4th november,2013 daily rice e newsletter(global rice news) by riceplus magazine

4th November , 2013

TOP Contents - Tailored for YOU Latest NEWS HEADLINES  Basmati exports facing tough time in international market  Currency swap with Iran for smooth export soon  Trade facilitation PML-N govt’s philosophy: Dastagir  Paddy farmers concerned over relentless rain  Egypt plans to export 100,000 tons of rice between 7 November and 15 January  Local rice importers not happy with ban  Tilda basmati rice brand is put up for sale  BOC holds rice imports until permits question settled  China admits rice soils being over farmed  New Proposal Could Cut Off Rice Farmers for Third Year in a 

Row More Rice Fields May Reduce Imports

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Basmati exports facing tough time in international market November 02, 2013 ZAHID BAIG

Pakistan Basmati rice exports is facing tough time in the international market and has come down to 700,000 tons in year 2012 because of multiple reasons including being Super Basmati as the only variety, decreasing yield and area and increasing cost of production, local and international competitiveness and challenge by extralong grain Indian variety called 1121. India has produced different new basmati varieties capturing the international rice market and posing a severe competition to Pakistani super basmati. Others challenges being faced by Pakistani basmati are decreasing quality because of lower quality and quantity of inputs and practices, poor quality basmati seed, poor access to crop production technology, market information, weather forecast and new techniques, harvest and post-harvest losses and improper use of inputs while not observing conservation of resources.

This was disclosed by Engro Eximp Agri Product Manager Seed Business and R&D Abid Ilyas Dar while talking to members of the Agriculture Journalists Association (AJA) Lahore during their visit to the biggest rice processing plant setup by the Engro group at Muridke near Lahore. He said his organisation realising the situation and to support the national agricultural sector had come in to field with a vision to boost up the rice exports as well as financially and technical strengthening the rice farmers. He said under this vision his organisations has launched the programs of farmers' education, facilitation to improve their yields, decrease the cost of production, conserving resources and improving profitability besides promoting a new basmati variety called 515, which has more per acre yield and can compete any variety in the international market. Abid Ilyas said that this year Engro Eximp had set a target of buying 175,000 tons of paddy to process better rice for export and local consumption. He said that the organisation had adopted a novel way in which it is in contact with various farmers who are being provided land levelling facilitation, soil and water analyses based fertiliser recommendations, literature, technical services and use of different communication methods to improve their knowledge about latest techniques of rice plantation, which conserve water as well as bring down their input cost.

He said that in order to promote new Basmati variety of 515 whose seed was distributed amongst the rice growers free of cost besides developing demonstration plant for creating awareness amongst the growers about different techniques like Direct Seeding, Alternate Wetting and Drying, Clumping of lodged plants and quality harvesting to bring down the cost, usage of water and avoid pre and post-harvest losses. Dar said to promote the concept of bringing paddy to mills with least moisture content, the group is paying premium price to those who bring their paddy with minimal moisture content. Because, to increase Pakistani rice exports the country has to ensure international quality standards. He underscored that his company has bagged nine health and safety certifications, including ISO 9001:2008, ISO 22000:2005, ISO 14000:2004, OHSAS 18000:2007, HACCP Dutch, IFS v5, BRC Issue 6, Halal 2010 and Kosher, to ensure total quality at all steps of rice processing, packaging and exports.

Currency swap with Iran for smooth export soon 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

November 04, 2013:SALMAN ABDUHU

LAHORE - Pakistan will sign deal of currency swap arrangements with Iran for smooth rice export which is halted since the United States has put economic sanctions on Iran.This was stated by State Minister for Commerce & Privatization Khurram Dastgir Khan on Sunday while addressing the annual dinner of the Rice Exporters Association of Pakistan. He also declared that REAP would be given representation on the board of the Export Development Fund (EDF) from next year.Khurram Dastgir observed that there is an urgent need to ensure sustained growth through value-addition and induction of latest technologies to produce quality goods. But for this flow of new investment would be needed.

Khurram Dastgir said that the PML-N government has not come into power to rule, but to be partner of traders in economic growth so that much needed relief is ensured to masses who had been suffering for a long.The minister said that for achieving these goals, entire government direction will have to be changed. Therefore future policies and structural changes would be framed on the basis of partnership and with the consultation of business community.

