2nd January, 2013 Daily ORYZA News by Riceplus Magazine

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TOP Contents - Tailored for YOU Latest News Headlines

Vietnam sells less rice, but border trade skyrockets Rice scheme unlikely to survive in pres Number one exporter of rice may no longer be Thailand Thailand Aims To Export 8 Million Tonnes Of Rice In 2014 armers count loss as paddy prices fall over blockades Hand-to-mouth buying likely in rice market Nagpur Foodgrain Prices Open-Jan 02 TABLE-India Grain Prices-Delhi-Jan 01
NEWS DETAILS:
Vietnam sells less rice, but border trade skyrockets
Last updated: Wednesday, January 01, 2014 12:20
Even
as rice exports plunged in 2013, border trade surged, a trend likely to cost Vietnam more time and effort to develop brands and boost value.Figures from the Vietnam Food Association showed that rice exports by companies totaled 6.45 million tons at more than US$2.78 billion by December 26, or 1.1 million tons lower than in the previous year, Thoi bao Kinh te Saigon Online reported.Average prices were down around 5 percent to $432 a ton.But overland export to China shot up
fourfold to 1.4-1.6 million tons. China is Vietnams biggest customer, buying 32 percent of its rice exports, followed by Africa with 30 percent.The association said increasing orders from China and Africa failed to compensate for dropping interest from traditional customers in Southeast Asia like Indonesia, Malaysia, and the Philippines.Deputy Minister of Industry and Trade Tran Tuan Anh said many Vietnamese exporters depend increasingly on border trade since it is easy in terms of quality.But this makes it hard to build big brands, he warned.Besides, border trade can be risky since it depends more on importers policies rather than international trade rules, he warned further.
In snap:A farmer harvests rice in the Mekong Delta. Photo courtesy of Thoi bao Kinh te Saigon Online
Rice scheme unlikely to survive in pres

