6th February,2015 Daily Exclusive ORYZA Rice E_Newsletter by Riceplus Magazine

8/9/2019 6th February,2015 Daily Exclusive ORYZA Rice E_Newsletter by Riceplus Magazine

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Daily Exclusive ORYZA Rice E-Newsletterwww.ricepluss.com

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Pakistan Rice Quotes Mixed Today; OtherAsia Rice Quotes UnchangedFeb 05, 2015

Pakistan rice sellers lowered their quotes for 5% broken rice and Parboiled rice by about $10 perton and about $5 per ton to around $345 - $355 per ton and around $395 - $405 per ton,respectively, and increased their quotes for 100% broken rice by about $10 per ton to around

$290 - $300 per ton. Other Asia rice sellers kept their quotes mostly unchanged today.

5% Broken Rice

Thailand 5% rice is quoted at around $405 - $415 per ton, about $50 per ton premium onVietnam 5% rice shown at around $355 - $365 per ton. 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 perton, down about $10 per ton from yesterday.

25% Broken Rice

Thailand 25% rice is quoted at around $365 - $375 per ton, about $40 per ton premium onVietnam 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 ataround $390 - $400 per ton, about $5 per ton discount to Pakistan parboiled rice quoted at around$395 - $405 per ton, down about $5 per ton from yesterday.

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, up about $10 per ton from yesterday.


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FAO Estimates 2014 -15 Global RiceProduction to Decline Slightly y/y to 496.2Million TonsFeb 05, 2015

Oryza.com -

The UN's Food and Agricultural Organization (FAO) has estimated 2014-15 global rice production to decline marginally to around 496.2 million tons from last year's 496.8 million tons,and marginally up from its previous estimate of 495.6 million tons. The decline in world's rice

production is attributed to decline in production in South America, Sri Lanka, Australia andMadagascar, according to the FAO.

The FAO estimates 2014-15 global rice utilization at around 500.1 million tons, up about 2%from around 490.1 million tons in 2013-14 and slightly up from its previous estimate of 499.6million tons due to a likely increase in consumption in many countries. It estimates the averageworld per capita consumption at around 57.5 kilograms in this year.


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It estimates global rice trade in 2014-15 at around 41 million tons, slightly down from around41.3 million tons last year and up about 1.2% from its previous estimate of 40.5 million tons.The increase is due to rising demand by African countries and abundant supplies in exporting

countries.

The FAO estimates 2014-15 global ending stocks at around 177.6 million tons, down about 2%from around 181.1 million tons last year and slightly up from its previous estimate of around177.4 million tons. The decline is mainly due to fall in rice stocks in India, Indonesia andThailand.

Global Rice QuotesFebruary 6th, 2015

Long grain white rice - high qualityThailand 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 qualityThailand 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 riceThailand 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 Brazil parboiled 5% broken 570-580 Uruguay parboiled 5% broken NQ

Long grain fragrant rice


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Thailand Hommali 92% 925-935 Vietnam Jasmine 450-460 India basmati 2% broken NQ Pakistan basmati 2% broken NQ Cambodia Phka Mails 785-795

BrokensThailand A1 Super 320-330 Vietnam 100% broken 305-315 Pakistan 100% broken stxd 290-300 Cambodia A1 Super 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

Mauritania's Paddy Rice Production Reaches202,000 Tons in 2013 -14; Sufficient to Meet69% of ConsumptionFeb 05, 2015

Mauritania's paddy rice production has reached around 202,000 tons in2013-14 and is sufficient to cover 69% of the country's domesticconsumption demand, according to Bloomberg.The country's AgricultureMinister was quoted as saying that paddy was planted in about 41,000hectares during the year.He noted that the government is expecting

production in 2014-15 to be sufficient to meet 90% of the country's riceconsumption needs. He has also called on the local businessmen to invest in

the country's rice sector.

Mauritania is a net importer of rice. It produces only 50% of the annual consumption needs andimports the rest. USDA estimates the North-west African nation to produce around 167,000 tonsof rice, basis paddy (around 100,000 tons, basis milled), and import around 110,000 tons of rice,

basis milled, in MY 2014-15 (October - September).


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Oryza Global Weather OutlookFeb 05, 2015

Oryza Global Weather Outlook

Scattered rain is expected across south-western Yangtze Valley and west central South China this week.Light rain is expected across northern Pakistan and north-western India this week. In

past few weeks, continued dryness in south-eastern India has stressed the Rabi rice crop there.

Weather is expected to remain dry in Bangladesh and Thailand .

Heavy rain is expected across most of Indonesia this week.

A few rain showers are expected across central and northern Vietnam this week.

Rain is expected across northern Luzon and some parts in south-eastern Philippines this week.

Rain is expected across centre-south Brazil, central and western portions of the north Brazil thisweek.

Light rain is expected across western Uruguay and central Argentina this week.

In U.S. , a few rain showers are expected across southern Delta this week.

Oryza Afternoon Recap - Chicago RoughRice Futures Bounce Higher as MarketAttempts to Convince Buyers that BottomHas Been FormedFeb 05, 2015

Chicago rough rice futures for Mar delivery settled 20 cents per cwt (about $4 per ton) higher at$10.450 per cwt (about $230 per ton). Rough rice futures bounced higher today as the marketappears to have found some buying support following Tuesdays near term low of $10.010 percwt (about $221 per ton). Some trade commentators are pointing to a floor being put in place and


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Feb 05, 2015

Thailand is expected to experience worstdrought in more than a decade in 2015,Reuters quoted the Irrigation DepartmentOfficials as saying. While already 8

provinces of 76 provinces are drought-struck,nearly 31 other provinces are put in high riskcategory. The government is reportedlytaking measures to alleviate drought and hasallocated around 6.8 billion baht (around$208.65 million) for the purpose. The funds

would be primarily used to install water pumps and provide mobile water tanks in affected areas,according to the Department officials.

The Agriculture Ministry is estimating nearly 160,000 hectares or about 1.3% of the rice land to be affected by drought. The Irrigation department has already announced that water would not be provided for 2015 second/off-season (November - April) crop and is persuading farmers to halvesecond crop production this year.

