Wednesday 24 November 2010

India rice procurement crosses 10 mn tonnes so far

The Food Corporation of India (FCI), the nodal agency for procurement and distribution of food grains, has procured over 10 million tonnes of rice since October. "Rice procurement as on today stands at 100,83,026 tonnes," according to an official statement. The government had procured similar quantity of rice in the year-ago period. FCI and other state agencies have purchased 8.28 million tonnes from Punjab, 1.6 million tonnes from Haryana so far in 2010-11 marketing season (October-September). The rest has been purchased from Tamil Nadu, Andhra Pradesh, Kerala and Uttar Pradesh. The government''s rice procurement had declined in 2009-10 marketing season by seven per cent to 31.45 million tonnes due to a sharp fall in production by about 10 million tonnes, on account of a widespread drought in 2009. However, FCI officials are expecting better procurement this year as rice output is estimated to increase in 2010-11 crop year. In Kharif season, the country''s rice output is estimated at 80.41 million tonnes against 75.91 million tonnes in Kharif season last year. The sowing of rabi crops are in process.

Vietnam-Cambodia cooperate in rice marketing

The Cambodian Takmoa Agriculture and Industrial Development and the Vietnamese Thai Thinh Company have signed a US$22.4 million contract to plant 20,000ha of rice for export. The Thai Thinh Company will provide assistance and support for rice cultivation and processing for two Cambodian provinces, Kompong Cham and Kompong Svay. The two sides will develop a water drainage system in the area and build a rice processing factory capable of producing 500 tonnes of rice a day in January, 2011. Lim Kimkhun, Chairman of Cambodian Takmoa Agriculture and Industrial Development said that both sides will cooperate to produce 2 harvests a year with an average yield of 7 tonnes per ha and a target to export 200,000 tonnes of rice by 2012. The contract will also generate works for nearly 280,000 Cambodian farmers.

S. Korea rice output falls to 30-year low

South Korea's rice production fell to the lowest level in 30 years due to bad weather conditions and a steady decrease in the size of rice paddies, a government report showed Tuesday. The report by Statistics Korea said the country's rice production reached 4.29 million tons this year, down 12.6 percent from 4.91 million tons in 2009 and the lowest since 3.55 million tons in 1980, when cold weather devastated output. "Unseasonably cold weather in spring, and hot, overcast skies during the summer months seriously affected the yield of the staple grain," an official said. "This year's harvest was also hurt by several typhoons that hit the country." Reflecting the bad weather conditions, the average rice production for a 10-are paddy fell 9.6 percent to 483 kilograms this year from a record 534 kilograms last year when South Korea had a bumper crop harvest, helped by ideal weather and no typhoon damage. The report, meanwhile, showed the total area of rice paddies in the country falling 3.5 percent on-year to an all-time low of 892,000 hectares, as more farmland was converted for other uses. A hectare is equivalent to 10,000 square meters. The size of South Korea's farmland has been decreasing by a yearly average of about 2 percent, as the government eased restrictions on rural development and moved to build more roads and other industry-related infrastructures over paddies and fields.

Monday 22 November 2010

Thailand Rice Price - Weekly

Domestic and export prices increased by 3-5 percent as foreign buyers stepped up their enquiries of Thai white rice for export to African markets. Additionally, rice millers and traders are holding stocks speculating that MY2010/11 main-crop rice production will likely decline significantly in flooded areas. However, exporters expect prices will likely ease over the next few weeks once the damage due to floods is assessed.

