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Daily November 10,2014
Exclusive ORYZA E-Newsletter
DAILYCompiled EXCLUSIVE ORYZA E-NEWSLETTER & Edited by Riceplus Magazine November 10, 2014
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November 10,2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER News Headlines…
Poor Infrastructure Facilities Reducing Global Competitiveness of Pakistan Rice, Say Exporters Oryza White Rice Index – Thailand Planning for New Form of Pledging Program to Support Prices India Rice Sellers Lower Some of Their Quotes Today; Other Asia Rice Quotes Unchanged Oryza U.S. Rough Rice Recap - Extremely Limited Selling Interest Ahead Opening Weekend of Deer Season How Innovated Drum Seeders, Tweaked Cono Weeders are Leading to Better Rice Yields Oryza Afternoon Recap – Chicago Rough Rice Futures Mount Last-Minute Recovery to Finish the Session in the Black, but Remain Sharply Lower on the Weekly Chart FAO Forecasts Zambia 2014 Paddy Rice
Production to Increase 9% to 49,000 Tons
Chinese COLOR SORTER as low as Pak Rs 22 Lakh Only A Time Limited Offer Contact: Cell: 0300 414 3493
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News Detail... Poor Infrastructure Facilities Reducing Global Competitiveness of Pakistan Rice, Say Exporters Nov 07, 2014
Pakistan rice exporters are concerned that export prices are increasing and consequently competitiveness for their rice is declining in the international market. Lack of proper infrastructure facilities and tax sops are cited as main reasons for this situation, according to local sources. According to the Chairman of the Rice Exporters Association of Pakistan (REAP), the country's rice sector is facing difficulties particularly due to power shortages, poor services offered by the container terminal operators (CTOs) and increasing port terminal charges. Inordinate delay in refund claims on sales tax paid by the rice exporters on electricity bills is also causing problems to them, he was quoted as saying. The REAP Chairman reportedly met with the President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and apprised him of the problems faced by the rice exporters. Local sources say he sought the support of the FPCCI President in seeking government support in settling these problems and increasing competitiveness of Pakistan rice in the international market. They mainly want the government to deal with the varying prices charged by the freight operators at different rupee-dollar rates due to absence of strict Foreign Exchange Policy highlighting a single parity rate. Secondly, they also want the port operators to enhance their services as well as reduce container charges for rice. Thirdly, they are seeking financial assistance from the Export Development Fund (EDF) for the development of a steady line from K-electric feeders to their cluster area to ensure uninterrupted power supplies. The FPCCI President is likely to discuss these issues on behalf of the REAP with the Governor of State Bank of Pakistan shortly. Separately, Pakistan rice millers are urging the government to fix a price for paddy this year to avoid fall in prices. They met with the Minister for Food Security and Research (MFS&R) to act on the issue. The Minister reportedly promised the millers to take up the matter in Economic Coordination Committee of the Cabinet meeting next week. Pakistan exported around 3.16 million tons of rice in the fiscal year 2013-14 (July 2013 - June 2014). The South Asian country exported around 602,759 tons of rice, including basmati and non-basmati, in the first
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November 10,2014
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three months of FY 2014-15 compared to 635,637 tons exported during the same period last year. USDA estimates Pakistan to produce about 6.7 million tons of rice, basis milled, and export around 3.9 million tons in MY 2013-14 (November 2013 – October 2014). Tags: Pakistan rice exports, Rice Exporters Association of Pakistan (REAP)
Oryza White Rice Index – Thailand Planning for New Form of Pledging Program to Support Prices
Nov 07, 2014
The Oryza White Rice Index (WRI), a weighted average of global white rice export quotes, ended the week at about $454 per ton, down about $1 per ton from a week ago, down about $7 per ton from a month ago and up about $1 per ton from a year ago.