In its latest report on production estimates, the Office of the Agricultural Economics (OAE)

estimated the output from the 2014-15 secondary/off-season crop at around 6.7 million tons(around 4.4 million tons, basis milled), down about 31% from around 9.75 million tons (around6.4 million tons, basis milled) last year. The OAE has estimated the country's total paddy riceoutput for 2014-15 at around 33.8 million tons (around 22.3 million tons, basis milled), downabout 8% from around 36.8 million tons (around 24.3 million tons, basis milled) last year.Thegovernment is also planning to reduce rice acreage by about 4.44 million hectares (or about 39%of the total rice area of around 11.34 million hectares) under an agricultural zoning system togrow other cash crops, such as sugarcane, in the next 3-4 years.

While a rice production loss could be a boon for the government of Thailand, especially at a time

when it is trying sell its huge ri ce stockpiles accumulated under the previous governments rice pledging scheme, this drought has so far only affected a small percentage of paddy productionand thus is unlikely to support prices. USDA estimates Thailand to produce around 31 milliontons of paddy rice (around 20.5 million tons, basis paddy) and export around 11 million tons inMY 2014-15.


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Oryza January 2015 Rice Market Review

Feb 05, 2015

The Oryza White Rice Index (WRI), a weighted average of global white rice export quotes,ended the month of January at about $422 per ton, down about $9 per ton from a month ago anddown about $42 per ton from a year ago.The International Grains Council (IGC) has estimatedthe 2015 world rice trade at about 41.6 million tons, slightly down from about 42 million tons in

2014 as a reduction in imports to Far Eastern countries such as China, Indonesia and thePhilippines is expected to be partially offset by increased imports to other regions such as Africa.The IGC estimates 2014-15 global rice production at about 474 million tons, slightly down fromabout 475 million tons in 2013-14. It expects global rice consumption in 2014-15 to increase toabout 482 million tons, up about 1.2% from about 476 million tons in 2013-14 due to expectedincreased consumption in Asian countries. It expects world rice ending stocks in 2014-15 todecline to about 101.6 million tons from about 109 million tons in the previous year.


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Thailand

Thailand 5% broken rice ended the month of January at about $405 per ton, down about 1% from

a month ago and down about 8% from a year ago.

The Thai Rice Exporters Association (TREA) is estimates Thailand's 2015 rice exports willdecline to about 10 million tons, down about 9% from about 10.97 million tons exported in 2014due to strong competition from Vietnam as well as falling oil prices, the President of the ThaiRice Exporters Association (TREA) said. He noted that most of Thailand's export destinations inAfrica depend on oil exports for their income and falling crude oil prices has been putting a tollon the their incomes. In this situation, they are expected to lower rice imports this year. Hehowever, said that Thailand's rice export prices are expected not to decline significantly and tostay close to the current level of about $405 - $410 per ton.

The Thai Commerce Ministry is planning to sell about 10 million tons of stockpiled rice in 2015and about 7 million tons in 2016. Meanwhile, Thailand auctioned to sell about one million tonsof rice in late January and this auction received an overwhelming response. Nearly 100 bidders,including traders, exporters, millers and retailers, participated in the bidding process held by theForeign Trade Department. The huge response is attributed to some changes made to the biddingrules. The government fixed floor prices before auction. The floor prices for white rice fixed atabout 8-10 baht per kilogram (about $245-$307 per ton), while the market price is quoted atabout 13 baht per kilogram (about $399 per ton). The government has fixed the floor price forHom Mali rice at about 20-21 baht per kilogram (about $613-$644 per ton) compared to market

price of about 31-33 baht per kilogram (about $950-$1,012 per ton). The Thailand governmentalso allowed prospective bidders to inspect samples of rice stocks being put up for sale before thescheduled auction.

Losses from the rice pledging schemes between 2004 and 2014 are estimated to cross the earlierestimations of about $682 billion baht (about $21 billion) if depreciation and missing rice stocksare also considered, local sources quoted the Finance Permanent Secretary as saying. Separately,the government of Thailand has begun the sale of bonds through the state-owned and commercial

banks to clear the debts associated with the rice pledging scheme, according to local sources. Thegovernment hopes to raise about 100 billion baht (about $3 billion) from bond sales this year.

Thailand sold about 681,740 tons of rice in four tenders last year after the military governmenttook over on May 22, 2014; and the government has struck government-to-government deals forabout 570,000 tons last year.

Thai Commerce Ministry and the TREA are also planning to carry out business missions to potential new rice import markets such as Iran, Iraq and other Middle East nations as part of


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efforts to promote Thai rice exports amid fears that falling oil prices would affect the purchasing power of major importers and consequently their purchases of Thai rice, according to localsources.

Thailand's Office of Agricultural Economics (OAE) has estimated the country's paddy riceoutput for 2014-15 at about 33.8 million tons (about 22.3 million tons, basis milled), down about8% from about 36.8 million tons (about 24.3 million tons, basis milled) last year, according to anotice on its website. Meanwhile, Thailand's military-led government is planning to reduce

paddy rice production to about 33.73 million tons by 2016-17, down about 4% from an averageof about 35.11 million tons over the last six years to manage surplus rice stocks and boost prices,which have declined significantly since the beginning of 2013.

The "sufficiency economy philosophy" initiative undertaken by the Pid Thong Lang Phra (doing

good without any intention of getting anything back) foundation in the Nan province of NorthernThailand has raised hope for several rice farmers, who have to often bear losses in ricecultivation due to droughts and unavailability of water.

India

India 5% broken rice ended the month of January at about $400 per ton, up about 3% from amonth ago and down about 4% from a year ago. Average monthly wholesale rice prices in Indiaincreased to about Rs.2,836 per quintal (about $461 per ton; using current exchange rates) inJanuary 2015, up about 4% from about Rs.2,730 per quintal (about $426 per ton; using historical

exchange rates) in December 2014, and up about 4% from their year-ago levels of aboutRs.2,720 (about $432 per ton; using historical exchange rates) per quintal. Meanwhile, India

basmati prices, which already declined by about 40% to below $900 per ton from about $1,400 per ton last year, are expected to decline further due to low export demand and increasinginventories, according to local sources. Farmers increased basmati rice acreage in the 2014 kharifrice season by about 40% to about 3.5 million hectare from about 2.5 million hectares inanticipation of higher prices similar to those last year. Now, the output has increased to about 8.5million tons from about 6.25 million tons last year. However, a basmati rice import ban by Iran,which is India's major basmati rice importer, has severely impacted basmati export demand and

prices.

