Belarusian machinery to be introduced in Pakistan
By Veronika Buta: MAZ and Amkodor are
ready to enter the market of Pakistan’s Punjab province. The prospects of joint
projects, such as establishing the enterprises’ trade missions and assembly
plants, have been discussed in Minsk today.
Last year saw a breakthrough in Belarus –
Pakistan relations. In May 2015, the Belarusian President paid the first
official visit to Pakistan in order to give impetus to mutual cooperation,
which resulted in contracts worth tens of thousands of dollars. A return visit
paid by Pakistan’s Prime Minister in the late summer of 2015 was reflected in a
cooperation roadmap, the two countries agreeing to make every effort to reach a
trade turnover of a billion dollars.
Pakistan is Belarus’ promising partner in South
Asia. The most significant part of Belarusian exports is tractors, 4,000
equipment units exported per year.
Last year, the mutual trade turnover between
the two countries amounted to slightly less than 60 million dollars. In
addition to tractors, Belarus exports potash fertilisers, synthetic yarn,
tyres, newsprint and baby food to Pakistan and imports rice, foodstuffs,
leather products, textiles and sporting equipment.
Each visit of Pakistan’s delegations adds new
items to the list. MAZ and Amkodor are preparing to enter the country’s market,
as proposed by Pakistan’s Punjab province representatives during their visit to
Belarus.
Punjab is the largest industrial region in the
South Asian country, its share in Pakistan’s GDP making up about 60 %. Punjab
is home to about 200,000 small and over 600 large-scale enterprises. As planned
by the country’s authorities, Pakistan’s economy will be actively developing
for the next 20 years, therefore the country needs road construction machinery
and passenger transport. The first batch of Belarusian equipment has already
been delivered to Karachi, and new contracts are expected to be signed. The
Pakistani side insists on the opening of Belarusian companies’ trade missions.
Last year saw the opening of an MTZ assembly
plant in Karachi, a similar project is expected to be implemented in the Punjab
province.
There are a lot of opportunities for Belarus to
increase its industrial presence in Asia. The involvement of third countries in
the joint projects is being discussed.
http://www.tvr.by/eng/news/ekonomika/belorusskaya_tekhnika_poyavitsya_v_pakistane/
Research necessary to compete globally in rice production
September 23, 2016
Q. What is the reason for sustained export growth in coarse rice?
A. Exports of coarse rice produced in Sindh were not affected even when global commodity rates were very low. Only the exports of basmati rice are declining. Coarse rice exports survived bad times because its productivity has more than doubled from 40 maunds per acre to over 80 maunds per acre. We introduced Chinese hybrid rice seeds in Pakistan in late 19990s.
Later the technology was transferred by the Chinese to our company. We established our research centre that is run by Chinese scientists along with Pakistani PhDs. Our researchers introduced high yielding seeds that produce 120 maunds of rice per acre. This is higher than even the productivity in China. In fact our Chinese principles have started importing some of our high yield hybrid rice seeds. High yield has reduced the cost of production of the farmers and their produce is competitive globally. This is the reason that coarse rice exports are on rise. Our productivity in coarse rice is higher than that of India.
Q. What are the reasons of decline in Basmati rice exports?
A. As far as basmati is concerned, the government rice research institutes did a commendable job in the 80s to introduce many high yielding varieties. In view of this, the private sector left the research on basmati to the government sector. However, during the last two decades, not a single basmati variety has been introduced. The last variety, introduced more than 20 years back, is losing its productivity, as its yield has declined from 50 maunds per acre to 25-30 maunds per acre.
The Indians in the meantime introduced many high yielding long grain rice varieties that look like basmati. The per acre yield of their best long grain variety exceeds 50 maunds per acre. The Indian thus are more competitive than Pakistan in long grain rice variety. Five years back, when our per acre yield of long grain basmati rice was higher, we quoted $100-150 per maund less than the Indians, now it is reverse.
Q. Is the Indian long grain rice not basmati?
A. Basmati is a combination of two words ‘bas’ that means aroma, and ‘mati’ which means soil. Basmati is the aromatic rice of the soil around our central Punjab rice belt. Long grain rice otherwise is produced in many countries. Iran for instance also produced long grain rice so does the United States. Those addicted to basmati with its peculiar aroma do not buy other long grain rice that lacks this aroma. This is the reason that despite high price, basmati exports is still on. We have however lost market to Indians where consumers are not concerned with aroma but simply want long grain rice.
