Monday 22 February 2021

https://www.tribuneindia.com/news/punjab/policies-flawed-losses-up-rice-millers-215763
https://www.tribuneindia.com/news/features/damper-on-grain-gains-216016

Friday 19 February 2021

https://finance.yahoo.com/news/india-rice-exports-pick-additional-144639082.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAANt_SCEIcDHltVxy1rA5xBze-BzPJdBryToRb93sNKe_yWWaRGRydnsSQDRZAjUiGR2RuCxUs5lL2C5Xr7Qx33knlY8BBiIUYEJ5v2J4pthaLvs6_TFZKcx5byGqaguAO9OwmrGNRIkphI1e_R-mI_DZHepB8E_G9r0x7qYl1dN1 Indian rice exports gained momentum this week after an additional port was opened in the country's biggest rice-handling facility, potentially easing congestion. Waiting periods at the Kakinada Anchorage Port had reached up to four weeks, compared with about a week normally, because of congestion at the port. "From Saturday we have started using Kakinada deepwater port," said B.V. Krishna Rao, president of the Rice Exporters Association of India, adding that this will reduce waiting times and accelerate overall exports. Rao said that exporters' resulting savings in demurrage fees could be passed on to farmers and overseas buyers. India's 5% broken parboiled variety of rice eased to $395-$401 a tonne from last week's multi-year high of $402-$408. Thailand's 5% broken rice narrowed to $540-$560 a tonne on Thursday, still near 10-month highs. "There's muted demand and less supply in the country. There's not much demand from overseas either because our prices are higher than competitors'," one Bangkok-based trader said. Vietnam's 5% broken rice fell to $505-$510 a tonne on Thursday as harvests in the Mekong Delta gathered pace, down from $510-$515 before the Lunar New Year holiday. Traders said they are buying more rice from farmers in expectation of rising demand from importers, pushing domestic prices of un-husked paddy to a 10-year high of between 6,200 and 7,000 dong per kg. Productivity of the winter-spring crop in the Mekong is relatively high, they added. Domestic prices in Bangladesh rose by 35% in 2020 amid low supply and increased demand during the pandemic, according to the United Nations' Food and Agriculture Organization. The government has initiated imports of 2 million tonnes of rice and also lowered import duty on rice from 65.5% to 25%.

Thursday 22 June 2017

Upturn in fortunes forecast for Thai rice

With state rice stockpiles nearly sold off and major rice-producing nations suffering bad weather, Thai rice exports are likely to hit a record high this year, say government and industry officials.

Mrs Duangporn says rice exports are likely to hit a record high this year. SOMCHAI POOMLARD

Thailand's 2017 rice exports are tipped to reach 11 million tonnes, the most ever, because of rising demand in rice-importing countries at a time that production in grower countries is falling.

Duangporn Rodphaya, director-general of the Commerce Ministry's Foreign Trade Department, said several rice-importing countries have approached Thailand asking to buy more rice.

She said falling state rice stocks have ignited concerns that supply in rice-exporting countries is falling, spurring buyers to rush to secure supply.

"The decline in Thai state rice inventories has helped cut the pressure on global rice prices and also created more room for the price to rise further this year," said Mrs Duangporn.

State rice stocks rose to a historical high of 18.9 million tonnes prior to 2014 after an aggressive rice subsidy scheme, whereby the state offered to buy rice directly from farmers at higher-than-market prices.

The stocks have since fallen sharply to 2.1 million tonnes, of which 1.6 million tonnes was edible-grade white rice and 500,000 tonnes was inedible-grade rice suitable for ethanol production.

Falling government rice stocks also helped cut pressure on global prices, exporters said, adding the prices were expected to rise further over the next few months as there was fresh demand from traditional importing countries that have approached Thailand at a time of limited supply.

Charoen Laothamatas, president of the Thai Rice Exporters Association, said those countries include Iran, Iraq, Bangladesh and the Philippines.

"Some clients that used to import Thai rice but stopped buying over the past several years because of quality issues have come back," said Mr Charoen.

