Indian
scientists from ARI identify bacteria capable of methane mitigation in rice
plants
Pune:
Scientists at the Agharkar Research Institute (ARI), Pune, an autonomous
institute under the Department of Science & Technology (DST), have isolated
45 different strains of methanotrophic bacteria which have been found to be
capable of reducing methane emissions from rice plants.
Methanotrophs
metabolise and convert methane into carbon dioxide. They can effectively reduce
methane emission, which is the second most important greenhouse gas (GHG) and
26 times more potent as compared to carbon dioxide. In rice fields,
methanotrophs are active near the roots or soil-water interfaces.
Dr
Monali Rahalkar, Scientist from the Bioenergy Group, ARI, and her team working
on methanotrophs, have enriched, isolated, and cultivated the 45 different
strains of methanotrophs and created the first indigenous methanotroph culture.
In their work published in Antonie van Leeuwenhoek, an International Journal of
General and Molecular Microbiology, they isolated indigenous methanotrophs from
Western and Southern India, mainly from rice field soils and freshwater mud,
and have documented two novel genera and six novel species of methanotrophs
from rice fields in western India. In pot trials, some of the strains were used
as bio-inoculants in rice plants.
The
team found a decrease in methane emissions from inoculated plants with a
positive or neutral effect on the growth of the rice. This could lead to the
development of microbial inoculants for methane mitigation in rice.
Rice
fields are human-made wetlands and are waterlogged for a considerable period.
Anaerobic degradation of organic matter results in the generation of methane.
Rice fields contribute to nearly 10% of global methane emissions. Very few
studies in the world have focused on methanotrophs from tropical wetlands or
tropical rice fields.
Before
scientists at ARI commenced their studies, practically no cultures of
indigenously isolated methanotrophs from India were available. Native and
relevant methanotrophs isolated from rice fields can be excellent models to
understand the effects of various factors on methane mitigation. Ammonium
fertilizers and increasing temperatures (due to global warming) are some of the
important factors which the team plans to study in the future.
Various methanotrophs on
culture media (upper left);The dark pink color biomass from methanotrophs which is a rich source of carotenoids, single-cell proteins leading to methane valorization (upper right); Preliminary experiments indicated that when methanotrophs were inoculated rice plants showed lower methane emissions, higher methane oxidation potential and better/ neutral effect on plant growth (lower left);
Plastic chamber to measure methane emissions is shown (lower right).
Besides
methane mitigation studies, methanotrophs can also be used in methane value
addition (valorization) studies. Bio-methane generated from waste can be used
by the methanotrophs and can be converted to value-added products such as
single-cell proteins, carotenoids, biodiesel, and so on. The team is further
working on methane valorization studies from the isolated methanotrophs. Such
studies help reduce GHG emissions, especially anthropogenic or man-made
emissions, which is a pressing need in the age of global warming.
This information was provided
by the Communications Team at the Dept. of Science & Technology, Ministry
of Science & Technology.
IAEA and FAO Help Zanzibar Grow More Rice
12 Mar 2020
,
Currently, around 70% of the rice consumed in Zanzibar needs to
be imported. With the help of nuclear techniques, the Government is trying to
produce more rice to meet the demand. (Photo: B. Csete/IAEA)
Cheju,
Zanzibar – With one of the fastest growing
populations in Africa and a surge in tourism, Zanzibar needs more rice, and its
farmers and authorities are turning to nuclear techniques for help.
Currently,
around 70% of the rice consumed in this semi-autonomous region of Tanzania is
imported, a ratio the Government would like to halve in coming years. It is
working on a project in partnership with the World Bank to increase local rice
production and self-sufficiency, and save the hard currency currently spent on
importing rice, said Mansoora Kassim, Deputy Principal Secretary at Zanzibar’s
Ministry of Agriculture, Natural Resources, Livestock and Fisheries. Rice
accounts for a fifth of the territory’s imports.
Farmers
involved in this greenfield rice production project have selected the variety
SUPA BC, developed using nuclear techniques, with the support of the IAEA in
partnership with the Food and Agriculture Organization of the United Nations
(FAO).
Mutation
induced by irradiation speeds up natural changes in the genetic make-up of
crops, so scientists can select improved plant lines with desired traits such
as higher yields and eventually identify the best. They then use conventional
techniques to multiply the seeds of plant lines with favorable traits, test
them and eventually release them as varieties to farmers.
More
rice means less dependence on imports, more income and more jobs for
Zanzibar. (Photo: B. Csete/IAEA)
SUPA BC,
developed using this technology and released in Zanzibar to farmers in 2014,
has a yield that is double that of the traditional variety and it can be
harvested twice a year – which means quadrupled production and income, said Ali
Iddi Mjombo, a farmer in Cheju, a village in central Unguja, the larger of
Zanziba’s two main islands.
Mjombo
is one of 700 farmers using the new variety, which also has a better aroma, so
millers pay a 20% premium compared to the traditional varieties, he added. “It
has made a real difference for us,” he said. “I’ve bought a new plot of land
and built a metal roof over my house from the additional cash.”
The
Government is planning for most of the territory’s 70,000 smallholder rice
farmers to eventually use SUPA BC and achieve similar results to Mjombo and his
neighbours. SUPA BC is planted on 80% of irrigated land used for rice on
Zanzibar – though that for the time being is only 6,400 hectares. With support
from South Korea, the Zanzibar Government is installing irrigation systems on
more than 1,500 acres of land to plant more SUPA BC, Kassim said. “With the
support of the IAEA we have eradicated tsetse flies, improved livestock rearing
– and are now working on rice.”
Virus and
fungus
There is
still a problem though: SUPA BC is susceptible to two major diseases – the Rice
Yellow Mottle Virus and rice blast, so work is under way at the Zanzibar
Agriculture Research Institute (ZARI) to improve the resistance of SUPA BC.
The IAEA, in partnership with the FAO, through the Joint FAO/IAEA
Division of Nuclear Techniques in Food and Agriculture, has provided expert and
technical services as well as training and fellowship to several researchers,
and – through its technical cooperation programme, has provided equipment and
consumables to ZARI’s laboratories for the testing of new lines and for marker
assisted selection.
Using
equipment donated by the IAEA, researchers identified a promising line and
cultivated it further. The result was SUPA BC, a rice variety which has double
the yield of local varieties and it can be harvested twice a year. (Photo:
M. Gaspar/IAEA)
Using
this knowledge and equipment, Salum Hamad, the lead researcher, and his
colleagues have characterized and inoculated 100 samples of SUPA BC, irradiated
at various doses in order to induce genetic change, with the Rice Yellow Mottle
Virus. One of the samples was found resistant to the virus. It will now be
tested further to validate resistance and proceed with further trials of the
variety.
Work on
achieving resistance to the rice blast fungal disease is also under way at
ZARI, supported by the IAEA. Last month the IAEA sent to ZARI a new batch of
irradiated seeds. Soon they will be planted and inoculated with rice blast
fungus to select resistant plants, Hamad said. “In a few years, we hope to have
a further improved variety resistant to blast.”
More
local rice means less dependence on imports, more money and more jobs for
Zanzibar – helping it to achieve its targets under the United Nations
Sustainable Development Goals.
ARI Scientists
Study methane-oxidizing bacteria for methane mitigation and value addition
March 12, 2020
New Delhi: Scientists at Agharkar
Research Institute (ARI), Pune, an autonomous institute under the Department of
Science & Technology, have isolated 45 different strains of methanotrophic
bacteria which have been found to be capable of reducing methane emissions from
rice plants.
Methanotrophs metabolise and
convert methane into carbon-di-oxide. They can effectively reduce the emission
of methane, which is the second most important greenhouse gas (GHG) and 26
times more potent as compared to carbon-di-oxide. In rice fields, methanotrophs
are active near the roots or soil-water interfaces.
Dr. Monali Rahalkar, Scientist
from Bioenergy Group, ARI, and her team working on methanotrophs, have
enriched, isolated, and cultivated the 45 different strains of methanotrophs
and created the first indigenous methanotroph culture. In their work published
in Antonie van Leeuwenhoek, an International Journal of General and Molecular
Microbiology, they isolated indigenous methanotrophs from Western and Southern
India, mainly from rice field soils and freshwater mud and have documented two
novel genera and six novel species of methanotrophs from rice fields in Western
India. In pot trials, some of the strains were used as bio-inoculants in rice
plants.
The team found that there was a
decrease in methane emissions in inoculated plants with a positive or neutral
effect on the growth of the rice. This could lead to the development of
microbial inoculants for methane mitigation in rice.
Rice fields are human-made
wetlands and are waterlogged for a considerable period. Anaerobic degradation
of organic matter results in the generation of methane. Rice fields contribute
to nearly 10% of global methane emissions. Very few studies in the world have
focused on methanotrophs from tropical wetlands or tropical rice fields.
Before scientists at ARI started
their studies, practically no cultures of indigenously isolated methanotrophs
from India were available. Native and relevant methanotrophs isolated from rice
fields can be excellent models to understand the effect of various factors on
methane mitigation. Ammonium fertilizers, increasing temperatures (due to
global warming) are some of the important factors which the team plans to study
in the future.
Various methanotrophs on culture
media (upper left)
The dark pink color biomass from methanotrophs
which is a rich source of carotenoids, single-cell proteins leading to methane
valorization (upper right) Preliminary experiments indicated that when
methanotrophs were inoculated rice plants showed lower methane emissions,
higher methane oxidation potential and better/ neutral effect on plant growth
(lower panel
Plastic chamber to measure
methane emissions is shown (lower right)
Besides methane mitigation
studies, methanotrophs can also be used in methane value addition
(valorization) studies. Bio-methane generated from waste can be used by the
methanotrophs and can be converted to value-added products such as single-cell
proteins, carotenoids, biodiesel, and so on. The team is further working on
methane valorization studies from the isolated methanotrophs. Such studies help
reduce GHG emissions, especially anthropogenic or man-made emissions, which a
pressing need in the age of global warming.
PAU mourns demise of prof
· Posted: Mar 13, 2020 07:33 AM (IST)
Tribune
News Service
Ludhiana,
March 12
The
senior officials, faculty, staff and students of Punjab Agricultural University
(PAU) mourned the demise of Prof Darshan Singh Brar, academician, researcher
and visionary agricultural development leader. Late Prof Brar was the former
head, Plant Breeding, Genetics and Biotechnology Division at International Rice
Research Institute (IRRI), Philippines. He was also a member of the PAU Board
of Management.
Brar
passed away on March 11. At present, he was serving as an adjunct professor at
School of Agricultural Biotechnology, PAU.
In
his condolence message, Vice Chancellor Baldev Singh Dhillon said: “Prof Brar
touched countless lives as a mentor and fellow. He was a dedicated scientist
and humble human being. May the departed soul rest in peace.”
RS
Sidhu, Registrar, said: “Prof Brar always tried to uplift PAU by encouraging
collaborations with national and international institutes. Major output of his
initiatives could be assessed from double digit number of PAU students going
abroad every year for pursuing post graduation.”
Navtej
Bains, director of research, said: “Prof Brar contributed immensely to rice
breeding programme worldwide in close association with the Gurdev Singh Khush,
known as the king of rice. His immense contributions in shaping major field and
horticulture breeding programmes at PAU cannot be forgotten. His presence in
PAU since his return from the IRRI in 2012 can be sensed in every extra mural
competitive project. He motivated the university to take molecular breeding
initiative in underexplored and perineal crops.”
Prof
Brar taught Plant Breeding and Biotechnology undergraduate and postgraduate
students at the university. He had contributed to research projects of every
student and scientists at PAU, said Dr Bains.
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do you think? (Share
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Rice
stocks up in February
Louise Maureen
Simeon (The Philippine Star
)
- March 12, 2020 - 12:00am
MANILA,
Philippines — The country’s rice inventory maintained its upward momentum in
February, given a continued open market regime.
Latest
data from the Philippine Statistics Authority (PSA) showed that total rice
inventory stood at 2.37 million metric tons (MT) in February, up 11 percent
from the previous year.
However,
the current inventory is 11.2 percent lower than last year’s 2.67 million MT.
The
PSA did not specify the number of days that the stock inventory of Filipinos’
main staple will be sufficient.
But
based on the average daily consumption of Filipinos of 32,000 MT, the current
inventory is sufficient for 74 days.
Households
had nearly half of total inventories at 44 percent, while commercial warehouses
held about 35.4 percent. Supplies from the National Food Authority depositories
cornered 20.6 percent of the total.
On
a monthly basis, rice stocks in households and commercial warehouses decreased
by 12.7 percent and 11.6 percent, respectively.
A
6.9 percent decrease was also noted in NFA depositories.
Meanwhile,
prices of Filipinos’ main staple continued to be on the downward trend with
consumers saving more, but farmers earning less following the influx of
imported rice.
Data
showed consistent lower prices for a year now after the Philippines opened its
rice industry to more private sector imports.
According
to the PSA, the average wholesale price of well-milled rice is now at P37.19
per kilogram as of end-February.
This
is 10 percent lower than the P41.17 per kilo in the same period a year ago but
0.4 percent higher on a weekly basis.
The
average retail price also decreased by eight percent to P41.24 per kilo.
Meanwhile,
the wholesale price of regular-milled rice was P32.77 per kilo, down 13 percent
while its average retail price was at P36.16 a kilo.
While
consumers are benefitting from the opening up of the market, local farmers are
suffering from declining palay (unhusked rice) farm gate prices.
The
average farm gate price of palay is nowhere near recovery at P16.04 per kilo,
down 0.1 percent on a weekly basis.