Petchanet Pratruangkrai
The Nation January 3, 2014 1:00 am It is becoming more and more likely that the rice-pledging scheme will be scrapped or at least modified regardless of who wins the next election.Since the programme was launched, it has caused problems for rice trading and held back agricultural development, while the government has struggled to support the project financially.Blame could be placed on political conflict for the rough start to the scheme's third year. But it seems clear that even without the current chaos, which has partially delayed the government's ability to fund the project, it would eventually have to be scrapped or adjusted because of its massive costs. According to a Finance Ministry audit, the scheme racked up more than Bt400 billion in losses in its first two years. The government's inability to release rice from its stockpiles quickly has also resulted in barriers to financing the third year of the programme. The Commerce Ministry reported that it was able to release about 2 million tonnes via general auction during the past year, plus about 8 million to 10 million tonnes under government-to-government contracts. However, the government has never revealed to the public how much of a loss it has incurred by unloading rice at subsidised prices.While rating agencies watched with concerns on possible impacts on fiscal discipline, the Pheu Thai-led government recently raised the legal limit of the scheme's outstanding financing pool from Bt440 billion to Bt600 billion.But despite mounting evidence that the pledging programme was in trouble, the government made no effort to drop it or even scale it back. Since 2011, the Yingluck Shinawatra government has spent almost Bt600 billion on rice pledging. However, some studies have indicated that only 30 per cent of this outlay has been paid to farmers, while millers, traders, and unscrupulous officials and politicians have profited handsomely from it.A study by the Thailand Development Research Institute also found that the country would lose up to Bt200 billion each year under the pledging programme from reduced rice-sales income.Thai Rice Farmers Association president Prasith Boonchuey said the government needed to review the scheme soon, as the rice-farming industry had stagnated for several years now.
"Despite the high pledging price, farmers have never received high returns and still faced a high debt burden due to the higher cost of production. The government will finally need to review the policy because of huge losses and financial liquidity problems," he said.Prasith added that farmers had put no effort into improving rice quality because the government had focused only on price, with no plan to promote sustainable growth of rice plantations. Farmers want a project that focuses on long-term development rather than short-term gains from a pledging scheme.The scheme has drawn heavy criticism from both the parliamentary opposition and academics throughout the past year. Their top concern was fiscal discipline, as all of the losses racked up under the programme would have to be dealt with sooner or later, and this would increase the public debt, currently at around 44 per cent of gross domestic product. The scheme has been funded by the Bank for Agriculture and Agricultural Cooperatives (BAAC), which is responsible for paying participating farmers, while the Commerce Ministry is in charge of the release of the stockpiles. Caretaker Commerce Minister Niwatthumrong Boonsongpaisan said earlier that since he took office in July, the ministry had sold 3 million tonnes of rice. But that still left about 10 million tonnes of rice in the warehouses.The outlook of the whole rice trade is unclear given low global prices. Many questions need to be answered, therefore, as to how Thailand's pledging scheme can survive financially. The programme has also drawn complaints from exporters, faced with low global prices against the high local price.According to the Thai Rice Exporters Association, the price of Thai rice dropped continuously last year, despite the high pledging price. As of December 11, the price of 5-per-cent white rice was quoted at US$453 a tonne, down from $599 last January. During the same period, the price of Thai 100-per-cent white rice also dropped from $616 a tonne to $460.Meanwhile Vietnam appeared to benefit from Thailand's high pledging price, as the price of its 5per-cent white rice increased from $390 a tonne last January to $430 last month. In the first two years of the pledging programme, the Thai government spent Bt502.207 billion on it, but the Commerce Ministry had returned only Bt160 billion from rice sales to the Finance Ministry as of last November. The BAAC, in need of new funds for the third year of the programme, had to borrow Bt75 billion. Though the bonds were fully backed by the government, their sale was disrupted by the political demonstrations rocking Bangkok and the resulting dissolution of Parliament. Only half of them found buyers, and at a higher yield. Thailand had been the world's largest exporter of rice since 1982, but lost that position in 2012 after the current government implemented the pledging programme's high rice price of up to Bt15,000 a tonne.
Export volume dropped to 6.94 million tonnes that year, a plunge of 35 per cent compared with 2011. For 2013, the country is expected to be in third place after India and Vietnam, exporting only about 7 million tonnes.Moreover, it remains doubtful whether the government can clear out the enormous stockpiles of rice accumulated by prolonging the pledging project for more than two years amid sluggish rice trading in the world market and high competition. Rice can easily deteriorate in quality and price if stored for long periods. Inevitably, Thailand will bear a loss from buying rice at a high price but selling it cheaply under the pledging project.In the first 10 months of 2013, rice exports dropped by 3.5 per cent in volume to 5.4 million tonnes, and by 4.3 per cent in value to $3.65 billion.Rice exporters say their incomes and profit have declined greatly during the past two years. One source said his company now faced some losses because
of the high price, but it needed to accept some orders to maintain the business.Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association, said most rice exporters had suffered, as profit margin was only 1-2 per cent.Vichai Sriprasert, another honorary president of the association, said the government had chosen the wrong method by setting the pledging price too high, and had not shown concern for rice traders, especially general exporters. Instead of spending a huge amount of money for the rice subsidy, it should finance long-term development projects such as irrigation systems, logistics, seed quality and research. "The pledging is providing only small benefits to some people or companies who have close connections to the government," he said, urging the administration to allow exporters to be involved in stockpile releases. The cost of managing government rice stocks is also very high at Bt3,300 a tonne, while private exporters would spend only Bt1,000 to manage a tonne of rice before shipment. Although the price of Thai rice has been cut, it still has trouble selling it overseas and competing with rivals. This is because overseas traders know enormous amounts are begin stored and continuing to deteriorate in quality as the pledging project has gone on, Vichai said.Virabongsa Ramangura, an adviser to Yingluck, said earlier that Thailand should focus more on adding value to the rice output. To him, it no longer matters if Thailand is the world's largest rice exporter, as it deals only with volume, not value. Still, the government has done little to encourage adding value to this commodity. Of the 60 million rai (9.6 million hectares) of rice plantations, only a few million rai have been dedicated to growing organic rice.
While the private sector has attempted to add value to rice by marketing such products as rice bran oil, cosmetics, snacks and supplements, the government has no clear plans to support trading of such products. Only the National Innovation Agency has offered an annual rice-innovation award. And after receiving such awards, only a few innovators are able to commercialise their products. The government could be doing more to support value-added rice rather than focusing only on short-term subsidies.Given these hurdles, the pledging programme, if it survives at all, looks certain to be revamped even if Pheu Thai is returned to power in the election.
Number one exporter of rice may no longer be Thailand

