April 30, 2015
Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com
Volume 5, Issue I Daily Exclusive
ORYZA Rice Newsletter
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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com
Global Rice Quotes April 29th, 2015 Long grain white rice - high quality Thailand 100% B grade 395-405 Vietnam 5% broken 355-365 ↔ India 5% broken 365-375 ↔ Pakistan 5% broken 375-385 ↔ Myanmar 5% broken 410-420 ↔ Cambodia 5% broken 430-440 ↔ U.S. 4% broken 480-490 ↔ Uruguay 5% broken 565-575 ↔ Argentina 5% broken 555-565 ↔ Long grain white rice - low quality Thailand 25% broken 355-365 ↔ Vietnam 25% broken 330-340 ↔ Pakistan 25% broken 330-340 ↔ Cambodia 25% broken 410-420 India 25% broken 340-350 ↑ U.S. 15% broken 470-480 ↔
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Long grain parboiled rice Thailand parboiled 100% stxd 380-390 Pakistan parboiled 5% broken stxd 385-395 India parboiled 5% broken stxd 360-370 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% 895-905 Vietnam Jasmine 485-495 ↔ India basmati 2% broken NQ ↔ Pakistan basmati 2% broken NQ ↔ Cambodia Phka Mails 810-820 Brokens Thailand A1 Super 320-330 ↔ Vietnam 100% broken 310-320 Pakistan 100% broken stxd 285-295 Cambodia A1 Super 345-355 ↔ India 100% broken stxd 270-280
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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Egypt medium grain brokens NQ U.S. pet food 370-380 ↔ Brazil half grain NQ ↔
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All prices USD per ton, FOB vessel, oryza.com
FAO Launches Agricultural Stress Index System to Detect Droughts Ahead and Lessen Impact on Crops
Apr 29, 2015
The UN's Food and Agricultural Organization (FAO) has launched the Agricultural Stress Index System (ASIS), which can be used to detect droughts much earlier and assess their impact on the crop productivity, according to a news release on its website.ASIS is managed by the FAO Global Information and Early Warning System (GIEWS), which monitors the prospects of major food crops across the world. It detects agricultural areas with a high probability of water stress (drought) at the global level. Accordingly, it guides governments on implementing drought mitigating strategies and respond in a timely manner thereby ensuring lesser impact on crop productivity.ASIS will support the vegetation monitoring activities of the GIEWS.
Bangladesh Expects Record Output from Aman and Aus Crops in 2014-15 3
Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Apr 29, 2015
The Bangladesh Bureau of Statistics (BBS) estimates milled rice output from the Aman (July December) and Aus (February - August) crops to increase significantly in the financial year 2014-15 (July - June), according to local sources.The BBS estimates output from the 2014-15 Aman crop at around 14 million tons, up about 1.3% from around 13 million tons last year. It estimates output from the Aus crop at around 2.328 million tons, up about 1% from around 2.3 million tons last year. A government official told local sources that timely distribution of seed and fertilizer, favorable weather conditions and uninterrupted power have helped increase production despite a reduction in planting area.The government is estimating the output from the 2014-15 ongoing Boro crop (January - May) at around 19 million tons. Boro rice crop has been planted in around 4.822 million hectares this year, according to the data from the Field Service Wing of the Department of Agricultural Extension (DAE). The government of Bangladesh is planning to procure around one million tons of Boro paddy and around 100,000 tons of Boro rice between May 1 - August 31, 2015. However, increasing rice imports from India and consequent price falls in the domestic rice sector are likely to impact Boro crop procurement this year.Bangladesh produced around 34.449 million tons of rice, basis
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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com milled, in FY 2013-14 (July - June), up about 2.7% from around 33.833 million tons produced in FY 2012-13, according to the Agriculture Ministry. USDA estimates Bangladesh’s MY 2014-15 (July 2014 – June 2015) milled rice production to slightly increase to about 34.6 million tons from an estimated 34.39 million tons in MY 2013-14. It estimates Bangladesh to import 600,000 tons of rice in 2015.
