21st march,2014 daily global rice e newsletter by riceplus magazine

21st March , 2014

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Hand-to-mouth buying likely in rice market Base reallocation mechanism drawing questions at farm bill meetings LCRA Board Approves Money For Major Downstream Reservoir Project In Wharton County 2013 palay harvest shatters PHL record Vietnam officials call for farming reforms as rice glut looms Rice masters and farmers on the growth of Cambodia’s ‘white gold Nagpur Foodgrain Prices Open- March 21 Quick irrigation rehab boosts rice harvest

NEWS DETAILS: Hand-to-mouth buying likely in rice market KARNAL, MARCH 21:

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The rice market witnessed a steady trend with prices of aromatic and non-basmati rice ruling flat on Friday on restricted trading.With not much buying taking place in the market, rice prices were unchanged, said Amit Kumar, proprietor of Ginni Rice.

Following steady domestic demand and ample stocks, retail and bulk buyers are placing orders based on their need , he said.According to the trade experts, the market may see only hand-to-mouth buying and prices may rule with marginal fluctuation for the next few days.Market may witness some major alteration in the first week on April, said Amit Kumar.In the physical market, Pusa-1121 (steam) sold at ₹8,700-8,850 a quintal, while Pusa-1121 (sela) quoted at ₹7,800. Pure Basmati (Raw) quoted at ₹12,200.Duplicate basmati (steam) sold at ₹7,000 .Pusa-1121 (second wand) was at ₹7,100, Tibar at ₹6,150, while Dubar at ₹5,000.In the non basmati section, Sharbati (Steam) sold at ₹4,800 while Sharbati (Sela) quoted at ₹4,300 a quintal.Permal (raw) sold at ₹2,330 a quintal, Permal (sela) at ₹2,350 a quintal, PR-11 (sela) sold at ₹2,700 while PR-11 (Raw) at ₹2,600 a quintal.

PR14 (steam) sold at ₹2,950 a quintal.

(This article was published on March 21, 2014)

Base reallocation mechanism drawing questions at farm bill meetings Mar 20, 2014

National Cotton Council and USA Rice Federation officials conducted a series of joint farm bill education meetings in the Mid-South in recent days. The NCC‟s Mark Lange kicked off the meetings with a description of the Agricultural Act of 2014 and the USA Rice Federation‟s Reece Langley and Laura Echols talked about covered crops and conservation program changes.Lange, president and CEO of the National Cotton Council, said one of the most-often-asked questions at the sessions concerns the new law‟s provisions for reallocating base acres between cotton and program or covered crops.

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Farm Press Editor Forrest Laws covered the meetings in Indanola and in Clarksdale, Miss.“I think most of them are really concerned about making sure they understand how they can reallocate base under covered commodities; also making sure they understand what their ability is to put a covered commodity on the generic base; and then their real concern is something we can‟t answer today, and that is just exactly what will STAX cover in a county and how much is it going to cost on a per-acre basis?”The latter will have to wait until the USDA‟s Risk Management Agency or RMA issues an interim rule and a rate schedule for every cottonproducing county telling growers what the county coverage will be and what it will cost.“That‟s critical, but, of course, it applies to 2015, it doesn‟t apply to 2014,” he said.

“But that‟s a big question growers‟ minds.”Lange, Langley and Echols went to great pains to tell growers at the meetings in Indianola and in Clarksdale, in Mississippi that they don‟t have to make a decision right away; that signup for the new programs will not occur until late in 2014 and possibly into 2015.“The RMA has a lot on their plate right now,” said Lange. “We expect they will work on the coverage and rates for STAX and SCO (the new supplemental coverage option) first and then announce other provisions as they become available.”Lange said the NCC is planning to conduct another series of educational meetings once the RMA makes the information available about STAX and SCO coverage levels and costs and the coverage levels for the new Agricultural Risk Coverage of ARC program.

LCRA Board Approves Money For Major Downstream Reservoir Project In Wharton County

BY RYAN POPPE

LCRA hearing in Nov. 2013 to decide on raising the lake level threshold for the Highland Lakes.