The
current price represents a decline of 18 percent from P19.55 per
kilo last year.
Study: Rice sold in Kenyan markets
has high aflatoxin levels
Local News By
Long-term exposure to aflatoxins
can lead to cancer, birth defects and compromised body immunity.
newsdesk@standardmedia.co.ke
Experts want more to be done to
protect Kenyans against aflatoxin-contaminated rice being sold in local
markets.
Laboratory analysis of samples of
rice sold in Nairobi, Mwea and Thika shows the popular food is
highly-contaminated with the cancer-causing organisms.
The evidence was presented at the
annual scientific conference of the Kenya Medical Research Institute (Kemri)
held last month in Nairobi.
“We have established that a lot
of locally-produced and imported rice contains aflatoxin-causing agents and
maybe a threat to human health,” said Youmma Douksouna, the lead study author.
The team collected and tested 98
samples from retail markets and millers in Mwea and Thika regions and found much
of it is contaminated with aflatoxin causing organisms.
“We are now quantifying the
actual levels of the toxicants but the long-term consumption of aflatoxins at
any levels is a threat to human health,” Douksouna told The
Standard.
He attributed the presence of
aflatoxin in rice to poor handling and packaging, sale of expired grains and
long periods of storage and transportation of imports.
“Some of the imported samples had
been shipped more than two years ago with the packaging already in very poor conditions,”
said Douksouna.
The study that involved Kenyatta
University, Jomo Kenyatta University of Agriculture and Technology and the
University of Yaounde, Cameroon, coincides with increasing police reports of
expired and suspect substandard rice in the local market.
In 2018, Kenyans were shocked by
the staggering amount of bad rice in the market when police seized one million
bags of the grain at the port of Mombasa destined for the local market.
Some of the rice, the police
said, had been condemned about three years before as unfit for human
consumption.
In May, again, the police gave
Kenyans a clearer picture of how bad rice is being recycled into the market.
Detectives raided godowns in
Kariobangi South, Nairobi County, arresting several suspects repackaging
expired rice from the original bags to ones with new expiry dates
Excess moisture
Originally, the rice, in 1,500
bags was indicated to expire in 2017, but the new bags showed it would expire
in 2022.
The sale of substandard rice is
also widespread across the country. Last July, public health officers in Busia
County intercepted 256 bags of contaminated rice.
When tested at the Government
Chemist in Nairobi it was found with excess moisture levels and unfit for human
consumption.
Samples of rice sold in Nairobi,
Mwea and Thika were found to have the poisonous substance.
“Once moisture enters into rice
it may lead to aflatoxin, a possible cause of cancer in humans. That is why we
destroyed the rice,” Dr Isaac Omeri, Busia County Chief Officer for Health told
The Standard.
Rice is the third most consumed
food in Kenya after maize and wheat with consumption estimated to be increasing
at a rate of 12 per cent annually.
The annual national rice
consumption is estimated at 538,000 metric tonnes compared to an annual
production of 112,800 tonnes.
With a projected population
growth rate of about 2.7 per cent per year, the estimated annual national
requirement may reach up to 570,490 tons by 2030.
Local production has not been
able to meet demand and the resultant deficit is offset by imports mainly from
Pakistan, Thailand, India, and Vietnam.
“Our investigations suggested
imported rice especially from Thailand was much more contaminated than
locally-produced grains,” Douksouna told The Standard in an interview.
Long-term or chronic exposure to
aflatoxins, the World Health Organisation warns, can lead to liver or kidney
cancer, birth defects in children and compromised body immunity.
An earlier study (2016) by a team
from the University of Nairobi by Diana Nyangaga, Dr Michael Gicheru and Prof
James Mbaria had collected 96 food samples from Toi, Kawangware, Uhuru, Kangemi
and Nyamakima markets in Nairobi.
Most of the rice samples
contained aflatoxin levels above 20ppb (parts-per-billion) the maximum residue
limit.
On average, rice in the five
open-air markets, a good representation of the quality of rice in the country,
had aflatoxin levels of 38 ppb and up to 63 ppb in processed rice samples.
The highest level of aflatoxin in
non-processed rice was recorded in Uhuru market while processed rice with the
highest levels of the toxins was reported at Kangemi mark
https://www.sde.co.ke/article/2001364049/study-rice-sold-in-kenyan-markets-has-high-aflatoxin-levels
Pakistan’s exports to
China up 1.8pc in 7 months
APP
ISLAMABAD-Pakistan’s exports of goods and
services to China grew by 1.80 percent during the first seven months of
financial year (2019-20) compared to the corresponding period of last year,
State Bank of Pakistan (SBP) reported.
The overall exports to China were recorded at
$1056.773 million during July-January (2019-20) against exports of $1038.023
million during July-January (2018-19), PBS data revealed.
On the other hand, the imports from China into
the country during the period were recorded at $5794.114 million against $5941.554
million last year, showing negative growth of 2.48 percent in first seven
months of this year.
Based on the trade figures, the trade of goods
and services with China witnessed decrease of 3.38 percent in deficit during
first seven months of ongoing fiscal year as compared to the corresponding
period of last year.
The deficit during the period under review was
recorded at $4737.341 million against $4903.536 million during same period of
last year, the data revealed.
The commodities that contributed positively
growth in exports included fish frozen exports of which grew from $40.253
million last year to $73.947 million during the current fiscal year, showing
growth of 83.70 percent.
The exports of cane or beet sugar and sucrose
also increased by 4520.59 percent, from $0.874 million to $40.384 million
whereas the exports of refined copper and copper alloys increased by 73.30
percent, from $28.214 million to $48.895 million.
The exports of cotton waste including yarn
waste grew by 27.25 percent, from $3.375 million to $4.295 million while the
exports of articles of apparel and accessories of leather increased by 86.49
percent, from $1.911 million last year to $3.564 million, the data revealed.
Meanwhile, the commodities that contributed
positively growth in imports included rice imports of which grew from $5.006
million last year to $9.779 million during the current year, showing increase
of 95.34 percent.
The imports of ginger, saffron, turmeric,
thyme, bay leaves and curry also increased by 41.70 percent, from $25.752
million to $36.493 million whereas the imports of parts of footwear increased
by 55.62 percent, from $5.675 million to $8.832 million.
The imports of electric apparatus for line
telephony and telephone sets also increased by 93.97 percent, from $338.682
million to $650.175 million whereas the imports of copper tubes and pipes
increased by 10.83 percent, from $9.373 million to $10.389 million.
The imports of motor vehicles for transport of
goods increased by 31.07 percent, from $33.498 million to $43.908 million
whereas the imports of onions, shallots, garlic, leeks etc also increased by
190.26 percent, from $12.795 million to $37.139 million, the data revealed.
Angola: Commitment to Agribusiness
Investment Reduces Imports
12 MARCH 2020
Luanda — Angola needs to spend more on agribusiness to reduce
the costs of import of staple products and work on export of food, warned the
economist Sérgio Hirose.
Angola spent USD 1.3 billion on imports of basic food products
from January to October 2019, said the economist on Wednesday. As for the
imports, the economist put at USD 305 million the amount spent on rice, USD 205
million on meat and chicken and USD 180 million on palm oil. Sugar imports
accounted for 137 million dollars and wheat flour reached 124 million dollars.
Recent data from the sector point to USD 26 million as having
been spent each month to import 15,000 tons of rice. Speaking to Angop on the
country's commitment to reduce dependence on oil revenue, the official said
that Angola has favorable conditions (climate, soil, among others) to have
positive results in agribusiness.
Vietnam ready to
stabilise price of rice, pork
The Ministry of Industry and Trade has asked rice
traders to strictly maintain a reserve equivalent to at least five percent of
their export volume in the six most recent months as well as enhancing efforts
of price stabilisation in the domestic market amid ongoing global
uncertainties.
Thursday, March 12, 2020 21:07
Rice loaded
for export (Source: VNA)Hanoi (VNS/VNA) - The Ministry of Industry and Trade has asked rice traders to strictly maintain a reserve equivalent to at least five percent of their export volume in the six most recent months as well as enhancing efforts of price stabilisation in the domestic market amid ongoing global uncertainties.
The ministry’s Import-Export Department said that unpredictable developments in the global economy coupled with the declines in import demand of Vietnam’s traditional rice markets like China, Indonesia and Malaysia were posing significant challenges to Vietnam’s rice exports.
Rice traders must strictly comply with Decree No 107/2018/ND-CP about rice reserves and price stabilisation, the ministry asked.
Accordingly, rice traders must consolidate their distribution system in the domestic market and be ready to bring rice stocks into circulation to stabilise the domestic market following the authorities’ orders.
Focus must also be placed on improving facilities and enhancing awareness in production and processing to increase rice’s added value and build a brand for Vietnamese rice, the ministry asked, adding that fluctuations of paddy and rice prices must also be closely watched.
The ministry asked provincial departments of Agriculture and Rural Development to enhance cooperation with traders, co-operatives and farmers to ensure rice production to follow standards which would help Vietnam easily expand exports.
The ministry said that China’s Ministry of Agriculture and Rural Affairs announced last week that this country could finish its goal of rice output this year. In addition, import demand from Indonesia and Malaysia was also low.
The Philippines also enhanced control over rice imports, with the revision of the food safety management system on imported rice.
Vietnam’s rice exports in the first two months of this year reached 890,000 tonnes, worth 410 million USD, up by nearly 6 percent over the same period last year.
Seeking pork supply
The Import-Export Department also asked trade offices to work with pork export associations and companies in foreign countries to seek sources to import pork into Vietnam.
Diversifying pork sources was important to stabilise the domestic market due to the impacts of the recent African swine flu.
The Ministry of Agriculture and Rural Development predicted that meat output would reach around 5.5 million tonnes this year, in which pork would account for 64-67 percent.
Pig raising was recovering in recent months, the ministry said.
Prime Minister Nguyen Xuan Phuc last week asked ministries of agriculture and rural development, industry and trade, and finance to ensure pork supply and demand balance and control prices at reasonable levels.
According to statistics from the Animal Health Department, Vietnam imported more than 65,800 tonnes of meat as of the end of February, in which pork accounted for 21 percent, up by 150 percent over the same period last year. Pork was mainly imported from Canada (33.6 percent), Germany (25.4 percent), Brazil (16.1 percent) and Poland (15.81 percent)./.
Investing in Rice
Production, Processing Business
March 12, 2020 4:35 am
The federal government plans to
make Nigeria self- sufficient in rice production. That is highly commendable.
From research it has been proven that Nigeria rice is the best rice in the
world as the taste and quality is far better than the imported ones from other
parts of the world.
In Nigeria today, some states
produce paddy rice in abundance. Some of these states are Enugu, Anambra, Abia,
Kebbi, Imo, Kwara, Edo, Ogun, Ondo, Cross River State and some Northern States
such as Sokoto to mention but few. Therefore, with serious efforts not only by
Government but private companies and individuals, the self-sufficient policy is
achievable.
Rice is now a staple food in
Nigeria. Every household both rich and poor consumes a great quantity of rice
every day. The demand for rice is very high. The huge demand for rice is
further accentuated by increasing and expanding urbanization, endless social
parties where rice is the main menu, Nigerians eating habits (preference for
foreign rice).
The preference for foreign rice
should be stopped.
Of the total projected population figure of 200million, over 70% feed on rice.
Because of the demand, many Nigerians have embarked on importation of rice. This situation should not be allowed to continue forever. These importers must channel their huge resources to establishment of modern milling plants in Nigeria instead of fastening the growth of some foreign countries.
Of the total projected population figure of 200million, over 70% feed on rice.
Because of the demand, many Nigerians have embarked on importation of rice. This situation should not be allowed to continue forever. These importers must channel their huge resources to establishment of modern milling plants in Nigeria instead of fastening the growth of some foreign countries.
From publications made by the
Bureau of Statistics and Federal Ministry of Finance the importation figures of
rice amounted to about N1 trillion as the end of 2012. This figure increased to
over two (2) trillion Naira in 2016 and about N3 trillion in 2018. The figure
has always on an increase. Rice importation has the greatest figure of over 60
per cent of total import figures.
The federal government had total closure of the neighbouring borders and it became clear indication that large quantities of foreign rice come into the country through the neighbouring ports. It became clear that there was huge importation of rice through illegal means.
During this period of total ban and closure of borders, it became imperative that Nigerians can actually produce enough rice to sustain itself. Nigerians had survived and are gradually adapted to eating of local rice.
The federal government had total closure of the neighbouring borders and it became clear indication that large quantities of foreign rice come into the country through the neighbouring ports. It became clear that there was huge importation of rice through illegal means.
During this period of total ban and closure of borders, it became imperative that Nigerians can actually produce enough rice to sustain itself. Nigerians had survived and are gradually adapted to eating of local rice.
Famers were happier, local
processors of rice came back to life and they all make more money with less
competition with imported products. However, the prices of rice, the staple
food in the country rose on top of the roof. A common man can no longer afford
the commodity, both locally produced and imported. Currently a bag of imported
rice is as high as between N28, 000 and N30, 000 for a bag of 50kg; while the
locally made rice is between N18, 000 and N20, 000. Government must therefore
have to sustain the tempo of not allowing massive importation of rice into the
country, but have a relaxed but full control of rice imports.
It is not advisable to impose a total
ban on importation of rice without first assessing and establishing exactly
what the country can afford to produce; ensure that the country can produce at
least 70 per cent of what is needed in this country. There must be full record
of what we can produce internally with projection of what our farmers can
produce at full capacity.
