25th February (Wednesday),Daily Exclusive ORYZA Rice Newsletter by Riceplus Magazine

Brazil Paddy Rice Index Declines About 2% from Last Week

Feb 24, 2015

The Brazilian paddy rice index maintained by the Center for Advanced Studies on Applied Economics (CEPEA) reached around 36.78 real per 50 kilograms as of February 23, 2015, down about 2% from around 37.49 real per 50 kilograms recorded on February 17, 2015.In terms of USD per ton, the index reached around $255.4 per ton on February 23, 2015, down about 3.6% from around $255.4 per ton recorded on February 17, 2015.

Global Rice Quotes

February 24th, 2015

Long grain white rice - high quality

Thailand 100% B grade           415-425           ↔

Vietnam 5% broken     355-365           ↔

India 5% broken          390-400           ↔

Pakistan 5% broken     335-345           ↔

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        355-365           ↔

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           385-395           ↔

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         460-470           ↔

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          280-290           ↔

Egypt medium grain brokens   NQ       ↔

U.S. pet food   380-390           ↔

Brazil half grain           NQ       ↔

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

Government of India Will Not Consider Recommendation to Increase MSP on Rice

Feb 24, 2015

The government of India today specified in the Parliament that it would not consider the recommendations of the National Commission on Farmers (NCF) to increase the minimum support price (MSP) on rice and wheat to at least 50% more than the weighted average cost of production, according to local sources.

The Junior Farm Minister apprised the Parliament in a written statement that the government has decided not to increase the MSP in line with the NCF's recommendations as it would distort markets. He also noted that the concept of MSP was recommended by the Commission for Agricultural Costs and Prices (CACP) after considering many objective factors and a variety of relevant factors.He specified that the government would implement all the other recommendations made by the NCF, which is chaired by the rice veteran M.S.Swaminathan, as well as is regularly monitoring the national policy for farmers announced by the previous government in 2007.

The government is also considering direct cash transfers in lieu of subsidized grains under the public distribution system, which means the government may limit the procurement and storage of food grains to strategic buffer norms.For the 2014-15 kharif marketing season (KMS), the government increased the MSP for common grade paddy by about 3.8% to around Rs.1,310 per quintal (around $218 per ton) and increased the MSP for Grade 'A' paddy by about 4% to around Rs.1,345 per quintal (around $223 per ton).

Indonesia to Release 400,000 Tons of Rice to Control Price Hikes, Says Vice-President

Feb 24, 2015

Indonesia's State Logistics Agency Bulog has decided to release about 400,000 tons of rice into the market to control price hikes, according to Bloomberg.The country's Vice-President told reporters that Bulog currently has 1.4 million tons of rice and can release another 500,000 tons if needed. He noted that the government is targeting to increase Bulog stocks to 3 million tons by the end of this harvest season. Bulog aims to procure about 3.2 million tons of rice in 2015.

The agency currently distributes rice at a fixed price of 7,400 Rupiah per kilogram (around $576 per ton) on the market.

Domestic rice prices have been surging since September 2014. According to data from the UN's Food and Agricultural Organization (FAO), local rice prices currently stand at around 9.78 million Rupiah (around $761) per ton, up about 10% from around 8.93 million Rupiah (around $750) per ton in September 2014, and up about 9% from their year ago levels.

The Vice-President reiterated that the government would not import rice despite surging prices ahead of the harvest season as the supply is expected to increase during the harvest time between March and May 2015.

Thai Finance Ministry Estimates Total Losses from Rice Pledging Schemes at $21.5 Billion

Feb 24, 2015

Thailand's Finance Ministry has estimated the total losses from 11 subsidy schemes covering 15 harvests from 2004-14 at around 700 billion baht (around $21.5 billion), according to Bloomberg. The Finance Permanent Secretary was quoted as saying that losses from the rice pledging scheme introduced by the Yingluck-led government alone amounted to around 536 billion baht (around $16.5 billion). He also noted that the estimated losses exclude 425,000 tons of rice, the quality of which could not be assessed by the government, and 130,000 tons that are missing.Thailand is planning to auction about one million tons of rice in early March. The Thai Commerce Ministry sold about 496,243 tons of rice from the one million tons auctioned on January 29, 2014. The government is planning to sell 10 million tons of rice this year and about 7 million tons next year.

