Riceplus
A Voice for Rice Community
Saturday, June 06, 2015
5th June (Friday),2015 Daily Exclusive Oryza Rice E-Newsletter by Riceplus Magazine
FAO Forecasts Global Milled Rice Production to Increase in 2015-16
Jun 04, 2015
In its June Cereal
Supply and Demand brief, the UN's Food and Agricultural Organization forecasts
2015-16 global milled rice production at around 500.5 million tons, up about 1.3% from an
estimated 494.2 million tons in 2014-15; and slightly up from its last month's
forecast of around 500.1 million tons.
The FAO attributes
the increase in global rice production to more buoyant prospects for China and
West African nations. It expects large increases in production in India, China,
Philippines, Sri Lanka and Thailand.
The FAO estimates
2015-16 global rice utilization
at around 508.6 million tons, up about 1.8% from an estimated 499.7 million
tons in 2014-15, and slightly up from last month's estimates of around 508.3
million tons. The FAO anticipates the average per capita rice consumption in
2015-16 at around 57 kilograms.
The FAO estimates
2015-16 global rice stocks at
around 168.8 million tons, down about 4.5% from an estimated 181 million tons
last year and slightly down from last month's forecast of around 168.2 million
tons. The UN agency expects most of the declines in India, Thailand,
Bangladesh, Myanmar and Indonesia.
The FAO estimates
2016 global rice trade at
around 42.5 million tons, up about 2.4% from an estimated 41.5 million tons in
2015 and slightly up from last month's forecast of around 42.4 million tons.
The 2016 trade recovery would be fueled by a renewed demand by the traditional
large importers, including Bangladesh, China, Indonesia, the Philippines but
also Cote d’Ivoire and Nigeria and sustained by continuing large availabilities
in exporting countries, says the FAO. The FAO says its forecasts are
subject to uncertainty and would largely depend on the unfolding of the 2015
rice seasons.
Global Rice Quotes
June 5th, 2015
Long grain white rice - high
quality
Thailand 100% B grade 370-380 ↔
Vietnam 5% broken 350-360 ↔
India 5% broken 375-385 ↔
Pakistan 5% broken 395-405 ↑
Myanmar 5% broken 415-425 ↔
Cambodia 5% broken 430-440 ↔
U.S. 4% broken 465-475 ↔
Uruguay 5% broken 565-575 ↔
Argentina 5% broken 555-565 ↔
Long grain white rice - low
quality
Thailand 25% broken 340-350 ↔
Vietnam 25% broken 330-340 ↔
Pakistan 25% broken 350-360 ↔
Cambodia 25% broken 410-420 ↔
India 25% broken 360-370 ↔
U.S. 15% broken 455-465 ↔
Long grain parboiled rice
Thailand parboiled 100% stxd 365-375 ↔
Pakistan parboiled 5% broken
stxd 410-420 ↔
India parboiled 5% broken stxd 355-365 ↔
U.S. parboiled 4% broken 555-565 ↔
Brazil parboiled 5% broken 570-580 ↔
Uruguay parboiled 5% broken NQ ↔
Long grain fragrant rice
Thailand Hommali 92% 840-850 ↔
Vietnam Jasmine 470-480 ↔
India basmati 2% broken NQ ↔
Pakistan basmati 2% broken NQ ↔
Cambodia Phka Mails 820-830 ↔
Brokens
Thailand A1 Super 315-325 ↔
Vietnam 100% broken 310-320 ↔
Pakistan 100% broken stxd 295-305 ↔
Cambodia A1 Super 350-360 ↔
India 100% broken stxd 280-290 ↔
Egypt medium grain brokens NQ ↔
U.S. pet food 365-375 ↔
Brazil half grain NQ ↔
All prices USD per ton, FOB
vessel, oryza.com
Oryza Afternoon Recap - Chicago Rough Rice Futures to Show Strength despite
Weak Export Demand
Jun 04, 2015
Chicago
rough rice futures for Jul delivery settled 6 cents per cwt (about $1 per ton)
higher at $9.925 per cwt (about $219 per ton). The other grains finished the
day with gains as well; Soybeans closed about 1.2% higher at $9.4650 per
bushel; wheat finished about 2.6% higher at $5.2375 per bushel, and corn
finished the day about 1.3% higher at $3.6350 per bushel.U.S. stocks traded
lower on Thursday as the recent bond selloff and lack of resolution on Greece
kept investors on edge in a quiet day of economic releases leading up to
Friday's employment report. In choppy trade, the Dow Jones industrial average
traded more than 180 points lower to below its 50-day moving avereage.
The
blue chip index briefly swung into positive territory after falling more than
100 points in the open. The Nasdaq traded about 50 points lower after also
attempting slight gains. The S&P 500 fell below its 50-day moving average.
U.S. stocks closed higher on Wednesday despite the bond selloff. European
equity markets closed lower as the yield surge raised fears that higher
borrowing costs could hurt corporate profits and the economic recovery. Asian
shares ended the session mixed, with Shanghai recovering from a 5% plunge to
end modestly higher and Japan's blue-chip Nikkei stock index only just closing
in positive territory. Greece will bundle its four debt payments to the
International Monetary Fund due this month into a single payment now due on
June 30, the IMF said on Thursday. U.S. non-farm productivity fell at a 3.1%
annual rate in the first quarter, down sharply from the previously reported
1.9% rate.
The
Dow Jones Industrial Average traded down 175 points, or 0.97%, at 17,899. The
S&P 500 traded down 19 points, or 0.89%, at 2,095, with materials leading
all 10 sectors lower. The Nasdaq traded down 44 points, or 0.87%, at 5,054.
Gold is trading about 0.8% lower, crude oil is seen trading about 2.9% lower,
and the U.S. dollar is seen trading about flat at about 1:00pm Chicago
time.
Wednesday, there
were 707 contracts traded, unchanged from 707 contracts traded on Tuesday. Open
interest – the number of contracts outstanding – on Wednesday decreased by 277
contracts to 11,955.
FAO Global Rice Price Index Declines for Ninth Consecutive Month
Jun 04, 2015
The
FAO All Rice Price Index declined to around 215 points in May 2015, down about
1.4% from around 218 points in April 2015 due to a decline in the Higher
Quality Indica, Japonica and Aromatic sub-indices. However, the Lower Quality
sub-index increased slightly over last month.
The
FAO index has been declining continuously since September 2014. It declined
about 10% during the 9-month period. The Higher Quality sub-index declined
about 2 points or about 1% to around 186 points, while the Lower Quality Indica
sub-index increased by about 1 point, or about 0.5% to around 190 points in May
2015. Japonica sub-index declined by about 5 points, or about 1.8% to around
266 points this month from around 271 points last month. The Aromatic sub-index
declined by about 8 points or about 4% to around 185 points in May 2015. The
decline in Aromatic sub-index is mainly due to a decline in basmati rice prices,
according to the FAO.
In January
- May 2015, the FAO All Rice Price Index averaged 219 points, down about 6.7%
from around 235 points during the same period last year. Sub-index for higher
quality Indica rice prices declined about 9.1% y/y and sub-index for lower
quality Indica rice prices declined about 5.1% y/y. Aromatic rice price
sub-index declined about 27.4% y/y. However, sub-index for Japonica rice prices
increased about 4.6% y/y. According to the FAO, rice export prices in the
Asian origins such as Vietnam, India and Thailand declined but increased in
Pakistan due to a tightening of supplies along with a strong demand from East
African nations. Export prices in the U.S., Argentina and Uruguay also declined
due to slow export sales.
During
May 2015, average rice export prices of all Thai varieties, including Thai 100%
broken rice, Thai parboiled rice, Thai A1 Super, Thai fragrant rice, Thai 5%
rice and Thai 25% rice declined to around $394 per ton, $388 per ton, $326 per
ton, $1,057 per ton, $385 per ton and $372 per ton respectively. Export prices
of Vietnam and India 25% broken rice declined to around $333 per ton and $347
per ton respectively. Export prices of Pakistan 25% broken rice increased
to around $353 per ton. Export prices of the U.S. and Uruguay rice declined to
around $492 per ton and around $550 per ton respectively.
Government of Pakistan May Increase Import Duty on Rice in FY 2015-16
Jun 04, 2015
Based
on the proposition by the Ministry of National Food Security and Research
(MNFSR), the government of Pakistan may increase import duty on basmati rice as
well as broken rice to encourage domestic production and protect local farmers,
according to local sources.The Ministry has proposed to increase the import
duty on basmati rice from the existing 10% to around 30% in FY 2015-16 (July -
June) since import of basmati is expected to impact local production.
It
also proposed to increase the import duty on non-basmati broken rice from the
existing 10% to about 30% during the next fiscal year to protect the interests
of rice farmers.Since rice is second largest export product that earns
considerable foreign exchange for Pakistanm the government is keen on increasing
production and exports of the commodity by placing import restrictions.Pakistan
has exported around 3.45 million tons of rice (around 428,051 tons of basmati
and around 3.02 million tons of non-basmati) in the first ten months of FY
2014-15 (July 2014 - June 2015) earning about $1,750 million (around $449
million from basmati and around $1,301 million from non-basmati), according to
data from Pakistan Bureau of Statistics.The Ministry also proposed increase in
import duty for wheat, wheat flour, crystalline cane and dairy products.
USDA estimates
Pakistan's MY 2014-15 (November - October) milled rice production at around 6.9
million tons (around 10.35 million tons, basis paddy) in MY 2013-14. It
estimates Pakistan to export 3.8 million tons of rice and import 20,000 tons of
rice during the year.
Oryza Global Weather Outlook
Jun 04, 2015
Rain is expected
across the Yangtze Valley, Central and Eastern area of South China, and Northern area of North China Plain this week.
Rain is expected
across Southern, East and Central India this week, which will maintain favourable moisture for
kharif rice planting.
Rain is expected
Central Pakistan, and also
expected to continue in Northern Bangladesh this week.
In Indonesia, rain is expected across much of the region this week,
which will slow main season rice harvesting.
Light rain showers
are expected across Northern Thailand, and Central and Northern Vietnam this week. However, dryness and stress on main season
rice will increase elsewhere.
In the Philippines, rain showers are expected across much of the region
this week.
A few showers are
expected in Eastern and North-western portions of the Northeast Brazil this week.
Rains is expected
across Uruguay and Eastern Argentina this week, which will slow rice harvesting there.
In the U.S., light rain showers are expected in North-eastern
portions of the Delta this week.
Oryza Overnight Recap – Chicago Rough Rice Futures Hold Gains despite Weak
Export Sales Report
Jun 04, 2015
Chicago
rough rice futures for Jul delivery are currently seen trading 5.5 cents per
cwt (about $1 per ton) higher at $9.920 per cwt (about $219 per ton) during
early floor trading in Chicago. The other grains are seen trading higher;
soybeans are currently seen trading about 0.6% higher, wheat is listed about
1.2% higher and corn is currently noted about 0.5% higher.U.S. stocks traded
lower on Thursday as the recent bond selloff kept investors on edge
in a quiet day of economic releases leading up toFriday's employment
report.
The Dow Jones industrial average briefly swung
into positive territory after falling more than 100 points in the open. The
Nasdaq also attempted slight gains. The U.S. Federal Reserve should delay a
rate hike until the first half of 2016 until there are signs of a pickup in
wages and inflation, the International Monetary Fund said in its annual
assessment of the economy on Thursday. Analysts said investors mostly
disregarded the news. Before the bell, weekly jobless claims came in at
276,000, below expectations and last week's 282,000 figure.
The
report comes ahead of the May U.S. non-farm payrolls report on Friday.
U.S. non-farm productivity fell at a 3.1% annual rate in the first quarter,
down sharply from the previously reported 1.9% rate. European equity markets
declined as the yield surge raised fears that higher borrowing costs could hurt
corporate profits and the economic recovery. Asian shares ended the session
mixed, with Shanghai recovering from a 5 percent plunge to end modestly higher
and Japan's blue-chip Nikkei stock index only just closing in positive
territory. The Dow Jones Industrial Average traded down 62 points, or 0.35%, at
18,008. The S&P 500 traded down 7 points, or 0.33%, at 2,104, with
telecommunications leading all 10 sectors lower. The Nasdaq traded down 11
points, or 0.21%, at 5,088. Gold is currently trading about 0.8% lower, crude
oil is seen trading about 1.6% lower, and the U.S. dollar is currently
trading about 0.3% lower at 9:15am Chicago time.
Oryza U.S. Rough Rice Recap – Prices Hold Despite Tepid Export Sales
Jun 04, 2015
The
U.S. cash market was unchanged today despite tepid export sales numbers as bids
and offers remained unchanged with both sides standing firm.The USDA reported
that cumulative net export sales for the week ending on May 28th,
totaled 34,200 tons, which was 51% lower than last week and 16% lower than the
prior 4-week average.
