9th february 2015 daily exclusive oryza rice e newsletter by riceplus magazine

February 09, 2015

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com

Volume 5, Issue I Daily Exclusive

ORYZA Rice

Newsletter

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com

Egyptian Rice Exporters Complain of High Export Tariffs and Increasing Contraband Trade Feb 09, 2015

Egyptian rice exporters are not able to export high amounts of rice this year due to high export tariffs imposed by the government, according to Reuters.In October 2014, the government removed the ban on rice exports, which it first imposed in 2008 to save rice for local consumption. But it required the exporters to sell one ton of medium-grain rice at about 2,000 Egyptian pounds (around $279) to the General Authority for Supply Commodities (GASC) for every ton of rice they export, as well as pay an export tariff of around $280 per ton of rice exported.

The exporters are complaining that a export tariff of about $480 per ton for a ton of rice worth $400 is forcing them to set the export prices at about $880 per ton (including cost and freight) and is leaving little scope for profits.While the government is targeting to export around one million tons of rice before September 2015, exporters are worried if they can reach the target.

They say Egyptian rice competes with the U.S., Russian and Italian rice in the international market and all those are selling at around $750 per ton.

They are worried that the Egyptian rice is becoming uncompetitive in the global market due to high export tariffs.They also expressed concern that contraband trade with the neighboring countries has been increasing. They noted that smugglers have been selling rice at around $750 per ton in those countries and are making huge profits.Egypt is expected to produce around 4.3 million tons of rice this year, while the country's consumption needs are at around 3.3 million tons. Therefore the country has around 1 million tons of surplus rice, which can be exported.USDA estimates Egypt to produce 4.5 million tons of milled rice and export around 500,000 tons in MY 2014-15 (October - September).

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Global Rice Quotes February 9th, 2015 Long grain white rice - high quality Thailand 100% B grade 415-425

↔

Vietnam 5% broken

350-360

↔

India 5% broken

395-405

↔

Pakistan 5% broken

345-355

↔

Myanmar 5% broken

410-420

↔

Cambodia 5% broken

430-440

↔

U.S. 4% broken 495-505

↔

Uruguay 5% broken

NQ

↔

Argentina 5% broken

NQ

↔

Long grain white rice - low quality Thailand 25% broken

365-375

↔

Vietnam 25% broken

325-335

↔

Pakistan 25% broken

310-320

↔

Cambodia 25% broken 415-425

↔

India 25% broken

360-370

↔

U.S. 15% broken

485-495

↔

Long grain parboiled rice Thailand parboiled 100% stxd

405-415

Pakistan parboiled 5% broken stxd

↔

395-405

India parboiled 5% broken stxd 390-400

↔

U.S. parboiled 4% broken

↔

550-560

↔

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Brazil parboiled 5% broken

570-580

Uruguay parboiled 5% broken NQ

↔

↔

Long grain fragrant rice Thailand Hommali 92% 925-935

↔

Vietnam Jasmine

↔

450-460

India basmati 2% broken

NQ

↔

Pakistan basmati 2% broken

NQ

↔

Cambodia Phka Mails

785-795

↔

320-330

↔

Vietnam 100% broken 305-315

↔

Brokens Thailand A1 Super

Pakistan 100% broken stxd Cambodia A1 Super

290-300

340-350

↔

India 100% broken stxd 295-305

↔

Egypt medium grain brokens

NQ

↔

U.S. pet food

↔

405-415

Brazil half grain NQ

↔

↔

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

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Indonesia Steps Up Efforts to Increase Rice Production Amid Drought Concerns; Zero Imports and Price Control High on Agenda

Feb 06, 2015

Oryza.com -

Indonesia's 2015 paddy rice production is expected to reach about 71.28 million tons, up about 0.95% from around 70.6 million tons produced in 2014, local sources quoted Agriculture Ministry officials as saying.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com The Ministry lowered estimates for 2015 paddy rice production from its earlier estimations of around 73.4 million tons due to a forecast of long dry season, which is likely to result in lower output, according to the Ministry's Director General for food crops.

He was quoted as saying that the government is planning to step up efforts to ensure production does not fall significantly due to drought conditions. He noted that the Agriculture Ministry has set aside about Rp 30 trillion (around $2.38 billion) to finance programs such as development and improvement to irrigation infrastructure, distribution of seeds and fertilizers, pest control as well as expansion of planting area in order to boost production. The government is planning to increase paddy rice acreage by around 2.6 million hectares to around 15-16 million hectares.

