Thursday, January 22, 2015

22nd January (Thursday),2015 Daily Exclusive ORYZA RiceE-Newsletter by Riceplus Magazine

Thai Rice Losses Estimated to Cross $21 Billion

Jan 22, 2015

Losses from rice subsidy/pledging schemes between 2004 and 2014 are estimated to cross the earlier estimations of around $682 billion baht (around $21 billion) if depreciation and missing rice stocks are also considered, local sources quoted the Finance Permanent Secretary as saying.The Finance Secretary noted that Subcommittee overseeing accounting affairs of all subsidy schemes had not taken into account depreciation of rice stocks as well as missing stocks from warehouses while estimating losses from 11 subsidy schemes covering 15 harvests from 2004-14. Earlier, the Thai Finance Ministry had estimated that losses from the rice pledging scheme introduced by the previous government alone account to about 518 billion baht (around $15.8 billion).
The Finance Ministry had issued long-term bonds with three to ten years maturity in the beginning of this year to clear the debts associated with the rice pledging schemes.According to the rice stock audit report, of the 17.8 million tons of rice with the government, only about 2.35 million tons are of standard quality, about 14.4 million tons are of sub-standard quality, around 694,000 tons of rice are rotten and the remaining 390,000 tons of rice are missing.
The government is keen on selling the 17 million tons of rice stocks within the next two years. It already sold around 681,740 tons of rice in four tenders last year after the military government took over on May 22, 2014. The Commerce Ministry is planning to sell around one million tons of rice in a tender on January 29, 2015.Thailand exported around 10.8 million tons of rice in 2014, up about 64% from around 6.6 million tons in 2013. 

Thailand Government to Allow Bidders to Inspect Rice Stocks Before Auctions

Jan 21, 2015

The Thailand government will reportedly allow prospective bidders to inspect samples of rice stocks being put up for sale before the scheduled auction on January 29, 2015, according to Wall Street Journal reports.The government is planning to auction around 850,000 tons of 5% broken rice and around 150,000 tons of jasmine rice on January 29. The Ministry is said to have loosened its norms to ensure more transparency in rice sales. Bidders are said to have been complaining of not being able to inspect rice stocks before auctions. It is also understood to have agreed to extend time for contract signing by winning bidders to two weeks from the existing 10 days.
The Thai government currently holds around 17.8 million tons of rice in its stockpiles. The Commerce Ministry stated its plans to sell around 10 million tons of stockpiled rice in 2015 and around 7 million tons in 2016 through tenders. Thailand sold around 681,740 tons of rice in four tenders last year after the military government took over on May 22, 2014. The  government has also struck government-to-government deals for about 570,000 tons last year, according to Ministry sources.

Thai NACC and OAG Joint Panel Recommend Criminal Charges Against Ex-Premier in Rice Pledging Case

Jan 21, 2015

The joint panel comprising members of the National Anti-Corruption Commission (NACC) and the Office of the Attorney General (OAG) has agreed to recommend criminal charges against the former Prime Minister under the criminal Code's Section 157, according to local sources.The panel started investigation work into the rice pledging case on September 9, 2014 after  Thailand's Attorney General has sought more evidences from the NACC before concluding the prosecution of the former PM. The panel completed discussions related to the former Prime Minister's (PM) alleged dereliction of duty in managing the controversial rice pledging scheme that brought losses of over 500 billion baht (around $15.6 billion) to the exchequer.
It is likely to recommend to the Attorney General to indict the former PM with the Supreme Court's Criminal Division for Holders of Political Position. If found guilty, the ex-Premier may face jail term up to ten years.
Separately, the Thai National Legislative Assembly (NLA) is dealing with the former PM's impeachment hearing and the NLA members will vote on January 23, 2015, whether she was guilty of dereliction of duty. The vote requires a three-fifths majority to pass a judgement.The NACC yesterday stated that it will charge former Commerce Minister, the former Deputy Commerce Minister as well as 20 state officials and employees of private firms for alleged corruption in rice export deals with two Chinese firms.Meanwhile, the Thai Commerce Minister told local sources that Thailand exported around 10.8 million tons of rice in 2014, up about 64% from around 6.6 million tons exported in 2013.

