12th February,2015 Daily Exclusive ORYZA Rice E_Newsletter by Riceplus Magazine

Guyana Releases Two New Hybrid Rice Varieties

Feb 11, 2015

Guyana's Ministry of Agriculture and the Guyana Rice Development Board (GRDB) have released two new hybrid rice varieties - GRDB 14 and Maria's Delight aromatic rice - on February 11, 2015 at the Guyana International Conference Center.Both the varieties are developed at the Burma Rice Research Station (BRRS) situated in Essequibo. While GRDB 14 is a high-yielding variety and is resistant to lodging, Maria's Delight is the country's first aromatic rice variety and is resistant to pests and disease attacks, according to the  Chief Scientist and Plant Breeder at the GRDB. They are developed by cross-breeding local rice varieties and are aimed at boosting productivity of the country. Particularly the aromatic rice variety is capable of yielding 45 bags per acre (around 113 bags per hectare) and has excellent milling and cooking qualities apart from having a uniform expression of aroma, he said.

He told local sources that Guyana has been striving to develop more pest resistant rice varieties and will continue to put more efforts in that direction. He added that BRRS and GRDB, through development and marketing of newer rice varieties, would play a major role in Guyana's efforts to find new export markets.Guyana's President, who launched the two new varieties, noted that Guyana is currently a very small player in the international rice market and have to achieve a lot more to prove their visibility in the market. He stressed that the future of local rice industry would depend on their efficiency in developing more aromatic rice varieties and increasing production. He assured that the government would provide requisite support for the continued growth, development and prosperity of the rice industry.Guyana has exported around 501,208 tons of rice in 2014, up about 27% from around 394,000 tons exported in 2013, according to the Agriculture Minister

California Rice Sector to Hit by Port Closures

Feb 11, 2015

Problems of dock workers and terminal operators in the U.S. West Coast ports are having a ripple effect in the economy. Especially agriculture exports, including those of rice, are being affected significantly.Nearly 80% of the rice grown in California is medium-grain rice and is exported through the port of West Sacramento and Oakland port to the countries in the south Pacific. But strikes and closures by the dock workers and terminal operators due to some issues over contract terms have been delaying the shipment of rice to destination countries causing severe losses to the exporters.

Some exporters told local sources that many of their rice containers are having to wait at the docks idly. For every one day their rice containers wait at docks, they need to pay extra fees, they added. They expressed concerns that though authorities tried to settle the ongoing labor disputes shortly, it is not certain when the operations would return to normal.  Similar port lockouts due to labor disputes occurred in 2002. They came to an end with the involvement of the then U.S. President.

California rice sector had been impacted by drought last year. The state's paddy rice acreage in 2014 had declined to around 420,000 hectares, down about 25% from around 525,000 hectares planted in 2013 due to prolonged dry conditions and water shortages. California is the second largest rice producing state in the U.S. after Arkansas, and contributes to around 2 million tons of paddy rice annually or about 25% of the total rice grown in the U.S. The state's rice sector employs about 25,000 people and most of rice grown here is exported.Currently, export prices of the U.S. medium grain rice stand at around $905 per ton, down about 1% from around $915 per ton in the beginning of this year.

Brazil Exports 69,913 Tons of Rice in January 2015

Feb 11, 2015

Brazil has exported around 69,913 tons of rice in the first month of 2015, according to data released by the Rice Institute of Rio Grande do Sul (IRGA). Cuba remained the largest importer of Brazilian rice in January 2015 with around 36,967 tons, or about 53% of Brazil's total rice exports during the month. Switzerland accounted for around 16,471 tons (about 24% of Brazil's total exports during the month); Bolivia accounted for around 7,927 tons (about 11% of  Brazil's total exports during the month); Trinidad Tobago accounted for 1,836 tons (about 3% of Brazil's total exports during the month); and the U.S. and Chile accounted for 2% and 1% of Brazil’s total rice exports during January 2015 with 1,491 tons and 1,001 tons respectively.

Angola, Panama, Belgium, Saudi Arabia, Cape Verde, Namibia, Barbados, Uruguay, Antigua and Barbuda, Guinea, Netherlands Antilles, Lithuania. Bahamas, Portugal and Paraguay accounted for the remaining 6% or around 4,220 tons of Brazil's total rice exports in January 2015.Brazil exported around 1.24 million tons of rice in 2014, up about 2.4% from around 1.209 million tons exported in 2013, according to data from IRGA.

Iran May Lift Ban on Rice Imports in March 2015, Say India Commerce Ministry Officials

Feb 11, 2015

Iran, which imposed a temporary ban on rice imports in November 2014 citing excess stocks as reason, is likely to lift the ban in March this year, local sources quoted the officials from Indian Commerce Ministry as saying.As Iran is an important destination for India's basmati rice exports accounting to over 30% of India's total basmati rice exports, Indian exporters as well as the government have been trying to negotiate with Iran over resuming the basmati rice imports. A team of Ministry officials who visited Iran recently told local sources that Iranian authorities have assured them that the ban on rice imports would be lifted shortly as the supply glut in their domestic market has eased substantially.

