Prime Minister Seeks $300 Million From China for Rice Sector
In the latest
effort to mitigate the impact of plummeting rice prices, Prime Minister Hun Sen
said on Monday that the government was seeking $300 million from China to boost
the capacity of rice millers and provide funds to them for purchasing paddy
from farmers.
The
announcement, made during a graduation ceremony in Phnom Penh, came just days
after the premier approved a $27 million grant to rice millers for purchasing
paddy—$20 million from the government and $7 from the Rural Development Bank.
The average price per ton of paddy dropped from $250 in mid-August to $193 last
week.
Kao Thach, director-general of the Rural
Development Bank, speaks during a press conference at its headquarters in Phnom
Penh on Monday. (Siv Channa/The Cambodia Daily)
“Our
capital is not enough,” Mr. Hun Sen said on Monday. “The state’s immediate
release of $20 million was a necessary intervention to resolve the impacts
incurred by our farmers.”“For a medium-term solution, I have worked with
Chinese leaders and our specialists are working with Chinese officials, because
we need $300 million from our friend China to build” mills, kilns, storage
warehouses and other infrastructure, he said.
Speaking
at a press conference at the Rural Development Bank in Phnom Penh on Monday,
Ros Seilava, an undersecretary of state at the Finance Ministry, said the
government planned to invest $300 million in infrastructure to store and dry
paddy by next year. He said he was unsure whether this was the same money that
the prime minister had requested from China.
“Regarding
the long-term plans, we achieved the first plan, winning the [award for the]
No. 1 best rice in the world,” he said, adding that a second plan to increase
milled rice exports to 1 million tons annually had been overzealous.
With
many farmers struggling to repay loans, Mr. Hun Sen again appealed to
microfinance institutions on Monday to be flexible with late payments, to
reduce or eliminate interest fees and to refrain from lodging court complaints
or seizing property. Opposition lawmaker Son Chhay said public pleas to
profit-seeking companies would not protect farmers unless real policies were
enacted. “The government has to have a law to manage these banks,” he said. “To
control the interest rate you cannot just go and tell the bank ‘don’t do that’
without having a law in place. What bank is going to listen to that?”
Miguel
Chanco, lead regional analyst for Economist Intelligence Unit, said the
government’s financial intervention was no surprise, as it “could benefit the
ruling party politically at the coming commune elections” set for June next
year.“However, if we were looking at a longer time horizon, I wouldn’t say that
it’s a sector that I would put all my cards on as rice prices are unlikely to
return to the heights seen in the late 2000s,” Mr. Chanco added.“Public funds
would be better spent on long-term measures to wean more people off rice
farming, thereby reducing Cambodia’s vulnerability to the ebb and flow of
global commodity prices.”
(Additional
reporting by Kang Sothear)
Terms announced on rice lending package
Tue, 20 September 2016
The
government-owned bank charged with issuing $27 million in emergency loans to
rice millers as part of an initiative aimed at propping up the struggling rice
industry announced the terms of the credit lines yesterday, and said it would
ensure that the funds were used appropriately.Kao Thach, CEO of the Rural Development Bank (RDB), said the government had already transferred the funds to the bank, which will be disbursed to qualified rice millers so that they can purchase rice paddy from farmers. He said the lending aims at stabilising the market price of paddy rice, which dropped precipitously from $240 per tonne to $192 per tonne over the past month.
According to Thach, millers would be offered loans at 8 percent annual interest on the condition that they purchase rice paddy from farmers for no less than $218 per tonne – a price that ensures farmers make a profit on their crop.
He estimated that the $27 million lending package would be sufficient to cover one-third of the 300,000 tonnes of rice expected to be harvested in the coming weeks.
“This special budget from the government will only be used to supplement the shortage of capital from private lending,” he said. “Capital from private [banks] for the other two-thirds is still needed.”
Thach rapped millers, pointing out that many of them sought funding to increase their machinery and storage facilities rather than ensuring they held sufficient capital to purchase paddy stock.
He added that RDB will take measures to ensure that the loans are not be abused by millers seeking to purchase “motorbikes, cars or land.”
The government’s decision to disburse loans directly through the RDB sidestepped the Cambodian Rice Federation (CRF), the industry body that has lobbied the government since March to provide emergency loans for its members. Thach confirmed that the CRF would play no role in determining who would receive the funding, claiming a faster disbursement mechanism was needed.
CRF president Sok Puthyvuth said yesterday that the group was still seeking to cooperate with the RDB to implement the government’s intervention strategy while warning that it was unwise to not work together.
“We cannot separate like this,” he said. “We need to cooperate with each other, [otherwise] I believe that we will have a higher risk [of failure].”
However, Ros Seilava, undersecretary of state at the Ministry of Economy and Finance, stood firmly behind the RDB’s unilateral role, which he said was “a suitable approach to alert the market that it can operate smoothly again.”
Contact author: Hor Kimsay
http://www.phnompenhpost.com/business/terms-announced-rice-lending-package
Vietnam's
rice exports to decline sharply this year
Viet Nam
hopes to export 1.6 million tonnes rice in the four remaining months of the
year, raising exports for the year to 4.9 million tonnes, said the Viet Nam
Food Association.
According
to a report the VFA tabled at a meeting held in southern An Giang Province late
last week, exports of 3.3 million tonnes in the first eight months of the year
fetched US$1.43 billion and represented a year-on-year reduction of 13.5 per
cent in volume and 10 per cent in value.
More than a million tonnes worth of contracts
are on hand as are 1.2 million tonnes of inventory.
Business executives attending the meeting said
their inventories were at high prices while global prices have declined,
threatening to cause difficulties for them.
For instance, 5 per cent broken rice from
Thailand usually sells at above $400 per tonne, but currently stands at $370.
Pakistani rice prices have fallen the most -- to around $330.