Date : 1 2557 BANGKOK 1 January 2014 (NNT) Thailand may no longer be the number-one exporter of rice, says the Thai Rice Exporters Association. According to Chukiat Opatwong, the Thai Rice Exporters Association President, exports of Thai rice are expected to increase to 7.5 million tons in 2014 compared to last years 6.6 million tons. The rising demand has been attributed to the need for more rice in China and the Philippines. However, Mr. Chukiat said it would be hard for Thailand to once again become the world's number-one exporter of rice. That status, he said, is held by India at present, given it still has a surplus of rice on-hand that it can continuously export. Moreover, Vietnamese rice, another competitor, has gained more popularity among consumers. Being less expensive than Thailands jasmine Rice, Vietnamese rice has gained more market share in Hong Kong, Singapore and Malaysia.
Thailand Aims To Export 8 Million Tonnes Of Rice In 2014

BANGKOK, Jan 2 (Bernama) -- Thailand's Commerce Ministry has mapped out a plan to export a minimum of eight million tonnes of rice with earnings of up to US$4.8 billion (RM15.75 billion) in 2014, Thai News Agency (TNA) reported director-general of the Ministry's Foreign Trade Department, Surasak Riangkrul as saying.The plan to export rice to both Thailand's traditional and niche markets in 2014 will be submitted to cabinet after a new government is formed following the Feb 2 general election.Surasak noted that Thailand's rice exports for 2013 were below the earlier projections because of prices, which were higher than competing countries.He added that some of the countries which were importers of Thai rice had become exporters.According to TNA, Thailand exported more than 6.4 million tonnes of rice and earned about US$4.21 billion from January to Dec 16, 2013.
Farmers count loss as paddy prices fall over blockades