“Iranian officials have indicated that they will resume the process of re-registration of Basmati suppliers. The country is supposed to come up with its notification (on lifting curbs) on March 21," a Commerce Ministry official was quoted as saying.However, Ministry sources noted that the volume of basmati imports to Iran may not be as high as before as the Middle East nation is still carrying a good amount of stocks. The Ministry is expecting that Iran would import around 800,000 to one million tons in 2014-15. India exported around 1.44 million tons to Iran in FY 2013-14 (April - March), up about 33% from around 1.08 million tons exported in FY 2012-13, according to data from Agricultural and Processed Food Products Export Development Authority (APEDA).

India exported around 3.76 million tons of basmati rice in FY 2013-14, up about 9% from around 3.46 million tons exported in FY 2012-13. India exported a total of 10.78 million tons of rice (including basmati and non-basmati) in FY 2013-14, up about 6% from about 10.15 million tons exported last year.

Thailand, Pakistan Rice Sellers Lower Their Quotes Today; Other Asia Rice Quotes Unchanged

Feb 11, 2015

Thailand rice sellers lowered their quotes for Hommali rice by about $5 per ton to around $920 - $930 per ton today. Pakistan rice sellers lowered most their quotes by about $5 - $15 per ton. Vietnam and India rice sellers kept their quotes mostly unchanged.

5% Broken Rice

Thailand 5% rice is quoted at around $405 - $415 per ton, about $55 per ton premium on Vietnam 5% rice shown at around $350 - $360 per ton. India 5% rice is quoted at around $395 - $405 per ton, about $50 per ton premium on Pakistan 5% rice quoted at around $345 - $355 per ton.

25% Broken Rice 

Thailand 25% rice is quoted at around $365 - $375 per ton, about $40 per ton premium on Vietnam 25% rice shown at around $325- $335 per ton. India 25% rice is quoted at around $360 - $370, about $55 per ton premium on Pakistan 25% rice quoted at around $305 - $315 per ton, down about $5 per ton from yesterday.

Parboiled Rice

Thailand parboiled rice is quoted at around $405 - $415 per ton. India parboiled rice is quoted at around $390 - $400 per ton, about $5 per ton premium on Pakistan parboiled rice quoted at around $385 - $395 per ton, down about $10 per ton from yesterday.

100% Broken Rice

Thailand broken rice, A1 Super, is quoted at around $320 - $330 per ton, about $15 per ton premium on Vietnam 100% broken rice shown at around $305 - $315 per ton.

India's 100% broken rice is shown at around $295 - $305 per ton,  about $20 per ton premium on Pakistan broken sortexed rice quoted at around $275 - $285 per ton, down about $15 per ton from yesterday.

Oryza Overnight Recap – Chicago Rough Rice Futures Look to Recover Following two Sessions of Steep Losses and as Traders Digest Yesterday’s S&D Update

Feb 11, 2015

Chicago rough rice futures for Mar delivery are currently listed 7.5 cents per cwt (about $2 per ton) higher at $10.310 per cwt (about $227 per ton) during early floor trading in Chicago. The other grains are seen trading mostly higher: soybeans are currently seen about 0.5% higher, wheat is listed about 0.3% higher and corn is currently noted about 0.2% lower.U.S. stock traded mixed on Wednesday as investors focused on developments in Greece's negotiations with the euro zone finance ministers.

Blue chips and the S&P 500 traded moderately lower. All eyes will be on the outcome of the Eurogroup meeting that begins at 11:30 a.m. ET. Greek Finance Minister Yanis Varoufakis is expected to ask for a "bridge program" to cover the government's funding needs while a new debt pact is agreed. European equities traded lower ahead of the Eurogroup meeting of finance ministers. Little economic data is expected aside from the release of the monthly Federal Budget statement at 2:00 p.m. ET.

With slightly higher interest rates, weekly mortgage applications were down 9% on a seasonally adjusted basis, the Mortgage Bankers Association said. The Dow Jones Industrial Average traded down 63 points, or 0.36%, at 17,807. The S&P 500 traded down 3 points, or 0.14%, at 2,065, with utilities the greatest of seven laggards and consumer staples leading advancers. The Nasdaq gained 6 points, or 0.13%, at 4,793. Gold is currently trading about 0.7% lower, crude oil is seen trading about 2.6% lower,  and the U.S. dollar is currently trading about 0.3% higher at 8:30am Chicago time.