Q. What should be done to further enhance coarse rice exports?
A. The government should strictly regulate the import of hybrid seeds. There are 54 suppliers of hybrid rice seeds in Pakistan, including four or five reputable multinationals. But there are many importers that supply substandard seeds that result in crop failures and huge loss to the farmers. The hybrid rice has alleviated poverty in Sindh and substandard seeds sales, if not checked would bring back poverty for some farmers.
The farmers must be encouraged to go for hybrid varieties as the yield of non-hybrid seeds is very low. The average of our rice hybrid seed is 120 maunds per acre. The yield of other hybrids, imported or locally produced, is 80-100 maunds per acre. The more we grow the higher will be our exports.
Q. How can the basmati exports increase?
A. We have little expectations of high yield basmati varieties being introduced by the public sector research institutes, since they are not active. On the other hand, research in private sector has just started, and it will take some years before high yielding varieties are introduced. The best chance to boost exports now is to include rice in the five products that Iran will allow at zero duty in the upcoming FTA with Iran.
https://www.thenews.com.pk/print/151838-Research-necessary-to-compete-globally-in-rice-production
Climate change hits Thailand jasmine rice
exports to Qatar
September 22 2016 11:25 PM
The El Niño phenomenon has severely affected agricultural lands in many Southeast Asian countries since last year, particularly Thailand, the second largest rice exporter in the world.Chaiyindeepum also cited many emerging rice exporting competitors but stressed that Thai farmers and their government will continue to offer high-quality jasmine rice to the world at a reasonable price.These include Qatar, which ranks 42nd as Thailand’s jasmine rice export destination.Thailand is also ready to exchange expertise with Qatar in the field of agriculture to help in ensuring food security in the country, according to the envoy.
As one of the leaders in high quality agricultural production in the world, Chaiyindeepum said Thailand can provide technical assistance and capacity building to Qatar in areas such as rain making, hydroponics farming technology, and aquaculture.He pointed out that geographical diversity in Thailand, together with “New Theory (of Agriculture)” initiated by the King of Thailand, led to the development of their technical know-how on sustainable farming.Such knowledge and technology, he added, can contribute to Qatar’s food security.
Chaiyindeepum noted that Thailand also has experts in the field of molecular plant breeding, developing plants that have high tolerance to drought and extreme weather.
“We are pioneers in artificial rain production by cloud seeding technique (Royal Rainmaking Project) — patented by the European Patent Office to the King of Thailand,” he explained.Thailand is also ready to help and co-operate with Qatar on “technical exchange and investment” in the medical field, the envoy said.
Known as a medical hub of Southeast Asia, he noted that they have many internationally certified hospitals, renowned doctors, and state-of-the-art medical technologies.Besides jasmine rice exports, figures from the Ministry of Commerce of Thailand showed that total trade volume in the first half of 2016 had decreased by 31.08% compared to the same period last year.“Qatar is Thailand’s 29th trading partner with two-way trade amounted to $1.4bn in the first half of 2016,” it said.
“The exports from Thailand to Qatar amounted to $178.74mn while imports from Qatar was $1.2bn.
“However, this corresponds with the global trend of Thailand’s trade with all countries.”The envoy said that Thailand’s main imports from Qatar are petroleum products, especially LNG while Thailand’s major exports include food, automobiles, and electronics goods.
http://www.gulf-times.com/story/514760/Climate-change-hits-Thailand-jasmine-rice-exports-
India asks China to import agri-products like
rice, sugar
PTI
| New Delhi | 23 September, 2016
Seeking greater cooperation in agriculture
trade, India on Friday asked neighbouring China to import a wide range of items
from it such as rice, sugar, maize and dried grapes.Agriculture Minister Radha
Mohan Singh met his Chinese counterpart Qui Dongyu on the sidelines of BRICS
agri-meet here and asked China to consider importing these products from India."I
am looking forward for more and more cooperation in agriculture and allied
sectors between the two countries leading to further strengthening of bilateral
relations," Singh said in a statement.
He said China can explore the possibility of
importing agricultural items including live plants, coconut, cashew nuts,
banana, pepper, shorghum, coconut oil, oil cake, which India has a potential to
export.Singh also expressed satisfaction over the progress made in finalising a
memorandum of understanding (MoU) with China on sanitary and phyto-sanitary
(SPS) issuesHe said the MoU is "inching towards finality".In 2015-16,
India's export to China stood at USD 875.13 million, while imports were at USD
284.18 million.India exports agri-items such as fish, prawns, shrimp, cotton
and castor oil, and imports kidney beans, apples, pears and bamboos.
www.thestatesman.com/news/business/india-asks-china-to-import-agri-products-like-rice-sugar/166839.html#RMhJpr70cWZt4G7y.99
Kharif sowing acreage surpasses average of last five years
New Delhi, September 23:
Total
sowing in the ongoing kharif season so far has surpassed both last year’s
acreage and the normal area — the average of total sown area in the previous
five years. Sowing of rice, pulses, coarse cereals and oilseeds have exceeded
last year’s acreage by significant margins, while sugar, cotton and jute are
lower, according to figures supplied by States and compiled by the Centre.
