11th november 2014 dailyexclusive rice e newsletter

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Daily November 11,2014

Exclusive ORYZA E-Newsletter

DAILYCompiled EXCLUSIVE ORYZA E-NEWSLETTER th & Edited by Riceplus Magazine

11 November ,2014

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER News Headlines…

 Argentina Exports 431,897 Tons of Rice in First Eight Months of 2014; Up 16% from Previous Year  EU Farmers Union Stresses for Safeguard Clauses Against Rice Imports from EBA Countries  Philippines Rice Consumption Declines 3% in 20062013 Period, Says PSA Report  Pakistan Basmati Rice Prices Follow Global Trend  Pakistan Rice Exporters Seek Higher Rice Export Quota to China  Vietnam Exports 5.46 Million of Tons Rice During January 1 – November 6, 2014  USDA Forecasts U.S. All Rice Production at 10 Million Tons, Up 16% from Last Year  Oryza U.S. Rough Rice Recap – Bearish Market After USDA WASDE Increases Yields; Cuts Exports  Oryza Afternoon Recap – Chicago Rough Rice Futures Fail to Find Support from USDA S&D Report as Estimates Left Little Changed  Modified Cono Weeder – Decreasing Rice Farmer’s Drudgery, Increasing Yields  Oryza Overnight Recap – Chicago Rough Rice Futures Begin Week Slightly Lower but Market is Seen Very Quiet Ahead of USDA S&D Update Due out Later this Week  Global Rice Quotes

News Detail...

Argentina Exports 431,897 Tons of Rice in First Eight Months of 2014; Up 16% from Previous Year Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Nov 10, 2014

Argentina has exported around 431,897 tons of rice in the first eight months of (January – August) 2014, up about 16% from around 370,831 tons exported during the same period in 2013, according to data from the Ministry of Agriculture in Argentina.

Argentina exported around 26,849 tons of rice in August 2014, down about 42% from around 46,450 tons exported in July 2014; and down about 54% from about 57,322 tons exported in August 2013.

Argentina exported around 14,335 tons of rice to Senegal (about 53% of total rice exports in August 2014), around 4,991 tons of rice to Brazil (about 19% of August exports), around 4,302 tons of rice to Bolivia (about 16% of August exports) and around 1,121 tons of rice to Chile (about 4% of August exports). It exported the remaining 8% or around 2,100 tons of rice to Costa Rica, Ecuador, West Germany, Italy, New Zealand, Turkey, and the U.S. USDA estimates Argentina's milled rice production at about one million tons in MY 2014-15 (April – March), against consumption of around 440,000 tons. It estimates Argentina to export around 600,000 tons of rice in MY 2014-15.

Tags: Argentina rice exports, Argentina rice production

EU Farmers Union Stresses for Safeguard Clauses Against Rice Imports from EBA Countries Nov 10, 2014

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

The newly elected Chairman of Copa-Cogeca (The united voice of farmers and their co-operatives in the European Union) Rice Working Party has stressed that the European Union (EU) rice sector is facing threats from increasing rice imports from Least Developed Countries (LDCs) such as Cambodia and Myanmar under the Everything But Arms (EBA) agreement, according to a press release posted on its website.He noted that EU rice imports (milled equivalent) from EBA countries mostly Cambodia and Myanmar) increased about forty times to around 402,000 tons in MY 2013-14 from just 10,000 tons in MY 2008-09. Milled rice imports from Cambodia increased to around 255,000 tons from around 6,012 tons during this period, he added.

The Copa-Cogeca's new Chairman stated that since EU imports mostly milled and semi-milled Indica rice variety from Cambodia, imported rice is directly competing with the locally produced Indica rice variety, which accounts for about 35% of total EU rice production. He stressed that most of the rice imported from EBA countries does not adhere to the standards prescribed by the EU. Further he expressed concern that local EU farmers are pressurized to lower prices to compete with imported rice and consequently are not able to cover their production costs or reap any benefits out of rice production.