Uganda to Receive Korean Support to Boost Upland Rice Production

Feb 11, 2015

The Korean Rural Community Corporation (KRCC) will guide the Ugandan government to increase rice production in upland rice areas as well as effectively make use of the modern farming technologies, according to local sources. The President of the KRCC who visited Uganda met with a team of officials from the Agriculture Ministry led by the Agriculture Minister and decided on the plan of action.

Uganda's Agriculture Minister noted that the two sides identified certain upland regions such as Pallisa, Kibuku and R.Mpologoma where rice production could be enhanced. He also noted that the two sides have agreed on new areas of cooperation, including the introduction of information communication and technology (ICT) tools in rice production. The Agriculture Minister also stated that Korea has agreed to support Uganda in coordinating roundtable meetings in East Africa, which are aimed at framing strategies for rural development.

Uganda produces only 65% of the rice needed for its annual consumption and imports the rest. Like other African countries, Uganda is also aiming to increase local rice production and reduce imports. USDA estimates Uganda to produce around 150,000 tons of milled rice and import around 120,000 tons in MY 2014-15 (May - April) to meet a consumption demand of around 230,000 tons.

ABARES Forecasts Australia 2014-15 Paddy Rice Production at 684,000 Tons, Down 18% from Last Year

Feb 11, 2015

Australia's paddy rice production in MY 2014-15 (April 2014 - March 2015) is estimated to decline to around 684,000 tons (around 492,000, basis milled), down about 18% from an estimated 833,000 million tons (around 600,000 tons, basis milled) in MY 2013-14, according to data from the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES).In its February crop outlook report, the ABARES attributes the decline in paddy rice production to a decline in planting area during the marketing year reflecting reduced supplies of irrigation water in the main rice producing region of New South Wales. It also expects the yields to return to normal from the above average yields last year.

2014-15 paddy rice planting area is expected to decline about 6.5% to around to 71,000 hectares from an estimated 76,000 hectares in the previous year. It estimates the country's paddy rice yield to decline about 12% to around 9.63 tons per hectare from around 10.96 tons per hectare last year.About 99% of paddy rice is produced in New South Wales. In its February crop outlook report, the ABARES estimated the paddy rice production in the region at around 680,000 tons (around 490,000 tons, basis milled) from around 70,000 hectares of planted area. The region is expected to produce a yield of about 9.71 tons per hectare during the marketing year.

Australia mostly grows short/medium rice varieties that are suited to its dry temperate micro-climate. Some of the popular rice varieties grown in Australia include Amaroo, Reiziq, Quest, Jarrah, Koshihikari, Opus, Illabong, Langi, Doongara and Kyeema. According to ABARES, all cropping areas of Australia received average rainfall from November 1, 2014 to January 31, 2015. However, the Bureau of Meteorology forecasts a slightly warmer temperatures from February 1 - April 30, 2015.

USDA estimates Australian paddy rice production to decline to around 700,000 tons (around 504,000 tons of rice, basis milled) in MY 2014-15 (April - March), down about 15% from an estimated 833,000 tons of paddy rice (around 600,000 tons of rice, basis milled) produced last year. It estimates Australia to produce a yield of 10 tons per hectare during the marketing year, down about 9% from around 10.96 tons per hectare produced last year.

Global Rice Quotes

February 11th, 2015

Long grain white rice - high quality

Thailand 100% B grade           415-425           ↔

Vietnam 5% broken     350-360           ↔

India 5% broken          395-405           ↔

Pakistan 5% broken     345-355           ↔

Myanmar 5% broken   410-420           ↔

Cambodia 5% broken 430-440           ↔

U.S. 4% broken           480-490           ↔

Uruguay 5% broken    NQ       ↔

Argentina 5% broken   NQ       ↔

Long grain white rice - low quality

Thailand 25% broken 365-375           ↔

Vietnam 25% broken   325-335           ↔

Pakistan 25% broken   305-315           ↓

Cambodia 25% broken            410-420           ↔

India 25% broken        360-370           ↔

U.S. 15% broken         470-480           ↔

Long grain parboiled rice

Thailand parboiled 100% stxd             405-415           ↔

Pakistan parboiled 5% broken stxd      385-395           ↓

India parboiled 5% broken stxd           390-400           ↔

U.S. parboiled 4% broken       555-565           ↔

Brazil parboiled 5% broken     570-580           ↔

Uruguay parboiled 5% broken             NQ       ↔

Long grain fragrant rice

Thailand Hommali 92%           920-930           ↓

Vietnam Jasmine         445-455           ↔

India basmati 2% broken         NQ       ↔

Pakistan basmati 2% broken    NQ       ↔

Cambodia Phka Mails 785-795           ↔

Brokens

Thailand A1 Super       320-330           ↔

Vietnam 100% broken             305-315           ↔

Pakistan 100% broken stxd     275-285           ↓

Cambodia A1 Super    365-375           ↔

India 100% broken stxd          295-305           ↔

Egypt medium grain brokens   NQ       ↔

U.S. pet food   380-390           ↔

Brazil half grain           NQ       ↔

All prices USD per ton, FOB vessel, oryza.com

Oryza Afternoon Recap - Chicago Rough Rice Futures Bounce Higher as Market Attempts to Establish Price Floor; Grains Recover Despite Continued Weakness in Crude

