7th april ,2016 daily exclusive oryza rice e newsletter by riceplus magazine

Daily Exclusive ORYZA Rice E-Newsletter

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

April 07,2016 Vol 7,Issue III


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Cambodia Exports 162,275 Tons of Rice in

the First Three Months of 2016; Up 9% from

Previous Year

Apr 06, 2016

Cambodia has exported around 162,220 tons of milled rice in the first three months of 2016, up

about 9% from around 149,464 tons exported during the same period last year, Khmer Times

quoted data from the Secretariat of One Window Service for Rice Export Formality (SOWS-

REF).

Month-on-month, Cambodia's rice exports in March 2016 increased about 28% to around 66,275

tons from around 51,912 tons in February 2016. Year-on-year Cambodia's rice exports in March

2016 declined about 13% from around 75,867 tons in March 2015.

The top three destinations during the month were China (16,682 tons), France (8,542 tons) and

Poland (7,428 tons), according to the official data.

Exporters say lack of capital for buying paddy from rice growers is a major hindrance for the

country's exports. They have sought financial assistance from the government. One of the


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leading rice exporters noted that if the government does not respond positively, some exporters

may have to quit the rice export businesses. “The lack of capital is the big concern and El Nino.

People want to buy our rice, but we don’t have the capital to buy the rice and we urgently need a

loan from the government,” according to the Cambodia Rice Federation (CRF) President.

Cambodia has exported around 538,396 tons of milled rice in 2015 (January - December), up

about 39% from around 387,061 tons exported during the same period last year.

USDA estimates Cambodia to export 900,000 tons of rice (including official and unofficial

exports to Vietnam and Thailand through borders) in 2016, down about 18% from an estimated

1.1 million tons in 2015.

Oryza March 2016 Rice Market Review

Apr 07, 2016

The Oryza White Rice Index (WRI), a weighted average of global white rice export quotes ended the month of March at $387 per ton, up $5 per ton from a month ago and down $26 per ton from a year ago. Projections show contracting future rice supplies, but buying remains mostly hand-to-mouth.

The International Grains Council (IGC) forecasts 2016-17 global rice production at about 485

million tons, up about 2.5% from an estimated 473 million tons in 2015-16 citing expectations

for improved Asian production. The IGC slightly lowered its estimates for 2015-16 rice

production by 1 million tons. The IGC forecasts 2016-17 global rice trade at about 42 million

tons, unchanged from its estimate for 2015-16. The IGC forecasts global rice ending stocks at

about 93 million tons in 2016-17, down about 4% from an estimated 97 million tons in 2015-16.

The agency forecasts 2016-17 global rice consumption to increase about 1% to about 489 million

tons from an estimated 485 million tons in 2015-16.

Thailand

Thailand 5% broken rice quotes ended the month of March at about $370 per ton, up about $10

per ton from a month ago and down about $20 per ton from a year ago.

The USDA Post forecasts Thailand's MY 2015-16 (January-December 2016) rice exports at

about 8 million tons, down from about 9.8 million tons in MY 2014-15 due to tight supplies of

new-crop white and parboiled rice as well as sluggish demand from the African market. The Post

is also expecting the sales of old-rice crop in the stockpiles to slow down in the coming months.

Average monthly rice exports for the next eight months are forecast at about 600,000 - 700,000

tons as against one million tons in January 2016. However, the Post is expecting the Thai rice

exports to accelerate in the last quarter of 2016 when supplies of new-crop white rice enter the

market. The agency forecasts Thailand's MY 2015-16 paddy rice production at about 24 million


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tons, down from last year's 29.4 million tons and down from USDA's official estimates of about

24 million tons due to a sharp reduction in off-season rice acreage and production.

Meanwhile, the Honorary President of the Thai Rice Exporters Association (TREA) noted that

exports during the first quarter of 2016 are likely to be sluggish due to low demand from

traditional markets as well as increasing competition from India, Vietnam and Pakistan.