Oryza Afternoon Recap - Chicago Rough Rice Futures Make Afternoon Recovery to Erase Early Losses but Remain Slightly Lower on the Day

Feb 24, 2015

Chicago rough rice futures for Mar delivery settled 2 cents per cwt (about $0.44 per ton) lower at $10.445 per cwt (about $230 per ton).  The other grains finished with mixed results; Soybeans closed about 1.7% higher at $10.1600 per bushel; wheat finished unchanged at $5.0575 per bushel, and corn finished the day about 0.3% lower at $3.7750 per bushel.U.S. stocks traded near highs on Tuesday as the first of Fed Chair Janet Yellen's two-day congressional testimonies indicated that a rate hike would likely come later rather than sooner. Stocks trimmed gains following the end of Yellen's remarks to the Senate Banking, Housing and Urban Affairs Committee. She will address the House Financial Services Committee on Wednesday.

Yellen's prepared remarks said no rate hike is expected for the next few FOMC meetings. She later said in a question-and-answer session that the Fed would not raise rates before it found confidence in the economic recovery, overcoming current concerns about the labor market, below-objective inflation and the decline in energy prices. The Dow Jones Industrial Average traded up 91 points, or 0.50%, to 18,207. The S&P 500 gained 4.5 points, or 0.21%, to 2,114, with telecommunications leading gains and energy and health care the greatest laggards. The Nasdaq gained 1 point, or 0.03%, to 4,692. Gold is trading about 0.2% lower, crude oil is seen trading about 0.6% higher, and the U.S. dollar is seen trading marginally lower at about  1:00pm Chicago time.Monday, there were 1,053 contracts traded, down from 1,573 contracts traded on Friday. Open interest – the number of contracts outstanding – on Monday decreased by 125 contracts to 9,048.

Oryza Overnight Recap – Chicago Rough Rice Futures Unable to Find Momentum Despite Firmer Grains and Crude

Feb 24, 2015

Chicago rough rice futures for March delivery are currently listed 1.5 cents per cwt (about $0.33 per ton) higher at $10.480 per cwt (about $231 per ton) during early floor trading in Chicago. The other grains are seen trading higher this morning; soybeans are currently seen about 1.8% higher, wheat is listed about 0.7% higher and corn is currently noted about 0.8% higher.U.S. stocks traded narrowly mixed at records on Tuesday ahead of the first of Fed Chair Janet Yellen's two-day congressional testimonies.

The Dow Jones industrial average traded modestly higher, touching a new intraday record. The S&P 500 also briefly hit records but struggled to stay in positive territory. The Nasdaq declined slightly. Yellen's prepared remarks said no rate hike is expected for the next few FOMC meetings. Yellen addresses the Senate Banking, Housing and Urban Affairs Committee on Tuesday and the House Financial Services Committee on Wednesday. Futures moved little on the news before the bell that Eurozone finance ministers officially approved a four-month bailout extension for Greece.

On the data front, the S&P/Case-Shiller composite index of home prices in 20 cities increased by 4.5% in December from the same period last year. The release of February's consumer confidence index at 10.00 a.m. will be of interest, with expectations for a retreat from the previous month's post-crisis high. The Dow Jones Industrial Average opened up 32 points, or 0.17%, to 18,147.73. The S&P 500 opened flat near 2,109.61, with consumer discretionary leading three sector gains and telecommunications the greatest laggard. The Nasdaq opened down 8.60 points, or 0.17%, to 4,952.  Gold is currently trading about 0.3% lower, crude oil is seen trading about 0.6% higher,  and the U.S. dollar is currently trading about 0.2% higher at 8:00am Chicago time.

Oryza U.S. Rough Rice Recap – Prices Dip Slightly as Farmers Look to Move Paddy Ahead of Planting

Feb 24, 2015

The U.S. cash market was slightly weaker today as some farmers look to move paddy ahead of spring planting while buyers remain mostly uninterested in this market.Analysts note that the mills have a good amount of business and will remain busy through April however without an uptick in paddy exports this market will struggle to find a bottom.

Nigeria Milled Rice Production Increases 52% y/y to 2.9 Million Tons in 2014, Says Agriculture Minister

Feb 24, 2015

Nigeria's milled rice production reached around 2.9 million tons in 2014, up about 52% from around 1.9 million tons produced in 2013, local sources quoted the country's Agriculture Minister as saying.

The Minister noted that the government's 'rice revolution' was gaining momentum with the development of the rice value chain, including subsidized inputs and mechanization services. The government has been promoting rice production on small, medium and large-scale through its Growth Enhancement Support Scheme (GESS) under the Agriculture Transformation Agenda (ATA), launched in 2011, he said.