U.S. Treasury Announces New Trade Norms with Cuba

Jan 21, 2015

The U.S. Treasury's Office of Foreign Assets Control (OFAC) has published the new trade norms with Cuba in the Federal Register following the President's announcement to relax trade restrictions on food items from the 50-year embargo with Cuba, according to a news release on its website.According to the new norms, the term "cash in advance" has been simplified and would mean "cash before transfer of title or control".  This would allow , Cuban importers to make payment even while goods are in transit. The OFAC also indicated that U.S. financial institutions would be allowed to open accounts at Cuban banks to facilitate easier and quicker transactions.
The regulatory changes were welcomed by rice industry as Cuba is one of the closest export destinations to the U.S. and imports about 50% of its annual rice consumption needs. Local sources say rice farmers in the U.S. rice producing states of Arkansas and Louisiana would benefit from the revised policy. "Up until now, U.S. government restrictions have limited the ability of the U.S. industry to compete in Cuba," the President and CEO of the USA Rice was quoted as saying.
USDA estimates Cuba to produce around 440,000 tons of milled rice and import around 450,000 tons of rice in MY 2014-15 (July - June) to meet a consumption demand of around 890,000 tons. Cuba currently imports rice from Brazil, India and Thailand.

Vietnam Rice Sellers Lower Most of Their Quotes; Other Asia Rice Quotes Unchanged

Jan 21, 2015
Vietnam rice sellers lowered most of their quotes by about $5 - $10 per ton today. Other Asia rice sellers kept their quotes mostly unchanged today.
5% Broken Rice
Thailand 5% rice is quoted at around $405 - $415 per ton, about $40 per ton premium on Vietnam 5% rice shown at around $365 - $375 per ton, down about $10 per ton from yesterday. India 5% rice is quoted at around $395 - $405 per ton, about $35 per ton premium on Pakistan 5% rice quoted at around $360 - $370 per ton.
25% Broken Rice 
Thailand 25% rice was last quoted at around $350 - $360 per ton, about $10 per ton premium on Vietnam 25% rice shown at around $340 - $350 per ton. India 25% rice is quoted at around $360 - $370, about $40 per ton premium on Pakistan 25% rice quoted at around $320 - $330 per ton.
Parboiled Rice
Thailand parboiled rice is quoted at around $405 - $415 per ton. India parboiled rice is quoted at around $390 - $400 per ton, about $10 per ton discount to Pakistan parboiled rice quoted at around $400 - $410 per ton.
100% Broken Rice
Thailand broken rice, A1 Super, is quoted at around $320 - $330 per ton, about $5 per ton premium on Vietnam 100% broken rice shown at around $315 - $325 per ton, down about $5 per ton from yesterday. India's 100% broken rice is shown at around $300 - $310 per ton,  about $10 per ton premium on Pakistan broken sortexed rice quoted at around $290 - $300 per ton.

Vietnam Scales Down Rice Export Expectations for First Quarter of 2015

Jan 21, 2015
*        
The Vietnam Food Association (VFA) has scaled down expectations on the country's rice exports in the first three months of 2015 to around 900,000 tons, according to local sources. The expected export figure is lowest level for the first quarter of the year since past several years, said local sources. Vietnam exported around 800,000 tons of rice in the first quarter of 2014 and around 1.45 million tons of rice during the same period in 2013.
The VFA lowered its expectations for first quarter exports based on increasing supplies from Thailand and India as well as declining export demand from African countries. The VFA expects Vietnam to export over 7 million tons of rice (including official and unofficial exports to China) in 2015. In 2014, Vietnam exported around 6.32 million tons of rice through official channels and around 2 million tons of rice through unofficial channels, according to the VFA. This year, unofficial rice exports are expected to come down due to strict controls being imposed by Chinese authorities on the borders.
The VFA Chairman told local sources that Vietnamese rice exporters have already signed contracts for exporting around 500,000 tons and have to find markets for the around 400,000 tons to meet the expected export level in the first quarter of the year.
Experts have been warning that the Vietnamese rice sector is plagued by financial difficulties, poor cultivation planning and outdated technology. They have been urging the government to increase production of higher quality rice and focus on attracting high-end markets in order to increase competitiveness of the Vietnamese rice as well raise farmers and exporters' incomes. VFA's Secretary General told local sources that exporters have been improving coordination with farmers as well as enhancing the quality and value of rice. He also noted that the government is stepping up efforts to create a national brand for the country's rice to enhance export competitiveness of Vietnamese rice.Currently, export price of Vietnam 5% rice stands at around $370 per ton while that of India 5%, Pakistan 5% and Thai 5% rice stand at around $400 per ton, $365 per ton and $410 per ton respectively

