28th july (tuesday),2015 daily exclusive oryza rice e newsletter by riceplus magazine

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Daily Exclusive ORYZA Rice e-Newsletter by Riceplus Magazine

News are published with permission of ORYZA.com Page 1

July 28, 2015 Vol 5 ,Issue VII





Global Rice Quotes July 27th, 2015

Long grain white rice - high quality

Thailand 100% B grade 380-390 ↓

Vietnam 5% broken 345-355 ↔

India 5% broken 385-395 ↔

Pakistan 5% broken 370-380 ↔

Myanmar 5% broken 400-410 ↔

Cambodia 5% broken 425-435 ↔

U.S. 4% broken 470-480 ↔

Uruguay 5% broken 535-545 ↔

Argentina 5% broken 530-540 ↔

Long grain white rice - low quality

Thailand 25% broken 350-360 ↓


Pakistan 25% broken 330-340 ↔

Cambodia 25% broken 410-420 ↔

India 25% broken 350-360 ↔

U.S. 15% broken 445-455 ↔

Long grain parboiled rice

Thailand parboiled 100% stxd 380-390 ↓

Pakistan parboiled 5% broken stxd 415-425 ↔

India parboiled 5% broken stxd 375-385 ↔

U.S. parboiled 4% broken 555-565 ↔

Brazil parboiled 5% broken 545-555 ↔

Uruguay parboiled 5% broken NQ ↔

Long grain fragrant rice

Thailand Hommali 92% 865-875 ↑

Vietnam Jasmine 485-495 ↔

India basmati 2% broken NQ ↔

Pakistan basmati 2% broken NQ ↔

Cambodia Phka Mails 835-845 ↔

Brokens

Thailand A1 Super 320-320 ↔


Pakistan 100% broken stxd 285-295 ↔

Cambodia A1 Super 350-360 ↔

India 100% broken stxd 305-315 ↔

Egypt medium grain brokens NQ ↔





U.S. pet food 325-335 ↔

Brazil half grain NQ ↔

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

Iran Extends Deadline for Registration of

Rice, Other Basic Commodities Importers

Jul 27, 2015

The government of Iran has extended deadline for registration of rice, milling wheat, vegetable

oil and raw sugar importers until August 17 from August 6, Bloomberg quoted the Deputy

Managing Director for Foreign Trade at Iran's Governmental Trading Corporation.

However, no decision has been made about the volume of rice and other commodities to be

imported, the official told reporters.

Iran has temporarily banned rice imports from November 2014 citing excess stocks as reason.

Iran primarily imports basmati rice from India and accounts for nearly 30% of India's total

basmati rice exports. The Middle East nation imported around 900,000 tons of rice in 2014-15

compared to around 1.44 million tons in 2013-14.

Meanwhile, Pakistan, which was once a major rice exporter to Iran in 2010-11, is planning to

revive basmati rice exports to Iran after the lifting of sanctions, the Acting Chairman of the Rice

Exporters Association (REAP) was quoted.

Pakistan, which exported about 3.72 million tons of rice in 2014-15 is planning to increase

exports to 6 million tons after Iran's lifting of sanctions, he said.

Pakistan is expecting to produce around 7 million tons of milled rice in 2015-16 compared to

around 5.5 million tons in 2014-15.

Cambodia May Lose EU Market Share if

EU-Vietnam Bilateral FTA Materializes, Say

Exporters

Jul 27, 2015





Cambodian rice exporters are worried of losing market share in the European Union (EU) market

if the EU-Vietnam Bilateral Free Trade Agreement (EU-V BFTA) is finalized, according to local

sources.Under the proposed deal, EU is planning to import around 76,000 tons of rice, mostly

husked and milled, from Vietnam at zero percent duty.

The EU imports rice from Asian least developed countries (LDCs) such as Cambodia and

Myanmar at zero percent duty under the Everything but Arms (EBA) policy. Currently,

Cambodia accounts for about 250,000 tons yearly or 22% of annual EU rice imports.

The President of a leading exporting company told local sources that if the EU-V BFTA is

finalized, it would pose a great challenge to the Cambodian rice sector. He noted that Cambodia

will have to compete with Vietnam and will certainly lose a part of the market share in the EU

market to the neighboring country. “In the short-term, it will limit growth in rice production and

exports, as well as the investment needed to improve the sector,” he was quoted as saying.