He also noted that a number of private investors willing to invest in the country's rice sector. Already some of the investors have invested in rice mills at strategic locations to promote production and milling activities in captive areas. He added that the number of integrated rice mills increased from a mere one in 2011 to 13 in 2015, and the number of small mills increased about 40% during the period to about 4,350.

The Minister stated that if the 2014 output is added to the existing stock, the country would need to import around 1.9 to 2 million tons of rice this year to meet a consumption demand of around 6 million tons. The government initially planned achieve rice self-sufficiency and ban rice imports from 2015.

USDA estimates Nigeria to produce around 2.55 million tons of rice and import around 3.5 million tons of rice in MY 2014-15 (October – September).

Project Aims to Optimize Rice Production in Spain

Feb 24, 2015

A new project, called EBRO-ADMICLIM, by the LIFE+ Program of the European Union seeks to analyze the rice growing conditions in the Ebro Delta river region, which is the main rice growing area in Spain. Rice is cultivated in about 22,000 hectares in this region (about 21% of Spain's total rice acreage).The project, the first of its kind in Spain, mainly aims to suggest risk mitigation actions in rice cultivation, including optimization of greenhouse gases emissions and increasing ground elevation levels, while boosting the rice production.

The project will mainly study the effectiveness of reducing greenhouse gas emission (GHGs) through airing the soil at specific times. The process is said to mitigate GHG emissions to a large extent but was not evaluated earlier. The project aims to carry out the process in different agricultural conditions, including different flooding levels, different fertilizer combinations, etc, in about 10 to 15 experimental rice fields during harvest and post-harvest time in the 2014-15 and 2015-16 crop years (September - August).

The project implementation is coordinated by the Institute of Food and Agriculture Research and Technology (Institut de Recerca i Tecnologia Agroalimentàries, IRTA) and is supported by the Consortium for dealer councils and water industries of Tarragona  (Consorci Concessionari d’Aigües per als Ajuntaments i Indústries de Tarragona (CAT), Irrigation Farmers’ Association and Ebro Farmers’ Union (Comunitat de Regants i Sindicat Agrícola de l’Ebre, CRSAE), Cartographical and Geological Institute of Catalonia (Institut Cartogràfic i Geològic de Catalunya, ICGC), Catalan Office for Climate Change (Oficina Catalana del Canvi Climàtic, OCCC), Cordoba University (Universidad de Córdoba, UCO).

Guyana Facing Challenges in Finding Lucrative Export Markets, Says President

Feb 24, 2015

The government of Guyana is facing challenges in finding lucrative markets for its rice, according to the country's President Donald Ramotar.Local sources quoted him as saying that despite the country's rice sector has developed quickly, it is facing "monumental difficulties in finding regional and international markets, especially at a price that is acceptable." He added that production had gone up at a very fast pace and beyond expectations due to the farmers' hard work but sourcing markets has become a major challenge.

An Agriculture Ministry Official noted that finding markets at right price has turned into an uphill task for the government. “We have many, many markets, but most of the time, the prices offered by the various countries are not satisfactory,” he was quoted as saying.According to the Minister, prior to 2010, Europe was a major importer of Guyana's rice but as Venezuela's share in Guyana's market increased, the government paid less attention to the Caribbean and the European markets. Guyana signed a Petro-Caribe Deal with Venezuela to export rice and import oil. However, due to problems at home, Venezuela's share in Guyana's rice exports has not been so phenomenal.Realizing this development, the government again restarted negotiations with some of its old markets as well as struck deals with Panama, Belize and Haiti for the first time last year.

Guyana aims to produce about 618,000 tons of milled rice and export around 521,000 tons in 2015. 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.

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25thFebruary (Wednesday),Daily Exclusive ORYZA Rice Newsletter by Riceplus Magazine 

24th February (Tuesday),2015 Daily Global Rice Digital Newsletter by Riceplus Magazine

S. Korea seeks to boost rice exports amid possible oversupply

Published : 2015-02-24 11:16
Updated : 2015-02-24 11:16

South Korea will work to increase its exports of rice, the government said Tuesday, as a way of developing the local industry while also protecting the sector that's now facing a possible oversupply.  To help assist local producers and exporters, the Ministry of Agriculture, Food and Rural Affairs has published an exporters handbook that outlines the names and other information of major buyers in key importing countries, including Australia and Japan.The handbook also contains customs and other market information, such as labeling regulations, of key markets, according to the ministry.