India Rice Sellers Increase Some of Their Quotes Today; Other Asian Rice Quotes Unchanged Apr 29, 2015
India rice sellers increased their quotes for 25% broken rice by about $5 per ton to around $340 $350 per ton today. Vietnam rice sellers are out today on account of a public holiday. Other Asian rice sellers kept their quotes unchanged from yesterday. 5% Broken Rice Thailand 5% rice is indicated at around $380 - $390 per ton. India 5% rice is indicated at around $365 - $375 per ton, a $10 per ton discount to Pakistan 5% rice shown at around $375 - $385 per ton. 25% Broken Rice Thailand 25% rice is shown at around $355 - $365 per ton. India 25% rice is indicated at around $340 - $350, about a $10 per ton premium on Pakistan 25% rice shown at around $330 - $340 per ton. Parboiled Rice Thailand parboiled rice is indicated at around $380 - $390 per ton. India parboiled rice is indicated at around $360 - $370 per ton, about a $25 per ton discount to Pakistan parboiled rice shown at around $385 - $395 per ton. 100% Broken Rice
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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Thailand broken rice, A1 Super, is indicated at around $320 - $330 per ton. India's 100% broken rice is shown at around $270 - $280 per ton, about a $15 per ton discount to Pakistan broken sortexed rice shown at around $285 - $295 per ton.
Silicon Enhances Quality of Rice Production, Say Researchers Apr 29, 2015
Silicon, the second most abundant element on the earth's crust after oxygen, can play an important role in enhances the quality of rice production, say researchers.Recently, researchers from the Institute of Agricultural and Nutritional Sciences - Soil Science, University of Halle in Germany have found that Silicon plays a major role in the development of sustainable rice production systems by increasing resistance against pests, pathogens as well as abiotic stresses such as salinity, drought and floods. They found that irrigated water can be a good source of silicon compared to rain water. Dissolution of solid soil particles can be another important source of silicon, they said.Earlier, researchers from the interdisciplinary project LEGATO - Land-use intensity and Ecological 6
Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Engineering - Assessment Tools for risks and Opportunities in irrigated rice based production systems - also found that irrigation water can provide a significant amount of Silicon to plants.Another research also found that recycling and decomposition of rice straw can increase Silicon content in the soil. Therefore, farmers are advised to recycle the straw completely to enhance plant-available Silicon levels.
Oryza Overnight Recap – Chicago Rough Rice Futures Get off to a Slow Start Despite Supportive Grains Markets Apr 29, 2015
Chicago rough rice futures for Jul delivery are currently seen 1 cent per cwt (about $0.22 per ton) higher at $10.245 per cwt (about $226 per ton) during early floor trading in Chicago. The other grains are seen trading higher: soybeans are currently seen about 0.1% higher, wheat is listed about 0.7% higher and corn is currently noted 0.8% higher.U.S. stock index futures pointed to a lower open on Wednesday, as investors awaited the conclusion of the two-day Federal Open Market Committee (FOMC) meeting. The first estimate of first quarter GDP showed an increase of 0.2%, a sharp slowdown from the fourth quarter's 2.2% pace and below expectations of 1% growth. The government cited the strong dollar and the West Coast port strikes as negative factors. Investors will scrutinize U.S. economic growth on Wednesday as the initial read on the first-quarter GDP comes ahead of a meeting statement from the "data-dependent" Federal Reserve. On the Fed front, with inflation highly subdued and the labor market data having turned out softer than expected in March, analysts expect no change to policy. Mortgage applications gave back their gains last week, falling exactly as much as they had risen the previous week, according to the Mortgage Bankers Association (MBA). The decline came as interest rates edged higher. European equities were mixed Wednesday as investors reacted to earnings reports and awaited the outcome of a two-day meeting by the U.S. Federal Reserve. U.S. stocks closed mixed on Tuesday, with the Nasdaq in the red as investors were on edge ahead of the Fed statement due Wednesday. Gold is currently trading about 0.5% lower, crude oil is seen trading about 0.2% lower, and the U.S. dollar is currently trading about 0.3% lower at 9:30am Chicago time.