He noted that Cambodia needs to improve its production capacity and logistical services to

remain competitive. Especially, farmers need to improve paddy production yield and quality, he

said. He also added that the government needs to support farmers and millers by provide

requisite financing facilities to boost stocks of paddy for export, building adequate warehouse

and dryer machines as well as help them reduce storage and transportation costs.





However, some analysts say Cambodia can focus more on fragrant rice exports to the EU in

order to sustain the tough competition from Vietnam.

A former senior advisor to Cambodia Rice Federation noted that exports to the EU constitute

about 60% of Cambodia's rice exports and there is a need to diversify the export markets to

reduced dependence on the EU market. “Cambodia should also double efforts to diversify to

other Asian markets, like China and Malaysia, and Africa, which remains a much untapped

destination,” he said.

Ebola Virus Continues to Wage Havoc on

West Africa, Lowering Rice Production in

Sierra Leone

Jul 27, 2015

Sierra Leone is nearly done planting its new rice crop, and while weather has been beneficial, the

Ebola virus’s toll on communities has curtailed farming activities, according to a FAO GIEWS

Country Brief.

In 2014, the Ebola outbreak is estimated to have reduced the nation’s food crop by about 5% and

milled rice production alone – which accounts for 85% of cereal production - declined 8% to an

estimated 770,000 tons, according to FAO. This has set the country back in reaching self-

sufficiency in rice production and has resulted in higher domestic rice prices and food security

issues.

Italy Milled Rice Exports Increase 3.8% y/y

to 113,068 Tons in September 1, 2014 - July

21, 2015

Jul 27, 2015

Italy has exported around 113,068 tons of milled rice in September 1, 2014 - July 21, 2015, up

about 3.8% from around 108,734 tons exported during the same period last year.

Turkey is the largest buyer of Italian rice during the period with 36,106 tons, followed by

Switzerland (14,487 tons), Lebanon (12,245 tons), U.S. (9,352 tons) and Syria (6,994 tons). Italy





also exported rice to Jordan, Bosnia-Herzegovina, Serbia, Australia, Kosovo, Brazil, Russia,

Canada, Norway and Israel.

Italy exported around 86,361 tons of Long-A variety, up about 23% from around 70,212 tons

exported last year. Italy's round varieties exports increased about 41% to around 15,659 tons

from around 11,106 tons last year; and Italy's medium varieties exports increased about 49% to

around 3,605 tons from around 2.419 tons last year. However, export of Long B varieties

declined about 54% to around 7,443 tons during the period from around 16,180 tons last year.

Iraq Still Considering Tender to Purchase At

Least 30,000 Tons of Rice Due to High Prices

Jul 27, 2015

Iraq is still considering its tender to purchase at least 30,000 tons of rice in international tenders

from the U.S., Uruguay, Argentina, Thailand, Brazil and India, Reuters quoted European traders.

The tenders closed on June 15, 2015 with offers having to remain valid till July 21, 2015.

India offered three bids of $470 per ton, $471 per ton and $472 per ton (c&f basis); U.S. offered

a bid of $582 per ton (c&f); Brazil offered a bid of $589 per ton (c&f), Uruguay offered a bid at

$605 per ton (c&f); Thailand offered a bid of $505 per ton; and Argentina offered a bid of $602

per ton (c&f).

Uruguay and Argentina reportedly offered bids for notably large tonnages of rice although they

were not the cheapest.

Thailand Rice Quotes Mixed Today; Other

Asia Rice Quotes Unchanged

Jul 27, 2015

Thailand rice sellers lowered their quotes for 5% broken rice, 25% broken rice and parboiled

rice by about $5 per ton each to around $370-$380 per ton, $350-$360 per ton and $380-$390 per

ton, respectively, and increased their quotes for Hommali rice by about $10 per ton to around

$865-$875 per ton today. Other Asia rice sellers kept their quotes mostly unchanged.

5% Broken Rice





Thailand 5% rice is indicated at around $370 - $380 per ton, down about $5 per ton from Friday

and about $25 per ton premium on Vietnam 5% rice shown at around $345 - $355 per ton. India

5% rice is indicated at around $385 - $395 per ton, about $15 per ton premium on Pakistan 5%

rice shown at around $370 - $380 per ton.