However, he predicts that exports will recover in the second quarter.

The government of Thailand is planning to sell more than 100,000 tons of food-grade rice in the

second half of April. Separately, the Thai government auctioned 418,000 tons of food-grade rice

fit for human consumption on March 30 and 223,000 tons of non-food grade rice on March 31,

2016.

Meanwhile, the El Nino-induced drought has damaged about 2 million rai (about 320,000

hectares) of rice lands in Thailand since January last year. About 1.1 million tons of rice worth

15.5 billion baht (about $442 million) has been damaged as of March 17, 2016, says the OAE.

Government approved a budget of about 32.4 billion baht (about $924 million) to ease the

impact. Meanwhile, Thailand's Agriculture Ministry is expecting the water crisis due to drought

is likely to ease over the next few months as water levels in the country's dams would be

sufficient until seasonal rains begin in April and May, according to Bloomberg.

The Finance Ministry committee that is looking into the accounts of the rice pledging scheme,

introduced by the previous government, has reported that the actual losses from the scheme are


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higher than the earlier estimates of about 680 billion baht (about $19 billion), according to local

sources.

A number of research institutes in Thailand are keen on investing the country's rice research

activities to help the government increase the competitiveness of Thai rice and rice products in

the global market.

The government of Thailand is planning to hold road shows as part of efforts to boost Thai rice

exports and achieve the 9.5 million target, Reuters quoted the Foreign Trade Department's

Director-General.

Vietnam

Vietnam 5% broken rice quotes ended the month of March at about $380 per ton, up about $20

per ton from a month ago and up about $10 per ton from a year ago.

Vietnam exported 1.426 million tons of rice in first quarter of 2016, up about 58% from 901,692

tons of rice exported during same period in last year, according to data from the Vietnam Food

Association (VFA). The average rice export price during the period stands at about $405 per ton

(FOB), down about 7% per ton from about $434 per ton recorded during same last year.

Separately, Vietnam rice exports are becoming less competitive due to higher prices compared to

exports from Thailand and India, local sources quoted the Chairman of the VFA. An official

from the Vietnamese Embassy in Cambodia suggested that Vietnam businesses should consider

growing rice in Cambodia to boost exports to the EU as Cambodia enjoys a preferential tariff of

zero percent on rice exports to the EU under the Everything But Arms (EBA) agreement,

according to local sources.

The Committee for Economic Affairs (CEA) under the Vietnam National Assembly has

approved the government's proposal to reduce rice growing area in the country by about 270,000

hectares to about 3.76 million hectares by 2020 from about 4.03 million hectares in 2015,

according to Tuoitre News.

Vietnam's Ministry of Agriculture and Rural Development (MARD) reports that the on-going

drought and salt water intrusion have damaged more than 200,000 tons of rice worth one trillion

VND (about $44.64 million), according to Radio Free Asia. Meanwhile, the government of

Vietnam will need about 34 trillion dong (about $1.515 billion) to cope with damages from

drought and salinity, Bloomberg quotes the Agriculture Ministry. China has agreed to release

water from its Jinghong Hydropower Station reservoir into the lower Mekong River to help

Vietnam deal with drought and salinity in a number of provinces in Mekong Delta, according to

Vietnam Net.

Cambodia & Myanmar.

Cambodia 5% broken rice quotes ended the month of March at about $425 per ton, up about $10

per ton from a month ago and down about $15 per ton from a year ago. Cambodia has exported


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about 162,220 tons of milled rice in the first three months of 2016, up about 9% from about

149,464 tons exported during the same period last year, data from the Secretariat of One