Thai Ex-Premier Delivers Closing Statement in Rice Pledging Case Before NLA

Jan 22, 2015

Thailand's former Prime Minister Yingluck Shinawatra attended the final impeachment hearing in the rice pledging case today at the National Legislative Assembly (NLA) and delivered her closing statement in defence of the rice pledging scheme introduced by her government, according to local sources.Today's hearing has been scheduled as she had not attended the second impeachment hearing on January 16, 2015. In her closing statement, former PM denied that the rice pledging scheme had caused national damage and defended the scheme saying it has rather benefited the national economy by raising farmers' incomes and their spending capacity. She also noted that the scheme had injected around 308 billion baht (around $9.4 billion) in the 2011-12 crop season and around 315 billion baht (around $9.7 billion) during the 2012-13 crop season and helped stimulate the economy. The former PM claimed that the scheme had not consumed more than 5% of the annual national budget. She also questioned the NLA for prosecuting her alone when several minister and committees were involved in managing the scheme.
The National Anti-Corruption Commission (NACC) reiterated that the rice pledging scheme was purely a political tactic by the Yingluck's Party to win elections. The NACC Commissioner noted that the scheme led to policy-based corruption as the rice in the government's stockpiles was offered at lower prices to associates who made windfall gains by selling the same at high prices. He said the so-called government-to-government (G2G) deals claimed to be struck by the Yingluck government had not existed at all. He added that the former PM has not honoured the suggestions of the NACC and the Office of the Attorney General (OAG) to stop the scheme as it would cause billions of losses to the state.
The NLA members will vote on Friday, January 23, 2014 deciding whether the former PM was guilty of dereliction of duty. The vote requires a three-fifths majority to pass a judgement. If impeached, the ex-PM would be the first female PM to be impeached and could face a political ban for five years.

Separately, the joint panel comprising members of the NACC and the OAG has agreed to recommend criminal charges against the former Prime Minister under the criminal Code's Section 157 for her alleged dereliction of duty in managing the controversial rice pledging scheme, which brought losses of over 500 billion baht (around $15.6 billion) to the exchequer. 

GM Rice Can Protect Farmers from Hazards of Pesticide Exposure, Finds Study

Jan 21, 2015

A study by Chinese researchers has found that growing of genetically modified (GM) rice can reduce pesticide usage to a larger extent and thereby protect farmers from adverse effects of being exposed to pesticides and fertilizers.The authors of the study found that GM rice can reduce pesticide use by nearly 66%. In number terms, pesticide use can be reduced by nearly 196,000 tons annually.
An analysis of data collected from the physical examination of nearly 109 rice farmers in the Fujian province showed that GM rice can significantly reduce adverse effects of pesticides on farmers' neurological, haematological, and electrolyte system. However, the results showed that 8% of sample farmers still suffered from pesticide-related poisoning. The authors have estimated nearly 16 million rice farmers suffer from pesticide-related illness every year.The study concludes that commercialization of GM rice can improve the health of farmers in developing countries, where pesticides and fertilizers are used heftily to increase yields and mitigate crop losses.
The study was conducted by the Center for Chinese Agricultural Policy; Institute of Geographical Sciences and Natural Resource Research; Chinese Academy of Sciences; School of Management and Economics, Beijing Institute of Technology; China Economics and Management Academy; Central University of Finance and Economics; and Department of Neurology, Chinese PLA General Hospital.

Vietnam Scales Down Rice Export Expectations for First Quarter of 2015

Jan 21, 2015

The Vietnam Food Association (VFA) has scaled down expectations on the country's rice exports in the first three months of 2015 to around 900,000 tons, according to local sources. The expected export figure is lowest level for the first quarter of the year since past several years, said local sources. Vietnam exported around 800,000 tons of rice in the first quarter of 2014 and around 1.45 million tons of rice during the same period in 2013.
The VFA lowered its expectations for first quarter exports based on increasing supplies from Thailand and India as well as declining export demand from African countries. The VFA expects Vietnam to export over 7 million tons of rice (including official and unofficial exports to China) in 2015. In 2014, Vietnam exported around 6.32 million tons of rice through official channels and around 2 million tons of rice through unofficial channels, according to the VFA. This year, unofficial rice exports are expected to come down due to strict controls being imposed by Chinese authorities on the borders.
The VFA Chairman told local sources that Vietnamese rice exporters have already signed contracts for exporting around 500,000 tons and have to find markets for the around 400,000 tons to meet the expected export level in the first quarter of the year.Experts have been warning that the Vietnamese rice sector is plagued by financial difficulties, poor cultivation planning and outdated technology. They have been urging the government to increase production of higher quality rice and focus on attracting high-end markets in order to increase competitiveness of the Vietnamese rice as well raise farmers and exporters' incomes.
VFA's Secretary General told local sources that exporters have been improving coordination with farmers as well as enhancing the quality and value of rice. He also noted that the government is stepping up efforts to create a national brand for the country's rice to enhance export competitiveness of Vietnamese rice.Currently, export price of Vietnam 5% rice stands at around $370 per ton while that of India 5%, Pakistan 5% and Thai 5% rice stand at around $400 per ton, $365 per ton and $410 per ton respectively.  
Global Rice Quotes
January 21st, 2015
Long grain white rice - high quality
Thailand 100% B grade          415-425           ↔
Vietnam 5% broken    365-375           ↓
India 5% broken         395-405           ↔
Pakistan 5% broken    360-370           ↔
Cambodia 5% broken             440-450           ↔
U.S. 4% broken           510-520           ↔
Uruguay 5% broken    NQ      ↔
Argentina 5% broken NQ      ↔