Vietnam Rice exports total $2.5 billion

Viet Nam has exported 6 million tonnes of rice this year, worth US$2.5 billion, reported the Viet Nam Food Association (VFA). The association said the export price of Vietnamese rice within the last two weeks increased sharply by between US$5 and $20 per tonne to $450 per tonne for 25 per cent broken rice and to $495 per tonne for 5 per cent broken rice. Head of the Ministry of Agriculture and Rural Development's Plantation Department Nguyen Tri Ngoc said the demand for rice by the end of this year would increase sharply while global supply would decrease, so traders should sign export contracts soon to capitalise on the opportunity. Domestic and international rice experts said the supply might increase next year because the Indian Government would resume exporting large quantities of rice. Therefore, export prices for rice would decrease during the next year. The Government issued a decree detailing the conditions for export rice trading to improve the quality of export rice and management. Under Decree 109/2010/ND-CP, eligible rice traders must have legal trading certification, one warehouse to store at least 5,000 tonnes of rice, one rice mill that can process at least 10 tonnes of rice per hour and will have to follow additional standards that will be mandated by the Ministry of Agriculture and Rural Development. Professor Vo Tong Xuan, a rice expert, said the decree would help increase the value of Vietnamese rice and improve the product's reputation globally. The country expects to export 6.5 million tonnes of rice this year, reported the association.

Philippines sets 2011 rice output goal at 17.4-M tons

The government has set a rice production goal of 17.4 million tons next year, nearly 9% higher than a revised target of 16 million tons in 2010, a senior official said on Monday. The Philippines, the world's biggest rice buyer, expects rice production to reach 19.2 million tons in 2012 before becoming self sufficient in its staple in 2013, Dennis Araullo, a grains program director at the Agriculture department, told reporters. Agriculture Secretary Proceso Alcala, meanwhile, said rice purchases for 2011 will not be more than half of the record imports of 2.45 million tons last year. For the first 9 months, domestic production of unmilled rice fell 15% from a year ago.

Philippines May Import Rice in Early 2011

The Philippines, the world’s biggest rice importer, may hold tenders for the grain in the first quarter of 2011, Agriculture Secretary Proceso Alcala said in a press briefing today. The Southeast Asian nation, which imported a record 2.47 million metric tons for this year, cut its rice production forecast this year to 16.02 million tons from 16.24 million tons due to storms that damaged crops. It’s still reviewing the volume, mechanics and timing of rice imports, Alcala said.

Wednesday 17 November 2010

Thailand Rice harvest could be down 20%

This year's rice production is expected to drop by about 20 per cent due to the massive flooding in the country, Thai Farmers Association president Prasit Boonchoey said on Thursday. Mr Prasit said the country usually produces about 10 million tonnes of rice paddy per year. The extensive flood damage to rice fields is likely to cut the crop by about 20 per cent. The drop in production would not cause shortages of rice, either for domestic consumption or export, because the country still has a considerable amount of rice in stock. Mr Prasit said rice prices are still in a favourable direction. The price of paddy is currently 9,000 baht per tonne, up from 8,500 baht, due to concerns over production both inside the country and abroad, since other rice-producing countries including Vietnam, India and Pakistan have also been hit by natural disasters. Therefore, the price may rise to as much as 10,000 baht per tonne, but not as high as 15,000 baht as some people may hope, he said. "Tomorrow (Nov 12), there will be a meeting of all concerned to discuss prices and marketing," Mr Prasit said. Mr Prasit said the government's plan to provide financial relief for flood-hit farmers at the rate of 2,098 baht per rai was good, but authorities should watch out for people trying to make dishonest gains from this measure. He said some people who had not really suffered damage have registered for help, causing a delay in relief payments to those actually affected.

Drought likely to hit rice crop Vietnam

Insufficient rainfall is likely to affect the winter-spring rice crops across the country, the National Hydro and Meteorological Forecasting Centre said yesterday. Water levels in rivers in the north-central provinces would be less than last year's average levels by about 30 per cent. Those in the country's south-central and Central Highland provinces would be about 60 per cent less than last year's averages, said centre head Bui Minh Tang. "Drought and water shortages will spread extensively," said Tang. "Southern provinces will probably have to deal with salt water intrusions." The Red River's water level stabilised at 2.85m last month, said irrigation expert Dang Duy Hien. The river's average was usually about 2.91m. If the drought continued, about 650,000ha of winter-spring rice crops in the northern delta might be ruined, he added. The Ministry of Agriculture and Rural Development had asked northern provinces to reorganise their crops according to climate forecasts and recommended farmers plant dry crops such as corn or cashews, among others, that need little irrigation, said Deputy Minister Bui Ba Bong. "We should sow up to 60 per cent of land as soon as possible to avoid drought and salt intrusion early next year," Bong said. Vu Van Thang, head of the Irrigation Department, said provinces should develop drought mitigation plans as soon as possible and dredge canals and culverts to ensure irrigation of every field. "Additional pumps should be available when river levels drop too low," he said. The Department of Cultivation head Pham Dong Quang said provinces had been asked to save irrigation water for next year.