Window Service for Rice Export Formality (SOWS-REF) showed. Cambodian government said

that it would remove the current value added tax (VAT) on milling machines and take action on

companies importing rice from neighbouring countries and rebranding it as Cambodian rice,

according to Khmer Times. Meanwhile, the Cambodia Rice Federation (CRF) sought a $250

million loan, at a concessional rate of 4%, to help bail out the rice sector. They also urged the

government to reduce the electricity tariffs to about 400 riel ($0.10) per kilowatt/hour; and

negotiate with Thai authorities too allow the use of the Thai’s Laem Chabang Port in order to

reduce transport costs and increase Cambodia’s competitiveness. Members of the CRF are

considering to develop a price-support mechanism for the country's rice exports, according to the

Cambodia Daily. Meanwhile, Cambodia's Foreign Minister has urged Malaysian businessmen to

invest in the country's rice milling sector as part of discussions with the Malaysian Ambassador

to Cambodia.

Myanmar 5% broken rice quotes ended the month of March at about $420 per ton, down about

$5 per ton from a month ago, and up about $5 per ton from a year ago. The FAO estimates

Myanmar's 2015 paddy production at about 27.5 million tons (including 22.81 million tons from

the monsoon crop and about 4.678 million tons from the secondary crop) down about 3% from

about 28.193 million tons in 2014. the agency forecasts MY 2015-16 rice exports at about 1.55

million tons, down 4% from last year. the agency added that Myanmar's average domestic rice

prices increased about 37% in February 2016 due to tighter domestic supplies.

Philippines

The government of the Philippines may not import rice for the lean season (July-September) this

year due to adequate stocks, Bloomberg quotes the National Food Authority (NFA)

Administrator. Normally, the government imports rice during lean months to ensure adequate

stocks and to curb price hikes. However, earlier this month, the Food Security Council and the

NFA Council have decided not to approve the proposed additional 500,000 tons of rice in the

second quarter due to adequate supplies.

The Philippines Department of Agriculture (DA) is estimating that about 131,649 tons of rice

worth 5.33 billion pesos (about $114.2 million) has been lost since February 2015, according to

Bloomberg.

Halal certification by the Islamic Da'wah Council of the Philippines opens more export markets

for the country's rice in the Middle East, according to the Business World Online.

China

The FAO forecasts China's MY 2015-16 (June - May) rice imports (both official and unofficial)

to decline about 6% y/y to about 5.8 million tons due to government's efforts to limit informal

imports. The agency forecasts China's 2015 paddy rice output at about 208.25 million tons, up

from about 206.507 million tons in 2014 due to favourable weather conditions.


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India

India 5% broken rice quotes ended the month of March at about $375 per ton, up about $10 per

ton from a month ago, and down about $5 per ton from a year ago.

Average monthly wholesale rice prices in India stood at about Rs.2,833.93 per quintal (about

$426 per ton) in March 2016, up about 1.6% from about Rs.2,787.6 per quintal (about $406 per

ton) in February 2016, and slightly down from their year-ago levels of about Rs.2,849.55 per

quintal (about $460 per ton).

The government of India is planning to strike an oil for food exchange deal with the Gulf

Cooperation Council (GCC) countries under which it is keen on increasing the exports of

basmati rice and wheat to the GCC countries.

Meanwhile, a report by a private Indian research agency forecasts revival of the country's

basmati rice sector in the second half of FY 2016-17 (April - March), according to the Press

Trust of India. Exporters are expecting India's basmati rice exports in FY 2015-16 at about 4

million tons as against 3.7 million tons in FY 2014-15 due to strong demand from the Middle

East and lower prices.

Pakistan

Pakistan 5% broken rice quotes ended the month of March at about $345 per ton, up about $5 per

ton from a month ago and down about $10 per ton from a year ago.

Pakistan basmati rice export prices have increased for third consecutive month in February 2016,

after declining continuously for three months from September 2015, according to the UN's Food

and Agriculture Organization (FAO). In February 2015, Pakistan's basmati rice export prices

have increased by about 1.4% to about $745 per ton from about $734 per ton in January 2015,

and down about 24% from their year-ago levels of about $978 per ton.