Credit Ryan Poppe / TPR News

The Board of Directors for the Lower Colorado River Authority has approved the next phase of a downstream reservoir that will capture some of the water heading to Matagorda Bay.This week, the LCRA board approved spending $17 million that will go toward finalizing the design of the reservoir in Wharton County.The LCRA‟s Clara Tuma said the reservoir in the lower basin will provide fresh water to the Gulf Coast bays, as well as Texas rice farmers on the coastal plains.

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“Right now if it rains in Austin, or downstream of Austin, that water flows down the river and into Matagorda Bay [and] there‟s not a way to stop it and hold it for later use because Lake Travis is the lowest water reservoir," Tuma said. "What this reservoir would allow us to do is capture all that water below Lake Travis.”Recently the LCRA requested permission from the Texas Commission on Enviromental Quality to stop the flow of water downstream to rice farmers for the third year in row. Tuma said a reservoir would strongly benefit the farmers and ecosystem in the bay estuaries but also would serve people living along the upper basin of the river near the Highland Lakes.“Everyone in the basin would benefit from this because every bit of water that can be captured and used that‟s water that doesn‟t have to be sent down from the Highland Lakes," Tuma said.The project is expected to be completed by 2017 at a total cost estimated at $255 million.

TAGS: LCRA,Matagorda

Bay, TCEQ, Highland Lakes,local news

2013 palay harvest shatters PHL record Category: Top News 21 Mar 2014 Written by Marvyn N. Benaning / Correspondent The country shattered palay harvest records last year, with farmers producing 18.44 million metric tons (MMT) of the grain, the highest ever in the country‟s history, Agriculture Secretary Proceso J. Alcala has told National Rice Achievers (NRA) awardees during the recognition rites at the Newport Performing Arts Theater, Resorts World Manila, Pasay City.Alcala acknowledged that while the target of 20.04 MMT was not met, the figure was still good for 97-percent rice self-sufficiency.

Recently, Asian Development Bank economist Lourdes Adriano and Dr. Roehlano Briones of the Philippine Institute of Development Studies said the Philippines cannot achieve rice self-sufficiency in the next 20 years. They urged the government to cut supply deals with rice-exporting countries like Vietnam, Thailand, the United States, Australia and others.

Their arguments have been invoked by unregistered rice importers suspected of flooding the country with cheap subsidized rice from Vietnam, which also gets paddy rice from Cambodia, Thailand, India and other countries.Alcala commended local chief executives of rice-producing provinces, towns and cities for supporting his department‟s drive to attain food self-sufficiency.He particularly thanked farmers and irrigators‟ associations, as well as agricultural technicians, for their “invaluable contribution” in achieving the palay cropping record.

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“We value your role in ensuring safe, nutritious, affordable and sufficient supply of food for the Filipino people,” he said. He also urged governors to implement programs that would increase farmers‟ production and income.Alcala has called for the integration of good agricultural practices in rice to improve the quality of palay as domestic and global competition intensifies.Appropriate modern technologies to boost overall production must likewise be used, he told farmers.A total of P117.42 million worth of project grants and cash prizes were given out to the 2013 NRA awardees, led by 12 provinces, 48 municipalities, 10 irrigators‟ associations, three Small Water Impounding System Associations and 496 Agricultural Extension Workers.Each province received P4 million worth of project grants, while towns received P1 million worth.The IAs and Swisa each received P1 million and P500,000, respectively, while AEWs were each given P20,000 cash prize.

In Photo: Ready-to-harves t palay dries in the sun in Nueva Ecija. The agriculture department reported a record palay harvest of 18.44 million metric tons for 2013. (Nonie Reyes)

Vietnam officials call for farming reforms as rice glut looms Friday, March 21, 2014 09:47 Farmers

harvest

rice

in

the

Mekong

Delta.