“The
total sown area as on September 23 stands at 1,067.53 lakh hectares compared to
1,030.89 lakh hectares at this time last year and total normal area of 1,062.50
lakh hectares,” an official release stated.
Rice
sowing has been done on 387.04 lh compared to 377.35 lh in the same period last
year. Pulses acreage has expanded to 145.84 lh (112.93 lh). Sowing of coarse
cereals, too, gained to 189.58 lh (183.59 lh), while oilseeds acreage increased
to 189.16 lh (183.71 lh).
Cotton
acreage has gone down to 102.55 lh so far this year against last year’s 115.98
lh. Sugarcane acreage is lower at 45.77 lh (49.60 lh).
(This article was published on September 23,
2016)
No decision yet on rice import restrictions
Posted on September 24, 2016
THE Department of Agriculture (DA) is yet to come up with its decision on whether it will maintain or remove restrictions on rice imports as the country seeks to comply with a World Trade Organization (WTO) agreement to lift trade barriers on the staple food.
“There’s no decision yet. We are doing
consultations nationwide starting next week with the stakeholders,” Segfredo R.
Serrano, Agriculture undersecretary for policy and planning revealed to
reporters on Wednesday.
The consultation aims to come up with the best possible recourse the country can undertake in terms of lifting or retaining the so-called quantitative restriction (QR) on rice imports, which limits the volume of rice that can enter the Philippines every year. The QR serves as cushion to prevent the influx of cheap rice imports and protect local farmers.
The Philippines, one of the world’s biggest rice importers, has enjoyed this preferential treatment on rice imports since 1995 when it joined the WTO. In 2014, the country secured WTO approval to keep the import restrictions for three more years to June 2017 after the country agreed to lift the annual import volume from 350,000 tons and cut the tariff from 40%.
“Hindi pa na-consult si Presidente about the issue (We haven't consulted the president about the issue)," said Agriculture Secretary Emmanuel F. Piñol in an interview with reporters on Wednesday. "Siyempre explain ko sa kaniya na hindi ganyan ka-simple iyon. Hindi porke ni-lift yung QR bababa ang presyo ng bigas (We need to explain to him that it’s not that simple -- that just because the QR has been lifted, the price of rice will go down.)... It’s a very speculative market,” he said.
The DA is moving to renegotiate an extension of the QR to 2019, the Duterte administration’s targeted year to attain rice self-sufficiency.
Mr. Serrano noted that an extension is “possible” if the cabinet team permits, but reminded that the maintenance of the special treatment on rice may create concessions other countries may seek to have a freer flow of their commodities into the Philippine market.
It took more than two years for the country to secure the approval from nine WTO country-members to extend until 2017 the QR on rice, which was supposed to end in 2012. In change for the approval, the country agreed to increase the minimum access volume (MAV) of rice to 805,200 metric tons from 350,200 and at reduced tariffs. MAV refers to the minimum quantity of farm produce permitted to enter a market destination bound at lower tariff rates.
Other concessions to retain the special treatment on rice included slapping a lower tariff duty on a handful of other commodities.
Some members of President Rodrigo R. Duterte’s economic team opposed the extension of the QR policy. Socioeconomic Planning Secretary Ernesto M. Pernia for one cited the QR as one of the protectionist policies that could cloud prospects for the country’s inclusion in trade deals.
“Time for competition to pressure our farmers to be more productive with government backing,” Mr. Pernia said in an earlier report.
Regardless of opposition from other economic managers, Mr. Piñol said he will strive to push the extension of the QR to 2019.
“Their perspective is that of economic managers. My perspective of how things should be is the perspective of a farmer-leader,” Mr. Piñol said. -- Janina C. Li
The consultation aims to come up with the best possible recourse the country can undertake in terms of lifting or retaining the so-called quantitative restriction (QR) on rice imports, which limits the volume of rice that can enter the Philippines every year. The QR serves as cushion to prevent the influx of cheap rice imports and protect local farmers.
The Philippines, one of the world’s biggest rice importers, has enjoyed this preferential treatment on rice imports since 1995 when it joined the WTO. In 2014, the country secured WTO approval to keep the import restrictions for three more years to June 2017 after the country agreed to lift the annual import volume from 350,000 tons and cut the tariff from 40%.
