18th november,2013 daily rice e newsletter (global rice news) by riceplus magazine

18th November , 2013

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Rice, corn seen below production targets Rice: An alternative source of animal feed Govt may raise import ceiling of U.S. rice Rice, corn prices stable during Yolanda Sumitomo bullish on PH rice production Rice supply sufficient despite relief operations Four blocks set to record good paddy yield

 Nagpur Foodgrain Prices Open-Nov 18  TABLE-India Grain Prices-Delhi-Nov 18  Retail traders keep away from rice market Government shrugs off rice programme concerns

NEWS DETAILS:

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Rice, corn seen below production targets November 18, 2013 10:10:16 PM

PRODUCTION of rice and corn this quarter is expected to be less than forecasted by the Bureau of Agricultural Statistics (BAS) due to the damage to agriculture by super typhoon Yolanda, the Department of Agriculture (DA) chief said yesterday."Our output will be lower," DA Secretary Proceso J. Alcala said yesterday, in an interview on the sidelines of the agency‘s budget hearing in the Senate, when asked how Yolanda (international name Haiyan) will impact the rice and corn production outlook for the fourth quarter.In its Rice and Corn Situation and Outlook report released last Friday, BAS said that palay production was to increase by 10.3% to 7.22 million metric tons in the fourth quarter from 6.54 million MT in the same period last year.Corn production, on the other hand, was forecast to reach 1.45 million MT, 3.8% less than the 1.51-million-MT output of the fourth quarter of 2012.However, the BAS report did not take into account the eight typhoons that hit the country since October, particularly super typhoon Yolanda.

Yolanda, described as the world‘s most powerful storm this year, battered the central Philippines more than a week ago, sending tsunami-like waves onshore with sustained winds of over 300 kilometers per hour.Thus, Mr. Alcala said it will be challenging for the government to hit its target 3-5% growth in farm output this year.Even without Yolanda, however, production is already short of the target as it increased only 1.1% in the first nine months of the year.Rolando T. Dy, executive director of the University of Asia and the Pacific‘s Center for Food and Agribusiness, said upon the release of the report that agriculture growth would have to hit 6% in the fourth quarter for the full-year goal to be achieved."That will be difficult to attain. Yolanda came in the fourth quarter and severely hit the central Philippines, which accounts [for] 17% of the whole agricultural production," he said."If the fourth-quarter agricultural output becomes negative because of Yolanda, the full year might even be negative," Mr. Dy added.Agriculture output accounts for about a fifth of gross domestic product, thirdquarter data for which is scheduled to be released before the end of the month. -- Daryll Edisonn D. Saclag with a report from CENP

Rice: An alternative source of animal feed The Japanese government may give production incentives to rice farmers to grow rice for animal feed instead of human consumption, informed sources said.Since plans have been proposed for terminating the state's decades-old rice output control system, the Liberal Democratic Party-led government is reviewing the current subsidies to see if the shift can be encouraged, since rice production for human consumption far outstrips demand, the sources said.The programme currently pays a fixed subsidy of

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¥80,000(€593) for every 1,000 sq. meters of paddies that are newly converted to grow rice for animal feed. But the ruling coalition is considering reducing this amount to ¥60,000(€444) while offering an additional subsidy of up to ¥40,000(€297) in line with crop yields, the sources said.This would raise the maximum subsidy for crop changes to ¥100,000 (€740), the sources stressed. The LDP and minor coalition partner New Komeito aim to reach a final decision on the programme by the end of the month.The proposed performance-based subsidy is expected to encourage the production of rice for animal feed. The government hopes to promote the use of varieties that produce heavier yields so that many producers of feed rice will receive higher subsidies than they do now, according to the sources.The ruling wants to promote rice for animal feed due to concerns that terminating the "gentan" rice reduction system will exacerbate the national glut of the crop, causing prices to slump even more.Japan imports 10 million tons of corn annually because it's a key ingredient in formula feed.

There are concerns, however, that corn prices could soar amid tight global supply, making rice for animal consumption a possible alternative.The potential demand for animal rice is estimated at 4.53 million tonnes a year, according to government projections. Some 560,000 tonnes were produced in fiscal 2012.But the LDP and New Komeito have been unable to form a consensus on a planned fiscal 2014 cut in the "gentan" subsidy, which pays farmers ¥15,000(€111) for every 1,000 sq. meters of paddies if they control rice production in line with the government's plans. The two parties canceled a working-level meeting Friday on the proposal.