It is unlikely for domestic prices to go up in
a short time despite the contracts to export large volumes, the executives
said.
Lam Anh Tuan, director of Thinh Phat Co., Ltd,
said rice exports this year would be below expectations.
Thailand's effort to increase exports amid a
global slowdown in demand is among the reasons for prices to drop, he said.
The annual global rice trade is around 40
million tonnes a year, and any sudden increase in supply from one source hits
the market share of others, he said.
"For this year the VFA set an export
target of 6.5 million tonnes, but due to market volatility it has adjusted the
target. The new target is 4.9 million tonnes, but nobody can predict anything
because we depend on the market. If from now to year-end the market is good,
rice exports will be higher.
"But I think rice exports this year will
surely be lower than in previous years, with exports via border trade falling
the most. China considers rice imports over the border as smuggling."
According to the VFA, rice exports to China
reduced by 13.33 per cent in the first eight months of the year.
Firms said the Cuu Long (Mekong) Delta has
almost completed harvest of the summer-autumn rice crop and the volume is not
high.
Yet paddy prices are not very high because a
large volume of Cambodian rice has entered the domestic market.
The country earned $2.68 billion from export of
6.5 million tonnes of the grain last year, a decrease of 3.94 per cent in value
despite a marginal increase in volumes as prices dropped.
VNS
http://english.vietnamnet.vn/fms/business/163961/vietnam-s-rice-exports-to-decline-sharply-this-year.html
PhilRice
launches Duterte-Robredo rice paddy arts
PhilRice has recently launched two rice paddy
arts featuring the images of President Rodrigo Duterte and Vice President Leni
Robredo. The PhilRice branch in Los Baños, Laguna has created the “Du30” rice
paddy art while the FutureRice Farm at the PhilRice Central Experiment Station
in Nueva Ecija featured Duterte and Robredo’s faces.This project called Rice Up Pilipinas is “a creative way to
call for unity among Filipinos to become partners for change in rice farming,”
said Roger Barroga, program lead of the FutureRice Program and PhilRice deputy
executive director for administration. “Our theme conveys two messages:
PhilRice's goal of increasing rice production and achieving rice security through
research and development; and ‘rising up’ the Philippines through the
leadership of the two highest
officials,” said Nehemiah Caballong, FutureRice Program’s ICT
specialist.Following questions on its authenticity (edited or deliberately
tainted), the developers clarified that they used the Korean variety of purple
rice with dark purple leaves to show distinction from the regular green-leafed
inbred variety.
These varieties were manually transplanted by
the research, development, and administration staff and farmers of PhilRice
from the respective stations. PhilRice Los Baños shared a video to prove its authenticity.Imelda Olvida,
PhilRice LB’s R&D coordinator, said that this kind of art work needs
creativity, hard work, and intensive planning to get a “perfect image
alignment.” Senior Civil Engineering students from the University of the
Philippines Los Baños (UPLB) assisted PhilRice LB in the layout plan of the
paddy art.
“With the many challenges the Philippine
agriculture faces – climate change, rice shortage, ageing farmers, and the
decreasing number of enrollees taking agriculture-related courses – the Du30
paddy art was conceptualized to gain more support for agriculture. What better
way to do that than to use the image of the most popular person in the country
today – the President,” Olvida said.Caballong furthered that featuring the two
top officials of the country “puts forward a nationalistic and uplifting message.”
“(I) hope it can move far to inspire the
Filipino farmers nowadays,” said one Facebook user.
Teams from the two stations both employed a 3D
anamorphosis principle, an art technique used for a distorted artwork that will
only appear normal when viewed from a certain angle. This is the third paddy
art project of PhilRice. Images of national hero Dr. Jose Rizal and
celebrities Maine Maine Mendoza and Alden Richards were also featured during the wet season 2015
and dry season 2016, respectively.
Barroga said that this innovative art project
is one way to encourage the younger generation to explore rice farming. “It is
not the same as before. There are new opportunities, technologies, and
innovations that we think they will find interesting in rice farming. The youth
are the future of rice. We invite them to come to the farm and have a different
rice experience,” Barroga concluded. The “Du30” image is situated along the
BioTech Road, inside the UPLB campus in Los Baños Laguna while the Duterte-Leni
paddy art is located at the FutureRice Farm of PhilRice in the Science City of
Muñoz, Nueva Ecija.
Agri coops boost rural development, study
Development workers at the Philippine Rice
Research Institute (PhilRice) reported that agricultural cooperatives are
effective partners in technology promotion and rural development.Through the
project Empowering farmers’ cooperatives
through sustainable promotion of high yielding rice production technologies for
progressive rural economy, agricultural cooperatives were recognized as
important vehicles in promoting cost-reducing and high-yielding rice and
rice-based farming technologies. “What makes agricultural cooperatives unique
is that they have a unified action to become viable while helping individual
members improve. When the cooperative is able to prove that a specific
technology is efficient, it is certain that the farmer-members will adopt it in
a sustainable manner,” project member Christian Flor Guittap said. In 2014, PhilRice partnered with farmer cooperatives
in Nueva Ecija and Pangasinan for the promotion, evaluation, and adoption of
technologies to help their farming communities. Among the partner-agricultural
cooperatives was Parista Barangay Defense System Multipurpose Cooperative
(PBDS-MPC) in Lupao, Nueva Ecija.
“During our discussion with PBDS-MPC, we found
that the cooperative practices conventional farming such that its members do
not use quality rice seeds and other technologies, and apply fertilizers
without assessing their soil needs,” Guittap said.To address these gaps, the
project members established technology demonstration farms and conducted
season-long training programs, field days, farmers’ forum, and training for the
cooperative’s farm advisors. Of the 59
farmer-members of PBDS-MPC who participated in the project, 78% adopted the
technologies promoted by the project in 2015 wet season (WS) and 2016 dry
season (DS). “This percentage equates to high level of adoption. In 2016 DS, we
also found that 73% of the participating coop-members achieved an average yield
increase of 0.5 t/ha while 22% of farmers attained more than 1 t/ha increase in
yield,” study lead Joel Pascual said.The farmer-members of the coop adopted
various technologies such as the use of certified seeds, Minus One Element
Technique (MOET), leaf color chart (LCC), integrated pest management (IPM), and
rice-based farming systems.
