Vietnam Ships 150,500 Tons of Rice from Saigon Port in February 23 - March
9, 2016
Vietnam rice exporters
have shipped around 150,500 tons of rice from Saigon port, Reuters quotes
industry reports.
Shipments include
48,400 tons to the Philippines; 28,100 tons to Indonesia, 29,000 tons to Cuba;
22,000 tons to West Africa and 23,000 tons to other nations.The Saigon Port is
the country's largest port located on Saigon river in Ho Chi Minh City.
Oryza CBOT Rough Rice Futures Recap - Chicago Rough Rice Futures Trade
Higher to Begin the Week on Bullish Note
Chicago rough rice
futures for May delivery settled 12 cents were cwt (about $3 per ton) higher at
$10.345 per cwt (about $230 per ton). The other grains finished the day with
mixed results; Soybeans closed unchanged at $8.9575 per bushel; wheat finished
about 0.6% higher at $4.7875 per bushel, and corn finished the day about 1%
higher at $3.6875 per bushel.
U.S. stocks traded
mostly higher Monday, shaking off a decline in oil prices ahead of the Federal
Reserve's meeting later in the week. The major averages opened slightly lower
and crept higher throughout the day. The major data for the week include retail
sales due Tuesday, ahead of the highly anticipated Fed meeting statement and
press conference scheduled for Wednesday. No move on rates is expected, but
policymaker commentary will be scrutinized for indications on the path of
tightening. Oil extended losses as hopes of a coordinated production freeze
faded. The Iranian News Agency Shana quoted Russian Energy Minister Alexander
Novak saying Russia accepts Iranian rights to increase oil output post
sanctions, according to Reuters.
Over the weekend, Iran
Oil Minister Bijan Zanganeh said the country would join discussions among other
producers about a possible oil production freeze after its own output reached
four million barrels per day, according to a Reuters article citing Iran's ISNA
news agency. European stocks held higher but off session highs as declines in
oil weighed. Asian equities closed higher, with the Nikkei 225 and Shanghai
composite both up more than 1.7%.In afternoon trade, the Dow Jones industrial
average gained 35 points, or 0.2%, to 17,248. The S&P 500 declined 0.8
points, or 0.04%, to 2,021, with materials leading six sectors lower and
consumer discretionary the top gainer. The Nasdaq composite gained 6 points, or
0.13%, to 4,754. Gold is seen trading about 1.8% lower, crude oil is seen
trading about 3.1% lower, and the U.S. dollar is seen trading about 0.5% higher
at about 2:00pm Chicago time.
Friday, there were 382
contracts traded, down from 1,043 contracts traded on Thursday. Open interest –
the number of contracts outstanding – on Friday increased by 40 contracts to
12,440.
Philippines Defers Additional Rice Imports on Adequate Supplies, Says NFA
Official
Mar 14, 2016
The National Food
Authority (NFA) of the Philippines has deferred plans to import additional
500,000 tons of rice due to adequate supplies, The Phil Star Global quoted the
NFA Public Affairs Head.
He noted that the Food
Security Council and the NFA Council have decided not to approve the proposed
additional 500,000 tons of rice in the second quarter. “The council will meet
sometime in April or May to determine whether there’s a need to import in the
third and fourth quarter,” he said.
Last year, the
government approved 500,000 tons of rice imports, for delivery in the first
quarter of 2016. In January this year, the NFA planned to import
400,000-500,000 tons of additional rice in the second quarter through a
government-to-government (G2G) deal with Vietnam, Thailand or Cambodia or allow
private traders to import under the WTO minimum access volume (MAV) rule.
The Philippine
Statistics Authority (PSA) estimates the Philippines 2016 first half paddy rice
production at around 8.2 million tons, down about 1.5% from around 8.32 million
tons in 2015, due to on-going dry weather conditions. The government has put in
place a program to address the impact of El Nino on agriculture. It had
established a P 19 billion (around $409 million) El Nino mitigation fund which
will be used to improve irrigation systems and to support the food-for-work
program in drought-affected areas.
The Philippines
Department of Agriculture (DA) estimates that around 131,649 tons of rice worth
5.33 billion pesos (around $114.2 million) has been lost since February 2015.