The move comes as the country continues to face a possible oversupply of rice as its own output gained 0.3 percent on-year to about 4.23 million tons last year while its per capita consumption of the staple crop continues to drop.In 2014, the country's annual intake of rice per person slipped 3.1 percent on-year to a record low of 65.1 kilograms. The figure marks a 52 percent plunge from the record high of 136.4 kg posted in 1970.South Korea has also liberalized its rice market with tarrification at the beginning of the year, though imports under tarrification are currently subject to a tariff of 513 percent.The 513 percent tariff rate still requires verification by the World Trade Organization while the country is required to import 408,700 tons of rice each year under a special arrangement with the WTO known as the minimum market access.All 408,700 tons of imports under MMA are only subject to a tariff rate of 5 percent, keeping their prices significantly lower than those of locally produced crops.

"Locally produced rice may appear to have little competitiveness in terms of price, especially in the global market, but its quality finds little competition anywhere in the world," said Kang Hye-young, head of the ministry's export promotion division.In 2014, South Korea exported 1,992 tons of rice, worth $4.72 million, to 45 countries throughout the world. The amount marks a 13.6 percent on-year spike from 1,754 tons in 2013. The country also shipped about $59.5 million worth of rice products, such as rice cake, last year, up 14 percent from a year earlier, according to the ministry. (Yonhap)

http://www.koreaherald.com/view.php?ud=20150224000552

More companies invited to export rice to China

Myanmar Eleven February 25, 2015 1:00 am

The Myanmar Rice Federation (MRF) has invited more firms to export rice to China in addition to the original nine companies.The MRF originally sent a list of more than 100 companies to China for scrutiny checks but the Chinese replied that it was difficult to scrutinise so many firms. The federation then chose nine companies: MAPCO, FRP, Myanmar Rice Mill, Golden Land East Asia, Bayintnaung Business Group, MRDC, Shan (north) SPRDC, Ayeyar Pathein, Rakhine Rice and Paddy. The exporters will have to pay the costs to return rice that fails to meet the designated marks, the federation said in an announcement. "China has asked for additional rice exporters. Companies can register at the MRF.

 The rice quality ordered by China is 25 mark, 35 mark and broken rice," said Dr Soe Tun, secretary general of the MRF. Myanmar urged China to buy at least one million tonnes of rice in 2015, and three Chinese companies have each agreed to buy 280,000 tonnes, according to the federation.In order to export rice to China, Myanmar rice exporters need certificates issued by the China Certification and Inspection Company (CCIC) after inspections. The export industry had been hard-hit by China’s decision in September to crack down on illegal rice shipments from Myanmar.The situation improved when China allowed the export to resume this year.

Merchants from Muse said that the decision has boosted exports through the border town. On average, about 4,500 tonnes of rice and 1,500 tonnes of broken rice are exported daily through Muse Trade Camp."Seizure of Myanmar rice by Chinese authorities has decreased. Trade slumps when seizures occurred. More than 800,000 tonnes of rice and broken rice have been exported this fiscal year," said Chantha Oo, vice chairperson of the Muse Paddy Wholesale Centre.During the 2014-15 fiscal year, border trade between Myanmar and China has increased, with the trade volume reaching a value of more than US$1 billion, according to the Commerce Ministry.

http://www.nationmultimedia.com/aec/More-companies-invited-to-export-rice-to-China-30254794.html

No imports despite rice price rise

Satria Sambijantoro and Linda Yulisman, The Jakarta Post, Jakarta | Headlines | Tue, February 24 2015, 6:26 AM

with rice prices already rising by more than 30 percent so far this year, the government plans to boost the local rice supply without imports, as officials vowed to crack down on the so-called “rice mafia” allegedly playing a role in the abnormal price movement.The recent spike in the price of rice, the main staple food of Indonesia’s 250 million citizens, was caused by a supply shortage, Vice President Jusuf Kalla said Monday after a meeting with top economic ministers discussing the issue.The Vice President noted that the government’s “rice for the poor” (Raskin) program had distributed only 140,000 tons of its initial target of 500,000 tons because of “technical problems”.“Imports will only happen when necessary, but now is not the time,” said Kalla.

“This is just a distribution problem,” he said.Even without imports, the domestic rice supply would be sufficient to meet demand in the coming months as the country would usher in the harvest season from March through April, Coordinating Economic Minister Sofyan Djalil explained to reporters after his meeting with Kalla.Trade Minister Rachmat Gobel said that the government’s effort to rely less on imports through food sovereignty had faced challenges from certain parties.