The minister said that it was the commitment of the PML-N government to bring prosperity and provide relief to masses through economic growth for which necessary changes in laws would be introduced and also bureaucratic snags would be removed so that exports are doubled within a period of two years.REAP central chairman Ch Masood Iqbal addressing the meeting said that members contribute $20 million to govt through taxes which includes $5 million in the form of Export Development Surcharge. While, there lags basic infrastructure facilities like Technical Training Institute to provide skilled manpower to Rice industry, Lack of R&D on Seed Development which may bring higher production yields & commercial viability for farmers, lack of paddy drying & storage facilities to avoid mytoxins, no-availability of globally accredited labs to ascertain conformance to food safety standards and authentication (Basmati).

REAP Chairman also demanded that association should be given representation on the board of the Export Development Fund (EDF) as its members contribute $5 million in form of export development surcharge. He

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also urged the government to make it binding on commercial counselors to meet REAP high ups prior to their appointment in foreign offices to draw a strategy for enhancing rice exports in their respective country of appointment.He said Pakistan and Iran official trade is at halt since the United States has put economic sanctions on Iran. Banks in Pakistan are no more opening letter of credits for goods to Iran, adding that India is having no such issues with Iran and having good trade ties at the state level. We need to have Currency Swap Arrangements or Barter Trade Arrangement/LC Transaction Arrangement with Iran. He said the volume of Pakistan rice is stagnant to 6 million tons over past 5-years and crop has not increased while the local consumption has also increased therefore are remained with less crop each year to export. He called for developing R&D for higher acre yields.

Trade facilitation PML-N govt’s philosophy: Dastagir November 04, 2013 APP

LAHORE - Provision of all possible facilities to traders and business community is the philosophy of PML-N government, which is making all-out efforts to ensure free and expanded economic activities in the country.Minister of State for Commerce and Privatisation, Engr Khurram Dastagir Khan stated this at a dinner hosted by Rice Exporters Association of Pakistan (REAP) at a local hotel on Sunday. The REAP Chairman Chaudhry Masood Iqbal and the SAARC Chamber of Commerce and Industry Vice President Iftikhar Ali Malik brought the REAP problems into the notice of the Minister. While, former LCCI president Shahzad Ali Malik, other REAP office-bearers from different parts of Pakistan and a large number of the rice sector community was also present.The State Minister said that the PML-N government and its leadership was very much serious in reestablish the country‘s fragile economy on strong footing that was why it had to take tough decisions on many fronts including Karachi operation for peace, rise in electricity tariff.

He, however, hoped the people would be taking advantages of a developed economy due to results of these decisions within next two years. The N-League government‘s sincerity could be well judged from the fact that

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the Prime Minister had reduced the PM House expenditures up to 70 per cent with a sole of ensuring an early prosperity of the nation, he added.Khurram Dastagir said that PML-N government was striving to maintain a partnership relation between the public and private sector by incorporating the traders and industrialists‘ plausible suggestions in the economic policy making process. ―We have to fight out the menace of extremism with the hope and struggle of economic development,‖ he observed.He said, the Commerce Ministry meant for taking such measures that lead to expansion of trade and economy and ―We want the economic activities to be done in free and responsible manner, and increase the export volumes by competing in the international markets.‖ However, the trade community had a major responsibility of focusing on product quality and coming up to international accreditations to maintain Pakistan‘s trade credibility in the comity of nations, he stressed.

The Minister of State for Commerce and Privatization also assured the REAP members that Commerce Ministry would take early steps to resolve their problems such as establishment of technical institutes for rice; currency swap agreement with Iran; check the working and utilization of funds of QRC Rice Inspection Cell as well as the usage of Export Development Fund (EDF).Earlier, Iftikhar Ali Malik said that unfortunately, the overall rice exports witnessed 25 per cent decline last year mainly due to poor performance of the relevant trade departments and research institutes. He urged the government to help improve the rice quality and branding and seek technical support from India in this regard.