“When I tried using the new variety NSIC Rc308
endorsed by PhilRice through our cooperative, my harvest increased by up to
40%. Along the banks and dikes, I also tried planting cash crops such as
saluyot, string beans, and okra that we now sell in the Lupao market,”
farmer-cooperator Ferdinand C. Orate said.Meanwhile, project lead Dr. Aurora
Corales said that the partnership with cooperatives contributed to the
empowerment of farmers and their organizations toward community welfare.“This
model may serve as a guide in implementing developmental activities, promoting
location-specific rice and rice-based technologies to improve farmers’ lives,”
she furthered.The research team recently won the best poster award under the
category technology promotion and delivery accelerating adoption and achieving
impacts on farm productivity and sustainability for their study, Agricultural cooperatives: Key partners in
technology promotion and rural development during the 29th National Rice
R&D Conference held at PhilRice, Sept. 8.
New Middletown brewery to host grand opening
By Mark Fisher
Staff Writer
FigLeaf Brewing Co., a new
Middletown brewery with ties to Dayton’s craft-brewery scene, today announced
it will host a grand opening Oct. 8.The event will be held from noon to midnight at 3387 Cincinnati-Dayton Road in Middletown, just north of the Monroe border. Three food trucks are scheduled to attend, FigLeaf co-founder Brian Yavorsky said in an interview this morning.
“We’re shooting to have four or five beers on tap,” including an IPA, a porter, a red saison and a Basmati Rice Cream Ale, Yavorsky said.
The 8,400-square-foot brewery has a 1,900-square-foot taproom that seats about 90 to 100, and a 1,400-square-foot patio that will accommodate dozens more. “We’re expecting a crowd” for the grand opening, Yavorsky said.
Jeff Fortney — formerly the head brewer at Warped Wing Brewing Company in downtown Dayton, where he served as second-in-command on the production side to brewmaster John Haggerty — is one of five co-founders of the new venture.
“Having someone with Jeff’s brewing experience has been invaluable,” Yavorsky said.
FigLeaf’s taproom initially will feature beers made in-house, but has the capacity for 20 taps, Yavorsky said. Plans call for distributing FigLeaf beers in kegs to local pubs and restaurants in the months ahead, and long-term plans call for canning and bottling for retail sales, he said.
Rick Pearce, president and CEO of The Chamber of Commerce, Serving Middletown, Monroe and Trenton, told this news outlet in May that the brewery “is a positive sign of an improving local economy when outside investors have identified your city or area as a wise investment.
And Middletown Economic Development Director Jennifer Ekey told us in May, “Craft brewing is on the rise, and we are excited to welcome FigLeaf Brewing Company to the Middletown community. This gives our residents another local option for enjoying craft beer and will also serve as a destination for those who follow craft beer.
Rice Prices
as on : 21-09-2016 12:53:25 PMArrivals in tonnes;prices in Rs/quintal in domestic market.
|
Arrivals
|
Price
|
|||||
|
Current
|
%
change |
Season
cumulative |
Modal
|
Prev.
Modal |
Prev.Yr
%change |
|
|
Rice
|
||||||
|
Bangalore(Kar)
|
2917.00
|
-22.52
|
196948.00
|
3800
|
3800
|
-11.63
|
|
Bazpur(Utr)
|
1000.00
|
127.27
|
60942.19
|
1925
|
2362
|
1.26
|
|
Mathabhanga(WB)
|
100.00
|
-16.67
|
6600.00
|
2450
|
2450
|
25.64
|
|
Rampurhat(WB)
|
90.00
|
5.88
|
1699.00
|
2200
|
2200
|
19.24
|
|
Chandabali(Ori)
|
85.00
|
NC
|
1948.00
|
1800
|
1800
|
12.50
|
|
Beldanga(WB)
|
50.00
|
NC
|
3038.00
|
2450
|
2550
|
5.38
|
|
Cachar(ASM)
|
40.00
|
NC
|
3120.00
|
2200
|
2200
|
-18.52
|
|
Khatra(WB)
|
34.00
|
-10.53
|
1328.00
|
2500
|
2300
|
13.64
|
|
Kolaghat(WB)
|
19.00
|
-5
|
1229.00
|
2500
|
2450
|
4.17
|
|
North Lakhimpur(ASM)
|
18.40
|
87.76
|
2064.20
|
1900
|
1900
|
NC
|
|
Ulhasnagar(Mah)
|
18.00
|
-10
|
373.00
|
3000
|
3000
|
-
|
|
Tamluk (Medinipur E)(WB)
|
17.00
|
-5.56
|
1186.00
|
2500
|
2450
|
4.17
|
|
Lohardaga(Jha)
|
15.00
|
-25
|
1318.50
|
1730
|
1750
|
-19.53
|
|
Kolhapur(Laxmipuri)(Mah)
|
10.00
|
-16.67
|
2260.00
|
3000
|
3000
|
-
|
|
Nilagiri(Ori)
|
10.00
|
NC
|
687.00
|
2300
|
2300
|
-4.17
|
|
Bishnupur(Bankura)(WB)
|
10.00
|
66.67
|
118.00
|
2300
|
2300
|
-
|
|
Mirzapur(UP)
|
8.00
|
14.29
|
1707.60
|
1990
|
1980
|
0.25
|
|
Dibrugarh(ASM)
|
7.60
|
-24
|
1596.90
|
2450
|
2450
|
-
|
|
Karanjia(Ori)
|
5.00
|
-16.67
|
448.30
|
2700
|
2700
|
3.85
|
|
Islampur(WB)
|
4.20
|
NC
|
412.40
|
2450
|
2450
|
13.95
|
|
Firozabad(UP)
|
4.00
|
-33.33
|
807.10
|
2260
|
2270
|
10.78
|
|
Darjeeling(WB)
|
3.20
|
14.29
|
121.50
|
2900
|
2900
|
7.41
|
|
Sardhana(UP)
|
1.00
|
NC
|
102.60
|
2285
|
2280
|
8.29
|
http://www.thehindubusinessline.com/economy/agri-business/article9131514.ece
Commodity Report Sept. 20
Published September 20, 2016
Today’s commodity report: National Weekly Rice Summary, California Shell Eggs: Daily Egg Report, Shell Eggs: Daily National Egg Market and other commodity end of the day market numbers.