However, the DA noted that the crop losses are lesser than expected.
Thailand Rice Sellers Increase Some of Their Quotes Today; Vietnam Rice
Quotes mixed
Mar 14, 2016
Thailand rice sellers
increased their quotes for parboiled rice by about $5 per ton to around
$370-$380 per ton today. Vietnam rice sellers increased their quotes for 5%
broken rice, 25% broken rice, 100% broken rice by about $5-$10 per ton to
around $375-$385 per ton, $360-$370 per ton $345-$355 per ton
respectively and lowered their quotes for Jasmine rice by about $5 per ton to
around $445-$455 per ton. Other Asia rice sellers kept their quotes unchanged
today.
5% Broken Rice
Thailand 5% rice is
indicated at around $360 - $370 per ton, about $15 per ton discount to Vietnam
5% rice shown at around $375 - $385 per ton. India 5% rice is indicated at
around $365 - $375 per ton, about $30 per ton premium on Pakistan 5% rice shown
at around $335 - $345 per ton.
25% Broken
Rice
Thailand 25% rice is
indicated at around $350 - $360 per ton, about $10 per ton discount to Vietnam
25% rice shown at around $360- $370 per ton. India 25% rice is indicated at
around $335- $345 per ton, about $30 per ton premium on Pakistan 25% rice shown
at around $305 - $315 per ton.
Parboiled
Rice
Thailand parboiled
rice is indicated at around $370 - $380 per ton. India parboiled rice is
indicated at around $355 - $365 per ton, about $50 per ton discount to Pakistan
parboiled rice last shown at around $405 - $415 per ton.
100% Broken
Rice
Thailand broken rice,
A1 Super is indicated at around $330 - $340 per ton, about $15 per ton discount
to Vietnam 100% broken rice shown at around $345 - $355 per ton. India's 100%
broken rice is shown at around $265 - $275 per ton, about $20 per ton discount
to Pakistan broken sortexed rice shown at around $285 - $295 per ton.
Government of Nigeria Assures Stable Rice Prices from April 2016
Mar 14, 2016
The government of
Nigeria assured that it would stabile the price of rice from April to make it
more affordable to all the everyone in the country, All Africa Global Media
quotes the Agriculture Ministry.
He noted that price
stability of rice is necessary given its demand. However, he did not specify
the details of how the government would stabilize rice.
"The government
will continue to support farmers to encourage agricultural activity, enhance
food security and employment generation in the country," he was quoted.
Recently, prices of
rice and other coarse grains increased in January due to a sharp depreciation
of the Naira on the parallel market, coupled with reduced supplies of foreign
exchange reserves, and persisting civil conflict in northern Nigeria, according
to the UN's Food and Agriculture Organization (FAO).
Nigeria is the world's
second largest importer of rice and imports over half of its annual rice
consumption demand. The government of Nigeria is aiming to attain
self-sufficiency in rice production in the next two years and stop imports.
USDA estimates Nigeria
to produce around 2.709 million tons of rice and import around 2.5 million tons
of rice in MY 2015-16 (October – September) to meet a consumption demand of
around 5.85 million tons.
Indica Paddy Rice Acreage Declines Sharply in 2016 On Increasing Imports
from Asian LDCs
Mar 14, 2016
Based on the first
results of the survey on the current sowing, the Ente Nazionale Risi (ENR), the
National Agency for Rice, expects the overall Italian rice growing area to
increase in 2016. The current results of the survey show that the Italian rice
acreage currently reached around 230,000 hectares, up about 1% from around
227,000 hectares in 2015.
While the acreage for
japonica paddy varieties increased about 3% to around 197,000 hectares from
around 192,000 hectares in 2015, the indica paddy acreage declined about 6% to
around 33,000 hectares from around 35,000 hectares in 2015.
The decline in Indica
paddy acreage is attribute to increasing milled rice imports from Asian least
developed countries (LDCs). Italy's Indica paddy acreage more than halved from
around 71.446 hectares in 2013, according to the ENR report.