“Hindi pa na-consult si Presidente about the issue (We haven't consulted the president about the issue)," said Agriculture Secretary Emmanuel F. Piñol in an interview with reporters on Wednesday. "Siyempre explain ko sa kaniya na hindi ganyan ka-simple iyon. Hindi porke ni-lift yung QR bababa ang presyo ng bigas (We need to explain to him that it’s not that simple -- that just because the QR has been lifted, the price of rice will go down.)... It’s a very speculative market,” he said.
The DA is moving to renegotiate an extension of the QR to 2019, the Duterte administration’s targeted year to attain rice self-sufficiency.
Mr. Serrano noted that an extension is “possible” if the cabinet team permits, but reminded that the maintenance of the special treatment on rice may create concessions other countries may seek to have a freer flow of their commodities into the Philippine market.
It took more than two years for the country to secure the approval from nine WTO country-members to extend until 2017 the QR on rice, which was supposed to end in 2012. In change for the approval, the country agreed to increase the minimum access volume (MAV) of rice to 805,200 metric tons from 350,200 and at reduced tariffs. MAV refers to the minimum quantity of farm produce permitted to enter a market destination bound at lower tariff rates.
Other concessions to retain the special treatment on rice included slapping a lower tariff duty on a handful of other commodities.
Some members of President Rodrigo R. Duterte’s economic team opposed the extension of the QR policy. Socioeconomic Planning Secretary Ernesto M. Pernia for one cited the QR as one of the protectionist policies that could cloud prospects for the country’s inclusion in trade deals.
“Time for competition to pressure our farmers to be more productive with government backing,” Mr. Pernia said in an earlier report.
Regardless of opposition from other economic managers, Mr. Piñol said he will strive to push the extension of the QR to 2019.
“Their perspective is that of economic managers. My perspective of how things should be is the perspective of a farmer-leader,” Mr. Piñol said. -- Janina C. Li
FAO forecasts higher harvest prospects for maize, wheat and rice
Staple food prices rose in August even as grain
prices fell and the outlook for global cereal production improved. The FAO Food
Price Index averaged 165.6 points in August, up 1.9% from July and almost 7%
from a year earlier. The monthly jump was mostly driven by cheese and palm oil
quotations, while those for wheat, maize and rice all fell.
Russia
is poised to become the world's largest wheat exporter in 2016/17, overtaking
the European Union, where wet weather has hampered this year's crops.
Rice
production is expected to hit a new record owing to favorable weather
conditions in much of Asia and on more U.S. farmers shifting to the crop
FAO
raised considerably its world cereal production forecast for 2016 to 2.566
million tons, up 22 million tons from July projections. FAO's Cereal Supply and
Demand d Brief, attributed the increase primarily to anticipation of a record
global wheat harvest this year and a large upward revision to this year's maize
crop in the United States.The expected increase in grain output is forecast to
boost inventories and push up the global stock-to-use ratio to 25.3%, an ”even
more comfortable (supply and demand) situation than predicted at the start of
the season,” FAO said.
Coarse grain global output for 2016 should be
around 1 329 million tons, 2.1% higher than in 2015, buoyed by higher forecast
maize output in several countries, in particular the U.S.The wheat output
forecast was also raised to 741 million tons, driven by large upward revisions
to projections for Australia, North America, India and the Russian Federation.
Russia is poised to become the world's largest wheat exporter in 2016/17,
overtaking the European Union, where wet weather has hampered this year's
crops.Rice production is also expected to hit a new record this year at almost
496 million tons, owing to favorable weather conditions in much of Asia and on
more U.S. farmers shifting to the crop as a result of its more attractive
relative price.
FAO did not materially change its forecast for
world cereal utilization in the coming year, which is expected to grow by 1.6%,
led by maize - and to some extent lower-quality wheat supplies - used as animal
feed. The FAO trade forecast for cereals in 2016/17 has been scaled up by
almost 9 million tons on the back of abundant export availabilities of wheat
and coarse grains.
http://en.mercopress.com/2016/09/22/fao-forecasts-higher-harvest-prospects-for-maize-wheat-and-rice
Rice steams ahead
22 Sep 2016
NSW
Department of Primary Industries rice research and development team members,
Brian Dunn, Tina Dunn and David Troldahl are supporting rice growers with new
production guides for the coming season. With the rice season set for a stellar
start following impressive spring rain, growers now have access to the latest
information to support their management decisions with the release of three new
NSW Department of Primary Industries (DPI) rice production guides.DPI research
agronomist, David Troldahl, said rice
variety, crop
protection and growing
guides for the 2016-2017 rice season were available from DPI, Local Land
Service (LLS) and Ricegrowers’ Association of Australia (RGA) offices and
online.