Generally, encouraging local
production or manufacturing, Agricultural production and processing is one of
the good things that can happen to this country because the policy will
generate more employment opportunities and put more foods in our tables.
The federal government has also concluded arrangements to roll out a new policy that will ensure that loans are available at single digit interest rate to farmers with effect from this year.
The federal government has also concluded arrangements to roll out a new policy that will ensure that loans are available at single digit interest rate to farmers with effect from this year.
Corporate organisations such as
Coscharis Group have gone into production, processing and bagging of rice.
More individuals are being encouraged by the Government to invest into this sector. Here we discussed on how you can invest into rice processing and packaging business.
More individuals are being encouraged by the Government to invest into this sector. Here we discussed on how you can invest into rice processing and packaging business.
Investors can invest in rice
farming and rice processing or rice milling plant. Rice milling project will
best be sited in these areas where rice is grown in order to reduce cost of
transportation of the paddy. To set up this project, a minimum space of a plot
of land is required to dry paddy rice after harvesting.
The components of machines
required to set up this project are cleaning facilities, Dehuller, Boiling
tank, Polisher, Bagger and other miscellaneous equipment such as wheel barrows,
weighing scales.
These machines can be fabricated
locally. They can also be imported from Europe and some known Asian companies
that specialize in the area. Prospective investors would be given details on
these machine produces and specialists.
Also project vehicles and generating sets are essential for smooth running of this project.
Rice milling could be done on cottage, small, medium and large scale bases depending on availability of capital and the raw materials- paddy rice. Output could be from 2MT to 150MT per day.
Generally, one metric tonne of paddy rice yields about 60kg- 70kg of milled rice, depending on milling efficiency company management practice and the variety of rice purchased.
Also project vehicles and generating sets are essential for smooth running of this project.
Rice milling could be done on cottage, small, medium and large scale bases depending on availability of capital and the raw materials- paddy rice. Output could be from 2MT to 150MT per day.
Generally, one metric tonne of paddy rice yields about 60kg- 70kg of milled rice, depending on milling efficiency company management practice and the variety of rice purchased.
In the process of milling well
parboiled rice free from sand, stones, unpleasant ordour with fewer breakages,
a whole rice, broken rice and bran are obtained. Whole rice is packed and sold
for human consumption. Broken rice is further milled into ‘’Tuwo Shinkafa’’ (a
flour meal) while bran is very important input for manufacturing dietary
products like rice bran bread which has been acclaimed good for the decrease of
blood cholesterol, rice bran oil and livestock feeds. From rice you can also be
obtained puffed rice, rice cakes, rice pudding etc.
The husks are used for the production of potassium Hydroxide solution or as fuel for milling plants. It can be seen that virtually all parts of paddy rice is useful.
The husks are used for the production of potassium Hydroxide solution or as fuel for milling plants. It can be seen that virtually all parts of paddy rice is useful.
The likely cost of total project
will not actually be stated safely unless one knows the scope (whether cottage,
small, medium or large scale) proposed investors would like to embark upon.
However, the cost ranges from N550, 000 – N10.2million for cottage level to
N57million for medium size plant and over N500million for large scale. Basic
factors to consider in determining the initial cost includes the capacity to
produce, the source(s) of the machinery, whether to construct his own building
or rent one, the location etc.
Therefore, to embark upon this project, one needs a business plan (feasibility studies), with detailed costing for all the aspects of inputs, and before one can obtain the likely total estimated cost.
Therefore, to embark upon this project, one needs a business plan (feasibility studies), with detailed costing for all the aspects of inputs, and before one can obtain the likely total estimated cost.
In conclusion, rice milling; an
agro-based business is very profitable (45-55% return on investment), and
sustainable. It has low capital requirement; technical know-how is not
complicated. The machinery and equipment can be sourced locally. The project
has a short pay–back period.
It is highly recommended for
serious and aggressive promoters, local and state Governments and private
investors particularly those that are thinking good for this country.
For details on comprehensive and bankable feasibility studies, investment Advisory services, funding arrangements, please contact the writer.
For details on comprehensive and bankable feasibility studies, investment Advisory services, funding arrangements, please contact the writer.
Uba can be reached via
ubagodwin@yahoo.com
IAEA and FAO Help
Zanzibar Grow More Rice
12 Mar 2020
,
Currently, around 70% of the rice consumed in Zanzibar needs to
be imported. With the help of nuclear techniques, the Government is trying to
produce more rice to meet the demand. (Photo: B. Csete/IAEA)
Cheju, Zanzibar –
With one of the fastest growing populations in Africa and a surge in tourism,
Zanzibar needs more rice, and its farmers and authorities are turning to
nuclear techniques for help.
Currently, around 70% of the rice consumed in
this semi-autonomous region of Tanzania is imported, a ratio the Government
would like to halve in coming years. It is working on a project in partnership
with the World Bank to increase local rice production and self-sufficiency, and
save the hard currency currently spent on importing rice, said Mansoora Kassim,
Deputy Principal Secretary at Zanzibar’s Ministry of Agriculture, Natural
Resources, Livestock and Fisheries. Rice accounts for a fifth of the
territory’s imports.
Farmers involved in this greenfield rice
production project have selected the variety SUPA BC, developed using nuclear
techniques, with the support of the IAEA in partnership with the Food and
Agriculture Organization of the United Nations (FAO).
Mutation induced by irradiation speeds up
natural changes in the genetic make-up of crops, so scientists can select
improved plant lines with desired traits such as higher yields and eventually
identify the best. They then use conventional techniques to multiply the seeds
of plant lines with favorable traits, test them and eventually release them as
varieties to farmers.
More rice means less dependence on imports,
more income and more jobs for Zanzibar. (Photo: B. Csete/IAEA)
SUPA BC, developed using this technology and
released in Zanzibar to farmers in 2014, has a yield that is double that of the
traditional variety and it can be harvested twice a year – which means
quadrupled production and income, said Ali Iddi Mjombo, a farmer in Cheju, a
village in central Unguja, the larger of Zanziba’s two main islands.
Mjombo is one of 700 farmers using the new
variety, which also has a better aroma, so millers pay a 20% premium compared
to the traditional varieties, he added. “It has made a real difference for us,”
he said. “I’ve bought a new plot of land and built a metal roof over my house
from the additional cash.”
The Government is planning for most of the
territory’s 70,000 smallholder rice farmers to eventually use SUPA BC and
achieve similar results to Mjombo and his neighbours. SUPA BC is planted on 80%
of irrigated land used for rice on Zanzibar – though that for the time being is
only 6,400 hectares. With support from South Korea, the Zanzibar Government is
installing irrigation systems on more than 1,500 acres of land to plant more
SUPA BC, Kassim said. “With the support of the IAEA we have eradicated tsetse
flies, improved livestock rearing – and are now working on rice.”
Virus and
fungus
There is still a problem though: SUPA BC is
susceptible to two major diseases – the Rice Yellow Mottle Virus and rice
blast, so work is under way at the Zanzibar Agriculture Research Institute
(ZARI) to improve the resistance of SUPA BC. The IAEA, in partnership
with the FAO, through the Joint FAO/IAEA Division of Nuclear Techniques in Food
and Agriculture, has provided expert and technical services as well as training
and fellowship to several researchers, and – through its technical cooperation
programme, has provided equipment and consumables to ZARI’s laboratories for
the testing of new lines and for marker assisted selection.
Using equipment donated by the IAEA,
researchers identified a promising line and cultivated it further. The result
was SUPA BC, a rice variety which has double the yield of local varieties and
it can be harvested twice a year. (Photo: M. Gaspar/IAEA)
Using this knowledge and equipment, Salum
Hamad, the lead researcher, and his colleagues have characterized and
inoculated 100 samples of SUPA BC, irradiated at various doses in order to
induce genetic change, with the Rice Yellow Mottle Virus. One of the samples
was found resistant to the virus. It will now be tested further to validate
resistance and proceed with further trials of the variety.
Work on achieving resistance to the rice blast
fungal disease is also under way at ZARI, supported by the IAEA. Last month the
IAEA sent to ZARI a new batch of irradiated seeds. Soon they will be planted
and inoculated with rice blast fungus to select resistant plants, Hamad said.
“In a few years, we hope to have a further improved variety resistant to
blast.”
More local rice means less dependence on
imports, more money and more jobs for Zanzibar – helping it to achieve its
targets under the United Nations Sustainable Development Goals.
EU imports of Cambodian rice doubled
after tariffs fell
The country’s
total rice sales are growing despite global concerns over the spread of
COVID-19
·
12
Mar 2020
Cambodia’s rice exports to the EU are rising significantly since
the bloc lowered its safeguard tariffs at the beginning of 2020.
Planting For Food And Jobs Initiative Has Made
Prices Of Food Cheaper – Minister
By News Desk
LISTEN MAR
11, 2020
The Minister of Food and
Agriculture, Dr. Owusu Afriyie Akoto has said there has been a tremendous
reduction in the prices of agricultural produce in the country since the New
Patriotic Party (NPP) took over the administration of the state.
He said food inflation has
reduced from 9.7% in 2016 to 7.2% in 2019, making the cost of food cheaper in
the last three years.
The Minister attributed the
development to what he claimed was the successful implementation of the Planting
for Food and jobs initiative.
“Food prices have never been so
cheap and I'm sure every one of you in this room will confirm that. So the
overall food prices declined significantly in 2019 compared to 2018. The
decline was 20 percent for maize, rice and sorghum and 38 percent for
groundnut, cowpeas and soya beans and 45 percent for the decline in wholesale
prices of cassava and plantain. Lower prices will, of course, imply an increase
in disposable income for consumers and food inflation also reduced from 9.7 in
2018 to 7.2 in December last year.”
Touting the achievements of the
Ministry of Food and Agriculture for the past three years under his leadership,
the Minister, Dr. Owusu Afriyie Akoto, said the government has created a huge
number of jobs under his ministry.
“We created 745,000 jobs in 2017;
in 2018 we created about 794,000 to 795,000 jobs and 946,000 in the last year.
The Minister also said the
government is in the process of importing machines for the milling of rice to
boost local rice production.
“We are also bringing in a lot of
rice mills, maize mills, soya mills as part of the mechanization in the centre
so that farmers can have access to these machineries.”
Dr. Akoto Osei also mentioned
that the government will inject an amount of 600 million cedis to fight the
swollen shoot disease that has been destroying cocoa farms in the country.
“We have a plan to tackle and we
have engaged the African Development Bank and they have made available $600
million for the cocoa sector and $200 million of that money will go into the
fighting of the swollen shoot virus.”
The Minister stated that the
government has no intention of placing a temporary ban on the importation of
rice and poultry from countries affected by the Coronavirus.
The Planting for food and jobs
The Planting for Food and Jobs
policy, which has been in existence for about three years, is to boost local
production and reduce the importation of foodstuff.
The ultimate aim is also to help
reduce the impact of imports on the cedi's performance as it will reduce the
high requirement for dollars for such purposes.
Under the Planting for food and
jobs, every district or local authority is expected to select a crop that it
has a comparative advantage in, where the government will support the cultivation
of such crops with fertilizer, improved seeds as well as other improved
technology.
Even though crops such as Maize,
Rice, Soybeans, Sorghum, and Vegetables including tomato, onion, and chili
pepper are all cultivated under the policy, the cultivation of maize has been
relatively dominant across the country.
As a result, in 2017, there was
no importation of the grain as local producers recorded higher output, and have
since been exporting some to neighbouring countries.
Food prices have reduced; but we
must stabilize it – Esoko
Esoko Ghana , a provider of
digital solutions and services for agriculture and data collection, had earlier
admitted there was a reduction in food prices but charged the government to do
more to stabilize the prices of food and other commodities on the market by
boosting production.
“Comparatively, I'll say that
what the President said there has been some price reduction in commodity prices
since the implementation of the planting for food and jobs. It is because most
often production has increased so when the harvest season is on, commodity
prices are fairly very low” said Content Manager of Esoko Ghana, Francis Danso
Adjei.
Citing some major problems faced
by the agric sector during various food seasons, he called on the President to
ensure that farmers don't run at huge losses as that affects their sales.
“Moving forward, he should look
at the post-production of the chain that has to do with how we handle whatever
we get at the end of the season; so that we will try and stabilize the prices
and have enough volume to supply throughout the year, and not to have lower
volume at certain times which will trigger price increases or have too much at
certain times to lower the prices which will be a disincentive for producers to
produce. So we need to try and make sure to reach a point where throughout the
year, prices will be fairly stable and not fluctuate” he added.
---citinewsroom
Tackling Coronavirus impact on economy
The Coronavirus (COVID-19)
epidemic is wreaking havoc on world economies and Nigeria is not an exception.
But, it has an advantage not many others enjoy. Aside the temperate climate,
which makes it difficult for the virus to spread, the Central Bank of Nigeria’s
(CBN’s) policies on diversification of the economy and investment in the
agricultural sector are shielding the economy from the adverse impact of crude
oil price fluctuation. The policies have helped in cutting Nigeria’s import
bill, created more foreign exchange earnings and improved consumption of
locally-produced goods, writes COLLINS NWEZE.
The world has shown enough resistance and bravery towards risks.
But when it comes to Coronavirus (COVID-19) epidemic, even the bravest of men
are anxious and scared. The plaque arrived when the world was least expectant,
with catastrophic damages to economies.
For instance, the world financial markets have tumbled as
concerns about supply-chain interruptions from China, oil price uncertainty
among major producers rise. Only few countries are likely to be left unscathed
by the outbreak’s financial ramifications.