Japan Times

Govt may raise import ceiling of U.S. rice November 18, 2013

The Yomiuri ShimbunThe government has started deliberations on raising the ceiling for rice imported from the United States in connection with the Trans-Pacific Partnership trade negotiations, according to sources.In the TPP negotiations on tariffs, the United States and other countries taking part are calling for eliminating tariffs on all trade items, including farm products. By increasing rice imports from the United States, Japan hopes Washington will accept this country‘s desire to maintain tariffs on rice.However, it is yet to be seen whether Washington will accept this plan.It is also possible that this formula of raising the import ceiling while maintaining the tariffs could be applied to other products with high tariffs.Japan uses the so-called minimum access rice system based on rules set by the World Trade Organization. Under the system, a certain amount of foreign rice is imported without tariffs. The government imposes a tariff of ¥341 per kilogram of rice imported outside this system.

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Based on the Uruguay Round agreement in 1993 by the General Agreement on Tariffs and Trade, the predecessor of the WTO, Japan managed to avoid the abolition of tariffs on rice. Instead, the government has been obligated to import a certain amount of foreign rice—minimum access rice—since fiscal 1995.Currently, the amount of minimum access rice imported is 770,000 tons per year. It includes 360,000 tons from the United States, 280,000 tons from Thailand, 50,000 tons from China and 60,000 tons from Australia.Of the minimum access rice, 100,000 tons is rice for human consumption and imported without the government designating the countries of origin. The remaining 670,000 tons is used for processing and other purposes, and its countries of origin are designated by the government. Therefore, it is possible to decide how much to import and from which country. By increasing imports of minimum access rice produced in the United States, the government hopes to gain Washington‘s understanding on maintaining the high tariff rate on imported rice. To do so, the government is considering decreasing the import quota of rice from other countries, such as Thailand, and not to increase the total amount of minimum access rice.The government intends to firmly maintain its policy to keep rice and four other food item groups as the five important items that should be treated as exceptions to the abolition of tariffs.

The other four are ―wheat and barley,‖ ―beef and pork,‖ ―dairy products‖ and ―products used as sweetener resources,‖ such as sugar cane. However, other countries participating in the TPP negotiations are aiming for high-level trade liberalization in their negotiations over tariffs.

Some government officials have proposed setting special quotas for importing a limited amount of each of the four other ―sanctuary items‖ with low or no tariffs. If the government increases the import quota of rice from a certain country within the fixed amount of minimum access rice, then it is possible that other countries participating in the TPP negotiations will demand special quotas as well.

Rice, corn prices stable during Yolanda

BY RAPPLER.COM POSTED ON 11/18/2013 6:56 PM | UPDATED 11/18/2013 7:37 PM STABLE. Prices of rice and corn were stable in the week Yolanda wrecked havoc in Visayas. Photo from the International Rice Research Institute

MANILA, Philippines – Farm gate and wholesale prices of palay and corn were stable in the week Typhoon Yolanda (Haiyan) battered the Visayas, according to the Bureau of Agricultural Statistics (BAS).Farm gate prices of palay and corn were lower during the week of November 6 to 12 compared to the previous week, data released by BAS showed.Yolanda, one of the world's strongest typhoon on record, devastated the Visayas

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region on November 8, wiping out entire towns, killing thousands of people and displacing hundreds of thousands more.Prices of palay and corn per kilogram from November 6 to 8 were as follows:  Farm gate price of palay - P17.33, down by 0.14% from the previous week  Farm gate price of yellow corn grain - P11.63, down 0.83% from previous week  Farm gate price of white corn - P14.28, down     

0.27% from previous week Average wholesale price of well-milled rice - P35.91, down 0.54% Average retail price of well-milled rice - P38.41, down 0.55% Average retail price of regular milled rice - P 35.35 per kilogram, down 0.59% from previous week Average wholesale price of yellow corn - P16.28, up 0.01% from previous week Average retail of yellow corn grain - P19.65, down by 0.79% from previous week

The National Food Authority (NFA) earlier said it augmented the supply of rice in Region VIII, which was badly affected by Yolanda.The agency sourced stocks from other regions. Regions IV, V, VI, VII, X and Caraga gave 3,314, 8,246, 14,664, 9,909, 300 and 7,415 bags, respectively.

