Saturday, March 26, 2016

March 7,2016 daily exclusive orza rice e-newsletter by riceplus magazine

APEDA RICE COMMODITY NEWS Wholesale Basmati Rice Prices in India Continue to Fall on Sluggish Demand
Wholesale basmati rice prices in the national capital are continuing to decline, owing to an adequate stocks position against a low demand from retailers, according to the Press Trust of India (PTI).
On March 4, 2016, prices of Pusa 1121 declined to around Rs.3,750 - 4,650 per quintal (around $558 - $692 per ton) to from previous levels of around Rs.3,800 - 4,700  per quintal (around $560 - $692 per ton).
Prices of common basmati declined to around Rs.5,000 - 5,100 per quintal (around $744 - $759 per ton) from previous levels of around Rs.5,100 - 5,200 per quintal (around $751 - $765 per ton).
"Subdued demand from retailers against adequate stocks position kept pressure on rice basmati," traders were quoted as saying.
CBOT Rough Rice Futures Recap - Chicago Rough Rice Futures Go Nowhere as Recent
Mar 05, 2016

Chicago rough rice futures for May delivery settled unchanged at $10.505 per cwt (about $232 per ton). The other grains finished the day higher; Soybeans closed about 1.7% higher at $8.7850 per bushel; wheat finished about 0.2% higher at $4.6075 per bushel, and corn finished the day about 0.5% higher at $3.5825 per bushel.
U.S. stocks traded mostly higher Friday as oil prices rose and the jobs report showed economic growth without necessarily inducing the Fed to raise rates earlier. The major averages were on pace for their first three-week win streak of 2016. The U.S. oil rig count declined 8 to 392, according to Baker Hughes. U.S. crude oil futures traded more than 3.5% higher near $35.80 a barrel as of 1:41 p.m. ET. The nonfarm payrolls report released ahead of the open Friday showed creation 242,000 jobs in February, topping expectations. The unemployment rate unchanged at 4.9%, while labor force participation was 62.9%.A 0.1% monthly drop in average hourly earnings lowered the year-on-year gain in earnings to 2.2%, Reuters said. With Friday afternoon's gains, the Nasdaq composite traded within 10% of its 52-week intraday high, out of correction territory on an intraday basis. The Dow Jones industrial average and S&P 500 traded about 7 and 6%, respectively, below their 52-week intraday highs, out of correction territory. In afternoon trade, the Dow Jones industrial average gained 105 points, or 0.62%, to 17,048. The S&P 500 traded up 14 points, or 0.71%, to 2,007, with materials leading all 10 sectors higher. The Nasdaq composite gained 33 points, or 0.71%, at 4,740. Gold is seen trading about 0.4% higher, crude oil is seen trading about 3.6% higher, and the U.S. dollar is seen trading about 0.2% lower at about  1:15pm Chicago time.
Thursday, there were 795 contracts traded, up from 444 contracts traded on Wednesday. Open interest – the number of contracts outstanding – on Thursday increased by 228 contracts to 11,893. 
Bearish Move Appears to be Coming to an End
Mar 05, 2016

Chicago rough rice futures for May delivery settled unchanged at $10.505 per cwt (about $232 per ton). The other grains finished the day higher; Soybeans closed about 1.7% higher at $8.7850 per bushel; wheat finished about 0.2% higher at $4.6075 per bushel, and corn finished the day about 0.5% higher at $3.5825 per bushel.
U.S. stocks traded mostly higher Friday as oil prices rose and the jobs report showed economic growth without necessarily inducing the Fed to raise rates earlier. The major averages were on pace for their first three-week win streak of 2016. The U.S. oil rig count declined 8 to 392, according to Baker Hughes. U.S. crude oil futures traded more than 3.5% higher near $35.80 a barrel as of 1:41 p.m. ET. The nonfarm payrolls report released ahead of the open Friday showed creation 242,000 jobs in February, topping expectations. The unemployment rate unchanged at 4.9%, while labor force participation was 62.9%.A 0.1% monthly drop in average hourly earnings lowered the year-on-year gain in earnings to 2.2%, Reuters said. With Friday afternoon's gains, the Nasdaq composite traded within 10% of its 52-week intraday high, out of correction territory on an intraday basis.

The Dow Jones industrial average and S&P 500 traded about 7 and 6%, respectively, below their 52-week intraday highs, out of correction territory. In afternoon trade, the Dow Jones industrial average gained 105 points, or 0.62%, to 17,048. The S&P 500 traded up 14 points, or 0.71%, to 2,007, with materials leading all 10 sectors higher. The Nasdaq composite gained 33 points, or 0.71%, at 4,740. Gold is seen trading about 0.4% higher, crude oil is seen trading about 3.6% higher, and the U.S. dollar is seen trading about 0.2% lower at about  1:15pm Chicago time.
Thursday, there were 795 contracts traded, up from 444 contracts traded on Wednesday. Open interest – the number of contracts outstanding – on Thursday increased by 228 contracts to 11,893.

Vietnam Rice Sellers Increase Some of Their Quotes Today; Other Asia Quotes Unchanged
Mar 04, 2016

Vietnam rice sellers increased their quotes for 5% broken rice, 25% broken rice and Jasmine rice by about $5 per ton each to around $360-$370 per ton, $350-$360 per ton and $430-$440 per ton respectively. Other Asia rice sellers kept their quotes unchanged today.                      
5% Broken Rice
Thailand 5% rice is indicated at around $360 - $370 per ton, on par with Vietnam 5% rice shown at around $360 - $370 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, on par with Vietnam 25% rice shown at around $350- $360 per ton. India 25% rice is indicated at around $330 - $340 per ton, about $25 per ton premium on Pakistan 25% rice shown at around $305 - $315 per ton.
Parboiled Rice           
Thailand parboiled rice is indicated at around $365 - $375per 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 $325 - $335 per ton, about $5 per ton discount to Vietnam 100% broken rice shown at around $330 - $340 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.