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November 10,2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
The UN’s Food and Agricultural Organization (FAO) estimates 2014-15 global rice production will decline slightly to about 496.3 million tons from last year’s 498.1 million tons, marking the first decline since 2009. Global rice utilization estimates are up about 2% to 500.2 million tons, and the estimate for global rice trade is slightly up from last year. Global ending stocks for 2014-15 are estimated to be about 177.7 million tons, down about 2% from last year. The FAO All Rice Price Index declined to about 235 points in October, down about 1.2% from September, as all sub-indices declined. Thailand Thailand 5% broken rice today shown at about $415 per ton, down about $5 per ton from a week and a month ago and up about $5 per ton from a year ago. The Rice Policy and Management Committee is considering a new on-farm pledging program for 2014-15 paddy main crop fragrant and glutinous rice in efforts to limit downward pressure on prices during harvest, says the USDA Post. The Thailand Development Research Institute (TDRI) estimates that losses from the rice pledging scheme may reach one trillion baht (about $30.5 billion). The valuation method of lost/spoilt rice stocks in Thai government warehouses will decide the total amount of losses from the rice pledging scheme and the Finance Ministry says it will disclose final losses and close its account on November 13. India India 5% broken rice today shown at about $415 per ton, unchanged from a week ago, down about $5 per ton from a month and a year ago. India’s state-run traders Metals and Minerals Trading Corporation (MMTC) and the State Trading Corporation (STC) have issued tenders inviting bids from overseas sellers to import 40,000 tons of 25% broken white rice (each invited tenders for 20,000 tons ) for delivery in North-eastern states of Mizoram and Manipur between December 20, 2014 and February 28, 2014. The FAO forecasts 2014-15 rice exports for India will decline about 20% to about 8.6 million tons due to an unexpected decline in production this year. Vietnam Vietnam 5% broken rice today shown at about $435 per ton, unchanged from a week ago, down about $10 per ton from a month ago and up about $40 per ton from a year ago. Vietnam exported about 5.358 million tons of rice in the first ten months of 2014, down about 7% from the
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November 10,2014
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same period last year, according to the Vietnam Food Association. Pakistan Pakistan 5% broken rice today shown at about $400 per ton, unchanged from a week ago, down about $10 per ton from a month ago and up about $25 per ton from a year ago. Pakistan rice exporters are concerned that export prices are increasing and consequently competitiveness for their rice is declining in the international market. Lack of proper infrastructure facilities and tax sops are cited as main reasons for this situation, according to local sources. They have sought the support of the President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) to take up the matter with the government. Cambodia Cambodia 5% broken rice today shown at about $415 per ton, unchanged from a week and a month ago, and up about $10 per ton from a year ago. Central & South America Brazil 5% broken rice today shown at about $550 per ton, unchanged from a week ago, down about $60 per ton from a month ago and down about $70 per ton from a year ago. The Brazilian paddy rice index maintained by CEPEA reached around 36.9 real per 50 kilograms as of November 3, 2014, up about 0.22% from around 36.79 real per 50 kilograms recorded on October 27, 2014. In terms of USD per ton, the index reached around $293 per ton on November 3, 2014, up about 2.5% from around $290 per ton recorded on October 27, 2014. U.S. U.S. 4% broken rice today shown at about $545 per ton, unchanged from a week ago, up about $15 per ton from a month ago and down about $50 per ton from a year ago. Other Markets Five percent broken rice from Uruguay and Argentina today shown at about $600 per ton, unchanged from a week ago, down about $15 per ton from a month ago and down about $20 per ton from a year ago. The USDA Post estimates Argentina will export about 600,000 tons of milled rice in 2014, up about 12.5% from 2013 and in line with official USDA estimates. It forecasts exports to decline slightly due to decreased production.