While, the REAP Chairman Chaudhry Masood Iqbal said that rice was the third major crop in Pakistan and ―Our rice brand of ‗Basmatti‘ was assumed as an ambassador of Pakistan.‖ He also expressed concern over the role of TDAP (Trade Development Authority of Pakistan) in the functioning of the QRC Rice Inspection Cell as well as utilization of the EDF. He also sought government help in establishing the technical and training institutes for rice sector promotion.He claimed that REAP had the ability to raise the rice export from the current $2.4 billion to $4 billion per annum, provided the rice exporters‘ problems were settled down

Paddy farmers concerned over relentless rain

By Express News Service - THRISSUR Published: 04th November 2013 12:42 PM:Last Updated: 04th November 2013 12:42 PM The delay in withdrawal of the monsoon is impacting the farming activities in the district.As both the southwest and north-east monsoon so far has turned out to be one of the wettest seasons in the district in the recent

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history, the first signs of worry have begun to show among paddy farmers.The extended wet spell is hindering the farming operations that used to begin by the end of September in the sprawling kole fields, which will eventually lead to extra investment through weeding operations and application of extra fertilisers, among other things, Kochu Mohammed, Kole Karshaka Samithi president, said.Besides, farmers are forced to suspend their work in many places owing to heavy showers.In some areas, the farmers transplanted the paddy saplings in the fields and the crop is at a stage that requires fertilisers and weeding also to be carried out by spraying of weedicides.

But the extended rain of north-east monsoon is playing spoilsport, with more than 1,000 acres of paddy fields submerged in the heavy rain that lashed the district in the past two weeks.According to farmers, the paddy crops that were planted a few weeks ago after the vigorous south-west monsoon spell, fell flat on the ground, at Vadakke Konchira Kolepadavu, Manalapuzha Kannothu Kolepadavu in Pavaratty panchayat a couple of weeks ago, causing huge loss to farmers.Following this, farmers and various farming communities had to spend extra to drain out rain water from the field before the crops got completely damaged by the flooded rainwater.Waterlogging in other prominent kole fields such as part of Muriyad Kayal and Thrissur-Ponnani kole fields prevented farmers from starting the farming works in full swing as the erratic rainfall had already washed away saplings that were already planted.Besides, the extended monsoon renders damages to the standing paddy crop, which needs some days of clear sunshine along with clear weather. During this time, there‘s a heightened threat of insect attacks in the paddy fields after the prolonged rain.The rice thrips, which normally thrive in dry weather during this season, has assumed pest status in the rice fields of central Kerala with the organism causing substantial damage to the young broadcasted crop in Thrissur and parts of Palakkad.

Egypt plans to export 100,000 tons of rice between 7 November and 15 January 04.11.2013

Egypt plans to export 100,000 tons of rice between 7 November and 15 January, an official within the Federation of Egyptian Industries has said, commenting on statements made by Minister of Industry and Foreign Trade Mounir Fakhry Abdel Nour.Abdel Nour had announced a new bid to export 100,000 tons of rice on Monday during a meeting with the Egyptian Businessmen Association, according to a statement from the ministry.

Vice Chairman of the Rice Division in the Federation of Egyptian Industries Mostafa Attallah said that this quantity is a surplus amount from the local market, and noted that this will not affect the supply provided to local consumers.However, Minister of Supply and Internal Trade Mohamed Abo Shady announced earlier in October that he had agreed with Prime Minister Hazem El-Beblawi not to export rice until all ration card related needs for the grain are met, which according to state-owned Al-Ahram amounts to 1.4 million tons per year.Abo Shady, citing statistics from the Ministry of Agriculture, stated that 2.2 million acres of rice were planted in 2013 and that rice production is expected to reach 7.5 million tons.

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Last year Egypt exported 650,000 tons of rice "to 58 countries in Europe and the Arab region," Attllah said, adding that the international markets for Egyptian rice are increasing year on year.According to Attallah, the government wants to reduce its rice cultivation because of its heavy water consumption. "But the farmers are continuing sowing rice as it is profitable for them," he said, since the crop's price per ton can reach EGP 1,250.Meanwhile, Abo Shady discussed with Bulgaria's Ambassador to Cairo importing wheat and food oil from Bulgaria with competitive prices during a 23 October meeting, according to a statement published on the ministry's website.The Federation of Egyptian Industries is a semi-governmental organisation comprised of members elected by the general assemblies of various industrial companies, and headed by representatives of government ministries.

Local rice importers not happy with ban Importers of rice from the frontiers of the country are cautioning government of the huge financial and economic implications of the decision to ban importation of rice by land, which came into effect from 1st Novermber, 2013.The Ministry of Trade and Industry, in a notice to importers of rice in the Monday, October 14, 2013 edition of the Daily Graphic and signed by the Sector Minister Hon. Haruna Iddrisu, directed that ‗with effect from 1st Novermber, 2013, all imports of rice shall be done through only the Kotoka International Airport, Tema and Takoradi Ports.‘The directive among other things warned that ‗importation of rice through all land frontiers shall be illegal,‘ and ‗any person who imports rice through any port other than the declared Ports commits an offence and shall be prosecuted, and in addition have such imports confiscated.