Increases
were reported for the following destinations including: 10,500 tons to Haiti,
5,900 tons to Canada, 5,000 tons to unknown destinations, 3,500 tons to
Guatemala, and 2,600 tons to tons Saudi Arabia, while decreases of 200 tons
were reported for Taiwan.Nets sales of 23,000 tons for 2015/2016 were reported
for the following destinations including: 13,000 tons to Colombia, and 10,000
tons to South Korea.U.S. rice exporters shipped 58,500 tons, which was 5% lower
than last week and 18% lower than the prior 4-week average. The primary
destinations included: 13,800 tons to Libya, 12,000 tons to Japan, 8,800 tons
to Taiwan, 8,300 tons to Mexico, and 4,500 tons to El Salvador.
Philippines Will Reach 20.08 Million Tons Paddy Target in 2015 Despite El
Nino Threat, Says DA Official
Jun 04, 2015
The
Philippines is expected to reach the 20.08 million tons paddy (around 12.65
million tons, basis milled) target by the end of 2015 despite fears of an
impending El Nino as the Department of Agriculture (DA) is planning for
necessary interventions, local sources quoted the DA Assistant Secretary for
Field Operations as saying.The DA official told local sources that the DA has
decided to adhere to the set target for this year despite recommendations by
the Food Security Committee (FSC) to revise their 2015 paddy production target
to 19.5 million tons (around 12.28 million tons, basis milled) taking into
account the El Nino weather phenomenon, which is expected to cause below-normal
rainfall or prolonged dry spell. The FSC also suggested that their recommendation
is in line with the projected output of 19.02 million tons by the Philippine
Statistics Authority-Bureau of Agricultural Statistics (PSA-BAS).
However,
the DA Assistant Secretary noted that the 2015 target of 20.08 million tons has
been set with proper ground work and it is not a guess work. "We may miss
this target, but at least we aimed for it,” he said.Recently, the DA
official also requested the government to increase the budget for the rice
sector development next year to around P11 billion (around $246 million) from
next year from the current P6.6 billion (around $148 million).Meanwhile the
National Food Authority (NFA) is preparing for the onset of lean months from
July to September. It is continuing with paddy procurement from farmers and has
procured around 1.593 million tons of paddy as on May 26, over and above its
procurement target of around 1.202 million tons. It noted that the selling
prices of NFA rice will not be increased in the near term. Rice stocks with the
NFA are at around 2.78 million tons, sufficient to last for about 90 days,
according to a news release on the government website.
The NFA has called for tenders from Thailand, Vietnam and Cambodia for importing 250,000 tons of 25% broken well-milled long-grain rice on June 5. NFA is authorized to import another 250,000 tons of rice if the drought-inducing El Nino weather condition intensifies.
The Philippines already imported 500,000 tons of rice from Vietnam and Thailand this year to curb price increases and boost buffer stocks. Last year, the South-east Asian nation imported more than 1.8 million tons of rice (including 1.5 million tons of 2014 imports and 300,000 tons of 2013 residual imports) to replenish rice stocks and control price hikes. USDA estimates the South-East Asian nation to produce around 19.683 million tons of paddy (around 12.4 million tons, basis milled) in MY 2014-15 (July - June) and import 1.3 million tons of rice in 2015.
Thailand Rice Sellers Lower Most of Their Quotes Today; Vietnam, India Rice
Sellers Increase Some of Their Quotes
Jun 04, 2015
Thailand rice
sellers lowered their quotes for 5% broken rice, 25% broken rice and Hommali
rice by about a $5 per ton each today. Vietnam rice sellers increased
their quotes for 25% broken rice by about a $5 per ton. India rice sellers
increased their quotes for 25% broken rice by about a $10 per ton. Pakistan
rice sellers kept their quotes mostly unchanged today.
5% Broken Rice
5% Broken Rice
Thailand 5% rice is
indicated at around $360 - $370 per ton, down about a $5 per ton from yesterday
and about a $10 per ton premium on Vietnam 5% rice shown at around $350 -
$360 per ton.
India 5% rice is
indicated at around $375 - $385 per ton, about a $15 per ton discount to
Pakistan 5% rice shown at around $390 - $400per ton.
25% Broken Rice
Thailand 25% rice is
shown at around $340 - $350 per ton, down about a $5 per ton from yesterday and
about a $10 per ton premium on Vietnam 25% rice shown at around $330- $340 per
ton, up about a $5 per ton from yesterday.
India 25% rice is
indicated at around $360 - $370, up about a $10 per ton from yesterday and
about $10 per ton premium on Pakistan 25% rice shown at around $350 - $360 per
ton.
Parboiled Rice
Thailand parboiled
rice is indicated at around $365 - $375 per ton.
India parboiled rice
is indicated at around $355 - $365 per ton, about a $55 per ton discount to
Pakistan parboiled rice shown at around $410 - $420 per ton.
100% Broken Rice
Thailand broken
rice, A1 Super, is indicated at around $315 - $325 per ton, about a $5 per ton
premium on Vietnam 100% broken rice shown at around $310 - $320 per ton.
India's 100% broken
rice is shown at around $280 - $290 per ton, about a $15 per ton discount
to Pakistan broken sortexed rice shown at around $295 - $305 per ton.
Thursday, June 04, 2015
4th June (Thursday) ,2015 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine
Rice Paddies Can be A Source of
Electricity!
Jun
03, 2015
Dutch scientists have developed a
system called Plant-e, which can produce electric energy from living
water-logged plants such as rice, according to AsiaOne News.The co-founder of
Plant-e told reporters that the system was developed by in 2009 by the
Wageningen University researchers. The system generates electricity by
harnessing the excess organic matter produced by the rice plant during
photosynthesis, which is expelled through the plant roots and is usually
consumed by micro-organisms. Two carbon electrodes placed close to the roots
will generate electricity from the roots. Electricity stops being produced if
the water at the roots evaporates, dries up or freezes. Adding water would
again restart the electricity-generation process, said the co-founder of the
system.
She said though generating energy
from plants is not novel, the Plant-e system is non-invasive and does not
damage the plants. Moreover, the power generated is clean energy. It is better
than solar or wind power as it can be generated without wind and even at
nights.The company, based in Netherlands, sells the Plant-e system, consisting
of 60-centimeter square plastic plates containing the technology. These plates
can hold the plants intact and help in uninterrupted power generation. However,
the system is pretty costly and cannot be afforded by individuals. Systems
covering an area of 100 square meters are priced at around 60,000 euros
($66,000). They provide power sufficient to charge a mobile phone, power some
LED lights or a wireless internet access point.
The Dutch government has already
helped install two large-scale systems in the Netherlands on a road bridge and
a hi-tech startup campus at a total cost of 120,000 euros (around
$132,00). The founders are optimistic that with further government support,
the systems can provide about 80% of the electricity needs of an average Dutch
family.They say the systems are more useful for South and South East Asian
countries, which are major producers of rice.
Brazil Paddy Rice Index Declines
About 2.5% from Last Week
The Brazilian paddy rice index
maintained by CEPEA reached around 33.28 real per 50 kilograms as of June 2,
2015, down about 2.5% from around 34.12 real per 50 kilograms recorded on May
26, 2015.In terms of USD per ton, the index reached around $212 per ton on June
2, 2015, down about 4% from around $221 per ton recorded on May 26, 2015.
Global Rice Quotes
June
3rd, 2015
Long grain white rice - high quality
Thailand
100% B grade 375-385 ↔
Vietnam
5% broken 350-360 ↔
India
5% broken 375-385 ↔
Pakistan
5% broken 390-400 ↑
Myanmar
5% broken 415-425 ↔
Cambodia
5% broken 430-440 ↔
U.S.
4% broken 465-475 ↔
Uruguay
5% broken 565-575 ↔
Argentina
5% broken 555-565 ↔
Long grain white rice - low quality
Thailand
25% broken 345-355 ↔
Vietnam
25% broken 325-335 ↔
Pakistan
25% broken 350-360 ↑
Cambodia
25% broken 410-420 ↔
India
25% broken 350-360 ↔
U.S.
15% broken 455-465 ↔
Long grain parboiled rice
Thailand
parboiled 100% stxd 365-375 ↔
Pakistan
parboiled 5% broken stxd 410-420 ↔
India
parboiled 5% broken stxd 355-365 ↔
U.S.
parboiled 4% broken 555-565 ↔
Brazil
parboiled 5% broken 570-580 ↔
Uruguay
parboiled 5% broken NQ ↔
Long grain fragrant rice
Thailand
Hommali 92% 845-855 ↔
Vietnam
Jasmine 470-480 ↔
India
basmati 2% broken NQ ↔
Pakistan
basmati 2% broken NQ ↔
Cambodia
Phka Mails 815-825 ↔
Brokens
Thailand
A1 Super 315-325 ↔
Vietnam
100% broken 310-320 ↔
Pakistan
100% broken stxd 295-305 ↓
Cambodia
A1 Super 350-360 ↔
India
100% broken stxd 280-290 ↔
Egypt
medium grain brokens NQ ↔
U.S.
pet food 365-375 ↔
Brazil
half grain NQ ↔
All
prices USD per ton, FOB vessel, oryza.com
Heat Wave and
Below-Average Monsoon May Impact India's 2015 Main Rice Crop Planting, Say
Analysts
Jun
03, 2015
The ongoing heat wave and expected
below-average rainfall during the monsoon season is likely to delay the sowing
of main/kharif (June - December) rice crop, say analysts. Though kharif rice
seems to have picked up over the last few weeks, experts say it may not sustain
due to excessive heat, especially in top rice-growing states such as Punjab and
Andhra Pradesh, according to local sources.Andhra Pradesh rice farmers are
being advised to sow shorter duration paddy varieties, typically ranging from
125-130 days duration instead of 180-one, due to persisting heat wave in the
country as well as expected below average rainfall.
Also since reservoirs are not of
their full capacity, farmers will have to depend on pump irrigation, which is a
costly affair. Farmers in most parts of the country are compromising with two
irrigation cycles instead of six, according to the Chairman of a farmers'
union.Meanwhile, in its second forecast for 2015, the India Meteorological
Department (IMD) has its estimate for this year's monsoon rains to 88% of
normal, from a previous estimate of 93% due to reports of a strengthening El
Nino. It is expecting rainfall to be 85% of the normal in the states of
Haryana, Punjab, Rajasthan and Uttar Pradesh. The IMD expects the El Nino
pattern to reach to moderate to a strong one during the monsoon season. India
average wholesale rice prices continued to increase for the third consecutive
month in May 2015 due to expected lower production from the just being
completed Rabi secondary rice crop (November - May) and expected below-average
rainfall. However, adequate rice stocks are expected to fulfill the country's
domestic and export needs as well as curtail excessive price hikes and
inflation.
This year's kharif rice sowing has
reached around 308,000 hectares as of May 29, 2015; up about 21% from around
254,000 hectares planted during the same period last year, according to the
Agriculture Ministry data.The government of India, in its third advance
estimates for major crops, has estimated India's rice production for 2014-15
marketing year (October 2014 - September 2015) at around 102.54 million tons,
down about 4% from an estimated 106.65 million tons in 2013-14, according to a
statement from the agriculture Ministry.
Indonesia Aims to Procure 2.75
Million Tons of Rice in 2015
Jun
03, 2015
Indonesia's state logistics agency
Bulog is aiming to procure 2.75 million tons of rice this year, about 14% below
the initially targeted 3.2 million tons, despite an increase in the government
purchase price (Harga pokok penjualan, HPP), according to local sources. Though
the government increased the HPP by about 10% to around Rp7,260 per kilogram
(around $577 per ton) from the existing Rp6,600 per kilogram (around $524 per
ton) to encourage farmers to sell their paddy to Bulog. However, the decision
failed to have a positive effect on government rice procurement. Recently, the
State-owned Enterprises Minister slammed the Bulog for its slow and inefficient
procurement process during the ongoing harvest.
The government is likely to take a
decision on rice imports after the Ramzan festive season in July. It initially
planned to avoid imports this year. But based on slow procurement figures, it
may have to reconsider its decision on imports. The Indonesian government
is keen on increasing 2015 paddy rice production by about 4% to around 73.4
million tons (around 48.44 million tons, basis milled) from an estimated 70.61
million tons (around 46.65 million tons, basis milled) in 2014. Indonesia
imported 425,000 tons of rice from Thailand and Vietnam in 2014.
According to the UN's FAO, average domestic rice prices in Indonesia have
been increasing since September 2014 and reached a high of around 10.375
million Rupiah (around $790) per ton in March 2015. The prices reversed
slightly in April 2015 due to the ongoing procurement activity by the
government. The decline continued in May as well.
Oryza Overnight Recap – Chicago
Rough Rice Futures Slip Slightly Overnight, Pulled Lower by Softer Oil and
Grain Prices
Jun
03, 2015
rice futures for Jul delivery are
currently seen trading 0.5 cents per cwt (about $0.11 per ton) lower at $9.770
per cwt (about $215 per ton) ahead of floor trading in Chicago. The other
grains are seen trading lower; soybeans are currently seen trading about 0.5%
lower, wheat is listed about 0.2% lower and corn is currently noted about 0.2%
lower.U.S. stock index futures traded higher on Wednesday, pointing to a positive open as investors looked
ahead to U.S. economic reports amid European Central Bank President Mario
Draghi's remarks.
At a press conference Draghi
reaffirmed the continuation of ECB's asset purchase program and said he wants
Greece to stay in the euro zone. He would not comment on the Greece debt talks.
