23rd February ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

8/20/2019 23rd February ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

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Daily Exclusive ORYZA Rice E-Newsletter

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www.ricepluss.com www.riceplusmagazine.blogspot.com

Febuary 23,2016

Vol 7,Iss


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China Rice Imports Increase Sharply y/y in

January 2016

Feb 22, 2016

China imported around 287,200 tons of rice in January 2016, about 2.3 times from around122,400 tons imported during the same period last year, according to data from China CustomsGeneral Administration.

Month-on-month, China's rice imports in January 2016 declined about 27% m/m from around395,500 tons in December 2015.

In January 2016, China exported around 22,200 tons of rice, down about 20% from around27,900 tons exported in December 2015 and up about 15% from around 19,300 tons exported inJanuary 2015.

China imported about 3.35 million tons of rice in 2015, up about 31% from around 2.56 milliontons imported in 2014. China exported about 285,800 tons of rice in 2015, down about 32% fromaround 419,069 tons in 2014.


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USDA estimates China to produce around 145.77 million tons of milled rice in MY 2015-16(July - June). It estimates China to import around 4.7 million tons and export around 450,000tons of rice in 2016.

El Niño Damages $24 Million Worth RiceCrops So Far in Philippines, Says Agriculture

Department

Feb 22, 2016

Extending dry conditions due to the El Niño phenomenon have damaged about 94,934 tons ofrice worth P1.62 billion (around $24 million) as of February 18, 2016 in the Philippines,

Business Mirror quoted a report by the Department of Agriculture (DA).

The report showed that about 59,463 hectares of paddy are affected, but about 40,221 hectareshave a chance of recovery. Based on the latest projections by the Philippine Statistics Authority(PSA),the DA Field Operation Service Officer in Charge told reporters that the effects of El Niñoto rice production in the first half of 2016 would be “minimal.”

The PSA estimates the Philippines 2016 first half paddy rice production at around 8.2 milliontons, down about 1.5% from around 8.32 million tons in 2015. The Philippines paddy productionin 2015 declined about 4.31% to around 18.15 million tons, down from around 18.97 milliontons in 2014 due to the El Niño phenomenon.

Around 304,104 tons of total crops worth P4.002 billion (around $84 million) from around194,056 hectares are affected by the El Nino, according to the report.

Meanwhile, the Philippine Atmospheric, Geophysical and Astronomical Services Administration is

expecting the El Niño to gradually weaken from March to May this year, while El Niño-Southern

Oscillation (Enso)-neutral is likely between May to July 2016. Enso-neutral refers to a period when

neither El Niño nor La Niña is present

FAO Forecasts Japan MY 2015-16 RiceImports at 700,000 Tons

Feb 22, 2016


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The UN's Food and Agricultural Organization (FAO) forecasts Japan's MY 2015-16 (April -March) rice imports at around 700,000 tons. It estimates the country's total cereal imports ataround 24 million tons. Cereal imports cover nearly 60% of the total domestic cereal utilization.

The FAO forecasts Japan's 2015 paddy rice production at around 10.2 million tons, down about

5% from 10.77 million tons in 2014 due to a reduction in the paddy area reflecting a decline in prices.

European Commission Reduces

Maximum Residue Level of

Pirimiphos-Methyl Insecticide in Rice

Cultivation Feb 22, 2016

The European Commission (EC) has reduced the maximum residue level (MRL) for the pirimiphos-methyl insecticide to 0.5 parts per million (ppm/milligrams per kilogram) for ricecultivation under the regulation Reg.53/2016 from the earlier 5 ppm under the previousregulation Reg.396/2005 in accordance with the guidance provided by the European Food SafetyAuthority (EFSA), according to local sources.

The pirimiphos-methyl insecticide used to prevent and combat infestations by storerooms and

stored products, contained in various commercial products authorized for the treatment offoodstuffs or for storage rooms.

The EC has also allowed for similar reduction of MRL for the insectide in corn, rye and buckwheat cultivation, while it as retained at the earlier level for other cereals.

The Reg. 53/2016 EU came into force on February 9, 2016, but under the article 2, it apples toagricutlural products marketed after August 9, 2016. Until then the MRLs will be applicableunder the Reg. 396/2005.

The development may demand more attention in the management of warehouses and stored

paddy.

Government of South Korea Plans to Use

Black Rice in Medicines, Health Products

Feb 22, 2016


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South Korea's Rural Development Administration is planning to encourage local companies to produce medicines and other health products using black rice as it contains one of the highestlevels of anthocyanin antioxidants, which act as anti-cancer agents, according to Arirang News.