‘This policy, as stated in the publication, ‗is intended to provide a framework of administrative procedures through which the numerous unfair trade practices including evasion of import duties and other taxes, underinvoicing, infringement of trademarks, and smuggling shall be controlled‘.It is against this backdrop that members of the Ghana-Ivory Coast Rice Importers and Sellers Association have asked government to reconsider and subsequently withdraw the ban in view of the eminent and indefinable consequences that consumers, importers and the country as a whole could face if the policy is allowed to come into effect.They lamented that several Ghanaians involved in the rice importation business by land, particularly the small- to medium-scale dealers and those involved in the carting of the commodity and a chunk of others in the retail trade, risk losing their source of livelihood.

This development, according to the importers, would thus more likely lead to huge losses of revenue to the state -- given that colossal sums of monies are paid as import duties at the borders of the country whenever they bring in rice.The intended ban, if not immediately reversed, they reckoned, would rather also position the foreigners in the rice importation business to monopolise the trade, considering how uncompetitive the rice market would become and the huge capital that would be required to import through the declared Ports.They therefore appealed for government to take a second look at the ban, and also take a cue from the outcome of similar policies introduced on tinned tomatoes, textiles and others some time past.The government has also been advised to work effectively to immediately replace Customs officials at the various entry points if they cannot

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be trusted to check smuggling activities and tax evaders -- among the several reasons why it offered support for the introduction of this new policy

Tilda basmati rice brand is put up for sale y Kasmira Jefford:November 4, 2013, 5:34am

THE OWNERS of Tilda, one of the world‘s top basmati rice brands, are considering a sale that could value the business at up to £250m.The Thakrar family, which owns Tilda, is understood to have appointed investment bank Rothschild to review options for the family‘s shareholding, according to reports by Sky News.Rothschild declined to comment last night.Thakrar family, led by Vipul Thakrar, set up the business after they arrived in North London in the early 1970s following their expulsion from Uganda by Idi Amin‘s regime.Tilda, which originally catered to the British Asian community, is now a major exporter of basmati rice selling to over 50 countries in North America, Europe, Middle East and Africa.Analysts estimate that the company could be worth in the region of £250m.Accounts filed last month at Companies House for Braunstone Properties, Tilda‘s parent company, show that turnover jumped by 13.5 per cent to £120m in 2012 while operating profit increased fourfold from £1m to £4.1m. Tilda was unavailable for comment.

BOC holds rice imports until permits question settled

By Tina G. Santos:Philippine Daily Inquirer 4:39 am | Monday, November 4th, 2013

Customs Commissioner Ruffy Biazon: ‗Committing an error on the side of right‘. RYAN LEAGOGO/INQUIRER.net MANILA, Philippines—The Bureau of Customs (BOC) will continue to hold rice shipments not covered by import permits as it awaits a government policy on rice importation from countries whose quantitative restrictions (QR) had expired.To date, over 400 container vans of rice are on hold, according to Customs Commissioner Ruffy Biazon.―Our default position is that we‘d rather commit an error on the side of right, which means we will block shipments with no import permits,‖ said Biazon in an interview.―But this standoff cannot last long, a policy decision has to be made,‖ he added.

Biazon said the bureau was being threatened with lawsuits by importers, who claimed the agency had no basis for holding their shipments since the QR under the World Trade Organization–General Agreement on Tariffs and Trade (WTO-GATT) expired in June last year.―I think the government should make a decision now on what the actual policy is because it‘s customs that is caught in the middle,‖ he said.The Vietnam Food Association, an organization of rice traders in Vietnam, earlier sought Biazon‘s help over its expired QR that was making it difficult for its members to export rice to the Philippines.The group said that with the expiration