Earlier in the day, the ECB left the benchmark interest rate unchanged at
0.05%, as expected. Greek Prime Minister Alexis Tsipras will meet senior
European officials later in the day in Brussels, where he is expected to hear
the terms of a plan drawn up this week by top policymakers including German
Chancellor Angela Merkel, Reuters said. Athens faces a 300 million euro payment
deadline to the International Monetary Fund this Friday. European stocks traded higher on Wednesday, with the German DAX
outperforming with a 1.3% gain, and the Greece ATHEX Composite surging 4.5%.
The Dow Jones index futures briefly
extended gains to more than 110 points higher. U.S. stocks closed slightly
lower on Tuesday,
struggling to hold momentum. Asian shares had a mixed session, with only the
Hang Seng posting gains. Other economic data out on Wednesday include the non-manufacturing report from
the Institute for Supply Management (ISM) at 10:00 a.m. ET and the Federal Reserve's Beige Book at 2:00 p.m. Gold is currently
trading about 0.2% lower, crude oil is seen trading about 1.6% lower, and
the U.S. dollar is currently trading about 0.3% higher at 8:15am Chicago time.
Pakistan Rice Quotes Mixed
Today; Other Asia Rice Quotes Unchanged
Jun
03, 2015
Pakistan rice sellers increased their quotes for 5% broken rice and 25%
broken rice by about a $5 per ton and about a $15 per ton to about $390-$400
per ton and $350-$360 per ton, respectively, and lowered their quotes for
100% broken rice by about a $10 per ton to about $295 - $305 per ton
today. Asia rice sellers kept their quotes mostly unchanged today.
5% Broken Rice
Thailand 5% rice is indicated at around $365 - $375 per ton, about a $15
per ton premium on Vietnam 5% rice shown at around $350 - $360 per ton.
India 5% rice is indicated at around $375 - $385 per ton, about a $15 per
ton discount to Pakistan 5% rice shown at around $390 - $400per ton, up about a
$5 per ton from yesterday.
25% Broken Rice
Thailand 25% rice is shown at around $345 - $355 per ton, about a $20 per
ton premium on Vietnam 25% rice shown at around $325- $335 per ton.
India 25% rice is indicated at around $350 - $360, on par with Pakistan 25%
rice shown at around $350 - $360 per ton, up about a $15 per ton from
yesterday.
Parboiled Rice
Thailand parboiled rice is indicated at around $365 - $375 per ton.
India parboiled rice is indicated at around $355 - $365 per ton, about a
$55 per ton discount to Pakistan parboiled rice shown at around $410 - $420 per
ton.
100% Broken Rice
Thailand broken rice, A1 Super, is indicated at around $315 - $325 per ton,
about a $5 per ton premium on Vietnam 100% broken rice shown at around $310 -
$320 per ton.
India's
100% broken rice is shown at around $280 - $290 per ton, about a $15 per ton
discount to Pakistan broken sortexed rice shown at around $295 - $305 per
ton, down about a $10 per ton from yesterday
Oryza U.S. Rough Rice Recap -
Offers Increase with Futures in Anticipation of New Iraqi Tender
Jun
03, 2015
The U.S. cash market was slightly
firmer again today with offers increasing in tandem with the board while bids
remained mostly flat with little demand to justify coming to seller offers.Analysts
note that there is more and more confidence in the market the U.S. will get a
piece of the next Iraqi Grain Board tender however they have still yet to
announce this tender and there are still many who think the chance of U.S.
origin being awarded is slim.
Oryza Afternoon Recap - Chicago
Rough Rice Futures March Higher; Wheat Rallies in Early Trade but Retraces to
Settle Slightly Lower
Jun
03, 2015
Chicago rough rice futures for Jul
delivery settled 9 cents per cwt (about $2 per ton) higher at $9.865 per cwt
(about $217 per ton). The other grains finished the day with mixed results,
after trading over 2% higher wheat gave back early gains to close slightly
lower; Soybeans closed about 0.6% lower at $9.3525 per bushel; wheat finished
about 0.3% lower at $5.1075 per bushel, and corn finished the day unchanged at
$3.5900 per bushel.U.S. stocks traded higher on Wednesday as investors looked
for signals in economic data that could strengthen the case for tightening and
awaited developments in the Greek debt talks. After mixed morning data,
investors awaited the 2:00 p.m. release of the Beige Book, the Federal
Reserve's latest report on the U.S. economy. The Dow Jones industrial average
pared gains to trade about 80 points higher. The Dow transports traded more
than 1% higher.
Earlier, the blue chip index gained
more than 150 points and the Nasdaq Composite topped its record close of
5,106.59. Greek Prime Minister Alexis Tsipras agreed in a telephone
conversation with German Chancellor Angela Merkel and French President Francois
Hollande on the need for an immediate solution involving a lower primary budget
surplus target for Greece, a Greek official said in a Reuters report. European
stocks closed mostly higher as investors eyed Greece negotiations and unchanged
central bank policy. U.S. data continued to show moderate growth in the second
quarter.
The ISM non-manufacturing index for
May came in at 55.7, nearly a year low. Analysts expected the figure to slip to
57 in May from 57.8 in April. The U.S. Markit PMI Services read for May showed
a slight decline from April and came in below expectations at 56.2. The Dow
Jones Industrial Average traded up 80 points, or 0.44%, at 18,090. The S&P
500 traded up 4 points, or 0.22%, at 2,114, with telecommunications leading
seven sectors higher and utilities the greatest laggard. The Nasdaq traded up
19 points, or 0.38%, at 5,095. Gold is trading about 0.9% lower, crude oil is
seen trading about 2.8% lower, and the U.S. dollar is seen trading about 0.4%
lower at about 1:00pm Chicago time.Tuesday, there were 707 contracts
traded, down from 1,052 contracts traded on Monday. Open interest – the number
of contracts outstanding – on Tuesday increased by 45 contracts to 12,232.
Download/View
On-Line the above News in pdf format,just click the following link
3rd June (Wednesday) ,2015 Daily Global Rice E-Newsletter by Riceplus Magazine
Dutch 'paddy power' pulls electricity
from rice fields
Agence France-Presse, Wageningen, Netherlands |
Business | Wed, June 03 2015, 12:01 PM
Dutch
scientists have developed a revolutionary system that could one day help
isolated villages around the world steadily generate electricity from mundane
water-logged plants such as rice growing in paddy fields."It's based on
the principle that plants produce more energy than they need," said
Marjolein Helder, co-founder of Plant-e, which makes products that harvest
energy from living plants."The advantage of this system over wind or solar
is that it also works at night and when there's no wind," she told
AFP.Founded in 2009, Plant-e is perfecting a system originally dreamt up at
Wageningen University and patented in 2007.All that the system requires to
produce electricity is a plant growing in water, be it mangrove swamps, rice
paddies, bogs or simply in a pot or your garden.
"It's
just the beginning and lots of things still need to be greatly improved, but
the potential is enormous," said Jacqueline Cramer, professor of
sustainable innovation at Utrecht University and former Dutch environment
minister."If the system becomes good enough, it could provide electricity
for isolated areas or even be installed in our cities and countryside to
produce clean electricity," she told AFP.The technology harnesses the
excess organic matter produced by the plant during photosynthesis, which is
expelled through the plants roots and consumed by micro-organisms.That
consumption frees up electrons, which can then be harvested by placing carbon
electrodes close to the roots to generate electricity.
Getting
power from plants is not new, "but here we don't need to damage the plant,
it's a non-invasive system," said Helder.Electricity stops being produced
if the water evaporates or freezes, but "you just need to add water or
wait for the ice to melt," she said."In many parts of the world they
don't have this kind of problem."Plant-e, based in Wageningen in the
eastern Netherlands, currently sells a system consisting of 50-centimetre
(around 20-inch) square plastic plates containing the technology that can slot
together and hold the plants.This system is designed for parks or rooftops, but
comes with a hefty price tag: 60,000 euros ($66,000) to cover 100 square
meters.But the flagship product is still being developed: tubes that can be
quickly and easily submerged to start generating electricity in a watery area.
The
system's potential is vast, but particularly suited to Southeast Asia, with its
rice fields, mangrove swamps and other wetlands where electricity is often
unavailable.Less than a third of the population of Cambodia has access to
electricity and less than half in Myanmar. In Bangladesh, 55 percent of people
have electricity and in Laos 66 percent, according to the World Bank.But
Plant-e, which manages to survive thanks to subsidies, still has a long way to
go: the product's cost and efficiency must be vastly improved.Currently, a
100-square metre system provides enough electricity to charge a mobile phone,
power some LED lights or a wireless Internet access point.But in "a few
years", Plant-e hopes that a similar-sized system will provide 2,800
kilowatt-hours, or around 80 percent of the electricity needs of an average
Dutch family of 2.2 people.
Two
large-scale systems have been installed in the Netherlands on a road bridge and
a hi-tech startup campus at a total cost of 120,000 euros, with the support of
municipal authorities."We wanted to help develop this technique which has
enormous potential," said Bas Boeker, who manages state-owned properties
including the startup campus.Initial results are encouraging, say the
developers, and the problems are not necessarily those you would expect: the
LED lamps on the road bridge project have already been destroyed by vandals
Thai rice export
this year to reach 10 million tons
Rice export this year to reach
10 million tons
BANGKOK: — Rice export this
year is expected to reach 10 million tons, Commerce Minister Gen Chatchai
Sarikulya said.
Gen Chatchai was confident in the rice export as within the next
few months three million tons will be sold.
He said the Department of Foreign Trade will announce auction of
one million tons of rice in government stockpiles this month.The one million
tons of rice consists of both quality rice and substandard rice.He believed the
lot will be sold out due to high demand in the market following the end of the
off-season rice cultivation period.Gen Chatchai said since the beginning of
this year, close to three million tons of rice has been released from the
government’s stockpile.He said in July this year, Thailand will also sell one
million tons of new rice and one million tons of old rice to China on a G2G
contract.Thailand has already delivered 400,000 tons of rice to China under a
previous contract for the purchase of one million tons of rice that was signed
last year.
Another 100,000 tons will soon be delivered in accordance with
this contract.With the high demand in the market, the commerce minister
expressed confidence that rice exports would reach 10 million tons this year.
Source:
http://englishnews.thaipbs.or.th/rice-export-this-year-to-reach-10-million-tons
PAKISTAN’S BASMATI RICE NEEDS PROTECTION: FPCCI
Amanullah Khan
Wednesday, June 03, 2015 - Karachi—Abdul Rahim Janoo, Sr. Vice President of The
Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has urged
the Federal Commerce Minister, Engr. Khurram Dastgir Khan, to thwart the Indian
move to get its Basmati Rice registered and protected in global trade. Taking note on an article published in
a newspaper, The FPCCI Sr. Vice President in his letter has warned the Commerce
Ministry, “This is a high time for the Ministry to pre-empt the Indian move
because in case if India succeeds, Pakistan will not be able to export its
Basmati Rice in the name, style and title of BASMATI”.Rahim Janoo further added
that it would have a far-reaching negative impact on Pakistan’s economy as rice
holds an extremely important position in national economy. He elaborated that
Pakistan had earned $ 2.1 billion dollar foreign exchange through exports of
rice in the year 2014, which is the second highest export item from Pakistan
after Textiles.
“Pakistan is the world’s fourth largest
producer of rice after China, India and Indonesia and millions of farmers rely
on rice cultivation as a major source of employment”, he informed. Rahim, therefore, underscored the need
for taking necessary measures to safeguard the interest of indigenous Basmati
Rice farmers and exporters in general and national economy in particular in the
said matter. http://pakobserver.net/detailnews.asp?id=265466
Thai rice export this year
to reach 10 million tons
Rice export this year to reach 10 million tons
BANGKOK: — Rice
export this year is expected to reach 10 million tons, Commerce Minister Gen
Chatchai Sarikulya said.Gen Chatchai was confident in the rice export as within
the next few months three million tons will be sold. He
said the Department of Foreign Trade will announce auction of one million tons
of rice in government stockpiles this month.The one million tons of rice
consists of both quality rice and substandard rice.He believed the lot will be
sold out due to high demand in the market following the end of the off-season
rice cultivation period.Gen Chatchai said since the beginning of this year,
close to three million tons of rice has been released from the government’s
stockpile.He said in July this year, Thailand will also sell one million tons
of new rice and one million tons of old rice to China on a G2G contract.Thailand
has already delivered 400,000 tons of rice to China under a previous contract
for the purchase of one million tons of rice that was signed last year.Another
100,000 tons will soon be delivered in accordance with this contract.With the
high demand in the market, the commerce minister expressed confidence that rice
exports would reach 10 million tons this year.
Source:
http://englishnews.thaipbs.or.th/rice-export-this-year-to-reach-10-million-tons
PAKISTAN’S BASMATI RICE NEEDS PROTECTION: FPCCI
Amanullah Khan
Wednesday, June 03, 2015 - Karachi—Abdul Rahim Janoo, Sr. Vice
President of The Federation of Pakistan Chambers of Commerce & Industry
(FPCCI) has urged the Federal Commerce Minister, Engr. Khurram Dastgir Khan, to
thwart the Indian move to get its Basmati Rice registered and protected in
global trade. Taking note on an article published in a newspaper, The
FPCCI Sr. Vice President in his letter has warned the Commerce Ministry, “This
is a high time for the Ministry to pre-empt the Indian move because in case if
India succeeds, Pakistan will not be able to export its Basmati Rice in the
name, style and title of BASMATI”.