The Department of Agriculture (DA) recorded that a total of 137,225 metric tons of rice planted on 81,056 hectares of land were lost due to Yolanda. Only half of the volume may still be recovered.The DA, however, stressed that the extent of damage to rice lands will not significantly affect the country's palay production target of more than 20 million MT for 2013. – Rappler.com

Sumitomo bullish on PH rice production

By Ronnel W. Domingo:Philippine Daily Inquirer 8:38 am | Monday, November 18th, 2013

MANILA, Philippines—The government‘s efforts to make the Philippines self-sufficient in rice production put the country in Sumitomo Chemical group‘s list of priority markets, particularly for its herbicides.Industry figures show that the domestic herbicide market is valued at between P1 billion and P1.5 billion yearly.Group officials said its local unit, Sumitomo Chemical Philippines Inc. has shown ―very strong‖ growth since it was established in 2008.Lawrence Yu, head of Sumitomo Chemical‘s health and crop sciences business in South Asia Pacific, said in an interview the Philippines is considered among the company‘s key markets, particularly because rice production has become a very important topic in the country.―The Philippines used to be the

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world‘s top rice importer and now it is almost self-sufficient (in rice production), although not yet,‖ Yu said.He said that with the government‘s push for rice self-sufficiency, Sumitomo Chemical‘s growth opportunity here is ―immense.‖ Yu did not elaborate, but based on the company‘s financial results for the fiscal year that ended last March 31, shipments of herbicides and other crop-protection products rose, especially in overseas markets, due to increased production capacity and sales expansion.―The Philippine herbicide market is changing very fast [as farmers] are looking for safer, better performing and economical products,‖ Yu said.―We expect very good growth in the coming years,‖ he said, adding that a main driver of growth is the roll-out of products that were developed through the company‘s research initiatives.On Friday, Sumitomo Chemical launched in the Philippines its ―Zeta One‖ herbicide, which is said to be able to remove even the most resilient and prevalent kinds of weeds in irrigated rice paddies.

According to Kimitoshi Umeda, general manager of the marketing department at Sumitomo International‘s crop protection division, the Philippines is only the fourth country where Zeta One was introduced.The product— rolled out initially in Japan and then in South Korea and Vietnam—is being imported into and distributed in the Philippines by Leads Agricultural Products Corp.―It is good timing for this [product] introduction considering the Philippines‘ efforts to attain self-sufficiency,‖ Umeda said. ―This herbicide can benefit the country and the farmers with lower labor cost [related to weeding] and increased yield.‖

Rice supply sufficient despite relief operations BY: LEONARD T. PINEDA I Saturday 16th of November 2013 National Food Authority (NFA)-6 Regional Director Alan B. Borja assured that the rice supply in the region is sufficient despite the increase in demand due to relief operations in typhoon-affected local government units (LGUs) in the provinces.Borja said that the supply situation is normal, procurement operations are on-track, and the prices are normal and have not increased as much.―There is nothing to worry about rice supply in the region for we are one step ahead of our activities and another rice harvest is coming up,‖ said Borja.He said that the amount of rice that NFA-6 has issued to the different LGUs and organizations that requested it is already worth P32,926,230.00 or equivalent to 26,341 bags.He also said that the Department of Social Welfare and Development (DSWD)-6 has requested an additional 5,000 bags of rice for each province.The NFA official said that the only worry of the agency is the continuance of power interruptions that may affect the milling operations.―Nevertheless, we are prepared and we have already requested from NFA Manila and other regions for augmentation of supply here which can arrive in one week,‖ he assured.He added that during his monitoring throughout the region after the onslaught of the typhoon, he has seen that rice harvest is still continuous and palay is already being dried along the road. (JCM/LTP-PIA6 Iloilo)

Four blocks set to record good paddy yield TOPICS: Agriculture:Tamil Nadu:Madurai,economy, business and finance,agriculture

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Govt opens 24 DPCs in four blocks Paddy harvest, now under way in the four blocks of the district, will result in good yield, according to officials in the agriculture department. On an average, 7.5 tonne to 8.5 tonne per hectare is expected, which is considered ‗good‘ yield.A total of 10,687 hectares were covered in Madurai west, Madurai east, Vadipatti and Alanganallur blocks in the district, which are double crop areas. Initially, there were hiccups and apprehensions among small and marginal farmers, but as days passed, the adequate water storage in reservoirs led to brisk farming.Though the farmers expected more price for the yield, the government had fixed Rs.14.10 per kilogram of paddy (fine grain variety) and Rs.13.60 per kg for the next quality.A few days ago, Minister for Cooperation ‗Sellur‘ K. Raju opened a Direct Procurement Centre at Kulamangalam and appealed to the agriculturalists to make use of the DPCs.According to officials, Collector L. Subramanian had given a blanket permission to the officials to open DPCs wherever required.―After examining the feasibility, they would be opened for the benefit of farmers,‖ they added.Joint Director (Agriculture) Jayasingh Gnandurai said as there was no farming operation last season, the yield would be good now.