He therefore noted that from EBA countries are likely to impact the region's rice sector as farmers and agri-cooperatives may not show any interest in rice production. This will have a negative impact on biodiversity and water and soil quality in the region, he added.The Chairman urged the European Commission (EC) on behalf of Copa-Cogeca to implement the safeguard clauses included in the EBA agreement.

In June this year, Italian government has urged the EU to adopt a safeguard clause on Cambodian rice imports in order to protect competitiveness of the locally produced rice.USDA estimates EU to produce around 1.953 million tons of rice and import around 1.4 million tons in MY 2014-15 (September - August).

Tags: EU rice imports, Eba (Everything but Arms)

Philippines Rice Consumption Declines 3% in 2006-2013 Period, Says PSA Report Nov 10, 2014

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

The annual per capita consumption of rice in the Philippines has declined to around 116.5 kilograms in 2013, down about 3% from around 120 kilograms in 2006, according to the Food Consumption and Nutrition report released by the Philippines Statistics Authority (PSA).The report states that during the same period, the annual per capita production of rice increased about 8% to around 123.9 kilograms in 2013 from around 115.2 kilograms in 2006. The decline in consumption despite an increase in production is understood to be partly due to changing preferences for food items in the country.Rice production index, which measures the capacity of the Philippine agriculture sector to produce food in proportion with the population growth, recorded an increase of around 7.5 percentage points in 2013 compared to that in 2006, according to the report. It stood at around 107.48% in 2013 based on 2006 levels, said the report.

According to the report, rice accounts for around 23.9 grams of protein and 5.7 grams of fats in the Philippines.The Department of Agriculture aims to increase paddy rice production by about 8% to around 20 million tons by 2016 from around 18.44 million tons in 2013. In 2013, the South-East Asian nation achieved a self-sufficiency rate of 96%.

USDA estimates Philippines MY 2014-15 (July - June) paddy rice production at around 19.365 million tons (around 12.2 million tons, basis milled), up about 3% from an estimated 18.822 million tons (around 11.8 million tons, basis milled) in the previous year. It estimates Philippines 2014-15 milled rice imports at around 1.6 million tons, up about 10% from last year. However, USDA estimates the Philippines consumption demand for rice to increase about 3% during the year to around 13.2 million tons from an estimated 12.85 million tons last year.

Tags: Philippines Rice Production, Philippines rice consumption, Philippines rice production index

Pakistan Basmati Rice Prices Follow Global Trend Nov 10, 2014

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Average Pakistan basmati rice export prices declined about 1% in October 2014 after increasing for two consecutive months, according to the UN's Food and Agriculture Organization (FAO).

The decline has been in line with the global rice export prices.According to the FAO, export rice prices in Thailand, Vietnam and India too have been declining since the end of September due to increasing supplies from ongoing harvests and stiff competition between exporting countries.

In October 2014, Pakistan's basmati rice export prices have declined to around $1,435 per ton from around $1,450 per ton in September 2014, but increased about 10% from around $1,310 per ton in October 2013.According to the FAO, Pakistani rice prices averaged around $1,382 per ton during January - October 2014, up about 1% from around $1,367 per ton during the same period in 2013. In terms of local currency, Pakistan's basmati rice prices declined to around PKR 143,787 per ton (using historical exchange rates) in October 2014, down about 3% from around PKR 147,900 per ton in September 2014, and up about 4% from around PKR 138,860 per ton in October 2013.

Tags: Pakistan basmati rice prices, FAO

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Pakistan Rice Exporters Seek Higher Rice Export Quota to China Nov 10, 2014

Pakistan rice exporters are seeking to increase rice export quota to China to around 750,000 tons annually from the current 500,000 tons, according to local sources.They have written to the Trade Development Authority of Pakistan (TDAP) and the Pakistan embassy in Beijing to take up the issue of increase China's rice import limit from Pakistan during the their Prime Minister's visit to China.The exporters noted that Pakistani rice highly regarded in China and Chinese importers are keen on importing more rice from Pakistan but the low import quota is deterring them from doing so. They particularly want TDAP and the Pakistan embassy in Beijing to enhance import quota for Pakistan’s basmati rice.