Rahim
Janoo further added that it would have a far-reaching negative impact on
Pakistan’s economy as rice holds an extremely important position in national
economy. He elaborated that Pakistan had earned $ 2.1 billion dollar foreign
exchange through exports of rice in the year 2014, which is the second highest
export item from Pakistan after Textiles. “Pakistan is the world’s fourth
largest producer of rice after China, India and Indonesia and millions of
farmers rely on rice cultivation as a major source of employment”, he
informed. Rahim, therefore, underscored the need for taking necessary
measures to safeguard the interest of indigenous Basmati Rice farmers and
exporters in general and national economy in particular in the said matter.
http://pakobserver.net/detailnews.asp?id=265466
First-crop paddy production
stands at 550,000 tonnes —Sowing of second crop already underway
SOME 98 per cent of the 97,000 hectares of rice lands under
cultivation for the first crop of 2015 has been harvested to date; and
production stands at 550,000 tonnes of paddy, from which 360,000 tonnes of rice
have been processed. The two per cent of rice lands still to be harvested are
in Regions Five (Mahaica/Berbice) and Six (East Berbice/ Corentyne).Head of the
Guyana Rice Producers Association (RPA), Mr Dharamkumar Seeraj, in an invited
comment yesterday, told the Guyana Chronicle that the average yield to date is
5.7 tonnes of paddy per hectare, and that this is a record high. He said that
prices being paid to farmers are as follows: the extra A-grade quality rice is
attracting sums of between $3,200 and $3,300 per bag, while the lowest graded
quality of rice is being sold at prices of between $2,400 and $2,600 per bag.
Rice that has been graded at A, B and C are priced at between $2,800 and $3,300
per bag.Last year was another record-breaking year for the rice industry. Production
was recorded at 635,238 tonnes, of which 501,208 tonnes were exported.
Production in the final crop of 2014 surpassed that of the first crop, which
recorded just over 300,000 tonnes. Comparatively, the first crop of 2015 has
been significantly better.
SECOND CROP UNDERWAY
Seeraj noted that, with only two per cent of the rice crop left to be harvested, land preparation for the second rice crop of 2015 has been completed in most of the rice producing regions. “Land preparation continues in Regions 5 and 6,” he said.He also said that sowing has commenced in Regions 2 (Pomeroon/Supenaam), 3 (Essequibo Islands/West Demerara) and 4 (Demerara/ Mahaica). “So far, we have sown 1,900 hectares in Region 2; another 2,100 hectares in Region 3; and 3,700 hectares in Region 4. In Regions Five and Six, 27,200 hectares and 4,000 hectares has been sown respectively,” Seeraj said.The RPA Head noted that, given the weather conditions, the high levels of rainfall, “minor” losses of rice is expected in Region 2, which traditionally starts and ends its rice crop earlier than the other regions.“We will lose some rice — not much — in Region 2. It will be the early rice,” he said.
EXPORTS
On the question of exports, Seeraj disclosed that hiccups with shipping, in particular the discharge process, has somewhat slowed exports to Venezuela; but exports to that country are otherwise on track. As per the most recent agreement, exports to that neighbouring country will include 120,000 tonnes of paddy and 74,000 tonnes of rice.He added that private rice exporters have also sent off shipments to Panama. Guyana currently has export agreements with several countries in the Caribbean.Also, given the continuous success of the rice industry, efforts are being made to secure a greater foothold in Nicaragua and other Central American countries, including Belize and Panama. Markets in Africa are also being courted.The target for rice exports in 2015 is some 514,000 tonnes, while the target for rice production is 618,000 tonnes.
By Vanessa Narin
http://guyanachronicle.com/first-crop-paddy-production-stands-at-550000-tonnes-sowing-of-second-crop-already-underway/
BRIEF-Spain's Ebro
Foods buys US rice business RiceSelect for $45 mln
JUNE 3
Ebro Foods SA :
* Says buys RiceTec AG and
RiceTec Inc. through its US unit Riviana Foods Inc for $45 million
* Says 42 workers related to this
rice business join the company's US unit Riviana Foods Inc
* Acquisition covers a premium
rice brand RiceSelect and a factory in Alvin, Texas
Source text for Eikon:
Further company coverage: (Gdynia
Newsroom)
http://www.reuters.com/article/2015/06/03/idUSFWN0YP01220150603
PhilRice studying heat-tolerant rice in the
Philippines
Wednesday, 03 June 2015 12:50
Philippines Rice
Research Institute (PhilRice) is currently analysing a heat-tolerant rice
variety, in a bid to address climate-change ready technologies in the country's
predominant rice growing areas
Certain rice breeding lines
exhibit tolerance to drought and stress, which might lead to the development of
new rice varieties. (Image source: Zuki/Flickr)
The research is titled Screening
of rice-induced mutants for heat and drought tolerance.Researchers
have identified promising breeding lines that exhibit tolerance to drought and
heat stress, which will pave the way for development of new varieties that
address the effect of climate change on rice.Lead researcher Thelma Padolina
said that although rice normally grows at temperatures between 20 and 35°C, its
at its most sensitive during the booting and flowering stages. Hence, even
short-duration chronic dry spells occurring during these stages will result in
substantial yield loss.Padolina and her team began screening rice in 2012 where
817 mutant lines were initially tested for drought stress and leaf blast, and
later with emphasis on heat stress. Mutant lines are valuable genetic
variations for crop improvement. They are the results of induced mutation where
one or two of their major traits such as plant height and resistance to biotic
and abiotic stresses, were altered.PhilRice researchers said that promising
lines were exposed to temperatures ranging from 21.1°C to 34.4°C at field
trials, and 34°C to 38°C at screenhouse trials for three consecutive seasons to
test and validate their grain fertility and pollen viability.
http://www.fareasternagriculture.com/index.php?option=com_content&view=article&id=5893:philrice-studying-heat-tolerant-rice-in-the-philippines&catid=1083&Itemid=98
Scientists generate electricity from rice fields
Wed, 06/03/2015 - 11:49am
Agence France-Presse
Dutch scientist Marjolein Helder,
co-founder of Plant-e, which makes products that harvest energy from living
plants, poses for a photo in Wageningen.Dutch scientists have developed a
revolutionary system that could one day help isolated villages around the world
steadily generate electricity from mundane water-logged plants such as rice
growing in paddy fields."It's based on the principle that plants produce
more energy than they need," said Marjolein Helder, co-founder of Plant-e,
which makes products that harvest energy from living plants.
"The advantage of this system over wind or solar is that it
also works at night and when there's no wind," she told AFP.Founded in
2009, Plant-e is perfecting a system originally dreamt up at Wageningen
University and patented in 2007.All that the system requires to produce electricity
is a plant growing in water, be it mangrove swamps, rice paddies, bogs or
simply in a pot or your garden."It's just the beginning and lots of things
still need to be greatly improved, but the potential is enormous," said
Jacqueline Cramer, professor of sustainable innovation at Utrecht University
and former Dutch environment minister."If the system becomes good enough,
it could provide electricity for isolated areas or even be installed in our
cities and countryside to produce clean electricity," she told AFP.
The technology harnesses the excess organic matter produced by
the plant during photosynthesis, which is expelled through the plants roots and
consumed by micro-organisms.That consumption frees up electrons, which can then
be harvested by placing carbon electrodes close to the roots to generate
electricity.Getting power from plants is not new, "but here we don't need
to damage the plant, it's a non-invasive system," said Helder.Electricity
stops being produced if the water evaporates or freezes, but "you just
need to add water or wait for the ice to melt," she said."In many
parts of the world they don't have this kind of problem."Plant-e, based in
Wageningen in the eastern Netherlands, currently sells a system consisting of
50-centimetre (around 20-inch) square plastic plates containing the technology
that can slot together and hold the plants.This system is designed for parks or
rooftops, but comes with a hefty price tag: 60,000 euros ($66,000) to cover 100
square metres (around 1,000 square feet).
But the flagship product is still being developed: tubes that
can be quickly and easily submerged to start generating electricity in a watery
area.The system's potential is vast, but particularly suited to Southeast Asia,
with its rice fields, mangrove swamps and other wetlands where electricity is
often unavailable.Less than a third of the population of Cambodia has access to
electricity and less than half in Myanmar. In Bangladesh, 55 percent of people
have electricity and in Laos 66 percent, according to the World Bank.But
Plant-e, which manages to survive thanks to subsidies, still has a long way to
go: the product's cost and efficiency must be vastly improved.Currently, a
100-square metre system provides enough electricity to charge a mobile phone,
power some LED lights or a wireless Internet access point.But in "a few
years", Plant-e hopes that a similar-sized system will provide 2,800
kilowatt-hours, or around 80 percent of the electricity needs of an average
Dutch family of 2.2 people.Two large-scale systems have been installed in the
Netherlands on a road bridge and a hi-tech startup campus at a total cost of
120,000 euros, with the support of municipal authorities.
"We wanted to help develop this technique which has
enormous potential," said Bas Boeker, who manages state-owned properties
including the startup campus.Initial results are encouraging, say the
developers, and the problems are not necessarily those you would expect: the
LED lamps on the road bridge project have already been destroyed by vandals.
http://www.ecnmag.com/news/2015/06/scientists-generate-electricity-rice-fields
Riviana Foods Buys
RiceTec's RiceSelect Brand
Consumer favorite
MADRID,
SPAIN -- Ebro Foods, parent company of Riviana Foods, Inc., announced today it
has acquired the U.S. consumer rice business division of RiceTec AG and
RiceTec, Inc. which manufactures and markets products under the brand
RiceSelect® in a deal valued at $45 million.The transaction includes the brand
and certain other assets of the business, including a production plant in
Alvin, Texas and a workforce of 42 employees.
"The RiceSelect business is a perfect
complement to Riviana's portfolio," the company said in a press release
announcing the acquisition. "It will boost the company's development in
the fastest growing segments of the North American rice market...furthering its
investment in high value added products and achieving significant positioning
in the healthy foods segment through new concepts."
Contact: Michael Klein (703)
236-1458
Rice Foundation Accepting
Applications for 2016 Rice Leadership Development Program
Session
One includes a tour of the LSU Rice Research Station. STUTTGART, AR -- The Rice
Foundation is accepting applications for the 2016 Rice Leadership Development
Program. Rice producers or industry-related professionals between the ages of
25 and 45 are eligible to apply for the program. The application deadline is
October 3. 
The Rice Leadership Development
Program provides a comprehensive understanding of the rice industry, with an
emphasis on personal development and communication skills. During a two-year
period, class members attend four one-week sessions designed to strengthen
leadership skills through studies of all aspects of the rice industry. The
class is comprised of five rice producers and two industry-related
professionals chosen by a committee of agribusiness leaders. The committee
evaluates the applications of all candidates, reviews letters of
recommendation, and conducts personal interviews with the finalists. Interviews
will be conducted at the USA Rice Outlook Conference in New Orleans, Louisiana,
in December. The program is sponsored by John Deere Company, RiceTec, Inc., and
American Commodity Company through The Rice Foundation and managed by the USA
Rice Federation. Additional information on the Rice Leadership Development
Program and an application form can be found on the USA Rice website.
The Rice Leadership Development
Program provides a comprehensive understanding of the rice industry, with an
emphasis on personal development and communication skills. During a two-year
period, class members attend four one-week sessions designed to strengthen
leadership skills through studies of all aspects of the rice industry. The
class is comprised of five rice producers and two industry-related
professionals chosen by a committee of agribusiness leaders. The committee
evaluates the applications of all candidates, reviews letters of
recommendation, and conducts personal interviews with the finalists. Interviews
will be conducted at the USA Rice Outlook Conference in New Orleans, Louisiana,
in December. The program is sponsored by John Deere Company, RiceTec, Inc., and
American Commodity Company through The Rice Foundation and managed by the USA
Rice Federation. Additional information on the Rice Leadership Development
Program and an application form can be found on the USA Rice website.
Contact: Chuck Wilson (870)
673-7541
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.
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:
The next program announcement is scheduled for June 10, 2015. |
|||||||||||||||||||||||||||||
|
CME Group/Closing Rough Rice Futures
|
||||||||||||||||||||||||
|
CME Group (Prelim): Closing Rough Rice Futures for June 3
|
Researchers, rice industries
exchange information at annual meeting
Posted: Wednesday, June 3, 2015 12:00 am
By Fred Miller, Cooperative Extension Service, U of A System
Division of Agriculture
Producing high-quality rice is a
team effort and the annual Rice Processing Program Industry Alliance meeting is
where industry leaders compare notes, research and resources.Hosted by the
University of Arkansas System Division of Agriculture in the nation’s No. 1
rice producing state, more than 100 industry representatives, rice growers,
equipment suppliers and consultants attended this year’s meeting, May 20 and
21.“This is a signature event for our Rice Processing Program,” said Terry
Siebenmorgen, university professor of food science and director of the
University of Arkansas System Division of Agriculture’s Rice Processing
Program. “Not only does the industry support us with funding and equipment, but
they also provide us important end-user feedback.”Siebenmorgen said the Rice
Processing Program team investigates a wide range of topics from kernel
development to consumer wants. The team’s expertise includes plant physiology,
carbohydrate chemistry, process engineering, plant pathology and sensory
analysis.