Global
Rice Quotes
March 15th, 2016
Long grain white rice - high
quality
Thailand 100% B grade 375-385 ↑
Vietnam 5% broken 375-385 ↔
India 5% broken 365-375 ↔
Pakistan 5% broken 335-345 ↔
Myanmar 5% broken 420-430 ↔
Cambodia 5% broken 410-420 ↔
U.S. 4% broken 440-450 ↔
Uruguay 5% broken 445-455 ↔
Argentina 5% broken 435-445 ↔
Long grain white rice - low
quality
Thailand 25% broken 355-365 ↑
Vietnam 25% broken 360-370 ↔
Pakistan 25% broken 305-315 ↔
Cambodia 25% broken 395-405 ↔
India 25% broken 330-340 ↓
U.S. 15% broken (sacked) 460-470 ↔
Long grain parboiled rice
Thailand parboiled 100% stxd
370-380 ↔
Pakistan parboiled 5% broken
stxd NQ ↔
India parboiled 5% broken
stxd 350-360 ↓
U.S. parboiled 4% broken 480-490 ↔
Brazil parboiled 5% broken 520-530 ↔
Uruguay parboiled 5% broken NQ ↔
Long grain fragrant rice
Thailand Hommali 92% 665-675 ↑
Vietnam Jasmine 445-455 ↔
India basmati 2% broken NQ ↔
Pakistan basmati 2% broken NQ ↔
Cambodia Phka Mails 755-765 ↔
Brokens
Thailand A1 Super 330-340 ↔
Vietnam 100% broken 345-355 ↔
Pakistan 100% broken stxd 285-295 ↔
Cambodia A1 Super 335-345 ↔
India 100% broken stxd 265-275 ↔
Egypt medium grain brokens NQ ↔
U.S. pet food 280-290 ↔
Brazil half grain NQ ↔
All prices USD per ton, FOB
vessel, oryza.com
USDA Forecasts 2016 Global Rice Trade to Decline 2% y/y to 41.7 Million
Tons
Weaker shipments from
Australia, India, Cambodia, and the U.S. will not be fully offset by increased
shipments from Egypt, Pakistan, Thailand, and Uruguay, says the USDA.
The USDA forecasts
lower exports from Cambodia, India and China. It forecasts Cambodia's 2016 rice
exports (both official and unofficial) to decline about 18% y/y to around
900,000 tons based on larger expected sales to China. It expects India's 2016
rice exports to decline about 22% y/y to around 8.6 million tons. The USDA
lowered export forecasts for China's 2016 rice exports to 350,000 tons based on
a recent slowdown in shipment pace.
On the 2016 import
side, the USDA forecasts higher imports from China and Indonesia. It forecasts
China's 2016 rice imports to decline about 3% y/y to around 5 million tons. It
forecasts Indonesia's 2016 rice imports to increase 67% y/y to around 2 million
tons based on expectations of a smaller crop.
India Rice Stocks in Central Pool Stand at 29.234 Million Tons as of March
1, 2016; Up 23% from Previous Year
India’s rice stocks in
the central pool as of March 1, 2016 stood at around 29.234 million tons
(including a milled equivalent of about 9.81 million tons of paddy), up about
23% from around 23.794 million tons recorded during the same period last year,
according to data from the Food Corporation of India (FCI). The increase in
stocks can be contributed to higher than expected paddy procurement by the FCI
and government agencies in the KMS 2015-16 (October - September). The FCI
and other government agencies procured around 28.4 million tons as of March 2,
2016, up about 21% from around 23.42 million tons last year, the Economic Times
quoted Food Ministry sources.
Month-over-month,
India's rice stocks in the central pool are up about 2% from around 28.95 million
tons recorded on February 1, 2016. However, current rice stocks are up from the
required buffer and strategic reserve norms of around 7.61 million tons for
this time of the year, according to the FCI.
Total food grain
stocks (including rice and wheat) in the central pool stand at around 46.233
million tons as of March 1, 2016, up about 6% from last year's stock of around
43.618 million tons, and down about 6% from last month's stock of around 49.329
million tons. Wheat stocks stand at around 16.865 million tons, down about 14%
from last year's stock of around 19.525 million tons and down about 17% from
last month's stock of around 20.335 million tons.
The government of
India had revised the buffer norms for food grains, including rice, in the
Central Pool in January 2015. According to the new norms, buffer stocks for
food grains to be maintained with the FCI at this part of the year is 21.41
million tons.