Meanwhile, the government of India is planning to increase exports of rice as well as other agri- products, textiles, auto components, pharmaceuticals, buffalo meat and marine products to Chinaas part of efforts to contain increasing trade deficit with the neighboring country, according tothe Economic Times. India's trade deficit with China currently stands at about $32 billion and isexpected to cross $40 billion by the end of this fiscal year, according to an official from theCommerce Ministry.


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The Indian government has adequate agricultural seeds, including those of rice, for the 2015kharif season (June - December), according to a press release by the Ministry of Agriculture.India government has also decided to revise the buffer norms for food grains, including rice, in

the Central Pool, according to a press release by the Ministry of Consumer Affairs, Food &Public Distribution.

Separately, India's North Eastern state of Mizoram has decided to import about 200,000 tons ofrice from Myanmar, according to local sources.

Indias rice stocks in the central pool as of January 1, 2015 stood at about 22.79 million tons(including a milled equivalent of about 16.996 million tons of paddy), down about 24% fromabout 29.85 million tons recorded during the same time last year, according to data from theFood Corporation of India (FCI).

Vietnam

Vietnam 5% broken rice ended the month of January at about $360 per ton, down about $6%from a month ago and down about 11% from a year ago.

Vietnam exported about 169,358 tons of rice in January 1-29, 2015, down about 45% from about307,255 million tons of rice exported in full month of January 2014 and down about 64% fromabout 472,575 tons of rice exported in full month of December 2014, according to data from theVietnam Food Association (VFA). Meanwhile, the VFA said that Vietnam's rice exports in 2014

lagged behind expectation and were lowest in the last four years, according to local sources.Vietnam exported about 6.316 million tons of rice in 2014 against an expected 7 million tons,stated the VFA. Vietnam's 2014 rice exports were down about 6% from about 6.71 million tonsof rice exported in 2013 and down about an average of about 7 million tons during 2010-13,according to data from the Vietnam Food Association (VFA).

Vietnam has also agreed to export about 240,000 tons of 5% broken rice to Malaysia betweenApril - November 2015, according to the Reuters. Vietnam's Ministry of Industry and Trade(MoIT) has set out plans to intensify measures to boost rice exports in 2015 amid exporters' fearsof a likely tough year for Vietnamese rice exports this year due to expected stiff competition with

Thailand and India, and declining demand, according to local sources. The Ministry is particularly planning to increase exports to African, West Asian and South Asian markets as itexpects the Vietnamese rice to be more price competitive in these markets Vis-a-Vis other riceexporters. It is keen on tapping the markets of Ivory Coast, Congo, Kenya, Angola, Mozambiqueand Madagascar, Iran, Iraq and Bangladesh.


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Vietnam has cut export floor prices (minimum export prices) of higher quality and mediumquality rice such as 5%, 10% and 15% broken rice varieties to about $385 per ton, $375 per tonand $365 per ton respectively and also cut the floor price of the lower quality 25% broken rice

exports to about $360 per month, down about 5% from about $380 per ton due to subdueddemand for Vietnamese rice.

Output from Vietnam's main winter-spring crop harvest is likely to reach about 5 million tons, basis paddy (about 3.125 million tons of milled rice), and most of it is meant for exports.

The VFA is planning to procure entire paddy rice output from farmers to protect them fromlikely price falls due to weakening export demand, according to local sources. Meanwhile, TheVietnam government has allocated about VND322 billion (about $15.1 million) from the state

budget towards the development of the rice sector, according to local sources.

Separately, experts have urged the Vietnam government to develop a national brand forVietnamese rice to increase its competitiveness in the world rice market, according to localsources.

Though Vietnam is the world's second largest exporter of rice in 2012 and 2013, experts say thequality and competitive edge of Vietnamese remains low compared to Thailand and India anddue to this Vietnam's rice sector has not been able to attract foreign investments.

Pakistan

U.S. 4% broken rice ended the month of January at about $500 per ton, down about 3% from amonth ago and down about 15% from a year ago. The CBOT rough rice future ended the monthof January at about $10.57 per cwt (about $233 per ton), down about 9% from a month ago anddown about 31% from a year ago. Average Pakistan basmati rice export prices declined about4% in 2014 (January - December) to about $1,324 per ton from about $1,372 per ton in 2013 dueto increased output and subdued export demand, according to the UN's Food and AgricultureOrganization (FAO). The decline has been in line with the global rice export prices. Especiallyrice import ban by Iran has affected both India and Pakistan basmati rice export prices.

The Pakistan Space and Upper Atmosphere Research Commission (SUPARCO) has estimated inits latest report that Pakistan FY 2014-15 (July - June) paddy rice production will reach at about8.437 million tons (about 5.65 million tons, basis milled), down about 19% from about 10.04million tons (about 6.72 million tons, basis milled) produced last year. The report said that therice production mainly declined due to floods that hit the main rice producing state, Punjab, inthe month of August. About 217,000 tons of paddy is said to be lost in the Punjab state,according to the report.


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Meanwhile, Pakistan exported about 490,371 tons of rice (including basmati and non-basmati) inDecember 2014, up about 7% from about 459,419 tons exported in November 2014, according to

provisional data from the Pakistan Bureau of Statistics (PBS). In terms of value, Pakistan's rice

export earnings increased to about $238.2 million in December 2014, up about 8% from about$221.2 million earned in November 2014.

The Rice Exporters Association of Pakistan (REAP) has urged the government to focus onstrengthening bilateral relations with potential rice importing nations such as Bahrain, China,Indonesia and Malaysia, according to local sources. The Senior Vice President of the Federationof Pakistan Chambers of Commerce and Industry (FPCCI) also urged the Pakistan governmentto consider more rice exports to China keeping in view of the good relations between the twocountries, according to local sources. He told local sources that there is a lot of demand forPakistani rice in China and Pakistan is capable of exporting about 600,000 - 700,000 tons of rice

to China. Pakistan exported about 353,675 tons of rice worth $128 million to China in FY 2013-14 (July - June).

Pakistan's basmati rice stocks have been increasing since 2011 due to increasing production anddeclining exports, according to local sources. Currently, Pakistan has about 600,000 tons of

basmati stocks and traders are expecting to add another 400,000 tons this year taking the stocklevel to about one million tons by the end of this year. Pakistan is urged to frame strategies toincrease exports to Iran, Iraq and Saudi Arabia in order to clear the surplus stocks. Experts saythe Ministries of Food Security and Research, Finance and Commerce as well as localgovernments and stakeholders should work together through mutual cooperation, understanding

and policy development.