Aman farmers coming to sell their produce at Durakuti Haat in Lalmonirhat Sadar upazila are visibly frustrated as the price has fallen due to lack of customers amid the transportation problem caused by continuous countrywide blockades sponsored by BNP-led 18-party opposition combine. PHOTO: STAR Paddy farmers and traders in different districts are being deprived of fair prices due to transportation problem amid political agitation like countrywide blockades and hartals for weeks.Huge quantity of paddy in thousands of sacks is now kept under the open sky at places on Patuakhali-Kuakata road as farmers and traders cannot send the item to wholesale market, reports our Patuakhali correspondent. "We could not send paddy loaded trucks to wholesale markets in different areas including Khulna, Dinajpur, Natore and Kushtia due to continued countrywide blockade programme sponsored by the opposition," Md Masun Khan, a paddy trader of Bandra Bazar in Kalapara upazila, told this correspondent on Monday. "About 6,000 maunds (a maund = 40 kg) of aman paddy that I bought from local markets has been kept under the open sky for three weeks," he added.Jamal Hossain, another trader of Bablatala Bazar in the same upazila, said he bought about 10,000 maunds of paddy but could not sell even a maund as trucks find it hard to come to the area from other places due to the blockade.Usual rent of a truck from there to Natore is maximum Tk 20,000 but now truckers are charging up to Tk 35,000, he added.Due to the situation, local farmers are being deprived of proper price of aman paddy as traders are not so interested to buy.Now a maund of aman paddy is selling for Tk 650 to 680 while the price was over Tk 700 only three weeks ago, said Md Sultan Mia, a farmer of Rojopara village in Kalapara upazila."Many local traders send paddy to Dinajpur, Natore, Khulna and other places for husking and then they bring the rice to the area for sale round the year. Many businessmen of those areas also come here to buy paddy. But the business is badly suffering now due to countrywide blockade," said Masum Khan, a paddy trader.Our Lalmonirhat Correspondent reports: Bumper production of aman paddy this season
fails to bring smile on the faces of growers in the district.Farmers said they are counting losses due to fall in aman prices amid the blockades being enforced by the 18-party opposition combine. Many farmers are selling aman for low prices in the local markets, as they need money for preparing their lands for ongoing IRRI-boro season.Aman paddy sold in the local market for Tk 800-850 per maund last month but the price has now fallen to Tk 650-700, farmers said.I have got Tk 35,000 from my paddy sale but my production cost was about Tk 33,000 and I had to pay additional Tk 2,500 as transport cost to take my paddy to market due to blockade. Thus I had to count loss, said Hasibul Islam, 50, at Karnapur village in Lalmonirhat Sadar upazila.Pappu Islam, a paddy trader at Puran Bazar in Lalmonirhat town, said traders are not interested to purchase paddy as they cannot send it outside due to lack of transport facility amid the blockades.A total of 81,085 hectares of land were brought under aman cultivation in the district this year and the yield reached 3,65,750 tonnes, said sources at the Department of Agriculture Extension in Lalmonirhat. Published: 12:00 am Thursday, January 02, 2014 Last modified: 10:00 pm Thursday, January 02, 2014
Hand-to-mouth buying likely in rice market

OUR CORRESPONDENT
KARNAL, JAN 2: The rice market witnessed a steady trend with prices of aromatic and non-basmati rice ruling flat on Thursday, despite restricted trading.With not much buying taking place in the market, rice prices were unchanged, said Amit Kumar, proprietor of Ginni Rice. Following steady domestic demand and easy availability of stocks, retail and bulk buyers are placing orders based on their requirement, he added.According to the trade experts, the market may see only hand-to-mouth buying and prices may rule with marginal fluctuation in the coming days. In the physical market, Pusa-1121 (steam) sold at Rs 8,400-8,500, while Pusa-1121 (sela) quoted at Rs 7,500 a quintal. Pure Basmati (Raw) quoted at Rs 12,500. Duplicate basmati (steam) sold at Rs 7,300. Sharbati (Steam) sold at Rs 4,800, while Sharbati (Sela) was quoted at Rs 4,500 .
Permal (raw) sold at Rs 2,300 , Permal (sela) at Rs 2,350 , PR-11 (sela) sold at Rs 3,100 while PR-11 (Raw) was at Rs 2,950 . PR14 (steam) sold at Rs 3,200 . Paddy Arrivals
About 14,000 bags of Pusa-1121 arrived at the Karnal Grain Market Terminal. Around 5,000 bags out of total arrivals went for Rs 4,100-4,200 a quintal while the rest of the stock remained unsold. (This article was published on January 2, 2014) Keywords: Rice market, steady trend, aromatic rice, non-basmati rice
Nagpur Foodgrain Prices Open-Jan 02