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The El Nino-induced drought in Costa Rica may affect small rice producers, but total rice area at risk is very small says CONARROZ. The FAO forecasts Madagascar’s MY 2014-15 (April-March) imports will reach about 250,000 tons, down about 55% from MY 2013-14. The FAO forecasts Sri Lanka’s 2014 rice imports will increase about nine-fold to 200,000 tons since the country’s paddy rice production is expected to be much lower than expected due to dry weather. Indonesia’s new president has stated the country’s plans to end rice imports and be rice self-sufficient within the next two years. Paddy rice production in Indonesia in 2014 is estimated to reach about 70.61 million tons, down about 0.94% from the previous year, according to the country’s Central Statistics Agency (BRS). The Small Scale Rice Dealers Association of Ghana opposes the Ghanaian government’s proposal to ban rice imports in the next four years. The Managing Director of Ghana Grains Council agrees that Ghana should enhance rice production capacity before banning imports. Iran will probably decrease imports in 2014 since it has surplus stocks from high imports last year and high seasonal yield this year, according to local sources. Gambia reaffirms plans to end rice imports by the end of 2016, according to local sources. The Iraq Trade Ministry has extended the deadline for receiving bids in an international tender to buy at least 30,000 tons of rice from October 27 to November 6. The USDA Post estimates Venezuela’s MY 2014-15 paddy rice production is about 380,000 tons, down about 1.2% from last year, due to a severe drought during the first crop season. The USDA Post estimates Jordan’s 2014 rice imports will be about 185,000 tons, unchanged from 2013 but down about 7.5% from early estimates, due to declining rice consumption. The UN’s FAO forecasts Bhutan’s rice imports in MY 2014-15 (July-June) will be about 700,000 tons. The FAO has forecasted Mali 2014 paddy rice production at around 2.3 million tons (around 1.55 million tons, basis milled), up about 4% from around 2.2 million tons in 2013 due to adequate rains and favorable weather conditions. The FAO has forecasted Zambia 2014 paddy rice production at around 49,000 tons (around 32,830 tons, basis milled), up about 9% from around 45,000 tons (around 30,150 tons, basis milled) in 2013 due to adequate rains
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November 10,2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
and government support through the Farmer Input Support Program (FISP). Average domestic rice prices in North Korea have fallen about 34% to around 4,500 KPW per kilogram (around $540 per ton) from around 6,800 KPW per kilogram (around $820 per ton) in mid-October, according to local sources. Ongoing harvests and already existing stocks leading to excess supplies are cited as reasons for unusual price falls. Tags: oryza white rice index (OWRI)
India Rice Sellers Lower Some of Their Quotes Today; Other Asia Rice Quotes Unchanged Nov 07, 2014 India rice sellers lowered their quotes for 100% broken rice by about $5 per ton to around $390 - $400 per ton today. Other Asia rice sellers kept their quotes unchanged. 5% Broken Rice Thailand 5% rice is quoted at around $410 - $420 per ton, about $20 per ton discount to Vietnam 5% rice shown at around $430 - $440 per ton. India 5% rice is quoted at around $410 - $420 per ton, about $15 per ton premium on Pakistan 5% rice quoted at around $395 - $405 per ton. 25% Broken Rice Thailand 25% rice was last quoted at around $350 - $360 per ton, about $45 per ton discount to Vietnam 25% rice shown at around $395 - $405 per ton. India 25% rice is quoted at around $370 - $380, about $20 per ton premium on Pakistan 25% rice quoted at around $350 - $360 per ton. Parboiled Rice Thailand parboiled rice is quoted at around $410 - $420 per ton. India parboiled rice is quoted at around $390 $400 per ton, about $35 per ton discount to Pakistan parboiled rice quoted at around $425 - $435 per ton.
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November 10,2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
100% Broken Rice Thailand broken rice, A1 Super, is quoted at around $330 - $340 per ton, on par with Vietnam 100% broken rice shown at about $330 - $340 per ton. India's 100% broken rice is shown at around $310 - $320 per ton, down about $5 per ton from yesterday and around $10 per ton discount to Pakistan broken sortexed rice quoted at around $320 - $330 per ton. Tags: India rice prices, Vietnam rice prices, pakistan rice prices, Thailand rice prices
Oryza U.S. Rough Rice Recap - Extremely Limited Selling Interest Ahead Opening Weekend of Deer Season Nov 07, 2014 The U.S. cash market was dead today with extremely limited selling interest as many in the industry took the day off early in preparation of the opening weekend of deer hunting season. Analysts contend that with lower prices coupled with the hunting/holiday season on the horizon, farmer selling interest will be subdued until they see prices they can live with. As of today, offers were unchanged near $11.75-$12.15 per cwt fob farm (about $259-$268 per ton) while bids held steady around $11.75-$12.00 per cwt (about $259-$265 per ton) for November delivery and there were reports of rice trading as low as $11.75 per cwt (about $259 per ton) for prompt delivery. Tags: U.S. rice prices; U.S. rice market
How Innovated Drum Seeders, Tweaked Cono Weeders are Leading to Better Rice Yields Nov 07, 2014 Three scientists from Krishi Vigyan Kendra, Chittoor in south India - P. Bala Hussain Reddy, S Sreenivasulu and C Manohar from Rashtriya Seva Samithi Krishi Vigyan Kendra (RSS KVK) share the statistics and experiences from the innovated drum seeder approach to rice cultivation in this first part of this two-part interview series.