Cambodia

Cambodia 5% broken rice ended the month of January at about $445 per ton, down about 4%from a month ago and down about 2% from a year ago.

The FAO has estimated Cambodia's MY 2014-15 (January 2015 - December 2015) rice exports(including official and unofficial exports to Thailand and Vietnam) to increase about 15% toabout 1.15 million tons from an estimated 1 million tons in MY 2013-14. The agency estimates

Cambodia's total paddy rice production in 2014-15 at about 9.3 million tons (about 5.76 milliontons, basis milled) , down 1% from about 9.39 million tons (about 6 million tons, basis milled)

produced in 2013.

Meanwhile, Cambodia's Ministry of Economy and Finance sent a draft memorandum ofunderstanding in December 2014 to the Chinese government seeking a loan of about $300million to build and develop rice warehouses in the country, according to local sources. The


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government is keen on building about 10 rice warehouses, which can store a total of 1.2 milliontons of paddy/rice, in the country to ensure uninterrupted supplies to millers andexporters. Meanwhile, Cambodia Rice Federation (CRF) has approved to raise the requisite fund

for rice sector development through the export fees paid by the rice exporters, according to localsources.The CRF decided that its members should pay an export fee of about $0.50 per tons oflong-grain white rice and about $1 per ton of fragrant rice towards the fund creation. The fundwill reportedly used for educating rice farmers about potential crop issues through television andnewspaper advertisements, as well as promoting Cambodian rice overseas.

South & Central America

Brazil 5% broken rice ended the month of January at about $540, down about 2% from a monthago and down about 19% from a year ago.

Brazils National Grains Supply Company (Conab) has forecasted the country's 2014 -15 paddyrice production at about 12.198 million tons, slightly up from about 12.122 million tons in 2013-14. Conab slightly lowered its projections for Brazil 2014-15 paddy rice production from its lastmonth's projection of about 12.21 million tons. Brazil rice stocks stood at about 351,860 tons inDecember 2014, down about 15% from about 411,947 tons in November 2014 and about 61%from about 904,424 tons in December 2013, according to the Conab. Brazil has exported about1.24 million tons of rice in 2014 (January December), up about 2.5% from about 1.21 milliontons rice exported during same time last year, according to data released by the Rice Institute ofRio Grande do Sul (IRGA).

The USDA estimated Brazil's MY 2014-15 (April 2014 - March 2015) rice exports at about900,000 tons, unchanged from MY 2013-14 and unchanged from USDA's official estimates ofabout 900,000 tons. It estimates MY 2014-15 milled rice production at about 8.5 million tons, upabout 2.4% from an estimated 8.3 million tons last year; and up about 2.4% from USDA'sofficial estimates of about 8.3 million tons due to a slight increase in paddy rice acreage.

Argentina has exported about 458,940 tons of rice in the first ten months (January October) of2014, down about 14% from about 467,995 tons exported during the same period in 2013,according to data from the Ministry of Agriculture in Argentina. The USDA estimates Argentina

to export about 580,000 tons of milled rice in 2015, down about 3% from an estimated 600,000tons exported in 2014 and down about 3% from the official USDA estimates of about 600,000tons. The decline is attributed to a slight decline in the paddy rice output in MY 2013-14 (April2014 - March 2015). The Agency forecasts Argentina's MY 2013-14 (April 2014 - March 2015)

paddy rice production at about 1.462 million tons (about 950,000 tons, basis milled), down about6% from about 1.56 million tons (about 1.014 million tons, basis milled) in MY 2012-13.However, the USDA forecasts Argentina's MY 2014-15 (April 2015 - March 2016) paddy rice


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production at about 1.5 million tons (about 975,000 tons, basis milled), up about 3% from anestimated 1.46 million tons (about 950 million tons, basis milled) in MY 2013-14 due a slightincrease in planting area.

The USDA estimates Mexico 's rice imports at about 775,000 tons in MY 2014-15 (October 2014- September 2015), up about 10.7% from an estimated 700,000 ton in MY 2013-14, andunchanged from USDA's official estimates of 775,000 tons, based on information from theSecretariat of Agriculture, Livestock, Rural Development, Fisheries and Foodstuffs. InDecember 2014, Mexico has announced reinstatement of 9% tariff on imported paddy rice and20% tariff on husked, long grain and other imported rice from all the countries that do not havefree trade agreements (FTAs). However, the U.S. is exempted from the tariff because of itsinclusion in the North America Free Trade Agreement (NAFTA). The tariff rates have beeneffective from January 9, 2015. The agency estimates total paddy rice production for MY 2014-

15 at about 226,000 tons (about 155,000, basis milled), up about 18% from an estimated 191,000tons (about 131,000, basis milled) in MY 2013-14 and up about 6% from USDA's officialestimates of about 214,000 tons (about 147,000 tons, basis milled).

U.S.

The USDA has forecasted U.S. MY 2014-15 all rice exports at about 4.67 million tons, up about10% from an estimated 4.24 million tons last year, and unchanged from its last month's forecastof about 4.67 million tons. The USDA estimates 2014-15 U.S. All rice imports at about 1 milliontons, down about 4% from about 1.04 million tons and up about 5% from its previous month's

estimated of about 950,000 tons based on the information about a large shipment of long-grain broken rice from Vietnam reported in the November trade data released by the U.S. CensusBureau. In addition, it estimates 2014-15 U.S. all rice production, basis paddy, at about 10.02million tons, up about 16% from an estimated 8.61 million tons last year, and slightly lower than

previous month's estimates of about 10.03 million tons. The USDA raised its estimates for U.S.MY 2014-15 all rice ending stocks by about 3% to about 1.86 million tons from its last month'sestimates of about 1.81 million tons.

Meanwhile, U.S. farmers and members of the Mississippi Congressional Delegation urged theSecretary of State to assist the U.S. rice farmers and exporters in enhancing rice exports to Iraq.

The U.S. Treasury's Office of Foreign Assets Control (OFAC) has published the new tradenorms with Cuba in the Federal Register following the President's announcement to relax traderestrictions on food items from the 50-year embargo with Cuba, according to a news release onits website. According to the new norms, the term "cash in advance" has been simplified andwould mean "cash before transfer of title or control". This would allow , Cuban importers tomake payment even while goods are in transit. The OFAC also indicated that U.S. financial


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In late January, Ghana 's Ministry of Trade and Industry ruled out a total rice import ban sayingthe decision would violate the World Trade Organization (WTO) rules, according to localsources. Ghana's Ministry of Trade and Industry ruled out a total rice import ban saying the

decision would violate the World Trade Organization (WTO) rules, according to local sources.Ghana's annual rice import bill stood at $306 million in 2013 and the government is planning toincrease rice production by about 20% per annum over the next four years to make Ghana self-sufficient in rice.