Thu Jan 2, 2014 2:36pm IST Nagpur, Jan 2 (Reuters) - Gram prices in Nagpur Agriculture Produce and Marketing Committee (APMC) showed weak tendency on lack of demand from local millers amid poor quality arrival. Fresh fall on NCDEX, increased supply from producing regions and downward trend in Madhya Pradesh gram prices also affected sentiment, according to sources. * * * *
FOODGRAINS & PULSES GRAM * Gram super best bold recovered marginally in open market on renewed marriage season demand from local traders amid tight supply from millers. TUAR * Tuar black reported down in open market on poor demand from local traders amid increased supply from producing regions. * Moong chamki reported strong in open market on good seasonal demand from local traders amid weak arrival from producing regions. * In Akola, Tuar - 4,300-4,450, Tuar dal - 6,700-6,700, Udid at 4,800-5,100, Udid Mogar (clean) - 5,700-6,000, Moong - 7,000-7,300, Moong Mogar (clean) 7,900-8,100, Gram - 2,800-3,000, Gram Super best bold - 4,000-4,200 for 100 kg. * Wheat, rice and other commodities remained steady in open market in thin trading activity, according to sources. Nagpur foodgrains APMC auction/open-market prices in rupees for 100 kg
FOODGRAINS Available prices Previous close Gram Auction 2,530-2,630 2,550-2,670 Gram Pink Auction n.a. 2,100-2,600 Tuar Auction n.a. 3,800-4,050 Moong Auction n.a. 4,400-4,600 Udid Auction n.a. 4,300-4,500 Masoor Auction n.a. 2,600-2,800 Gram Super Best Bold 3,850-4,250 3,800-4,200 Gram Super Best n.a. Gram Medium Best 3,600-3,800 3,600-3,800 Gram Dal Medium n.a. n.a. Gram Mill Quality 3,100-3,300 3,100-3,300 Desi gram Raw 2,800-2,900 2,800-2,900 Gram Filter Yellow n.a. n.a. Gram Kabuli 7,800-10,200 7,800-10,200 Gram Pink 7,700-8,100 7,700-8,100 Tuar Fataka Best 6,600-6,800 6,600-6,800 Tuar Fataka Medium 6,100-6,300 6,100-6,300 Tuar Dal Best Phod 5,900-6,100 5,900-6,100 Tuar Dal Medium phod 5,500-5,700 5,500-5,700 Tuar Gavarani 4,300-4,400 4,250-4,350 Tuar Karnataka 4,450-4,550 4,450-4,550 Tuar Black 7,000-7,100 7,100-7,200 Masoor dal best 5,300-5,400 5,300-5,400 Masoor dal medium 5,000-5,100 5,000-5,100 Masoor n.a. n.a. Moong Mogar bold 8,400-8,600 8,400-8,600 Moong Mogar Medium best 7,800-8,000 7,800-8,000 Moong dal super best 7,200-7,600 7,200-7,600 Moong dal Chilka 6,800-7,000 6,700-6,900 Moong Mill quality n.a. n.a. Moong Chamki best 6,000-7,000 6,000-6,800 Udid Mogar Super best (100 INR/KG) 6,600-7,000 6,600-7,000 Udid Mogar Medium (100 INR/KG) 5,900-6,100 5,900-6,100 Udid Dal Black (100 INR/KG) 4,700-5,000 4,700-5,000 Batri dal (100 INR/KG) 3,800-4,000 3,800-4,000 Lakhodi dal (100 INR/kg) 3,000-3,100 3,000-3,100 Watana Dal (100 INR/KG) 3,200-3,300 3,200-3,300 Watana White (100 INR/KG) 3,200-3,300 3,100-3,200 Watana Green Best (100 INR/KG) 4,000-4,400 4,000-4,400 Wheat 308 (100 INR/KG) 1,750-1,850 1,750-1,850 Wheat Mill quality(100 INR/KG) 1,700-1,750 1,700-1,750 Wheat Filter (100 INR/KG) 1,700-1,900 1,700-1,900 Wheat Lokwan best (100 INR/KG) 2,000-2,500 2,000-2,500 Wheat Lokwan medium (100 INR/KG) 1,950-2,100 1,950-2,100 Lokwan Hath Binar (100 INR/KG) n.a. n.a.
MP Sharbati Best (100 INR/KG) 3,200-3,600 3,200-3,600 MP Sharbati Medium (100 INR/KG) 2,700-2,900 2,700-2,900 Wheat 147 (100 INR/KG) 1,550-1,650 1,550-1,650 Wheat Best (100 INR/KG) 1,600-1,700 1,600-1,700 Rice BPT (100 INR/KG) 3,000-3,300 3,000-3,300 Rice Parmal (100 INR/KG) 1,800-1,850 1,800-1,850 Rice Swarna Best (100 INR/KG) 2,500-2,650 2,500-2,650 Rice Swarna Medium (100 INR/KG) 2,250-2,400 2,250-2,400 Rice HMT (100 INR/KG) 4,100-4,400 4,100-4,400 Rice HMT Shriram (100 INR/KG) 4,500-5,000 4,800-5,000 Rice Basmati best (100 INR/KG) 11,000-13,500 11,000-13,500 Rice Basmati Medium (100 INR/KG) 6,300-7,600 6,300-7,600 Rice Chinnor (100 INR/KG) 5,500-5,800 5,500-5,800 Rice Chinnor Medium (100 INR/KG) 5,100-5,300 5,100-5,300 Jowar Gavarani (100 INR/KG) 1,450-1,600 1,450-1,600 Jowar CH-5 (100 INR/KG) 1,750-1,850 1,750-1,850 WEATHER (NAGPUR) Maximum temp. 28.7 degree Celsius (83.6 degree Fahrenheit), minimum temp. 13.3 degree Celsius (55.9 degree Fahrenheit) Humidity: Highest - n.a., lowest - n.a. Rainfall : nil FORECAST: Clear sky. Maximum and Minimum temperature likely to be around 29 and 13 degree Celsius respectively. Note: n.a.--not available (For oils, transport costs are excluded from plant delivery prices, but included in market prices.)
TABLE-India Grain Prices-Delhi-Jan 01

