Duty drawback restored for rice
exports
NEW DELHI/BENGALURU, FEB
12:
In a move that will bring some cheer to rice exporters, the
Finance Ministry has restored duty drawback after a span of nearly seven years.
However, this time round, the
duty drawback will be extended under the concept of brand rate basis, which
means that each exporter will have to separately apply to the Finance Ministry
to get a rate approved, official sources said.
However, this time round, the
duty drawback will be extended under the concept of brand rate basis, which
means that each exporter will have to separately apply to the Finance Ministry
to get a rate approved, official sources said.
Listed rice firms such as KRBL, LT Foods and Kohinoor may gain
from this.Duty drawback payments are made to exporters to compensate them for
the customs and excise duties paid on inputs used in the manufacture of
exportable products. Such payments are either made as all-industry rates (fixed
as a percentage of free-on-board) or as brand rates. “The Finance Ministry’s decision will help neutralise the duty
suffered on packaging material by rice exporters,” Ajay Sahai, Director General
and CEO of Federation of Indian Export Organisation (FIEO), told BusinessLine.
Difference of opinion
FIEO, however, is of the view that the Ministry should extend all-industry duty drawback rates for rice exports, rather than provide brand rate, which will be company-specific.Reacting to the move, Rajen Sundaresan, Executive Director of All-India Rice Exporters’ Association (AIREA) said the drawback will provide some relief to exporters.“We have been demanding the drawback since 2008, when it was withdrawn.
We re-submitted our demand seeking drawback about four-months
ago,” he added.The industry had argued that rice, which undergoes processing,
should be extended the drawback as exporters of other grains such as maize and
wheat are already getting such a benefit. India exported 10.9 million tonnes of
rice, including basmati, in 2013-14, with shipments valued at $7.789 billion, a
growth of 25.32 per cent over the previous year.In the current financial year,
from April till November, rice exports stood at 7.4 mt, valued at $5.12
billion. In December last, rice exports had seen a 7 per cent decline to about
$725 million, industry sources said.
(This article was published on February 12, 2015)
Source with
thanks:The Business Line India
KCCI, Reap delegation visit Indonesian Ministry
February
12, 2015
Hadi Santoso, Consul General of Indonesia in Karachi, Ibrahim
Kasumbi, Senior Vice President of Karachi Chamber of Commerce and Industry
(KCCI) and Rafique Suleman, Chairman of Rice Exporter Association of Pakistan
(REAP) and others met Nus Nuzulia Ishak, Director General of National Export
Development (NED), Ministry of Trade Republic of Indonesia in Jakarta recently. On the occasion, both parties discuss
about the huge trade potential between the two brotherly countries. asumbi
express his view that the existing trade volume is still below the potential,
mindful to the large population of both the country which shares many
similarities and have strong and cordial relations.
'We invite business
community in Indonesia to visit and attend exhibition in Karachi, be it Expo
Pakistan, My Karachi or other such events to understand each side's
potentials" said Kasumbi at the meeting. Rafique
Suleman while briefing the meeting said that "We are ready to facilitate
Indonesian interest regarding Pakistani rice, and assist Indonesia in every
possible way. DG NED appreciates
the comprehensive explanations from KCCI and REAP and ready to facilitate
Pakistani importers to explore more Indonesian products such as paper, rubber,
spices, chemical, soap, detergent and other FMCG (Fast Moving Consumer Goods)
items. "We invite Pakistani business community to the Trade Expo
Indonesia, Jakarta 21 October 2015" Ishak said.
Mian Abrar Ahmad, former President of KCCI reiterated the
importance of geographical position of Karachi in the region, that Indonesia
and Pakistan should have more co-operation in many sectors, as Karachi can be
the springboard of Indonesian products to reach other markets such as
Afghanistan and other Central Asian republics, as well as SAARC countries. The presence of KCCI and REAP in
Jakarta with the facilitation of Indonesian Consulate General is instrumental
to bring the business closer. "Because seeing is believing", said CG
Hadi Santoso. Face to face interaction and direct communication are no doubt
built closer network and linkage to both business communities, here further
said.-PR
Source with thanks: http://www.brecorder.com/agriculture-a-allied/183/1150598/
USA
Rice Members See Tremendous Value in Attending Gulfood Show
DUBAI, UAE -- For the past twenty years, USA Rice Federation has
exhibited at Gulfood, which is undoubtedly one of the most important food shows
of the year (See USA Rice Daily 2/10/15).