“There are still parties that try to ‘play’, looking to push for [more] imports. We have to pay careful attention to such actions,” he said Monday during the discussion at the Trade Ministry, which was held prior to his meeting with the Vice President.he government would be steadfast its decision not to import rice and would instead prioritize strengthening domestic supply, Rachmat said.He added that the Trade Ministry would step up the fight against the so-called “mafia” in the rice trade that had eroded the competitive edge of domestic business players. 

The government has stated that it will soon cooperate with independent auditing firm PT Sucofindo to audit at least 14,000 warehouses across the country amid suspicions of illegal stockpiling and reselling. It will start taking legal action against perpetrators. Warehouse owners found guilty of illegal stockpiling could face up to five years’ imprisonment and fines of Rp 50 billion (US$3.85 million), on top of having their licenses revoked.

Officials from the Trade Ministry have discovered some warehouses mix the low-quality Raskin rice with other brands at their disposal. In addition, some rice from the State Logistics Agency (Bulog) rice had reportedly been found in markets that were not within the agency’s distribution remit.President Joko “Jokowi” Widodo has built his economic development plan on the concept of food sovereignty, as he seeks to make Indonesia less dependent on imports, with the country expected to have no rice imports from 2017.Jokowi has vowed to improve the country’s farming infrastructure to boost productivity, including an ambitious plan to build 49 new dams within five years to improve irrigation for local farmers.

At the moment, the country still imports rice annually to sustain the rice stockpile at Bulog, which is tasked with distributing rice and other food commodities throughout Indonesia to manage prices. The agency imported at least 425,000 tons of rice from Thailand and Vietnam last year.The government has always endeavored to keep the price of rice stable. Rice is a key contributor to inflation and price fluctuations could lead to public protests and political instability.

Bank Indonesia Governor Agus Martowardojo said Monday that he was optimistic that the rising rice price would not lead to a sharp increase in inflation. Indonesia would likely post month-to-month deflation for the second consecutive month in February, he noted.In January, the monthly Consumer Price Index (CPI) stood at a negative 0.24 percent, taking year-on-year inflation during the month to 6.96 percent, a drastic fall compared to 8.36 percent in December.

http://www.thejakartapost.com/news/2015/02/24/no-imports-despite-rice-price-rise.html

UPDATE 1-Thailand to offer 1 mln T rice in March tender

Tue Feb 24, 2015 11:41am GMT

  (Adds finance ministry rice stocks estimate, subsidy scheme loss)

BANGKOK Feb 24 (Reuters) - Top rice exporter Thailand will open a tender to sell around 1 million tonnes of rice in March, a commerce ministry official said on Tuesday, the second large offering this year as the government tries to sell off massive stockpiles.Thailand has over 17 million tonnes of rice built up under a controversial subsidy scheme under the government of former Prime Minister Yingluck Shinawatra, which paid farmers well above market rates for their grain.The tender on March 6 will be the military government's sixth rice tender since it toppled the remnants of Yingluck's government in a May coup, ending months of protests in Bangkok.

Thailand sold 496,243 tonnes of rice in the last tender, which was half the amount offered.The government has said it expects to sell off the rice stockpiles in two years, but the country's Rice Exporters Association said sales from stocks would likely be no more than 3 million tonnes this year.From the five previous tenders, the military government has sold 1,177,983 tonnes of rice for around 17.21 billion baht ($528 million).Thailand's finance ministry said on Tuesday that rice stockpiles stood at 17.5 million tonnes, and estimated losses incurred by the rice subsidy scheme totalled $16.46 billion.Yingluck was found guilty of negligence for her role in the scheme by Thailand's National Legislative Assembly, and banned from politics for five years.

Thailand exported around 10.8 million tonnes of rice in 2014, a record high, according to the commerce ministry, overtaking India as the world's top rice exporter.The common grade Thai 5 percent broken white rice was offered at $412 per tonne free-on-board on Tuesday, traders said. (Reporting By Kaweewit Kaewjinda; Editing by Simon Webb and David Evans)

http://af.reuters.com/article/commoditiesNews/idAFL4N0VY2J120150224

Local Farmers to Add 2.9m Metric Tonnes to Nigeria’s Rice Stock

24 Feb 2015

Minister of Agriculture, Dr. Akinwumi Adesina

About 2.9 million metric tonnes of high quality milled rice from indigenous producers is expected to be available from the 2014 season, according to the Federal Ministry of Agriculture and Rural Development (FMARD).The Minister of Agriculture, Dr. Akinwumi Adesina, made this announcement while inspecting a 420-hectare rice farm and mill belonging to Olam Nigeria Limited in Rukubi, near Doma, Nasarawa State.