Keywords: Paddy harvest, Direct Procurement Centres In Photo: The HinduPaddy being marketed at a Direct Procurement Centre. File photo.

Nagpur Foodgrain Prices Open-Nov 18 Mon Nov 18, 2013 2:17pm IST Nagpur, Nov 18 (Reuters) - Gram and tuar prices in Nagpur Agriculture Produce and Marketing Committee (APMC) firmed up again on renewed demand from local millers amid weak supply from producing regions. Fresh rise on NCDEX in gram, upward trend in Madhya Pradesh gram prices and weak overseas tuar supply also pushed up prices, according to sources. *

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FOODGRAINS & PULSES GRAM * Gram varieties jacked up in open market on renewed marriage season demand from local traders amid weak supply from producing belts.

TUAR * Tuar varieties reported healthy rise in open market on renewed demand from local

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traders amid thin arrival from producing regions. * Moong varieties shot up in open market on increased buying support from local traders amid restricted supply from producing belts. * In Akola, Tuar - 4,300-4,450, Tuar dal - 6,500-6,700, Udid at 4,800-5,100, Udid Mogar (clean) - 5,700-6,000, Moong - 6,200-6,600, Moong Mogar (clean) 7,400-7,600, Gram - 3,300-3,500, Gram Super best bold - 4,400-4,600 for 100 kg. * Wheat, rice and other commodities remained steady in open market in thin trading activity, according to sources.

Nagpur foodgrains APMC auction/open-market prices in rupees for 100 kg FOODGRAINS Available prices Previous close Gram Auction 2,530-2,870 2,500-2,800 Gram Pink Auction n.a.

2,100-2,600 Tuar Auction 3,850-4,200 3,850-4,110 Moong Auction n.a.

4,300-4,500 Udid Auction n.a.

4,300-4,500 Masoor Auction n.a.

2,600-2,800 Gram Super Best Bold 4,400-4,800 4,200-4,600 Gram Super Best n.a.

Gram Medium Best 4,000-4,300 3,850-4,100 Gram Dal Medium n.a. n.a.

Gram Mill Quality 3,700-3,750 3,700-3,750 Desi gram Raw 3,500-3,550 3,450-3,550 Gram Filter Yellow n.a. n.a.

Gram Kabuli 7,700-9,900 7,700-9,900 Gram Pink 7,700-8,100 7,700-8,100 Tuar Fataka Best 6,900-7,100 6,800-7,000 Tuar Fataka Medium 6,600-6,700 6,500-6,600 Tuar Dal Best Phod 6,300-6,400 6,200-6,300 Tuar Dal Medium phod 6,100-6,200 6,000-6,100 Tuar Gavarani 4,400-4,500 4,350-4,500 Tuar Karnataka 4,650-4,750 4,650-4,750 Tuar Black 7,000-7,100 7,000-7,100 Masoor dal best 5,200-5,300 5,200-5,300 Masoor dal medium 4,800-4,900 4,800-4,900 Masoor n.a. n.a.

Moong Mogar bold 8,000-8,400 7,800-8,100

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Moong Mogar Medium best 7,700-7,900 7,200-7,600 Moong dal super best 7,000-7,200 6,700-6,900 Moong dal Chilka 6,400-6,750 6,200-6,600 Moong Mill quality n.a. n.a.

Moong Chamki best 7,000-7,200 7,000-7,200 Udid Mogar Super best (100 INR/KG) 6,200-6,500 6,200-6,500 Udid Mogar Medium (100 INR/KG) 5,400-6,000 5,400-6,000 Udid Dal Black (100 INR/KG) 5,100-5,300 5,100-5,300 Batri dal (100 INR/KG) 3,600-3,700 3,600-3,700 Lakhodi dal (100 INR/kg) 2,900-3,000 2,900-3,000 Watana Dal (100 INR/KG) 3,350-3,450 3,350-3,400 Watana White (100 INR/KG) 3,300-3,400 3,250-3,400 Watana Green Best (100 INR/KG) 8,100-8,500 8,100-8,500 Wheat 308 (100 INR/KG) 1,600-1,700 1,600-1,700 Wheat Mill quality(100 INR/KG) 1,700-1,750 1,700-1,750 Wheat Filter (100 INR/KG) 1,700-1,900 1,600-1,800 Wheat Lokwan best (100 INR/KG) 1,850-2,300 1,850-2,300 Wheat Lokwan medium (100 INR/KG) 1,700-1,900 1,700-1,900 Lokwan Hath Binar (100 INR/KG) n.a. n.a.