Long grain white rice - low quality
Thailand 25% broken NQ      ↔
Vietnam 25% broken 340-350           ↔
Pakistan 25% broken 320-330           ↔
Cambodia 25% broken           430-440           ↔
India 25% broken       360-370           ↔
U.S. 15% broken         495-505           ↔

Long grain parboiled rice
Thailand parboiled 100% stxd            405-415           ↔
Pakistan parboiled 5% broken stxd    400-410           ↔
India parboiled 5% broken stxd         390-400           ↔
U.S. parboiled 4% broken       580-590           ↔
Brazil parboiled 5% broken    570-580           ↔
Uruguay parboiled 5% broken            NQ      ↔

Long grain fragrant rice
Thailand Hommali 92%          920-930           ↔
Vietnam Jasmine         500-510           ↓
India basmati 2% broken        NQ      ↔
Pakistan basmati 2% broken   NQ      ↔
Cambodia Phka Mails             805-815           ↔

Brokens
Thailand A1 Super      320-330           ↔
Vietnam 100% broken            315-325           ↓
Pakistan 100% broken stxd    290-300           ↔
Cambodia A1 Super   355-365           ↔
India 100% broken stxd         300-310           ↔
Egypt medium grain brokens NQ      ↔
U.S. pet food 405-415           ↔
Brazil half grain          NQ      ↔
All prices USD per ton, FOB vessel, oryza.com


Oryza Afternoon Recap - Chicago Rough Rice Futures Find Late Session Buying Interest and Shoot to Double Digit Gains

Jan 21, 2015
Chicago rough rice futures for Mar delivery settled 10.5 cents per cwt (about $2 per ton) higher at $11.370 per cwt (about $251 per ton). Rough rice futures found afternoon buying interest to close with double digit gains on support from a softer dollar and firming crude prices today.  The other grains finished with mixed results today; Soybeans closed about 0.1% higher at $9.8350 per bushel; wheat finished about 0.1% lower at $5.3775 per bushel, and corn finished the day about 0.6% lower at $3.8800 per bushel.
U.S. stocks were little changed Wednesday, with International Business Machines weighing on the Dow Jones Industrial Average, as investors considered whether the European Central Bank would implement a large-scale bond-purchasing program. Multiple news outlets quoted sources in reporting the ECB's executive board had proposed monthly bond purchases of roughly 50 billion euros in a quantitative easing program that would last at least a year. Ahead of Wednesday's open, stock futures maintained losses after data showing U.S. housing starts climbed more than expected in December in a hopeful sign for the sluggish housing-market recovery. After sliding 119 points, the Dow Jones Industrial Average rose as much as 84 points, and was lately up 33.33 points, or 0.2%, at 17,551.56.
Erasing early losses, the S&P 500 rose 8.45 points, or 0.4%, to 2,031.00, with energy the best performing and all 10 of its major industry groups rising. The Nasdaq added 19.53 points, or 0.4%, to 4,674.37. Gold is trading about 0.1% lower, crude oil is seen trading about 1.9% higher, and the U.S. dollar is seen trading about 0.1% lower at about  1:00pm Chicago time.Tuesday, there were 312 contracts traded, up from 138 contracts traded on Thursday. Open interest – the number of contracts outstanding – on Tuesday increased by 131 contracts to 8,707.


Iraq Issues a Tender to Buy at Least 30,000 Tons of Rice

Dec 14, 2014
The Iraq Trade Ministry issued a tender to buy a minimum of 30,000 tons of rice from the U.S., Uruguay, Argentina, Vietnam, Brazil and Thailand, local sources said.The closing date for the tender is December 22, 2014 and offers must be valid until December 26, 2014. The ministry added that Thai white rice will be accepted in this tender