But Thai rice supply is limited because of the 2016 drought and the government's policy to encourage farmers to switch to other lucrative crops such as sugar, which has substantially cut supply from the off-season rice crop.

Rice production from the off-season crop dropped by more than 40% from 9-10 million tonnes on average over the past few years to just 5 million tonnes this year, according to data supplied by the Agriculture Ministry.

That has pushed the price of Thai 5% broken grade white rice to US$462 (15,684 baht) a tonne, up from last month's $416 a tonne, according to the Thai Rice Exporters Association.

"We can say that the Thai rice industry has passed through the crisis and is now on the rise," said Mr Charoen.

Tuesday 7 October 2014

Louisiana rice crop better than expected

The 2014 Louisiana rice crop is better than we expected "but not as good as last year," said Johnny Saichuk, LSU AgCenter rice specialist.

The crop had its hurdles with a cool spring and a wet, muddy harvest. But Steve Linscombe, director of the LSU AgCenter Rice Research Station said the summer nights were not excessively hot, and that probably resulted in good yields and outstanding grain quality.

Linscombe said the 2013 crop year had perfect weather throughout the growing season, but the 2014 crop was challenged by weather at the start with a cool, wet spring, and a wet, muddy harvest. "In spite of that, our 2014 is going to be a good crop," he said.

Disease was not bad this year, even with heavy rainfall. The Rice Research Station recorded 33.6 inches of rain between May and August, compared to 13.2 inches for the same time period last year.

Linscombe said a large amount of south Louisiana acreage will be grown for a second crop, even though much of it was cut after the recommended Aug. 15 cutoff. "Some of the ratoon looks extremely good," he said.

Linscombe said more medium-grain rice was planted this year, in the range of 60,000-65,000 acres, because of the 150,000-acre reduction in California where drought resulted in a water shortage.

Linscombe said the usual decline in yields toward the late part of the harvest in south Louisiana was not as striking as usual. "The rice we were cutting in late August and early September was still yielding well. In the first week of September, we still had farmers cutting more than 60 barrels with good quality," he said.

Keith Collins, LSU AgCenter county agent in Richland Parish, said he first thought this year's crop in north Louisiana would be average. But as the harvest progressed, he has changed his mind.

"I think we're going to have an above-average crop," he said, adding that yields could be as good as last year's record crop.

He said many varieties are yielding just under 200 bushels with few reports of low quality milling.

But, he said, getting the crop out of the fields has been difficult with muddy conditions.

Keith Fontenot, LSU AgCenter county agent in Evangeline Parish, said the crop in his area has been good.

"We have had some producers who exceeded last year's crop," he said.

Fontenot said farmers are facing a stagnant market with low prices and not much rice being bought. "There's no movement of rice right now," he said.

Andrew Granger, LSU AgCenter county agent in Vermilion Parish, said the crop there resulted in above-average yields, but not quite as good as last year. But, he said, the wet harvest conditions have reduced the second crop for many farmers.

Rice prices are becoming an issue, making it difficult for some farmers to get financing for next year's crop, he said.

Plan to improve all aspects of rice industry in Thailand

The Commerce Ministry will announce a "rice strategy" by the end of this month, aiming to improve the production, marketing and quality of Thai rice, while somehow improving farmers' lives without intervening in the "market mechanism".

Boonyarit Kalayanamit, director-general of the ministry's Internal Trade Department, said the plan was to ensure sustainable development for the entire rice industry from upstream to downstream.

"The rice strategy will emphasise how to increase farmers' incomes while focusing on innovation so that Thailand will be a centre for rice trading in Asean," he said.

The strategy will be outlined to government agencies, the private sector and farmers. It is expected to be ready this month to be proposed to Commerce Minister Chatchai Sarikulya and the Rice Policy and Management Committee.

The strategy is meant to solve long-term rice problems from the production stage to marketing. The government will set up rice-plantation zones while also encouraging farmers to grow other economic crops on land that is not suitable for rice.

The ministry will also support marketing and trading strategies, while avoiding intervention in the market mechanism.