Vietnam Urged to Formulate New Production, Export Policies to Cope with
Increasing Competition
A leading rice expert
in Vietnam has urged the Vietnamese government to focus on formulating new
production and exports to cope with increasing competition from Thailand and
Cambodia, according to local sources.
He noted that
recently, Cambodia's rice exports to Vietnam's major export destination China
have increased significantly. Cambodia's rice exports to China in 2015 more
than doubled to around 116,000 tons from around 48,739 tons in 2014.
Though some experts
are expecting Cambodia is feared to offer a stiff competition to Vietnam in the
near future, he said Vietnamese rice has its own advantages over the Cambodian
rice. Cambodian rice growers prefer high-quality rice with low yield, but
Vietnamese rice producers prefer low-quality and high-yielding rice. But he
says China still needs low-cost rice for majority of its people.
The expert advises
that Vietnamese rice growers should not focus on competing with Thailand and
Cambodia in growing high-quality rice because it is more profitable to grow high-yielding
rice. However, he warns them to be cautious about the increasing threat from
climate change and salt water intrusion.
He says they can
overcome the negative effects from climate change and salt water intrusion by
reducing rice cultivation in saline areas and restrict to only one crop in
rainy season. Farmers can benefit by considering options like cultivating
shrimp instead of growing the second rice crop.
He also noted that
Vietnam need not worry about Thailand's moves to divert water from the Mekong
River to help its rice farmers in the North East region.
Vietnam Needs $1.515 Billion to Cope with
Drought, Salinity Damages, Says Agriculture Minister
The government of Vietnam will need about 34 trillion dong
(around $1.515 billion) to cope with damages from drought and salinity,
Bloomberg quotes the Agriculture Ministry.
The Minister confirmed
and about 10% of 1.5 million hectares of rice planted in winter-spring crop in
Mekong delta is hurt by drought. He also noted that saline intrusion has
damaged about one million tons of rice.
Experts opine that the
saline intrusion's is likely to peak by mid-April.
USDA Forecasts 2016 Global Rice Trade to Decline 2% y/y to 41.7 Million
Tons
In its March 2016 Rice
Outlook report, the USDA forecasts 2016 global rice trade at around 41.7
million tons, down about 2% from an estimated 42.45 million tons in 2015, and
up about 100,000 tons from last month's forecast of around 41.6 million
tons.
Weaker shipments from
Australia, India, Cambodia, and the U.S. will not be fully offset by increased
shipments from Egypt, Pakistan, Thailand, and Uruguay, says the USDA.
The USDA forecasts
lower exports from Cambodia, India and China. It forecasts Cambodia's 2016 rice
exports (both official and unofficial) to decline about 18% y/y to around
900,000 tons based on larger expected sales to China. It expects India's 2016
rice exports to decline about 22% y/y to around 8.6 million tons. The USDA
lowered export forecasts for China's 2016 rice exports to 350,000 tons based on
a recent slowdown in shipment pace.
On the 2016 import
side, the USDA forecasts higher imports from China and Indonesia. It forecasts
China's 2016 rice imports to decline about 3% y/y to around 5 million tons. It
forecasts Indonesia's 2016 rice imports to increase 67% y/y to around 2 million
tons based on expectations of a smaller crop.
UPDATE: Iraq Buys 30,000 Tons of Argetnine Rice
Mar 14, 2016
Iraq has purchased
30,000 tons of Argentine rice at $468 per ton (c&f free out), reportedly
the lowest quote received, trade sources say. Another offer from
Argentina was quoted at $492 per ton (c&f free out) for 60,000 tons.
Two offers from the
U.S. included $561 per ton (c&f free out) for 60,000 tons and $573.9 per
ton (c&f free out) for 100,000 tons.
Uruguay rice was
offered at $4478 per ton for 30,000 tons.
Indian rice was also
offered at $478 per ton (c&f free out) for 90,000 tons despite Indian
origin rice was not requested in the tender.
The rice was sought
for delivery between March and April this year. The deadline for submission was
March 8, 2016; offers were valid till March 14, 2016.
Iraq passed off
the previous tender for 90,000 tons U.S. origin rice, which closed on February
21, 2016, after submission of uninvited cheaper offers from Uruguay and
Argentina.