Philippines Rice stocks up by more than a quarter

THE COUNTRY'S rice inventory at the start of October was up by 26.79% to 3.15 million metric tons (MT) from 2.49 million MT in the same period last year, data from the Bureau of Agricultural Statistics (BAS) showed.

Thailand Cuts 2010/11 Main Rice Crop Forecast

Thailand, the world's biggest rice exporter, has cut the forecast for its 2010/11 main crop slightly to 22.3 million tonnes of paddy after the country was hit by floods, an Agriculture Ministry official said on Thursday. That was down from the previous forecast of 22.6 million tonnes and compares with output of around 23 million tonnes in normal years, Apichart Jongsakul told Reuters. "Flooding in some places in the central, low-lying areas has lasted longer than expected, damaging more of the rice output," Apichart said. The limited damage was in line with traders' estimates, most still expecting Thailand to produce more than than 22 million tonnes despite the flooding. The flooding hit Thailand's northeast and south, the country's main rice and rubber areas respectively, killing up to 203 people since October. Flood water still remained in at least 18 provinces. Harvesting of the country's main rice crop usually starts in November and finishes in late January. After finishing havesting, farmers in well-irrigated areas usually start planting a second, smaller crop that usually produces 5-7 million tonnes of paddy. However, traders and officials said recent flood water was likely to bring fertile alluvial soil to the flooded areas that could help boost the second crop. "We might have up to 8 million tonnes of paddy from the second crop," one trader said. Harvesting of this crop starts in late June.

Vietnam Mekong farmers relieved as floods finally arrive

Much-delayed floods have arrived in the Cuu Long (Mekong) Delta where many farmers rely on the seasonal inundation for their livelihood. Paddy fields near the one of the Mekong's two major tributaries, the Hau, or Rear River, that were beginning to dry are now submerged. The occupants of small boats ply the flooded plain to cast nets or harvest water lilies. "My children caught a considerable number of fish yesterday," said farmer Duong Van Ut from Can Tho City's Vinh Thanh District. "I was worried about my paddy fields that were polluted with pests and rubbish," he said. "The floods will restore my fields." The Co Do District's Tran Huu Thanh who had raised more than 6,000 fish in an underwater trap that was short of water said he was now able to release his charges into submerged fields where they can swim freely. Once there, they would grow quickly and gain up to 200 grammes. "I can feed them with my catch and save money that I would have had to spend on fodder," he said. Fish farmers Many farmers in the Co Do and Vinh Thanh Districts use the yearly floods to breed and then farm fish in their fields. The floods typically arrive from June to October each year and the farmers along the two major tributaries have been anticipating them for months. The waters deliver a army of fish from Cambodia's Tonle Sap Lake and alluvial deposits that help nourish paddy fields. This year's delay created difficulties for the southern delta's fishermen, farmers, fishing net merchants and boat-builders. "Without the floods, we have neither crops nor fish," explained Vinh Thanh District fish farmer Nguyen Thi Khinh. "But a delayed flood is better than no flood – we still have something to catch," she said. An Giang hydro and meteorological forecast centre director Vo Thanh warned that water in the Tien, or Front River, where the Mekong enters Viet Nam in the province's Tan Chau District, had peaked at just 3.2 metres. The level was below the record low of 1989, he said. Can Tho's University scientist Dr Duong Van Ni attributed the belated floods to storms in northern Cambodia.