He said: “This would bring Nigeria closer to being self-sufficient in rice production and a potential exporter of milled rice.”According to him, 1.9 million metric tonnes of the commodity was produced in the 2013 dry and wet seasons, contributing N320 billion to the GDP and creating 670,000 jobs in the process.He said the federal government’s ‘rice revolution’ was gaining added momentum with a projected 2.9 million metric tonnes of rice in 2014.
He added that with the  importation at about 1.9 to 2.0 million metric tonnes per annum, Nigeria is now already at the exit door from importation.“We are going to be  the Thailand of Africa in terms of rice production and export,” Adesina said.“Nigeria has also seen other prime players investing in the rice value chain.

“Multinational conglomerate Stallion Group, has established fully-integrated agricultural operations including world-class rice mills at strategic locations, to promote milling and paddy cultivation in the captive areas. The group has fully backward integrated its rice value chain.“Stallion now operates a fully integrated state-of-the-art rice mill in the country with an aggregate capacity of 360,000 metric tonnes per annum and is producing premium varieties of rice from local paddy being marketed under the names “Royal Stallion Shinkafa” and “Super Champion’’ which are now very popular in the country.

The minister added that the federal government is putting in place the enabling environment for production of rice on small, medium and large-scale, through its Growth Enhancement Support Scheme (GES) for the rice value chain, under the Agriculture Transformation Agenda (ATA), launched in 2011.He further disclosed that these new varieties have revolutionised rice production in Nigeria, as the ministry – through seed companies – has consistently multiplied and distributed seeds to farmers for cultivation since 2011 when the implementation GES commenced.In addition to seed and extension support to farmers, the minister listed the development and strengthening of other elements of the rice value chain, including subsidised inputs, mechanisation services through Agricultural Equipment Hiring Service (AEHE) for which financing support is accessible through the Bank of Agriculture (BOA) and the Bank of Industry (BoI).

The minister, who was visibly impressed with the wide hectarage under cultivation, the growing stockpile of mill-ready paddy rice, mechanised planting and harvesting operations and land preparation for new planting, all going on simultaneously with the installation of the 600 metric tonnes capacity mill, stated that all the factors favourable for growing and processing large quantities of rice, are not only already in place in the country but effectively working also.Adesina disclosed that, prior to the launch of the ATA in 2011, only one integrated rice mill was in place but with the federal government scheme, 12 others mills have been added, with the 60,000 tonne Olam farm mill expected to commence milling in June, bringing the number of new rice mills to 13 within three years.

 Other than these, he said, the small mills, which, according to him are now 4,350 in number and growing at an annual rate of 40 per cent, are the major rice milling drivers.The minister equally disclosed that paddy bulking and aggregation centres, a bridge between rice farmers and millers, are going to be set up to effectively address the problems of stock supply security identified by investors in a commissioned study as a concern, along with poor infrastructure and access to credit.The paddy bulking and aggregation centres will stock, assess and grade paddy sourced from growers with a view to creating easy access to millers that may have neither farms nor paddy supply from farmers.

These facilities, Adesina said, will further bolster Nigeria’s rice production capacity along with 15 rice and other staple crop processing zone (SCPZ) to be set up at various locations in the country, with a projected contribution of adding $9.0 billion to the GDP.Earlier, while briefing the minister and his entourage, as well as journalists who visited the Olam farm for progress assessment, the country head of the farm, Mukul Mathur and the Rukubi farm manager, RegiGeorge, stated that Olam farm is a subsidiary of Kewalrams Group, which has been in Nigeria for 150 years and in different sectors of agriculture for 25 years.The company’s foray into rice farming began four years ago, with the $72 million Rukubi rice farm and mill being its biggest commitment yet.The company disclosed that currently, the farm has a target of putting 4,600 hectares under cultivation with 3,000 hectares already cultivated in both the dry and wet seasons.

Tags: Business, Nigeria, Featured, RICE, Stock

http://www.thisdaylive.com/articles/local-farmers-to-add-2-9m-metric-tonnes-to-nigeria-s-rice-stock/202591/

Fed Govt: Nigeria to exit rice importation soon

WITH the Federal Ministry of Agriculture and Rural Development’s “rice revolution” gaining added momentum with a projected 2.9 million metric tons of rice from last year’s farming season, “Nigeria is already at the exit door from its importation”.The Minister of Agriculture and Rural Development, Dr. Akinwumi Adesina, said this while inspecting a 420-hectare rice farm and mill belonging to Olam Nigeria in Rukubi, near Doma, Nasarawa State.