Madagascar imported about 363,423 tons of rice in 2014, down about 11% from about 410,373tons imported in 2013, according to local sources. Madagascar produced about 4.3 million tonsof rice in 2014, up about 19% from about 3.6 million tons produced in 2013 due to welldistributed rains in the 2013-14 cropping season.

The FAO has forecasted Mali 2014 paddy rice production at about 2.3 million tons (about 1.55million tons, basis milled), up about 4% from about 2.2 million tons in 2013. Though most partsof the country witnessed erratic and below-average rains until mid-July, rainfall improved fromthe last week of July leading to better crop conditions, according to the FAO.

The FAO has estimated Sierra Leone 's 2015 milled rice imports at about 215,000 tons, slightlyup from 2014. The expected increase in imports is attributed to shortfalls in 2014 productionlevels. The FAO estimates Sierra Leone's 2014 milled rice production at about 770,000 tons(about 1.155 million tons, basis paddy), down about 8% from about 831,600 tons (about 1.256million tons, basis paddy) in 2013.

The FAO has estimated Guinea 's 2015 rice, basis milled, imports at about 320,000 tons, upabout 7% from about 300,000 tons in 2014. The probable increase in imports is attributed toshortfalls in 2014 production levels that occurred due to the EVD outbreak.

China

China has imported about 2.244 million tons of rice in the first eleven months of 2014 (January - November), down about 1% from about 2.267 million tons imported during the same period lastyear and it has exported about 345,369 tons of rice in January - November 2014, down about

39% from about 478,400 tons exported during the same period last year, according to data fromChina Customs General Administration.

The Chinese government is planning to increase production of grains, including rice, as welltheir reserves to improve food security in the country, according to some sources.


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Separately, the NFA has decided to retain the paddy procurement price at about P17 perkilogram (about $390 per ton) but provide more incentives to encourage farmers to sell their

paddy to the agency, according to local sources. The NFA Administrator told local sources that

the NFA cannot increase the price at which it will procure paddy from farmers, but will provideadditional incentives such as graduated delivery fee of about P0.50 per kilogram (about $11.34 per ton), drying incentive of about P0.20 per kilogram (about $4.54 per ton) and CooperativeDevelopment Incentive Fund assistance of about P0.30 per kilogram (about $6.81 per ton). Healso noted that the agency is also considering other benefits like health insurance to farmers.

Europe

An analysis of basmati rice imports by the European Union (EU) nations over the last three cropyears (2012-13 to 2014-15) shows that the share of India has been declining while that of

Pakistan has been increasing. The share of India's basmati rice in EU basmati rice imports hasdeclined from about 95% in 2012-13 to about 58% in 2014-15, while the share of Pakistan's

basmati rice has increased from about 5% in 2012-13 to about 42% in 2014-15. European nationsimported about 118,478 tons in 2012-13, about 81,304 tons in 2013-14 and about 87,071 tons in2014-15. Separately, The EU has given more freedom to its member states to decide over

planting, field trials and commercialization of genetically modified (GM) crops, including rice,according to the Financial Times.

European Union (EU) total milled rice production (Japonica and Indica) is expected to decline toabout 1.637 million tons in the marketing/crop year (MY) 2014-15 (September 2014 - August

2015), down about 7.5% from an estimated 1.77 million tons in MY 2013-14, according to thelatest balance sheet published by the EU Directorate General for Agriculture and RuralDevelopment. The agency forecasts EU milled rice exports (to third countries) to increase toabout 250,000 tons in MY 2014-15, up about 18% from an estimated 212,000 tons in the

previous year. It forecasts EU milled rice imports (from third countries) also to increase to about1.14 million tons, up about 8% from an estimated 1.059 million tons last year.

The Spanish government will support the countrys rice sector with about 12.2 million euros(about $13.9 million), according to official sources. The amount also includes funds allocated tothe sector under the European Union (EU) Common Agricultural Policy (CAP) as well as somecontributions from local communities.

Other Markets

The USDA has estimated Japan to import about 700,000 tons of rice in 2015, up about 8% froman estimated 650,000 ton in 2014 due to an expected decline in production. The agency eportsthat the 2014 rice production declined about 2% to about 7.679 million tons from about 7.832


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million tons in 2013. The decline is attributed to a decline in the planting area by about 1.5% y/yto about 1.573 million hectares. Separately, Japan is considering to increase tariff-free riceimport quota from the U.S., as part of efforts to push forward the Trans-Pacific Partnership

(TPP) negotiations that have been stalled due to an impasse between the U.S. and Japan overaccess to its farm markets, including rice, media reported.

The USDA has estimated South Korea to import about 560,000 tons of rice in MY 2014-15(November - October), including 408,000 tons of rice imports under the WTO's MinimumMarket Agreement (MMA) quota in the 2015 calendar year. South Korea plans to complete its2015 rice imports under the 2015 Tariff Rate Quota (TRQ) purchasing plan between January -October 2015 through public open tenders. The delivery is expected to be done by December 31,2015. The agency estimates South Korea to produce about 4.24 million tons of milled rice in MY2014-15, slightly up from an estimated 4.23 million tons in MY 2013-14. It expects the country's

MY 2014-15 consumption to decline to about 4.356 million tons, down about 2% from anestimated 4.434 million tons in MY 2013-14. Meanwhile, the South Korean Agriculture Ministryofficials said South Korea is likely to face an oversupply of rice this year due to an expectedincrease in production and a decline in consumption. The Ministry said the country is likely toreach about 97% self-sufficiency in rice production and the Southeast Asian nation's 2015 riceoutput may exceed last year's production of about 4.24 million tons. South Korea is also

planning to lift the existing restrictions on rice exports this year and the Agriculture Ministry isseeking revisions to the requisite laws and clauses to allow the government to export rice,according to Yonhap News.