Nepal Considers Rice Exports to China Despite Likely Lower Production in 2014-15

Jan 21, 2015

Nepal is planning to allow rice exports to China in the fiscal year 2014-15 (August - July) considering huge demand for Nepali rice in China, sources from the Ministry of Commerce and Supplies (MoCS) were quoted as saying. Sources said Chinese importers pay ransom amount for Nepali rice. The Nepal government banned rice exports in 2013 citing food deficit as the main reason. According to Nepal Rastra Bank's (NRB) statistics, Nepal's 2013-14 paddy output was at around 5.04 million tons, up about 12% from around 4.5 million tons in 2012-13 due to timely rains and favorable weather conditions. Yet, it did not open rice exports in 2013-14.
However, the government is planning to reconsider ban and open exports this year despite a likely reduction in paddy production. The Ministry of Agricultural Development (MAD) estimates the country's 2014-15 paddy rice production likely to decline about 5.1% to around 4.78 million tons due to a late monsoon and untimely rainfall. The government is planning to export 10,000 tons of rice to China, according to the MoCS sources. They noted that the government would allow exports to China through the two routes - Tatopani and Rasuwagadhi. Exporters can supply 5,000 tons of rice through each of the two routes.
The NRB statistics show that the south Asian nation imported rice worth Rs.12.37 billion (around $121.45 million) in 2013-14, up about 46% from around Rs.8.47 billion (around $83.16 million) despite surplus rice stocks of around 800,000 tons from the previous fiscal due to rising disposable incomes and the Nepalese preference for better quality rice. The government imported rice worth Rs.5.51 billion (around $56 million) in the first five months of the fiscal 2014-15.
USDA estimates Nepal’s MY 2014-15 (October 2014 – September 2015) milled rice production to slightly decline to about 3.1 million tons (around 4.65 million tons, basis paddy) from an estimated 3.36 million tons (around 5.05 million tons, basis paddy) in MY 2013-14. It estimates Nepal to import around 350,000 tons of rice in 2015.  

USDA Post Estimates Mexico MY 2014-15 Rice Imports at 775,000 Tons, Up 11% from Last Year

Jan 21, 2015

USDA Post estimates Mexico's rice imports at around 775,000 tons in MY 2014-15 (October 2014 - September 2015), up about 10.7% from an estimated 700,000 ton in MY 2013-14, and unchanged from USDA's official estimates of 775,000 tons, based on information from the Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Foodstuffs (SAGARPA).
Last month, Mexico has announced reinstatement of 9% tariff on imported paddy rice and 20% tariff on husked, long grain and other imported rice from all the countries that do not have free trade agreements (FTAs). However, the U.S. is exempted from the tariff because of its inclusion in the North America Free Trade Agreement (NAFTA). The tariff rates have been effective from January 9, 2015.The Mexican government has announced the reinstatement of tariffs in a decree that was published in the Diario Official (Mexico's Federal Register) on December 10, 2014. Last month, the Post reported that the government decided to modify the import Law based on requests from the Mexican Rice Council (MRC) for the re-establishment of import tariffs, which were discontinued in 2008 to reduce rice prices in the country.
The Post estimates total paddy rice production for MY 2014-15 at around 226,000 tons (around 155,000, basis milled), up about 18% from an estimated 191,000 tons (around 131,000, basis milled) in MY 2013-14 and up about 6% from USDA's official estimates of around 214,000 tons (around 147,000 tons, basis milled). The likely increase in production is attributed to favorable weather conditions and increase in yields.
The Post estimates Mexico's MY 2014-15 milled rice ending stocks at around 195,000 tons, up about 23% from an estimated 158,000 tons in MY 2013-14 and up about 4% from USDA's official estimates of around 187,000 tons.

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21stJanuary (Wednesday),2015 Daily Global RiceE-Newsletter by Riceplus Magazine

Pesticide applicator training set for next week in DeWitt

 

The first training will be held Wednesday, Jan. 28, at Phillips Community College in DeWitt starting at 1 p.m. Additional training dates are: Feb. 10, 6:30 p.m. at the Rice Research and Extension Center; and Feb. 25, 1 p.m. at Phillips Community College, DeWitt. The trainings will be for those needing re-certification as well as for those applying for a new license in order to purchase restricted use pesticides.

By Arkansas County Extension Service
for the Daily Leader 
Posted Jan. 20, 2015 @ 3:25 pm 

The Arkansas County Extension Service has scheduled educational meetings to assist farmers in getting the training needed and latest production information for the 2015 cropping season.
Pesticide Applicator Training
The Arkansas County Extension Service will hold three Pesticide Applicator Training meetings in the next few weeks, with different dates, locations and times so producers may be able to attend the training of their choice. The first training will be held Wednesday, Jan. 28, at Phillips Community College in DeWitt starting at 1 p.m. dditional training dates are: Feb. 10, 6:30 p.m. at the Rice Research and Extension Center; and Feb. 25, 1 p.m. at Phillips Community College, DeWitt.
 The trainings will be for those needing re-certification as well as for those applying for a new license in order to purchase restricted use pesticides.  Producers who need re-certification should receive a letter from the State Plant Board informing them of the requirement for re-certification before a 2014 license can be issued. Because of funding reductions by the EPA for the pesticide applicator training program, the Cooperative Extension Service must charge private applicators for certification training.
The fee is $10 per person, payable at the door the day of the training. This certification registration fee is in addition to the price you pay the Arkansas State Plant Board for the license. Please remember that in most cases farmers will need the training only once every five years. Please make checks payable to: UA, Cooperative Extension Service, Arkansas County
County Crop Production Meeting
The annual Arkansas County Crop Production Meeting will be held on Thursday, Feb. 5, at the Rice Research and Extension Center, beginning at 8 a.m. The program will conclude with a catfish lunch at noon.  Additional program details will be provided prior to the meeting.  For more  information, call the Arkansas County Extension Service at (870) 946-3231 or (870) 673-2346. 

