23rd october,2014 daily exclusive oryza e newsletter by riceplusu magazine

23rd October, 2014

Daily Rice E-Newsletter by Rice Plus Magazine www.ricepluss.com News and R&D Section mujajhid.riceplus@gmail.com Cell # 92 321 369 2874

TOP Contents - Tailored for YOU Latest News Headlines…             

Italian Rice Harvest and Sales Behind Last Year Increase in Russian Rice Prices Linked to Closure of Ports to Chinese Imports India Supports Senegal Rice Sufficiency Project with $63 Million Laboratory Tests Confirm Absence of Pesticide Residues in Indian Basmati Rice Oryza Afternoon Recap – Chicago Rough Rice Futures Close Slightly Lower as Drop in Crude Weighs on Grain Prices Global Rice Quotes Oryza Weekly Global Weather Outlook Philippines to Introduce Drones in Rice Research Oryza Overnight Recap – Chicago Rough Rice Futures Little Changed as Grains Exert Conflicting Pressure Oryza U.S. Rough Rice Recap – Depressed Market Looks for Bottom; Prices Hold for Now Thai Commerce Ministry Plans to Delay Rice Sales to Boost Prices Vietnam Rice Sellers Increase Some of Their Quotes Today; Other Asia Rice Quotes Unchanged Thai NACC May Bypass OAG in Ex-Premier Rice Corruption Case

NEWS DETAILS:

Italian Rice Harvest and Sales Behind Last Year Oct 22, 2014

It will be a few weeks before the Italian paddy rice harvest is complete. Rice growers have started cutting paddy since the middle of September, but the very cold and damp weather of July and August created adverse growing conditions, delaying harvesting.The latest information suggests a mixed bag in terms of rice paddy yields. Some varieties reduced production per ha up to 30%, but milling yields in some cases were much better than in recent years.

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Average paddy prices are still lower than at the end of prior crop year, so rice growers are again asking domestic and European institution for measures which can support Italian and European production.About 257,972 tons of paddy rice has been sold as of October 21, mostly of last years' production; in the week October 14-21 sales reached 41,439 tons. This means an increase of 15.9% on the same period of 2013.

One year ago, the total amount sold was 217,208 tons, but two years ago the level was much higher, and was 290,661tons. Up to now Long A varieties are the best sellers, with 109,064 tons (this week 21,347 tons), followed by Indica varieties, Long B ones, with 86,545 tons (this week 16,607 tons). Then we find round varieties, with 56,157 tons sold (this week 11,132 tons) and then medium grain paddies, with 6,306 tons (this week 1,426 tons). The most required varieties are Loto-Ariete, with 35,413 tons (this week 5,792 tons) and Arborio-Volano, with 18,221 tons (this week 2,902 tons).

Tags: italian rice production, italian rice prices, Italy

Increase in Russian Rice Prices Linked to Closure of Ports to Chinese Imports Oct 22, 2014

Rice prices in Russia have increased last year mainly because of the closure of some ports to Chinese rice imports, according to USDA Post.The Post quotes the Deputy Director General of the JSC "Habrechtorg" port as saying that last year some ports, including Khabarovsk and Nizhneleninskoye, were excluded from receiving rice imports from China and due to that the ships had to be diverted to the ports of Grodekovo and Blagoveshchensk. This diversion had caused increased costs to importers and effectively the prices of imported rice were pushed up in the country. He added that the closure of the regular ports was a result of some kind of lobbying by neighboring countries.USDA Post reports that the two ports have been opened to receive rice imports from China based on the information shared by the Chairman of Association of Applied Economics.The Post also reports that the last year's experience led China to plan for an agricultural center in Russia, from where it could easily export agricultural commodities such as rice, into Russia.USDA Post states that the Russian government has approved a draft of the federal law on "Territories of Priority Social and Economic Development in Russian Far East and in Certain Regions of the Russian Federation." The draft once

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becomes a law will enhance the tax and administrative benefits to Russian entrepreneurs. Russia imports around 250,000 tons of rice annually, according to USDA. Tags: Russia rice prices, Russia rice imports from China, USDA Post

India Supports Senegal Rice Sufficiency Project with $63 Million Oct 22, 2014

The Export Import Bank of India (Exim Bank) has offered to provide $62.95 million to the Republic of Senegal to support its rice self-sufficiency project, according to a press release on its website.The Exim Bank will finance Senegal's rice sufficiency project through its Line of Credit (LoC) mechanism, according to the Bank's Deputy Managing Director, who exchanged the LoC Agreement with the Ambassador of Senegal in India last month. Under the current agreement, Senegal can import machinery and other related goods, to support its rice-sufficiency project, from Indian exporters to whom the Exim Bank will reimburse 1005 contract value upon the shipment of goods.