The government is also concerned of increasing prices in case of a decline in production.

Already, prices are on an uptrend since September 2014. Indonesia imported around 425,000 tons of rice from Thailand and Vietnam last year to boost stocks and control price hikes.

However, this year, the government is bent on maintaining zero import policy and focus on increasing rice production to meet increasing consumption needs. The Ministry's Director General also noted that the government is keen on achieving surplus rice this year in line with its policy.

USDA estimates Indonesia to produce around 36.5 million tons of rice, basis milled (around 57.4 million tons, basis paddy), and import around 1.3 million tons of rice in MY 2014-15 (January 2014 - December 2014. Consumption in 2015 is estimated at around 39.2 million tons.

Guyana Targets to Export 521,000 Tons of Rice in 2015; Up 4% from Last Year Feb 08, 2015

The Guyana government is targeting to export around 521,000 tons of rice in 2015, up about 4% from an estimated 501,208 tons exported in 2014, local sources quoted the Agriculture Minister as saying.The Agriculture Minister told local sources that Guyana currently has export agreements with Venezuela, Panama and several other Caribbean countries, and the government is pursuing sales agreements with Nicaragua and 6

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com other Central American countries such as Belize. He also noted that shipping rice to West African countries is being delayed due to the outbreak of the Ebola Virus Disease (EVD).

The government has set the 2015 milled rice production target at around 618,000 tons, about 3% below an estimated 635,238 tons produced in 2014, according to the Agriculture Minister.

Guyana's rice sector has seen consistent improvements over the last few years. The production increased from around 317,323 tons in 2012 to around 635,238 tons in 2014 mainly due to the government's support in providing fertilizers at subsidized prices and ensuring timely payments to farmers.

Oryza Afternoon Recap - Chicago Rough Rice Futures Pull off First Weekly Gain Since mid-Dec as Crude Continues to Provide Support Log in

Feb 06, 2015

Chicago rough rice futures for Mar delivery settled 29 cents per cwt (about $6 per ton) higher at $10.740 per cwt (about $237 per ton). Rough rice futures saw follow-through buying today, adding to gains earned yesterday and even managed to pull off a higher close on the week. Prices moved from their open at $10.570 per cwt (about $233 per ton) for Monday’s session, to their closing price 17 cents per cwt (about $4 per ton) higher today, marking the first weekly gain in 8 weeks. Today’s action is seen as a positive development and is seen by many as confirmation that a near-term bottom has indeed been put in place and expectations are now for a run higher in prices. Gains will likely be attributed to short covering as speculative shorts have grown to record levels in recent weeks. However; fundamentally very little has changed and some trade insiders expect a period of back-and-forth trade in coming sessions as the market attempts to establish a firm floor.

The other grains finished the day with mixed results as corn and wheat managed to pull out gains while the soy complex remains under pressure; Soybeans closed about 0.8% lower at $9.7350 per bushel; wheat finished about 0.2% higher at $5.2700 per bushel, and corn finished the day about 2.8% higher at $3.8575 per bushel.U.S. stocks pared gains to trade in a narrow range on Friday on news the S&P downgraded its rating on Greece to "B-" from "B." Earlier, stocks traded moderately higher as cheer over a strong jobs report was slightly offset by increased potential for an earlier Fed interest rate hike. Financials, a likely beneficiary of higher interest 7

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com rates, rose by as much as more than 1.5% as a leading sector in the S&P 500, which declined on Greek news but still held near the key 2,060 level.

On the flip side, utilities traded lower, losing more than 2% as the weakest sector in the S&P 500. Atlanta Fed President Dennis Lockhart on Friday said he thinks the U.S. economy continues to grow strongly enough to justify an initial interest rate hike later this year, but that weak inflation and wage growth were "worrisome." The Labor Department said the United States created 257,000 jobs in January, beating estimates of about 230,000. More importantly, average hourly earnings grew by 0.5%, above estimates.