Pakistan rice exporters stated in the letter that China is spending about $30 per ton to export rice from Thailand and therefore if Chinese increase their import limit from Pakistan, China could get better quality rice at much lower prices. They added that Pakistan rice exporters are striving to improve quality of their rice in line with Chinese standards.Separately, the President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) urged the government to oppose India's stance to provide higher subsidies to Indian rice farmers at the World Trade Organization (WTO). He noted that India's stance is reducing competitiveness of Pakistan rice in the international market. He further added that Pakistan farmers cannot get so much subsidies as their Indian counterparts due to International monetary Fund's (IMF) conditions.

Pakistan has exported around 602,759 tons of rice, including basmati and non-basmati, in the first three months of FY 2014-15 (July 2014 - June 2015), down about 5% from around 635,637 tons exported during the same period in FY 2013-14. The South-Asian nation exported around 3.16 million tons of rice in the fiscal year 2013-14 (July 2013 - June 2014), which is down about 7% from around 3.4 million tons of rice exported in FY 2012-13.

Tags: Pakistan rice exports to China

Vietnam Exports 5.46 Million of Tons Rice Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

During January 1 – November 6, 2014 Nov 10, 2014

Vietnam exported around 5.458 million tons of rice in January 1 - November 6, 2014, down about 12% from around 6.17 million tons of rice exported during January - November, 2013, according to data from the Vietnam Food Association (VFA). Average rice export price so far in this year stands at around $436 per ton (FOB), up about $5 per ton from same time last year.

During November 1-6, 2014, Vietnam exported around 98,513 tons of rice, down about 76% from around 410,423 tons rice exported in full month of November 2013, and down about 83% from around 570,769 tons rice exported in full month of October 2014. Average export prices in so far in November stands at around $443 per ton, up about 5% per ton almost unchanged from a year ago, and down about 5% per ton from a month ago.

Tags: Vietnam rice exports, Vietnam rice prices, VFA

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

USDA Forecasts U.S. All Rice Production at 10 Million Tons, Up 16% from Last Year Nov 10, 2014

In its latest World Agricultural Supply and Demand Estimates (WASDE) report, USDA has forecasted the 2014-15 U.S. all rice production at around 10.03 million tons, up about 16.5% from an estimated 8.61 million tons in 2013-14, and slightly up from its last month's forecasts of around 10.01 million tons due to an expected increase in the average all rice yield in Arkansas, Missouri and Texas. USDA estimates 2014-15 all rice yield at around 8.547 tons per hectare, down about 1.3% from an estimated 8.66 tons per hectare last year.

USDA estimates the U.S. long grain rice production at around 7.27 million tons, up about 22% from an estimated 5.98 million tons in 2013-14, and slightly up from its last month's forecasts of around 7.26 million tons. It estimates the U.S. medium-and short-grain rice production at around 2.76 million tons, up about 5% from an estimated 2.63 million tons in 2013-14, and slightly up from its last month's forecasts of around 2.75 million tons.

According to the USDA November WASDE estimates, the U.S. all rice supply in 2014-15 is forecast to increase about 10% y/y to around 12.42 million tons, while U.S. all rice total use (including exports and domestic & residual use) is forecast to increase about 8% y/y to 10.57 million tons. USDA estimates U.S. all rice exports to increase about 9% to around 4.63 million Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

tons in 2014-15. While exports of long-grain rice are estimated to increase about 8% to around 3.08 million tons, exports of combined medium- and short-grain rice are estimated to increase about 11.5% to around 1.54 million tons.

U.S. all rice ending stocks during the year are estimated to increase 25% y/y to around 1.86 million tons. While ending stocks of long-grain rice are estimated to increase about 44% to around 1.27 million tons, ending stocks of combined medium- and short-grain rice are estimated to decline about 6% to around 480,000 million tons.

USDA estimates the 2014-15 all rice average farm price to decline to around $313.05-$335.10 per ton due to decline in the average farm prices of long grain rice to around $268.96-$291.00 per ton. Average farm prices of combined medium- and short- grain rice at around $418.87$440.92 per ton.