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November 10,2014
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Oryza.com: The Rashtriya Seva Samithi (RSS) team has innovated the SRI (System of Rice Intensification) to suit the needs and necessities of your local farmer. What kind of changes were made? KVKTeam: Yes, Rashtiya Seva Samithi (RSS) — Krishi Vigyan Kendra in Chittoor district in south India had innovated SRI to suit the local needs. When farmers said that the cono weeder - used to weed out wetland vanity fields – was too heavy to pull manually in the fields, it was modified using an eight-rowed paddy seeder (drum seeder) for sowing the seeds so that it runs between the space in (20 cm) between the two paddy rows. Oryza: What benefits were witnessed after the new method was adopted? KVKTeam: The cultivation cost was reduced by about Rs 5,000 ($65) per acre in this method due to skipping of practices like nursery raising and manual transplantation. While SRI method requires 30 farmers, only three are sufficient in the drum seeder process. The duration of the crop is also reduced by 7-10 days in modified SRI method compared to traditional practice. The project with the modified drum roller began in 2010 season and completed in 2013 season. Demos of this modified SRI method were conducted in 140 villages in the district after that. Results from the data of all these years has shown that the average yield obtained in modified SRI method was 2,574 kg per acre as compared to 2,325 kg in the traditional method. This translates to 11 per cent yield increase in the modified SRI method than in the traditional method. Currently more than 60 eightrowed paddy seeders and 300 conoweeders are being used. Oryza: Are the farmers familiar with the technology and working for the seeders and weeders? What was done to address that? KVKTeam: We realized that if the machines are not available on time, it can grossly affect the final outcome. So to ensure its timely availability, the drum seeders and weeders are stored in the local agriculture office and in the villages as well. Farmers are also supplied with pre-emergence herbicide to address the weed issue. Oryza: What about training them in it? KVKTeam: RAAS-KVK brought out pamphlets in the local language and roped in five facilitators to communicate with them. KVK also trained ten master trainers who helped in sowing, weeds, cultivation etc. Part II – How the farming equipment was customized for maximum rice yields Tags: Rice, rice news, how to, drum seeders, cono weeders, KVK
Oryza Afternoon Recap – Chicago Rough Rice Futures Mount Last-Minute Recovery to Finish the Session in the Black, but Remain Sharply Lower on the Weekly Chart Nov 07, 2014 Chicago rough rice futures for Jan delivery settled 2.5 cents per cwt (about $1 per ton) higher at $12.115 per
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cwt (about $267 per ton). After trading lower and testing underlying support at $12.000 per cwt (about $265 per ton), the market mounted a last minute recovery to finish the day with a slight gain. It will be interesting to see how traders interpret today’s action on Monday, however the bearish trend remains intact and lower prices are forecast for next week. The other grains closed mostly lower today; Soybeans closed about 0.9% higher at $10.3675 per bushel; wheat finished about 1.1% lower at $5.1450 per bushel, and corn finished the day about 1% lower at $3.6750 per bushel. U.S. stocks fluctuated on Friday, with the S&P 500 and Dow industrials slipping from their loftiest levels, after data had the U.S. economy producing less-than-expected jobs in October and the unemployment rate declining to a six-year low. Trading in a 82-point range on either side of neutral, the Dow Jones Industrial Average recently held flat 17,554.53. After rising to an intraday record, the S&P 500 was lately off nearly a point at 2,030.40, with energy the best performing and health care fronting losses among its 10 major industries. Flirting with its first weekly loss in three, the Nasdaq fell 11.69 points, or 0.3%, to 4,626.77. Gold is trading about 2.5% higher, crude oil is seen trading about 1% higher, and the U.S. dollar is seen trading about 0.5% lower at about 1:00pm Chicago time. Thursday, there were 987 contracts traded, up from 379 contracts traded on Wednesday. Open interest – the number of contracts outstanding – on Thursday increased by 62 contracts to 9,813. Tags: chicago rough rice futures
FAO Forecasts Zambia 2014 Paddy Rice Production to Increase 9% to 49,000 Tons Nov 07, 2014 The UN's Food and Agricultural Organization (FAO) has forecasted Zambia 2014 paddy rice production at around 49,000 tons (around 32,830 tons, basis milled), up about 9% from around 45,000 tons (around 30,150 tons, basis milled) in 2013 due to adequate rains and government support through the Farmer Input Support Program (FISP). Planting for 2015 cereal crops, including rice, is underway. Zambia is a major producer of maize, but also produces small quantities of rice.According to the FAO, food security conditions in the country are stable, but about 351,267 people need food assistance due to dry spells that resulted in crop reductions.Zambia produced around 45,000 of paddy (around 30,000 tons, basis milled) and import around 10,000 tons of rice in MY 201314 (May 2013 – April 2014) to meet a consumption demand of around 40,000 tons, according to USDA. Tags: Zambia rice production, Zambia rice imports, Food and Agricultural Organization (FAO)
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