Providing a strategic platform for buyers and sellers to conduct business
face-to-face, USA Rice members see a range of benefits in participating in the
Gulfood show. Here's what they have to
say:
"Gulfood is the trade meeting hub of the Middle East and
essential for our promotion of the U.S. rice industry. The region's main rice importers attend the
show each year, so it's a good time for us to meet with all of the important
players in one location. "
-- Steve
Vargas, Sun Valley Rice
"We are
all here for the same reason, to advocate the growth of U.S. rice in the export
market. With the support and efforts of
USA Rice, we're able to educate global customers on the benefits and quality of
the rice our hard working American farmers grow."
-- Derek Alarcon, Farmers' Rice Cooperative
"Participating in the
Gulfood show gives us the ability to have one-on-one conversations with
importers about the safety and high quality of U.S.-grown rice and also tell
our farmers' story. I also appreciate
time spent in the booth discussing the U.S. market with fellow USA Rice
members. Those conversations help me give farmer members back home really
useful information."
-- Mark Holt, Riceland Foods
"It's imperative that U.S. rice is represented at the largest
and most popular food show in the world.
The USA Rice booth gives us a place to meet customers as well as gather
credible trade leads."
-- Todd Burich, ADM Rice
Members agree that USA Rice's presence at Gulfood is vital in
establishing diverse regional trade relationships, enhancing the strategic
position of U.S. rice within the Middle East region, and improving importer
allegiance to U.S. rice.
Chris Crutchfield (r) works
the 2105 Gulfood Show
At the close of the five-day event, Chris Crutchfield, with
American Commodity Rice and chairman of the USA Rice Millers' Association,
said, "The Middle East and North Africa are both extremely important
markets for the U.S. rice industry so attending Gulfood gives us all an
excellent opportunity to visit with current customers as well as meet potential
clients."
Contact: Katie Maher (703)
236-1453
Source with thanks: USA Rice Federation
Two
Farm Bill Webinars Scheduled Tomorrow
For up-to-date information
on the 2014 Farm Bill, tune into a continuing series of informational webinars,
co-sponsored by the University of Arkansas and the Farm Service Agency. The next online presentation is tomorrow,
February 13, at 9 a.m. and registration is free.Tomorrow's webinar includes
Nathan Childs, agricultural economist, Economic Research Service, USDA,
discussing the rice outlook.
Following that presentation, James Richardson, regents professor
and AgriLife Research senior faculty fellow, co-director Agricultural and Food
Policy Center Department of Agricultural Economics, Texas A&M University,
will discuss the Agricultural and Food Policy Center outlook for Representative
Crop Farms.Series hosts are Bobby Coats, professor with the University of
Arkansas Division of Agriculture; Tony Franco, chief, Farm Programs Division,
Arkansas State FSA office; and Anita Wilson, agricultural program specialist,
Farm Programs Division, Arkansas State FSA office.
Source with thanks: USA Rice
Federation
Weekly
Rice Sales, Exports Reported
WASHINGTON, DC -- Net rice sales of 125,600 MT for 2014/2015 were
up noticeably from the previous week and up 88 percent from the prior four-week
average, according to today's Export Sales Highlights report. Increases were reported for Japan (68,400
MT), South Korea (24,200 MT), Mexico (10,100 MT), unknown destinations (8,500
MT), and Colombia (5,000 MT).
Net sales of 100 MT for
2015/2016 were for Japan. Exports of
26,800 MT were down 56 percent from the previous week and 67 percent from the
prior four-week average. The primary
destinations were Honduras (10,800 MT), Mexico (6,400 MT), South Korea (3,600
MT), Saudi Arabia (2,100 MT), and Canada (2,000 MT). This summary is based on
reports from exporters from the period January 30-February 5.