Tags: USDA WASDE estimates, U.S. rice production

Oryza U.S. Rough Rice Recap – Bearish Market After USDA WASDE Increases Yields; Cuts Exports Nov 10, 2014

The U.S. cash market was weaker today after the USDA WASDE report showed a 0.3 million cwt (13,608 tons) increase in U.S. long grain production which was due solely to increased yields.

At the same time, the USDA decreased long grain export projection by 2.0 million cwts (90,719 tons). This is turn, increased their 2014/2015 long grain carry over projection from 25.7 million cwts (1,165,734 tons) to 28.0 million cwts (1,270,060 tons) which was decidedly bearish for prices.

Tags: U.S. rice prices; U.S. rice market

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Oryza Afternoon Recap – Chicago Rough Rice Futures Fail to Find Support from USDA S&D Report as Estimates Left Little Changed Nov 10, 2014

Chicago rough rice futures for Jan delivery settled 14.5 cents per cwt (about $3 per ton) lower at $11.970 per cwt (about $264 per ton). Rough rice futures made another leg lower, once again breaking through and this time closing below psychological support noted at $12.000 per cwt (about $265 per ton). Today’s USDA S&D report failed to provide any surprises in the form of supportive news and thus prices slipped lower continuing their trek towards lower prices as indicated by the bearish technical outlook. Today’s failure at the previously mentioned point of support is seen as a further negative development and an indication that prices will likely continue lower until ultimately testing the lows put in place two weeks ago. The other grains finished the day with mixed results; Soybeans closed about 1.1% lower at $10.2575 per bushel; wheat finished about 0.5% lower at $5.1725 per bushel, and corn finished the day about 0.5% higher at $3.6925 per bushel.

U.S. stocks stepped modestly higher on Monday, lifting benchmarks to records, as investors tracked corporate results as the earnings season starts to wind down. After toppling its intraday record high hit Friday, the Dow Jones Industrial Average was lately up 29.14 points, or 0.2%, to 17,603.07. Also hitting an all-time high, the S&P 500 rose 4.70 points, or 0.2%, to 2,036.62, with health care advancing the most and energy the leading laggard among its 10 major industry groups. The Nasdaq added 11.84 points, or 0.4%, to 4,644.37. On Friday, U.S. stocks wavered, with the S&P 500 and Dow industrials setting their loftiest finishes, after data had the U.S. economy producing less-than-expected jobs in October and the unemployment rate declining to a six-year low. Gold is trading about 1.1% lower, crude oil is seen trading about 1.4% lower, and the U.S. dollar is seen trading about 0.1% higher at about 1:00pm Chicago time.

Friday, there were 401 contracts traded, down from 987 contracts traded on Thursday. Open interest – the number of contracts outstanding – on Friday decreased by 48 contracts to 9,765.

Tags: chicago rough rice futures

Modified Cono Weeder – Decreasing Rice Farmer’s Drudgery, Increasing Yields Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Nov 10, 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 and modified cono weeder approach to rice cultivation in this concluding part of this two-part interview series.

Oryza: Why did KVK modify the cono weeder and what changes were made?

KVKTeam: Initially the cono weeeder, which is meant for weeding in wetland paddy field and designed for SRI (System of Rice Intensification), was being used to weed out the paddy field.

However, soon enough, farmers found it difficult as the inter row spacing in drum-seeder is 20 cms while it is 25 cm spacing in 'SRI' method. KVK modified this two-wheeled cono weeder by decreasing the width of these wheels so that they fitted comfortably for the spacing in drum‐ seeder method. After experimenting with single wheeled cono weeders also, KVK contacted an agri‐tools manufacturer in Warangal in south India to design a single wheeled cono weeder with a width of 12.5 cm fit to run in between the rows even at 30‐ 40 days after sowing. From among three models of power weeders, KVK chose the one that minimized drudgery to farmers.

Oryza: What are the innovations that KVK Chittoor has tried out to better rice yields?