The Dow Jones Industrial Average fell 15 points, or 0.09%, at 17,868. The S&P 500 traded up 1 point, or 0.05%, at 2,063, with utilities leading decliners and telecoms and financials leading advancers. The Nasdaq traded down 5 points, or 0.11%, at 4,759. Gold is trading about 2.3% lower, crude oil is seen trading about 2.3% higher, and the U.S. dollar is seen trading about 1.2% higher at about 1:00pm Chicago time.Thursday, there were 359 contracts traded, down from 649 contracts traded on Wednesday. Open interest – the number of contracts outstanding – on Thursday decreased by 78 contracts to 10,244.

Oryza U.S. Rough Rice Recap - Prices Firm on New Export Sales, but More Still Needed to Sustain Price Level Feb 06, 2015

The U.S. cash market was firmer today as fresh demand from Colombia dried up most selling interest that the market saw earlier in the week. However, the buy interest also remains limited.Analysts continue to note that without purchases from Iraq or Venezuela the market will have trouble sustaining the rally seen today.

Oryza Overnight Recap - Chicago Rough Rice Futures Find Buying Interest despite Softer Grains this Morning 8

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Feb 06, 2015

Chicago rough rice futures for Mar delivery are currently listed 19.5 cents per cwt (about $4 per ton) higher at $10.645 per cwt (about $235 per ton) during early floor trading in Chicago. The other grains are all seen trading lower: soybeans are currently seen about 0.5% lower, wheat is listed about 1.3% lower and corn is currently noted about 0.6% lower.

U.S. stocks struggled for direction after opening slightly higher on Friday, as initial cheer over a strong jobs report turned to concerns of an earlier Fed interest rate hike. Financials rose more than 1% to lead gains on the S&P 500, which traded up marginally above the key 2,060 level.

The Labor Department said the United States created 257,000 jobs in January, beating estimates of about 230,000.

More importantly, average hourly earnings grew by 0.5%, above estimates. The unemployment rate rose to 5.7%, above estimates. In Europe, equities traded lower after Greece's talks with Germany—the euro zone's largest economy—over the future of its bailout program had mixed success. Futures turned higher on the news with Dow futures extending gains from 9 points to as much as more than 80 points. The U.S. 10-year Treasury note yield rose from about 1.80% to as high as 1.91%. Gold is currently trading about 1.6% lower, crude oil is seen trading about 2% higher, and the U.S. dollar is currently trading about 0.9% higher at 8:30am Chicago time.

Thailand On-Farm Pledging Program for 2014-15 Main Crop Fragrant and Glutinous Paddy Receives Lukewarm Response, Says USDA Post Feb 06, 2015

The on-farm pledging program for 2014-15 main crop fragrant and glutinous paddy rice introduced by the military government has not received expected response as the intervention price set by the government to buy fragrant and glutinous paddy rice is much below the market prices. At the time of introducing the scheme, the government claimed that it has set the intervention price for fragrant rice paddy at about 23% higher than market prices and that for glutinous rice paddy was set at about 41% higher than market price.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com According to the Post, the government has so far received only 80,000 tons of fragrant paddy and it expects to receive another 200,000 - 300,000 tons before the close of the program on February 28, 2015. The Post reports that most of the glutinous rice paddy is being used for domestic consumption. The program was meant to encourage farmers to delay sales of around 2 million tons of rice to control price falls during the harvest season.

The Post estimates 2014-15 (January 2015 - December 2015) milled rice production to decline to around 19.7 million tons, down about 4% from around 20.46 million tons last year due to an expected decline in off-season rice planting following drought forecasts.

It estimates Thailand to export around 11 million tons of rice in 2015, slightly above 10.97

million tons exported in 2014 as the government is keen on selling around 10 million tons of rice from its stockpiles this year. The government has reportedly eased the terms and conditions for new tenders to speed up sales. The government is also trying to clinch government-togovernment (G2G) contracts to increase exports. Estimated shipments under G2G contracts in 2014 is shown below.

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USDA Post Forecasts Oil Price Decline to Affect Venezuelan Rice Imports

Feb 06, 2015

The USDA Post reports that world oil price falls have led to a significant reduction in Venezuela's foreign exchange reserves and consequently less dollar availability. This situation is expected to impact rice and other commodities importers, says the Post.USDA Post estimates Venezuela's MY 2014-15 paddy rice production at around 380,000 tons, down about 1.2% from around 385,000 tons produced last year due to severe drought conditions during the first crop season.