Feb 11, 2015

Chicago rough rice futures for Mar delivery settled 14.5 cents per cwt (about $3 per ton) higher at $10.380 per cwt (about $229 per ton). Rough rice futures bounced higher today as the market continues to attempt put in a firm bottom before a true recovery can get underway. Market participants appear to be taking a wait and see attitude when it comes to increasing buy orders in a meaningful way. The recent pattern of back-and-forth trading is indicative of a market that is in the process of forming a low and indicates that a recovery to the upside should soon follow. The other grains finished the day mostly higher as the market looked to shake off losses sustained yesterday in the wake of the release of the USDA’s S&D update; Soybeans closed about 0.9% higher at $9.7775 per bushel; wheat finished about 0.8% higher at $5.2575 per bushel, and corn finished the day about 0.6% lower at $3.8575 per bushel.

U.S. stocks traded mostly lower on Wednesday as investors focused on developments in Greece's negotiations with the euro zone finance ministers. The Dow Jones Industrial Average fell more than 100 points before recovering to trade about 80 points lower in early afternoon trade in the absence of official announcements out of the Eurogroup meeting. Greek and European officials in Brussels discussed on Wednesday what could constitute a “bridge agreement'' for Greece once its bailout expires on Feb. 28, a Greek government official told Reuters. The meeting took place "in a very good climate'', the official added.

The Eurogroup meeting will likely be just part of the continuing negotiations as euro zone and Greek leaders have several scheduled discussions over the next few days. The Dow Jones Industrial Average traded down 100 points, or 0.57%, to 17,766. The S&P 500 traded down 8 points, or 0.37%, to 2,061, with utilities leading declines and information technology and consumer staples the only advancing sectors. The Nasdaq traded down 1 point, or 0.03%, to 4,786. Gold is trading about 1.1% lower, crude oil is seen trading about 2.2% lower, and the U.S. dollar is seen trading about 0.3% higher at about  1:00pm Chicago time.Tuesday, there were 2,340 contracts traded, up from 795 contracts traded on Monday. Open interest – the number of contracts outstanding – on Tuesday decreased by 103 contracts to 10,443.

Vietnam's Dong Thap Province Proposes to Adopt Paddy Stockpiling Policy

Feb 11, 2015

The Dong Thap provincial government in Vietnam's Mekong Delta region has proposed to the Central government that it would adopt paddy stockpiling policy to curb price falls during the harvest time of the winter-spring crop, according to Bloomberg.The provincial government plans to buy around 350,000 tons of rice from now to March 15 and stockpile it for four months to protect prices from falling. Paddy prices are understood to have declined since the beginning of February. However, the price at which it is planning to procure paddy is not known.

The province harvested only 35% of the winter-spring crop and the output from the harvest is likely to peak in March 2015.Vietnam government introduced the paddy stockpiling policy last year and encouraged traders and millers to buy paddy from farmers and stockpile it but it could not effectively control price falls as many traders and millers were not ready to procure paddy due to storage problems.

12th February 2015 Daily Global Regional Local Rice E_Newletter by Riceplus Magazine

Duty drawback restored for rice exports

K. R. SRIVATS/VISHWANATH KULKARNI

NEW DELHI/BENGALURU, FEB 12:  

In a move that will bring some cheer to rice exporters, the Finance Ministry has restored duty drawback after a span of nearly seven years.However, this time round, the duty drawback will be extended under the concept of brand rate basis, which means that each exporter will have to separately apply to the Finance Ministry to get a rate approved, official sources said.

Listed rice firms such as KRBL, LT Foods and Kohinoor may gain from this.Duty drawback payments are made to exporters to compensate them for the customs and excise duties paid on inputs used in the manufacture of exportable products. Such payments are either made as all-industry rates (fixed as a percentage of free-on-board) or as brand rates. “The Finance Ministry’s decision will help neutralise the duty suffered on packaging material by rice exporters,” Ajay Sahai, Director General and CEO of Federation of Indian Export Organisation (FIEO), told BusinessLine.

Difference of opinion

FIEO, however, is of the view that the Ministry should extend all-industry duty drawback rates for rice exports, rather than provide brand rate, which will be company-specific.Reacting to the move, Rajen Sundaresan, Executive Director of All-India Rice Exporters’ Association (AIREA) said the drawback will provide some relief to exporters.“We have been demanding the drawback since 2008, when it was withdrawn.