KVKTeam: If there is a heavy downpour on the same day or next day of seeding with drum‐ seeder, the farmers put a thin layer of water covering the seed and protecting it from directly being hit by the splash of rain water. Soon after the rain stops, they remove the water layer. This process avoids disturbance of rows as well as tilting of the seed below the soil which otherwise affects germination. The farmers also noticed that application of inorganic fertilizers as basal dose is intensifying the weeds. KVK advised them to apply only Phosphatic fertilizers as basal dose and use Nitrogenous and Potassic fertilizers as top dressing starting from 20 days after sowing.

Oryza: What do you think should the local governments do to improve rice yields?

KVKTeam: Government should increase the subsidy component from the current 50 percent to 75 percent so that every farmer can own a drum-seeder and con-weeder to conduct timely farm operations at his farm.

There should be an increase in subsidy component of the power weeders and this should be included in the custom hiring centres of department of Agriculture of the state.

- The agriculture ministry should promote entrepreneurs who can fasten the pace of adoption of new farming technology and include entrepreneurship development as part of all technology

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

transfer programmes.

Tags: Rice, India, rice news, cono weeder, seed breeding

Oryza Overnight Recap – Chicago Rough Rice Futures Begin Week Slightly Lower but Market is Seen Very Quiet Ahead of USDA S&D Update Due out Later this Week Nov 10, 2014

Chicago rough rice futures for Jan delivery are currently noted 4 cents per cwt (about $1 per ton) lower at $12.075 per cwt (about $266 per ton) during early morning floor trading in Chicago.

The other grains are seen trading higher: soybeans are currently seen about 1% higher, wheat is listed about 0.9% higher and corn is noted about 0.9% higher.

U.S. stocks wavered on Monday, after benchmark indexes climbed for a third week to records, as investors tracked corporate results as the earnings season starts to wind down. Of the 442 S&P 500 companies to report earnings through Friday, 74.2% topped Wall Street estimates, with earnings expected to increase 9.8% from the year-earlier period, according to data compiled by Thomson Reuters. After toppling its intraday record high hit Friday, the Dow Jones Industrial Average was lately down 26.03 points, or 0.2%, to 17,547.90. The S&P 500 lost nearly a point to 2,031.06, with energy faring best and telecommunications the poorest performer among its 10 major industry groups. The Nasdaq shed a point to 4,631.56. Gold is currently trading about 0.6% lower, crude oil is seen trading about 0.3% lower, and the U.S. dollar is currently trading about flat at 9:00am Chicago time.

Tags: chicago rough rice futures

Global Rice Quotes November 11th, 2014

Long grain white rice - high quality Thailand 100% B grade 425-435

↔

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November 11,2014

DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Vietnam 5% broken India 5% broken Pakistan 5% broken Cambodia 5% broken U.S. 4% broken Uruguay 5% broken Argentina 5% broken

430-440 410-420 395-405 465-475 540-550 595-605 595-605

↔ ↔ ↔ ↔ ↔ ↔ ↔

Long grain white rice - low quality Thailand 25% broken Vietnam 25% broken Pakistan 25% broken Cambodia 25% broken India 25% broken U.S. 15% broken

NQ ↔ 390-400 350-360 NQ ↔ 370-380 510-520

↔ ↔ ↔ ↔

Long grain parboiled rice Thailand parboiled 100% stxd 410-420 ↔ Pakistan parboiled 5% broken stxd 425-435 India parboiled 5% broken stxd 390-400 ↔ U.S. parboiled 4% broken 580-590 ↔ Brazil parboiled 5% broken 585-595 ↔ Uruguay parboiled 5% broken NQ ↔

↔

Long grain fragrant rice Thailand Hommali 92% 865-875 Vietnam Jasmine 560-570 ↔ India basmati 2% broken NQ ↔ Pakistan basmati 2% broken NQ ↔ Cambodia Phka Malis 835-845 ↔

↔

Brokens Thailand A1 Super 330-340 ↔ Vietnam 100% broken 330-340 ↔ Pakistan 100% broken stxd 320-330 Cambodia A1 Super NQ ↔ India 100% Broken stxd 310-320 Egypt medium grain brokens NQ ↔ U.S. pet food 445-455 ↔ Brazil half grain NQ ↔

↔ ↔

All prices USD per ton, FOB vessel, oryza.com

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