The West African country is a net importer of rice and imports about 80% of its annual rice consumption needs.

The government, like other West African governments, is keen on increasing local rice production in the country and reduce the volume of imports. It imports rice from India, Thailand and Vietnam.

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With the current LoC agreement, Exim Bank as till date extended twelve LoCs valuing about $269.36 million to the Senegal government to support various export and development projects.

USDA estimates Senegal to produce around 289,000 tons of rice in MY 2014-15 (October - September) and import around 1.15 million tons to meet the consumption needs of around 1.45 million tons during the year.

Tags: Senegal rice imports, senegal rice production, Exim Bank

Laboratory Tests Confirm Absence of Pesticide Residues in Indian Basmati Rice Oct 22, 2014

Critics and exporters who complained about the presence of pesticides, fungicides and other chemicals by Punjab farmers on basmati crop, need to change their stand and opinions, because recent laboratory tests now have proved that the basmati grain from the Indian state Punjab does not contain chemical residue.In districts of Amritsar, Tarn Taran and Gurdaspur around 150 samples of basmati grain was collected and analyzed to show absence of any chemical residue in the grain.

The Chogawan belt was the area for the study and samples consisted of PUSA 1121, Punjab-386 and others that are largely exported to Europe and the US. These tests were conducted at the Punjab Agricultural University. The scientists at the university were alarmed by the exporters’ reports that Punjab basmati grain had large doses of pesticide residue. The news on pesticide residue on the exported grain not only has negative impact on exports but also on the growers.

The U.S. authorities began rejecting basmati rice consignments from India since August 2011 after detecting traces of tricyclazole in them. Tricyclazole is a systematic fungicide used in most of the rice producing countries, including India, to control 'blast' disease in rice crops. However, top agriculture officials in Punjab say basmati and paddy farmers do not apply tricyclazole in the state as it is not recommended by either the state government or the Punjab University.In July, the U.S. Environment Protection Agency (EPA) has relaxed the import tolerance limits for tricyclazole fungicide in Indian basmati rice imports paving way for India to increase its basmati rice exports to the U.S. It fixed the

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Maximum Permissible Limit (MPL) for the tricyclazole fungicide in Indian basmati rice imports at 3 parts per million (ppm) which is much above than the 0.12 ppm found by US in August 2011 consignments.

India exported around 103,377 tons of basmati rice to the U.S. in 2013-14 (April - March), up about 13% from around 91,544 tons exported in 2012-13, according to data from Agricultural and Processed Food Products Export Development Authority (APEDA). India's total rice exports, including non-basmati exports, stand at around 10.5 million tons in FY 2013-14, up about 3% from around 10.2 million tons exported in FY 2012-13, according to APEDA. Tags: India basmati rice exports, Tricyclazole fungicide, Punjab basmati rice

Oryza Afternoon Recap – Chicago Rough Rice Futures Close Slightly Lower as Drop in Crude Weighs on Grain Prices Oct 22, 2014

Chicago rough rice futures for Nov delivery settled 2.5 cents per cwt (about $1 per ton) lower at $12.530 per cwt (about $276 per ton). Rough rice futures closed slightly lower as they were unable to maintain the gains earned during morning trading.

Today’s action has returned the market near the lower boundary of the current $12.500-$12.800 per cwt (about $276-$282 per ton) trading range which has restricted price movement for over a month. Traders noted large buy orders at $12.500 per cwt (about $276 per ton) and sell orders at $12.600 per cwt (about $278 per ton) levels that will likely limit gains or losses for the remainder of the week. The other grains closed mostly lower today; Soybeans closed about 0.2% lower at $9.275 per bushel; wheat finished about 0.6% higher at $5.2225 per bushel, and corn finished the day about 0.8% lower at $3.5300 per bushel.