The Post says generally, government mismanagement, inadequate agricultural inputs and prevailing price controls have been hindering rice production in the country.The Post reports that government promises of increased investment in agricultural infrastructure have not materialized and rice producers are increasing becoming frustrated. In its November report, the Post noted that Venezuelan rice farmers have been demanding that the government increase the fixed retail price for rice from the current 9.50 bolivars per kilogram (around $1,520 per ton) as it is close to the control farm-gate price fixed by the government at around 8.6 bolivars/per kilogram ($1,360 per ton) and they have not been getting decent margins and are not motivated to grow rice.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Due to these reasons, Venezuelan farmers are unable to scale up their production levels and the country is forced to import rice. Venezuela majorly imports rice from Brazil, Guyana and the U.S. The Post estimates Venezuela rice imports for MY 2014-15 at around 500,000 ton, down about 2% from around 510,000 tons last year despite a reduction in production. The decline can be attributed to a decline in exports by about 16% y/y to about 180,000 tons, which can be used to service local consumption needs. However, this year, as told above, the Post reports that Venezuelan importers may face trouble getting dollars to pay for their imports.

In April 2014, Venezuela has renewed the 2013 Petro-Caribe Energy Cooperation Agreement with Guyana under which Venezuela will provide oil to Guyana in exchange for rice. Under the Agreement, Guyana will export 110,000 tons of white rice and 88,000 tons of paddy to Venezuela. Terms of the deal are expected to be altered due to a fall in oil prices.

Cambodia May Not Reach One Million Ton Export Target in 2015, Says Commerce Minister Feb 06, 2015

Lack of sufficient milling capacity and funding are major hurdles for Cambodia to achieve one million ton export target by 2015, local sources quoted the Commerce Minister as saying.Speaking at the sidelines of the annual conference of the Cambodia Rice Federation (CRF), he told local reporters that in 2010, the government set a target of exporting one million tons of rice officially by 2015. But since the country could export only 387,000 tons officially in 2014, it is very unlikely that it could achieve the target this year, he said. Most of the rice is exported unofficially to China through northern borders to Thailand and Vietnam.The Minister also noted that Cambodia produces about 9 million tons of paddy rice (around 5.8 million tons, basis milled) yearly and after catering to domestic consumption, about 3 million tons of rice is left for exports.

He said currently Cambodia has five main buyers - France, Poland, Malaysia, China and the Netherlands - but the government is exploring new markets such as Russia. He also noted that China agreed to buy 100,000 tons of rice from Cambodia between August 2014 - April 2015, and Cambodia has exporeted about 70,000 tons so far.Last month, the Prime Minister also expressed doubt over the country's capabiltiy in achieving the target.USDA estimates Cambodia to export

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com 1.2 million tons of rice (including official and unofficial exports to Vietnam and Thailand through borders) in 2015, up about 20% from around 1 million tons in 2014.

Japan Seeks to Import 50,000 Tons of Rice in Tender Feb 06, 2015

Japan is seeking to import about 50,000 tons of rice in 12th ordinary import tender for FY 2014 (April 2014 - March 2015), according to official sources.Japan seeks to buy about 24,000 tons of non-glutinous milled rice (medium grain) of U.S. origin under the U.S. Country Specific Quota (CSQ); and 26,000 tons of non-glutinous milled rice , including 12,000 tons of medium grain and 14,000 tons of long-grain) under global quota.

Japan seeks delivery of the U.S. origin rice from July 10, 2015 to August 10, 2015 and August 1-31, 2015; delivery of medium grain non-glutinous rice from August 20, 2015 to September 20, 2015; and delivery of long-grain non-glutinous rice from June 10, 2015 to July 20, 2015.The tender opens on February 10, 2015.

Pakistan Basmati Rice Export Prices Continue to Decline Amid Increasing Supplies and Weak Demand Feb 06, 2015

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Pakistan basmati rice prices, which have been declining since September 2014 have continued to decline in January 2105 as well due to increasing supplies and declining export demand. The decline has been in line with the global rice export prices. Especially rice import ban by Iran has affected both India and Pakistan basmati rice export prices. In January 2015, Pakistan's basmati rice export prices have declined about 1% to around $876 per ton from around $885 per ton in December 2014, and down about 37% from their year-ago levels of around $1,396 per ton, according to data from the UN's Food and Agriculture Organization (FAO).