The California Cost of Production Summary and Feedbacks web page
has been updated with 2nd quarter 2016 information.
National Weekly Rice Summary
In California, medium grain milled rice prices steady. Second head
and Brewers prices steady. Rice by-products: Rice Bran prices steady to firm;
rice hulls prices steady to weak due to competing commodities in same market.
CME Rough Rice settlements for Friday 16th, Nov 16 closed .025
higher at 9.815; Jan 17 closed .035 higher at 10.065. US dollar index on Friday
settled at 96.04.
California Shell Eggs: Daily Egg Report
Prices are steady. The undertone is steady to about steady.
Offerings are light for Jumbo and Medium and moderate for Large and Extra
Large. Retail demand is light to moderate with food service sales mostly
moderate. Supplies are reported as in close balance with anticipated needs.
Market activity is slow to moderate. Monday’s shell egg inventories increased
7.7% in the Southwest and 6.2% in the Northwest.
Shell egg marketer’s benchmark price for negotiated egg sales of
USDA Grade AA and Grade AA in cartons, cents per dozen. This price does not
reflect discounts or other contract terms.
|
RANGE
|
|
|
JUMBO
|
145
|
|
EXTRA LARGE
|
121
|
|
LARGE
|
116
|
|
MEDIUM
|
82
|
Shell Eggs: Daily National Egg Market
New York egg prices are unchanged on all sizes. California and
regional prices are steady. The undertone is steady to weak. Demand into all
channels ranges light to fairly good, mostly light to moderate. Offerings are
moderate to instances heavy, however light on Jumbo and Medium in California.
Supplies are mixed, generally moderate for current trading purposes. The shell
egg inventory is 0.7 percent higher when compared to the previous week. Market
activity is slow to moderate. Breaking stock offerings are moderate to at times
heavy; demand is light to moderate. Breaking stock inventory is up 3.5 percent
from last week. Light type fowl supplies are adequate for normal processing
schedules.
Check the September USDA
Commodity Report Calendar for today’s commodity reports released
by USDA.
Today’s Commodity Market ending market numbers:
Corn
December Corn ended at $3.40 1/2 gaining 3 1/4 cents, March ended at $3.50 3/4 up 3 1/4 cents.
Soybeans
November Soybeans ended at 9.89 3/4 increasing 17 1/4 cents, January ended at 9.94 3/4 gaining 17 cents.
Wheat
December Wheat ended at $4.06 up 2 cents, March ended at $4.26 3/4, increasing 2 cents.
Rough Rice
November Rough Rice ended at 9.895 gaining 0.135, January ended at 10.135 up 0.13.
Live Cattle
October Feeder Cattle ended at $107.675 losing $0.225 and December ended at $107.05 decreasing $0.30 and February ended at $107.475 down $0.325.
Feeder Cattle
September Feeder Cattle ended at $135.325 losing $0.125 and October ended at $131.125 decreasing $0.65 and November ended at $128.85 down $0.95.
Lean Hogs
October Lean Hogs ended at $55.55 down $0.625, December ended at $49.075 gaining $0.90.
Class III Milk
September Class III Milk ended at $16.35 gaining $0.01, October ended at $16.20 up $0.46, November ended at $16.48 increasing $0.47.
#2 Cotton
December #2 Cotton ended at 70.80 up 2.30, March ending at 70.83 gaining 2.11.
Sugar #11
October sugar #11 ended at 22.13 increasing $0.03, March ended at 22.70 down $0.05.
Orange Juice
November Orange Juice ending at 204.40 up $5.50, January ended at 201.15 gaining $4.80.
December Corn ended at $3.40 1/2 gaining 3 1/4 cents, March ended at $3.50 3/4 up 3 1/4 cents.
Soybeans
November Soybeans ended at 9.89 3/4 increasing 17 1/4 cents, January ended at 9.94 3/4 gaining 17 cents.
Wheat
December Wheat ended at $4.06 up 2 cents, March ended at $4.26 3/4, increasing 2 cents.
Rough Rice
November Rough Rice ended at 9.895 gaining 0.135, January ended at 10.135 up 0.13.
Live Cattle
October Feeder Cattle ended at $107.675 losing $0.225 and December ended at $107.05 decreasing $0.30 and February ended at $107.475 down $0.325.
Feeder Cattle
September Feeder Cattle ended at $135.325 losing $0.125 and October ended at $131.125 decreasing $0.65 and November ended at $128.85 down $0.95.
Lean Hogs
October Lean Hogs ended at $55.55 down $0.625, December ended at $49.075 gaining $0.90.
Class III Milk
September Class III Milk ended at $16.35 gaining $0.01, October ended at $16.20 up $0.46, November ended at $16.48 increasing $0.47.
#2 Cotton
December #2 Cotton ended at 70.80 up 2.30, March ending at 70.83 gaining 2.11.
Sugar #11
October sugar #11 ended at 22.13 increasing $0.03, March ended at 22.70 down $0.05.