Egypt Faces Severe Rice Shortages Despite Adequate Production
Mar 04, 2016

Egypt is facing severe rice shortages despite an estimated one million tons of rice surplus in the country as traders are holding back supplies in expectation of higher prices, according to Reuters.
The Head of the Rice Committee of Egypt's Agricultural Export Council told reporters that the country produced 3.75 million tons of rice in 2015 and carried over 700,000 tons of rice from 2014. After accounting for consumption of 3.3 million tons, the country will have a surplus of more than one million tons.
However, the government's failure to stockpile rice during the harvest season has led to this situation, say experts. Currently, the government is forced to increase prices to get rice from traders. The price paid by the government has increased by about 50% in the past two months.
Expecting a surplus, the government has allowed the exports to resume, but now traders are discouraging exports as well and are holding back supplies in expectation of rising prices.
This situation has led to acute rice shortages in the country with most of the underprivileged people not getting subsidized rice.
Experts are criticizing the Supplies Minister who refused to buy any reserves during the harvest season saying government stocks were adequate and the rice could be bought when needed.
The government is planning to take serious action on traders who are resorting to hoarding, according to a government official.
Government of India Engages Three Private Players in Food Grains Procurement for KMS 2015-16
Mar 04, 2016

The government of India has engaged three private players to participate in the food grains procurement in the states of Uttar Pradesh, Jharkhand and West Bengal for the KMS 2015-16 (October - September) season, local sources quoted the Food Minister. Currently, the Food Corporation of India (FCI) and the state agencies undertake procurement of food grains, which are used for the public distribution system (PDS).
Based on the recommendations of high-level committee on the revamp of the state-owned FCI, the government has decided to engage private players for food grains procurement through competitive bidding process.
"These players have been engaged to expand the coverage of minimum support price (MSP) operations to such identified clusters of districts/parts of the district, where outreach of government agencies has been weak and state governments have consented for FCI to engage the private agencies to reach out to the paddy farmers for improvement," said the Minister.
The Minister also noted that all necessary arrangements have been made to monitor the private agencies. "The FCI will evaluate the performance of private players and impose commensurate penalty on them for their acts of omissions and commissions," he added.
All the three states have been reportedly divided into clusters and are distributed between the three private players.
Based on the current procurement level, the government expects this year's rice procurement to exceed the last year's level of 32 million tons.

Italian Research Institute Develops Eco-Friendly System of Growing Rice

Mar 04, 2016

Italian research institute Arioli Sas, based in Turin, has developed a new integrated technology system for growing rice, according to the website http://www.terraevita.it/.
This system called 'mulching technique' helps to reduce the use of chemical fertilizers.
It involves planting rice with a pneumatic seed drill and application of degradable "eco-towels mulching" on each side of the plant at 30-35 centimeters deep in the ground using laying-towel machine. The towels are made of a special  "oxy-photo-degradable" polymer based on the 12 micron thick polyethylene, with no terephthalates, in order to avoid accumulation in soils. These towels decompose in the soil in 8-12 weeks and are limit the action of oxygen and sunlight on the rice plants and prevent the growth of weeds near the rice plants. Thus it eliminates the need for using chemical fertilizers.
However, this system is said to be relatively costly and so not many farmers have not used it so far.

Vietnam Rice Sellers Increase Some of Their Quotes Today; Other Asia Quotes Unchanged

Vietnam rice sellers increased their quotes for 5% broken rice, 25% broken rice and Jasmine rice by about $5 per ton each to around $360-$370 per ton, $350-$360 per ton and $430-$440 per ton respectively. Other Asia rice sellers kept their quotes unchanged today.                       
5% Broken Rice
Thailand 5% rice is indicated at around $360 - $370 per ton, on par with Vietnam 5% rice shown at around $360 - $370 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, on par with Vietnam 25% rice shown at around $350- $360 per ton. India 25% rice is indicated at around $330 - $340 per ton, about $25 per ton premium on Pakistan 25% rice shown at around $305 - $315 per ton.
Parboiled Rice           
Thailand parboiled rice is indicated at around $365 - $375per 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 $325 - $335 per ton, about $5 per ton discount to Vietnam 100% broken rice shown at around $330 - $340 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.
 Global Rice Quotes
March 7th, 2016
Long grain white rice - high quality
Thailand 100% B grade           370-380           ↑
Vietnam 5% broken     370-380           ↑
India 5% broken          370-380           ↑
Pakistan 5% broken     335-345           ↔
Myanmar 5% broken   420-430           ↔
Cambodia 5% broken 410-420           ↔
U.S. 4% broken           455-465           ↔
Uruguay 5% broken    445-455           ↔
Argentina 5% broken   435-445           ↔
Long grain white rice - low quality
Thailand 25% broken 350-360           ↔
Vietnam 25% broken   350-360           ↔
Pakistan 25% broken   305-315           ↔
Cambodia 25% broken            395-405           ↔
India 25% broken        330-340           ↔
U.S. 15% broken (sacked)       440-450           ↔
Long grain parboiled rice
Thailand parboiled 100% stxd             365-375           ↔
Pakistan parboiled 5% broken stxd      NQ       ↔
India parboiled 5% broken stxd           355-365           ↔
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%           660-670           ↔
Vietnam Jasmine         430-440           ↔
India basmati 2% broken         NQ       ↔
Pakistan basmati 2% broken    NQ       ↔
Cambodia Phka Mails 755-765           ↔
Brokens
Thailand A1 Super       325-335           ↔
Vietnam 100% broken             335-345           ↑
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


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