Wed Jan 1, 2014 2:53pm IST 0 COMMENTS TABLE-India Grain Prices - Delhi - Jan 01 Rates by Asian News International, New Delhi Tel: 011 2619 1464 Indicative Previous Grains opening close (in rupees per 100 kg unless stated) ---------------------------------------------------------Wheat Desi 2,100-2,800 2,100-2,800. Wheat Dara 1,700-1,850 1,700-2,850.
Atta Chakki (per 10 Kg) 215-240 215-240. Roller Mill (per bag) 1,920-2,025 1,920-2,025. Maida (per bag) 1,900-2,000 1,900-2,000. Sooji (per bag) 1,850-1,950 1,850-1,950. Rice Basmati(Sri Lal Mahal) 12,050-14,500 12,050-14,500. Rice Basmati(Lal Quila) 12,000-14,400 12,000-14,400 Rice Basmati(Common) 7,450-7,800 7,450-7,800. Rice Permal 2,450-2,600 2,450-2,600. Rice Sela 3,200-3,500 3,200-3,500. I.R.-8 2,350-2,500 2,350-2,500. Gram 3,000-3,120 3,300-3,300. Peas Green 3,350-3,650 3,350-3,650. Peas White 2,600-2,700 2,600-2,700. Bajra 1,350-1,600 1,350-1,600. Jowar white 1,800-2,200 1,800-2,200. Maize 1,450-1,600 1,450-1,600. Barley 1,350-1,425 1,375-1,450. Guwar 3,300-3,900 3,300-3,900. Source: Delhi grain market traders.
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2nd January , 2014

Chinese COLOR SORTER as low as

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TOP Contents - Tailored for YOU Latest News Headlines

Rice scheme unlikely to survive in pres

Number one exporter of rice may no longer be Thailand

Thailand Aims To Export 8 Million Tonnes Of Rice In 2014

Farmers count loss as paddy prices fall over blockades

Hand-to-mouth buying likely in rice market

Nagpur Foodgrain Prices Open-Jan 02

TABLE-India Grain Prices-Delhi-Jan 01

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