Separately, the Rice Exporters Association of Pakistan (REAP) has urged the country's Central

Bank to extend the payback period for the export refinance loans to 360 days from the current

180 days to help exporters cope with the falling global rice prices, according to the Nation.

The governments of Pakistan and Iran have agreed to prepare a ground to sign a free trade

agreement (FTA), which would boost bilateral trade between the two countries.

Bangladesh

The USDA Post forecasts Bangladesh's MY 2016-17 (May - April) milled rice production at

about 34.55 million tons, slightly up from an estimated 34.5 million tons last year due to a slight

increase in acreage to 11.8 million hectares from an estimated 11.765 million hectares last year.

The Post is forecasting Bangladesh's MY 2016-17 rice imports to increase to about 1.3 million

tons, up from an estimated 350,000 tons in MY 2015-16 due to less total supplies because of low

imports and production in MY 2015-16.


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Meanwhile, the government of Bangladesh is planning to explore new markets for its rice in

African countries, newagebd.net quoted the Food Minister.

Separately, the Bangladesh government reduced the OMS price of rice to Tk 15 per kilogram

(about $196 per ton) from the current price of Tk 20 per kilogram (about $261 per ton) to clear

the reserve stocks ahead of the Boro harvest, which will begin shortly.

Indonesia

The government of Indonesia is keen on exporting about 100,000 tons of rice to ten countries,

including Malaysia, Singapore and Brunei Darussalam, this year as part of its efforts to increase

farm commodity exports.

The government of Indonesia has launched a paddy rice purchase program to stabilize paddy

prices at the farmers' level, Reuters quoted local sources. He said that the state logistics agency

Bulog will purchase paddy directly from farmers under this program, which mainly aims to cut

the distribution chain as well as reduce the involvement of middle men. With the Bulog directly

purchasing paddy, farmers would be encouraged to plant more rice and contribute to a higher

output in the country, he added.

Latin America

Brazil exported about 170,751 tons of rice in the first two months of 2016, up about 42% from

about 119,828 tons exported during the same period in 2015, according to data released by the

Rice Institute of Rio Grande do Sul (IRGA). Separately, Brazil’s National Grains Supply

Company (Conab) forecasts the country's 2015-16 paddy rice production at about 11.215 million

tons, down about 10% from an estimated 12.44 million tons in 2014-15. Conab's paddy

production forecast is also down by about 2% from its February forecast of about 11.5 million

tons. Meanwhile, Brazil rice stocks stood at about 92,260 tons in February 2016, down about

16% from about 110,388 tons in January 2016 and down about 32% from about 135,717 tons in

February 2015, according to the country's national grain supplying agency Conab.

Five percent broken rice from Uruguay and Argentina quotes ended the month of March at

about $430 per ton, down about $10 per ton from a month ago and down about $145 per ton

from a year ago.

The USDA Post forecasts Mexico's MY 2015-16 (October - September) rice imports at about

690,000 tons, slightly down from about 698,000 tons last year, and down from USDA's official

estimates of about 700,000 tons based on the import pace in the first four months of the

marketing year. It forecasts Mexico's MY 2016-17 imports to increase to 750,000 tons. The

agency forecasts Mexico's MY 2015-16 paddy rice production at about 223,000 tons, down from

about 261,000 tons last year.

The USDA Post forecasts Colombia's MY 2016-17 (April - March) rice imports at about

320,000 tons, slightly up from an estimated 300,000 tons last year due to an expected increase in


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production. The USDA Post forecasts Colombia's MY 2016-17 paddy rice production at about 2

million tons, up from an estimates 1.985 million ton.

The Guyana Rice Development Board (GRDB) has signed agreements with two Jamaican

companies recently to export about 80,000 tons of rice to the Caribbean nation in 2016, almost

double from about 48,000 tons exported in 2015, the Caribbean Trakker quoted a press release

by the Guyanese Agriculture Ministry.

U.S.

