March 10,2016
Vol 7,Issue III
www.ricepluss.com
www.riceplusmagazine.blogspot.com
Brazil exported around 170,751 tons of rice in the first two months of 2016, up about 42% from
around 119,828 tons exported during the same period in 2015, according to data released by the
Rice Institute of Rio Grande do Sul (IRGA).
In February 2016, Brazil exported around 74,701 tons of rice, down about 22% from around
96,050 tons in January 2016 and up about 50% from around 49,915 tons exported in February
2015.
The U.S. remained the largest importer of Brazilian rice in February 2016 with around 34,726
tons, or about 46% of Brazil's total rice exports during the month. Switzerland accounted for
around 16,550 tons (about 22% of Brazil's total rice exports during the month); and Peru
accounted for around 5,882 tons (about 8% of Brazil's total rice exports during the month).
Bolivia (2,266 tons), Gambia (2,220 tons), Angola (2,195 tons), Belgium (1,614 tons), Benin
(1,471 tons), Chile (1,309 tons), The Netherlands (1,103 tons), and others (5,365) accounted for
the remaining 24% of Brazil's total rice exports in February 2016.
The U.S. cash market was weaker today after the USDA left the U.S. long grain sheet unchanged
with 23.0 million cwt in ending stocks while increasing global ending carryover by 1.2 million
tons.
The USDA raised global production by 1.8 million tons on increased production in India which
was partly offset by a decrease in production in Indonesia while increasing global consumption
by 0.6 million tons.
Analysts note that on the surface this report appears bearish, however many believe that the
USDAs domestic consumption figure is too low and their Indian production figure is too high.
Experts have stressed the need for public and private sector institutions in Africa to join hands to
address rice research and production challenges in the continent, according to Sci Dev Net.
Speaking at the 2016 AfricaRice Science Week and Global Rice Science Partnership-Africa
Science Forum last month, the AfricaRice Deputy Director-General urged the African rice
farmers to increase production capacity as the demand for rice in Africa would increase to
around 38 million tons by 2040. To achieve this task, the role of private sector is very crucial, he
said. AfricaRice Director-General added that such partnerships should intensify advances in
scientific research to boost rice production in Africa.
Other experts noted that the joint efforts and strengths of public-private sector partnerships of all
actors in the rice value chain could help boost production and enhance research on rice in Africa.
The conference was organized by AfriaRice, a member of the Consultative Group for
International Agricultural Research (CGIAR) Consortium to review the activities carries out by
rice teams in 2015, and was attended by 200 experts from 30 countries. In the conference, the
teams reportedly decided to disseminate scalable technologies for rice production and carry out
effective and efficient planning of rice research-for-development (R4D) activities in 2016.
Bangladesh domestic rice prices have been increasing for the last few days in most of
Bangladesh's city markets following a hike in prices at the mill-gates, according to the Financial
Express.
Traders told reporters that prices of most rice varieties increase by Tk 1.0 - 4.0 per kilogram
(around $13 - $52 per ton) in Dhaka and other markets. Coarse rice prices are in the range of Tk
30 - 33 per kilogram (around $392 - $430 per ton).
Bangladesh Auto Major Husking Mill Owners Association secretary noted that t is a normal
market trend that rice prices fluctuate after completion of a harvesting season until the next
harvest. However, some traders are predicting that prices may fall again when the Boro (January
- May) harvest would begin next month.
According to the UN's Food and Agriculture Organization (FAO), wholesale and retail prices of
coarse rice declined in February due to higher supplies from the Aman crop (July - December).
The Department of Agriculture Extension (DAE) targets about 34.9 million tons of rice in FY
2015-16 (July - June) from three rice seasons - Aman, Aus and Boro. DAE officials noted that
5
Aman and Aus (February - August) rice production remained almost static this FY due to flood
in the cultivation period. An official said the total production of Aman and Aus is likely to be
15.5 million tons. Bangladesh produced about 34.7 million tons of milled rice in FY 2014-15.
Last month, the government proposed to sell about 1.5 million tons of rice and wheat at reduced
prices in the open market in order to clear the stocks before the arrival of the newly harvest rice.
The government storage capacity for storage of food grains is 1.9 million tons. The government
aims to sell rice in OMS at around Tk 23-25 per kilogram (around $300 - $326 per ton).
Currently, the government rice stocks stand at around 1.065 million tons. However, the sale had
been slow. A renowned agricultural economist noted that availability of better quality rice in the
market at affordable prices has been refraining consumers from buying the OMS rice.
However, he noted that: "A little-bit hike in rice prices this month might benefit the Boro
farmers, who will begin harvest from next month."