25% Broken Rice

Thailand 25% rice is shown at around $350 - $360 per ton, down about $5 per ton from

Friday and about $25 per ton premium on Vietnam 25% rice shown at around $325- $335 per

ton. India 25% rice is indicated at around $350 - $360, about $20 per ton premium on Pakistan

25% rice shown at around $330 - $340 per ton.

Parboiled Rice

Thailand parboiled rice is indicated at around $380 - $390 per ton, down about $5 per ton from

Friday. India parboiled rice is indicated at around $375- $385 per ton, about $40 per ton discount

to Pakistan parboiled rice was last shown at around $415 - $425 per ton.

100% Broken Rice

Thailand broken rice, A1 Super, is indicated at around $320 - $330 per ton, about $10 per ton

from premium on Vietnam 100% broken rice shown at around $310 - $320 per ton. India's 100%

broken rice is shown at around $305 - $315 per ton, about $20 per ton premium on Pakistan

broken sortexed rice shown at around $285 - $295 per ton.

Thailand Postpones Auction for 1.29 Million

Tons of Sub-Standard Rice to August 2015

Jul 27, 2015

The government of Thailand, which planned to hold an auction to sell about 1.29 million tons of

sub-standard rice in early July has decided to postpone it to August to allow officials to conduct

the rice separation process thoroughly, according to local sources.

The Commerce Ministry officials, academics, the National Farmers Council, surveyors, rice

sellers and the Thailand Development Research Institute (TDRI) are involved in separating low

quality rice from the good one meant for consumption as well as estimating the cost of

improving the grains for various purposes. They will also decide whether to sell rice in smaller

portions or as an entire silo.





Last week, the Commerce Ministry officials said all private traders would be allowed to take part

in the auction.

The Minister assured the public that rotten and fungal-contaminated rice will not be mixed with

rice meant for consumption and terms of each auctions will specify the industries targeted for the

auction and officials would be assigned to follow up the process and delivery of the rice to

respective destinations.

He also noted that the auction of around 400,000 - 500,000 tons of good quality rice meant for

consumption that was planned in the last week of July would go ahead as scheduled.

Mexico Rice Imports Projected to Rise in

2015/16 Marketing Year, Says USDA Post

Jul 27, 2015

Rice paddy production in Mexico is projected

to be little changed y/y at about 240,000 tons in

the 2015/16 marketing year (October-

September), according to a USDA Post report

citing data from Mexico’s Secretariat of

Agriculture, Livestock, Rural Development,

Fisheries and Foodstuffs (SAGARPA).

However, with carryover from 2014/15 down

and production steady, rice imports for 2015/16

are expected to be higher than in 2014/15; the

USDA Post projects 785,000 tons for 2015/16

up from 685,000 tons estimated for 2014/15.

Oryza Afternoon Recap - Chicago Rough

Rice Futures Dip Back below $11.000 per cwt

on Spillover Selling Pressure

Jul 27, 2015

Chicago rough rice futures for Sep delivery settled 8.5 cent per cwt (about $2 per ton) lower at

$10.960 per cwt (about $242 per ton). The other grains finished the day sharply lower; Soybeans





closed about 3.3% lower at $9.3325 per bushel; wheat finished about 1.8% lower at $5.0225 per

bushel, and corn finished the day about 4.8% lower at $3.8325 per bushel.

U.S. stocks traded lower on Monday as the continued decline in commodities and an overnight

plunge in Shanghai stocks pressured sentiment amid a lackluster earnings season. Stocks

struggled to remain above session lows. The S&P 500 briefly dipped below its 200-day moving

average of 2,064.14 and attempted to hold above it. The energy sector was one of the worst

performers in the S&P 500 as oil extended losses to trade below $48 a barrel. The Dow Jones

industrial average fell more than 150 points in the open as nearly all the blue chips declined. The

Nasdaq Composite declined more than 1%.Mainland Chinese stocks extended Friday's losses,

with the Shanghai Composite dropping nearly 8.5% for its largest one-day loss since 2007. The

Hang Seng closed about 3% lower.

The China Securities Regulatory Commission said late Monday night that the local government

will increase purchases of stocks in an effort to keep the equity market up. Stocks around the

world closed lower on Friday as weak PMI data in China and the euro zone increased global

growth concerns. European stocks closed lower, with the DAX off about 2.5% Monday. U.S.

stock index futures gave up early gains to trade lower, with Dow Jones industrial average futures

down more than 100 points. The Dow Jones Industrial Average traded down 136 points, or

0.78%, at 17,432. The S&P 500 traded down 12 points, or 0.55%, at 2,068, with information

technology leading eight sectors lower and utilities and telecommunications the only advancers.