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of the QR, import permits were no longer needed for rice to enter the country provided the applicable tariff rate of 50 percent ―is paid by the importing entity after compliance with customs procedures.‖ Seek two opinions Biazon said he would seek the opinion of the Department of Justice and the Department of Agriculture on the matter.On Oct. 22, the VFA, Vietnam‘s equivalent of the NFA, wrote the Bureau of Customs asking if it was proper for the entry of imported rice into the Philippines to still be covered by import permits when quantitative restrictions (QRs) on rice importations had been lifted under the WTO-GATT.The letter was a follow-up to the VFA‘s Oct. 10 letter to the customs bureau saying that with the expiration of QRs, import permits were no longer needed for rice to be traded between one country and another.―We are of the position that the WTO QR on rice entering the Philippines had expired on June 30, 2012, and as a member country of the WTO we are aware that the QR in favor of the Philippines had not been extended,‖ wrote VFA representative, Pham Van Bay.All WTO members had agreed to improve market access and reduce trade distorting subsidies and restrictions to agriculture in their respective countries.The organization, however, granted the Philippines ―special treatment‖ for rice and allowed the country to impose quantitative restrictions on its importations from 1995 to 2005.While given an extension in 2004, after the ―special treatment‖ first expired, this expired in June 2012. Representatives from the Department of Agriculture (DA) had been asked to obtain extensions of the privilege but were twice denied by the WTO. Seizure of shipments The NFA ordered the seizure of rice shipments by private importers at the Davao City port even though the importers had officially coordinated the importation with the NFA in letters to Administrator Orlan Calayag dated Aug. 20 and Sept. 10.―Unless the Philippines is ready and willing to admit publicly that it has no intention of complying with its commitments under the WTO, it has no choice but to allow the importation of rice without a QR,‖ wrote lawyer Benito Salazar for his clients, Silent Royalty Marketing and Stracraft International, among several importers hurt by the NFA decision on the rice cargo here.―If your good office insists to the contrary, then the country should be properly informed and advised to prepare for dispute cases to be initiated by WTO members and the possible sanction that will be imposed,‖ said Salazar in a statement.— With a report from Germelina Lacorte, Inquirer Mindanao

China admits rice soils being over farmed Rich Keller, Editor, Ag Professional | November 1, 2013

According to the China National Grain & Oils Information Center, the country‘s rice output will fall in 2013.

The decline is prompting the world‘s biggest rice consuming country to import more rice in order to ensure the country‘s food supply.Although weather is being blamed for the decline in rice production, other factors are at play as noted in a report provided by Global AgDevelopments Research and Insight e-newsletter produced by HighQuest Partners.What is most interesting is that at least some government official suggest that rice fields‘

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production is declining due to decades of over farming without proper agronomic practices. What doesn‘t make a lot of sense is blaming heavy fertilizer, pesticide and herbicide use as cutting yields.

The question is if something was lost in translation to English.Ding Shengjun, a senior researcher at the Academy of the State Administration of Grain, reportedly said in an interview, "After decades of efforts to pursue higher outputs, China's rice sector is seeing a decline in competitiveness. The government has realized that the country's rice farmland needs a break after years of heavy use of fertilizers, pesticides and herbicides."Like some other Asian countries such as Thailand, China has implemented policies to encourage rice cultivation and established guaranteed minimum purchase prices floors. After almost a decade of increases, rice prices are now well over those seen in international markets. The difference compared to countries like Thailand is that China is using all the rice grown to feed its people while Thailand is selling much of its rice in the international export market. And to confuse the situation even more, reports are that China is buying rice from Thailand.China accounts for 26 percent of the world's rice production, and, therefore, more than 26 percent of the world rice consumption.One speculation is that China might cap its guaranteed rice prices on domestic production even though rice yields are falling. In 2013, rice yields reportedly have fallen 1.7 percent to 6.7 tons per hectare.

New Proposal Could Cut Off Rice Farmers for Third Year in a Row NOVEMBER 1, 2013 | 3:48 PM:BY TERRENCE HENRY PHOTO BY LCRA

The extreme drought and 2011 releases to farmers lowered levels in Lakes Buchanan and Travis (pictured) in Central Texas.After a month of heavy rains and floodingculminating in the wettest October in history for Austin, many in Central Texas are likely wondering if the drought is over. Far from it: Austin‘s reservoirs in the Highland Lakes are still very low, roughly only a third full, and could reach their lowest levels in history this winter. A new proposal out today from the Lower Colorado River Authority (LCRA) plans for the drought to possibly continue well into next year.

If the plan goes forward, it would likely cut off most rice farmers downstream for a third year in a row if the Highland Lakes don‘t see significant rains this winter, increasing the amount of water in the lakes. Much of the precipitation this past month fell downstream of the lakes and did little to raise the levels of the two main reservoirs in Central Texas, Lakes Buchanan and Travis.