Brokens
Thailand A1 Super
330-340
Oryza CBOT Rough Rice Futures Recap Chicago Rough Rice Futures Tumble as
USDA Leaves Data Nearly Unchanged and
Fails to Add Support
Mar 10, 2016
Chicago rough rice futures for May delivery settled 15 cents were cwt (about $3/ton) lower at
$10.385 per cwt (about $229 per ton). The other grains finished the day with mixed results;
Soybeans closed about 0.1% higher at $8.8575 per bushel; wheat finished about 0.6% higher at
$4.6825 per bushel, and corn finished the day about 0.3% lower at $3.5950 per bushel.
U.S. stocks held mostly higher in choppy trade Wednesday as oil prices rose and investors
awaited the outcome of Thursday's European Central Bank meeting. ECB President Mario
Draghi is expected to announce more stimulative measures, with hopes of expansion of the asset
purchase program and a possible further cut to the already negative deposit rate. U.S. crude oil
futures held near $37.70 a barrel in afternoon trade. Earlier, WTI extended gains to trade more
than 4% higher above $38 a barrel after weekly crude oil inventories showed a rise of 3.9 million
barrels but a drop of 4.5 million barrels in gasoline inventories. Hopes of curbing production also
supported oil gains.
An Iraqi oil official told state newspaper Al-Sabah that OPEC and non-OPEC members would
meet in Moscow on March 20 to discuss an output freeze. However, Russian Energy Minister
Alexander Novak said Wednesday that no time or place had been agreed for such a meeting this
month, Reuters reported, citing the Russian TASS news agency. In economic news, weekly
mortgage application volume increased 0.2% on a seasonally adjusted basis, according to the
Mortgage Bankers Association. Wholesale inventories rose 0.3% in January, while sales declined
1.3%.European stocks came off session highs to end about half a percent higher. The STOXX
Europe 600 Banks index closed about a third of a percent higher.
Asian stocks closed mostly lower, with the Shanghai composite off about 1.3% and the Nikkei
225 0.8% lower. In afternoon trade, the Dow Jones industrial average gained 55 points, or
0.33%, to 17,019. The S&P 500 traded up 10 points, or 0.52%, to 1,989, with energy leading
eight sectors higher, with telecommunications and consumer discretionary as the only decliners.
The Nasdaq composite rose 16 points, or 0.35%, to 4,665. Gold is seen trading about 0.5%
lower, crude oil is seen trading about 3.6% higher, and the U.S. dollar is seen trading about 0.2%
8
Vietnam has exported around 508,153 tons of rice in January 2016, slightly up from around
505,851 tons exported in December 2015, and up about 58% from around 320,750 tons exported
in January 2015, reports USDA Post based on data from the General Customs Office and the
Vietnam Food Association (VFA) .Asia accounted for around 322,076 tons (about 63% of total
rice exports by Vietnam in January 2016) during the month. Month-on-month, Vietnam's rice
exports to Asian destinations declined about 26% from around 435,780 tons exported in
December 2015.
Year-on-year, they increased about 2.4 times from around 132,097 tons exported in January
2015.Vietnam exported around 88,802 tons of rice to Africa (about 17% of total January 2016
exports) in January 2016, about 3.25 times from around 27,337 tons exported in December 2015,
and down about 23% from around 114,912 tons exported in January 2015.Vietnam exported
around 84,732 tons of rice to American destinations (about 17% of January 2016 exports), about
2.4 times more from around 34,770 tons exported in December 2015, and up about 35% from
around 62,625 tons exported in January 2015.
Vietnam rice sellers lowered their quotes for 5% broken rice by about $5 per ton to around $365$375 per ton and increased their quotes for 25% broken rice, 100% broken rice and Jasmine rice
by about $5 per ton each to around $355-$365 per ton, $340-$350 per ton and $450-$460 per ton
respectively today. Other Asia rice sellers kept their quotes unchanged today.
5% Broken Rice
Thailand 5% rice is indicated at around $360 - $370 per ton, about $5 per ton discount to
Vietnam 5% rice shown at around $365 - $375 per ton. India 5% rice is indicated at around $365
- $375 per ton, about $30 per ton premium on Pakistan 5% rice shown at around $335 - $345 per
ton.
25% Broken Rice
Thailand 25% rice is indicated at around $350 - $360 per ton, about $5 per ton discount to
Vietnam 25% rice shown at around $355- $365 per ton. India 25% rice is indicated at around
$330 - $340 per ton, about $25 per ton premium on Pakistan 25% rice shown at around $305 $315 per ton.
Parboiled Rice
Thailand parboiled rice is indicated at around $365 - $375 per ton. India parboiled rice is
indicated at around $355 - $365 per ton, about $50 per ton discount to Pakistan parboiled rice
last shown at around $405 - $415 per ton.
100% Broken Rice
Thailand broken rice, A1 Super is indicated at around $325 - $335 per ton, about $15 per ton
discount to Vietnam 100% broken rice shown at around $340 - $350 per ton. India's 100%
broken rice is shown at around $260 - $270 per ton, about $25 per ton discount to Pakistan
broken sortexed rice shown at around $285 - $295 per ton.
Exclusive News have been shared with written permission of ORYZA.com with thanks
10