With alliance support, program
scientists are tackling some of the biggest challenges in the rice industry.
One of the best examples of this partnership, Siebenmorgen said, has been the
discovery and understanding of the role nighttime air temperatures play in
determining rice processing quality.For many years, rice companies experienced
unexplained variability in the processing quality of Mid-South rice. Head rice
yield—the number of kernels that remain intact during milling—would vary from
one year to the next.In addition, processors found that in some years, rice had
to be cooked at higher temperatures or for longer times during the manufacture
of food products. This slowed production and drove up energy costs.
A decade of research revealed that
high nighttime temperatures during kernel development disrupt the formation of
starch in the rice kernel. Starch becomes less densely packed in the seed,
resulting in a chalky texture with an undesirable appearance and weaker kernels
that tend to break during milling. The chalky structure also changes the way
rice cooks.Division scientists believed the problem lay in the agricultural
timeline, Siebenmorgen said, and began by looking at the chemical and physical
properties of rice. Differences in the geographic distribution of the problem
began to suggest temperatures contributed to the problem.The causes were pinned
down thanks to nature—observations during a particularly cool summer compared
to those during a record-breaking hot summer—and critical industry support.
Texas-based RiceTec gave division
scientists access to their Phytotrons—essentially huge growth chambers in which
environmental variables, including nighttime air temperatures, could be
controlled. The company also gave Nora Cooper, a master’s degree student in
food science, an internship that allowed her to run the needed tests.The entire
Rice Processing Program team contributed to the many pieces of information that
collectively identified high nighttime air temperatures as the culprit,
Siebenmorgen said, and the Division of Agriculture’s relationship with rice
processing companies was a valuable asset during their investigation.The
relationship continues to be valuable as the program looks into solutions for
mitigating the nighttime temperature problem—Siebenmorgen said development of
new rice varieties with improved heat tolerance is most promising—as well as
other information and new technologies that will help the industry improve its
products.Ongoing research includes increasing understanding of the rice
kernel’s chemistry and physical development; improving rice drying, storage and
processing; sensory perception and consumer satisfaction of rice foods; and
other areas that will lead to high quality and sustainable food products.
Smith noted the Division of
Agriculture Rice Processing Program Industry Alliance Meeting was growing while
other industry meetings were fading. “I think the attendance testifies to how
this meeting makes a difference for the industry,” he said. “If it didn’t, we
wouldn’t come.”“This meeting promotes a relationship that allows university
scientists to understand the industry and allows us to tap into research that
can affect changes that result in the best products,” said Michael Smith, vice
president of quality and innovation for Riceland Foods of Stuttgart and
Jonesboro. “The research helps us better understand rice and how processing
affects it, and also helps us contain costs so that we can offer products that
satisfies changing consumer preferences.”Smith said the annual meeting also
offers a venue for rice companies, farmers and scientists to interact. “This
meeting allows the industry to come together as a community focused on rice,”
he said
http://www.hpj.com/crops/researchers-rice-industries-exchange-information-at-annual-meeting/article_2b91e307-3690-540f-a9a7-c990f236ada8.html
Heart of Louisiana: Conrad Rice Mill
Posted: Jun 02, 2015 5:36 PM PDTUpdated: Jun 02, 2015 8:04 PM PDT
Written by: Dave McNamara, Heart of Louisiana
"There were rice mills before us, but they all
ceased to exist. He built this thing in 1912.” (FOX 8 Photo)
NEW IBERIA, LA (WVUE) -
The belts that turn the wheels and
pulleys in this rice mill are made out of leather. That's how this machinery
worked when it was installed a century ago by P.A. Conrad of New
Iberia."There were rice mills before us, but they all ceased to exist. He
built this thing in 1912,” said Mike Davis, a former teacher and farmer who
bought the rice mill from the Conrad family in 1975. Since then, he's been
milling mostly brown rice.“We have these elevators that literally elevate the
rice to the third floor and then we drop it down from one machine to the next
by gravity, and then we bring it back up,” Davis said.
“We figured one day that
the rice travels a couple of miles before it gets out of here.”In this machine,
the rice hulls are shaken loose and separated from the grains of brown rice.
The 100-year-old process creates a product that is growing in popularity.“We
are really lucky that there is a move in the country where natural foods are
very much on the inside. And that's what we're geared towards,” Davis said.The
products are gluten-free and certified non-GMO, or free of genetically modified
organisms. And Davis is expanding his Konriko brand beyond his popular wild
pecan brown rice."This is where we make the crackers,” Davis said. “We
make our whole grain crackers.There are rice snacks, sauces, marinades and
seasonings. The mill can package a thousand cases of chipotle seasoning in a
day.
And something else that's sold here - tours of the rice mill.
Davis says he got the idea from the Jack Daniel's distillery in Tennessee.“So
we built a tourist reception center, which gets almost 50,000 people a year,”
Davis said. “We were able to get on the National Register.”It's only a short
distance to the mill from the rice fields of Southwest Louisiana.“Every grain
of rice that runs through Conrad Rice Mill is from the state of Louisiana.
Every grain,” Davis said.As Davis approaches his 70th birthday, he's planning
no retirement for himself or his old rice mill.“And people kept saying, ‘so
what are you going to do? When are you going to retire?' And my answer is, when
the local funeral home comes here with the gurney and carries me out, I'm
retired,” Davis said. “Because this is fun.”And it's a bit of Louisiana
history, that's still creating products found on supermarket shelves across the
country.
http://www.fox8live.com/story/29223481/heart-of-louisiana-conrad-rice-mill?utm_source=USA+Rice+Daily%2C+June+3%2C+2015&utm_campaign=Friday%2C+December+13%2C+2013&utm_medium=email
Dutch ‘paddy power’ pulls
electricity from rice fields
The Plant-e system's potential is vast, but
particularly suited to places such as rice fields, mangrove swamps and other
wetlands where electricity is often unavailable.
WAGENINGEN, Netherlands - Dutch
scientists have developed a revolutionary system that could one day help
isolated villages around the world steadily generate electricity from mundane
water-logged plants such as rice growing in paddy fields."It's based on
the principle that plants produce more energy than they need," said
Marjolein Helder, co-founder of Plant-e, which makes products that harvest
energy from living plants."The advantage of this system over wind or solar
is that it also works at night and when there's no wind," she told
AFP.Founded in 2009, Plant-e is perfecting a system originally dreamt up at
Wageningen University and patented in 2007.
All that the system requires to
produce electricity is a plant growing in water, be it mangrove swamps, rice
paddies, bogs or simply in a pot or your garden."It's just the beginning
and lots of things still need to be greatly improved, but the potential is
enormous," said Jacqueline Cramer, professor of sustainable innovation at
Utrecht University and former Dutch environment minister."If the system
becomes good enough, it could provide electricity for isolated areas or even be
installed in our cities and countryside to produce clean electricity," she
told AFP.The technology harnesses the excess organic matter produced by the
plant during photosynthesis, which is expelled through the plants roots and
consumed by micro-organisms.
That consumption frees up
electrons, which can then be harvested by placing carbon electrodes close to
the roots to generate electricity.Getting power from plants is not new,
"but here we don't need to damage the plant, it's a non-invasive
system," said Helder.Electricity stops being produced if the water
evaporates or freezes, but "you just need to add water or wait for the ice
to melt," she said."In many parts of the world they don't have this
kind of problem."
Long way to go
Plant-e, based in Wageningen in
the eastern Netherlands, currently sells a system consisting of 50-centimetre
(around 20-inch) square plastic plates containing the technology that can slot
together and hold the plants.This system is designed for parks or rooftops, but
comes with a hefty price tag: 60,000 euros ($66,000) to cover 100 square metres
(around 1,000 square feet).But the flagship product is still being developed:
tubes that can be quickly and easily submerged to start generating electricity
in a watery area.The system's potential is vast, but particularly suited to
Southeast Asia, with its rice fields, mangrove swamps and other wetlands where
electricity is often unavailable.Less than a third of the population of
Cambodia has access to electricity and less than half in Myanmar. In Bangladesh,
55 per cent of people have electricity and in Laos 66 per cent, according to
the World Bank.But Plant-e, which manages to survive thanks to subsidies, still
has a long way to go: the product's cost and efficiency must be vastly
improved.
Currently, a 100-square metre
system provides enough electricity to charge a mobile phone, power some LED
lights or a wireless Internet access point.But in "a few years",
Plant-e hopes that a similar-sized system will provide 2,800 kilowatt-hours, or
around 80 per cent of the electricity needs of an average Dutch family of 2.2
people.Two large-scale systems have been installed in the Netherlands on a road
bridge and a hi-tech startup campus at a total cost of 120,000 euros, with the
support of municipal authorities."We wanted to help develop this technique
which has enormous potential," said Bas Boeker, who manages state-owned
properties including the startup campus.Initial results are encouraging, say
the developers, and the problems are not necessarily those you would expect:
the LED lamps on the road bridge project have already been destroyed by
vandals.
http://news.asiaone.com/news/science-and-tech/dutch-%E2%80%98paddy-power%E2%80%99-pulls-electricity-rice-fields#sthash.TtlWQtAF.dpuf
PhilRice studying
heat-tolerant rice variety as it pushes climate change-ready technologies
Researchers identified promising breeding lines that exhibit
tolerance to drought and heat stress that will pave way to the development of
new varieties that addresses climate change in the country’s major
rice-growing areas.Thelma Padolina, lead researcher of the study entitled,
“Screening of rice-induced mutants for heat and drought tolerance,” presented
at the 23rd Federation of Crop Science Societies of the
Philippines, Inc.Scientific Conference in Clark Zone, Pampanga last month,
said although rice normally grows at temperatures between 20 and 35°C, it is at
its most sensitive during the booting and flowering stages.
Hence, even short-duration chronic dry spells occurring during
these stages will result in substantial yield loss.Padolina and her team
started the series of screening in 2012 where 817 mutant lines were initially
screened for drought stress and leaf blast, and later with emphasis to heat
stress. Mutant lines are valuable genetic variations for crop improvement. They
are the results of induced mutation where one or two of their major traits, for
instance plant height and resistance to biotic and abiotic stresses,
were altered.The researchers said promising lines were exposed to
temperatures ranging from 21.1°C to 34.4°C at field trials, and 34°C to 38°C at
screenhouse trials for 3 consecutive seasons to test and validate their grain
fertility and pollen viability.
On the other hand, the Philippine Rice Research Institute
(PhilRice) has produced an information kit to equip farmers with
information on how they can better adapt to the impacts of
climate change.Said info kit is a “ready-to-print” material that
contains a list of climate change-ready technologies the farmers can use for
rice and rice-based farming systems. It includes the recommended varieties that
can withstand different climate-related stresses such as drought, salinity,
and flood.For water-saving technologies, PhilRice recommends the alternate
wetting and drying (AWD) and low-cost drip irrigation system
(LDIS) technologies.AWD guides farmers when to irrigate (or not) the rice
field. Hence, this prevents wasteful use of water. PhilRice studies
show that use of AWD also minimizes greenhouse gas emissions in
paddy fields.LDIS is also for efficient use of water and is recommended
for irrigating rice-based crops. Meanwhile, fossil fuel-free technologies
such as the rice hull gasifier-pump system, windmill- pump system, rice hull
stove, and carbonizer are also featured.
The rice hull gasifier-pump system uses rice hull instead of
gasoline or diesel in pumping water from the ground. It is
recommended for rainfed areas where fuel expenses are high. The wind mill-pump
system is applicable in areas where wind energy is abundant.A device called
rice hull carbonizer is for processing the rice hull into biochar (charcoal).
Aside from being used as soil conditioner, biochar is also popularly used as
main ingredient in producing organic fertilizers thus reducing dependence on
synthetic fertilizers.Additionally, the kit also features Palayamanan
Plus, an integrated and diversified farming system, and some harvest and
postharvest technologies. Farmers, extension workers, or anyone interested may
download the kit from the PhilRice website.
http://www.eco-business.com/news/philrice-studying-heat-tolerant-rice-variety-as-it-pushes-climate-change-ready-technologies/
Thailand: Roi Et rice traders
convince Singaporean importers of high quality Thai rice
6/2/2015
Thai News Service
Thai News Service
Jasmine rice
suppliers in Roi Et, led by provincial governor Somsak Changtragul, had a
meeting with the manager of Yijia Import And Export Co., Ltd., a Singaporean riceimporter as the latter visited the province on Saturday.