The United Nation’s trade and development agency predicted that
apart from the tragic human consequences of the COVID-19 epidemic, the economic
uncertainty it has sparked will likely cost the global economy $1 trillion in
2020.
Although two cases of COVID-19 outbreak have been confirmed in
Nigeria, and decline in crude oil prices elevated the country’s economic risks,
the policies of the Central Bank of Nigeria (CBN) on economic diversification
and investment in agricultural sector have helped the economy to stand
firm in the midst of daunting challenges.
The CBN’s economic diversification policies are insulating the
economy from crude oil price fluctuation risks. Already, the economy has
witnessed reduced import bill, more foreign exchange earnings and consumption
of locally produced goods by Nigerians to save foreign exchange. There has also
been job creation from CBN’s initiatives in the agricultural sector created
jobs for Nigerians.
The CBN Governor, Godwin Emefiele, said the impact of COVID-19
on the African economy is becoming severe, especially the declining global oil
price and called for massive investment in agriculture.
Emefiele said the bank had been developing home-grown policies
to surmount challenges that confronted the economy lately.
“As I have always emphasised, it is our collective duty to
ensure that the potential and prospects of the economy are optimally realised.
The ongoing economic recovery requires the joint efforts and wise counsel of
everyone, if we must take giant strides forward. The CBN is more determined now
than ever to remain at the forefront of efforts to ensure that the rebound is
not overturned,” he said.
Speaking at a meeting with bankers in Lagos on the theme:
‘Strengthening the economic recovery process in Nigeria’ the CBN boss said with
regards to over-dependence in imports, the economic recession triggered mainly
by the drop in crude oil prices, only strengthened the case for moving from a
nation wholly dependent on consumption, to a nation that produces a large
proportion of what it needs, particularly in areas where the resources needed
for production are widely available across the country. This thought process,
he said, shaped decision to impose the restriction on access to forex for 43
items that can be produced in Nigeria.
“There has been considerable discourse particularly on whether
the restriction on access to foreign exchange for 43 items is driving local
production, with some nay-sayers stating that it has constrained productivity
and growth in the economy. Based on our internal research conducted at the
Central Bank of Nigeria, there is strong support that the recovery of our
economy from the recession may have been much weaker or even negative, without
the implementation of the restriction on 43 items.”
“Our research supports the conclusion that the combination of
the restriction on 43 items along with other measures imposed by the fiscal and
monetary authorities has helped to promote the recovery. Any attempt to reverse
the course of this action may have untold consequences on the growth trajectory
of our economy particularly in our push to diversify and restructure our
economy. In fact, recommendations are being made to the CBN that the list of 43
items be expanded to include other additional items that can be locally
produced.”
Emefiele said many entrepreneurs were taking advantage of this
policy to venture into the domestic production of the restricted items with
remarkable success and great positive impact on employment. “The dramatic
decline in our import bill and the increase in domestic production of these
items attest to the efficacy of this policy. Noticeable declines were steadily
recorded in our monthly food import bill from $665.4 million in January 2015 to
$160.4 million as at October 2018; a cumulative fall of 75.9 percent and an
implied savings of over $21 billion on food imports alone over that period.
Most evident were the 97.3 percent cumulative reduction in monthly rice import
bills, 99.6 percent in fish, 81.3 percent in milk, 63.7 per cent in sugar, and
60.5 percent in wheat,” he said.
Deepening agricultural sector
Speaking at the at the African Economic Research Consortium
Senior Policy Seminar XXII in partnership with CBN in Abuja, on the
theme: “Agriculture and Food Policies for Better Nutrition Outcomes in
Africa”, Emefiele said the outbreak of the coronavirus had dampened
consumer confidence resulting to decline in private consumption and global
demand slowdown.
He said the sad development had posed great threat to the
economic gains achieved across Africa in the recent past.
He emphasised the need for the countries on the continent to
massively invest in agriculture.
He said: “Very much like we have seen in the past, food is often
one of the immediate causalities of any catastrophe on the African continent.
The reason is not far-fetched, a sizeable proportion of the population is food
poor.
Emefiele said unlocking the huge potential of agriculture must
therefore be at the heart of any meaningful engagement on economic and social
development of the continent.
Anchor Borrowers’ Programme
The CBN has under Emefiele been giving priority to agriculture
and that has started to yield positive results.
The CBN established the Anchor Borrowers’ Programme, which was
launched by President Muhammadu Buhari on in 2015 with the objective of
creating a linkage between anchor companies involved in the processing and
smallholder farmers (SHFs) of the required key agricultural commodities.
The thrust of the ABP is the provision of inputs in kind and
cash (for farm labour) to smallholder farmers with a view to boosting the
production of rice, maize, poultry, sorghum, cassava, tomatoes and cotton,
among others. The idea is to stabilise input supply to agro-processors and
address the country’s negative balance of payments on food.
The ABP evolved from the consultations with stakeholders
comprising Federal Ministry of Agriculture & Rural Development, State
Governors, millers of agricultural produce, and smallholder farmers to boost
agricultural production and non-oil exports in the face of unpredictable crude
oil prices and its resultant effect on the revenue profile of Nigeria.
Aside the CBN, many stakeholders have called for diversification
of the economy away from oil. President/Chairman of Council, Chartered
Institute of Bankers’ of Nigeria (CIBN) Uche Olowu said, there was need to
diversify the economy from crude oil earnings so as to boost foreign investors’
confidence in the economy.
Speaking at the Economic Outlook forum in Lagos, he disclosed
that as soon as the economy is diversified, the country will see higher
accretion to the foreign reserves and improved confidence in the economy.
He said opportunities in the agricultural sector should be
explored to improve the country’s capacity to export agric products.
Head of Research at Coronation Merchant Bank, Guy Czartoryski
said oil price crash will be a defining risk for Nigeria’s foreign exchange
market. “We began this year with the view that the Naira/US dollar exchange
rate could hold for most of 2020. When the coronavirus outbreak became apparent
at the end of January, we still believed that a combination of monetary
stimulus in developed markets and foreign portfolio investment into Nigeria
would stabilise the risk outlook,” he said in an emailed report to investors.
Emefiele has continually urged Nigerians to support the drive by
the bank and the fiscal authorities to ensure diversification away from crude
oil.
He recalled how the CBN tackled the multiple challenge of
bringing down exchange rate from a high of about N525 to $1 to N360 to $1,
reducing inflation and creating jobs at the height of recession, stressing that
there were structural inefficiencies in the economy that the bank had to
correct.
He also listed some of the initiatives towards expanding the
agricultural sector. There has been support for the textile industry, creative
industry among others. In the textile industry, the CBN facilitated the
signing of two memoranda of understanding (MoU) among stakeholders in the
country’s Cotton, Textiles and Garments (CTG) sector.
The first MoU signed was between the National Cotton Association
of Nigeria (NACOTAN) and Ginning Companies, to guarantee steady off-take and
processing of cotton lint and cotton seeds; while the second was between the
Nigerian Textile Manufacturers Association and the Armed Forces of Nigeria,
Nigeria Police, Para-military institutions & National Youth Service Corps
to facilitate long- term contracts with Textile and Garment companies to
manufacture uniforms in Nigeria for use by various arms of Nigeria’s uniform
services.
Speaking at the epoch-making ceremony held at the Bank’s Head
Office in Abuja, the CBN Governor, Emefiele, expressed gladness that
stakeholders are supporting the vision to grow and develop Nigeria’s
agricultural sector and the wider economy.
On rice milling, Emefiele, has extracted commitments from the
National Rice Millers Association of Nigeria (NRMAN) and Nigeria Rice Dealers
and Suppliers for the supply of rice as well as ensuring its availability to
merchants to ensure supply across the country.
The CBN has also approved a single-digit interest rate facility
of N19.2 billion to nine cotton processing farms for retooling their factories
and boosting production capacity.
The industry which deteriorated over time, had the potential to
create at least two million jobs if well harnessed.
Emefiele said: We (CBN) are improving the links between cotton
farmers and ginneries, by ensuring that ginneries are able to off-take the
high-quality cotton produced by these farmers. The same support will be
extended to the textile and garment farms. We have invested heavily in our
local textile and garment factories to retool and produce assorted uniforms for
our uniformed services that meet international standards, he added.
Support for the Creative
Industry
The CBN in conjunction with the Bankers’ Committee is set to support
the growth of the creative industry comprised mainly of fashion, information
technology, lm and music through the Creative Industries and Financing
Initiative (CI-FI) with an initial N22 billion funding.
Emefiele, disclosed this while
delivering his keynote address the Creative Nigeria Summit with the
theme: Finance for Growth which held
in Lagos.
The Creative Industry Financing Initiative (CI-FI) was
introduced as a Bankers’ Committee initiative to improve access to long-term,
low-cost financing to entrepreneurs and investors in the Nigerian creative and
information technology (IT) sub- sectors in recognition of its significance to
job creation, poverty reduction and inclusive growth.
The initiative is to be financed from the Agribusiness, Small
and Medium Enterprises Investment Scheme (AGSMEIS) Fund which the Deposit Money
Banks (DMBs) have set aside five per cent of their profit after tax yearly to
support small and medium scale businesses.
He noted that close to 60 per cent of the nation’s population is
under the age of 35, indicating a youthful population that need to be engaged.
Therefore, the CI-FI is part of the banking sector’s efforts to harness the
innovative and creative energy of the youth towards enabling them to create
productive ventures that would support improved wealth and job creation in
Nigeria.
Emefiele said that with the support of the Federal and Lagos
State Governments, the National Theatre, Iganmu, Lagos, is expected to serve as
the pilot scheme for the planned 40-acre Creative Industries Park, after which
similar parks will be set up in Kano, Port-Harcourt and Enugu.
The CI-FI is expected to improve access to long-term, low-cost
financing for entrepreneurs and investors in Nigeria. This initiative is
targeted at employing 300,000 youths within the next five years. The
beneficiaries could get up to N500 million at an interest rate of nine per
cent. The industries to bene t from this initiative include fashion,
information technology (IT), movie and music production and software engineering
students loan.
The CBN had said that software engineering students could get a
loan of up to N3 million, N30 million for movie production, applicants in the
movie distribution business could get as much as N500 million. Loans for
fashion and information technology businesses would cover rental and service
fees, while loan amounts for music business would cover training fees,
equipment fees and rental and service fees.
The bank had said that the period for the repayment of the loan
for software engineering students is a maximum of three years. Loans for movie
production and distribution, fashion, information technology (IT) and music
production could be repaid in a maximum of ten years.
Currently, the CBN had received 38 applications from industry players
who were interested in accessing the facility. The CBN had said that the
Deposit Money Banks (DMB) had the mandate to disburse the funds to the
qualified applicants.
Forex restriction on milk
import
Besides, the CBN restricted importers of milk from accessing
foreign exchange from official market. It limited the importation of milk and
other dairy products to six firms- FrieslandCampina WAMCO Nigeria; Chi Limited;
TG Arla Dairy Products Limited; Promasidor Nigeria Limited; Nestle Nigeria PLC
(MSK only), and Integrated Dairies Limited.
According to the policy guideline, all Forms ‘M’ for the
importation of milk and its derivatives will only be allowed for the
aforementioned companies.
Managing Director, Financial Derivates Company Limited who is
also a member of Economic Advisory Council, Bismarck Rewane, said the
restriction on dairy products was to increase the domestic production of milk
and other dairy products and conserve foreign exchange, thereby forcing
manufacturing companies to look inwards and invest more in backward
integration.
“The foreign exchange restriction policy will reduce the demand
pressure on Nigeria’s foreign exchange earnings. Nigeria spends approximately
$1.2 billion to $1.5 billion annually on milk and dairy importation, 3.21 per
cent to 4.01 per cent of the current external reserves level of $37.37
billion,” he said.
Finding showed that for over 60 years, Nigerian children and
indeed adults have been heavily dependent on milk imports with huge
implications for national food security. It is time to change the tide and
ensure the future food security of the Nigerian child and adults.
Also, the under the CACS programme (Commercial Agriculture
Credit Scheme), is supporting dairy farmers, producers and companies, with
credit to enable backward integration. The bank will be partnering with State
Governments to acquire farmlands of up to 200 hectares for grazing reserve
purposes, rehabilitation and development.
Analysts said that while it was difficult to predict how the
international financial markets will react to COVID-19’s impacts “what they do
suggest is a world that is extremely anxious. For them, there’s a degree of
anxiety now that’s well beyond the health scares which are very serious and
concerning.
But Nigeria’s economic diversification diversification agenda
and CBN’s commitment to the agricultural sector will continue to insulate the
economy against uncertainties.
FG will continue engagement, collaboration with private sector –
Osinbajo
Posted on March 11,
2020 by Encomium
*Urges business community to
support free & compulsory education initiative
*VP is a reliable partner, excellent leader, says Kano Chamber of Commerce
The importance of the private sector in the development of the economy, especially in creating employment is why a regular interface between the private sector and the Federal Government will continue, according to Vice President Yemi Osinbajo, SAN.
Prof. Osinbajo stated this on Tuesday when he received on a courtesy visit to the Presidential Villa, a delegation from the Kano Chamber of Commerce, Industry, Mines, and Agriculture (KACCIMA) led by its President, Alhaji Dalhatu Abubakar.
According to him, “We must see how to make sure that we are continually engaging, it is very important. I have continued to emphasize that the private sector is the engine of the economy and will continue to see in what ways we can support the private sector.”
“So, we need to be able to get private sector interest along with government to bring power to Kano, for instance. If we can bring substantial amount of investment in power to Kano, we can really make a difference. So, I am looking forward to working with you on power.”