The USDA estimates Russia to export about 160,000 tons of rice in 2015, up about 14% fromabout 140,000 tons exported in 2014, and about 14% from USDA's official estimates of about140,000 tons due to an expected continuation of the depreciation of the Russian ruble, which has

been depreciating since September 2014. The USDA has estimated Russia's 2015 rice imports toremain at last year's level of about 250,000 tons. The agency estimates 2014-15 (January -December) Russia milled rice production to increase to about 680,000 tons, up about 12% froman estimated 608,000 tons last year due to an increase in area harvested area. Based on

preliminary estimates from various rice growing provinces, it estimates the area sown for 2014-15 rice crop at about 195,000 hectares, up about 4% from about 188,000 hectares in 2013-14.

The USDA has estimated Bangladesh to import about 500,000 tons of rice in MY 2014-15 (May- April), down about 33% from an estimated 751,000 tons imported in MY 2013-14. Imports in2013-14 (mostly by private sector) increased due to competitive Indian prices. The agency hasestimated Bangladesh's 2014-15 milled rice production to decline slightly to about 34.5 milliontons, slightly up from an estimated 34.39 due to expected lower Aman production (July -December), which is likely to be affected from floods in northern Bangladesh, and rice blast and


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drought in some areas. The Bangladesh government has planned to procure about 1.4 milliontons of paddy and 200,000 tons of milled rice in 2014-15. Separately, many private businessfirms, including multi-national corporations (MNCs), are planning huge investments in

Bangladesh's $6.4 billion rice milling sector given a consistent and rising demand for rice in thecountry, according to local sources.

The new zinc-enriched and high-yielding paddy rice variety BRRI-Dhan-64, developed by theBangladesh Rice Research Institute (BRRI) is being popularized among farmers in the ongoing

boro crop season (January - May), according to local sources. The variety has been developedspecifically for boro season.

Bangladesh's Prime Minister reiterated their government's willingness to export rice to Indiafollowing India's interest in buying about 20,000 - 30,000 tons of rice from Bangladesh,

according to local sources. The PM told the Parliament today that the government will considerfuture rice exports after reviewing the food security situation in the country. In mid - January, theMinistry of Food (MoF) reportedly sent price proposals to India on December 21, 2014 and iswaiting for India's response. Bangladesh is understood to have proposed to export coarse variety

boiled rice to India at about $425-$430 per ton (CIF basis).

Indonesia's 2015 paddy rice production is estimated to increase about 4% to about 73.4 milliontons from an estimated 70.61 million tons in 2014, the Agriculture Minister said. He expects

paddy rice output to reach 82.09 million ton by 2019. Meanwhile, The Indonesian governmenthas decided to increase the government rice purchasing price (HPP) by about 10% to about

Rp7,260 per kilogram (about $577 per ton) from the current Rp6,600 per kilogram (about $524 per ton), according to local sources.

Indonesia 's state buying agency Bulog is hoping that the country may not need to import rice in2015 due to sufficient stocks with it. According to Bulog, the country currently has about 1.7million tons with it and is expecting about 600,000 tons of additional stocks in January 2015,about 1.2 million tons in February, about 3 million tons in March and about 1.9 million tons inApril.

Sri Lanka 's new government will release the stored rice in its warehouses into open market

before the harvesting season of the 2014-15 Maha rice crop (September 2014 - April 2015) inFebruary, according to local sources. Separately, Sri Lanka's new government has announced its

plans to intervene in the rice market in order to ensure price stability in the market, according toa news release by the Sri Lanka Broadcasting Corporation. The government has decided to

purchase paddy from farmers at about Rs.50 per kilogram (about $376 per ton). It has alsodecided to support rice millers by reducing electricity rates and interest rates on bank loans taken


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by them. Sri Lanka's rice market is facing difficult times due to prolonged drought conditions,which led to a decline in the paddy rice output and increase in domestic rice prices.

The USDA estimates Australia to export about 400,000 tons of rice in 2015, down about 3%from an estimated 446,000 tons exported in 2014 due to an expected decline in production. TheUSDA's export estimations are unchanged from USDA's official estimates of about 400,000tons. The agency estimated Australia MY 2014-15 (March 2015 - February 2016) paddy rice

production at about 710,000 tons (about 511,000, basis milled), down about 15% from anestimated 833,000 tons (about 699,000 tons, basis milled) in MY 2013-14 and slightly up fromUSDA official estimates of about 700,000 tons due to lower acreage and adverse weatherconditions.

Separately, the Australian government is working closely with the research scientists fromAustralia, Bangladesh, India and Nepal towards improving rice productivity as well as

profitability of about 7,000 small scale farmers in the Eastern Gangetic plains of Nepal,Bangladesh and India, according to local sources.

Research and Scientific Development: Rice that is genetically modified to contain folate can reduce problems associated with folatedeficiencies, according to researchers from the Belgium-based Ghent University.http://oryza.com/gm-folate-rice-proves-useful-folate-deficiencies-say-researchers IRRI has planned to construct a new research facility that would solely cater to studying theimpacts of climate change on rice production, according to a press release on its website.http://oryza.com/%E2%80%9Cstate-art%E2%80%9D-climate-smart-rice-lab-planned Taiwan's Council of Agriculture and the IRRI have collaborated to carry out rice and otherrelated agricultural research, according to local sources.http://oryza.com/taiwan-and-irri-collaborate-augment-rice-research A study by Chinese researchers has found that growing of genetically modified rice can reduce

pesticide usage to a larger extent and thereby protect farmers from adverse effects of beingexposed to pesticides and fertilizers.http://oryza.com/gm-rice-can-protect-farmers-hazards-pesticide-exposure-finds-study Researchers at the Central Rice Research Institute of India have developed four new drought-resistant paddy varieties - Ankit, Sachala, Gopinath, Maudamani - and another variety -Chakaakhi - that can sustain in less water conditions suitable to grow in India's Eastern stateOdisha, according to local sources.http://oryza.com/indian-researchers-develop-new-drought-tolerant-rice-varieties Bangladesh government has released two new hybrid rice varieties - BADC Hybrid Dhan 2 andBuyer Hybrid Dhan 4 - on Monday, according to local sources.http://oryza.com/bangladesh-releases-two-new-hybrid-rice-varieties-boost-production Pakistan Rice Millers Association has collaborated with the United Nations IndustrialDevelopment Organization to develop rice husk-based gasification power plants in the rice