In terms of local currency, average Pakistan basmati rice prices in January 2015 declined to around PKR 88,305 per ton (using historical exchange rates), marginally down from around PKR 88,350 per ton in December 2014, and down about 39% from around PKR 145,603 per ton in January 2014.Average basmati rice prices increased between August and September 2014 and peaked to around $1,450 per ton in September 2014 due to fears of a fall in production as floods affected large area of basmati rice acreage in Punjab. However, the overall production of basmati rice has not been significantly affected by floods. Pakistan basmati growers associations have been urging the government to provide adequate support to increase competitiveness of Pakistan's basmati rice in the global market.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com

Philippines Rice Stocks Decline Sharply in January 2015 Feb 06, 2015

Total rice stocks in the Philippines as of January 1, 2015 reached around 2.66 million tons, down about 12% from around 3.03 million tons recorded in December 2014, and up about 25% from around 2.13 million tons recorded during the same period last year, according to the Bureau of Agricultural Statistics (BAS).

According to the BAS, household stocks (which account for about 49.8% of total rice stocks in the country) have reached around 1.33 million tons as of January 1, 2015, up about 5% from year-ago levels of around 1.27 million tons.

Commercial warehouse rice stocks (which account for about 30.5% of total stocks) have reached around 810,000 tons as of January 1, 2015, up about 40% from their year-ago levels of around 580,000 tons. The rice stocks with the National Food Authority (NFA) (which account for 19.7% of total stocks) stood at around 520,000 tons, up about 93% from around 270,000 tons recorded in January 2014.

Month-on-month, household rice stocks are down about 15%, 15

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com commercial warehouse rice stocks are down about 17% and NFA rice stocks - in which about 96.5% are imported rice - are up about 6%, according to the BAS. The BAS says that the Philippines' rice stocks as of January 1, 2015 are enough to last for 78 days (household stocks are enough for 39 days, commercial warehouses stocks are enough for 24 days and stocks with NFA are enough for 15 days).

The NFA is initially planning to import 500,000 tons under government-to-government deals in 2015 to ensure adequate stocks in the lean season (June – August). It imported more than 1.8 million tons of rice (including 1.5 million tons of 2014 imports and 300,000 tons of 2013 residual imports) in 2014 to replenish rice stocks and control price hikes.

Total rice stocks in the Philippines as of January 1, 2015 reached around 2.66 million tons, down about 12% from around 3.03 million tons recorded in December 2014, and up about 25% from around 2.13 million tons recorded during the same period last year, according to the Bureau of Agricultural Statistics (BAS).

According to the BAS, household stocks (which account for about 49.8% of total rice stocks in the country) have reached around 1.33 million tons as of January 1, 2015, up about 5% from year-ago levels of around 1.27 million tons. Commercial warehouse rice stocks (which account for about 30.5% of total stocks) have reached around 810,000 tons as of January 1, 2015, up about 40% from their year-ago levels of around 580,000 tons. The rice stocks with the National Food Authority (NFA) (which account for 19.7% of total stocks) stood at around 520,000 tons, up about 93% from around 270,000 tons recorded in January 2014.

Month-on-month, household rice stocks are down about 15%, commercial warehouse rice stocks are down about 17% and NFA rice stocks - in which about 96.5% are imported rice - are up about 6%, according to the BAS. The BAS says that the Philippines' rice stocks as of January 1, 2015 are enough to last for 78 days (household stocks are enough for 39 days, commercial warehouses stocks are enough for 24 days and stocks with NFA are enough for 15 days).

The NFA is initially planning to import 500,000 tons under government-to-government deals in 2015 to ensure adequate stocks in the lean season (June – August). It imported more than 1.8 million tons of rice (including 1.5 million tons of 2014 imports and 300,000 tons of 2013 residual imports) in 2014 to replenish rice stocks and control price hikes.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com

Vietnam Rice Sellers Lower Some of Their Quotes Today; Other Asia Rice Quotes Unchanged Feb 06, 2015

Vietnam rice sellers lowered their quotes for 5% broken rice by about $5 per ton to around $350 - $360 per ton today. Other Asia rice sellers kept their quotes mostly unchanged.

5% Broken Rice Thailand 5% rice is quoted at around $405 - $415 per ton, about $55 per ton premium on Vietnam 5% rice shown at around $350 - $360 per ton, down about $5 per ton from yesterday.