Orange Juice
November Orange Juice ending at 204.40 up $5.50, January ended at 201.15 gaining $4.80.
Bitter Harvest for Rice Farmers
It’s almost 10 in the morning in Battambang
province’s Bavel district and the blazing sun would deter anyone from venturing
too far from the cool comfort of their thatched huts in this rice-growing
area.But for many families whose livelihoods depend on rice farming, braving
the almost unbearable heat is a must ‒ if they want to make ends meet in one of
the worst rice seasons the country has seen.Farmers in Bavel district ‒ one of
the biggest rice-growing areas in Battambang province ‒ are reeling from the
aftereffects of a prolonged drought that has resulted in falling paddy rice
harvests.They are also grappling with sharply plunging rice prices and, at the
same time, struggling to pay back loans taken out from banks and microfinance
institutions. The outlook is bleak.
Soun Sarith, a 55-year-old farmer with four children, is spreading out his just- harvested paddy rice on a large tarpaulin at the side of the road. The heat radiating from the tarmac on the road will help dry his rice quickly.“A broker from the rice millers refused to buy my harvested rice because he said my price was too high. I’m waiting for other brokers to give me a better price. The prices offered are too low and I have to feed my family,” Mr. Sarith told Khmer Times.“I heard the government has promised to keep the price of paddy rice at 840 riel ($0.21) a kilogram. In reality, however, the brokers for rice millers are offering us much lower than that,” he added.
Soun Sarith, a 55-year-old farmer with four children, is spreading out his just- harvested paddy rice on a large tarpaulin at the side of the road. The heat radiating from the tarmac on the road will help dry his rice quickly.“A broker from the rice millers refused to buy my harvested rice because he said my price was too high. I’m waiting for other brokers to give me a better price. The prices offered are too low and I have to feed my family,” Mr. Sarith told Khmer Times.“I heard the government has promised to keep the price of paddy rice at 840 riel ($0.21) a kilogram. In reality, however, the brokers for rice millers are offering us much lower than that,” he added.
Mr. Sarith said he was disappointed with rice
prices this year, but he did not have much of a choice.“With such low prices, I
could leave my rice fields uncultivated and wait for prices to climb before
planting again.“But if I do that, what will my family survive on?” he asked.I
could dry and store my paddy rice and wait for the highest bidder to buy my
harvest. But we don’t have proper warehouses and the rain will spoil my stored
rice.”
He said it was only a matter of time until he
sold off his current rice stock.“I cannot afford to wait any longer.”On Monday,
the Rural Development Bank (RDB) announced that rice millers in the country
will now be able to access the government’s promised emergency loan of $20
million to purchase rice from farmers in a bid to prevent prices falling
further.DB CEO Kao Thach said the government’s $20 million emergency loan had
been transferred to the RDB yesterday after Prime Minister Hun Sen approved it
on Friday.“All rice millers in the country who have their own warehouses and
silos to store rice can now apply for the emergency loan from the RDB,” Mr.
Thach told reporters at a press conference.
Rice millers who do not have warehouses or
silos, the RDB CEO said, will still be eligible for the loan from the bank
provided they deposit their paddy rice to be milled at government warehouses,
which in turn will be used as a collateral for the loan.The government, Mr.
Thach said, will provide loans to rice millers of up to 70 percent of the total
amount required to buy paddy rice from farmers and would charge them an
interest rate of eight percent a year.Mr. Hun Sen yesterday called on all civil
servants and private companies to help purchase rice from farmers across the
country.
“After the RDB announcement, I observed that
there were many government officials and traders and some companies purchasing
rice from farmers. This contribution is important to help farmers,” said Mr.
Hun Sen.
Mr. Thach told Khmer Times that so far that so
far, after the RDB’s announcement, companies and government officials purchased
between 300 and 400 tons of rice from government-run warehouses.But Sim Chhoun,
chief of the remote Svay Chhrom village in Bavel district, was less than
optimistic with the RDB’s announcement.“My village is really far and we have to
see rice millers or their brokers offering the government price of 840 riel per
kilo for our harvested paddy rice,” he told Khmer Times.“These millers often go
to other communes, bypassing us. After they have gone away, the rice traders
will move in, offering us a price of about 720 riel ($0.18s) a kilo.
“Often we have no choice but to sell at this
price.”Horm Hy, a rice farmer in Bavel district’s Kbal Spean village, was
facing a similar conundrum.“I have loaded my harvested paddy rice in a
motorized three-wheel cart and I am driving it from one commune to another
looking for rice millers offering 840 riel per kilogram. I have not had any
luck and the best I have been offered is 720 riel a kilogram. My family has to
eat and I have no choice,” he said.“I cannot store the rice because I don’t
have a proper warehouse and the longer I keep it the quality will drop further.
The worst case will be if no rice miller wants to buy my harvest. Then I’ll be
in big trouble,” added Mr. Hy.
A rice trader calling himself Tes Ra, however,
had a different perspective of the current predicament faced by rice
farmers.Standing near a big truck where workers were loading paddy rice from
motorized three-wheel carts, he told Khmer Times that he bought rice from
farmers at a price that he could sell to the millers.“If we buy at a high
price, we are not sure if we can sell it to the millers. It depends on the
market price, which we have to follow,” said Mr. Ra.Mr. Ra blamed farmers for
not adhering to industry standards and trying to sell broken paddy rice to
millers. He said this made it difficult for rice millers to offer higher prices
to farmers.Thov Vuthy, the managing director of Phov Thov Rice Miller in Bavel
district’s Bovil II village, said his mill had a limited capacity and he could
not purchase large quantities of paddy rice from farmers.