Continuing on the need for closer collaboration between KACCIMA and the Federal Government, the Vice President said “anyone who understands the history of business in Nigeria cannot in any way diminish the importance of the Kano business community.
“As a matter of fact when we started the Presidential Enabling Business Environment Council (PEBEC), in engaging the partnership that will help us, Lagos and Kano had to be the two focal points for the implementation of our reform plans.
“We must establish a way of collaborating, where we look at specific measures on how to advance solutions to the numerous problems that are facing us.”
Speaking further on the importance of effective collaboration with the business community, Prof. Osinbajo said “we must do everything possible to support the business community in Kano.”
Encouraged by the report he received from the delegation on the progress made by rice millers in Kano State, the Vice President restated efforts being made by the Federal Government to further support agricultural production including a collaboration with other partners using 12 dams across the country under the Transforming Irrigation Management Project.
Besides the core interest of boosting opportunities to grow businesses in Kano, Prof. Osinbajo tasked the business community in the state to support the free education initiative of the State government as a way of building the future workforce for the industries that would be established.
“Everywhere businesses have thrived and succeeded, it has been accompanied by the drive of young people who have the requisite skills to do the necessary jobs.
*VP is a reliable partner, excellent leader, says Kano Chamber of Commerce
The importance of the private sector in the development of the economy, especially in creating employment is why a regular interface between the private sector and the Federal Government will continue, according to Vice President Yemi Osinbajo, SAN.
Prof. Osinbajo stated this on Tuesday when he received on a courtesy visit to the Presidential Villa, a delegation from the Kano Chamber of Commerce, Industry, Mines, and Agriculture (KACCIMA) led by its President, Alhaji Dalhatu Abubakar.
According to him, “We must see how to make sure that we are continually engaging, it is very important. I have continued to emphasize that the private sector is the engine of the economy and will continue to see in what ways we can support the private sector.”
“So, we need to be able to get private sector interest along with government to bring power to Kano, for instance. If we can bring substantial amount of investment in power to Kano, we can really make a difference. So, I am looking forward to working with you on power.”
Continuing on the need for closer collaboration between KACCIMA and the Federal Government, the Vice President said “anyone who understands the history of business in Nigeria cannot in any way diminish the importance of the Kano business community.
“As a matter of fact when we started the Presidential Enabling Business Environment Council (PEBEC), in engaging the partnership that will help us, Lagos and Kano had to be the two focal points for the implementation of our reform plans.
“We must establish a way of collaborating, where we look at specific measures on how to advance solutions to the numerous problems that are facing us.”
Speaking further on the importance of effective collaboration with the business community, Prof. Osinbajo said “we must do everything possible to support the business community in Kano.”
Encouraged by the report he received from the delegation on the progress made by rice millers in Kano State, the Vice President restated efforts being made by the Federal Government to further support agricultural production including a collaboration with other partners using 12 dams across the country under the Transforming Irrigation Management Project.
Besides the core interest of boosting opportunities to grow businesses in Kano, Prof. Osinbajo tasked the business community in the state to support the free education initiative of the State government as a way of building the future workforce for the industries that would be established.
“Everywhere businesses have thrived and succeeded, it has been accompanied by the drive of young people who have the requisite skills to do the necessary jobs.
“There is, therefore, the need
for the Kano Chamber of Commerce, Industry, Mines and Agriculture to support
the free education initiative in Kano, even just the advocacy is important.”
Earlier, the President of KACCIMA, Alhaji Dalhatu Abubakar who led other members of the delegation to welcome the Vice President into the conference room with a birthday song, commended Prof. Osinbajo for his commitment to the achievement of successes under the ease of doing business initiative and described the VP as a “reliable partner,” of the President.
According to him, “your excellent leadership qualities and commitment in making Nigeria a better country has been responsible for all the achievements that have been recorded under the Presidential Enabling Business Environment Council (PEBEC).”
Earlier, the President of KACCIMA, Alhaji Dalhatu Abubakar who led other members of the delegation to welcome the Vice President into the conference room with a birthday song, commended Prof. Osinbajo for his commitment to the achievement of successes under the ease of doing business initiative and described the VP as a “reliable partner,” of the President.
According to him, “your excellent leadership qualities and commitment in making Nigeria a better country has been responsible for all the achievements that have been recorded under the Presidential Enabling Business Environment Council (PEBEC).”
Rice federation
requests $80 million to aid sector
Thou Vireak |
Publication date 12 March 2020 | 23:43 ICT
In December, the Ministry of Economy and Finance allocated $50
million to a fund managed by RDB that firms can use to buy rice during the
harvest season. Post Pix
The Cambodia Rice Federation has
asked the government to disburse $80 million through the Rural Development Bank
(RDB) to help millers purchase paddy.
CRF president Chan Sokheang made
the request on Tuesday during a meeting with RDB director-general Kao Thach.
Sokheang told The Post on
Thursday that the rice federation asked the government to increase the budget
dedicated to helping the sector by $30 million from the current $50 million.
The money in the fund will be used by millers to buy paddy in the next harvest
season.
“Part of the budget [to help the
rice sector] has been diverted to the Ministry of Economy and Finance. CRF
asked the government not to take money out of the fund and instead add to it as
millers will need the money to buy paddy starting next month.
“We are facing difficulties
obtaining credit, with commercial banks reducing their lending to the
agriculture sector from $1 million to just $500,000.
“We are asking the government for
help so that we can meet our goal of exporting one million tonnes of rice,” he
said.
CRF also asked the
state-sponsored bank to extend repayment periods from six to 12 months.
“We ask for the repayment period
to be delayed as rice exporters and millers face a lack of liquidity as a
result of Covid-19,” CRF said in a press release.
Sokheang said Kao Thach had
initially agreed to disburse the funds but that the government had the final
word.
In December, the Ministry of
Economy and Finance allocated $50 million to a fund managed by RDB that firms
can use to buy rice during the harvest season.
Signatures of Asia general
manager Chan Pich told The Post that his company plans to buy 200,000 tonnes
this season with a $500,000 loan from RDB.
“Increasing the fund will
definitely help the rice sector. My company, for example, plans to spend $4
million to buy rice and will need to borrow money,” he said.
In October, the Cambodia Rice
Federation (CRF) set the goal of reaching one million tonnes in exports of rice
by 2022.
“To make this happen, we have a
credit package of $200 million with a special interest rate to purchase rice
during the harvest season,” said then-president Song Saran, adding that this
amount of money can buy at least 500,000 tonnes of jasmine rice.
Cambodian rice exports reached
620,106 tonnes last year, a one per cent drop compared to 2018. It was the
second year in a row that rice exports experienced a slight decline.
The Kingdom’s rice exports were
valued at $501 million last year, down 4.3 per cent from 2018.
Stainless steel is
the most hygienic, durable and, cost effective metal for rice mill industry:
ISSDA
Lower maintenance and longer life cycle gives stainless steel an
edge over other materials
11th March, 2020: Indian Stainless Steel Development Association (ISSDA), the apex
body of the Indian stainless steel industry, organised a seminar on
the ideal choice of material in rice mill plants today in Burdwan.
The event highlighted the growing corrosion and hygiene related concerns of the
rice mill industry, thus emphasizing on the urgent need to shift to stainless
steel in order to ensure a durable, healthy, and cost effective raw material
which is also low on maintenance. “Corrosion and hygiene are the biggest
challenges in the rice mill industry but they can be easily curbed with the use
of stainless steel. Stainless steel is a low maintenance, corrosion free, easy
to fabricate, and hygienic metal with a longer life cycle. I am confident that
the rice mill industry will benefit economically with stainless steel solutions
as corrosion related losses will reduce drastically”, said Shri
SK Goel, Chief of Business Unit, Jindal Stainless Steelway Limited in
his welcome note.
India, being one of the world’s largest producers of rice,
boasts of a significant rice milling market. East India accounts for the
largest share of the rice milling market in the country, primarily due to the
fact that this area is conducive for rice growth. As per the Market Research
Future report, Indian rice milling market is expected to value at an estimated
USD 392.6 million by the end of 2022*. Rice millers are increasingly investing
in modern and high-quality rice milling equipment to increase yield and quality
of the final product. However, they face challenges of rapid corrosion of
blades and other hygiene-related issues due to unused rice husk.
In his opening remarks, Shri Sushil Chowdhary, President, Bengal Rice
Mill Association and General Secretary, The Federation of All India
Rice Millers Association said, “East India
constitutes the biggest rice mills market with Burdwan as a major centre where
use of mechanical dryer started in 1990s. In due course, we have faced
challenges like high maintenance cost, frequent repair work etc. I am hopeful
that with the use of stainless steel, we will be able to improve the
productivity as well as bring down the lifecycle cost of our machineries, which
in return will benefit both the industry and the society.”
Along with Shri Sushil Chowdhary, President, Bengal Rice Mill
Association, the event was attended by other dignitaries like Shri Abdul
Malek, Working President, Burdwan District Rice Mill Association & Bengal
Rice Mill Association; Shri Rohit Kumar, Executive Director, Indian
Stainless Steel Development Association, and Shri Punjab Singh, a fabricator
from Punjab.
“ISSDA has been working closely with rice millers to promote
stainless steel in the industry as the metal which will ensure sustainable
growth in the sector. Stainless steel can curtail contamination as well as
increase the life of machineries and equipments. This directly benefits the
consumers as well as the millers”, said Rohit Kumar, Executive Director, ISSDA.
Stainless steel has a high resistance to corrosive media found
in rice mill industry. This leads to a long life of the equipment and prevents
wear and tear. The special high chromium and nickel – alloyed grades of the
metal allow scaling and retain strength at high temperatures, which is quite
useful for the industry.
The metal also prohibits growth of bacteria due to its smooth
surface. Hence, stainless steel is the preferred choice of sectors like
hospitals, food processing, rice mill, brewery, distillery, and pharmaceutical
industries where hygiene plays an important role. Moreover, stainless steel
offers lifestyle cost advantage since it is durable and a low maintenance
material. It is easily recyclable and has a better end-of-life scrap value.
Vijayawada: Collector Mohammad Imtiaz opens handicrafts exhibition
Krishna District Collector
Mohammad Imtiaz going around the stalls after inaugurating Shilpararam
Handicrafts exhibition in Vijayawada on Thursday
HIGHLIGHTS
Vijayawada: Krishna District
Collector Mohammad Imtiaz has said the State government was encouraging handicrafts
and providing opportunities for...
Vijayawada: Krishna District
Collector Mohammad Imtiaz has said the State government was encouraging
handicrafts and providing opportunities for marketing and sale of products.
Imtiaz on Thursday inaugurated
the Shilparamam Handicrafts exhibition at the Rice Millers Association hall in
Gandhi Nagar here. The exhibition will be conducted till March 21.
Speaking on the occasion, the
District Collector said that the customers could directly visit the exhibition
and purchase various types of handicrafts, garments, sarees and many other
products. He said the State government has decided to set up Shilparamam in all
districts to encourage the artisans and craftsmen to promote their products.
The collector informed that Shilparamams
were set up in Visakhapatnam, Tirupati, Kadapa, Pulivendula, Anantapuram,
Puttaparti, Vizianagaram and Kakinada. Weavers and artisans from various parts
of the state put on sale various products like sarees, dresses, towels, leather
products like bags, jute products, footwear, decorative articles etc.
Farmers can now fire up a mobile app
to sell paddy to govt
12:00
AM, March 12, 2020 / LAST MODIFIED: 02:36 AM, March 12, 2020
The move to ensure fair prices for farmers
Technology can change the world, it
is often said. And the lives of the country's 1.5 crore farm families, who are
often shorn of fair prices, are about to change with the government move to
purchase paddy from them by way of a mobile application.
The app, which is called Krishoker
App, will be used to purchase paddy from farmers in all sadar upazilas in the
upcoming boro harvesting season.
"Our aim was to ensure fair
prices for farmers," said Food Minister Sadhan Chandra Majumder at a press
conference at his office yesterday.
The app has already been piloted in
16 upazilas by the Directorate General of Food in the just concluded aman
procurement season: 30,000 tonnes of paddy was bought off 23,000 growers.
The food office bought the highest
amount of aman paddy of 6.27 lakh tonnes in recent decades and achieved its
buying target -- a first in 24 years, according data from the food ministry.
"Save for some minor errors,
this was the first time we were able to buy such a big quantity of paddy. We
hope we have become successful."
The paddy was bought directly from
farmers based on a list of producers prepared by the agriculture ministry. The
list had more than 135,000 names. From the list 23,000 were chosen at random.
Some 25 teams monitored the purchase to ensure they were real growers and there
was no political intervention or presence of middlemen.
Riding on the success, the food
office will pilot paddy procurement through the mobile app in the remaining 48
sadar upazilas as well during the next boro harvest.
"We introduced the mobile app
to ensure that we can reach out to more farmers and the initiative has paid
off. The idea is to bring all the districts under the app-based procurement
system in the next aman season," Majumder added.
A farmer can apply for selling
paddy to public warehouses, track progress of his application and file
complaint using the app.
Apart from paddy, the DG Food
bought 3.37 lakh tonnes of parboiled rice from millers at Tk 36 per kg, and
43,400 tonnes of unboiled rice during the just concluded aman purchasing
season.
In case of milled rice, the total
amount of grain purchased during the aman harvest was 7.97 lakh tonnes,
according to food ministry data.
With the aman purchase, the total
amount of rice procured by the DG of Food including last year's boro stands at
22 lakh tonnes, food ministry data showed.