U.S. 4% broken rice is quotes ended the month of March at about $445 per ton, down about $15

per ton from a month ago and down about $40 per ton from a year ago.

The USDA lowered the forecast for U.S. all rice exports to about 4.54 million tons in 2015-16,

from an estimated 4.76 million tons in 2014-15 and down from its previous estimates of about

4.63 million tons due to reduced shipments of southern medium-grain rough rice, especially to

Turkey. The agency forecasts 2015-16 all rice use at about 10.02 million tons, down from about

10.61 million tons last year and down from its previous estimates of about 10.12 million tons. It

forecasts 2015-16 all rice ending stocks at about 1.99 million tons, up from an estimated 1.95

million tons last year and up from its previous estimates of about 1.9 million tons. The USDA

lowered all rice average farm prices to about $273.37 - $291.00 per ton from its last month's

forecast of $275.57 - $293.21 per ton due to lower projected medium- and short-grain prices.

Africa

The FAO forecasts Nigeria's 2016 rice imports to remain high despite the government's efforts

to increase rice production and curb imports. The FAO forecasts Nigeria’s 2015 paddy rice

production at about 4.6 million tons, down about 6% from about 4.9 million tons in 2014.

Meanwhile, The government of Nigeria assured that it would stable the price of rice from April

to make it more affordable to all the everyone in the country.

The FAO estimates Sierra Leone's 2015 paddy rice production increased about 10% y/y to

about 1.271 million tons from about 1.155 million tons in 2014 due to adequate rains and soil

moisture during the cropping season (March - December). Sierra Leone is a net importer of rice

though the rice imports have been declining in recent years.

The FAO estimates Senegal's 2015 paddy production increased by about 64% y/y to about

917,000 tons from about 559,000 tons in 2014 due to favourable weather conditions and

enhanced government support. Senegal is a net importer of rice and imports over one million

tons of rice or over 65% of about 1.4 million tons of rice needed for its domestic consumption.

The government of Mali forecasts MY 2016-17 (May - April) paddy rice output at about 2.712

million tons, up about 11% from about 2.451 million tons produced in 2015-16, Reuters quotes a

government document. Separately, Mali is reportedly planning to invest about 51 billion CFA

francs (about $86.23 million) during the year to boost paddy rice production.


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The USDA Post forecasts Tanzania's MY 2015-16 (May - April) rice imports to increase about

60% to about 160,000 tons from an estimated 100,000 tons in MY 2014-15, and up from

USDA's official estimates of about 150,000 tons as consumption is likely to surpass production.

The Post forecasts Tanzania's MY 2015-16 rice consumption at about 1.8 million tons from an

estimated 1.7 million tons last year, and milled rice production at about 1.75 million tons from an

estimated 1.7 million tons.

The USDA Post forecasts South Africa's MY 2016-17 (May - April) rice consumption to

increase about 10% to about 970,000 tons from an estimated 880,000 tons in MY 2015-16 due to

drought reflected record corn prices. Consequently, the Post forecasts South Africa's MY 2016-

17 rice imports to increase about 10% to about 1.1 million tons from an estimated one million

tons in MY 2015-16.

Europe

The European Union's (EU) imported about 715,795 tons of rice during the period September 1,

2015 - March 29, 2016, up about 14% from about 629,352 tons imported during the same period

last year. Meanwhile the EU exported about 129,541 tons of rice during the period September 1,

2015 - March 29, 2016, down about 18% from about 157,979 tons exported during the same

period last year.

The EU rice imports from the Least Developed Countries (LDCs) of Asia such as Cambodia and

Myanmar under the Everything But Arms (EBA) Agreement have reached about 217,174 tons in

the first seven months of the crop year 2015-16 (September 2015 - March 2016), up about 30%

from about 167,669 tons imported during the same period last year, according to data from the

European Commission (EC).

Other Markets

The South Korean cabinet has approved the government's decision to purchase an additional

157,000 tons of rice from local farmers to stabilize prices, according to Yonhap News. The

government will reportedly spend about 140 billion won (about $113.6 million) for the purpose.