U.S. stocks turned lower on Wednesday, following the S&P 500's biggest jump in a year, as investors considered quarterly earnings from Yahoo and other companies and the reported killing of a soldier in Ottawa and gunfire in the halls of Canada's Parliament. After a 124-point fall, the Dow Jones Industrial Average was lately off 115.82 points, or 0.7%, at 16,499.16. The S&P 500 shed 8.21 points, or 0.45%, to 1,933.07, with energy falling hardest among its 10 major industries. The Nasdaq declined 19.70 points, or 0.4%, to 4,399.77.

U.S. consumer prices climbed marginally last month as energy prices declined, illustrating tame inflation that should allow the Federal Reserve to keep interest rates low for a time.

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The Labor Department's Consumer Price Index edged up 0.1% in September after falling 0.2% the prior month. Gold is trading about 0.6% lower, crude oil is seen trading about 2.6% lower, and the U.S. dollar is seen trading about 0.5% higher at about 1:00pm Chicago time.Tuesday, there were 3,075 contracts traded, up from 1,756 contracts traded on Monday. Open interest – the number of contracts outstanding – on Tuesday increased by 19 contracts to 10,749.

Tags: chicago rough rice futures, U.S. rice prices, Rice Prices

Global Rice Quotes October 22nd, 2014 Long grain white rice - high quality Thailand 100% B grade 435-445 Vietnam 5% broken 440-450 ↑ India 5% broken 415-425 ↔ Pakistan 5% broken 395-405 ↔ Cambodia 5% broken 465-475 ↔ U.S. 4% broken 490-500 ↔ Uruguay 5% broken 595-605 ↔ Argentina 5% broken 595-605 ↔ Long grain white rice - low quality Thailand 25% broken NQ ↔ Vietnam 25% broken 400-410 ↔ Pakistan 25% broken 345-355 ↔ Cambodia 25% broken 450-460 India 25% broken 370-380 ↔ U.S. 15% broken 510-520 ↔

↔

↔

Long grain parboiled rice Thailand parboiled 100% stxd 420-430 Pakistan parboiled 5% broken stxd 425-435 India parboiled 5% broken stxd 405-415 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% 925-935 ↔

↔ ↔ ↔

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Vietnam Jasmine 575-585 ↔ India basmati 2% broken NQ ↔ Pakistan basmati 2% broken NQ ↔ Cambodia Phka Malis 880-890 Brokens Thailand A1 Super 340-350 ↔ Vietnam 100% broken 335-345 Pakistan 100% broken stxd 320-330 Cambodia A1 Super 360-370 ↔ India 100% Broken stxd 320-330 Egypt medium grain brokens NQ ↔ U.S. pet food 445-455 ↔ Brazil half grain NQ ↔

↔ ↑ ↔ ↔

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

Oryza Weekly Global Weather Outlook Oct 22, 2014

In China, light rain showers are expected in Yunnan, Sichuan, and Guizhou on Wednesday and Thursday. Dry weather favoured rice harvesting across the majority of southern China, including the Yangtze Valley.

Scattered rain is expected across Thailand during the next two days.

Scattered showers are expected across most of Vietnam on Wednesday and Thursday.

In Pakistan, light rain is expected at isolated places in Malakand, Hazara, Peshawar, Kohat, D.I Khan divisions, Islamabad, Sargodha, Zhob divisions, Kashmir and Gilgit-Baltistan today and tomorrow.

Weather is expected to remain dry in Bangladesh during the next two days.

Scattered showers are expected across Sumatra and Borneo, in Indonesia, on Wednesday and Thursday.

In India, heavy rainfall is expected in isolated places over Tamilnadu and Kerala today. Thereafter, light rain is expectedin isolated places over plains of northwest India, Maharashtra & south Gujarat during the next 3 days.

Daily Rice E-Newsletter by Rice Plus Magazine www.ricepluss.com News and R&D Section mujajhid.riceplus@gmail.com Cell # 92 321 369 2874

In the last week, heavy rain due to Tropical Cyclone Hudhud in rice areas in eastern India was largely unfavourable for maturing kharif rice.