http://www.stuttgartdailyleader.com/article/20150120/NEWS/150129950

 

DA reduces aid on light farm gears, ups rice seeds subsidy to Kalinga farmers

January 21, 2015
TABUK CITY, Kalinga, Jan.21 (PIA) - - Farmers of this  rice-producing  province will expect less distribution of light farm machineries from the Department of Agriculture (DA) this year.Joe Casibang, Rice Program Coordinator of the Office of Provincial Agriculturist (OPAG),  explained that  the fund assistance intended for light machineries will be allocated instead for the increased subsidy on rice seeds and other inputs to farmers for the period.DA used to distribute light farm machineries like hand-tractors, threshers and multi-tillers to rice farmers  here  under its Rice Production Enhancement Program.This year, DA will implement  50 percent subsidy on the cost of rice seeds and will give free bags of urea and other inputs to rice farmers.
The 50%  counterpart of farmers on the cost of rice seeds will be remitted directly to their own organization, not to DA.Any amount collected for the year shall accrue to the account of the organization and can be used for the same purpose in the succeeding year, Casibang disclosed.  On farm machinery support, Casibang said the department will continue with the distribution of heavy farm machineries  like double rice harvesters and mechanical planters.Under this support, DA awards the heavy farm machinery to farmer organizations. For heavy machineries costing above P50,000, recipient organization  shoulders 15% of the cost as counterpart. (JDP/LL-PIA CAR,Kalinga)

Getting to Know the 114th Congress
 Rep. Mike Conaway (l) meets
with Texas rice farmers  during 2014 GAC

WASHINGTON, DC -- The 114thCongress was sworn in earlier this month with 64 brand new Members, and significant changes on committees, including Republican chairmen in the Senate and new chairmen on many House Committees.  The task at hand now is to educate the new Members and their staff about the U.S. rice industry and the industry's priorities."We've already begun our outreach and education efforts, but we will use our upcoming Government Affairs Conference to make a major advocacy push with Congress," said USA Rice Federation Vice President of Government Affairs Ben Mosely.  "Having our members in town creates a perfect opportunity to tell rice's story on the Hill."
 Mosely confirmed speaking invitations had been extended to Representative Mike Conaway (R-TX), the new chairman of the House Agriculture Committee, and to the U.S. Department of Agriculture's Under Secretary for Farm and Foreign Agricultural Services Michael Scuse. "The GAC is a real learning experience for everyone involved," said Dow Brantley, an Arkansas rice farmer and chairman of the USA Rice Federation.  "Our members attend informational sessions with legislators and government agency officials where they get to meet face-to-face, talk about the U.S. rice industry, and educate these decision makers on the areas that are important to us.  It's a key component of our strategy."
 Contact:  Deborah Willenborg (703) 236-1444
CCC Announces Prevailing World Market Prices 
WASHINGTON, DC -- The Department of Agriculture's Commodity Credit Corporation today announced the following prevailing world market prices of milled and rough rice, adjusted for U.S. milling yields and location, and the resulting marketing loan-gain (MLG) and loan deficiency payment (LDP) rates applicable to the 2014 crop, which became effective today at 7:00 a.m., Eastern Time (ET).  Prices are unchanged from the previous announcement.

World Price
MLG/LDP Rate

Milled Value ($/cwt)
Rough ($/cwt)
Rough ($/cwt)
Long-Grain
16.76
10.63
0.00
Medium-/Short-Grain
16.19
10.90
0.00
Brokens
10.11
----
----

This week's prevailing world market prices and MLG/LDP rates are based on the following U.S. milling yields and the corresponding loan rates:

U.S. Milling Yields
Whole/Broken
(lbs/cwt)
Loan Rate
($/cwt)
Long-Grain
55.83/12.59
6.50
Medium-/Short-Grain
62.39/7.92
6.50

The next program announcement is scheduled for January 28.
CME Group/Closing Rough Rice Futures   
CME Group (Prelim):  Closing Rough Rice Futures for January 21
Month
Price
Net Change

March 2015
$11.370
+$0.105
May 2015
$11.620
+ $0.100
July 2015
$11.850
+ $0.095
September 2015
$11.480
+ $0.100
November 2015
$11.580
+ $0.060
January 2016
$11.865
+ $0.055
March 2016
$11.865
+ $0.055