Mr.Somsak said that Thai entrepreneurs had convinced Singaporean importers of the quality of Roi Et Jasmine rice. The visit
followed a roadshow to Singapore that the Thai government conducted on 16-17
May 2015."I believe that business matching between Roi Et rice traders and
Singapore importers will happen very soon, possibly in November this
year," said Mr.Somsak.Roi Et Province has so far been successful in
growing Jasmine rice particularly at the once-barren zone known as Thung Kula
Rong Hai. The area currently becomes the best zone for growing Jasmine rice.
http://www.world-grain.com/news/news%20home/LexisNexisArticle.aspx?articleid=2376435351
Import Duty Scam:
Rice Importers To Refund N25bn
Jun 3, 2015 3:23 am
The House of Representatives Ad hoc Committee on Rice Quota and
Duty Payments on Rice Imports has recommended that all importers involved in
the alleged import duty scam refund N25 billion to the federal government. The Leo Ogor-led House Committee also recommended that the Nigeria
Customs Service (NCS) should close down the warehouses of importers reportedly
linked with the rice import duty fraud.Also in the report yet to be laid before
the House, it was recommended that the suspects should be interrogated by the
Economic and Financial Crimes Commission (EFCC) immediately.Another major area
that the report focused on was the 2015 rice import allocation and it
recommended that it should be cancelled to avoid a recurrence of the massive
fraud that engulfed it. The former minister of agriculture, Akinwunmi Adesina,
again raised the issue of monies owed the federal government by the importers
which is to the tune of N36 billion.
Press Release
1400 Independence Ave., SW
Washington, DC 20250
USDA
Farm Service Agency
_________________________
Program Announcement Mark
Simone
(202) 720-5653
Mark.Simone@wdc.usda.gov
PREVAILING WORLD PRICES AND
LOAN DEFICIENCY PAYMENT RATES
WASHINGTON, June 3, 2015-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 will
become effective today at 7:00 a.m., Eastern Time (ET). Prices are unchanged
from the previous announcement.
--------World Price-------
MLG/LDP Rate
Milled Value Rough Rough
($/cwt) ($/cwt) ($/cwt)
Long Grain 14.93 9.67 0.00
Medium/Short Grain 14.55
9.80 0.00
Brokens 9.01 ---- ----
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 Loan
Rate
Whole/Broken
(lbs/cwt) ($/cwt)
Long Grain 57.21/12.55 6.64
Medium/Short Grain
61.89/8.83 6.51
The next program
announcement is scheduled for June 10, 2015.
Janoo for protecting Basmati rice against Indian move
June 03, 2015
RECORDER REPORT
Federation of Pakistan Chambers of Commerce & Industry (FPCCI)
Senior Vice-President Abdul Rahim Janoo has urged Federal Commerce Minister
Engr Khurram Dastgir Khan to thwart the Indian move to get its Basmati rice
registered and protected in global trade. In a letter to the Commerce Minister,
he called for pre-empting the Indian move because in case if India was
succeeded, Pakistan would not be able to export its rice in the name, style and
title of 'BASMATI'.
Janoo further said that it would have a far reaching negative impact on Pakistan's economy, as rice held an extremely important position in the national economy. Elaborating, he said that Pakistan had earned $2.1 billion foreign exchange through rice export in the year 2014, which made it the second highest export item after textiles. "Pakistan is the world's fourth largest producer of rice after China, India and Indonesia and millions of farmers rely on rice cultivation as a major source of earning," he added.He underscored the need for taking necessary measures to safeguard the interests of indigenous Basmati rice farmers and exporters in general and national economy in particular.-PR
Janoo further said that it would have a far reaching negative impact on Pakistan's economy, as rice held an extremely important position in the national economy. Elaborating, he said that Pakistan had earned $2.1 billion foreign exchange through rice export in the year 2014, which made it the second highest export item after textiles. "Pakistan is the world's fourth largest producer of rice after China, India and Indonesia and millions of farmers rely on rice cultivation as a major source of earning," he added.He underscored the need for taking necessary measures to safeguard the interests of indigenous Basmati rice farmers and exporters in general and national economy in particular.-PR
WWW.BUSINESSRECORDER.COM
Priority areas in Balochistan’s agricultural budget
 |
BALOCHISTAN’S agriculture sector
is set to get larger allocations in FY16, with focus on crop raising, mechanisation
of farm and livestock activities and the development of fisheries.In FY15, the
provincial government had set aside Rs6.35bn for agriculture; Rs2.6bn for
livestock; Rs758m for forestry and Rs550m for fisheries.Balochistan government
officials say in FY16, a modest increase is expected in the budget for these
areas adding that the province also expects some special initiatives from the
federal government to promote farming and fisheries.These officials are
anticipating full or part federal financing of a Gwadar-related fisheries
development scheme and phase II of an ongoing plan to provide solar-powered
tube wells to farmers of remote areas of the province.
The province itself plans to
promote fishing and fish processing in and around Gwadar for which sufficient
funds are being allocated.In the crop sector, some incentives are being
considered for boosting cotton production from the current 77,000 bales to
100,000 bales and for promoting Basmati rice cultivation, provincial officials
say without giving details. Funds are also being allocated to help farmers get
certified seeds of wheat and pulses; in FY16 budget special focus would be made
on encouraging producers of vegetables and fruits.
Balochistan is a food-deficit
province, and the food storage issue is expected to get more
attention in the new budget
An ongoing Rs50m project for
apples’ grading and packaging is expected to get more funds. The project has so
far benefited apple growers in Ziarat and Kalat districts and bigger fund
allocation is expected to extend the programme to some other districts as well.Sizable
funds are likely to be set aside for setting up a dates processing and
packaging unit in the Makran region where the best varieties of dates are
grown.
The provincial government is also planning
establishment of a tomato paste plant to cut post-harvest losses and boost its’
value-added production.Officials say that a Rs70m olive cultivation project in
arid and semi-arid areas would possibly get more funds out of the next annual development
plan.Some specific projects in agricultural research are also likely to be
announced in the next year’s budget with an aim to improve supply of certified
seeds and increase per-hectare crop yields of various crops. These projects
include not only provision of research facilities but also construction of
research centres in less-developed districts of the province.In livestock
sector, the Balochistan government is going to set up a meat processing and
packaging plant in Quetta at a cost of Rs50m.
This would help livestock
breeders of the province to get a fair price for their animals besides opening
up opportunities for better local marketing and export of processed meat. Some
other measures are being considered for ensuring availability of animal and
poultry vaccine at affordable prices to livestock and poultry breeders. On
agenda is also the construction/upgrading of veterinary hospitals for livestock
development research facilities.To combat shrinking grazing fields and higher
mortality of animals, the growing of forage crops in various districts,
particularly in lower Balochistan would also come under focus in the new year’s
budget.
With the help from the federal
government, financial assistance may also be offered for setting up
environmentally-controlled sheds for poultry birds.In the pre-budget session of
Balochistan assembly, the issue of Balochistan’s share in federal annual
development fund was raised and Chief Minister Dr Abdul Malik informed the
house that he had sought Rs15bn additional funds out of the federal PSDP.Officials
say the federal initiatives may or may not have an impact on the ongoing
projects in social sector, but in agriculture, however, the federal support
will come in crops raising, livestock, fertiliser and green energy--- the areas
that have the federal blessing.Balochistan is a food-deficit province, and the
food storage is expected to get more attention in the new budget.
Officials of Balochistan’s
agriculture and cooperative department say the provincial government may come
up with projects for food storage similar to the one recently concluded with
the help of the US department of agriculture. Under that project, 78 cold
storage houses and banana ripening units and drying tunnels have already been
constructed by some of Balochistan’s farming organisations,“Using this model,
more of food and fish storage facilities can be built. In the next year’s
budget some financing would be made in this and similar projects as well,”
according to a source privy to the budget making process.Establishment of flake
ice units for fish preservation, provision of financial and technical help to
inland fish farmers and allocation of funds for repairing or replacement of old
fishing boats are being considered for enhancing fish hauling from
Balochistan’s coastal areas.
Published in Dawn, Economic &
Business, June 1st, 2015
Riviana Foods Inc.
Adds Popular Aromatic Rice Varieties to Minute® Rice Line of Staple Products
* Reuters is not responsible for the content in this press
release.
Riviana Foods Inc. Adds Popular Aromatic Rice Varieties to Minute®
Rice Line of Staple Products
Industry Leader in Instant Rice
Category Expands Product Line to Include Two Globally-Inspired Varieties
PR Newswire
HOUSTON, June 2, 2015
HOUSTON, June 2, 2015 /PRNewswire/ -- Riviana
Foods Inc., America's leading rice company, announced today the launch of two
new globally-inspired aromatic products to the Minute® Rice family – Minute Thai Jasmine
Rice and Minute Basmati Rice. Minute Rice products are developed to provide
ease and convenience for consumers, and now, the two latest products bring the
brand's trademark quality to the growing number of consumers looking for
authentic, international flavors.
Minute Thai Jasmine Rice is an aromatic long grain rice from the high plateaus of
Thailand. For centuries, Jasmine Rice was cultivated for the royalty of
the kingdom of Siam. When cooked, this fluffy, white rice has a sweet – yet
subtle – buttery flavor and fragrant aroma, all very pleasing to the palate.
Minute Thai Jasmine Rice uses only the finest Thai Hom Mali variety, which
boasts an internationally renowned reputation for its superior quality and
aroma. The taste of this rice goes perfectly with both Asian and traditional
dishes. Minute Basmati Rice,
an aromatic long grain rice, is grown in the foothills of the Himalayas.
It is known as the prince of rice because of
its fragrance and distinctive, delicate and nutty flavor. The grains of Basmati Rice are long and slender when cooked and stay separate and fluffy
once prepared. This rice is the perfect accompaniment for Asian, Middle Eastern
and traditional dishes. "We've listened to our customers and are
thrilled to be able to offer them these two new products, which combine the
same great quality and convenience that they've come to expect from Minute Rice
with the distinct flavors and textures from the aromatic varieties," said Paul Galvani, Senior Vice President of Marketing, U.S, Riviana Foods Inc.
"Jasmine and Basmati Rice are two of the most popular globally-inspired types of rice, and
we hope that by offering them, our customers will be able to create even more
versatile and unique recipes to share with their families, or plus up their
families' favorite dishes."
The new Minute Thai Jasmine Rice
and Minute Basmati Rice, which are extensions of the brand's flagship line, are
packaged in pre-portioned bags for additional convenience. Gluten-free and with
a cook time of 10 minutes, Minute Thai Jasmine Rice and Minute Basmati Rice are
available in select stores located in Massachusetts, Connecticut, Rhode Island, Vermont, New Hampshire, Maine and New York.The Riviana test kitchen
developed an assortment of internationally-inspired recipes featuring the two
new Minute aromatic products, showcasing inventive and deliciously satisfying
ways to incorporate rice into different meal occasions. From quick salads to
rice puddings and side dishes, there are a variety of Minute Rice recipes to appease consumers'
global appetite. To learn more about the newest Minute Rice products, delicious
recipe ideas and other varieties within the Minute Rice family of products,
visitwww.minuterice.com.
Ingredients
Makes 4 servings
·
2
bags Minute® Thai Jasmine Rice
·
2
Tbsps olive oil, divided
·
2
boneless skinless chicken breasts, cut into small strips
·
1/4
tsp salt
·
1/4
tsp ground black pepper
·
1
pkg (16 oz.) broccoli slaw
·
1/2
cup carrots, cut in matchstick strips
·
2
Tbsps light soy sauce
·
1
tsp ground ginger
·
1
tsp cayenne pepper
·
1/2
tsp red pepper flakes (optional)
·
3/4
cup apricot preserves
·
1/2
cup water
Cooking Directions
·
Prepare
rice according to package directions.
·
Heat
1 tablespoon oil in large skillet over medium heat. Lightly season chicken with
salt and pepper and add to pan. Stir frequently to break up chicken and cook
until completely done, about 5 minutes. Drain and set aside. Turn heat to
medium-high and add remaining oil. Add broccoli slaw and carrots; saute for
about 3 minutes. Push vegetables aside and add soy sauce, spices, preserves and
water to skillet. Stir in chicken, bring to boil and simmer to heat through.
·
Place
rice in serving dish, make large well in center and pour chicken mixture into
well.
Ingredients
Makes 4 servings
·
1
bag Minute® Basmati
Rice
·
1/2
cup vinaigrette dressing
·
1/2
cup minced fresh basil
·
1
cup frozen corn, thawed
·
2
Roma tomatoes, seeded and chopped
·
1/2
cup red onion, diced
·
2
green onions, chopped
·
salt
and ground black pepper, to taste
Cooking Directions
·
Prepare
rice according to package directions. Cool.
·
In
a medium bowl, combine dressing, basil, corn, tomatoes, and red and green
onions.
·
Fold
in rice.
·
Serve
room temperature or chilled.
·
Stir
in ideas: add diced fresh mango, ground cumin, or grated fresh ginger
(optional)
About Minute® Rice and Riviana Foods Inc.
Minute® Rice is distributed by Riviana Foods Inc., one of America's
largest processors, marketers and distributors of branded and private label
rice products. Its principal brands include Minute®, Success®, Mahatma®,
Carolina®, Comet®, Adolphus®, Blue Ribbon®and Gourmet House®.
The company has been an industry leader since 1911.