The government has allocated Tk
8,024 crore to buy 21.20 lakh tonnes of rice in the current fiscal year,
according to the finance ministry.
The government's purchase has
started to have an impact on the prices of the staple grain in the market, said
Agriculture Minister Muhammad Abdur Razzaque.
At present, the price of coarse
paddy is Tk 800 each maund and the prices of fine grain are between Tk 1,100
and Tk 1,200 a maund, much higher than before.
"Despite the rise, the prices
of coarse grain are normal and there is no negative reaction from low-income
people," Razzaque said, adding that the government is hopeful of buying
paddy directly from growers in the next boro season.
Ensuring the percentage of moisture
content in line with the required parameters of the food ministry has been the
biggest obstacle for farmers in supplying grain to public warehouses and thus
getting fair prices.
The agriculture ministry has bought
adequate moisture measuring meters, which will be given to agricultural
extension officials so that they can help farmers know if the moisture level in
their grains is within the required level of 14 per cent.
As a result, officials at the local
storage depots will not be able to refuse to buy paddy from the farmers.
"The government is determined
to buy paddy from growers at any cost."
Razzaque went on to share his past
experience as a food minister and said politically and socially influential
people used to provide the grains to public warehouses depriving farmers.
He said he had once tried to buy
wheat from farmers and found that influential people in the northwest districts
of Thakurgaon, Panchagarh and Dinajpur were supplying the cereal by posing as
farmers.
The food ministry also plans to buy
rice from millers through the mobile app, said Food Secretary Mosammat
Nazmanara Khanum.
Tushar Roy, a farmer from Dinajpur
sadar, praised the government's initiative to buy paddy through the mobile app.
The grower signed up for the
Krishoker App with the help of his relatives and received a text message later
that he was selected in a lottery to sell paddy to the public food office.
He supplied the grain on the
scheduled date and received the proceeds in his bank account just after
delivery.
"This is a good system.
Farmers will be benefitted if the government makes its purchases in this way. But
the government should ensure that all the farmers can sell their grains to food
offices gradually," he told The Daily Star by phone.
Razzaque said farmers who could not
provide paddy to the government godowns in the just concluded aman purchase
scheme would be able to supply in the next boro season.
The names of those who supplied
aman paddy this time will not be put in the lottery in the next boro paddy
purchase drive so that all farmers are equally benefitted, he added.
To ensure that real farmers get the
opportunity to sell their produce to the government, the agriculture ministry
is also preparing to provide farmers new cards as per an updated list, said
Agriculture Secretary Md Nasiruzzaman.
Replying to a question on the
progress in establishing 200 paddy silos, Majumder said the proposal for the Tk
6,000-crore project is now with the planning commission and its implementation
might begin in the next fiscal year.
Kalay locals plan to donate food
supplies to IDPs in Paletwa
PUBLISHED 12
MARCH 2020
AUNG THU
TUN
Locals
from Kalay are collecting money to donate food supplies and medicines to IDPs
living in Paletwa Township, Chin State, sources said.
Locals
from Paletwa organized a committee to send rice and food supplies from Kyauktaw
and Samie in this month.
“We
want to fulfill the need of ethnics. We learned about their difficulties from
the news and MP Hway Tin. The donation started for two days now and we have
over 60 rice bags and over one million in cash. We planned to ask for donations
until March 20. We will transfer the food supplies to the state government. We
will mainly donate rice as we own rice mills. We want to tell the
organizations, which can bring peace, to do for a ceasefire,” said Thein Shwe
from Rice Millers Association.
Social
welfare associations held an emergency meeting on March 10 in Paletwa and
announced six agreements.
“We
are nearly short on rice in our homes and no store is selling. We planned to
carry rice and food provisions via Kyauktaw and Samie. We will carry rice and
food provisions through Sittwe if we are allowed. We cannot buy dry noodles as
well,” said San Mya from Paletwa.
Transport
and internet access in Paletwa has been cut off for about one month now.
Paddy procurement:
Intention and outcome
Shamsul
Huq Zahid | Published: March 12, 2020
22:19:59
The Ministry
of Food has achieved something remarkable---it has procured 0.627 million
tonnes of Aman paddy this year. The quantity is the highest in nearly two and a
half decades. The ministry has also surpassed the target of procuring 0.6
million tonnes of paddy.
This was for
the first time after 2010 the government reportedly purchased paddy alongside
processed rice with the objective of benefitting the rice growers. The decision
was taken in the wake of widespread criticism of the government for its failure
to ensure fair price for farmers during the harvest time of major rice crops.
Rice growers
had not been able to recoup even their production cost for the past few years
despite the fact that the rates fixed by the government for procuring rice from
them (farmers) were well above their cost of production.
It is rather
an open secret that the directorate of food does not buy rice from farmers
directly. Large millers are their procurement sources. The main reason for
choosing the millers is that they supply fully processed rice that can be
preserved in silos for a reasonable period of time. Naturally, farmers do not
have the capacity to fulfil the requirement of the food directorate, in terms
of supplying processed rice.
But this
dependency on the millers, in fact, has given rise to the opportunity to
exploit the rice growers.
The millers
collect paddy through their agents at the field level. It is obvious they would
want to procure paddy at low price with a view to maximising the profit they
would earn by supplying milled rice to the government. The main reason for
paddy price remaining at unusually low level, compared to the prices of milled
rice, is the influence that the millers maintain at the ground level rice
market.
One cannot be
blamed for being sceptical about the government's latest move to benefit
farmers by procuring paddy directly from the latter. The food ministry claims
that its officials procured Aman paddy from the farmers who were on the lists
supplied by the Department of Agricultural Extension officials and
authenticated by the upazila procurement committees.
But the
experiences gained from similar government moves in the past or ongoing safety
net programmes in rural areas, it is hard to put faith in such lists and
procurement on the basis of those.
It could be
that here also the millers or the agents appointed by them had supplied paddy
to the government. Why would not they? The supply of paddy in bulk would earn
no less financial gain than that of processed rice. Moreover, the field-level
food officials find it rather easy to deal with a limited number of millers
rather than with thousands of farmers.
The top
notches at the Ministry of Food do need to see whether the move initiated by
them to benefit rice growers through the procurement of paddy had gone in the
right direction. Allegation of widespread irregularities in government's food
procurement programme is rather old. So, instead of believing the reports
coming from the field-level officials, the ministry high-ups should despatch fact-finding
teams to different areas of the country to know the actual developments.
https://thefinancialexpress.com.bd/views/opinions/paddy-procurement-intention-and-outcome-1584029999
$80 million requested from RDB for
upcoming harvests
Chhut Bunthoeun / Khmer Times
The Cambodia Rice Federation
(CRF) has requested the state-run Rural Development Bank of Cambodia (RDB),
reserve an additional $30 million to purchase paddy from the Kingdom’s rice
farmers during the upcoming harvest seasons.
The CRF and RDB determined during
a meeting that another $30 million, on top of the already $50 million reserved
for the 2020-2021 harvest season would be required, bringing the total
assistance package to $80 million.
Launched in 2016, the
government-led fund aims to help rice millers purchase paddy rice from farmers
that have been affected from the drop in loan approvals from commercial
banks, which coincided with the European Union’s imposition of tariffs on rice
exports.
Lun Yeng, secretary-general of
CRF said, “Only a small amount of the $50 million in funds allocated last year
have been used because it was disbursed at the end of the harvest season. We
believe there will be additional loans required this year and this is why the
federation has requested the additional $30 million.”
He explained that the already
reserved $50 million will be used in the first round of harvest season and the
$30 million requested will be used in the second round.
“With this extra amount we will be able to buy around 200,000
tonnes of rice and will help rice millers and agricultural community members of
the CRF to purchase paddy from farmers,” he told Khmer
Times.
Meeting between Rural Development Bank and Cambodia Rice
Federation on loan package and loan repayment delay. The Cambodia Rice
Federation
He noted that the first round of
harvesting will begin in July, particularly the Sen Kor Ob fragrant rice
variety, while the second round of harvesting will start between November and
December for the premium fragrant rice varieties such as Phka Rumdoul, Romdeng,
Romeat and Somaly.
Kao Tach, director of the RBD,
could not be reached for comment yesterday, but has been quoted as saying
that he will “take all proposals for consideration and asks the
government for a principal approval.”
Cambodia exports approximately
600,000 tonnes of jasmine and fragrant rice aevery year and is the nation’s
most important crop, according to the CRF. Grade A fragrant rice fetches $900
to $950 per tonne, with estimates that around three million Cambodians rely on
the grain for their livelihood.
Despite the devastating global
economic effects of the COVID-19 outbreak, Cambodian milled rice to the
European Union saw a 126 percent increase in the first two months of this year,
compared to the same period in 2019. With the Chinese market increasing 33
percent over the same period, according to data from the CRF.
Lun said the rise of rice exports
to the European Union is due to the reduction of tariffs which have been
dropped from $175 to $150 per tonne of rice exported this year, while at the
same time Chinese demand has also been rising significantly.
“Although the Novel Coronavirus is hurting China’s economy
badly, exports to there are going
well. What we were concerned about was ship availability, but now we have confirmed they are in place to carry our rice to China,” Lun added.
well. What we were concerned about was ship availability, but now we have confirmed they are in place to carry our rice to China,” Lun added.
Troops seize
smuggled rice in Zambo City
March 12, 2020, 8:25 pm
SMUGGLED RICE. Government troops seize a
rice shipment on Tuesday (March 10, 2020) while manning a checkpoint in Sitio
Lawingan, Barangay Labuan, Zamboanga City. Authorities say the shipment lacked
documents and declared the cargo smuggled. (Photo courtesy of Joint Task Force Zamboanga)
ZAMBOANGA CITY -- Government forces have intercepted a shipment of smuggled
rice in a west coast barangay of this city, officials said Thursday.
Col. Antonio John Divinagracia, Joint Task Force Zamboanga commander, said the troops belonging to the Army’s 74th Infantry Battalion were manning a checkpoint when they intercepted the rice shipment around 5:30 p.m. Tuesday in Sitio Lawingan, Barangay Labuan here.
Divinagracia said the truck driver, Arlen Pantaleon, failed to present documents showing the legality of the rice shipment, prompting the troops to seize the cargo consisting of 130 sacks of rice.
He said Pantaleon told the troops that the rice shipment is owned by Ariane Tan, a businesswoman residing in Barangay Malagutay, this city. The truck and items were turned over to the Police Station 10 for proper disposition.
Lt. Gen. Cirilito Sobejana, commander of the Western Mindanao Command (Westmincom), said that they will not tolerate rice smuggling in their area of operation.
“Rice smuggling deprives the government revenue collection; hence, it should be stopped,” Sobejana said. (PNA)
Col. Antonio John Divinagracia, Joint Task Force Zamboanga commander, said the troops belonging to the Army’s 74th Infantry Battalion were manning a checkpoint when they intercepted the rice shipment around 5:30 p.m. Tuesday in Sitio Lawingan, Barangay Labuan here.
Divinagracia said the truck driver, Arlen Pantaleon, failed to present documents showing the legality of the rice shipment, prompting the troops to seize the cargo consisting of 130 sacks of rice.
He said Pantaleon told the troops that the rice shipment is owned by Ariane Tan, a businesswoman residing in Barangay Malagutay, this city. The truck and items were turned over to the Police Station 10 for proper disposition.
Lt. Gen. Cirilito Sobejana, commander of the Western Mindanao Command (Westmincom), said that they will not tolerate rice smuggling in their area of operation.
“Rice smuggling deprives the government revenue collection; hence, it should be stopped,” Sobejana said. (PNA)
|
Nutrition
Research Gives Thumbs Up to Infant Rice Cereal
ARLINGTON,
VA -- Results from a recent research project examining nutrition benefits of
rice cereal consumption for infants make the strong case for inclusion of
baby cereal in the diets of infants and toddlers.
The
study, "Nutrient intake, introduction of baby cereals and other
complementary foods in the diets of infants and toddlers from birth to 23
months of age," reviewed the reported intake of rice baby cereal,
non-rice baby cereal, and non-baby cereal consumers using data from the
National Health and Nutrition Examination Survey (NHANES).
The
NHANES data suggests that infants who consumed baby cereal had greater
consumption of nutrients from 0 to 23 months of age. The study also
found that baby cereal consumers, both rice and non-rice, had better intake
for nutrients such as iron and calcium. In addition, baby cereal
consumers, again both rice and non-rice, had lower intakes of cheese, pizza,
sandwiches, cured meats/poultry, desserts, fats, and oils.
"The
findings from this research are significant for the industry as they
demonstrate consumption of rice baby cereal in the 0-24-month population is
linked to better nutrient intake which leads to better overall health and
lower risk of disease," said Byron Holmes, Arkansas rice farmer and
chair of the USA Rice Nutrition Subcommittee. "This science-based
study bolsters the industry's claim that rice cereal is a nutritious option
for infants, and the findings are being well received by consumers and the
media."
The
study results have been picked up by more than 145 media outlets including
Yahoo! Finance, Market Place, and New Food Magazine, and received more than
149 million positive impressions within a 24-hour period.
This
project was undertaken in advance of the 2020 U.S. Dietary Guidelines for
Americans to secure rice's position as a valued and important nutrition
source for infants. It was supported and funded by The Rice Foundation,
with additional resources provided by the Arkansas Rice Research &
Promotion Board, the Louisiana Rice Research Board, and the Mississippi Rice
Research Board; and was published in the March edition of AIMS Public
Health Journal.