Big firms to go for rice milling

Sohel Parvez
Description: http://www.thedailystar.net/upload/gallery/image/arts/big-firms-rice.jpgSome local conglomerates plan to go for rice milling and marketing as the staple has a constant demand in the country of 16 crore people. ACI and City Group are preparing to set up automatic rice mills, while Bashundhara Group is planning to go for processing and marketing of parboiled rice.“Our rice will hit the market by the yearend,” said Syed Alamgir, executive director of consumer brands of ACI Ltd that has business in sectors such as retail, agribusiness, food items and pharmaceuticals.The mill will be set up at an investment of Tk 39 crore, ACI said in a web posting on the stock exchanges.Alamgir said they will bring "high quality" rice under the brand -- ACI Pure.These large businesses, having good distribution networks, will debut in the market following some food processing giants such as Pran, Square and Deshbandhu Group to tap the growing demand for branded fine rice.Currently, around 500 automatic and semi-automatic rice mills along with 17,000 husking mills are engaged in parboiling, drying and crushing paddy bought from farmers.
Of the mills, more than 350 operators market rice under their own brands mainly in the fine rice segment, said Md Layek Ali, general secretary of Bangladesh Auto, Major and Husking Mills Association, which has around 17,000 members.These mills process and market at least 60 percent or three crore tonnes of the five crore tonnes of paddy produced a year in the country. Farmers keep the rest of the produce for their own consumption, according to analysts and millers.
 The market for milling and processing of rice stands at around Tk 50,000 crore a year.Pran is engaged in retailing its branded rice in smaller packs but it is not present in the branded bulk segment catered mainly by automatic millers operating from the northwest region.“We want to mill and market all types of rice -- from aromatic to coarse ones,” said Biswajit Saha, general manager of City Group.“Presently we process and sell flour, cooking oil and sugar. That's why, we want to go for rice so that we can fulfil all the needs of a kitchen,” Saha said.City plans to market in urban areas, mainly in Dhaka city, he said, adding: “There is no big rice mill in Dhaka.
So there are prospects.”He said City is now in talks with a European machinery company to set up the mill, which is going to be one of the biggest rice mills in Bangladesh.“Discussion is going on regarding rice milling. This is now at the planning stage,” said Indrojit Kumar Mahalanabish, head of division, plants of Bashundhara Food and Beverage Ltd, a concern of Bashundhara Group.“Bangladesh is a country of 16 crore people.
As rice is a staple food, there are business prospects,” said Mahalanabish. Layek Ali of the mills' association, however, expressed worries that the milling capacity might exceed the annual production of paddy.“The market will be saturated and competition will intensify. As a result, many small and medium husking mills will not survive making workers jobless,” Ali said.
Published: 12:00 am Thursday, January 22, 2015
Last modified: 12:24 am Thursday, January 22, 2015

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Agreement between rice farmers and millers is not private


JANUARY 21, 2015 · BY  · 
Dear Editor,
I was really amused reading an article in the Guyana Chronicle of January 14, ‘APNU Councillor says farmers should take millers to court to get their payments -AFC says farmers are afraid to do so, calls for delinquent miller’s licence to be revoked.’ This I assumed happened in a meeting at the RDC Boardroom of Region Two over millers still owing farmers their paddy money, although there was a bail-out lately by government.
The argument by the two opposition councillors was valid in my opinion, according to the Rice Factories Act 2002. What makes me laugh is when the Regional Chairman was reported as saying that the agreement between the rice farmer and a miller is a private one. I wish to make it clear that the Guyana Rice Development Board (GRDB) is empowered to enforce the Rice Factories Act when breached by the millers, and there is no private arrangement when it comes to the farmers’ livelihoods.
The board is even empowered in the prosecution of offences and recovery of penalties. It has the power to enter and inspect a factory and examine books, revoke licences and most of all witness the record for the sale of paddy by the producer (farmer) to the manufacturer (miller). Under the sixth schedule of the act the miller is bound to sign for the total sum of money, quantity of paddy received, price per bag with the day and year he did the transaction with the farmer, along with two witnesses, one being the GRDB representative at the mill and the RPA representative present.
The Rice Factories Act was passed in an effort to protect the rice farmers and to improve their quality of life, thereby promoting standardization by millers. During my tenure there were induction seminars held by the GRDB at the Burma Research Station. The aim was to sensitize field officers and grading officers about the operations, administration and integration of quality control, marketing/export, research and development, payments to farmers by millers according to the act and extension services. These seminars were conducted by Brian Greenidge, and were fruitful because they provided officers with insightful information about the organization and the rice industry.
Yours faithfully,
Mohamed Khan

Rice exports may hit 900,000 T in Q1 - Vietnam Economic Times

21.01.2015
Vietnam is projected to export 900,000 tonnes of rice in the first quarter of 2015, of which 500,000 tonnes have already been contracted, the Vietnam Economic Times newspaper reported, citing the Vietnam Food Association.Importers could sign more deals when Vietnam begins harvesting the winter-spring crop while export prices may not be as high as in 2014, the report quoted the association's chairman as saying. The association has projected Vietnam's rice exports for this year at more than 7 million tonnes. Last year, 6.32 million tonnes were exported via official trade and another 2 million tonnes via unofficial trade to China.