Riviana Foods Inc. is a
wholly-owned subsidiary of Ebro Foods, S.A., the leading Spanish food group,
with interests in rice and pasta products. It is the world leader in the rice
sector and is the world's number two pasta manufacturer. Ebro's other
subsidiary in the U.S., New World Pasta Company, offers such well-known brands
as Healthy Harvest® , Ronzoni® , San Giorgio® , Creamette® , American Beauty® , Skinner® , No Yolks® , Prince® , Catelli® and Lancia® .
Reuters.com
Mexico keen to
expand bilateral framework with Pakistan: Ulesis
·
June 03, 2015
ISLAMABAD: Pakistan and Mexico
enjoy cordial bilateral ties and have huge potential to improve their economic
relations especially in service delivery and manufacturing, said Awais Leghari,
Chairman Foreign Affairs Committee of the National Assembly in a meeting with
Mexican Ambassador.The Mexican envoy for Pakistan, HE Ulesis Canchola paid a
courtesy call on Leghari here at Parliament House. The Ambassador was also
accompanied by Trade and Investment Officer for the Middle East Juan Antonio
Cepeda Gutiérrez. The Ambassador said Mexico granted Pakistan very important place
in its foreign policy and wishes to reinvigorate the bilateral ties with her.
The Ambassador, who also looks
after Pakistan from Mexican Embassy in Tehran, informed the Chairman that
Mexico was in middle of the process to reopen its embassy in Islamabad which
was closed in 2009 owing to financial restraints. Chairman Awais Leghari
ensured him of any cooperation needed in the process.The visiting Ambassador
also wished to widen the existing legal bilateral framework between two
countries which consists of six mutual agreements and three MoUs in different
areas of economic and diplomatic ties.Discussing the need to grow Pak-Mexican
ties stronger, Chairman Leghari said Pakistan was looking to boost its trade
relations with Latin America, Africa and Far East countries.
The Ambassador noted that the
current leadership in Mexico holds a similar stance and is keenly pursuing
diversification of its foreign policy in South and Central Asia.Leghari said
that Pakistan is keen to cooperate with like-minded nations on multilateral
forums.The two sides discussed the prospective reform of the United Nations
Security Council and vowed to cooperate with each other in this regard.Leghari
and Excellency Canchola also exchanged views on Afghanistan’s security
situation in wake of withdrawal of international forces and the recent spring
offensive of Taliban. Chairman Leghari hoped that international community will
not forget Afghanistan like it did in past at end of cold war.
He observed that the centre of
terrorism was shifting to Middle East from this region. The two also discussed
the role of United States in the region.The ambassador called the economic
progress of Pakistan despite hardships as a model for other weak economies
across the world. He invited the Chairman to visit Mexico.Currently, the
two-way trade between both nations is nearly $181 million USD. Mexico’s main
import products from Pakistan include textiles, long grain rice and cotton
while Pakistan imports plastic industrial tubes and automotive parts from
Mexico.
http://www.dailytimes.com.pk/national/03-Jun-2015/mexico-keen-to-expand-bilateral-framework-with-pakistan-ulesis
APEDA INDIA (NEWS)
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Third state rice
auction later this month
- 3 Jun 2015
at 07:46 1,780 viewed
- NEWSPAPER
SECTION: BUSINESS
| WRITER: PHUSADEE
ARUNMAS
The government is scheduled to call a third bid
to sell 1 million tonnes of its rice stocks by the middle of this month. The
auction will mainly be for high-quality grades of grain.Commerce Minister
Chatchai Sarikulya said the time was right for the bid, given the relatively
low supply of rice during the off season.The ministry has delayed the third
auction since March as suggested by exporters and millers because it was
waiting for new supply from the second crop to enter the market, as this would
depress rice prices.The ministry has called two auctions for a
combined 2 million tonnes of state rice stocks this year as it
tries to offload some 17 million tonnes built up under a controversial subsidy
scheme.
It plans to sell 10 million tonnes in 2015 and
7 million next year.A total of 496,243 tonnes worth 7.85 billion baht were sold
in the first auction and 780,000 tonnes worth an estimated 8
billion in the second.Gen Chatchai said the Thai government was also
preparing to sell rice in an auction next week set by the Philippines for
300,000 tonnes. Thailand will continue to ship outstanding orders of a
1-million-tonne deal with China struck by the Yingluck
Shinawatra government. Thailand has already delivered 400,000 tonnes as
part of that deal.A separate deal saw Thailand and China sign a memorandum of
understanding last December for 1 million tonnes each of old and new grains
along with 200,000 tonnes of rubber.Deliveries
are set for this year and next.The latter contract will be made through
the China National Cereals, Oils and Foodstuffs Corporation,
the giant state enterprise that oversees rice imports, to ensure
transparency.
Ricegrowers :
Download 3 June 2015: Rice Profitability 2015 Analysis PDF Document
06/02/2015 | 08:12pm US/Eastern
2015 INDEPENDENT SOUTHERN NSW IRRIGATED CROP OPTIONS ANALYSIS
PREPARED BYwww.boothassociates.com.au
2 June 2015
Dear Grower
In mid-2014 SunRice commissioned Booth Associates to carry out an Independent Southern NSW Irrigated Crop Options Analysis. The analysis was carried out for typical irrigation farm businesses in the Murrumbidgee and Murray Valleys using realistic production costs and revenue based on a medium grain rice price (Reiziq) of $300 per tonne; a cotton price of $475 per bale and maize at $300 per tonne.
The mid-2014 analysis clearly demonstrated that the rice
farming system is not only competitive with othersummer crop based systems, but
it generates superior profit, return on capital and cashflow and balance
sheetadvantages for most farm businesses.Superior profit and return on capital
based on the above prices is
demonstrated in Table 1.
Table 1: Profit and Return on capital based on 2014 Analysis
|
Murrumbidgee |
Murray |
|||
|
Farm
System Return on Profit $K Return on Capital Profit $K Capital |
||||
|
Rice/winter
crop |
$263 |
4.1% |
$82 |
3.1% |
|
Cotton/winter
crop |
$222 |
3.0% |
$41 |
1.3% |
|
Maize/winter
crop |
$130 |
1.8% |
$55 |
1.9% |
The analysis again demonstrated that the rice farming system
continues to be not only competitive with othersummer crop based systems, but
it generates superior profit, return on capital and cashflow and balance
sheetadvantages for most farm businesses.
Superior profit and return on capital from the
recent analysis is demonstrated in Table 2.
Table 2: Profit and Return on capital based on 2015 Analysis
|
Murrumbidgee |
Murray |
|||
|
Farm
System Return on Profit $K Return on Capital Profit $K Capital |
||||
|
Rice/winter
crop |
$385 |
5.9% |
$119 |
4.5% |
|
Cotton/winter
crop |
$331 |
4.5% |
$74 |
2.4% |
|
Maize/winter
crop |
$130 |
1.8% |
$55 |
1.9% |
Level 24, MLC Centre 19 Martin Place Sydney | NSW 2000
PO Box Q166 QVB Post Shop | NSW 1230
T +61 (0)2 9268 2000 | F +61 (0)2 8916 8360
Registered Office
NIP 37 Yanco Avenue Leeton | NSW 2705
Locked Bag 2 Leeton | NSW 2705
T +61 (0)2 6953 0411 | F +61 (0)2 8916 8350
1
www.sunrice.com.au
Ricegrowers Limited ABN 55 007 481 156 trading as SunRice
The conclusion I draw from the analysis over two years is that the rice farming system is clearly the first choice summer crop for our region.
We recently advised the C2014 return will be better than $380/t. When I take into account that the rice price used in the 2015 analysis - medium grain (Reiziq) at $360/t - has already been exceeded, the conclusion is even stronger.
Please consider the analysis in the Booth Associates 2015 Independent Southern NSW Irrigated Crop Options
Analysis and support your industry and company by making rice your major summer crop in the season ahead.
If you would like a member of the SunRice Grower Services technical team to interpret the analysis for your farm business, please contact Grower Services on 1800 654 557 or at growerservices@sunrice.com.au
Yours sincerely
Rob Gordon
CEO
SunRice
2
2015 INDEPENDENT SOUTHERN NSW IRRIGATED CROP OPTIONS ANALYSIS
This independent analysis report by Booth
Associates was prepared for SunRice. Booth Associates have long- standing
experience across all irrigated industries, including cotton and rice, and do
not favour one over the other. Booth Associates advocate best business practice
and believe diversity in cropping systems is essential for Southern NSW.
Introduction
Both the 2014 and 2015 analysis investigated
typical irrigation farm businesses in the Murrumbidgee and MurrayValleys with the characteristics outlined in Table 3.
Table 3: Typical Irrigation Farm Business Characteristics
|
Area
Cropped General Security Average Average Annual (ha) Entitlements (ML) Allocation Allocation (ML) |
||||
|
Murrumbidgee |
750 |
4,500 |
60% |
2,700 |
|
Murray |
500 |
1,200 |
70% |
840 |
Crop Gross Margins
Crop gross margins are outlined in Table 4.
Table 4: Crop Gross margins
|
Crop Crop
Agronomics Yield Price $/T, $/B or Gross Margin Gross Margin T/ha or B/ha $/ML $/Ha $/ML |
|||||
|
Rice -
Murrumbidgee |
Medium
grain sod sown |
12.0 |
360 |
2,984 |
213 |
|
Cotton
- Murrumbidgee |
Roundup
Ready & Bollgard |
11.0 |
520 |
3,162 |
287 |
|
Rice -
Murray |
Medium
grain sod sown |
11.0 |
360 |
2,682 |
206 |
|
Cotton
- Murray |
Roundup
Ready & Bollgard |
10.0 |
520 |
2,718 |
272 |
|
Wheat
A |
After
rice |
6.0 |
250 |
833 |
416 |
|
Wheat
B |
Rotated
with canola |
6.0 |
250 |
786 |
196 |
|
Wheat
C |
After
cotton |
4.0 |
250 |
430 |
215 |
|
Canola
A |
After
rice |
3.0 |
475 |
792 |
396 |
|
Canola
B |
Rotated
with wheat |
3.0 |
475 |
765 |
191 |
|
Soybeans |
Edible
on beds |
3.5 |
600 |
1,500 |
188 |
|
Maize |
Grit
on beds |
11.0 |
300 |
1,886 |
189 |
|
Annual
sale of allocation |
Only
dry wheat |
50 |
50 |
||
|
Wheat
- Dry |
2.0 |
250 |
287 |
3 Prepared by www.boothassociates.com.au
While gross margins provide a direct comparison of per hectare and per megalitre returns possible for various crop options, they do not take into account:
· Crops grown in rotation (eg wheat using residual moisture after rice);
· Cashflow and operating funds needed;
· Overheads and unallocated costs;
· Capital investment, equipment and renewal needs;
· Strategic planning;
· Risk; and
· Lifestyle and commercial satisfaction.
Gross margins therefore need to be considered in the context of the full farm system and the whole farm budget outcome to determine and compare farm profit.
Farm Profit
To determine whole farm profit, a whole farm
budget was prepared for the farming systems in Table 5.
Table 5: Farming System Details
|
Crop |
Murrumbidgee
(2,700ML) Murray (840ML) |
|||||
|
Crop |
Rice
System Cotton System Maize System Rice System Cotton System Maize System |
|||||
|
Canola
- irrigated |
70 |
- |
80 |
22 |
- |
24 |
|
Wheat
- irrigated |
100 |
210 |
115 |
34 |
70 |
36 |
|
Wheat
- dryland |
410 |
330 |
360 |
388 |
360 |
380 |
|
Rice |
170 |
- |
- |
56 |
- |
- |
|
Cotton |
- |
210 |
- |
- |
70 |
- |
|
Maize |
- |
- |
195 |
- |
0 |
60 |
|
Total |
750 |
750 |
750 |
500 |
500 |
500 |
Table 6: Whole Farm Budget - Murrumbidgee
|
Murrumbidgee |
||||
|
Rice
System |
Cotton
System |
Maize
System |
||
|
Revenue |
Summer
Crop Revenue |
$729K |
$1,377K |
$636K |
|
Revenue |
Winter
Crop Revenue |
$454K |
$375K |
$466K |
|
Revenue |
Other
Revenue |
$26K |
$28K |
$25K |
|
Revenue |
Total
Revenue |
$1,210K |
$1,779K
- up 47% |
$1,127K
- down 7% |
|
Expenses |
Allocated
Expenses |
$305K |
$765K |
$374K |
|
Expenses |
Unallocated
Expenses, Staff and Overheads |
$320K |
$342K |
$331K |
|
Expenses |
Finance/
Capital Renewal |
$141K |
$281K |
$232K |
|
Expenses |
Management |
$60K |
$60K |
$60K |
|
Expenses |
Total
Expenses |
$825K |
$1,448K
- up 75% |
$997K
- up 21% |
|
Profit |
$385K |
$331K
- down $54K |
$130K
- down $255K |
4 Prepared by www.boothassociates.com.au
Table 7: Whole Farm Budget - Murray
|
Murray |
||||
|
Rice
System |
Cotton
System |
Maize
System |
||
|
Revenue |
Summer
Crop Revenue |
$222K |
$422K |
$198K |
|
Revenue |
Winter
Crop Revenue |
$276K |
$250K |
$278K |
|
Revenue |
Other
Revenue |
$16K |
$16K |
$16K |
|
Revenue |
Total
Revenue |
$514K |
$688K
- up 34% |
$492K
- down 4% |
|
Expenses |
Allocated
Expenses |
$137K |
$288K |
$165K |
|
Expenses |
Unallocated
Expenses, Staff and Overheads |
$153K |
$180K |
$166K |
|
Expenses |
Finance/
Capital Renewal |
$58K |
$98K |
$58K |
|
Expenses |
Management |
$48K |
$48K |
$48K |
|
Expenses |
Total
Expenses |
$396K |
$614K
- up 55% |
$437K
- up 10% |
|
Profit |
$118K |
$74K -
down $44K |
$55K -
down $63K |
The lower gross margin for rice (Table 4) is offset by reduced overall costs with full provision for whole of farm running costs;
· There is increased revenue from cotton but reduced winter crop revenue in the cotton system. This is
due to very little available soil moisture after growing a cotton crop and often there are delays in sowing a winter crop after an extended period of harvesting, mulching and pupae busting after cotton harvest. Alternatively winter crops can be sown relatively quickly after rice harvest (so long as the ground is trafficable);
· The residual moisture remaining after rice can be used effectively to kick-start a winter cropping program and with well-timed spring irrigation, good yield results are achievable;
· Costs involved in the production of intensive row crops (cotton and to a lesser extent maize) are significantly higher than rice;
· Allocated and unallocated expenses are greater in cotton and maize systems as the crops are more
expensive to grow;
· Overhead and management costs are the same between systems; and
· Finance and capital renewal expenses are commonly more in cotton and maize systems due to more technical row crop configurations and the need for more crop specific machinery (particularly cotton).