Black rice is also known to act as an anti-ageing agent and prevent various diseases.

A recent research report also proved that black rice also fights against obesity. Researchers notedthat substances found in the outermost layer of black rice are found to inhibit lipogenesis and fatabsorption. They conducted a study in which they fed ten out of 20 mice with black rice extractfor three months, and found that the mice that were fed with the extract saw a nearly 26%reduction in obesity index and 27% reduction in abdominal fat. They also found that the bloodcholesterol in the experimental group of mice was reduced by about 10%.

Recently, another study also showed that post-menopausal women who took black rice extractcapsules for 12 weeks could see more than 5% reduction in abdominal fat.

Considering the various health benefits associated with black rice, Korea’s rural department has

decided to transfer its extraction technology to companies to help then produce and promotemedicines and other health products.

Oryza U.S. Rough Rice Recap - Prices Fall

after Iraqi Tender Offers Revealed

Feb 23, 2016

The U.S. cash market was seen softer today after offers on the latest Iraqi tender were revealed,leading some market participants to believe Iraq will scrap the tender for U.S. origin only.

It was reported that 30,000 tons of U.S. origin was offered at $597 PMT CIF free out whileanother 90,000 tons were offered at $597.86 PMT CIF free out.

Although the tender only called for U.S. origin, one company offered 60,000 tons from Uruguay

at $511 PMT CIF free out and 60,000 tons from Argentina at $501.50 PMT CIF free out.

Analysts note that no purchase decision has been made as of yet and that the offers remain validuntil February 25th, however the Iraqi Grain Board regularly extends tender deadlines.


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FAO Forecasts Malaysia 2015-16 Rice

Imports to Increase on Strong Domestic

DemandFeb 22, 2016

The UN's Food and Agriculture Organization (FAO) forecasts Malaysia's MY 2015-16 (July-June) rice imports to increase despite an estimated record rice production in 2015 due to a strongDomestic Demand. The FAO estimates Malaysia's 2015-16 total cereal imports, including rice,to increase about 2% y/y to around 6.5 million tons.

The FAO forecasts Malaysia's 2015 paddy rice production at a record 2.7 million tons, up about

2% from around 2.645 million tons in 2014 despite a slight contraction in paddy area due tofavourable weather conditions, increased yields and continued government support to the ricesector.

Planting of the 2016 paddy crop is nearing completion. However, concerns of El Nino induceddry conditions during the northeast monsoon period (December-March) are likely to impact the potential of the 2016 paddy crop.

Oryza CBOT Rough Rice Futures Recap -

Chicago Rough Rice Futures Tumble asOffers on Iraqi Tender Revealed

Feb 23, 2016

Chicago rough rice futures for Mar delivery settled 31.5 cents per cwt (about $7 per ton) lower at$10.705 per cwt (about $236 per ton). The other grains finished the day with mixed results;Soybeans closed about 0.4% higher at $8.8425 per bushel; wheat finished about 0.6% lower at

$4.6400 per bushel, and corn finished the day about 0.8% higher at $3.7225 per bushel.

U.S. stocks traded more than 1% higher Monday, trying to build on their best weekly gain of2016, as oil prices climbed. WTI futures for March delivery, which expire after the settleMonday, traded about 7% higher near $31.70 a barrel after the International Energy Agency saidin its medium-term outlook Monday that U.S. shale oil production was expected to fall by600,000 barrels per day (bpd) this year and another 200,000 bpd in 2017. U.S. crude brieflyclimbed above $32 a barrel at session highs. The forecast added to last week's drop in U.S. oil rig


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count to their lowest level since December 2009, according to Reuters. OPEC General SecretaryAbdalla Salem El-Badri is scheduled to speak at the CERAWeek energy conference in Houstonlater on Monday. Globally stocks gained, with European stocks more than 1.5% higher and theShanghai composite jumping more than 2% to lead gains in Asian equities. The Chinese yuanheld steady overnight. In U.S. economic news, the flash read on Markit Manufacturing PMI for

February was 51.0, down from the final January print of 52.4 and hitting its lowest since October2012. In afternoon trade, the Dow Jones industrial average rose 263 points, or 1.61%, to 16,655.The S&P 500 gained 28 points, or 1.5%, to 1,946, with energy leading all 10 sectors higher. The Nasdaq composite rose 71 points, or 1.6%, to 4,575. Gold is seen trading about 1.8% lower,crude oil is seen trading about 5.8% higher, and the U.S. dollar is seen trading about 0.9% higherat about 1:00pm Chicago time.