We re-submitted our demand seeking drawback about four-months ago,” he added.The industry had argued that rice, which undergoes processing, should be extended the drawback as exporters of other grains such as maize and wheat are already getting such a benefit. India exported 10.9 million tonnes of rice, including basmati, in 2013-14, with shipments valued at $7.789 billion, a growth of 25.32 per cent over the previous year.In the current financial year, from April till November, rice exports stood at 7.4 mt, valued at $5.12 billion. In December last, rice exports had seen a 7 per cent decline to about $725 million, industry sources said.

srivats.kr@thehindu.co.in

(This article was published on February 12, 2015)

Source with thanks:The Business Line India

 

KCCI, Reap delegation visit Indonesian Ministry

February 12, 2015

RECORDER REPORT

Hadi Santoso, Consul General of Indonesia in Karachi, Ibrahim Kasumbi, Senior Vice President of Karachi Chamber of Commerce and Industry (KCCI) and Rafique Suleman, Chairman of Rice Exporter Association of Pakistan (REAP) and others met Nus Nuzulia Ishak, Director General of National Export Development (NED), Ministry of Trade Republic of Indonesia in Jakarta recently. On the occasion, both parties discuss about the huge trade potential between the two brotherly countries. asumbi express his view that the existing trade volume is still below the potential, mindful to the large population of both the country which shares many similarities and have strong and cordial relations.

 'We invite business community in Indonesia to visit and attend exhibition in Karachi, be it Expo Pakistan, My Karachi or other such events to understand each side's potentials" said Kasumbi at the meeting. Rafique Suleman while briefing the meeting said that "We are ready to facilitate Indonesian interest regarding Pakistani rice, and assist Indonesia in every possible way. DG NED appreciates the comprehensive explanations from KCCI and REAP and ready to facilitate Pakistani importers to explore more Indonesian products such as paper, rubber, spices, chemical, soap, detergent and other FMCG (Fast Moving Consumer Goods) items. "We invite Pakistani business community to the Trade Expo Indonesia, Jakarta 21 October 2015" Ishak said. 

Mian Abrar Ahmad, former President of KCCI reiterated the importance of geographical position of Karachi in the region, that Indonesia and Pakistan should have more co-operation in many sectors, as Karachi can be the springboard of Indonesian products to reach other markets such as Afghanistan and other Central Asian republics, as well as SAARC countries. The presence of KCCI and REAP in Jakarta with the facilitation of Indonesian Consulate General is instrumental to bring the business closer. "Because seeing is believing", said CG Hadi Santoso. Face to face interaction and direct communication are no doubt built closer network and linkage to both business communities, here further said.-PR 

Source with thanks: http://www.brecorder.com/agriculture-a-allied/183/1150598/

USA Rice Members See Tremendous Value in Attending Gulfood Show 

DUBAI, UAE -- For the past twenty years, USA Rice Federation has exhibited at Gulfood, which is undoubtedly one of the most important food shows of the year (See USA Rice Daily 2/10/15).  Providing a strategic platform for buyers and sellers to conduct business face-to-face, USA Rice members see a range of benefits in participating in the Gulfood show.  Here's what they have to say:

"Gulfood is the trade meeting hub of the Middle East and essential for our promotion of the U.S. rice industry.  The region's main rice importers attend the show each year, so it's a good time for us to meet with all of the important players in one location. "

-- Steve Vargas, Sun Valley Rice

"We are all here for the same reason, to advocate the growth of U.S. rice in the export market.  With the support and efforts of USA Rice, we're able to educate global customers on the benefits and quality of the rice our hard working American farmers grow."

-- Derek Alarcon, Farmers' Rice Cooperative

 "Participating in the Gulfood show gives us the ability to have one-on-one conversations with importers about the safety and high quality of U.S.-grown rice and also tell our farmers' story.  I also appreciate time spent in the booth discussing the U.S. market with fellow USA Rice members. Those conversations help me give farmer members back home really useful information."

-- Mark Holt, Riceland Foods

"It's imperative that U.S. rice is represented at the largest and most popular food show in the world.  The USA Rice booth gives us a place to meet customers as well as gather credible trade leads."

-- Todd Burich, ADM Rice

Members agree that USA Rice's presence at Gulfood is vital in establishing diverse regional trade relationships, enhancing the strategic position of U.S. rice within the Middle East region, and improving importer allegiance to U.S. rice.

Chris Crutchfield (r) works 

the 2105 Gulfood Show

At the close of the five-day event, Chris Crutchfield, with American Commodity Rice and chairman of the USA Rice Millers' Association, said, "The Middle East and North Africa are both extremely important markets for the U.S. rice industry so attending Gulfood gives us all an excellent opportunity to visit with current customers as well as meet potential clients."