The
research has been shared with trade and consumer media, and will be sent to
all members of the 2020 Dietary Guidelines Advisory Committee by both USA
Rice and the AIMS Public Health Journal.
|
|
Tk 100cr subsidy earmarked for farm
machinery
12:00 AM, March 13, 2020 / LAST
MODIFIED: 01:26 AM, March 13, 2020
Move to reduce farmers’ production cost in next boro season
The government is putting its best
foot forward to help farmers buy agricultural machinery with subsidy ahead of
the next boro season so that the growers can bring down their production costs,
said officials of the agriculture ministry.
Some Tk 100 crore has been set
aside for this purpose this fiscal year and the farmers will get 50 per cent of
the price of a machine as subsidy.
For example, a farmer will be
entitled to up to Tk 14 lakh of subsidy for buying a combine harvester, which
will help him bag produce on time by reducing dependence on labourers.
Similar support will be provided
for buying reapers and transplanters, the officials said.
"We will start offering the
support to farmers as soon as possible," said Agriculture Secretary Md
Nasiruzzaman.
On Wednesday, Agriculture Minister
Muhammad Abdur Razzaque said the finance ministry has already allocated the
money and additional fund would be available if needed.
On top of that, his ministry has
outlined a Tk 3,200-crore project to speed up mechanised farming and the
project would soon be placed at the Executive Committee of the National
Economic Council (Ecnec) meeting for approval.
The initiative comes in the face of
soaring wages due to a shortage of farm labourers in the peak season of harvest
and plantation, causing a loss in the yield of rice. Paddy is cultivated on 71
per cent of the total croplands of 1.54 crore hectares in the country,
according to official data.
As per Bangladesh Bureau of Statistics
(BBS), the average daily agricultural labour wage remains high during
harvesting seasons of aman and boro rice crops, which account for more than 90
per cent of the total annual production of 3.73 crore tonnes of milled rice.
Farmers harvest most of their aman
paddy during the months of November and December and the principal crop boro
during May and June.
The average daily wage (excluding
the cost of food) of a male farm worker rose 27 per cent to Tk 337 in May of
2016 from Tk 265 two years earlier, according to BBS data.
Currently, farmers prepare more
than 90 per cent of their total croplands by power tillers and tractors.
A majority of the grains, mainly
rice, are threshed by machines and the rate of mechanisation is growing as
farmers find the use of agricultural machinery beneficial in terms of
cost-saving and timely cultivation.
However, the progress in mechanised
transplantation and harvest has been slow over the years owing to the high cost
of machines, a lack of machinery suitable for cultivating all types of soils
and a dearth of operators and mechanics, said agriculturalists.
To provide support to farmers, the
agriculture ministry requested the finance ministry in October last year to
allocate a subsidy fund for combine harvesters, reapers and transplanters.
Agriculture Secretary Nasiruzzaman
said the agriculture ministry sought the fund from the allocated subsidy of Tk
9,000 crore this fiscal year and the finance ministry would provide another Tk
100 crore if needed.
However, the finance ministry has
fixed the ratio of subsidy and farmers' contribution at 50:50 for buying the
machinery.
Based on that, the agriculture
ministry set a ceiling for the price of a combine harvester at Tk 28 lakh to
prevent showing inflated prices, he said.
"We are trying to finalise
everything so that farmers can buy the machinery with subsidy before the
upcoming boro season," said Md Hasanuzzaman Kallol, additional secretary
of the agriculture ministry.
Officials said a large number of
farmers have applied for the subsidy support to buy combine harvesters and
other equipment and Tk 350 crore would be required if all applications are
granted.
With the current allocation,
subsidy can be provided to buy 800-plus combine harvesters, and 400 reapers and
transplanters, according to the officials.
"We had sought a priority list
of farmers from the government's upazila level offices. We have already got the
list and a panel here will take decisions so that support can be given to every
upazila proportionately," said Sheikh Md Nazim Uddin, member secretary of
the technical committee on the agri-machinery subsidy programme under the
ministry.
Using farm machinery is the only
option for reducing production cost and loss of crops, said Subrata Ranjan Das,
executive director of ACI Motors, one of the leading farm machinery marketers.
Farmers can save their cost by
around 70 per cent by using machinery like combine harvesters and rice
transplanters, he said, adding that the government initiative will have a
positive impact on farmers' income.
The demand for harvester is quite
high and around 60,000 units of harvesters will be needed within the next 3-5
years for a positive impact.
"So, the allocation of Tk 100
crore is not enough to meet the requirement," Das added.
Technological
self-reliance only way forward
LAHORE: Transfer of technology
enabled Pakistan to produce hybrid rice seed, which is shielding rice farmers
from the coronavirus impact, while failure of solar and electronic sectors in
acquiring transferable Chinese technology will make them suffer along with many
other industrial sectors.
Since the menace of coronavirus
started spreading, all the countries began calculating its impact. The OECD in
its earlier estimates calculated that it would eat up 1.1 percent of GDP growth
in India, and 0.8 percent in Pakistan.
Some estimates say that it would
cost $1 billion to the Pakistani economy, but later estimates suggest the
economic losses could exceed $5 billion. This more than doubles the benefit of
$2-$2.2 billion that Pakistan would get if oil prices remained at the current
level.
One wonders where would an economy
go that some economists say is already on a ventilator. A small silver lining
in this regard is the hybrid seed technology. This complicated technology
required years of research inside Pakistan with the assistance of Chinese
scientists.
Guard Rice, a Pakistani firm not
only acquired this technology but established its own research facility to
improve the yield of non-basmati rice varieties. Pakistan has been exporting
hybrid rice seed to Philippines for the last three years. Manila, the capital
of Philippines is the headquarters of International Rice Research Institute.
There are some simple technologies
that the private sector in Pakistan could have acquired from China. These
include the technology of making solar panels that we mostly import from China.
Many electronic products that are assembled in Pakistan are made up of mostly
imported components.
More than 70 percent of Pakistan’s
rice exports come from the non-basmati varieties. Almost 80 percent of the rice
farmers in Sindh, where non-basmati varieties are mostly produced use hybrid
rice seed.
This includes both domestically
produced hybrid seed and seeds imported from China. The import of hybrid seed
from China has been impacted by Coronavirus based suspension of trade with
China.
Only the seed that has already
arrived in the country would be available along with the local variety that
incidentally is more popular and gives highest yield of 120-130 maund per acre.
This is more than double the
traditional IRRI varieties that yield of 40-50 maund per acre. Local seed
producer claims that high yield hybrid rice seed has alleviated poverty among
the rice farmers of Sindh. They also assured that they have developed
capability and capacity to provide for total non-basmati seed requirements of
Pakistani farmers and the coronavirus impact would not affect the rice farmers
of Sindh.
This was a rare example of transfer
of technology where the producers can survive without any import of inputs and
it has paid high dividends to the company that acquired the technology as well
as the farmers.
Moreover, it has shielded the
farmers from the disruption in trade caused due to the spread of the
coronavirus. In India, the hybrid and biotech varieties of seeds were developed
by the public sector after which the private sector also pitched in.
In Pakistan, the lead was provided
by many private sector seed companies, while the public sector remained dormant
despite employing thousands of agricultural scientists (that get no funds for
research as the allocated budget hardly covers their salaries).
The private sector has not shown
the foresight to go for technology transfer of many products that they either
import in finished form or assemble in the country by importing the components.
This is despite the fact that the
demand for those products is increasing exponentially in the Pakistani market.
For instance, there is great demand both in the domestic and industrial sector
for solar power, but everything from solar panels to the solar modules have to
be imported (mostly from China where coronavirus problem is highest).
We may now see shortage of these
panels or use of substandard panels by unscrupulous elements that exist large
in numbers. There are many split air conditioner producing units that developed
a local vending base and usually import compressors only.
They would make good business in
coming summer. Those depending on imports for most components would have to
halt production.
Others sectors that would suffer
include pharmaceuticals. We import most of the basic and intermediates that
give medicines their therapeutic value from China.
China is dominant in the battery
supply chain and battery manufacturers would suffer. Suspension of dyes and
chemical imports from China would increase their cost. The yarn and fabric
exports would also suffer badly.
The spread of coronavirus has made
experts realise the importance of decentralisation and technological
self-reliance, as all industries, technologies, and supply chains are affected
by the shutdown in China.
Investing in Rice
Production, Processing Business
March 12, 2020 4:35 am
The federal government plans to
make Nigeria self- sufficient in rice production. That is highly commendable.
From research it has been proven that Nigeria rice is the best rice in the
world as the taste and quality is far better than the imported ones from other
parts of the world.
In Nigeria today, some states
produce paddy rice in abundance. Some of these states are Enugu, Anambra, Abia,
Kebbi, Imo, Kwara, Edo, Ogun, Ondo, Cross River State and some Northern States
such as Sokoto to mention but few. Therefore, with serious efforts not only by
Government but private companies and individuals, the self-sufficient policy is
achievable.
Rice is now a staple food in
Nigeria. Every household both rich and poor consumes a great quantity of rice
every day. The demand for rice is very high. The huge demand for rice is
further accentuated by increasing and expanding urbanization, endless social
parties where rice is the main menu, Nigerians eating habits (preference for
foreign rice).
The preference for foreign rice
should be stopped.
Of the total projected population figure of 200million, over 70% feed on rice.
Because of the demand, many Nigerians have embarked on importation of rice. This situation should not be allowed to continue forever. These importers must channel their huge resources to establishment of modern milling plants in Nigeria instead of fastening the growth of some foreign countries.
Of the total projected population figure of 200million, over 70% feed on rice.
Because of the demand, many Nigerians have embarked on importation of rice. This situation should not be allowed to continue forever. These importers must channel their huge resources to establishment of modern milling plants in Nigeria instead of fastening the growth of some foreign countries.
From publications made by the
Bureau of Statistics and Federal Ministry of Finance the importation figures of
rice amounted to about N1 trillion as the end of 2012. This figure increased to
over two (2) trillion Naira in 2016 and about N3 trillion in 2018. The figure
has always on an increase. Rice importation has the greatest figure of over 60
per cent of total import figures.
The federal government had total closure of the neighbouring borders and it became clear indication that large quantities of foreign rice come into the country through the neighbouring ports. It became clear that there was huge importation of rice through illegal means.
During this period of total ban and closure of borders, it became imperative that Nigerians can actually produce enough rice to sustain itself. Nigerians had survived and are gradually adapted to eating of local rice.
The federal government had total closure of the neighbouring borders and it became clear indication that large quantities of foreign rice come into the country through the neighbouring ports. It became clear that there was huge importation of rice through illegal means.
During this period of total ban and closure of borders, it became imperative that Nigerians can actually produce enough rice to sustain itself. Nigerians had survived and are gradually adapted to eating of local rice.
Famers were happier, local
processors of rice came back to life and they all make more money with less
competition with imported products. However, the prices of rice, the staple
food in the country rose on top of the roof. A common man can no longer afford
the commodity, both locally produced and imported. Currently a bag of imported
rice is as high as between N28, 000 and N30, 000 for a bag of 50kg; while the
locally made rice is between N18, 000 and N20, 000. Government must therefore
have to sustain the tempo of not allowing massive importation of rice into the
country, but have a relaxed but full control of rice imports.
It is not advisable to impose a
total ban on importation of rice without first assessing and establishing
exactly what the country can afford to produce; ensure that the country can
produce at least 70 per cent of what is needed in this country. There must be
full record of what we can produce internally with projection of what our
farmers can produce at full capacity.
Generally, encouraging local
production or manufacturing, Agricultural production and processing is one of
the good things that can happen to this country because the policy will
generate more employment opportunities and put more foods in our tables.
The federal government has also concluded arrangements to roll out a new policy that will ensure that loans are available at single digit interest rate to farmers with effect from this year.
The federal government has also concluded arrangements to roll out a new policy that will ensure that loans are available at single digit interest rate to farmers with effect from this year.
Corporate organisations such as
Coscharis Group have gone into production, processing and bagging of rice.
More individuals are being encouraged by the Government to invest into this sector. Here we discussed on how you can invest into rice processing and packaging business.
More individuals are being encouraged by the Government to invest into this sector. Here we discussed on how you can invest into rice processing and packaging business.
Investors can invest in rice
farming and rice processing or rice milling plant. Rice milling project will
best be sited in these areas where rice is grown in order to reduce cost of
transportation of the paddy. To set up this project, a minimum space of a plot
of land is required to dry paddy rice after harvesting.
The components of machines
required to set up this project are cleaning facilities, Dehuller, Boiling
tank, Polisher, Bagger and other miscellaneous equipment such as wheel barrows,
weighing scales.
These machines can be fabricated
locally. They can also be imported from Europe and some known Asian companies
that specialize in the area. Prospective investors would be given details on
these machine produces and specialists.
Also project vehicles and generating sets are essential for smooth running of this project.
Rice milling could be done on cottage, small, medium and large scale bases depending on availability of capital and the raw materials- paddy rice. Output could be from 2MT to 150MT per day.
Generally, one metric tonne of paddy rice yields about 60kg- 70kg of milled rice, depending on milling efficiency company management practice and the variety of rice purchased.
Also project vehicles and generating sets are essential for smooth running of this project.
Rice milling could be done on cottage, small, medium and large scale bases depending on availability of capital and the raw materials- paddy rice. Output could be from 2MT to 150MT per day.
Generally, one metric tonne of paddy rice yields about 60kg- 70kg of milled rice, depending on milling efficiency company management practice and the variety of rice purchased.