He said 2.9 million metric tons of high quality milled rice was expected to be produced beginning from 2014 farming season.The minister added that with importation at about 1.9 to 2.0 million metric tons per annum, rice importation would soon stop. “We are going to be Thailand of Africa in terms of rice production and export,” Dr. Adesina said.The minister stated that no fewer than 670,000 jobs were created in 2013 through rice production.

He said 1.9 million metric tonnes of rice was produced in the 2013 dry and wet seasons, contributing N320 billion to the GDP and creating 670,000 jobs in the process.The minister said the Federal Government was putting in place the enabling environment for production of rice on small, medium and large-scale through its Growth Enhancement Support scheme (GES) for the rice value chain under the Agriculture Transformation Agenda (ATA) launched in 2011.In addition to seed and extension support to farmers, the minister said the government has provided subsidised inputs and mechanization services through Agricultural Equipment Hiring Service (AEHE) for which financing support is accessible through the Bank of Agriculture (BOA) and Bank of Industry (BOI).

Dr. Adesina said 15 rice and other staple crop processing zones would be set up at various locations in Nigeria, with a projected contribution of $9.0 billion to the GDP.The minister, who was visibly impressed with the wide hectarages under cultivation, the growing stockpile of mill-ready paddy rice, mechanised planting and harvesting operations and land preparation for new planting and the installation of the 600 metric ton capacity mill, stated that all the factors favourable for growing and processing large quantities of rice were already in place and effectively working.

Dr. Adesina explained that, prior to the launch of the ATA in 2011, only one integrated rice mill was in place, but that in addition to 12 others, the 60, 000 ton Olam Farm mill expected to begin milling in June brings the number of mills to 13 within three years.He said the small mills have increased to 4,350 and growing at a yearly rate of 40 per cent.The minister said paddy bulking and aggregation centres, a bridge between rice farmers and millers, were going to be set up to effectively address the problems of stock supply security identified by investors in a commissioned study as a concern along with poor infrastructure and access to credit.The paddy bulking and aggregation centres will stock, assess and grade paddy sourced from growers with a view to creating easy access to millers that might have neither farms nor paddy supply from farmers.

These facilities, Adesina said, would bolster Nigeria’s rice production capacity along with 15 rice and other staple crop processing zone (SCPZ) to be set up at locations in the country, with a projected contribution of adding $9.0 billion to the GDP.Briefing the minister and his entourage, as well as reporters who visited the Olam Farm for progress assessment, the country head of the farm, Mukul Mathur, and the Rukubi Farm Manager, Regi George, stated that Olam Farm is a subsidiary of Kewalrams Group, which has been in Nigeria for 150 years and in different sectors of agriculture for 25 years.He said the company’s foray into rice farming began four years ago, with the Rukubi rice farm and mill being its biggest commitment with $72 million.

China Continues to Import Rice at Record Pace

USAgNet - 02/24/2015

Rice imports by China are expected to set a new record in 2015, surpassing 2014 levels by 200,000 metric tons and marking the fourth consecutive year of record imports. Rice imports surged in 2012 to more than 7 times the average of the previous 5 years, and continued to grow each year thereafter.China remains the world's largest rice producer and consumer, and has been largely self-sufficient in rice for more than 30 years and until recently, was typically a net rice exporter.In 2012, China surpassed Nigeria to become the world's largest rice importer.

 Vietnam and Burma are the largest suppliers of rice to China, along with Pakistan and Thailand.The United States is currently unable to ship rice to China due to ongoing disagreements over phytosanitary issues.China's record imports are not due to a short crop or tight supplies, but are the result of much lower prices for imported rice than for domestic rice, and continued growth in use partly due to an increasing population.

http://www.wisconsinagconnection.com/story-national.php?Id=407&yr=2015

Senator Moran Opens USA Rice Government Affairs Conference with Trade Focus

Senator Jerry Moran (r) receives a U.S. Rice Industry Champion award from USA Rice Producers' Group Chairman John Owen

WASHINGTON, DC- - Senate Agriculture Appropriations Subcommittee Chairman Jerry Moran (R-KS) opened the USA Rice Government Affairs Conference here today speaking frankly about trade with Iraq and Cuba, and sharing his view on how to approach agriculture priorities."The President could veto any bill we send him, but we have an appropriations process that can help us get the attention of the cabinet level secretaries at say, the Environmental Protection Agency," the Senator said while discussing the controversial Waters of the U.S. regulations.