Ninety-one percent of the U.S.’s rice crop was harvested by October 19, 4% ahead of last year, according to the USDA. Rainfall in Arkansas has slowed harvest progress, at currently 91% complete.

Tags: Rice, weather, global, Asia, Cyclone

Philippines to Introduce Drones in Rice Research Oct 22, 2014

The Philippine Rice Research Institute (PhilRice) is considering to introduce drone technology in the country to help rice researchers gather accurate data and conduct their research effectively, according to a news release on its website.The Lead of Future Rice Program in the PhilRice noted that they are planning to conduct a training program in collaboration with the University of Southern Mindanao on drone technology soon. The training program will focus on flight tutorials and application of the drone's features. He noted that drones can be used for research activities such as data collection, tracking growth patterns as well as pests and nutrient management.

The Head of the PhilRice Breeding and Biotechnology Division noted that drones can also be used for inspecting damages during and after calamities, monitor rice fields during crop establishment and assess effect of extreme weather conditions on rice crops. “We will further explore the technology`s features so researchers could spend their time efficiently,” he adds.

Drones usually come with a high definition camera, flight stabilizer and a global positioning system (GPS), which allows users to program its flight path. They can fly for about 8-10 minutes and up to two kilometers.Drones are available in the Philippines and cost about P25,000 (around $557), according to PhilRice.

Tags: Drone technology, Philippines rice research, Philrice

Daily Rice E-Newsletter by Rice Plus Magazine www.ricepluss.com News and R&D Section mujajhid.riceplus@gmail.com Cell # 92 321 369 2874

Oryza Overnight Recap – Chicago Rough Rice Futures Little Changed as Grains Exert Conflicting Pressure Oct 22, 2014

Chicago rough rice futures for Nov delivery are currently noted 0.5 cents per cwt (about $0.11 per ton) higher at $12.560 per cwt (about $277 per ton) during early morning floor trading in Chicago. The other grains are seen trading with mixed results: soybeans are currently seen about 0.9% higher, wheat is listed about 0.3% lower and corn is noted about 0.8% lower.

U.S. stocks wavered between slight gains and declines on Wednesday, pausing after the S&P 500's biggest jump in a year, as investors considered data signaling little movement in the cost of living in September and quarterly reports from Boeing and others. U.S. consumer prices climbed marginally last months as energy prices declined, illustrating a soft inflation portrait that should allow the Federal Reserve to keep interest rates low for a time. The Labor Department's Consumer Price Index edged up 0.1% in September after falling 0.2% the prior month. The Dow Jones Industrial Average shed nearly 2 points to 16,612.91. The S&P 500 advanced 1.97 points, or 0.1%, to 1,943.25, with materials the best performer and health care the leading laggard among its 10 main industry groups. The Nasdaq.rose a point to 4,420.64. Gold is currently trading about 0.6% lower, crude oil is seen trading about 0.1% higher, and the U.S. dollar is currently trading about 0.4% higher at 9:45am Chicago time.

Tags: chicago rough rice futures, U.S. rice prices, Rice Prices

Oryza U.S. Rough Rice Recap – Depressed Market Looks for Bottom; Prices Hold for Now Oct 22, 2014

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The U.S. cash market remains depressed with ample supplies and limited export demand. Many analysts wonder how much lower prices have to go for there to be renewed interest in U.S. rice abroad.

As of today, offers were unchanged around $12.50-$12.75 per cwt fob farm (about $276-$281 per ton) while bids were firm near $12.25-$12.55 per cwt (about $270-$277 per ton) for October-November however there were no trades to report.

Tags: U.S. rice prices, Rice Prices, united states of america

Thai Commerce Ministry Plans to Delay Rice Sales to Boost Prices Oct 22, 2014

Thailand's Commerce Ministry is likely to suggest some rice price supporting measures to the Rice Policy Committee on October 24, according to Bloomberg.

The Ministry is reportedly planning to encourage rice farmers to delay sales of over one million tons of rice from the upcoming harvest to push rice prices. It is keen on increasing the price of unmilled white rice to around 8,500 baht (around $263) per ton and prices of unmilled jasmine rice to around 16,000 baht (around $495) per ton during the main crop harvest season, which will begin in November.Price of unmilled white rice currently stands at around 7,974 baht (around $247) per ton and that of unmilled jasmine rice stands at around 14,155 baht (around $438) per ton, according to data from Office of Agricultural Economics (OAE).