“The DPI rice team worked with Murray LLS and
RGA Rice Extension to deliver new information on critical sowing times for
current varieties,” Mr Troldahl said.“Given the success of delayed permanent
water crops last season, new herbicide strategies are available to extend weed
control until permanent water is applied in mid-December.“The crop protection
guide alerts growers to plant back guidelines they should be aware of for new
winter crop chemicals.“And a welcome feature in the new guide includes images
to aid identification of pests and weeds.”
Mr Troldahl said growers could use new variety
guide information for Topaz, Koshihikari, YRM70 and YRK5 to fine-tune agronomy
and nitrogen management.“Growers should take advantage of the free NIR Tissue
Testing Service at panicle initiation to determine nitrogen fertiliser
requirements for topdressing,” he said.“We recommend growers consider using
imagery, yield maps or cut and fill maps to target sampling in different zones
of their crops.“Feedback from growers is welcome to inform and improve variety
and production information.”RGA Rice Extension, funded by the Rural Industries
Research and Development Corporation, DPI and LLS will continue to work with
rice growers and advisers to deliver up-to-date advice
http://www.dpi.nsw.gov.au/about-us/media-centre/releases/2016/rice-steams-ahead
Peru is top consumer of rice in Latam
September 22, 2016Alvaro Tassano
According to the research project Brazilian
Rice, the average annual consumption of rice per capita in Peru is 54kg.
(Photo:
Facebook/Andina) Peru has become the top consumers of rice in Latin America, reaching an average annual consumption of 54 kilograms per capita, according to the project, Brazilian Rice.
According to the research firm, one of the main reasons for this demand is the lower price of corn and the increase in Peruvian population.
They reported that in 2012 the total export of rice to Peru was 28,900 tons (worth 17.4 million dollars) in 2015 that total reached 65,000 (31.9 million) and by August we had already surpassed 43,400 tons.
“Although all 19 regions in the country produce rice, the local production is not enough to cover the large demand, for this reason the Peruvian market is increasingly attractive for rice exporters,” said Mario Pegorer, president of Abiarroz.
Brazil is one of the largest producers of rice in the world, with an annual output of 12 million tons, and it considers Peru as one of its main markets to take advantage off.
The report also noted that the two main varieties of rice exports to Peru are: long grain white rice, which occupies 70% of exports and parboiled rice (pre-cooked) with the remaining 30%.
http://www.peruthisweek.com/news-peru-is-top-consumer-of-rice-in-latam-110500
09/23/2016 Farm Bureau Market Report
High
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Low
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Long
Grain Cash Bids
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Long
Grain New Crop
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Futures:
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Rice Comment
Rice prices closed lower again today. The
market remains under pressure from large supplies. For the week, rice prices
ended down 16-cents. The market needs demand to develop to help support rice
prices
Leadership Class Gets Up Close in California
By Chuck Wilson
SACRAMENTO, CA -- Last week, the 2015/17 Rice
Leadership Development Class completed Session Three of the program, a
comprehensive tour of California's Central Valley rice country.The week-long
program consisted of farm and mill visits, observation of water systems here,
and meetings with representatives of the California Rice Commission, California
Rice Research Station, and Glenn-Colusa Irrigation District, as well as a close
look at rice harvest.
"As a California producer, it's my
privilege to show my fellow class members around our region," said Greg
Van Dyke. "Touring the unique
growing regions here lets them see first-hand both the rewards and difficulties
of farming in California."
"The diversity of crops that are planted
so close to each other is amazing to me," said Mississippi's Nat McKnight.
"I was impressed by the water districts in
California rice country," said Arkansas producer Hudgens Jeter. "While they currently have a serious
issue with supply, their delivery infrastructure ensures that what is available
can be moved where it is needed. I would
like to see something similar in the mid-south as we work to ensure sustainable
water for the future."
"This session was very insightful on the
complexity of issues the local rice industry faces," said Paul Johnson, a
Louisiana producer. "From water and air quality issues, to wildlife
preservation, to water availability, and increased cost of production for
producers, California has a delicate political and regulatory balance of which
everyone along the supply chain was cognizant."
Class members also got to experience rice
harvesting at Montna Farms after traveling to Lundberg Family Farms to observe
their operation. Sun Valley Rice Company
showed the class how they process brown sprouted rice, and a tour of PGP International
demonstrated the many ways rice is used as an ingredient.