India 5% rice is quoted at around $395 - $405 per ton, about $50 per ton premium on Pakistan 5% rice quoted at around $345 - $355 per ton.

25% Broken Rice Thailand 25% rice is quoted at around $365 - $375 per ton, about $40 per ton premium on Vietnam 25% rice shown at around $325- $335 per ton. India 25% rice is quoted at around $360 - $370, about $50 per ton premium on Pakistan 25% rice quoted at around $310 - $320 per ton.

Parboiled Rice Thailand parboiled rice is quoted at around $405 - $415 per ton. India parboiled rice is quoted at around $390 - $400 per ton, about $5 per ton discount to Pakistan parboiled rice quoted at around $395 - $405 per ton.

100% Broken Rice Thailand broken rice, A1 Super, is quoted at around $320 - $330 per ton, about $15 per ton premium on Vietnam 100% broken rice shown at around $305 - $315 per ton. India's 100% broken rice is shown at around $295 - $305 per ton, about $5 per ton premium on Pakistan broken sortexed rice quoted at around $290 - $300 per ton.

Weekly Recap: When Will the Global Rice Market Bottom Out? 17

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com Feb 06, 2015

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com The Oryza White Rice Index (WRI), a weighted average of global white rice export quotes, ended the week at about $420 per ton, down about $2 per ton from a week ago, down about $9 per ton from a month ago and down about $43 per ton from a year ago.Global rice export quotes remain steady to lower but some analysts are forecasting that near-term production cutbacks, on account of lower prices, will set the rice market up for an eventual recover later this year or next.

The UN’s Food and Agriculture Organization (FAO) estimates 2014-15 global rice production will decline marginally from last year’s production to around 496.2 million tons; this estimate is up slightly from its previous estimate. The decline from last year is attributed to decreases in South America, Sri Lanka, Australia, and Madagascar.

The FAO’s global rice price index declined 1% from December to January, reaching 222 points in January.

Thailand Thailand 5% broken rice is today shown at about $405 per ton, unchanged from a week ago, down about $5 per ton from a month ago, and down about $35 per ton from a year ago.

The Thai Rice Exporters Association (TREA) estimates Thailand’s 2015 rice exports will decline to about 10 million tons, down about 9% from 2014, due to strong competition from Vietnam.

In 2015, Thailand is expected to experience the worst drought in more than a decade, according to the Irrigation Department Officials. The government has allocated about 6.8 billion baht (about $208.65 million) to help alleviate and endure the drought.

The Finance Ministry plans to take over debts associated with the rice pledging scheme from the Bank of Agriculture and Agricultural Cooperatives (BAAC) to allow the BAAC to take up more expansion activities.

The current military-led government plans to reduce paddy rice production to about 33.73 million tons by 2016-17, down about 4% from the average over the last six years to manage surplus rice stocks and boost prices.

India India 5% broken rice is today shown at about $400 per ton, unchanged from a week ago, up about $10 a month and down about $15 per ton from a year ago.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com The western state Maharashtra has approved field trials of five genetically modified crops, including rice, maize, chickpea, eggplant, and cotton.

Vietnam Vietnam 5% broken rice is today shown at about $355 per ton, down about $5 per ton from a week ago, down about $25 per ton from a month ago and down about $50 per ton from a year ago.

During the period January 1-29, Vietnam exported about 169,358 tons of rice, down about 45% from January 2014 and down about 64% from December.

Vietnam has agreed to export about 240,000 tons of 5% broken rice to Malaysia between April and November.

The state-owned Vinafood 2 (Southern Food Corporation) has changed its rice purchasing model for export and will now buy paddy directly from farmers and process it for export instead of buying processed rice from merchants and millers.

Pakistan Pakistan 5% broken rice is today shown at about $350 per ton, down about $10 per ton from a week ago, down about $30 per ton from a month ago and down about $45 per ton from a year ago.

In January 2015, Pakistan's basmati rice export prices have declined about 1% m/m to around $876 per ton from around $885 per ton in December 2014, and down about 37% from their yearago levels of around $1,396 per ton, according to data from the UN's Food and Agriculture Organization (FAO). In terms of local currency, average Pakistan basmati rice prices in January 2015 declined to around PKR 88,305 per ton (using historical exchange rates), marginally down from around PKR 88,350 per ton in December 2014, and down about 39% from around PKR 145,603 per ton in January 2014.