The government had purchased 200,000 tons of local rice in October 2015 to check falling

prices.

The USDA Post forecasts Egypt's MY 2015-16 (October - September) rice exports at about

250,000 tons, unchanged from the previous year, but down from the USDA's official estimates of

about 400,000 tons. Egypt’s rice is not internationally competitive under the current government

policy, which requires rice exporters to pay export tax of about LE 2,000 (about $256) per ton of

rice. The USDA Post forecasts Egypt's MY 2015-16 milled rice production at 4 million tons,

down from last year's 4.53 million tons. Separately, the government of Egypt is planning to

import rice to ensure uninterrupted rice supplies for the state subsidized rice program as local

traders have been hoarding rice in expectation of high prices, according to Bloomberg.

Meanwhile, Egypt will ban rice exports from April 4, says the nation's Trade Minister.


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The USDA Post forecasts Saudi Arabia's MY 2015-16 (January - December 2016) rice imports

at about 1.48 million tons, up about 4% from an estimated 1.42 million tons in MY 2014-15 due

to population growth and increased number of foreign visitors to Makkah for performing Hajj

and Umrah rituals. The Post forecasts imports in MY 2016-17 to further grow to about 1.53

million tons. Saudi Arabia does not produce any rice locally and depends fully on imports to

meet its rice consumption demand.

Research and Scientific Development:

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.

http://oryza.com/25368/experts-call-private-public-partnerships-african-rice-rd

An Indian agri-biotech company is developing a high-yielding and salinity-tolerant rice variety

jointly with a U.S. based Biosciences company.

http://oryza.com/25365/indian-private-company-developing-high-yielding-salinity-tolerant-rice

Life Cycle Assessment (LCA) tool can be used to mitigate the negative impact of rice production

on environment.

http://oryza.com/25379/life-cycle-assessment-tool-can-help-mitigate-greenhouse-gas-emissions-

rice-production-say

Scientists from Colombia, the Philippines, Indonesia, the United States, Australia and Japan have

developed a new genetically modified variety of rice with high contents of iron and zinc.

http://oryza.com/25462/scientists-develop-nutrient-enriched-genetically-modified-rice

March Tenders:

Syria's General Foreign Trade Organization (GFTO) issued a tender to purchase 8,113 tons of

white long-grain rice of third class.

http://oryza.com/25357/syria-issues-tender-buy-8113-tons-white-long-grain-rice

Egypt's state grain buyer General Authority for Supply Commodities (GASC) has cancelled a

tender to purchase an unspecified amount of rice for delivery from April 20 to May 10, 2016.

http://oryza.com/25522/egypt-cancels-tender-purchase-unspecified-amount-...

South Korea will purchase 408,700 MT of rice (milled basis) under the 2016 tariff rate quota

(TRQ) purchasing plan.

http://oryza.com/25368/experts-call-private-public-partnerships-african-rice-rd

http://oryza.com/25365/indian-private-company-developing-high-yielding-salinity-tolerant-rice

http://oryza.com/25379/life-cycle-assessment-tool-can-help-mitigate-greenhouse-gas-emissions-rice-production-say

http://oryza.com/25379/life-cycle-assessment-tool-can-help-mitigate-greenhouse-gas-emissions-rice-production-say

http://oryza.com/25462/scientists-develop-nutrient-enriched-genetically-modified-rice

http://oryza.com/25357/syria-issues-tender-buy-8113-tons-white-long-grain-rice

http://oryza.com/25522/egypt-cancels-tender-purchase-unspecified-amount-rice


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http://oryza.com/25588/south-korea-purchases-69444-tons-rice-under-2016-trq-plan-says-usda-

post

EU Imports 715,795 Tons of Rice in

September 1, 2015 - March 29, 2016; Up 14%

from Previous Year

Apr 06, 2016

According to the latest data issued by the European Union (EU), rice imports by the EU nations

increased sharply since the beginning of the crop year 2015-16 (September 1, 2015 - August 31,

2016).