Photo

by

Chi

Nhan

The winter-spring rice crop has reached harvest time and agricultural officials are again complaining about excessive supply and poor incomes for farmers, and calling for reforms of the sector.Farmers in the country‟s rice basket, the Mekong Delta, said rice prices have dropped by around VND1,000 a kilogram to VND4,0005,000, while figures from the agriculture ministry show that increased prices of inputs have pushed cost to around VND3,800 a kilogram.“Rising costs and dropping prices have kept the incomes of many rice farmers‟ households at VND500,000-600,000 (US$24-28) a person a month; there is hardly any other sector where the income is so low,” an agriculture official said at a meeting Saturday in the delta hub of Can Tho.Officials from the ministry

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and Vietnam Food Association said that rice prices are falling to the large supply during the harvest time and export problems.

Thailand is planning to clear its rice inventory of around 20 million tons and has already offered prices lower than those of Vietnam.Agriculture minister Cao Duc Phat said Vietnam in February offered 5-percent broken rice to Malaysia at US$391.5 a ton, and Thailand at $380.“That led to a worrisome situation that Vietnam‟s traditional rice importers like the Philippines and Indonesia have stopped buying to hear more from the market.”The ministry said it is pushing more sales to China through both official export avenues and border trade.The VFA said Vietnamese exporters are lowering their prices by around 3 percent to virtually break-even levels.Vietnam exported 749,000 tons in the first two months.Phat estimated that the delta to produce around 8.5 million tons of rice this season, meaning 4.3 million tons need to be exported or sold to other parts of the country.Prime Minister Nguyen Tan Dung ordered the ministry, the Ministry ofFinance, the central bank, and local authorities to get businesses to buy one million tons from the harvest as part of an inventory program meant to keep prices stable that is several years old now.

He also approved lowering of the loan interest rate ceiling from 9 percent to 8 percent for agriculture businesses and to 7 percent for businesses taking part in the inventory program.They took effect Monday.But experts said the inventory policy is not helpful when carried out after prices drop.Agriculture Professor Vo Tong Xuan said the policy has not fulfilled its goal of ensuring at least 30 percent profit for farmers since it has brought profits of less than 10 percent and even losses.He said instead of lending money to businesses, the government can give it directly to farmers and help them have more control over their production.Le Van Thi, chairman of Kien Giang Province, which grows the largest quantity of rice in the delta, said the province plans to export around 1.1 million tons this year but has so far managed only 100,000 tons while the new harvest has increased its stocks by around 2.4 million tons.He said many businesses have told him they are reluctant to join the inventory program since storage expenses have increased.

Nguyen Minh Nhi, former chairman of An Giang Province, said since it is harvest time the program would only be able to stop prices from falling further, not push them back up.The program is only a temporary solution and the government needs to think of more effective plans, he said.It should do more research on world demand to fix supply limits and focus cultivation in areas where the cost can be minimized.“We cannot keep planting rice on any land we have and then find there is no one to sell to.”The agriculture ministry said it is planning to reduce area under the grain by around 112,000 hectares to around 4 million hectares in 2020 and has called on related agencies to study options for alternative plans.

Dinh Tuyen - Hoang Phuong - Chi Nhan Thanh Nien News

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Cambodian chef Luu Meng examines grains of rice in the kitchen of his restaurant, Malis. Charlotte Pert

Rice masters and farmers on the growth of Cambodia‟s „white gold Fri, 21 March 2014 Will Jackson With the world coming to the realisation that Cambodia produces some fine fragrant rice, the Kingdom’s farmers are beginning to detect the sweet smell of success. Will Jackson reports.Chef Luu Meng treats his rice like fine wine. Bringing a bowl brimming with raw fragrant jasmine grains close to his face, he gently inhales the aroma. “Can you smell that?” he asks, proffering the bowl. “The milky smell is the sign of real quality.”The famous chef and rice connoisseur – whose restaurants Malis and Topaz are among Phnom Penh‟s best – is crazy about what he calls Cambodia‟s “white gold”.Sitting at a table at Malis, Luu lovingly points out the qualities that would probably be inscrutable to most – he says it takes years of experience to be able to judge really great rice.“Only when you touch something every day, then you are very sure what it is.”