5 Prepared by www.boothassociates.com.au
Cashflow Comparisons
Cashflow is more important than a simple annual
profit and loss analysis. The timing of cashflow drives the timing of what can
be done, both when and how. The calendar of operations and cashflow timing for
rice and cotton are shown in Table 8 and Table 9.
Table 8: Rice Calendar of Operations Table 9: Cotton Calendar of Operations
The farm profit analysis outlined in Table 6 and Table 7 was based on an assumed fixed land area and water entitlement. The resultant crop areas differ between rice and cotton (Table 5) due to the higher water use per hectare of rice.
To compare the same crop area and provide a concise comparison of cashflow between rice, cotton and maize, the cashflow for a farm business growing 170 ha of any of these three crops in rotation with winter crops was assessed. Note that this assessment differs from the farm profit analysis in Tables 6 and 7 as summer crop areas are kept constant at 170 ha to provide a direct comparison for identical crop areas. In this circumstance, the results in Table
10 are achieved.
Table 10: 170 ha Crop Comparison
|
Cotton |
Rice |
Maize |
|
|
Water
required |
1,870ML |
2,380ML |
1,700ML |
|
Yield |
11.0
B/ha |
12.0
T/ha |
11.0
T/ha |
|
Gross
Margin |
$537,469 |
$503,618 |
$320,650 |
|
Gross
Margin/ML |
$287 |
$213 |
$189 |
|
Growing
Costs |
$589,206 |
$227,052 |
$240,350 |
6 Prepared by www.boothassociates.com.au
Graph 1 shows the cashflow impact of growing each crop over a period of 14 months to capture all costs and revenue.
400
Graph 1: Cashflow Comparison
2000
-200
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug
-400
-600
-800
Rice Cotton
Rice with Grower Deduction Authorities Cotton with Crop Lien
Maize
Graph 1
illustrates a full farm system in rotation with winter crop and importantly
includes benchmarked allocated and unallocated costs, overhead and finance
costs, together with appropriate management drawings and capital renewal costs.
The growing costs of cotton are substantial and often by the time revenue from
the cotton crop is realised there are already expenses incurred in planting a
winter crop and preparing ground for the subsequent cotton crop.
The green line in Graph 1 represents the benefit Grower Deduction Authorities provide to reduce the cashflow burden on rice growers. The purple line represents the use of a crop lien facility to help with cotton cashflow.
The green line in Graph 1 represents the benefit Grower Deduction Authorities provide to reduce the cashflow burden on rice growers. The purple line represents the use of a crop lien facility to help with cotton cashflow.
Cotton income can flow in relatively quickly once the crop is ginned. Rice payments are staggered and can therefore provide some constraints to cashflow post-harvest. In particular, this can be an issue where rice areas vary significantly year-to-year, as a result of varying water allocations. There are however, early payment options available for rice. Maize payments are assumed to be 30 days post-harvest, hence the positive cashflow in Graph 1. Maize marketing can be complicated by credit risk, which is an issue across the grains industry. Prudent
management of creditor risk is essential to avoid exposure to revenue loss for delivered grain.
When analysed over a four year timeframe, the 170 ha summer crop comparison of cashflow (based on quarterly apportionment) is illustrated in Graph 2.
Graph 2: Four Year Cashflow Comparison
1,5001,000
500
0
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
-500
-1,000
Rice Cotton Rice - Early Payment Maize
Note that Graph 2 includes a bad summer crop year in year 2 (summer crop revenue down by 25%) to demonstrate the resilience of each crop system. The option to take early pool payments for rice is included in Graph 2.
The rice system at the assumed scale shows greater returns
and resilience than maize and cotton. A poor year in the cotton system is
difficult to recover from.
It is important
to remember this is a 170 ha comparative analysis that assumes only cotton,
rice or maize is grown as a summer crop. A full transition from say rice to
cotton may not be practical, and initially an area of both crops may be
produced. This may buffer the detrimental effects of poor seasons in one or the
other crop. In the interests of reducing complexity this has not been
considered in this analysis.
In situations where crop returns are suppressed due to combinations of low yield and price, and debt servicing costs are high for irrigation redevelopment and equipment finance, the businesses capacity to cope can be
significantly compromised.
8 Prepared
by www.boothassociates.com.auIn situations where crop returns are suppressed due to combinations of low yield and price, and debt servicing costs are high for irrigation redevelopment and equipment finance, the businesses capacity to cope can be
significantly compromised.
Cashflow and Crop Expansion
Analysis of the implications of ramping up crop
area is illustrated in Graph 3.
Graph 3: Cashflow Comparison - Expanding Scale
2,5002,000
1,500
1,000
500
0
-500
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
-1,000
Rice Cotton
The comparison in Graph 3 shows the impact on cashflow of expanding crop areas. In many instances the majority of profit in a year is reinvested to cover the growing costs of the expanded enterprise scale. Cotton systems only begin to show merit when grown on a greater scale.
Return on Capital and Sensitivity Analysis
A healthy farm
balance sheet is critical to business success and business resilience. If
equity is stressed there can be constraints on cashflow to grow a crop and the
capital expenditure requirements to set up a farming system properly form the
start can be inhibited.
Costs to convert from rice layout to row crop can be in the order of $500/ha to $1,000/ha, or greater subject to the extent of field supply and drainage requirements. Land value appreciates with irrigation development, but commonly no more than 50% of the capital expenditure associated with land development (lasering, irrigation structures, pivots, etc) goes to the balance sheet as an increase in assets.
In situations where a high quality rice layout is converted to a row crop layout there is significant sunk capital and the benefit of the irrigation redevelopment to the balance sheet may be as low as 10%. In other words, land values may only increase by a relatively small amount in such circumstances.
Plant and equipment requirements for row cropping and more specifically cotton are substantially higher than for rice systems. The specialised nature of cotton operations, especially harvest, means the equipment may be used on
farm for cotton only whereas a header can harvest a range of crops including rice.
9 Prepared
by www.boothassociates.com.auCosts to convert from rice layout to row crop can be in the order of $500/ha to $1,000/ha, or greater subject to the extent of field supply and drainage requirements. Land value appreciates with irrigation development, but commonly no more than 50% of the capital expenditure associated with land development (lasering, irrigation structures, pivots, etc) goes to the balance sheet as an increase in assets.
In situations where a high quality rice layout is converted to a row crop layout there is significant sunk capital and the benefit of the irrigation redevelopment to the balance sheet may be as low as 10%. In other words, land values may only increase by a relatively small amount in such circumstances.
Plant and equipment requirements for row cropping and more specifically cotton are substantially higher than for rice systems. The specialised nature of cotton operations, especially harvest, means the equipment may be used on
farm for cotton only whereas a header can harvest a range of crops including rice.
To provide a comparison of a typical balance sheet, the 750 ha Murrumbidgee and 500 ha Murray farm examples
(Table 5) are used and summarised in Table 11.
Table 11: Balance Sheet Comparison
|
Crop |
Murrumbidgee
Murray |
|||||
|
Crop |
Rice
Cotton Maize Rice System Cotton System Maize System System System System |
|||||
|
Assets |
$6.50M |
$7.34M |
$7.14M |
$2.63M |
$3.08M |
$2.91M |
|
Liabilities |
$0.45M |
$0.90M |
$0.70M |
$0.15M |
$0.28M |
$0.15M |
|
Net
Worth |
$6.05M |
$6.44M |
$6.44M |
$2.48M |
$2.80M |
$2.76M |
Table 12: Farm System Return on Capital
|
Return
on Capital Rice Cotton System Maize System System |
|||
|
Murrumbidgee
- 750ha |
5.9% |
4.5% |
1.8% |
|
Murray
- 500ha |
4.5% |
2.4% |
1.9% |
Sensitivity Analysis
A sensitivity analysis was undertaken to test
the resilience of each crop to yield and price. The results are summarised in
Tables 13 and 14.
Table 13: Sensitivity Analysis - Murrumbidgee
|
Rice |
Cotton |
Maize |
|
10T/ha
@ $320/T = 3.1% |
10
Bales/ha @ $480/B = 1.9% |
10T/ha
@ $275/T = 0.4% |
|
12T/ha
@ $360/T = 5.9% |
11
Bales/ha @ $520/B = 4.5% |
11T/ha
@ $300/T = 1.8% |
|
13T/ha
@ $400/T = 8.2% |
12
Bales/ha @ $560/B = 7.3% |
13T/ha
@ $325/T = 4.2% |
|
12T/ha
@ $300/T = 4.1% |
11.0
Bales/ha @ $450/B = 2.3% |
11T/ha
@ $275/T = 1.1% |
|
12T/ha
@ $350/T = 5.6% |
11.0
Bales/ha @ $500/B = 3.9% |
11T/ha
@ $320/T = 2.4% |
|
12T/ha
@ $400/T = 7.2% |
11.0
Bales/ha @ $550/B = 5.4% |
11T/ha
@ $350/T = 3.3% |
|
10T/ha
@ $320/T = 3.1% |
10
Bales/ha @ $520/B = 3.1% |
10T/ha
@ $300/T = 1.1% |
|
12T/ha
@ $320/T = 4.7% |
12
Bales/ha @ $520/B = 5.9% |
12T/ha
@ $300/T = 2.6% |
|
13T/ha
@ $320/T = 5.5% |
13
Bales/ha @ $520/B = 7.4% |
13T/ha
@ $300/T = 3.3% |
10 Prepared by www.boothassociates.com.au
Table 14: Sensitivity Analysis - Murray
|
Rice |
Cotton |
Maize |
|
9 T/ha
@ $320/T = 2.3% |
9
Bales/ha @ $480/B = 0.5% |
10T/ha
@ $275/T = 1.8% |
|
11T/ha
@ $360/T = 4.5% |
10 Bales/ha
@ $520/B = 2.4% |
11T/ha
@ $300/T= 1.9% |
|
12T/ha
@ $400/T = 6.3% |
11
Bales/ha @ $560/B = 4.6% |
13T/ha
@ $325/T= 3.7% |
|
11T/ha
@ $300/T = 3.1% |
10
Bales/ha @ $450/B = 0.8% |
11T/ha
@ $275/T= 1.3% |
|
11T/ha
@ $350/T = 4.3% |
10
Bales/ha @ $500/B = 2.0% |
11T/ha
@ $320/T= 2.3% |
|
11T/ha
@ $400/T = 5.4% |
10
Bales/ha @ $550/B = 3.1% |
11T/ha
@ $350/T= 3.0% |
|
10T/ha
@ $320/T = 2.9% |
9
Bales/ha @ $520/B = 1.3% |
10T/ha
@ $300/T= 1.3% |
|
12T/ha
@ $320/T = 4.2% |
11
Bales/ha @ $520/B = 3.6% |
12T/ha
@ $300/T= 2.4% |
|
13T/ha
@ $320/T = 4.9% |
12
Bales/ha @ $520/B = 4.7% |
13T/ha
@ $300/T= 3.0% |
· Rice is the least sensitive crop to a reduction in yield and price, and has significant upside; and
· Cotton is the most sensitive crop to a reduction in yield and price but has solid upside in the when yield and prices are good.
Conclusion
The decision of which crop to grow should be
based on best whole farm return and alignment with your:· Skills;
· Business resources including capital and operating funds;
· Business and personal goals;
· Business strategy; and
· Preferred risk profile
Avoid making
decisions based on gross margins alone, which don't provide the level of detail
required to address these key business drivers.
11 Prepared
by www.boothassociates.com.au
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