The EU imported about 715,795 tons of rice during the period September 1, 2015 - March 29,

2016, up about 14% from around 629,352 tons imported during the same period last year.

http://oryza.com/25588/south-korea-purchases-69444-tons-rice-under-2016-trq-plan-says-usda-post

http://oryza.com/25588/south-korea-purchases-69444-tons-rice-under-2016-trq-plan-says-usda-post


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Japonica rice imports increased about 4% to around 55,689 tons in September 1, 2015 - March

29, 2016 period from around 53,389 tons during the same period last year. Indica rice imports

increased about 15% to around 660,106 tons during the said period from around 575,963 tons

last year.

The UK remained the largest importer in September 1, 2015 - March 15, 2016 period with

around 162,341 tons followed by France (120,320 tons), The Netherlands (83,707 tons),

Germany (56,346 tons), Italy (53,041 tons) and Poland (51,611 tons). Other EU countries

imported 188,429 tons.

During the week ended March 29, 2016, the EU imported around 15,763 tons of rice, down

about 25% from around 20,911 tons imported during the week ended March 15, 2015.

The EU imported around 1.143 million tons of rice in the crop year 2014-15, up about 12.7%

from around 1.013 million tons imported in the crop year 2013-14.

Egypt Cancels Tender to Buy Unspecified

Quantity of Rice Due to High Prices

Apr 06, 2016

Egypt's state-run buyer GASC has cancelled a tender to purchase unspecified quantity of rice

today after offers it received did not comply with its specifications or shipment dates, Reuters

quoted the Vice-Chairman of the GASC.

The GASC reportedly issued a tender on April 5, 2016 to purchase at least 10,000 tons of rice for

delivery between May 1 - 20, 2016. The GASC was supposed to accept offers until April 7,

2016.

The government is said to have received two tenders for Indian rice, one for $350 per ton and

another for $390 per ton, of 10,000 tons of 5% broken rice.

This is the third rice tender cancellation since the GASC decided to import rice as traders have

been unwilling to sell rice to the state in anticipation of higher prices.

The government noted that it would seek direct contracts to buy rice from abroad if traders do

not reduce prices in its tender competitions. "We may resort to importing rice directly should the

high prices of rice being offered at tenders continue," the Supply Minister was quoted.

However, traders noted that the government was seeking unrealistic prices. "They might as well

ask for the rice for free if it's any cheaper. They won't find anyone to sell directly to them," one

Cairo-based trader was quoted.


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Last week, Egypt reinstated ban on rice exports to preserve stocks for the local market as well as

to control prices.

Egypt produced 3.75 million tons of rice in 2015 and carried over 700,000 tons of rice from

2014. After accounting for consumption of 3.3 million tons, the country is said to have a surplus

of more than one million tons.

Global Rice Quotes

April 7th, 2016

Long grain white rice - high quality

Thailand 100% B grade 380-390 ↔

Vietnam 5% broken 365-375 ↓

India 5% broken 370-380 ↔

Pakistan 5% broken 345-355 ↔

Myanmar 5% broken 415-425 ↔

Cambodia 5% broken 450-460 ↔

U.S. 4% broken 430-440 ↔

Uruguay 5% broken 435-445 ↔

Argentina 5% broken 425-435 ↔

Long grain white rice - low quality

Thailand 25% broken 355-365 ↔

Vietnam 25% broken 355-365 ↔

Pakistan 25% broken 310-320 ↔

Cambodia 25% broken 430-440 ↔

India 25% broken 335-345 ↔

U.S. 15% broken (sacked) 470-480 ↔

Long grain parboiled rice

Thailand parboiled 100% stxd 370-380 ↔

Pakistan parboiled 5% broken stxd NQ ↔


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India parboiled 5% broken stxd 345-355 ↔