Members of the class are producers Nicole
Creason, Jonesboro, AR; Greg Van Dyke, Pleasant Grove, CA; Paul Johnson, Welsh,
LA; Nat McKnight, Cleveland, MS; Hudgens Jeter, Stuttgart, AR; and
industry-related members Dr. Dustin Harrell, Rayne, LA with the LSU Ag Center;
and Collin Holzhauer, Harrisburg, AR with Southern Rice & Cotton.
The Rice Leadership Development Program is
sponsored by John Deere Company, RiceTec, Inc., and American Commodity Company
through The Rice Foundation and is managed by USA Rice.
Rice Farmers In Abia State Seek Government’s Support To Boost Yield
Channels Television.
Updated September 23, 2016
Updated September 23, 2016
Rice Farmers at Ndi Oji Abam in Arochukwu Local
Government Area of Abia State are calling on the government to provide adequate
conducive environment to enable them cultivate more rice that would assist in
cushioning the effect of economic recession on food security.The farmers, who
have been growing rice for more than two decades, feel alienated from the
government agricultural programme and lament lack of adequate rice seedlings
during planting season, fertilizers, pesticides, milling machines and cost of
transporting the rice from the farm to the village due to the deplorable state of
Ndi Oji Abam Road infrastructure.
However, the state government has sympathised
with them and hinted that the roads would receive attention as soon as possible
while the Agriculture Anchor Programme would ensure that they get all the
necessary facility to enable them cultivate rice with ease.Large hectares of
rice farm located at Ndi Oji Abam are being cultivated by these farmers who are
saddled with the challenges of trekking long miles as vehicles often get stuck
in the mud due to the impassable road while underage boys take up the task of
chasing the birds away to stop them from feeding on the rice.
Although there seem to be a kind of
rehabilitation on some portions of the road, the bad sections are still not
passable by vehicles. Only motorcycles which still need to manoeuvre the red
muddy road use the road.
At the Rice mill, out of the three shanty mill
house, only one mill is functioning and the miller has to accommodate customers
that want to mill their rice in the small space with no windows to let out the
dust from the machine when it is working.Under this condition, more than 100
bushels of rice covered with skin is being milled to edible form daily for
consumption.On what the government is doing to assist, the Commissioner of
Agriculture, Uzo Azubike, told reporters that the implementation of the
Agricultural Programme and Integrated Rice Mill would take care of the
challenges.
He assured them that they would get all the necessary
assistance during planting and harvesting period.Meanwhile, the rice farmers
may have to endure for a while until the implementation of the Agriculture
Programme that would ensure they get all the necessary assistance and a one
million Naira profit for a hectare of rice cultivated.In Nigeria today a bag of
rice is over 17,000 Naira (over $46) and the cereal is the most consumed staple
food by Nigerians.The Nigerian government, through the Central Bank, is
empowering rice farmers through an Anchor Borrower Scheme to boost yield and
meet a 2019 sufficiency target.
The government had in June set up a National Rice and Wheat Task Force to set
up targets that would yield comprehensible and self-evident results in rice and
wheat production.
At the
inauguration of the Task Force on Tuesday Vice President Yemi Osinbajo said:
“What we are trying to achieve is that agriculture is our main stay and we are
trying to evolve a strategy for our economy, a strategy for employment and a
strategy for feeding our people”.Professor Osinbajo said that feeding the
nation’s population was the focus of the Buhari administration.“Rice and wheat
is our main focus, and making sure that in one year we can show the world that
we are serious,” he stressed.Emphasising on the need to develop strategies to
rejuvenate the whole value chain, he gave terms of reference to the panel.The
panel is to set up production targets for rice and wheat in the participating
states, determine the scope and particulars for government support needed
towards the attainment of the set targets and consider and proffer the best
off-take and marketing arrangements that will encourage maximum effort among
farmers and millers.
Rice in the time of Duterte: Will more imports be good?
As of August 2016, Filipinos are paying more
than twice for a kilo of rice compared to their Thai and Vietnamese
counterparts
JC Punongbayan
Published 11:00 AM, September 24, 2016
Updated 11:00 AM, September 24, 2016
Although national attention is currently
focused on the war on drugs, the Duterte administration is quietly making gains
in another policy area – rice policy.
Recently the Duterte Cabinet, led by its
economic team, agreed
to lift restrictions on the importation of rice by 2017. This would usher
in greater volumes of rice imports that the government has been trying to put
off for more than two decades now.
On the one hand, local rice farmers are
naturally worried. They say that this policy will hurt them in the same way
that other farmers have been hurt by the influx of cheap imported agricultural
goods (like onions).On the other hand, some say that this policy will help
promote competition, lower prices, and benefit several millions of Filipino
rice consumers.