“Don’t get me wrong. We want to help out the farmers
but we have limited capacity. There is only so much paddy rice we can buy with
our limited funds,” he explained.In a recent report, the World Bank’s
International Finance Corporation (IFC) said rice mills in the country should
have farmers under contract to provide consistent rice quality and aim for near
100 percent capacity utilization at the mill.“It is clear that ensuring high
quality and reliable supply form the basis for increased trade,” said the IFC
report.
Farmers in Battambang province's Bavel district
spread out their freshly harvested paddy rice on a large tarpaulin at the side
of the road. The heat radiating from the tarmac will help to quickly dry their
paddy rice. KT/Mai Vireak
http://www.khmertimeskh.com/news/29992/bitter-harvest-for-rice-farmers/
Co-ops can help boost farm productivity–PhilRice
September 20, 2016
Agricultural
cooperatives are effective motivators for farmers to adopt farming technologies
to boost their farm productivity, according to a recent study conducted by the
Philippine Rice Research Institute (PhilRice).The study, titled “Agricultural
cooperatives: Key partners in technology promotion and rural development,” was
conducted by a PhilRice research group.“What makes agricultural cooperatives unique is that they have a unified action to become viable, while helping individual members improve. When the cooperative is able to prove that a specific technology is efficient, it is certain that the farmer-members will adopt it in a sustainable manner,” Christian Flor Guittap said in a statement.
The PhilRice research group introduced various farm technologies to Lupao, Nueva Ecija-based Parista Barangay Defense System Multipurpose Cooperative (PBDS-MPC) in 2014, to determine the efficacy of the said cooperative in promoting, evaluating and adopting farm technologies in their respective community.
“During our discussion with PBDS-MPC, we found
that the cooperative practices conventional farming such that its members do
not use quality rice seeds and other technologies, and apply fertilizers
without assessing their soil needs,” Guittap said.Among the farming
technologies introduced by PhilRice to PBDS-MPC were use of certified
seeds, Minus One Element Technique (MOET), leaf color chart (LCC), and
integrated pest management and rice-based farming systems.
MOET is
a diagnostic tool to determine deficiency of key nutrients in paddy soil, while
LCC assesses nitrogen status of rice plants which can save farmers of up P2,000
per hectare in nitrogen-fertilizer use, according to PhilRice.At least 46 farmers, or 78 percent, of the 59 farmer-members of PBDS-MPC who participated in the research project adopted the technologies promoted by the PhilRice research project during the 2015 wet season and 2016 dry season, PhilRice said.
“This percentage equates to high level of adoption. In 2016 DS, we also found that 73 percent of the participating co-op members achieved an average yield increase of 0.5 ton per hectare, while 22 percent of farmers attained more than 1 ton per hectare, increase in yield,” said Joel Pascual, head of the said PhilRice study.
Ferdinand C. Orate, PBDS-MPC farmer-cooperator, said his harvest increased by 40 percent when he used the rice variety NSIC RC308 endorsed by PhilRice.
“Along the banks and dikes, I also tried planting cash crops, such as saluyot, string beans and okra, that we now sell in Lupao market,” Orate said.
Dr. Aurora Corales, project lead of the PhilRice study, said the partnership with the cooperative empowered farmers toward community welfare.
“This model may serve as a guide in implementing developmental activities, promoting location-specific rice and rice-based technologies to improve farmers’ lives,” Corales said.
http://www.businessmirror.com.ph/co-ops-can-help-boost-farm-productivity-philrice/
The politics of rice
posted September 21, 2016 at 12:01 am by
Lito Banayo
Now that
our economic policy-makers have decided to live with the lifting of
quantitative restrictions on rice importation, leaving rice economics to market
forces, let us end the series with the “politics of rice.”Food security is basic. A lack of it is not just a political issue. It is a national security problem. The question though is whether food security, which means the availability and affordability of food, should be defined as rice self-sufficiency.
Media and the public at large equate food security with self-sufficiency. They keep pointing to the brief interludes in our contemporary history when we were able to produce the staple food that we ate, and recall those halcyon days when the Thais and Vietnamese came to the country to train in agriculture. “Those were the days…,” they keep harking, but will those days ever come back, what with our lopsided demographic realities?
Note that on top of a production to consumption parity, we still need rice reserves, to meet contingencies such as natural or man-made calamities. Our policy-makers have defined that requirement as having on reserve stock at least 15 days of the national consumption, which should amount to 500,000 tons at any given time. But for the so-called “lean months,” which coincide with the monsoon and typhoon season (July to September) and in-between our harvests, we increase this by an additional 15 days, or a total of one million tons (20 million bags) of rice, strategically positioned in the warehouses of the National Food Authority all over the country.
Due to El Niño, La Niña, strong typhoons, limited irrigation and inventory mismanagement, not to mention over-importation of the staple, NFA in 2010 piled up a “legacy debt” (that’s how PNoy called it) of P178 billion. There is no way the NFA could pay this huge debt. Part of the legacy was a stockpile of rice that reached almost 60 days of the average national consumption in 2010, which required NFA’s leasing some 800 bodegas on top of its 750 owned warehouses.
Thus, the economic managers decreed that this time, the bulk of rice imports were to made by the private sector under a “private-sector funded” program, where NFA awarded import permits to private traders and farmer cooperatives instead of the government itself importing and financing the importation. This policy was started during the Arroyo administration but conversely, NFA imported the bulk (90 percent) leaving the 10 percent for the private sector.
The difference is that under the PNoy government, we bid out the permits in open tender. Previously, the import permits were simply given out on a first-come, first-served basis, which means whoever among the traders and co-ops arrived first on “bidding” day got the permit, and bonds submitted were reimbursable if the “winning” traders or co-ops brought the rice on time.
The other difference is that we imported much less in the first two years of the PNoy government. For 2010, the “legacy” importation was a total of 2 million 50 thousand tons for government account, and 225,000 for the private sector. In 2011, we reduced NFA or government imports to just 200,000 and further down in 2012 to 120,000 tons. Hence, NFA’s “legacy debt” was trimmed to just about P145 billion from P178 billion, a decrease of some P33 billion.