Friday, there were 1,699 contracts traded, up from 1,018 contracts traded on Thursday. Openinterest – the number of contracts outstanding – on Friday decreased by 360 contracts to 12,773.

Iraq Passes On Tenders to Purchase 90,000Tons of U.S. Rice

Feb 22, 2016

Iraq has passed on tenders to purchase around 90,000 tons of U.S. non-glutinous rice in tenders,which closed on February 21, 2016 with the offers having to remain valid till February 25,2016,Reuters quoted the European traders.

The Iraqi Grain Board (IGB) reportedly received the lowest offer to supply 30,000 tons of U.S.rice at $597 per ton (c&f). Though, the tender had sought only the U.S. rice, the same companythat offered lowest bid for 30,000 tons of U.S. rice also offered to supply 60,000 tons of Uruguayrice at $511 per ton (c&f) and 60,000 tons of Argentina rice at $501.50 per ton (c&f).

Other offers for the U.S. rice were reportedly made at $597.86 per ton, $612 per ton and $635 per ton (all c&f).

FAO Forecasts South Korea to Import

440,000 Tons of Rice in 2016Feb 22, 2016

The UN's Food and Agriculture Organization (FAO) forecasts South Korea to import 440,000tons of rice in 2016. The FAO forecasts South Korea's total cereal imports in MY 2015-16(October-September) to increase slightly over the previous year due to an increase in wheatimports.


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The FAO estimates South Korea's 2015 paddy rice production at around 5.8 million tons, upabout 2% from around 5.638 million tons in 2014 due to favourable weather conditions, which boosted yields to an all-time record of 7.2 tons per hectare.

The government is currently facing problem of increasing supplies (from production and

imports) and falling consumption. It is planning to strike a balance between rice supply anddemand by 2018 through a gradual reduction in paddy production and an increase inconsumption.

USDA estimates South Korea to produce around 4.3 million tons of milled rice and importaround 470,000 tons in MY 2015-16 (November - October).

Pakistan Rice Export Earnings Decline

Sharply in First Seven Months of FY 2015-16

Despite Increase in TonnageFeb 22, 2016

Pakistan exported around 2.445 million tons of rice (including 223,634 tons of basmati and 2.22million tons of non-basmati) in the first seven months of FY 2015-16 (July 2015 - January 2016),up about 11% from around 2.196 million tons (290,013 tons of basmati and 1.91 million tons of


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non-basmati) exported during the same period in FY 2014-15, according to provisional data fromthe Pakistan Bureau of Statistics (PBS).

However, Pakistan's rice exports declined in terms of value during the said period. Pakistanearned around $1,026 million during the seven months of FY 2015-16, down about 13% from

around $1,181 million earned last year. The decline is attributed to a sharp decline in global rice prices as well as a slow demand.

In January 2016, Pakistan exported around 390,223 tons of rice, down about 18% from around475,346 tons exported in December 2015 and down about 6% from around 413,660 tonsexported in January 2015. In terms of value, Pakistan earned about $158 million in January 2016,down about 13% from around $180.9 million earned in December 2015 and down about 23%from their year-ago levels of around $204.6 million.

Pakistan exported around 34,550 tons of basmati rice in January 2016, down about 13% fromaround 39,589 tons exported in December 2015, and down about 10% from around 38,517 tons

exported in January 2015. In terms of value, Pakistan's basmati rice exports earned $33 millionin January 2016, down about 3% from around $34 million earned in December 2015, and downabout 23% from around $43 million earned in January 2015.

Pakistan exported around 355,673 tons of non-basmati rice in January 2016, down about 18%from around 435,757 tons exported in December 2015 and down about 5% from around 375,143tons in January 2015. In terms of value, Pakistan's non-basmati rice exports earned $125 millionin January 2016, down about 15% from around $147 million earned in December 2015, anddown about 22% from around $161 million earned in January 2015.

Vietnam Rice Sellers Increase Their QuotesToday; Other Asia Rice Quotes Unchanged

Feb 22, 2016

Vietnam rice sellers increased their quotes for 5% broken rice, 25% broken rice and 100% broken rice by about $5 per ton each to around $350-$360 per ton, $340-$350 per ton and $325-$335 per ton respectively today. India and Pakistan rice sellers kept their quotes unchangedtoday. Thailand rice sellers are out today due to national holiday. 5% Broken Rice

Thailand 5% rice is indicated at around $355 - $365 per ton, about $5 per ton premium onVietnam 5% rice shown at around $350 - $360 per ton. India 5% rice is indicated at around $360- $370 per ton, about $20 per ton premium on Pakistan 5% rice shown at around $340 - $350 perton.