Central & South America Brazil 5% broken rice is today shown at about $540 per ton, unchanged from a week ago, down about $10 per ton from a month ago and down about $125 per ton from a year ago.

The Brazilian paddy rice index maintained by the CEPEA reached around 38.24 real per 50 kilograms as of February 03, 2015, down about 0.34% from around 38.37 real per 50 kilograms 20

Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com recorded on January 27, 2015. In terms of USD per ton, the index reached around $282.7 per ton on February 03, 2015, down about 5% from around $297.4 per ton recorded on January 27, 2015.

The USDA Post estimates Brazil’s MY 2014-15 (April-March) rice exports will be around 900,000 tons, unchanged from both the previous year and previous estimates.

The USDA Post anticipates declining oil prices will affect rice imports to Venezuela.

U.S. U.S. 4% broken rice is today shown at about $500 per ton, unchanged from a week ago, down about $15 per ton from a month ago and down about $80 per ton from a year ago.

In the U.S. cash market buying and selling interest were limited throughout the week with prices mostly unchanged.

Chicago rough rice futures for March delivery were dropping early in the week, opening at $10.570 per cwt (about $233 per ton) on Monday and reaching a week-low of $10.010 per cwt (about $221 per ton) on Tuesday before finding support and reversing. They reached a high of $10.750 per cwt (about $237 per ton) on Friday before closing just under it at $10.740 per cwt (about $237 per ton).

Other Markets Paddy rice production in Mauritania reached around 202,000 tons in 2013-14, making it sufficient to cover 69% of the country’s domestic consumption demand. The Agriculture Minister anticipates production in 2014-15 will meet 90% of the country’s consumption needs.

Government in China has decided to continue the state stockpiling policy of rice in 2015 but will maintain last year’s minimum rice purchase prices (MRPP).

Nepal imported about 97,098 tons of rice from India through the Belhiya transit point in the first six months of the current fiscal year 2014-15 (August 2014-July 2015), up about 42% from the same period in FY 2013-14.

Japan has bought and sold around 895 tons of whole grain/brown rice of U.S., Australia, Pakistan, Thailand, and Vietnam origins and about 500 tons of broken rice of Thailand and Vietnam origins in the sixth Simultaneous Buy-Sell tender. Japan is seeking to import about 30,000 tons of rice in the tender with the last date for applications February 17.

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Daily Exclusive ORYZA Rice E-Newsletter www.ricepluss.com The USDA Post estimates Japan’s 2015 rice imports will be about 700,000 tons, up about 8% from 2014, due to anticipated decline in production.

Cambodia 5% broken rice is today shown at about $435 per ton, down about $10 per ton from a week ago, down about $20 per ton from a month ago and a year ago. Separately, the Cambodia Rice Federation (CRF) is trying to raise the requisite funding for the rice sector development through the export fees paid by the rice exporters. It has decided on an export fee of about $0.50 per ton for long-grain white rice and about $1 per ton for fragrant rice. Meanwhile, the Commerce Minister has expressed concern that a lack of sufficient milling capacity and funding may prevent Cambodia from reaching its one million ton export target by 2015.

The UN’s FAO has forecasted the Philippines 2014 rice imports will remain at last year’s level of about 1.8 million tons, reflecting the government’s efforts to stabilize domestic prices and replenish public stocks. Meanwhile, total rice stocks in the Philippines as of January 1 had reached about 2.66 million tons, down about 12% from December and up about 25% from the same period last year, according to the Bureau of Statistics. Separately, the Philippines will export about two tons of organic black rice to the U.S. this month. The country also plans to export hybrid rice seeds to Papua New Guinea.

Total milled rice production in the European Union is expected to decline to around 1.637 million tons in the marketing/crop year 2014-15 (September-August), a decrease of about 7.5% from MY 2013-14, according to the EU Directorate General for Agriculture and Rural Development.

The USDA Post estimates South Korea will import about 560,000 tons of rice in MY 2014-15, including 408,000 tons of rice imports under the WTO’s Minimum Marketing Agreement quota in the 2015 calendar year.

Paddy rice production in 2015 in Indonesia is expected to reach about 71.28 million tons, up about 0.95% from around 70.6 million tons produced in 2014.

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