The private sector was allowed to import 660,000 tons in 2011 and a lower 380,000 in 2012. Plus the minimum access volume (MAV) of 320,000 tons as agreed upon in 1995 under WTO negotiations. Because we bidded out permits rather than merely awarding them to favored sectors, NFA earned P4.3 billion, apart from cutting its huge indebtedness.
But the policy was again reversed by DA under Alcala when they realized that self-sufficiency was not attainable by 2014 as promised, blaming failure on typhoons (which happen every year and should always have been a given in policy formulation). By 2013, NFA was back to importing on its own (and guaranteed by the national government) account. And importing by the millions of tons each year once more (roughly one million tons each year). The financial result of this reversal is what the National Economic and Development Authority and the Department of Finance have now discovered as PNoy’s “legacy debt” to Duterte: NFA’s debt is back to the P170-billion level.
Now, come June 30, 2017, we will enter full deregulation of the rice market. Which means any trader, cooperative, or person can open a letter of credit to import rice from wherever, provided he pays a 35-percent duty to the Bureau of Customs. This duty, under our trade agreement with Asean member-countries, will progressively decline.
At current spot prices of $385 per ton, add some 40 dollars more for logistics, or $425, compute a 35-percent tariff, and roughly, a ton of rice, which is 20 bags of 50 kilos apiece, would cost $575 or $ 28.75 per bag. Translated at 48 to $1, that’s only P1,380 per sack—or 27.60 per kilo.
It costs our farmers P11 at present to produce one kilo of palay, so they would sell at P17 to P19 per kilo. The miller recovers 60 to 65 percent white rice per kilo of palay, or a cost of roughly P32. The retail price is around P41 per kilo upwards, depending on the quality of rice. Compare that to rice imported from Vietnam or Thailand the landed cost of which, tariff included, is P27 to P28.
Neda states that the economics of rice importation will benefit consumers, because rice prices will go down, from the present 40s to the low to mid-30s. A price reduction of P10 per kilo would certainly be a relief to 104 million rice-eaters.
But the DA worries understandably about the farmers.
And yet, the solution that straddles the political as well as the economic side of the rice conundrum is really for government to assist farmers on the input side, rather than artificially prop up the industry through price-support mechanisms and quantitative restrictions. These do not only cost the taxpayers billions in subsidies and sovereign loans; they also fail to make the rice farmer more productive and competitive.
This means free irrigation, as the DA and the current political leadership promise. Subsidize hybrid seeds that will triple productivity, and extend credit for fertilizers both organic and inorganic. Teach the farmers to apply the right technologies, and protect them from weather vagaries through crop insurance. Consolidate agrarian reform beneficiaries into viable cooperatives, or partner with the private sector to achieve economies of scale that would afford agricultural modernization and managerial competence. And make farmers cultivating rice in less-suited lands shift to high-value crops. For in the end, the focus should be on making the farms productive and farming profitable.
That will cost government, too, but it is better than insisting on a policy of attaining self-sufficiency at all costs, mostly wasteful. In Malaysia, for instance, the practice is produce 65 percent of consumption requirements, and import 35 percent, while using the land for high-value crops like rubber and palm.
It will take more articles than this series of three to dissect the policy options. But it is best to understand that firstly, food security does not come without a cost. Two, good economics is always better politics. And finally, both good economics and good politics are possible only under a regime of good governance, which means not only zero tolerance for corruption, but also good sense
UC endowed chair to boost rice research
Capital PressPublished on September 20, 2016 4:03PM
Tim Hearden/Capital Press Different types of
rice grow at the industry-supported Rice Experiment Station in Glenn County,
which often collaborates with the University of California on projects. The UC
is setting up a $1 million endowed chair for rice research.
The UC and the California Rice Research Board are splitting the cost of the endowed chair, which will have five-year terms.
The earnings from the endowment — which will average $40,000 to $50,000 a year — will help UC Cooperative Extension and UC-Davis rice researchers who focus on such issues as weed, disease and pest management, nutrient management and water conservation, officials said.
“There’ll be a process where different academics can submit proposals on what they would intend to utilize those resources over a period of five years,” said Chris Greer, the UC’s vice provost for Cooperative Extension. “In most cases, we’re going to expect some sort of collaborative project.
“My guess would be we’re going to have one person who’s the chair-holder and the funds will be utilized to support collaborative, multidisciplinary work on a specific issue,” he said.
Endowed chairs are fixtures at Harvard University and other top institutions as a way to fund specific types of research. UC President Janet Napolitano announced in 2014 that she would seek endowment partners for all of the university’s campuses and for Cooperative Extension.
Last fall, the UC and the California Pistachio Research Board established two endowed chairs of $1 million each to fund studies on tree nut genetics, soil science and plant-water relations.
Glenda Humiston, the UC’s vice president for agriculture and natural resources, said at the time she was having discussions with several other groups about establishing similar funding streams for other areas of agriculture.
Getting the highest quality and yields and dealing efficiently with pests and disease could be critical for a rice industry whose acreage has declined in recent years because of drought-related water shortages.
Rice growers in California have long been committed to research, having established the Rice Experiment Station in Biggs more than a century ago and investing more per unit on research than other rice-producing states. The Rice Research Board is funded through a grower assessment of 8 cents per 100 pounds of harvested rice.
Dana Dickey, the research board’s manager, said he hopes the endowed chair will help the industry respond to issues that arise.
“Over the long term, this provides a constant source of research funds that we can use for things that concern the industry,” Dickey said. “We’ve specifically narrowed the field of people who can apply … to farm advisers and specialists who work on rice. It’s a fairly small group of people who we are already committed to funding. This is an additional funding source for them.”