Rice exports rose to 378,856 tonnes in 2013.Charlotte Pert First he looks at the rice to analyse its physical characteristics and points out the grains‟ consistent shape, translucent appearance and lack of chalky residue.Then he smells it, highlighting that particular “milky” aroma and lack of smelly contamination.Finally, to be sure of its quality, he munches with a look of satisfaction on a spoonful of the rice that has been cooked.Luu is not the only one who thinks that Cambodian rice is top notch.Last year, he helped select the samples of Cambodian rice that went on to win World‟s Best Rice at the Rice Traders World Rice Conference, held in Hong Kong in November, for the second time in a

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row.He says the quality of Cambodian rice has been good for many years but was only just starting to be recognised internationally.“But how big a proportion [of the rice is excellent quality]? I think that‟s the good question. I think before, it was a smaller proportion, but now maybe it‟s getting a bigger and bigger quantity,” he says.Luu says farmers did not have to choose between producing large quantities of rice and good quality rice.Much like one couple could as easily raise five children with good parenting practices as one child, with good systems in place a farmer could grow a lot of excellent quality rice as easily as he or she could grow a small amount.“If you have a system that you are willing to implement to grow quality rice then you can grow as much as you like,” he says.

About 80 per cent of Cambodians work in agriculture. Hong Menea Farmers and industry players agree the Cambodian rice industry is undergoing something of a resurgence at the moment.Once one of the great rice producing nations of the world, the Kingdom‟s paddy fields and rice mills were decimated during the civil war.Exports were suspended by the Lon Nol government in 1971 in a futile attempt to ensure domestic stocks.After the Khmer Rouge took over in 1975, they had grand hopes of exporting mountains of excess rice to fund their revolution.But their ideas about agricultural reform didn‟t work as well as they thought and while they followed through with their plans to send thousands of tonnes overseas, they left the local population starving.Agriculture was once again a casualty when the Vietnamese invaded and the countryside became a battleground in 1978. The nation suffered a subsequent food crisis in 1979.It was only in 2009 that Cambodia officially resumed rice exports.While a meagre 12,613 tonnes was sold abroad that year, exports have increased rapidly since, rising to 378,856 tonnes in 2013, and Prime Minister Hun Sen has set a target of 1 million tonnes of rice to be exported in 2015.Meanwhile, the quality of Cambodian rice has continued to rise as farming techniques improve and an increasing amount of land is used to produce premium fragrant jasmine rice – also known as Phka Rumduol – rather than the cheaper and more common non-fragrant white rice.

Cambodian chef Luu Meng looks out for the „milky‟ smell of good rice. Charlotte Pert Phnom Penh-based rice buyer Smith Totiemsri, who is Vietnam and Cambodia general manager for Thailand‟s CP Intertrade, says there is no doubt Cambodia‟s premium rice is now rivalling Thailand‟s for top spot on the international market.Cambodia‟s best rice is grown in the Battambang region which has the ideal soil and a higher elevation for growing premium jasmine rice, he says.“Battambang and some areas of Pursat have a lot of very good quality fragrant rice and very stable quality throughout almost the whole year,” he says.

However, he adds that Siem Reap, Kampong Cham and Kampong Chhnang also produce some excellent rice, but in small quantities.He says the premium Thai fragrant rice is being sold for $910 per metric ton whereas Cambodia‟s is sold at $870 per metric ton. Vietnamese fragrant rice only fetches $520 per metric ton.However,

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he says $40 saving is not really enough to entice quality conscious buyers and price conscious buyers would go for Vietnamese rice.“Hence, the Cambodian rice industry really needs to speed up itself to catch up with the competitors,” he says.He says the World‟s Best Rice win could provide a much-needed boost to the Cambodian rice industry as many buyers still believe Thai rice is superior.“Until today, many buyers . . . are still reluctant to buy and try Cambodian rice,” he says. “[They] are still waiting for the quality to be further improved and the export price to be lowered.

”Kunthy Kann, chief executive of Battambang Rice Investment, represented Cambodia at the Rice Traders World Rice Conference last November in Hong Kong.He says he was thrilled when the result was announced, but as Cambodia had launched a major lobbying effort – about 30 rice exporters with distinctive kromas singing their product‟s praises to the judges – he was fairly confident of winning.“[Winning comes down to] the whole package, how you brand yourself,” he says. “The rice is important but you have to do other things too.”He says developing the rice industry has the potential to improve the lives of millions of Cambodians.“About 70 per cent to 80 per cent of Cambodians, or about 10 million people, are farmers, so developing the agricultural sector is the right path to reducing problems of poverty,” he says.