Indonesia Launches Paddy Rice Purchase Program to Stabilize Prices
Mar 14, 2016
The government of
Indonesia has launched a paddy rice purchase program to stabilize paddy prices
at the farmers' level, Reuters quoted local sources.
The program was
launched by the Agriculture Minister on Saturday. He noted that the state
logistics agency Bulog will purchase paddy directly from farmers under this
program, which mainly aims to cut the distribution chain as well as reduce the
involvement of middle men. With the Bulog directly purchasing paddy, farmers
would be encouraged to plant more rice and contribute to a higher output in the
country, he added.The Minister also noted that currently, price of paddy at the
farmers' level was only Rp 3,700 per kilogram (around $289 per ton) and the
middle men are benefited to a greater extent. He noted that middle men buy from
farmers at much lower than the government's sanctioned reference price (HPP) of
Rp 4,600 per kilogram (around $360 per ton).
Retail rice prices in
Indonesia have been increasing September 2015. They stood at around 10.89
million rupiah per ton (around $810) in February 2016, according to the data
from the UN’s Food and Agriculture Organization (FAO).
Oryza U.S. Rough Rice Recap - Prices Firm Slightly despite the IGB Booking
One Argentinian Cargo
Mar 15, 2016
The U.S. cash market
was slightly firmer today despite news that the Iraqi Grain board overlooked
U.S. origin offers on their latest tender and purchased 30K tons from Argentina.
Analysts note that the
IGB booked 1 cargo of Argentinian rice which was the cheapest offer of any
origin at $468 PMT CIF Umm Qasr Free Out.
Many market
participants were disappointed that the U.S. did not receive any of the
business; however, others are hopeful that Iraq will issue another tender soon
giving the U.S. a second chance at booking some business.
USDA Forecasts 2015-16 Global Rice Production to Decline 2% y/y to 471.09
Million Tons on Lower Acreage
In its March 2016 Rice
Outlook report, the USDA forecasts 2015-16 global rice production
(milled basis) at around 471.09 million tons, down about 2% from last year’s
480.7 million tons due to an expected decline in acreage as well as decline in
average yields, which are likely to be affected by adverse weather conditions
in key growing areas. However, the USDA's projection is up from last month's
projection of around 465.5 million tons. South Asia, Southeast Asia, and North
America account for most of the projected decline in 2015-16 global rice production,
according to the USDA. The U.S. agency also expects production to decline
slightly in South America also in 2015-16.
This month, the USDA
lowered 2015-16 production prospects mainly for Indonesia and Peru. It has
raised production for India.
The USDA forecasts
2015-16 global rice acreage at 157.7 million hectares, down
from an estimated 159.95 million hectares in 2014-15, and slightly down from
its previous month's estimate of about 158.5 million tons. The USDA is
projecting the rice area to be smaller than the previous year in Brazil, Burma,
Cambodia, India, Indonesia, Nigeria, Tanzania, Thailand, and the U.S. Much of
this area decline was due to adverse weather attributed to El Nino, says the
USDA.
The USDA forecasts the
average global yield at 4.45 tons per hectare (on rough rice
basis), slightly down from 4.46 tons per hectare in 2014-15.
The USDA estimates
2015-16 global rice consumption and residual use at around
484.2 million tons, up about 1.6 million tons from last year, and slightly up from
last month's forecast of around 483.7 million tons. India accounts for most of
this month’s upward revision in global consumption, according to the USDA. It
forecasts 2015-16 rice consumption to increase in Brazil, China, India,
Thailand, and Vietnam. On the other hand, it forecasts consumption to decline
in South Korea and the U.S. during the year. Consumption is projected to exceed
production for the third consecutive year, says the USDA.
Accordingly, the U.S.
agency estimates 2015-16 global rice ending stocks to decline
by about 13% y/y to around 90.5 million tons, and up about 1% from last month's
forecast of around 89.3 million tons. Despite this month's upward revision,
global ending stocks are lowest since 2007-08, says the USDA.
The USDA forecasts global
stocks-to-use ratio at 18.7%, down from 21.5% last year, and the
lowest since 2006-07.
Exclusive News have been shared with written permission of
ORYZA.com with thanks
No comments:
Post a Comment