Role of Rice in Food Aid is Major Topic of
Discussion
By Sarah Moran
STUTTGART, ARKANSAS -- Last week,
representatives from the U.S. Department of Agriculture's Foreign Agricultural
Service (FAS), United States Agency for International Development (USAID), and
the Office of the United States Trade Representative (USTR) joined Arkansas
Secretary of Agriculture Wes Ward and staff from USA Rice; the Arkansas Rice
Federation; the offices of Senators John Boozman and Tom Cotton, and
Congressman Rick Crawford; the Arkansas Farm Bureau; the Agricultural Council
of Arkansas; and Riceland Foods and Producers Rice Mill to discuss the role of
rice in current U.S. food aid policies.
Discussions focused primarily on effective ways
to utilize rice in the U.S. government's food aid programs, including the use
of fortified rice as it has the potential to resolve persistent micronutrient
deficiencies in disadvantaged populations - a high priority for U.S. programs. "I find great value in face-to-face
meetings like these because it helps everyone around the table understand the
goals and priorities each group has," said Carl Brothers, chief operating
officer for Riceland Foods, who led the meetings. "We appreciate the opportunity to take
stakeholders into the mill and out in the field to show them firsthand the
realities we are dealing with. I think
we all now have a better understanding of what they are trying to do and what
they are capable of doing with rice in their programs, and they leave us with a
solid grasp of some of the many challenges we as an industry are facing."
Following the meeting, FAS, USAID, and USTR
staff went on a mill tour and visited a nearby farm to participate in harvest
activities.
USA Rice Daily, Tuesday, September 20, 2016
Crop Progress: 2016 Crop 64
Percent Harvested
WASHINGTON, DC -- Sixty-four percent of the nation's 2016 rice acreage is harvested, according to yesterday's U.S. Department of Agriculture's Crop Progress Report.
|
Rice Harvested, Selected
States
|
||||
|
Week Ending
|
||||
|
State
|
Sept 18, 2015
|
Sept 11, 2016
|
Sept 18, 2016
|
2011-2015 average
|
|
Percent
|
||||
|
Arkansas
|
52
|
52
|
73
|
48
|
|
California
|
14
|
4
|
7
|
8
|
|
Louisiana
|
95
|
84
|
92
|
94
|
|
Mississippi
|
55
|
42
|
63
|
53
|
|
Missouri
|
17
|
40
|
53
|
26
|
|
Texas
|
96
|
96
|
99
|
96
|
|
Six States
|
52
|
50
|
64
|
49
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Rice is Center of the Plate at Mississippi
Lunch
By Carrie Castille
Thank a farmer indeed
CLEVELAND,
MS -- Last Friday, Delta Rice Promotions, Inc. sponsored the 26th Annual Rice
Tasting Luncheon here in honor of National Rice Month (NRM). More than 300 rice dishes, prepared by
community members and local restaurants, were donated for the lunch, and more
than 800 people from across Mississippi and beyond joined the festivities to
support local agriculture and visit a variety of educational exhibits.
"The NRM luncheon is a way for us to thank our rice farmers and all those
who contribute to the rice industry, while also bringing awareness to this
locally-grown grain," said Laura Giaccaglia, Bolivar County Extension
Coordinator, who is responsible for producing the annual event along with Delta
Rice Promotions President Candy Davis.
"We hope people who came enjoyed the wonderful rice dishes and left
understanding the importance of supporting Mississippi rice farmers by
purchasing local rice at the grocery store and while dining out."
USA Rice participated in the event as an
exhibitor and provided attendees with rice information, recipes, and NRM
promotional gifts.
"National Rice Month is all about
celebrating harvest and supporting U.S. rice farmers," said Katie Maher, USA
Rice director of domestic promotion.
"We look forward to the tasting luncheon each year because it
allows us to educate the public about rice production and also enjoy delicious
rice dishes. One attendee even commented
that she wasn't aware rice could be prepared in so many different ways."
09/20/2016 Farm Bureau Market Report
Soybeans
Riceland Foods
Soybean Comment
Soybeans continued thier rally today. In
addition to strong export demand, improvement in product markets particularly
oil market has helped soybeans to continue to work higher. Strength in palm
oil prices is helping push oil prices higher. This bullish demand news
continues to push prices higher despite the large crop. Strong demand is
expected to consume a large share of this year's 272 million bu increase in
production.
Wheat Comment
Wheat prices continued to inch higher on
support from outside markets. Within the wheat market the fundamental outlook
remains bearish as large supplies and lackluster demand remain a drag on
prices. As for U.S. Wheat while early sales have been stronger than a year
ago, a stronger dollar is bearish for exports and could push prices lower.
Corn Comment
Corn prices moved higher today. Today's move
was the result of stronger soybean ps which posted double digit gains. There
remains little change in the fundamental picture as harvest continues to
progress. The only marginal bearish news is the wetter forecast for the
remainder of the week which could provide some support for prices in the near
term.
Cotton Comment
Cotton prices continued to rally today. While
yesterday's crop condition report failed to show damage from recent weather,
the market disagreed. This concern for the crop combined with strong demand
helped propel prices above resistance at 70-cents. Cotton prices of tinue to
show strength, while competing manmade fibers remain cheap given the low oil
prices. One thing to watch is if these low prices will cause synthetic fibers
to further displace cotton in the market.
Rice Comment
Rice prices continue in choppy trade as the
market continues to trade near the bottom of the recent range. Rice faces
large carryin stocks this year as well as strong production. At the same time
demand remains lackluster at best, which will make it difficult for rice to
meet the USDA's ambitious demand forecast for U.S. rice.
Cattle Comment
Cattle prices closed mostly lower today. The
market remains pressured by poor demand and weak cash prices. Continued
volatility in the wholesale markets as choice closed lower today and select
posted gains continues to provide little traction for prices to move higher.
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