MP Sharbati Best (100 INR/KG) 3,100-3,600 3,100-3,600 MP Sharbati Medium (100 INR/KG) 2,600-2,900 2,600-2,900 Wheat 147 (100 INR/KG) 1,400-1,500 1,400-1,500 Wheat Best (100 INR/KG) 1,500-1,600 1,500-1,600 Rice BPT (100 INR/KG) 2,950-3,200 2,700-3,200 Rice Parmal (100 INR/KG) 2,200-2,500 2,200-2,500 Rice Swarna Best (100 INR/KG) 2,300-2,500 2,300-2,500 Rice Swarna Medium (100 INR/KG) 2,000-2,200 2,000-2,200 Rice HMT (100 INR/KG) 4,000-4,200 4,000-4,200 Rice HMT Shriram (100 INR/KG) 4,700-5,000 4,700-5,000 Rice Basmati best (100 INR/KG) 9,000-12,500 9,000-12,500 Rice Basmati Medium (100 INR/KG) 6,000-7,500 6,000-7,500 Rice Chinnor (100 INR/KG) 4,950-5,150 4,950-5,150 Rice Chinnor Medium (100 INR/KG) 4,600-4,800 4,600-4,800 Jowar Gavarani (100 INR/KG) 1,500-1,650 1,500-1,650 Jowar CH-5 (100 INR/KG) 1,800-1,900 1,800-1,900 WEATHER (NAGPUR) Maximum temp. 28.2 degree Celsius (82.8 degree Fahrenheit), minimum temp.

13.8 degree Celsius (56.8 degree Fahrenheit) Humidity: Highest - n.a., lowest - n.a.

Rainfall : nil FORECAST: Mainly clear sky. Maximum and Minimum temperature likely to be around 29 and 13 degree

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Celsius respectively.

Note: n.a.--not available (For oils, transport costs are excluded from plant delivery prices, but included in market prices.)

TABLE-India Grain Prices-Delhi-Nov 18 Mon Nov 18, 2013 2:02pm IST TABLE-India Grain Prices - Delhi - Nov 18 Rates by Asian News International, New Delhi Tel: 011 2619 1464 Indicative Previous Grains opening close (in rupees per 100 kg unless stated) ---------------------------------------------------------Wheat Desi 2,300-2,600 2,300-2,600.

Wheat Dara 1,700-1800 1,700-1800.

Atta Chakki (per 10 Kg) 215-240 215-240.

Roller Mill (per bag) 1,770-1870 1,750-1850.

Maida (per bag) 1,810-1,910 1,845-1,945.

Sooji (per bag) 1,800-1,900 1,800-1,900.

Rice Basmati(Sri Lal Mahal) 12,000 12,000.

Rice Basmati(Lal Quila) 11,500 11,500.

Rice Basmati(Common) 7,300-7,800 7,300-8,000.

Rice Permal 2,400-2,000 2,400-2,000.

Rice Sela 3,200-3,300 3,200-3,300.

I.R.-8 2,350-2,450 2,300-2,400.

Gram 3,400-3800 3,400-3,800.

Peas Green 3,400-3,550 3,400-3,550.

Peas White 2,650-2,715 2,650-2,715.

Bajra 3,170-3,370 3,170-3,370.

Jowar white 2,450-2,650 2,400-2,600.

Maize 1,600-1,650 1,600-1,650.

Barley 1,325-1,455 1,325-1,455.

Guwar 3,325-3,900 3,325-3,900.

Source: Delhi grain market traders.