The Nasdaq traded down 47 points, or 0.92%, at 5,041. Gold is trading about 0.9% higher, crude

oil is seen trading about 1% lower, and the U.S. dollar is seen trading at about 0.8% lower at

about 1:15pm Chicago time.

Friday, there were 510 contracts traded, down from 528 contracts traded on Thursday. Open

interest – the number of contracts outstanding – on Friday decreased by 21 contracts to 8,602.

Vietnam Exports About 2.926 Million Tons

Rice During January 1 – July 23, 2015

Jul 27, 2015





Vietnam exported about 2.926 million tons of rice in January 1 - July 23, 2015, down about 19%

from about 3.63 million tons of rice exported in first seven months of 2014, according to data

from the Vietnam Food Association (VFA). The average rice export price so far in this year

stands at about $414 per ton (FOB), down about 4% per ton from about $431 per ton recorded

during same last year.

During July 1-23, 2015, Vietnam exported about 213,619 tons of rice, down about 65% from

about 615,844 tons rice exported in full month of July 2014, and down about 66% from about

632,010 tons rice exported in full month of June 2015. The average export price so far in July

stands at about $380 per ton, down about 12% per ton from a year ago and down about 6.5% per

ton from a month ago.

Pakistan Exports Increase 6% y/y to 3.93

Million Tons in FY 2014-15





Jul 27, 2015

Pakistan exported around 3.93 million tons of rice in FY 2014-15 (July-June), up about 6% from

around 3.72 million tons exported in FY 2013-14, according to preliminary data from the

Pakistan Bureau of Statistics (PBS).

In terms of value, Pakistan earnings declined about 6% to around $2.035 billion in FY 2014-15

from around $2.163 billion in FY 2013-14 due to a decline in global rice prices since the

beginning of this year.

Pakistan's basmati rice exports declined sharply in FY 2014-15. Pakistan exported around

495,649 tons of basmati rice during the fiscal year, down about 667,523 tons exported in the last

fiscal year. In terms of value, Pakistan's basmati rice exports earned around $533 million, down

about 31% from around $770 million last year.

Pakistan exported around 3.43 million tons of non-basmati rice in FY 2014-15, up about 26%

from around 2.73 million tons exported last year. In terms of value, Pakistan's non-basmati rice

exports earned around $1.5 billion, up about 8% from around $1.39 billion last year.





Myanmar Prepares to Send First Legal Rice

Export Shipment to China

Jul 27, 2015

The Myanmar Agribusiness Public

Company Limited (MAPCO) will

export 3,000 Tons of Rice to China,

part of the 100,000 tons to be

exported to China under a

memorandum of understanding

(MoU) signed between the

Myanmar Rice Federation (MRF)

and China's National Cereals, Oils

and Foodstuffs Corporation

(COFCO), according to local

sources.While nine companies,

including MAPCO, Myanmar Rice

Mill, FPR from the Myanmar Rice Traders Association, Golden Land East Asia, MRDC from

Mandalay region, a company from Yangon’s Bayintnaung commodities market, Ayer-Pathein

company from Ayeyarwady Region, SPRDC formed by Muse traders and Rakhine Ethnic Rice

Company, have been granted permission to export rice to China under the MoU, the MAPCO

agreed to send the first shipment shortly, according to local sources.

The MAPCO has reportedly invited companies to invest about one million kyat (around $9,043)

each and MAPCO will coordinate buying and selling rice with this investment.China is a major

destination for Myanmar rice, but most of the rice is exported to China through Myanmar's

northern borders. However, the Chinese authorities banned unofficial exports through borders in

August 2014 seeking a trade agreement between the two countries. China is particular that the

exported rice meets its quality and health standards.Myanmar exported about 1.8 million tons of

rice in FY 2014-15, of which around 1.1 million tons were exported to China.

USDA estimates Myanmar to produce 20 million tons of paddy rice (around 12.8 million tons,

milled basis) and export around 2 million tons of rice in MY 2015-16 (January - December

2015).

Documents

28th july (tuesday),2015 daily exclusive oryza rice e newsletter by riceplus magazine