Contact:  Katie Maher (703) 236-1453

Source with thanks: USA Rice Federation

Two Farm Bill Webinars Scheduled Tomorrow  

   

 For up-to-date information on the 2014 Farm Bill, tune into a continuing series of informational webinars, co-sponsored by the University of Arkansas and the Farm Service Agency.  The next online presentation is tomorrow, February 13, at 9 a.m. and registration is free.Tomorrow's webinar includes Nathan Childs, agricultural economist, Economic Research Service, USDA, discussing the rice outlook. 

Following that presentation, James Richardson, regents professor and AgriLife Research senior faculty fellow, co-director Agricultural and Food Policy Center Department of Agricultural Economics, Texas A&M University, will discuss the Agricultural and Food Policy Center outlook for Representative Crop Farms.Series hosts are Bobby Coats, professor with the University of Arkansas Division of Agriculture; Tony Franco, chief, Farm Programs Division, Arkansas State FSA office; and Anita Wilson, agricultural program specialist, Farm Programs Division, Arkansas State FSA office.

The complete listing of UofA/FSA webinars can found at www.uaex.edu/farmbill.

Source with thanks: USA Rice Federation

Weekly Rice Sales, Exports Reported        

WASHINGTON, DC -- Net rice sales of 125,600 MT for 2014/2015 were up noticeably from the previous week and up 88 percent from the prior four-week average, according to today's Export Sales Highlights report.  Increases were reported for Japan (68,400 MT), South Korea (24,200 MT), Mexico (10,100 MT), unknown destinations (8,500 MT), and Colombia (5,000 MT).

 Net sales of 100 MT for 2015/2016 were for Japan.  Exports of 26,800 MT were down 56 percent from the previous week and 67 percent from the prior four-week average.  The primary destinations were Honduras (10,800 MT), Mexico (6,400 MT), South Korea (3,600 MT), Saudi Arabia (2,100 MT), and Canada (2,000 MT). This summary is based on reports from exporters from the period January 30-February 5.

Source with thanks: USA Rice Federation

CME Group/Closing Rough Rice Futures  

Month Price Net Change CME Group (Prelim):  Closing Rough Rice Futures for February 12 March 2015 $10.330 - $0.050 May 2015 $10.570 - $0.045 July 2015 $10.820 - $0.045 September 2015 $10.865 - $0.030 November 2015 $11.100 - $0.015 January 2016 $11.190 - $0.015 March 2016 $11.190 - $0.015

Source with thanks: USA Rice Federation

Rice of India: Amira Group

Rice of India: Amira Group Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world.  7 1Google +1 1 Special Show Rice of India profile power players pushing the Indian rice industry forward. Karan Chanana, Chairman of Amira Group has transformed his family’s 100 years old rice business into a global food company that is taking the taste and aroma of Indian basmati to plates across the world. For complete show, watch accompanying videos.

Listen Audio Video on following link:

Source with thanks: http://www.moneycontrol.com/news/business/riceindia-amira-group_1299267.html?utm_source=ref_article

Will the U.S.-Japan TPP Trump the Japan-Australia JAEPA?

 By: East Asia Forum   Date: 12 February 2015

Australia’s farmers, particularly beef producers, may have celebrated too early when the Japan–Australia Economic Partnership Agreement (JAEPA) took effect on 15 January 2015. The deal may be gazumped by another that is taking shape between Japan and the United States in the Trans-Pacific Partnership (TPP) negotiations. Some elements of the proposed US–Japan agreement are reminiscent of the kind of bilateralism — or US-specific agricultural market concessions — that characterised Japan’s trade policy in earlier decades. Those deals significantly disadvantaged Australian agricultural exporters.Australia's farmers can't be happy about the TPP.

TPP or JAEPA?

Japan has a long history of offering inducements to the US government in order to settle difficult multilateral trade negotiations. In December 1993, at the 11th hour of the General Agreement on Tariffs and Trade negotiations, the Japanese government agreed to place tariffs on all remaining agricultural import restrictions and commit to a minimum access arrangement on rice imports. The deal was worked out principally in bilateral negotiations between the United States and Japan. It included ‘special treatment’ on rice that, since 2000, has virtually guaranteed market access for 360,000 tons of US rice annually. This accounts for roughly 47 percent of Japan’s 770,000-ton minimum access tariff-free quota for rice imports.

Australia also gained country-specific concessions from JAEPA. This included preferential access for a large volume of pork and exemption from Japan’s ‘gate price safeguard’, as well as a country-specific quota for chicken meat. Australia also won duty-free quotas for natural cheese and other cheese products, as well as for ice cream and yoghurt.

But there is supposed to be a big difference between a bilateral economic partnership agreement and the TPP. Despite the TPP’s aspirations to be both a multilateral and a free trade agreement, in reality it looks like being neither. Negotiations have been proceeding on two fronts simultaneously: among all 12 participating countries and bilaterally between particular countries, principally Japan and the United States.