Moran also made clear he is a strong supporter of agriculture trade."Ninety-five percent of ag consumers live outside the United States, and you export half your crop," he told the crowd, explaining why he thinks trade needs to be a top priority.Moran informed the group that after leaving the rice meeting, he would be seeing Secretary of State John Kerry, and that he would ask the Secretary about the ongoing difficulties the U.S. rice industry is having with Iraqi tenders.

General Session attendees also heard an update on Cuba from USA Rice's Marvin Lehrer who said he believes the Island presents great opportunities for rice."They already know and love rice, so it's not like we need to do an education campaign," he said.  "And our logistical advantages are obvious.  Once all the legal hurdles are cleared, the market could return quickly."

USA Rice CEO Betsy Ward and USDA's Phil Karsting

The trade theme continued with the final speaker of the morning, USDA Foreign Agricultural Service Administrator Phil Karsting."We are great partners with great programs in Turkey, Saudi Arabia, Japan, Ghana, and elsewhere," he said.  "I'm proud of our partnership, and you should be too."Karsting told the group his agency "hears loud and clear on Iraq" and will keep working to find solutions.

He also spoke about Cuba, saying that while great progress has been made, there remains much to be done on the diplomatic front."Agriculture is an early item used to build bridges, and for good reason," he said.  "When farmers talk to farmers, good things happen."

Contact:  Michael Klein (703) 236-1458 

Field day set to aid growers

Feb. 24, 2015, 3:30 p.m.

Research in the spotlight.

THE rice industry’s premier research showcase, the Rice Field Day, is on again, with Leeton shire growers encouraged to attend. Held on March 5, the field day shows the latest in rice research and technological advancements.​Rice R&D Committee chairman Ian Mason urged growers to attend. “This is a very important date for rice growers every year and this year we have a fantastic range of speakers,” he said.The event will be held at Old Coree, Jerilderie from 9.15am on March 

Rice Leadership Development Class Graduates  

WASHINGTON, DC -- The Rice Leadership Development Program's Class of 2013-2015 graduated from the prestigious program during a special ceremony at the USA Rice Federation's 2015 Government Affairs Conference this week. Rice Foundation Chairman Todd Burich and USA Rice Chairman Dow Brantley presided over the ceremony, congratulating the graduates and thanking program sponsors, John Deere, RiceTec, Inc, and American Commodity Company.The class is made up of five rice producers: John Compton, Jennings, LA; Seth Fiack, Glenn, CA; Mark Isbell, North Little Rock, NC; Steven Schuler, Woodland, CA; and Joel Stevens, Monticello, AR; and two industry representatives: Robb Dedman with Pro Ag Consulting, Rison, AR; and Wes Long with RiceTec, Benton, AR.

The class was immediately put to work representing the rice industry during the conference, participating in multiple meetings with Members of Congress, staff from key Congressional Committees, and agency representatives.  A highlight of today's Washington session was the tour of the USDA's satellite weather center.The group also met with Deputy Chief of the Cuban Interest Section Juan Lamiguerio and his staff to discuss the potential for rice trade between the two countries.

 Contact:  Chuck Wilson (870) 673-7541

CME Group/Closing Rough Rice Futures  

CME Group (Prelim):  Closing Rough Rice Futures for February 24 Month Price Net Change March 2015 $10.445 - $0.020 May 2015 $10.710 - $0.010 July 2015 $10.960 - $0.010 September 2015 $10.995 - $0.005 November 2015 $11.160 - $0.010 January 2016 $11.250 - $0.010 March 2016 $11.250 - $0.010

USA Rice Federation

Rice prices climb upwards

 The Mekong Delta has entered peak harvest time of winter spring rice crop after Tet holidays

After continuously falling, winter spring rice prices have begun to inch up in the Mekong Delta provinces in recent days.Fresh normal rice price ranged from VND4,200-4,300 a kilogram in Dong Thap, Vinh Long, Can Tho and An Giang on February 23. High quality rice was paid VND4,400-4,500 a kilogram while fragrant variety fetched VND5,000 a kilogram.The prices increased an average of VND200-400 a kilogram over early February. The Mekong Delta provinces have entered peak harvest time of winter spring crop after Tet holidays.Huynh Phu Loc, trader from Lai Vung district of Dong Thap province, said that they had begun purchasing rice after three days of Tet and export businesses have also run their business operation again. Rice price is expected to further edge up in the next days.

http://www.saigon-gpdaily.com.vn/Business/2015/2/112788/

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24thFebruary (Tuesday),2015 Daily Global Rice Digital Newsletter by RiceplusMagazine