25% Broken Rice


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Thailand 25% rice is indicated at around $345 - $355 per ton, about $5per ton premium onVietnam 25% rice shown at around $340- $350 per ton. India 25% rice is indicated at around$325 - $335 per ton, about $20 per ton premium on Pakistan 25% rice shown at around $305 -$315 per ton.

Parboiled Rice

Thailand parboiled rice is indicated at around $365 - $375per ton. India parboiled rice isindicated at around $350 - $360 per ton, about $55 per ton discount to Pakistan parboiled ricelast shown at around $405 - $415 per ton.

100% Broken Rice

Thailand broken rice, A1 Super is indicated at around $325 - $335 per ton, on par with Vietnam100% broken rice shown at around $325 - $335 per ton. India's 100% broken rice is shown ataround $260 - $270 per ton, about $25 per ton discount to Pakistan broken sortexed rice shown at

around $285 - $295 per ton.

Thai Commerce Ministry Confirms No Loss

of Stocks Under Rice Pledging Scheme

Feb 22, 2016

Thailand's Commerce Ministry has confirmed that there was no loss of rice stocks under the

previous government's rice pledging scheme as testified by an auditor to the court, according toBangkok Post.

The Ministry noted that the difference in figures had occurred due to incorrect bookkeepingmethod used. The weight of the rice sacks had not been accounted for by the auditor, it said.

Separately, a rice-pledging scheme investigation panel seeking financial compensation from ex- premier Yingluck Shinawatra has submitted its findings to the government. The panel found thatthe former Premier had committed dereliction of duty in overseeing the implementation of thescheme. But it stated that the scheme itself did not cause any damage to the state.

Vietnam Rice Exports Increase Sharply y/y in

January 1 – February 18, 2016

Feb 22, 2016


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Vietnam exported around 589,646 tons of rice in January 1 - February 18, 2016, up about 40%from around 421,202 tons of rice exported in first two months of 2015, according to data fromthe Vietnam Food Association (VFA). The average rice export price so far in this year stands ataround $400 per ton (FOB), down about 11% per ton from around $452 per ton recorded duringsame last year.

During February 1-18, 2016, Vietnam exported around172,875 tons of rice, down about 14%

from around 200,814 tons rice exported in full month of February 2015, and down about 59%from around 416,770 tons rice exported in full month of January 2016. The average export priceso far in February stands at around $382 per ton, down about 16% per ton from a year ago anddown about 6% per ton from a month ago.

Global Rice Quotes


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February 23rd, 2016

Long grain white rice - high quality

Thailand 100% B grade 365-375 ↔

Vietnam 5% broken 350-360 ↔

India 5% broken 360-370 ↔

Pakistan 5% broken 340-350↔

Myanmar 5% broken 420-430 ↑

Cambodia 5% broken 410-420 ↔

U.S. 4% broken 460-470 ↔

Uruguay 5% broken 440-450 ↔

Argentina 5% broken 430-440 ↔

Long grain white rice - low quality

Thailand 25% broken 345-355 ↔


Pakistan 25% broken 305-315 ↔

Cambodia 25% broken 395-405 ↔

India 25% broken 325-335 ↔

U.S. 15% broken (sacked) 440-450 ↔Long grain parboiled rice

Thailand parboiled 100% stxd 365-375 ↔

Pakistan parboiled 5% broken stxd NQ ↔

India parboiled 5% broken stxd 350-360 ↔

U.S. parboiled 4% broken 480-490 ↔

Brazil parboiled 5% broken 520-530 ↔

Uruguay parboiled 5% broken NQ ↔

Long grain fragrant rice

Thailand Hommali 92% 680-690 ↔

Vietnam Jasmine 415-425 ↑

India basmati 2% broken NQ ↔Pakistan basmati 2% broken NQ ↔

Cambodia Phka Mails 760-770 ↔

Brokens

Thailand A1 Super 325-335 ↔


Pakistan 100% broken stxd 285-295 ↔

Cambodia A1 Super 335-345 ↔

India 100% broken stxd 260-270 ↔

Egypt medium grain brokens NQ ↔

U.S. pet food 280-290 ↔

Brazil half grain NQ ↔

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

Exclusive News have been shared with written permission of ORYZA.com with thanks

23rd February ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

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