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(Bangalore Commodity Desk, +91-080 6677 3555 ,e-mail: commodities@reuters.com)

Retail traders keep away from rice market KARNAL, NOV. 18:

The rice market witnessed a mixed trend on Monday.After rising last week, Pusa-1121 and Sharbati varieties witnessed some correction, while all other aromatic and non-basmati varieties remained unchanged.―The rally over the last weeks was unjustified. Therefore, prices of Pusa-1121 varieties dropped,‖ said Amit Chandna, proprietor of Hanuman Rice Trading Company.Retail traders are keeping away from the market as they are reluctant to make fresh purchases at current levels, he said. Domestic demand is not picking up and rice prices may rule range-bound this week, said market experts.In the physical market, Pusa-1121 (steam) eased by Rs 200 and sold at Rs 9,100, while Pusa-1121 (sela) moved down by Rs 400 and quoted at Rs 8,000 a quintal.Pure Basmati (Raw) quoted at Rs 12,700 . Duplicate basmati (steam) sold at Rs 7,500 .In the non-basmati section, Sharbati (Steam) decreased by Rs 400 and sold at Rs 5,500 while Sharbati (Sela) quoted at Rs 5,200 , Rs 300 down.Permal (raw) sold at Rs 2,350-2,400 while Permal (sela) was at Rs 2,400 . PR-11 (sela) sold at Rs 3,300 while PR-11 (Raw) quoted at Rs 3,000-3,100 .

PR14 (steam) sold at Rs 3,400 .

PADDY ARRIVALS

About 20,000 bags of PR paddy arrived and quoted at Rs 1,300, around 30,000 bags of Pusa-1121 arrived and sold at Rs 3,700-4,000, while 10,000 bags of Sharbati arrived and sold at Rs 2,300-50. Around 5,000 bags of Duplicate Basmati arrived and went for Rs 3,800, while 1,000 bags of Pure Basmati sold at Rs 5,700-5,900.

Some 5,000 bags of Sugandha-999 were sold at Rs 2,950 a quintal.

(This article was published on November 18, 2013) Keywords: Rice market, mixed trend, Hanuman Rice Trading Company

Government shrugs off rice programme concerns Published: 18 Nov 2013 Newspaper section: Business

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Despite mounting complaints by rice farmers over late payments in the government's rice pledging scheme, the national rice policy committee has yet to call a meeting about the issue.The government has meanwhile reaffirmed it will move ahead with the controversial, costly and loss-ridden scheme despite increasing calls from critics at home and abroad to ditch it.Deputy Prime Minister and Commerce Minister Niwatthamrong Bunsongphaisan said the committee has not felt it urgent to call a new meeting.He insists the scheme's liquidity remains strong and is sufficient to pay participating farmers this week.

The International Monetary Fund (IMF) last week suggested Thailand drop the subsidies for rice growers, saying uncertainty and a lack of data have undermined confidence in the country's public finances.In its report, the IMF said with the pledging prices about 40% above market prices, the government will inevitably incur losses as long as the scheme remains unchanged.It also suggested the Thai government replace the paddy scheme with other subsidies that are more effective in supporting households such as for education or employment chances for young workers.Nipon Puaopongsakorn, a former president of the Thailand Development Research Institute, believes the government is having trouble finding new capital for the scheme and that the programme will end in the foreseeable future.The government has spent as much as 680 billion baht in four harvest seasons over the last two years but could sell only 135 billion worth so far.The government has allocated another 270 billion baht to finance the 2013-14 main crop.Buying started last month, with more than 2 million tonnes of paddy already obtained from rice farmers.

"The scheme will be discarded sooner or later," said Mr Nipon. "It not only destroys the country's overall rice market but also affects other parts of the government's budget that would be better used to finance infrastructure development."

Luck Wajananawat, chief of the state-owned bank Bank for Agriculture and Agricultural Cooperatives (BAAC), early this month admitted rice farmers who pledged their paddy under the scheme for the main crop starting from October face late payments, as the government lacks funding.Dwindling government liquidity for the scheme is due to the BAAC running out of borrowing authority for the pledging.Its planned 140-billion-baht loan using a Finance Ministry guarantee to fund the current harvest's 270-billion-baht budget will be put in the Public Debt Management Office's borrowing plan next January.Delays in the Commerce Ministry's rice stockpile sales have also been blamed for the liquidity crunch.The government said it plans to buy 16.5 million tonnes in the current harvest year.The remaining 130 billion baht in the 270-billion budget will come from state rice stockpile sales.

The Finance Ministry also plans to propose the cabinet review its recent resolution to ensure that the outstanding spending limit set at 500 billion baht for the rice-pledging scheme at year-end will extend into next year in order to keep public debt under its 50% threshold.To achieve this, the Commerce Ministry must accelerate selling rice in its stocks.

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