producing areas of the country, according to local sources.http://oryza.com/pakistan-develop-rice-husk-based-power-plants
http://oryza.com/gm-folate-rice-proves-useful-folate-deficiencies-say-researchershttp://oryza.com/gm-folate-rice-proves-useful-folate-deficiencies-say-researchershttp://oryza.com/%E2%80%9Cstate-art%E2%80%9D-climate-smart-rice-lab-plannedhttp://oryza.com/%E2%80%9Cstate-art%E2%80%9D-climate-smart-rice-lab-plannedhttp://oryza.com/taiwan-and-irri-collaborate-augment-rice-researchhttp://oryza.com/taiwan-and-irri-collaborate-augment-rice-researchhttp://oryza.com/gm-rice-can-protect-farmers-hazards-pesticide-exposure-finds-studyhttp://oryza.com/gm-rice-can-protect-farmers-hazards-pesticide-exposure-finds-studyhttp://oryza.com/indian-researchers-develop-new-drought-tolerant-rice-varietieshttp://oryza.com/indian-researchers-develop-new-drought-tolerant-rice-varietieshttp://oryza.com/bangladesh-releases-two-new-hybrid-rice-varieties-boost-productionhttp://oryza.com/bangladesh-releases-two-new-hybrid-rice-varieties-boost-productionhttp://oryza.com/pakistan-develop-rice-husk-based-power-plantshttp://oryza.com/pakistan-develop-rice-husk-based-power-plantshttp://oryza.com/pakistan-develop-rice-husk-based-power-plantshttp://oryza.com/bangladesh-releases-two-new-hybrid-rice-varieties-boost-productionhttp://oryza.com/indian-researchers-develop-new-drought-tolerant-rice-varietieshttp://oryza.com/gm-rice-can-protect-farmers-hazards-pesticide-exposure-finds-studyhttp://oryza.com/taiwan-and-irri-collaborate-augment-rice-researchhttp://oryza.com/%E2%80%9Cstate-art%E2%80%9D-climate-smart-rice-lab-plannedhttp://oryza.com/gm-folate-rice-proves-useful-folate-deficiencies-say-researchers


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January Tenders: Iraq issued a tender to buy about 30,000 tons of rice.http://oryza.com/iraq-invites-international-tenders-buy-30000-tons-rice Maldives issued a tender to buy about 9,000 tons of Rice.http://oryza.com/maldives-invites-international-tenders-purchase-9000-tons-parboiled-rice Libya issued a tender to buy about 25,000 tons tice.http://oryza.com/libya-tenders-buy-25000-tons-rice Souh Korea issued a tender to buy about 40,000 tons non-glutinous rice.http://oryza.com/south-korea-seeks-buy-40000-tons-non-glutinous-rice-international-tenders Iraq bought about 80,000 tons of rice from Thailand.http://oryza.com/iraq-buys-about-80000-tons-rice-thailand-tender Japan bought about 61,000 tons of rice.http://oryza.com/japan-buys-61000-tons-non-glutinous-rice-tender Taiwan has imported about 9,100 tons of rice from the U.S. under the first tranche of 2015Country Specific Quota (CSQ) Simultaneous Buy and Sell (SBS) tender.http://oryza.com/taiwan-imports-9100-tons-rice-us-under-2015-csq-sbs-tender Japan issued a tender to buy about 30,000 tons of rice.http://oryza.com/japan-seeks-import-30000-tons-rice-sbs-tender Japan has bought and sold a total of about 895 tons of whole grain/brown rice of the U.S.,Australia, Pakistan, Thailand and Vietnam origins; and about 500 tons of broken rice of theThailand and Vietnam origins, in the sixth SBS (Simultaneous Buy-Sell) tender.http://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014

Local Farmers Say Natural FarmingTechniques Can Increase Rice Yields withMinimal CostsFeb 05, 2015

Natural farming is the latest technique used by the ricefarmers of India's North-western State Punjab to increaseyields at minimal input costs as well as earn better incomes,according to local sources.Rice farmers in Punjab haveshunned chemical fertilizers and pesticides to enhance theirrice crop yields. Rather they have been using homemade

potions, including biogas slurry, farmyard manure andvermicompost, to keep the soil pest-free; and adopting practices like mixed cropping andmulching to help soil retain nutrient balance as well as to bring down water consumption byabout 40%.
http://oryza.com/iraq-invites-international-tenders-buy-30000-tons-ricehttp://oryza.com/iraq-invites-international-tenders-buy-30000-tons-ricehttp://oryza.com/maldives-invites-international-tenders-purchase-9000-tons-parboiled-ricehttp://oryza.com/maldives-invites-international-tenders-purchase-9000-tons-parboiled-ricehttp://oryza.com/libya-tenders-buy-25000-tons-ricehttp://oryza.com/libya-tenders-buy-25000-tons-ricehttp://oryza.com/south-korea-seeks-buy-40000-tons-non-glutinous-rice-international-tendershttp://oryza.com/south-korea-seeks-buy-40000-tons-non-glutinous-rice-international-tendershttp://oryza.com/iraq-buys-about-80000-tons-rice-thailand-tenderhttp://oryza.com/iraq-buys-about-80000-tons-rice-thailand-tenderhttp://oryza.com/japan-buys-61000-tons-non-glutinous-rice-tenderhttp://oryza.com/japan-buys-61000-tons-non-glutinous-rice-tenderhttp://oryza.com/taiwan-imports-9100-tons-rice-us-under-2015-csq-sbs-tenderhttp://oryza.com/taiwan-imports-9100-tons-rice-us-under-2015-csq-sbs-tenderhttp://oryza.com/japan-seeks-import-30000-tons-rice-sbs-tenderhttp://oryza.com/japan-seeks-import-30000-tons-rice-sbs-tenderhttp://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014http://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014http://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014http://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014http://oryza.com/japan-buys-and-sells-895-tons-whole-grain-rice-and-500-tons-broken-rice-6th-sbs-tender-fy-2014http://oryza.com/japan-seeks-import-30000-tons-rice-sbs-tenderhttp://oryza.com/taiwan-imports-9100-tons-rice-us-under-2015-csq-sbs-tenderhttp://oryza.com/japan-buys-61000-tons-non-glutinous-rice-tenderhttp://oryza.com/iraq-buys-about-80000-tons-rice-thailand-tenderhttp://oryza.com/south-korea-seeks-buy-40000-tons-non-glutinous-rice-international-tendershttp://oryza.com/libya-tenders-buy-25000-tons-ricehttp://oryza.com/maldives-invites-international-tenders-purchase-9000-tons-parboiled-ricehttp://oryza.com/iraq-invites-international-tenders-buy-30000-tons-rice


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It has been proved by many farmers that natural farming techniques are quite cheaper than muchsought-after organic farming with almost similar results. Also farmers say their output is getting

better price compared to rice grown with chemical fertilizers. They say since the soil is pest free,

crops are almost disease-resistant.Many farmers across the state have shifted to natural farmingmethods as chemical fertilizers and pesticides have been affecting the health of soil as well ashumans. Also there are no concerns of pesticide residues in the output. Using these methods alsomeans farmers need not take farm certifications for using fertilizers and a lot of time is saved forland preparation.