Other strategies include creating fairness in rice trading, enhancing rice standards and the trading system, encouraging more rice consumption, increasing production efficiency, encouraging innovation in the rice industry, and developing the logistics system for rice.

Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association, said traders were very worried that the market price for rice will be low during the upcoming harvest season.

Thai rice production in the 2014-15 harvest season is expected to be 24 million tonnes of paddy. India will produce about 103 million tonnes of paddy. As demand for rice consumption in India will be 90 million tonnes, that country will still be a major export rival for Thailand next year.

Vietnam is projected to have output next year of 28 million to 29 million tonnes of rice, of which about 7 million to 8 million tonnes will be exported. Vietnam has also become a major rival for hom mali rice exports to many markets, including parts of Africa. This year, Vietnam could ship 1.2 million tonnes of fragrant rice to Africa, up from 900,000 tonnes last year.

Chookiat said Thailand's large stockpiles would put upward pressure on the competitiveness and downward stress on the rice price in the world market next year. However, this also depends on demand in many markets, including China, the Philippines and Indonesia.

El Nino Threatens Export Plans as Burma’s Rice Industry Revs Up

Hopes that Burma’s rice exports would reach 2 million tons this year look unlikely to be achieved due to the disruptive weather phenomenon known as El Nino, experts say.

Monsoonal rains needed to boost Burma’s late rice crop are expected to be lighter than usual due to the El Nino effect, leading to drier conditions.

Observers of the El Nino weather pattern, which occurs every few years due to warmer air currents generated in the Pacific Ocean, suggest it might be less severe than on previous occasions but could still disrupt various forms of agriculture across Southeast Asia. It could last until June 2015 and some meteorologists have suggested that December might be the worst month affected.

This year’s major wet season rice crops across Southeast Asia might escape the worst of El Nino, the US Department of Agriculture (USDA)’s Foreign Service said, “[but] dry season rice and corn crops, as well as palm oil, will become more vulnerable if El Nino develops and persists from October 2014 to April 2015.”

Burma exported 1.27 million tons of rice in 2013 and the Burma Rice Federation had said the figure for this year might reach the 2 million tons mark, boosted by higher demand from China and dislocation in the rice industry of rival exporter Thailand. However, even without any El Nino effect, the 2 million tons target is over-optimistic according to estimates made by the USDA.

The US agency predicted that rice production in Burma in 2014-2015 would most likely increase by 1 percent to 12.16 million tons, due to growing area expansion and improved water supply, and that rice exports would also be only marginally higher than last year—up about 1 percent to 1.31 million tons.

Burma’s government was “making an effort to provide farmers support in infrastructure development, mechanization [and] technology assistance,” the USDA said. But despite support programs, rice farmers in Burma could still not compete with other farmers in the region, including in Thailand and Vietnam, who received government support to compensate for lower prices, the agency said, citing trade sources.

Burma is forecast to be the fifth-largest rice producer in the Association of Southeast Asian Nations (ASEAN) region in the 2014-15 financial year —behind Indonesia, Vietnam, Thailand and the Philippines. But of these four, only Vietnam and Thailand are exporters.

“On the surface, rice markets remain calm and stable, but underlying market sentiments are rapidly changing because of weather disruptions in many rice-growing nations,” market watcher and rice scientist Sam Mohanty of the International Rice Research Institute said in a recent assessment.

“The global rice market faces the possibility of a production shortfall in the major rice-growing regions in South and Southeast Asia and also in China because of El Nino events. So far, the market has been quite nonchalant about this possibility because of large buffer stocks in key rice-growing countries.”

India, China and Thailand are well stocked with rice to see them through any possible disruptions in supplies, Mohanty said.

Burma’s rice federation sees China as offering the best market for expanding Burmese exports in coming years. About half of Burma’s rice exports went to China in 2013, despite the fact that the exports are technically illegal as there is not yet a health standards agreement on rice in place between the two countries.

Monday 6 October 2014

Thai govt sells over 50,000 tonnes of rice to private firms

The Thai government has approved the sale of more than 50,000 tonnes of rice from its stockpiles to private firms, a Commerce Ministry official said on Friday, as the authorities try to bring down huge stocks built up under a failed intervention scheme.