Vietnam to export 900,000 tons of rice in Q1: association
HO CHI MINH CITY, Jan. 21 (Xinhua) -- Vietnam planned to export 900,000 tons of rice in the first quarter of this year, the lowest level for the quarter compared with past several years, Vietnam Food Association reported on its website Wednesday.Accordingly, local businesses have only signed contracts to ship around 500,000 tons of rice and they must export an additional 400,000 tons to meet the set plan, said VFA Chairman Nguyen Hung Linh, adding that currently the domestic price is competitive as it is lower than, or as same as other rice exporters at 380 U.S. dollars per ton for 5-percent-broken rice.
VFA also forecast that rice supply and demand for 2015 will remain unchanged from 2014, but the local market will continue to face challenges with sustainability and a lot need to be done to speed up the industry. The association expected to export more than 7 million tons of rice this year.In 2014, Vietnam exported 6.316 million tons of rice, worth 2. 789 billion U.S. dollars, a decrease of 5.47 percent in volume and 3.59 percent in value.The association attributed the slump to the sharp decline in demand for rice in the African markets, overproduction by Thailand and India along with lack of growth in Asian markets.The country ranked third among the world's largest rice exporters in 2014 after Thailand (10.5 million tons) and India (10 million tons), according to VFA.
Are we missing lessons from the rice-pledging fiasco?
Attayuth Bootsripoom
January 22, 2015 1:00 am

Tomorrow is "judgement day" for former prime minister Yingluck Shinawatra's political future. She is accused by the National Anti-Corruption Commission (NACC) of negligence of duty leading to corruption, in connection with her government's rice-pledging scheme. That project is part of her Pheu Thai Party's campaign promise in the run-up to the 2011 general election.After Pheu Thai won a landslide victory, the Yingluck-led government went ahead with the rice-pledging scheme, despite protests that it was fraught with flaws open to irregularities and losses.
Yingluck's administration ignored the critics, arguing that they had to continue with the project because it was part of the ruling party's campaign promise to the voters. They explained the project was aimed at providing state subsidies to farmers and therefore concerns of possible loss should not be taken into account.As time went by, the "wound" stemming from the rice scheme became "infected" and the "pain" could be felt. Many people pointed out that the project had problems. Yingluck's government appeared to agree that was the case and started to make some adjustments to the scheme.
However, before the rice scheme's "abscess" would explode, there came a political crisis and chaos before the coup took place in May last year. The NACC went full steam in dealing with the case. It requested that the Senate impeach Yingluck for negligence in connection with the corruption-plagued and loss-making rice scheme.The unusual speed of the case led to a question as to whether the case was politically motivated. There are many other cases in the NACC's care that have failed to progress so rapidly.
The NACC came up with the accusation that Yingluck was negligent about irregularities involving the rice scheme even before the anti-graft agency indicted anyone of corruption. This fact led to an assertion that "when nobody has been found to be corrupt, how can Yingluck be accused of being negligent?"
When Yingluck's case was referred to the post-coup National Legislative Assembly for an impeachment process, there came a question as to whether the NLA actually had the authority to impeach her. Some people asked if there existed a law for impeachment of public office holders, as the constitution of 2007, which cited this matter, had already been scrapped after the coup.However, this argument was countered by the fact that the anti-corruption law, which empowered the NACC to seek impeachment of public-office holders, still existed after the coup. Prime Minister Prayut Chan-o-cha has also supported the view that the NACC had the power to seek impeachment.
During the NLA's inquiry session involving the impeachment process against Yingluck, she opted not to show up. And the NLA resolved not to allow her representatives to answer the questions from the assembly's members on her behalf, although the meeting regulations did not forbid that. Finally, the session became a one-sided attack against the ex-PM.Although Yingluck may finally be impeached by the NLA, this society will end up having learned nothing from the rice scheme scandal. It is because the justice process has been rushed and has become incomplete.
Some politicians will not miss the chance to point out to their supporters that a decision to impeach Yingluck is politically motivated. However, under its political shroud, the rice scheme really was flawed with loss and damage.Because the rice scheme's "abscess" was not allowed to burst naturally, Thai society has missed the chance to learn some lessons about the bane of expensive populist policies.

If society and voters were allowed to learn the lesson by themselves, we might in the future come up with some kind of penalty for political parties that cause severe damage to the country in exchange for popular support. Such a penalty also would teach politicians that they should avoid expensive populist policies like this in the future.   Source                  www.nationmultimedia.com

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