In the process of milling well
parboiled rice free from sand, stones, unpleasant ordour with fewer breakages,
a whole rice, broken rice and bran are obtained. Whole rice is packed and sold
for human consumption. Broken rice is further milled into ‘’Tuwo Shinkafa’’ (a
flour meal) while bran is very important input for manufacturing dietary
products like rice bran bread which has been acclaimed good for the decrease of
blood cholesterol, rice bran oil and livestock feeds. From rice you can also be
obtained puffed rice, rice cakes, rice pudding etc.
The husks are used for the production of potassium Hydroxide solution or as fuel for milling plants. It can be seen that virtually all parts of paddy rice is useful.
The husks are used for the production of potassium Hydroxide solution or as fuel for milling plants. It can be seen that virtually all parts of paddy rice is useful.
The likely cost of total project
will not actually be stated safely unless one knows the scope (whether cottage,
small, medium or large scale) proposed investors would like to embark upon.
However, the cost ranges from N550, 000 – N10.2million for cottage level to
N57million for medium size plant and over N500million for large scale. Basic
factors to consider in determining the initial cost includes the capacity to
produce, the source(s) of the machinery, whether to construct his own building
or rent one, the location etc.
Therefore, to embark upon this project, one needs a business plan (feasibility studies), with detailed costing for all the aspects of inputs, and before one can obtain the likely total estimated cost.
Therefore, to embark upon this project, one needs a business plan (feasibility studies), with detailed costing for all the aspects of inputs, and before one can obtain the likely total estimated cost.
In conclusion, rice milling; an
agro-based business is very profitable (45-55% return on investment), and
sustainable. It has low capital requirement; technical know-how is not
complicated. The machinery and equipment can be sourced locally. The project
has a short pay–back period.
It is highly recommended for
serious and aggressive promoters, local and state Governments and private
investors particularly those that are thinking good for this country.
For details on comprehensive and bankable feasibility studies, investment Advisory services, funding arrangements, please contact the writer.
For details on comprehensive and bankable feasibility studies, investment Advisory services, funding arrangements, please contact the writer.
Uba can be reached via
ubagodwin@yahoo.com
China moves to expand early rice
acreage
Xinhua, March 12, 2020
BEIJING, March 12 (Xinhua) -- China
is working to increase the planting area of early rice, the Ministry of
Agriculture and Rural Affairs said Thursday.
This year, the government has been
supporting early rice production through raising the minimum purchase prices,
the ministry said in a statement after a teleconference.
Meanwhile, 3.67 billion yuan (about
527.3 million U.S. dollars) has been set aside for agricultural projects, and
local governments have mapped supporting policies to promote an increase in the
early rice planting area, it said.
Now, early rice planting is at a
critical stage in southern China and the Yangtze River Basin as seedlings are
being raised, and local governments should make efforts to increase early rice
acreage, it said.
In 2019, China's early rice
planting area dropped 7.1 percent to 4.45 million hectares, according to the
National Bureau of Statistics.
China's total grain output consists
of three parts -- early rice, summer grain and autumn production. Autumn grain
crops, which include corn and mid- and late-season rice, account for the bulk
of the total. Enditem
NFA assures
sufficient rice stocks amid Covid-19 threat
March 12, 2020, 5:10 pm
MANILA –
The National Food Authority (NFA) has sufficient rice inventory in the National
Capital Region (NCR), even in case of an emergency situation or possible
lockdown due to coronavirus disease 2019 (Covid-19). This was the
assurance from NFA Administrator Judy Carol Dansal in view of the government’s
total efforts and preparations on the Covid-19 outbreak.
“We have 455,000 bags of rice in Metro Manila. This is good
for 40 days, at 10 percent market participation. Of course, there are still
rice stocks in the households and the commercial sector, which comprise the
great portion of rice stocks in the market,” Dansal said in a statement
Wednesday.
The continuing transfer of 2,224,120 bags or 111,206 metric tons
(MT) of rice to NCR from the nearby rice-producing regions is also being
fast-tracked. This is to ensure the rice sufficiency level of NCR at all
times.
NCR will receive 311,920 bags (15,596 MT) from Region 1; 1,000,000
bags (50,000 MT) from Region 2; and 912,200 bags (45,610 MT) from Region 3.
The total government rice stock is 9.636 million bags or
481,800 MT. This is equivalent to a 14.5-day rice consumption requirement of
the whole country at 661,930 bags. They are stored in different strategically
located warehouses in all provinces.
Meanwhile, Dansal further said that for 2020, the NFA has bought
1,734,230 bags (86,711 MT) of palay from farmers and farmers’ coops and
associations. This is a 124-percent accomplishment of the 1,399,000 bags target
for January and February. For the whole of 2020, the NFA aims to locally
buy 15,440,000 bags of palay.
Republic Act 11203 mandates the NFA to maintain a sufficient level
of rice buffer stocks to be sourced locally, intended primarily for
emergency/calamity operations.
NFA continues to sell rice through disaster/relief/calamity
operations response outlets, private authorized distributors, and other
government agencies. (PR)
Asia Rice-Thai drought raises supply
jitters, Vietnam rates at over 1-yr high
Author of the article:
Publishing date:
BENGALURU — Drought conditions in Thailand stoked concerns of a
supply shortage and lifted rice export prices to a more than 6-1/2 year high
this week, while strong domestic demand amid a coronavirus outbreak pushed
Vietnamese rates to more than a one-year peak.Thailand’s benchmark 5% broken rice prices rose to $470-$495 per tonne on Thursday, their highest since August 2013, versus last week’s $460-$467 range.
“Many rice mills are refusing to sell due to uncertainty over supply during this dry season,” a Bangkok-based rice trader said, echoing the concerns of others.
Many parts of the country’s rice growing area have been hit by drought and traders said higher prices were also denting overseas demand.
The Thai government has said this year’s dry season could extend beyond the usual period of April through to June.
In Vietnam, rates for 5% broken rice rose to $400-$405 on Thursday, their highest since November 2018, compared with $390-$400 a week earlier.
“Domestic demand has been strong over the past week as families are rushing to stockpile rice in anticipation of the further spread of the new coronavirus,” a trader based in Ho Chi Minh City said.
“This massive stockpiling has forced exporters to raise their prices due to scarce supplies,” the trader added.
Vietnam’s rice exports in the first two months of this year rose 31.7% from a year earlier to 928,798 tonnes, according to government customs data released on Wednesday.
In top exporter India, rice export prices extended their losing streak due to a depreciation in rupee despite strong demand from African countries.
India’s 5% broken parboiled variety rates edged lower to $363-$367 per tonne this week from last week’s $367-$371.
The Indian rupee was trading near a record low on Thursday, raising exporters margins from overseas sales.
“Demand has been slowly improving from African countries. Prices are moderating due to the weak rupee,” said B V Krishna Rao, president of the Rice Exporters Association (REA).
India’s rice exports in 2019 fell 18.1 % from a year ago to their lowest in eight years, government data shows, as demand from key Asian and African buyers moderated.
Meanwhile, Bangladesh could miss its target of 20 million tonnes for the “Boro” summer variety rice crop this season, as many farmers who were upset about low prices switched to other crops, insiders said.
Boro contributes more than half of Bangladesh’s typical annual rice output of around 35 million tonnes. (Reporting by Rajendra Jadhav in Mumbai, Ruma Paul in Dhaka, Khanh Vu in Hanoi and Panu Wongcha-um in Bangkok; editing by Kirsten Donovan)
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Myanmar must be prepared to deal with economic fallout from spread
of COVID-19
10 MAR 2020
Workers
walk past sewing machines in a recently closed garment factory in the Shwe Pyi
Thar Industrial Zone on the outskirts of Yangon. Photo - EPA
Although Myanmar has not officially detected any COVID-19
carriers, the virus has wreaked havoc on the economy and could lead to
full-blown economic crisis if not contained soon.
The tourism sector has suffered from a stampede of cancellations
beginning in China. Now, most tourists from all other countries have decided to
stay at home. The income from tourism is quite substantial, US$1.7 billion or
2.5 percent of GDP in 2018. Back then, Myanmar was the fastest-growing
destination in the world, and even the negative international coverage of the
Rakhine crisis did not deter the 40pc year-on-year increase in tourist arrivals
- until the outbreak of COVID-19.
Meanwhile, the garment industry has experienced serious
disruptions in supply chains originating in China, on which 90pc of inputs are
dependent. Last week, 13 garment factories, including three being built, closed
down their operations, laying off more than 5,000 workers who will not easily
find alternative jobs. The whole industry, which employs over half-million
workers, faces the same fate.
At the same time, 70pc of populations who live in rural areas
are also suffering from the economic flu as a result of Chinese restrictions to
border trade. Over 90pc of Myanmar’s top export commodities such as maize,
watermelons and bananas are dependent on the Chinese market. Perishable
agriculture exports, which make up 40pc out of US$6 billion worth of exports to
China, have come to a near halt.
Consequently, the impact of COVID-19 has been severe on farmers
and traders. Just before the outbreak, farmers were already struggling
from the collapse of rice exports to China after the country tightened border
control against illegal rice trade.
Back then, farmers had hoped for a rebound of income from winter
crops as the Chinese authorities exercise less stringent measures on these
products during that season. But COVID-19 has wiped out demand, so the
farmers got a second shock to their income instead.
With rising prices of consumer goods and production costs,
stakeholders are now turning to the government for leadership. Last week,
the Union of Myanmar Chambers of Commerce and Industry issued a 10-point
statement calling for economic assistance from the government and trade unions
have followed suit. Demands include a range of previous requests from low
interest rates, loan deference and tax cuts on new proposals such as
government-backed unemployment compensation and unpaid leave policies.
Based on experience, Myanmar has shown resilience in dealing
with economic shocks such as during the aftermath of natural disasters and
economic sanctions. Under each crisis, the economy recovered quickly.
However, the hidden strength of the economy was China, which
continued to invest in Myanmar since early 1990s. China is by far the largest
investor in Myanmar, officially committing US$20 billion worth of investments
across the country, followed by Singapore, Thailand and Hong Kong.
garment-2.jpg
A file image of sunset at Ngwe
Saung beach in Myanmar. Tourist arrivals have been hit by the virus outbreak
first discovered in China at the beginning of the year. Photo - EPA
But with Chinese investments now in lock-down due to COVID-19,
most BRI-related capital flows will be delayed at best, thus depriving Myanmar
of a reliable source of external funds.
A potential halt in export revenues and foreign capital inflows
can tip the economy into a full-blown economic crisis on three fronts.
The first crisis is exchange rate volatility. Since the
beginning of the current fiscal year in October 2019, the Myanmar kyat has
risen in value against the dollar. The outbreak of COVID-19 has led to a dramatic
appreciation of the local currency, which has risen 10pc against the dollar in
two months.
This reflects less demand for dollars as the economy slows down.
The unexpected rally around the kyat could trigger a collapse in the export
sectors, further undermining the drop in manufacturing and agriculture exports.
Second, the banking sector will also come under pressure.
According to the World Bank, the net profits of private banks went negative for
the first time in a decade as their ability to lend at a profit is severely
limited by high interest rates required by the Central Bank of Myanmar. The
high borrowing costs had already hurt domestic industries and stopped private
credit flows even before the crisis.
A prolonged crisis over a quarter or two could result in many
firms going bust, delay the recapitalisation of private banks and exacerbate
bank fragility.
Finally, the COVID-19 can offset significant portions of
economic growth as the combination of demand and supply disruptions ripple
across the economy.
The Myanmar economy has yet to experience disruptions to the
workforce asCOVID-19 has not resulted in a public emergency response. At this
point, international financial institutions expect a slight 0.2 percentage
point cut in the GDP growth rate.
That can change dramatically if COVID-19 is detected in Myanmar
and causes severe disruptions and panic reactions. In 2015, severe floods and
landslides led to a 1 percentage point drop in growth.
As such, economic policy makers should anticipate the worst-case
scenario and prepare timely responses.
Myanmar should heed the advice of Dr Tedros Adhanom, head of the
World Health Organization, who encouraged governments to “demonstrate (high
level political) commitment (against) the level of threat we all face.”
Myanmar does have a step-by-step guideline under the National
Plan of Action on Health Security, which was updated in 2018. The country also
has experience recovering from severe shocks such as Cyclone Nargis in 2008 and
floods and landslides in 2015. Back then, the apex authority under the National
Natural Disaster Management Committee was activated to oversee response and
recovery plans.
Shifting the focus from emergency health measures to a
whole-of-government approach in building the coalition for strategic
preparedness can mitigate any further disruptions under the prevailing
circumstances. It will also enable Myanmar to effectively deal with bigger
blows to the economy.
Zaw Oo is an economist who served as Special Coordinator for
Recovery Planning of the Government of Myanmar during the 2015 crisis of floods
and landslides.
Govt to buy paddy
through app in Boro season
Bangladesh Sangbad
Sangstha . Dhaka | Published: 02:09, Mar 12,2020
Food
minister Sadhan Chandra Majumder on Wednesday said that the government was
going to procure paddy and rice using a digital app from 64 upazilas across the
country during the upcoming Boro season.
The
government took the decision following the success of paddy procurement through
the digital app in 16 upazilas in the last Aman season, he said while talking
to reporters at the ministry’s conference room.
Through
the app, the government procured 6.27 lakh tonnes of Aman paddy directly from
farmers, he said.
The
purpose of introducing the app was to provide fair prices to paddy growers, the
minister said, adding that their main objective was to procure paddy
maintaining transparency.
In the
Boro season, the government would procure paddy and rice from 64 upazilas,
said Sadhan Chandra.
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