Source with thanks: USA Rice
Federation
CME
Group/Closing Rough Rice Futures
|
Source with thanks: USA Rice
Federation
Rice
of India: Amira Group
Rice of India: Amira Group Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world. 7 1Google +1 1 Special Show Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world. For complete show, watch accompanying videos.
Rice of India: Amira Group Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world. 7 1Google +1 1 Special Show Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world. For complete show, watch accompanying videos.
Listen Audio Video on
following link:
Source with thanks: http://www.moneycontrol.com/news/business/riceindia-amira-group_1299267.html?utm_source=ref_article
Will
the U.S.-Japan TPP Trump the Japan-Australia JAEPA?
By: East Asia Forum Date: 12 February 2015
Australia’s farmers, particularly beef producers, may have
celebrated too early when the Japan–Australia Economic Partnership Agreement
(JAEPA) took effect on 15 January 2015. The deal may be gazumped by another
that is taking shape between Japan and the United States in the Trans-Pacific
Partnership (TPP) negotiations. Some elements of the proposed US–Japan
agreement are reminiscent of the kind of bilateralism — or US-specific
agricultural market concessions — that characterised Japan’s trade policy in earlier
decades. Those deals significantly disadvantaged Australian agricultural
exporters.Australia's farmers can't be happy about the TPP.
TPP or JAEPA?
Japan has a long history of offering inducements to the US
government in order to settle difficult multilateral trade negotiations. In
December 1993, at the 11th hour of the General Agreement on Tariffs and Trade
negotiations, the Japanese government agreed to place tariffs on all remaining
agricultural import restrictions and commit to a minimum access arrangement on
rice imports. The deal was worked out principally in bilateral negotiations
between the United States and Japan. It included ‘special treatment’ on rice
that, since 2000, has virtually guaranteed market access for 360,000 tons of US
rice annually. This accounts for roughly 47 percent of Japan’s 770,000-ton
minimum access tariff-free quota for rice imports.
Australia also gained country-specific concessions from JAEPA. This
included preferential access for a large volume of pork and exemption from
Japan’s ‘gate price safeguard’, as well as a country-specific quota for chicken
meat. Australia also won duty-free quotas for natural cheese and other cheese
products, as well as for ice cream and yoghurt.
But there is supposed to be a big difference between a bilateral
economic partnership agreement and the TPP. Despite the TPP’s aspirations to be
both a multilateral and a free trade agreement, in reality it looks like being
neither. Negotiations have been proceeding on two fronts simultaneously: among
all 12 participating countries and bilaterally between particular countries,
principally Japan and the United States.
This dual-track trade diplomacy will inevitably result in bilateral
agreements between particular countries with carve outs and country-specific
concessions. The TPP will not observe one of the fundamental principles of the
multilateral trading system: most-favoured-nation (MFN) treatment. The TPP
participants will not only discriminate against countries that are not parties
to the agreement but also countries that are. This means that any US-specific
concessions on agriculture will not apply to Australia. And yet extending MFN
status is how you make originally bilateral agreements into multilateral
ones.The deal that is shaping up between the United States and Japan on
agricultural market access is likely to contain several provisions that will
affect Australia.
Rice, wheat and
sugar will be exempt from tariff reduction. But in return for maintaining these
tariffs, Japan is examining a 50,000-ton special import quota for American rice
in addition to the current 770,000-ton tariff-free minimum access quota.Tariffs
on American beef will be reduced from 38.5 percent to 9 percent over 10 or more
years. There will be a 20–30 percent reduction in tariffs on cheaper pork, from
the current tariffs of 482 yen (US$4.03) per kilogram to around 100 yen
(US$0.83) per kilogram. The 4.3 percent tariff on high-end pork will also be
removed and tariff quotas will be set for some dairy products with low level
tariffs. Finally, the terms of the deal will not be applied to other countries.