Some groups
are already hailing the Cabinet’s rice policy as one of its first major
economic reforms. To appreciate how exactly this policy can benefit the country
in general, it may help to step back and look at key facts about rice
consumption and production in the Philippines.
How affordable is rice in the PH?
Figure 1 shows that the Philippines has always
had some of the highest rice prices in Southeast Asia. As of August 2016,
Filipinos are paying more than twice for a kilo of rice compared to their Thai
and Vietnamese counterparts.
Figure 1. Source: FAO (Food Price Monitoring and Analysis Tool).
Period covered: January 2000 to August 2016. PH data refer to regular-milled
rice; Thai and Vietnamese data refer to the 25% broken variety.
These high rice prices harm poor Filipino
households more than anyone else. Based on recent data, while the poorest
households spend around 20% of their income on rice alone, the richest
households spend just under 5% (Figure 2).
Rice prices are harmful not only when they are
high, but also when they are volatile. Figure 3 shows that since 1991 we
experienced three major spikes in rice prices: 1995 (a 45% increase in price
prices), 2008 (60% increase), and 2014 (20% increase).
Figure 3. Period covered: January 1990 to July 2016. Trend displays
growth in the price of regular-milled rice, which mimics the trend for other
types of rice.
Such significant jumps in rice prices can have
devastating impacts on the poor. A 2015
study found that at the height of the 2008 rice crisis, the inflation rate
faced by the poorest 30% of the population was about twice the inflation rate
faced by the general population. This significantly eroded the purchasing power
of the poor and led more households into hunger and poverty.
Some studies
also show that poor rice farmers are, in fact, net consumers (rather than net producers) of
rice, meaning that they consume more rice than they produce. Hence, poor
farmers are hurt by high rice prices as well.
What makes rice extra expensive for Filipinos?
High and volatile rice prices in the
Philippines are borne by a myriad of factors, but largely geography and policy.
On the one hand, the Philippines has a relative
disadvantage when it comes to rice production because of our peninsular geography.
Unlike Vietnam and Thailand, we do not enjoy as much vast, uninterrupted rice
plains and access to natural irrigation at the scale of, say, the mighty Mekong
River.
On the other hand, expensive rice is also due
to government policies, particularly the National Food Authority’s (NFA) status
as the sole importer of rice in the country.
Every year the NFA decides how much rice to
import in a given year based on forecasts of domestic rice demand and supply.
This heavy-handed tinkering with the market, however, can occasionally lead to
disaster when planning becomes faulty.
Specifically, the NFA may at times fail to import
sufficient quantities of rice, leading not only in smuggling (which is really a
manifestation of a large unmet demand for rice) but also in catastrophic
shortages and price spikes.
Our last two rice crises attest to this. In
1995 and 2008, erroneous supply forecasts, external factors, and badly-timed
imports led to massive rationing and queues. These were relieved only through
belated importation of massive amounts of rice.
In the aftermath of these events, a select
number of private agents have been allowed to import rice, but with a
collective limit of 805,000 metric tons per year and levied with 35% tariff
rates.
It is these import restrictions that the
Duterte Cabinet is seeking to abolish by next year. By allowing more private
agents to import rice, the NFA need not second-guess domestic demand and supply
conditions, thus avoiding over- or under-importation of rice in any given year.
More importantly, this policy also means more
competition in the domestic market that could lead to lower and less volatile
prices, as well as food security for the vast majority of Filipinos.
This is not to say, however, that the NFA no
longer has any significant role to play. For instance, it could focus on
maintaining a buffer stock of rice to prepare for emergency shortfalls and
provide immediate relief to avoid events like the violent Kidapawan protests
last March. The NFA could also maintain a small tariff from which it can earn
revenues to support farmers adjusting to this new era of freer rice trade.
RICE IMPORTS? The government tries to balance between keeping rice
farmers happy and keeping prices low for consumers. AFP file photo
Conclusion: Good rice policy as a low-hanging fruit
The Duterte Cabinet’s proposal to lift rice
import restrictions promises to benefit millions of Filipino rice consumers,
especially the poor.However, rice producers have already protested
the Cabinet’s recent pronouncements. There are even renewed calls to
reestablish the NFA’s status as the sole importer of rice. Hence, the Duterte
Cabinet’s success in bringing rice policy reforms is yet to be ensured.Such
policy could arguably enjoy more success if it found support in the President
himself. After all, there are about 101 million rice consumers in the country.
In contrast, there are just 1.8
million drug users in the country as of 2015. Hence, shifting even a bit of
attention away from drug policy and into rice policy can potentially benefit a
far greater number of Filipinos.