Ben Chhov, a rice farmer who owns about 10 hectares of land in Bavel district‟s Ta Hy Village near Battambang, says that over the past three or four years he has begun to pay more attention to selecting the right paddy seed and preparing the land.He says he grows fragrant rice on about four hectares of his land and uses the rest for non-fragrant white rice.“I am going to expand my area of growing fragrant rice next year, it provides better income and is easier to sell,” Chhov says.“If we have fragrant paddy, there are many middlemen competing with each other to buy ours, but if just simple paddy, we have less chance.”He says Cambodia winning the World‟s Best Rice award again is great news.“I hope it means that villagers who grow fragrant paddy will have many markets to sell their product,” he says.

Additional reporting by Hor Kimsay.

Nagpur Foodgrain Prices Open- March 21 Thu Mar 21, 2013 3:17pm IST Nagpur, Mar 21 (Reuters) - Gram and tuar prices in the trading activity of the Nagpur Agriculture Produce and Marketing Committee (APMC) showed weak tendency on subdued demand from local traders amid good supply from producing regions. High moisture content arrival and easy condition in Madhya Pradesh pulses also pulled down prices, sources said Thursday. *

*

*

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FOODGRAINS & PULSES

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GRAM * Gram varieties ruled steady in open market but demand as poor.

TUAR * Tuar gavarani recovered in open market on increased demand from local traders amid tight supply from producing regions. Reports about weak overseas supply also boosted prices. * Udid varieties reported strong in open market on good buying support from local traders. Shortage of stock in ready position pushed up prices. * Batri dal prices firmed up in open market on good marriage season demand from local traders amid weak supply from producing regions.

* In Akola, Tuar - 4,200-4,400, Tuar dal - 6,600-6,800, Udid at 5,200-5,500, Udid Mogar (clean) - 6,000-6,300, Moong - 6,000-6,500, Moong Mogar (clean) 7,200-7,400, Gram - 3,100-3,200, Gram Super best bold - 4,600-4,700 for 100 kg. * Wheat, rice and other commodities prices 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 2,800-3,215 2,860-3,245 Gram Pink Auction n.a.

2,100-2,600 Tuar Auction 3,860-4,540 3,900-4,590 Moong Auction n.a.

5,000-5,200 Udid Auction n.a.

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

2,600-2,800 Gram Super Best Bold 4,700-4,800 4,700-4,800 Gram Super Best n.a.

Gram Medium Best 4,300-4,400 4,300-4,400 Gram Dal Medium n.a. n.a.

Gram Mill Quality 3,950-4,050 3,950-4,050 Deshi gram Raw 3,600-3,800 3,600-3,800 Gram Filter Yellow n.a. n.a.

Gram Kabuli 6,800-9,700 6,800-9,700 Gram Pink 7,100-7,400 7,100-7,400 Tuar Fataka Best 6,750-6,950 6,750-6,950 Tuar Fataka Medium 6,550-6,700 6,550-6,700

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Tuar Dal Best Phod 5,900-6,000 5,900-6,000 Tuar Dal Medium phod 5,200-5,500 5,200-5,500 Tuar Gavarani 4,550-4,750 4,500-4,700 Tuar Karnataka 4,350-4,650 4,350-4,650 Tuar Black 6,800-7,000 6,800-7,000 Masoor dal best 4,500-4,700 4,500-4,700 Masoor dal medium 4,300-4,500 4,300-4,500 Masoor n.a. n.a.

Moong Mogar bold 7,400-7,600 7,400-7,600 Moong Mogar Medium best 6,800-7,100 6,800-7,100 Moong dal super best 6,400-6,500 6,400-6,500 Moong dal Chilka 6,200-6,300 6,200-6,300 Moong Mill quality n.a. n.a.