Offers along these lines were made by TPP Minister Akira Amari to
the United States in the TPP meeting last November. They were turned down. But
now more stars appear to be aligning in the domestic politics of both the
United States and Japan.Since last November, both countries have significantly
adjusted their positions. The US side has changed its stance to allow a certain
level of tariffs to remain on key ‘sensitive’ agricultural items. At the same
time, Japan has been prepared to accept a greater reduction in tariffs on the
condition that a relatively low trigger level can be established for safeguard
measures that will kick in if there are surges in imports. It is currently
predicted that a TPP ministerial meeting will be held before the end of
February when the Japan–US talks will be settled.
Australia has a limited defence against these measures. Its beef
exporters, for example, will be paying a 30.5 percent tariff on frozen beef and
32.5 percent on fresh beef. These are expected to fall to 23.5 percent in 15
years and 19.5 percent in 18 years respectively. JAEPA does include a provision
for a review that can be triggered immediately if Japan provides one of
Australia’s competitors with a better deal on beef. This provision aims to
provide Australia with equivalent treatment, but it is not necessarily
guaranteed and would be subject to bilateral negotiations at the time.
Naturally, it would also have important implications for Japan’s relations with
the United States, Australia’s main beef competitor in the Japanese market.On
rice, Australia can request that Japan allocate more minimum access rice for
them as well. But, given Japanese farmers’ sensitivities on rice market issues,
the outcome is by no means certain either. Japanese farmers are against the
increases in minimum access rice even from the United States.
For Japan, the special minimum access deal put in place to settle
agricultural market negotiations with the United States more than 20 years ago
still generates large deficits in the special account budget of the Ministry of
Agriculture, Forestry and Fisheries. Between 2002 and fiscal 2013, it
accumulated a deficit of 277.8 billion yen (US$2.3 billion). This fiscal burden
would only increase if the United States were granted another 50,000-ton
special rice quota. It seems that ‘getting in first’ — as Australia did with
the JAEPA — may have only conferred a temporary advantage in Australia’s export
trade in beef and other agricultural products with Japan.What the TPP portends
for Japan–Australia agricultural trade is republished with permission from East
Asia Forum
Source with thanks: http://www.economywatch.com/features/Will-the-US-Japan-TPP-Trump-the-Japan-Australia-JAEPA.02-12-15.html
Drought
diminishes 30% of off-season rice farming in Central Region
Date : 12 กุมภาพันธ์ 2558
BANGKOK, 12 Feb 2015, (NNT) - The Thai Rice Exporters Association
has disclosed that this year’s drought would likely diminish about 30% of the
projected 5-6 million tons of off-season rice output in the Central Region
during the 1st round of off-season farming. The issues may affect the nation’s
plan to remain as the number-one rice exporter in the ASEAN Region and the
world.
According to Honorary President of the Association, Shukiate
Opaswong, if the drought intensifies in April, the output on the 2nd round
would be even less, dropping to about 40-50% of the targeted 3-4 million tons.
This year’s production of off-season rice is likely to be reduced by 1-2
million tons altogether. The predicament would likely increase the demand for
rice, leading to higher domestic rice prices. It also means that export would
take a hit because of the higher price tag, making it difficult to achieve the
targeted 10 million tons of rice exports this year.
If Thailand manages to export 10 tons of rice this year, it will
maintain its number-one rice exporting nation status in the ASEAN region and
the world for another year. Mr. Shukiate said that the private sector is
working with the Ministry of Commerce in formulating strategies to maintain the
country's market share. However, the setback remains to be the drought and
fierce competition from other rice exporters.
Source with thanks: http://thainews.prd.go.th/centerweb/newsen/NewsDetail?NT01_NewsID=WNSOC5802120010002#sthash.21DLObE7.dpuf
Iran to import Basmati rice from India next fiscal
By: Sandip Das | February 13, 2015 2:30 am
Basmati rice exports to Iran, the biggest destination for the aromatic and long-grained rice from the country, are likely to commence from the next fiscal following assurance from the Iranian authorities. Tehran has not approved any new contract for import of Basmati rice from India since October 2014.Official sources told FE the Iranian authorities have stated that last fiscal, excess Basmati rice imports had forced Tehran to suspend fresh orders for import of rice into the country.