They also told local sources that adopting the natural farming methods has relieved them fromdebt traps as input expenditure, especially in fertilizers and pesticides, as drastically comedown.Punjab is actually the biggest user of pesticides and fertilizers in India, and excessive useof these chemicals has led to ecological degradation of soil. There were also complaints of

spotting fertilizer and pesticide residues in the basmati rice grown in Punjab.

Oryza U.S. Rough Rice Recap - MarketUnchanged; New Sales to ColombiaWelcomedFeb 05, 2015The U.S. cash market was unchanged today however buy and sell interest continues to be very

limited as buyers remain mostly hand to mouth while most sellers are still waiting for prices toimprove.In the meantime, the USDA reported that cumulative net export sales for the weekending on January 29, totaled 60,600 tons, which was 87% higher than last week and 3% higherthan the prior 4-week average.Increases were reported for the following destinations: 31,500 tons to Colombia, 8,800 tons toHonduras including 8,000 tons switched from unknown destinations, 6,000 tons toSaudi Arabia, 5,000 tons to Jordan, and 3,800 tons to Mexico. Decreases of 3,000 tons werereported for unknown destinations as well as 700 tons to Costa Rica and 300 tons to Guatemala.U.S. rice exporters shipped 60,600 tons, which was 19% lower than last week and 24% lowerthan the prior 4-week average. The primary destinations included 17,800 tons to Costa Rica,16,700 tons to Haiti, 8,800 tons to Honduras, 4,700 tons to Mexico, and 4,700 tons to Guatemala.

Oryza Overnight Recap - Chicago RoughRice Futures Find Support in Decent ExportSales Report and on the Bank of RallyingCrude


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Feb 05, 2015

Chicago rough rice futures for Mar delivery are currently listed 19.5 cents per cwt (about $4 perton) higher at $10.300 per cwt (about $230 per ton) during early floor trading in Chicago. The

other grains are all seen trading higher as well: soybeans are currently seen about 0.6% higher,wheat is listed about 2.4% higher and corn is currently noted about 0.7% higher.U.S. stockstraded higher on Thursday, shaking off concerns about Greece and lackluster U.S. data ahead oftomorrow's all-important jobs report.

The Dow Jones Industrial Average spiked 100 points in the minutes following the open. Oil alsorecovered to trade just under $50 a barrel with gains of more than 2% after closing nearly 9

percent lower on Wednesday. The European Central Bank's announcement late on Wednesdaythat revoked a waiver allowing banks to use Greek government debt as collateral for loans rattledstocks slightly before the close. The Dow Jones Industrial Average still eked out a positive gainof about 6 points, buoyed by Disney's nearly 8% gain. Futures held gains after digesting U.S.

economic data before the bell.

Weekly jobless claims came in at 278,000, below estimates of 290,000 and above last week's267,000 figure. Non-farm productivity fell a greater-than-expected 1.8% for the fourth quarter.Economists had forecast productivity, which measures hourly output per worker, rising at a 0.5%

pace. Gold is currently trading about 0.5% lower, crude oil is seen trading about 3% higher, andthe U.S. dollar is currently trading about 0.1% lower at 8:30am Chicago time.

Rice Husk with Worms Can Do Wonders!Feb 05, 2015

Rice husk mixed with annelids (segmented worms) can be transformed into organic humus thatcan used as fertilizer in cultivation of rice and many other crops. The process of transformingrice husk into organic manure is developed by a Spanish-Colombian company Bioarroz(BioRiceHusk).

The process has many benefits. First, rice husk need not be burnt and thus avoiding atmospheric pollution.Second, it becomes a feed to annelids. When both are

mixed and recycled, it turns into an organic manurewhile removing the organic calcium and silicon fromthe rice husk. Thus the manure created is said to act as awonderful fertilizer especially in rice production.

The developers claim that it can in fact double rice production without polluting the soil withchemicals. It can regenerate the heavily eroded soils as well. Third, the manure thus created


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Feb 05, 2015

Vietnam's state-owned Vinafood 2 (Southern

Food Corporation) has decided to make changesto its rice purchasing pattern for export. Thecompany will, under the new pattern, buy paddydirectly from farmers and process it for exportinstead of buying processed rice from merchantsand millers, according to local sources.TheGeneral Director of the company told localsources that the decision is in line with company's

plans to develop its large-scale paddy field modelas well as help farmers earn good prices for their output. The new model would also ensure

adequate rice stocks for export.

Vinafood 2 has reportedly initiated the transition process by seeking cooperation from itssubsidiaries and rice merchants (to withdraw paddy sales from farmers) as well as commercial

banks. It has signed contracts with four banks - MHB, LienViet Post Bank, VietBank and HDBank - to provide loans to rice merchants, cooperatives, rice suppliers and its subsidiaries for

buying paddy from farmers on its behalf.Experts noted that the decision would benefit Vinafood2 as it has been losing its monopoly in rice exports with many small rice exporters entering thesector. However, they cautioned that the company should focus more on developing the rice

business chain as it has to carry out all phases of rice production and processing before exporting

the product.

Some suggested that Vinafood 2 could enter into agreements with local enterprises and outsourcesome production and processing operations so that it could save time as well as costs.Vietnamexported around 6.316 million tons of rice in 2014, down about 6% from about 6.71 million tonsof rice exported in 2013 and down about an average of about 7 million tons during 2010-13,according to data from the Vietnam Food Association (VFA). Vietnamese rice exporters arereportedly concerned of lower exports this year due to stiff competition this year from Thailand,India and Pakistan.USDA estimates Vietnam to export around 6.7 million tons of rice in 2015,up about 3% from around 6.5 million tons exported in 2014.

"Training Is Everything. The Peach Was Once A BitterAlmond; Cauliflower Is Nothing But Cabbage With A College

Education." - Mark Twain

6th February,2015 Daily Exclusive ORYZA Rice E_Newsletter by Riceplus Magazine

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