluck's rein.
The former Prime Minister (PM) is also facing charges of ignoring warnings against misdealing in the controversial rice pledging scheme, which brought losses of over 500 billion baht (around $15.6 billion) to the exchequer.

USDA Forecasts 2014-15 Global Milled Rice Production

at 475.2 Million Tons, Slightly Down from Last Year

Dec 16, 2014

Description: Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216usdariceoutlookprod.jpg?itok=R5VYtS8RIn its December Rice Outlook report, USDA has forecasted 2014-15 global milled rice production at around 475.2 million tons, about 1.6 million tons down from an estimated 476.8 million tons in 2013-14, and slightly up from its last month's estimates of around 475 million tons due to estimated increase in production in China, Guyana and Vietnam.
USDA forecasts 2014-15 global rice acreage at around 160.6 million hectares, slightly down due to a slight expected decline in yield. It has forecasted the average global yield at 4.41 tons per hectare (on rough rice basis), almost unchanged from last year.
According to the latest projections, USDA expects higher output from China, South Korea, Vietnam and Guyana due to favorable weather conditions. But the higher output from these countries is likely to be offset by a decline in output from Indonesia.USDA estimates 2014-15 global rice consumption and residual use at 482.9 million tons, up about 2.7 million tons from last year, and almost unchanged from its last month's projections. USDA expects consumption to exceed production by about 7.7 million tons in 2014-15. Major increases in consumption and residual use are expected in Bangladesh, Burma, China, Indonesia, the Philippines, and the U.S.The U.S. agency estimates 2014-15 global rice ending stocks at around 99.1 million tons, down about 7% from last year's 109.3 million tons and slightly up from last month's projection of about 99.7 million tons due to  likely decline in India rice stocks. It estimates 2014-15 global stocks-to-use ratio at 20.5%, down from last year's 22.2%.   

USDA Post Estimates India MY 2014-15 Rice Exports at 8.7 Million Tons; Down 16% from Last Year

Dec 16, 2014
Description: Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216indiarice.jpg?itok=FvYBQ6jMUSDA Post has estimated India's MY 2014-15 (October - September) rice exports at around 8.7 million tons, down about 16% from an estimated 10.3 million tons last year due to anticipated decline in supplies from low production and competition from other rice exporting countries.Based on preliminary export figures, India's rice exports during January-October 2014 stood at around 8.8 million tons, down about 1% from around 8.9 million tons exported during the same period last year. The Post quoted market sources as saying that exports have been steady to Sri Lanka and the traditional markets in Africa and the Middle East. The Post expects India's rice exports in 2014 to reach about 10.5 million tons.
The Post estimates MY 2014-15 rice production at around 102 million tons based on government procurement and early market arrival trends. Harvesting of the Kharif rice crop is almost complete and planting for Rabi rice crop is just beginning in north-eastern states.
India government procured around 10.7 million tons of rice in kharif Marketing Season (KMS) 2014-15 as of November 30, 2014, down about 4% from around 11.1 million tons procured during the same period last  year. Punjab (7.7 million tons) and Haryana (1.99 million tons) remained top contributors for the Central Pool so far, according to the Post. According to market sources, India government rice procurement in MY 2014-15 is likely to be 6-12% lower than last year's procurement of around 31.9 million tons, says USDA Post.
The Post expects the current-year new-crop rice procurement would be sufficient to meet the government's minimum requirement for its public distribution system and other feeding programs in 2014-15.India’s rice stocks in the central pool as of December 1, 2014 stood at around 21.57 million tons (including a milled equivalent of about 16.89 million tons of paddy), down about 23% from around 28.19 million tons recorded during the same time last year, according to data from the Food Corporation of India (FCI).