This dual-track trade diplomacy will inevitably result in bilateral agreements between particular countries with carve outs and country-specific concessions. The TPP will not observe one of the fundamental principles of the multilateral trading system: most-favoured-nation (MFN) treatment. The TPP participants will not only discriminate against countries that are not parties to the agreement but also countries that are. This means that any US-specific concessions on agriculture will not apply to Australia. And yet extending MFN status is how you make originally bilateral agreements into multilateral ones.The deal that is shaping up between the United States and Japan on agricultural market access is likely to contain several provisions that will affect Australia.

Rice, wheat and sugar will be exempt from tariff reduction. But in return for maintaining these tariffs, Japan is examining a 50,000-ton special import quota for American rice in addition to the current 770,000-ton tariff-free minimum access quota.Tariffs on American beef will be reduced from 38.5 percent to 9 percent over 10 or more years. There will be a 20–30 percent reduction in tariffs on cheaper pork, from the current tariffs of 482 yen (US$4.03) per kilogram to around 100 yen (US$0.83) per kilogram. The 4.3 percent tariff on high-end pork will also be removed and tariff quotas will be set for some dairy products with low level tariffs. Finally, the terms of the deal will not be applied to other countries.

Offers along these lines were made by TPP Minister Akira Amari to the United States in the TPP meeting last November. They were turned down. But now more stars appear to be aligning in the domestic politics of both the United States and Japan.Since last November, both countries have significantly adjusted their positions. The US side has changed its stance to allow a certain level of tariffs to remain on key ‘sensitive’ agricultural items. At the same time, Japan has been prepared to accept a greater reduction in tariffs on the condition that a relatively low trigger level can be established for safeguard measures that will kick in if there are surges in imports. It is currently predicted that a TPP ministerial meeting will be held before the end of February when the Japan–US talks will be settled.

Australia has a limited defence against these measures. Its beef exporters, for example, will be paying a 30.5 percent tariff on frozen beef and 32.5 percent on fresh beef. These are expected to fall to 23.5 percent in 15 years and 19.5 percent in 18 years respectively. JAEPA does include a provision for a review that can be triggered immediately if Japan provides one of Australia’s competitors with a better deal on beef. This provision aims to provide Australia with equivalent treatment, but it is not necessarily guaranteed and would be subject to bilateral negotiations at the time. Naturally, it would also have important implications for Japan’s relations with the United States, Australia’s main beef competitor in the Japanese market.On rice, Australia can request that Japan allocate more minimum access rice for them as well. But, given Japanese farmers’ sensitivities on rice market issues, the outcome is by no means certain either. Japanese farmers are against the increases in minimum access rice even from the United States.

For Japan, the special minimum access deal put in place to settle agricultural market negotiations with the United States more than 20 years ago still generates large deficits in the special account budget of the Ministry of Agriculture, Forestry and Fisheries. Between 2002 and fiscal 2013, it accumulated a deficit of 277.8 billion yen (US$2.3 billion). This fiscal burden would only increase if the United States were granted another 50,000-ton special rice quota. It seems that ‘getting in first’ — as Australia did with the JAEPA — may have only conferred a temporary advantage in Australia’s export trade in beef and other agricultural products with Japan.What the TPP portends for Japan–Australia agricultural trade is republished with permission from East Asia Forum

Source with thanks: http://www.economywatch.com/features/Will-the-US-Japan-TPP-Trump-the-Japan-Australia-JAEPA.02-12-15.html

Drought diminishes 30% of off-season rice farming in Central Region

Date : 12 กุมภาพันธ์ 2558

BANGKOK, 12 Feb 2015, (NNT) - The Thai Rice Exporters Association has disclosed that this year’s drought would likely diminish about 30% of the projected 5-6 million tons of off-season rice output in the Central Region during the 1st round of off-season farming. The issues may affect the nation’s plan to remain as the number-one rice exporter in the ASEAN Region and the world.

According to Honorary President of the Association, Shukiate Opaswong, if the drought intensifies in April, the output on the 2nd round would be even less, dropping to about 40-50% of the targeted 3-4 million tons. This year’s production of off-season rice is likely to be reduced by 1-2 million tons altogether. The predicament would likely increase the demand for rice, leading to higher domestic rice prices. It also means that export would take a hit because of the higher price tag, making it difficult to achieve the targeted 10 million tons of rice exports this year.

If Thailand manages to export 10 tons of rice this year, it will maintain its number-one rice exporting nation status in the ASEAN region and the world for another year. Mr. Shukiate said that the private sector is working with the Ministry of Commerce in formulating strategies to maintain the country's market share. However, the setback remains to be the drought and fierce competition from other rice exporters.