The government is planning to provide low-interest loans to farmers to hold their harvest and refrain from selling. Such an action is expected to control downward pressure on prices. The Commerce Minister told local sources that the government will increase loans to 90% of the value of rice stored (without releasing into market) from the current 80%.

The Ministry said the government would continue selling rice from stockpiles. The TREA Honorary President expressed hope that Thailand would export around 11 million tons of rice in 2014. Thailand has exported

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around 6.6 million tons of rice in the first eight months (January - August) of 2014, up about 59% from around 4.14 million tons exported during the same period in 2013, according to data from TREA. Tags: Thai rice prices, Thai rice stocks, Thai rice exports

Vietnam Rice Sellers Increase Some of Their Quotes Today; Other Asia Rice Quotes Unchanged Oct 22, 2014

Vietnam rice sellers increased their quotes for 5% broken rice and 100% broken rice by about $5 per ton each to around $440 - $450 per ton and $335 - $345 per ton respectively today. Other Asia rice sellers kept their quotes mostly unchanged today.

5% Broken Rice Thailand 5% rice is quoted at around $420 - $430 per ton, about $20 per ton discount to Vietnam 5% rice shown at around $440 - $450 per ton, up about $5 per ton from yesterday. India 5% rice is quoted at around $415 $425 per ton, about $20 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 $50 per ton discount to Vietnam 25% rice shown at around $400 - $410 per ton. India 25% rice is quoted at around $370 - $380 per ton, about $25 per ton premium on Pakistan 25% rice quoted at around $345 - $355 per ton.

Parboiled Rice Thailand parboiled rice is quoted at around $420 - $430 per ton. India parboiled rice is quoted at around $405 $415 per ton, about $20 per ton discount to Pakistan parboiled rice quoted at around $425 - $435 per ton.

100% Broken Rice Thailand broken rice, A1 Super, was last quoted at around $340 - $350 per ton, about $5 per ton premium on Vietnam broken rice shown at around $335 - $345 per ton, up about $5 per ton from yesterday. India broken

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sortexed rice is quoted at around $320 - $330 per ton, on par with Pakistan broken sortexed rice quoted at around $320 - $330 per ton.

Tags: Vietnam rice prices, India rice prices, pakistan rice prices, Thailand rice prices

Thai NACC May Bypass OAG in Ex-Premier Rice Corruption Case Oct 22, 2014

Thailand's National Anti-Corruption Commission (NACC) is planning to quickly close the corruption case related to the former Prime Minister Yingluck Shinawatra's involvement in the rice pledging scheme, according to local sources.

In July this year, the NACC recommended criminal charges against the former Prime Minister after finding her guilty of being negligent in heeding to warnings against corruption in the Rice Paddy Pledging Scheme, introduced in October 2011. However, in September, the Office of the Attorney General (OAG) refused the NACC recommendation to indict the former Prime Minister in the Supreme Court’s Criminal Division for Holders of Political Positions seeking more evidences substantiating charges against her. It also proposed that a panel comprising members from the OAG and the NACC would work jointly to gather more evidences before deciding on the indictment of the ex-PM. The joint panel, which started investigation work on September 9, could not conclude the probe within the 14-day deadline it had set.

Now, the NACC is planning to submit the case to the Supreme Court by itself without waiting for the OAG's ruling. The Chairman of the NAC told a press conference on Tuesday that they would decide their course of action on November 7 if the joint panel fails to reach a conclusion by then. He noted that the NACC has sufficient proofs that the former Prime Minister was negligent in failing to solve corruption and losses in the rice-pledging scheme.The former Prime Minister is facing charges of ignoring warnings against misdealing in the controversial rice pledging scheme, which brought losses of about 500 billion baht (around $15.6 billion) to the exchequer. However, she has been maintaining innocence relating to her involvement in the scheme. If indicted, she could face jail up to 10 years, say local sources.The NACC organized a press conference to mark its 8th anniversary on Tuesday.

Tags: Thai NACC, Thai OAG, Thai rice pledging scheme, Yingluck Shinawatra

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