USDA Post Forecasts Ghana MY 2014-15 Rice Imports to Decline 7% y/y to 600,000 Tons

Dec 16, 2014
Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216ghanapsd.jpg?itok=0dxRljbsThe USDA Post has forecasted Ghana's MY 2014-15 (October - September) rice imports at around 600,000 tons, down about 7% from around 644,000 tons last year due to increasing prices of imported rice resulting from the rapid depreciation of Ghana currency against the U.S. dollar.The Post finds that demand for rice has been increasing due to persisting shortfall in production. Share of U.S. rice in Ghana's rice imports has declined by about 77% to around $16.9 million in 2013-14 from around $73.3 million in 2011-12 due to high prices of U.S. rice. But due to increasing demand, the Post expects the U.S. to resume its exports to Ghana in 2015. Currently, Vietnam accounts for about 46% of Ghana's rice imports, Thailand accounts for about 22%, the U.S. accounts for about 18% and other countries such as China, Pakistan, India, and
Korea account for about 14%. Due to supply irregularities, Ghana markets are dominated by imported rice rather that the locally grown rice, according to the Post.Yet, to discourage imports, the government levies 20% duty, 17.5% Value Added Tax (VAT), 2.5% National Health Insurance Levy (NHIL), 0.5% Export Development and Investment Fund Levy (EDIF), 1% Inspection fee, 0.5% ECOWAS Levy and 0.4% Ghana Customs Network fee on rice imports.
The Post forecasts, Ghana's MY 2014-15 rice production at around 300,000 tons, up about 3% from around 290,000 tons last year and about 9% lower than USDA's official estimates of around 330,000 tons due to adequate and timely rains in all rice-growing regions as well as the government support by way of introducing improved high yielding, disease resistant rice varieties to producers and assisting them to adopt low cost water management techniques.
USDA Post estimates Ghana's MY 2014-15 paddy rice acreage to increase to around 195,000 hectares, up about 3% from around 190,000 hectares last year, and about 2.5% down from USDA's official estimates of around 200,000 hectares.The Post rice consumption in the country to increase about 12% to around 950,000 tons from around 850,000 tons last year due to continuing increase in preference for rice. Ghanaians prefer imported rice despite higher prices due to its high quality and taste.

Mexico Government to Help Rice Farmers to Overcome Losses from Price Falls

Dec 16, 2014
Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216mexico.jpg?itok=TIj6sKU3Mexico's Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Foodstuffs (SAGARPA) has decided to provide support payments to rice farmers to help them overcome losses from declining rice prices since August 2012, according to USDA Post. Rough rice prices on the Chicago Board of Trade (CBOT) have declined about 14% to around $300 per ton in August-September 2014 from around $350 per ton in August 2012, says the Post.Also increased low-priced imports from Vietnam and Pakistan since 2013 have been pushing down local rice prices as well, severely impacting farmers, according to the Post.According to an announcement made on November 27, 2104, SAGARPA's Agency of Commercialization and Agriculture Markets Development (ASERCA) will provide payments to rice farmers/organizations who have produced and marketed rice during the 20131-4 fall-winter crop cycle and spring-summer crop cycle in specific states. It will provide subsidy to about 64,000 tons of rice, with direct grower support of 200 pesos (around $14.4) per ton.According to SAGARPA figures, rice production in the 2013-14 fall-winter crop cycle is estimated at around 50,167 tons; while Veracruz rice production for the 2014 spring-summer crop cycle is estimated at around 22,952 tons in the irrigated area.
Mexico produces only 17% of its annual consumption needs of around 890,000 tons and imports the rest. USDA estimates Mexico to import around 775,000 tons of rice (basis milled) in 2014-15 (October - September), up about 11% from an estimated 700,000 tons in 2013-14. 

USDA Forecasts 2015 Global Rice Trade at 41.9 Million Tons, Unchanged from 2014

Dec 16, 2014

Description: Description: http://oryza.com/sites/default/files/styles/large/public/field/image/141216usdariceoutlooktrade.jpg?itok=x2cUaFM7In its December Rice Outlook report, USDA has forecasted 2015 global rice trade to be strong at around 41.9 million tons, almost unchanged from estimated 41.9 million tons in 2014, due to large purchases by China and Sub-Saharan Africa and large exportable supplies by Asian exporting countries.On the exports side, USDA estimates Thailand to export a record 11 million tons in 2015 based on expected higher purchases by Indonesia. USDA expects Myanmar's exports to increase to around 1.4 million tons based on expected increase in shipments to China and Indonesia. It also expects China's exports to increase to around 400,000 tons based larger supplies.On the imports side, it is estimating significant increases in imports by Indonesia to around 1.3 million tons based on a smaller crop.In 2014, USDA is forecasting Myanmar's exports to increase significantly and on the import side, it is forecasting China, Indonesia, European Union, Sri Lanka, North Korea, Sierra Leone and Somalia to increase.

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