Source with thanks: http://thainews.prd.go.th/centerweb/newsen/NewsDetail?NT01_NewsID=WNSOC5802120010002#sthash.21DLObE7.dpuf

Iran to import Basmati rice from India next fiscal

By: Sandip Das | February 13, 2015 2:30 am

Basmati rice exports to Iran, the biggest destination for the aromatic and long-grained rice from the country, are likely to commence from the next fiscal following assurance from the Iranian authorities. Tehran has not approved any new contract for import of Basmati rice from India since October 2014.Official sources told FE the Iranian authorities have stated that last fiscal, excess Basmati rice imports had forced Tehran to suspend fresh orders for import of rice into the country.

A commerce ministry official said the Iran authorities informed an Indian delegation which visited Tehran earlier this month that last fiscal’s Basmati imports of 1.4 million tonne (mt) from India were in ‘excess’, thus the carry forward stock was ‘high’ in the current fiscal.“Iranian authorities told us the country needs about 9 lakh tonne of rice annually from India for meeting domestic demand and they will soon start giving approval to new contracts for rice import,” the official said.

Of total exports of 3.7 mt of Basmati from the country in 2013-14, 1.4 mt was shipped to Iran. Sources said the shipment to Iran would fall to around 9 lakh tonne in the current fiscal. Iran’s annual consumption of rice is estimated at around 3 mt. Around 2 mt is produced in the country while the rest is imported from India.

Iran and India have also agreed to have referral labs in India for testing rice consignments rejected by Tehran because of presence of pesticide residue. “Henceforth, in case of disputes on pesticide residue levels, the report of these labs would be final,” an official said.Sources said the Iranian authorities have been asking India’s exporters since January 2014 to furnish documents on good agricultural practices, ISO 22000, which deal with food safety management and packaging protocols, besides “non-genetically modified crop” certification.

Rice shipments to Iran got a boost when India launched a rupee settlement mechanism from April 2012 with Iran to avoid sanctions from the US and EU. As part of the initiative, state-owned UCO Bank has tied up with Iranian lenders — Parsian, Pasargad, Saman and EN Banks — for settlements of dues.Recently, a 20-member delegation of commerce ministry officials and trade representatives visited Iran to discuss issues concerning Basmati and explore the possibility of increasing buffalo meat and soyameal exports.

Source with thanks: http://www.financialexpress.com/article/markets/commodities/iran-to-import-basmati-rice-from-india-next-fiscal/42270/

Australia Raises Its Wheat Production Estimate

12.02.2015

Australia raises its wheat production estimate around 2% from its December estimate of 23.22 million tonnes to 23.61 million tonnes. It raises its estimate due to timely rains in key growing regions of wheat like Queensland and New South Wales which may increase the yield prospects. Australiawheat may be hitting the market from April onwards; this may impact Indian wheatexport negatively as buyers may shift towards them due to price disparity.

 Source with thanks: http://www.blackseagrain.net/novosti/australia-raises-its-wheat-production-estimate

NACC advises civil suit over G-to-G deals

Published: 12 Feb 2015 at 06.00

Newspaper section: News

Writer: Ariane Kupferman-Sutthavong

 The National Anti-Corruption Commission (NACC) will recommend that the Commerce and Finance ministries file a civil suit demanding compensation for huge losses from 21 individuals and companies involved in allegedly corrupt government-to-government (G-to-G) rice deals.

NACC president Panthep Klanarongran said the anti-graft body will advise today that the ministries proceed with legal action against parties involved to seek the return of large sums to the Department of Foreign Trade.

Panthep: Chinese, Thai firms named

On Jan 20, NACC commissioner Vicha Mahakul, who heads a sub-panel investigating the rice scheme, indicted former commerce minister Boonsong Teriyapirom, his deputy Poom Sarapol, as well as 19 other high-level officials, private sector executives, and two companies.He said then the losses from the deals amounted to 600 billion baht.Mr Panthep said the agency would make its demand to the ministries based on Section 73/1 of the 1999 Organic Act on Counter-Corruption.

He said the NACC would forward its investigation report on the G-to-G rice sales to the Office of the Attorney-General next Monday to prosecute the 21 suspects in court.According to the NACC probe, they colluded to benefit two Chinese firms — Guangdong Stationery & Sporting Goods Import and Export Corp, and Hainan Grain and Oil Industrial Trading Company — which were not authorised by Beijing to undertake G-to-G deals.The two companies were given the rights to buy rice under the pledging scheme without having to face bidding competition.

They then sold the paddy, which they bought at prices lower than the pledging price, to Thailand's domestic rice traders, including Siam Indica Co to resell. These practices caused damage to the country, according to the NACC.Siam Indica Co and Siralai Co are among those indicted by the NACC and expected to pay monetary compensation.

Source with thanks: The Bangkok Post