Moong Chamki best 6,000-6,800 6,000-6,800 Udid Mogar Super best (100 INR/KG) 6,100-6,600 6,000-6,600 Udid Mogar Medium (100 INR/KG) 4,900-5,500 4,800-5,500 Udid Dal Black (100 INR/KG) 5,100-5,500 5,000-5,500 Batri dal (100 INR/KG) 3,250-3,350 3,200-3,300 Lakhodi dal (100 INR/kg) 2,900-3,000 2,900-3,000 Watana Dal (100 INR/KG) 3,150-3,200 3,150-3,200 Watana White (100 INR/KG) 3,250-3,300 3,250-3,300 Watana Green Best (100 INR/KG) 4,300-4,500 4,300-4,500 Wheat 308 (100 INR/KG) 1,600-1,700 1,600-1,700 Wheat Mill quality New(100 INR/KG) 1,550-1,700 1,550-1,700 Wheat Filter (100 INR/KG) 1,800-1,950 1,800-1,950 Wheat Lokwan best (100 INR/KG) 1,850-2,200 1,850-2,200 Wheat Lokwan medium (100 INR/KG) 1,550-1,900 1,550-1,900 Lokwan Hath Binar (100 INR/KG) n.a. n.a.

MP Sharbati Best (100 INR/KG) 2,700-3,000 2,700-3,000 MP Sharbati Medium (100 INR/KG) 2,400-2,800 2,400-2,800 Wheat 147 (100 INR/KG) 1,400-1,600 1,400-1,600 Wheat Best (100 INR/KG) 1,550-1,650 1,550-1,650 Rice BPT New (100 INR/KG) 2,600-3,100 2,600-3,100 Rice Parmal (100 INR/KG) 2,300-2,600 2,300-2,600 Rice Swarna Best (100 INR/KG) 2,200-2,500 2,200-2,500 Rice Swarna Medium (100 INR/KG) 1,900-2,200 1,900-2,200 Rice Swarna new 1,800-2,100 1,800-2,100

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Rice HMT (100 INR/KG) 3,200-3,800 3,200-3,800 Rice HMT Shriram (100 INR/KG) 3,500-4,000 3,500-4,000 Rice Basmati best (100 INR/KG) 7,500-11,300 7,500-11,300 Rice Basmati Medium (100 INR/KG) 5,400-6,200 5,400-6,200 Rice Chinnor (100 INR/KG) 4,400-4,800 4,500-5,000 Rice Chinnor Medium (100 INR/KG) 3,800-4,200 3,900-4,200 Jowar Gavarani (100 INR/KG) 1,500-1,700 1,500-1,700 Jowar CH-5 (100 INR/KG) 1,900-2,000 1,900-2,000 WEATHER (NAGPUR) Maximum temp. 35.6 degree Celsius (90.7 degree Fahrenheit), minimum temp.

19.1 degree Celsius (66.2 degree Fahrenheit) Humidity: Highest - n.a., lowest - n.a.

Rainfall : nil FORECAST: Cloudy weather and chances of rains or thunder-showers. Maximum and Minimum temperature likely to be around 38 and 20 degree Celsius respectively.

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

Quick irrigation rehab boosts rice harvest

By Manila Standard Today | Mar. 21, 2014 at 12:01am

National Irrigation Administration head Claro Maranan said irrigation service in Region 8 damaged by Typhoon Yolanda last December was quickly restored to enable rice planters to harvest their crop in March.During Mondayâ€&#x;s flag-raising at NIA-Central Office in Quezon City, he reported 98 percent rehabilitation of the farm water supply system across the provinces of Leyte, Samar and Biliran island.The accomplishment report was based on his recent visit with Agriculture Secretary Proceso Alcala in Tacloban City.Regional Director Romeo Quiza said rice is being harvested now in Eastern Visayas until April.In his inspection last December 17 and 18 after Yolanda, Maranan was told that the regional office had restored irrigation by 50 percent which rose to 70 percent in a March 11 progress report before posting 98 percent as of March 17.In his 7-point program following his appointment last year by President Benigno Aquino III, Maranan advocated a bottom-up approach to develop the rice sector along with support to farmer-irrigators in the operation and maintenance of systems applying good governance and transparency.

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