The rice was sold below the market price because it was old, Duangporn Rodphaya, head of the foreign trade department at the ministry, told Reuters, declining to give details. "The rice that is for sale is old, about two years old, so it has to be below the market price. But it's not way below the market. Private companies have additional costs to improve the quality. It's the same price we use for our tenders," she said.

The sales account for a fraction of the 18 million tonnes that Thailand had built up by this year under the intervention scheme, which effectively priced the grain out of world markets. An audit by the military government found that a fifth of that was either rotten or had gone missing.

Another official from the ministry, who declined to be named, said 59,600 tonnes of rice had been sold in the latest sale to four private companies for 570 million baht (S$22 million).

That would give an average price per tonne of around $295. It was unclear what grade of rice was sold. Benchmark five per cent broken rice is currently offered on the market at around US$425 (S$541) free on board.

The government of Prime Minister Yingluck Shinawatra, which was ousted by the army in May, accumulated the stockpiles under a programme that paid farmers well above market rates for their produce.

The current government wants to offload the stocks to recover some of the cash spent, but the authorities want to carry out the sales gradually so as to avoid pushing prices much lower, Duangporn told reporters earlier this week.

The military-backed government has held two rice auctions and sold around 70,000 tonnes of rice in each.
Duangporn told the reporters a third would be held soon and that discussions for deals with the Chinese and Iranian governments were also in the works.

ASEAN integration seen to boost markets for Philippines organic rice produce

Prospects appear bright for the country’s organically-grown products with the integration by next year of the 10 member-states of the Association of Southeast Asian Nations (ASEAN).

Leo Cañeda, coordinator of the Department of Agriculture (DA)-led National Organic Agriculture Board, said producers of organic farm products could tap key cities or areas within ASEAN as primary target for market expansion when the region’s economic integration eventually rolls out.

He said products like organic high-value vegetables and rice produced in Region 12 or the Soccsksargen Region could take the lead in the export expansion.

The region comprises the provinces of South Cotabato, Sultan Kudarat, Sarangani, North Cotabato and the cities of General Santos, Koronadal, Tacurong, Kidapawan and Cotabato.

“There’s so much opportunities and advantages for our organic farmers in the ASEAN economic integration,” he said at the opening of the four-day 1st Soccsksargen Region Organic Agriculture Congress and Trade Fair here on Wednesday.


But Cañeda said organic farmers or producers should be prepared and equipped with the proper skills and knowledge so they can properly market their products in the ASEAN.

He specifically cited the proper quality standards and other related requirements for organic export products.

ASEAN created a special task force last year to lead the development and promotion of the region’s standards on organic agriculture.

The task force is specifically working on the crafting of a common standard agreeable to and recognized by the ASEAN member-states to facilitate the trading of organic products in the region.

Region 12 has around 50 hectares of palay areas that are mainly producing organic premium rice varieties for exports.

Last year, the area’s organic rice producers have started exporting black rice and other colored, long grained and aromatic rice varieties to the Middle East and Singapore.

DA Region 12 is currently working for the entry of locally-produced premium rice to major markets in Russia, Italy, United States and other parts of the Middle East.

Thailand Rice export volumes soar nearly 60% in first eight months

Rice exports in the first eight months of the year grew significantly, by almost 60 per cent year on year, to 6.59 million tonnes, thanks to strong demand in many markets and a high supply from government stocks, according to the Thai Rice Exporters Association.

The association reported that the value of rice exports also increased by 22.4 per cent year on year to Bt105.83 billion.

Chareon Charoen Laothamatas, president of the association, said demand had increased considerably since July this year, particularly for white rice in some African countries.

In the first eight months of last year, Thailand exported only 4.14 million tonnes of rice worth Bt86.47 billion.

In the JanuaryAugust period this year, Benin imported the most at 852,502 tonnes, followed by Nigeria with 474,561 tonnes, China with 432,220, Ivory Coast with 383,663 and South Africa with 335,529.