Of course, it seems that the current drug war
is here to stay. But given the potential benefits, here’s hoping that the
present leadership brings at least as much interest and enthusiasm into rice
policy. In the vast tree of social policies, this could very well be one of the
lowest-hanging fruits out there. – Rappler.com
The author is a PhD student at the UP School of
Economics. His views are independent of the views of his affiliations. Thanks
to Kevin Mandrilla (UP Asian Center) and Ammielou Gaduena (UP School of
Economics) for valuable comments and suggestions
Basmati exports on credit banned
An Apeda official forecast India's basmati exports would rise 5 per cent by volume in 2016-17
Dilip K
Jha | Mumbai September 22, 2016 Last Updated at 00:03 IST
Basmati exports are likely to be affected
temporarily by a ban on their shipment on credit. The Agricultural and
Processed Food Products Export Development Authority (Apeda) under the commerce
ministry has restricted exporters from shipping basmati on credit, known as
document against acceptance in trade parlance.
However, exports covered either by bank
guarantee or Export Credit Guarantee Corporation can be executed
Indian exporters used to export basmati in good
faith after negotiating a final price. But importers have sometimes refused to
accept the consignments, leading to re-negotiated prices. Apart from that,
payment was sometimes inordinately delayed," said Gurnam Arora, joint
managing director, Kohinoor Foods. Apeda estimates India's basmati rice exports
jumped 10 per cent to 1.55 million tonnes during April-July from the same
quarter a year ago. In value terms, however, exports fell to $1.21 billion (Rs
8,140.06 crore) from $1.32 billion (Rs 8,399.39 crore).
Earlier importers demanded shipment of basmati
on credit, a facility they enjoyed with Pakistan, the other major exporter of
the aromatic rice. An Apeda official forecast India's basmati exports would
rise 5 per cent by volume in 2016-17. Apeda has ordered registration of
exporters for shipment of basmati
Indian exporters used to export basmati in good faith after negotiating a final price. But
importers have sometimes refused to accept the consignments, leading to
re-negotiated prices. Apart from that, payment was sometimes inordinately
delayed," said Gurnam Arora, joint managing director, Kohinoor Foods. Apeda estimates India's basmati rice exports jumped 10 per cent to 1.55 million
tonnes during April-July from the same quarter a year ago. In value terms,
however, exports fell to $1.21 billion (Rs 8,140.06 crore) from $1.32 billion
(Rs 8,399.39 crore).
Earlier importers demanded shipment of basmati on credit, a facility they enjoyed with Pakistan, the other major exporter of the aromatic rice. An Apeda official forecast India's basmati exports would rise 5 per cent by volume in 2016-17. Apeda has ordered registration of exporters for shipment of basmati
Earlier importers demanded shipment of basmati on credit, a facility they enjoyed with Pakistan, the other major exporter of the aromatic rice. An Apeda official forecast India's basmati exports would rise 5 per cent by volume in 2016-17. Apeda has ordered registration of exporters for shipment of basmati
India asks China to import agri-products like rice & sugar
By PTI | Sep 23, 2016, 07.59 PM IST
"I
am looking forward for more and more cooperation in agriculture and allied
sectors between the two countries," Radha Mohan Singh said.NEW DELHI:
Seeking greater cooperation in agriculture trade, India today asked neighbouring China to import a wide range of items from it such as rice, sugar, maize and dried grapes. Agriculture Minister Radha Mohan Singh met his
Chinese counterpart Qui Dongyu on the sidelines of BRICS agri-meet here and
asked China to consider importing these products from India. "I am looking
forward for more and more cooperation in agriculture and allied sectors between
the two countries leading to further strengthening of bilateral
relations," Singh said in a statement. He said China can explore the
possibility of importing agricultural items including live plants, coconut,
cashew nuts, banana, pepper, shorghum, coconut oil, oil cake, which India has a
potential to export. Singh also expressed satisfaction over the progress made
in finalising a memorandum of understanding (MoU) with China on sanitary and
phyto-sanitary (SPS) issues
He said the MoU is "inching towards finality". In 2015-16, India's export to China stood at USD 875.13 million, while imports were at USD 284.18 million.
He said the MoU is "inching towards finality". In 2015-16, India's export to China stood at USD 875.13 million, while imports were at USD 284.18 million.
http://economictimes.indiatimes.com/news/economy/foreign-trade/india-asks-china-to-import-agri-products-like-rice-sugar/articleshow/54484920.cms
Bhandari Foods was set up to provide a wide range of quality products to its already existing range of distinct quality Pakistani Basmati and Non-Basmati rice. Over the years we have been adapting, growing and expanding to a variety of nutritional and quality products to cater to the continuously changing dynamics of the food industry.
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