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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com
Oryza Afternoon Recap - Chicago Rough Rice Futures Rally as Crude and Dollar Strength Supports Grain Prices Apr 29, 2015
Chicago rough rice futures for Jul delivery settled 19.5 cents per cwt (about $4 per ton) higher at $10.430 per cwt (about $230 per ton). The other grains finished the day sharply higher; Soybeans closed about 1.1% higher at $9.8800 per bushel; wheat finished about 1.5% higher at $4.8350 per bushel, and corn finished the day about 0.8% higher at $3.6375 per bushel.U.S. stocks traded lower on Wednesday as investors eyed the Fed statement, a weaker-than-expected GDP report and earnings reports. The Federal Reserve Open Market Committee released its meeting statement on Wednesday afternoon that removed all calendar references and showed no new guidance on the timing of the rate hike. Analysts had not expected a change to policy from this Fed meeting. Earlier in the afternoon, the Dow Jones industrial average briefly fell more than 150 points as all the major indices declined on the morning's weak GDP report. The advance estimate of first quarter GDP showed an increase of 0.2%, a sharp slowdown from the fourth quarter's 2.2% pace and below expectations of 1% growth. The government cited the strong dollar and the West Coast port strikes as negative factors. The Dow Jones Industrial Average traded down 50 points, or 0.28%, at 18,059. The S&P 500 traded down 6 points, or 0.30%, at 2,108, with health care leading seven laggards and energy the leading advancers. The Nasdaq traded down 28 points, or 0.54%, at 5,027. Gold is trading about 0.7% lower, crude oil is seen trading about 2.6% higher, and the U.S. dollar is seen trading about 0.9% lower at about 2:00pm Chicago time.Tuesday, there were 1,649 contracts traded, down from 2,312 contracts traded on Monday. Open interest – the number of contracts outstanding – on Tuesday decreased by 201 contracts to 11,328.
South Korea Buys 15,000 Tons of NonGlutinous Rice from U.S. and Australia in Tender 8
Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Apr 29, 2015
South Korea's state run Agro Fisheries & Food Trade Corporation (KAFTC) has purchased 15,000 tons of non-glutinous brown rice of the U.S. and Australian origins for delivery between August and September 2015, according to Reuters.The KAFTC purchased 10,000 tons of nonglutinous short-grain brown rice of Australian origin for delivery by September 15, 2015 at around $872.9 per ton; and 5,000 tons of non-glutinous medium-grain brown rice of the U.S. origin for delivery by August 31, 2015 at around $834.67 per ton. KAFTC originally sought to purchase about 87,000 tons of non-glutinous rice via 9 tenders, which closed on April 20, 2015. Electronic bidding for the same took place on April 21, 2015. The KAFTC completed bidding for 72,000 tons of rice via 7 tenders as per schedule on April 21 and postponed bidding for the remaining until testing the samples. It completed bidding for the same today.
South Korea Will Exclude Rice from TPP List of Tariff Concession, Says Agriculture Minister Apr 29, 2015
South Korea's Minister of Agriculture, Food and Rural Affairs has clearly put forth the government's stance to exclude rice from the Trans Pacific Partnership (TPP) deal, according to local sources.He told local sources that the government has decided on excluding rice from the TPP's list of tariff concessions. He was responding to reporters' questions on whether South Korea would lower its barriers against rice imports in order to join the TPP. He hinted that the government would not bend to pressures on lowering its 513% tariff on rice imports or increasing the quota of tariff free rice imports from any particular country. The South Korean government opened it rice market this January ending its 20-year import quota system. It decided to impose a 513% tariff on rice imports over and above its mandatory rice imports of 408,700 tons under the World Trade Organization (WTO) minimum market access (MMA) quota. However, five rice-exporting nations including the U.S., and China have opposed South Korea's stance at the WTO, demanding a cut in the tariff rate. The Minister emphasized that the government would stick to its stance in order to protect the local rice sector. More imported rice at cheap prices is not in the interest of local rice farmers, he said. 9
Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com
The Minister noted that the government's tariff calculation was in line with the WTO standards and only five of the 150 WTO members have been disagreeing to South Korea's tariffs. He reiterated that the government had abided to the WTO obligations all these years despite falling consumption and oversupply of rice.The TPP is also likely to include Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the U.S., Vietnam and Australia.
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