It‘s the most restrictive proposal the authority has made since the drought began, designed to give the Highland Lakes time to recover from several years of dry weather and massive releases of water to agricultural customers in the summer of 2011. The plan would also mandate water restrictions for residential consumers in Central Texas cities like Austin, limiting watering to once a week. (Those restrictions are already in place from Austin

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Water; but this would be the first time the LCRA mandates water conservation from residential customers.) The emergency drought plan from LCRA staff still needs to be approved by the authority‘s board and the Texas Commission on Environmental Quality.A third year without water for most rice farmers on the Lower Colorado could have a significant impact on the industry there. Farmers have said that crop insurance isn‘t likely to cover a third year of losses. ―It‘s difficult to recommend a course of action that will likely result in most farmers not receiving water for a third straight year,‖ LCRA General Manager Becky Motal said in astatement. ―We fully understand how painful this drought is for people throughout the basin, but we have to protect the water supply for our municipal and industrial customers. Extending the water supply for those needs has to remain our top priority during this drought.‖ The LCRA is also asking residential consumers to stop watering their lawns completely from November to February to conserve.

The LCRA has been in a tug of war for several years now over water stored in the Highland Lakes, a conflict pitting rice farmers against lake businesses against Austinites with green lawns. But Laura Huffman, head of the Nature Conservancy in Texas, says the conversation is all wrong.―One of the things that is so important in Central Texas is making sure that we don‘t all just start pointing our fingers at someone else and say, ‗It‘s your problem, you fix it,‘‖ Huffman says. It‘s that finger-pointing that Huffman says gets in the way of creative solutions.―If a city becomes interested in reducing the losses in agriculture, for example, that becomes water supply available for the cities,‖ Huffman says. ―And, look, the bottom line is still going to be the same for everyone: less water is going to have to be the solution. ‖That is exactly what the LCRA is proposing for next year if the lakes don‘t see significant rain over the winter.

The agency‘s board will take up the proposal at a meeting on November 19th, with public comment open until noon on November 18th.The LCRA is also building a reservoir downstream of the Highland Lakes that will store water for agricultural consumers like rice farmers while reducing demands on the lakes. The project is expected to be completed by 2017, with a cost of over $200 million. It‘s one of several projects in the state that could potentially apply for funding from the state ifProposition 6 is approved by voters Tuesday.

More Rice Fields May Reduce Imports

By Jakarta Globe on 1:41 pm November 2, 2013.

Category Business, Economy, Featured ,Tags: Indonesia imports, Indonesia rice production

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A farmer tills a rice field with a buffalo-drawn plow in Baso, West Sumatra. (JG Photo/Afriadi Hikmal)

Rice production estimates have been revised upwards on expanding paddy field coverage, indicating the staple may not need to be imported for the rest of the year.The nation‘s unhulled rice production may reach 71 million tons this year, up 2.3 percent from an earlier forecast of 69 million tons made in July, the Central Statistics Agency (BPS) announced on Friday.That would translate to between 40 million and 44 million tons of polished rice, more than enough to sate the national appetite, which stretches to 36 million tons of rice annually.The news followed President Susilo Bambang Yudhoyono‘s setting of a range of new food production targets on Wednesday, in a bid to reduce dependence on imported commodities and stabilize food prices.The statistics agency reported that 324,000 hectares of new paddy fields were opened up this year, bringing the nationwide total to 13.8 million hectares. Of that area, 6.4 million hectares are farmed on Java, where productivity is estimated to reach 5.8 tons of unhulled rice per hectare.

Fields outside Java yield less, at an estimated 4.5 tons harvested per hectare.Averaged nationwide, farmers managed to maintain productivity at 5.1 tons of unhulled rice per hectare, the same as a year ago.

Agriculture Minister Suswono voiced the hope last week that the country may not need to import rice this year, with yields holding well and stocks held by Bulog, the state procurement agency, standing at 2 million tons.Indonesians consume an average of 139 kilograms of rice per capita each year, compared with 60 kg in Japan, 63 kg in Malaysia and 100 kg in China.Despite being the world‘s third-largest rice producer, Indonesia has also been among the biggest rice importers over the past few years. Annual imports have averaged over 1 million tons, as the country saw a drop in cultivated area due to urbanization, and harvest disruptions caused by erratic weather.Bulog, which is responsible for rice imports, typically buys the grain from Thailand, Vietnam and India.Last year it signed an import agreement that would allow it to import 100,000 tons of rice from Cambodia, as the country seeks to diversify its import sources.The Agriculture Ministry has set a goal of self sufficiency in rice, corn and soybeans by 2014.

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