A commerce ministry official said the Iran authorities informed
an Indian delegation which visited Tehran earlier this month that last fiscal’s
Basmati imports of 1.4 million tonne (mt) from India were in ‘excess’, thus the
carry forward stock was ‘high’ in the current fiscal.“Iranian authorities told
us the country needs about 9 lakh tonne of rice annually from India for meeting
domestic demand and they will soon start giving approval to new contracts for
rice import,” the official said.
Of
total exports of 3.7 mt of Basmati from the country in 2013-14, 1.4 mt was
shipped to Iran. Sources said the shipment to Iran would fall to around 9 lakh
tonne in the current fiscal. Iran’s annual consumption of rice is estimated at
around 3 mt. Around 2 mt is produced in the country while the rest is imported
from India.
Iran and India have also agreed to have referral labs in India
for testing rice consignments rejected by Tehran because of presence of
pesticide residue. “Henceforth, in case of disputes on pesticide residue
levels, the report of these labs would be final,” an official said.Sources said
the Iranian authorities have been asking India’s exporters since January 2014
to furnish documents on good agricultural practices, ISO 22000, which deal with
food safety management and packaging protocols, besides “non-genetically
modified crop” certification.
Rice shipments to Iran got a boost when India launched a rupee
settlement mechanism from April 2012 with Iran to avoid sanctions from the US
and EU. As part of the initiative, state-owned UCO Bank has tied up with
Iranian lenders — Parsian, Pasargad, Saman and EN Banks — for settlements of
dues.Recently, a 20-member delegation of commerce ministry officials and trade
representatives visited Iran to discuss issues concerning Basmati and explore
the possibility of increasing buffalo meat and soyameal exports.
Source with thanks: http://www.financialexpress.com/article/markets/commodities/iran-to-import-basmati-rice-from-india-next-fiscal/42270/
Australia Raises Its Wheat Production
Estimate
12.02.2015
Australia raises its wheat production estimate around 2% from its
December estimate of 23.22 million tonnes to 23.61 million tonnes. It raises its
estimate due to timely rains in key growing regions of wheat like Queensland
and New South Wales which may increase the yield prospects. Australiawheat may
be hitting the market from April onwards; this may impact Indian wheatexport
negatively as buyers may shift towards them due to price disparity.
Source with thanks: http://www.blackseagrain.net/novosti/australia-raises-its-wheat-production-estimate
NACC
advises civil suit over G-to-G deals
Published: 12 Feb 2015 at 06.00
Newspaper section: News
Writer: Ariane Kupferman-Sutthavong
The National Anti-Corruption Commission (NACC) will recommend that
the Commerce and Finance ministries file a civil suit demanding compensation
for huge losses from 21 individuals and companies involved in allegedly corrupt
government-to-government (G-to-G) rice deals.
NACC president Panthep Klanarongran
said the anti-graft body will advise today that the ministries proceed with
legal action against parties involved to seek the return of large sums to the
Department of Foreign Trade.
Panthep: Chinese, Thai firms named
On Jan 20, NACC
commissioner Vicha Mahakul, who heads a sub-panel investigating the rice
scheme, indicted former commerce minister Boonsong Teriyapirom, his deputy Poom
Sarapol, as well as 19 other high-level officials, private sector executives,
and two companies.He said then the losses from the deals amounted to 600
billion baht.Mr Panthep said the agency would make its demand to the ministries
based on Section 73/1 of the 1999 Organic Act on Counter-Corruption.
He
said the NACC would forward its investigation report on the G-to-G rice sales
to the Office of the Attorney-General next Monday to prosecute the 21 suspects
in court.According to the NACC probe, they colluded to benefit two Chinese
firms — Guangdong Stationery & Sporting Goods Import and Export Corp, and
Hainan Grain and Oil Industrial Trading Company — which were not authorised by
Beijing to undertake G-to-G deals.The two companies were given the rights to
buy rice under the pledging scheme without having to face bidding competition.
They
then sold the paddy, which they bought at prices lower than the pledging price,
to Thailand's domestic rice traders, including Siam Indica Co to resell. These
practices caused damage to the country, according to the NACC.Siam Indica Co
and Siralai Co are among those indicted by the NACC and expected to pay
monetary compensation.
Source with thanks: The Bangkok Post
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