U.S. parboiled 4% broken 480-490 ↔

Brazil parboiled 5% broken 490-510 ↔

Uruguay parboiled 5% broken NQ ↔

Long grain fragrant rice

Thailand Hommali 92% 665-675 ↔

Vietnam Jasmine 460-470 ↓

India basmati 2% broken NQ ↔

Pakistan basmati 2% broken NQ ↔

Cambodia Phka Mails 760-770 ↔

Brokens

Thailand A1 Super 330-340 ↔

Vietnam 100% broken 340-350 ↔

Pakistan 100% broken stxd 285-295 ↔

Cambodia A1 Super 345-355 ↔

India 100% broken stxd 270-280 ↔

Egypt medium grain brokens NQ ↔

U.S. pet food 315-325 ↔

Brazil half grain NQ ↔

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

Oryza CBOT Rough Rice Futures Recap -

Chicago Rough Rice Futures Slightly Lower

as Market Sees Little in the Way of Bullish

News; Wheat Falls on Improved Crop

Progress Report


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Apr 07, 2016

Chicago rough rice futures for May delivery settled 4.5 cents were cwt (about $1 per ton) lower

at $9.745 per cwt (about $215 per ton). The other grains finished the day with mixed results;

Soybeans closed about 0.4% higher at $9.0800 per bushel; wheat finished about 2.3% lower at

$4.6300 per bushel, and corn finished the day about 0.4% higher at $3.5800 per bushel.

U.S. stocks traded mostly higher Wednesday, helped by sharp gains in oil prices, after the

afternoon release of the Fed meeting minutes. The Federal Open Market Committee minutes

from the March 15 to 16 meeting were due at 2 p.m. ET. At that meeting, the central bank kept

rates unchanged and lowered its projections for the number of hikes this year to two from four.

Ahead of the Fed minutes release, Cleveland Fed President Loretta Mester said she expects a

gradual series of interest rate hikes this year given recent U.S. economic strength. European

stocks ended more than half a percent higher. In Asia, the major averages were narrowly mixed.

The Nikkei 225 fell 0.11% for its first seven-day losing streak since November 2012. The

Shanghai composite also ended mildly lower while the Hang Seng gained slightly. In early

afternoon trade, the Dow Jones industrial average rose 83 points, or 0.48%, to 17,686. The S&P

500 climbed 16 points, or 0.78%, to 2,061, with health care and energy among the top gainers

and utilities lagging. The Nasdaq composite rose 58 points, or 1.21%, to 4,902. Gold is seen

trading about 0.5% lower, crude oil is seen trading about 4.7% higher, and the U.S. dollar is seen

trading about 0.3% lower at about 1:00pm Chicago time.

Tuesday, there were 1,830 contracts traded, up from 1,010 contracts traded on Monday. Open

interest – the number of contracts outstanding – on Tuesday decreased by 48 contracts to

13,013.

EU Exports 129,541 Tons of Rice in

September 1, 2015 - March 29, 2016; Down

18% from Previous Year

Apr 06, 2016

According to the latest export data issued by the European Union (EU) for the crop year 2015-16

(September 1, 2015 - August 31, 2016), the EU exported about 129,541 tons of rice during the

period September 1, 2015 - March 29, 2016, down about 18% from around 157,979 tons

exported during the same period last year.

Japonica rice exports declined about 21% to around 107,638 tons in September 1, 2015 - March

29, 2016 period from around 135,825 tons during the same period last year. Indica rice exports

declined slightly to around 21,903 tons during the said period from around 22,154 tons last year.


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Italy remained the largest exporter in September 1, 2015 - March 29, 2016 period with around

68,172 tons followed by Spain (17,719 tons), Greece (15,876 tons), and Portugal (9,267 tons).

Other EU countries imported 18,507 tons.

During the week ended March 29, 2016, the EU exported around 2,952 tons of rice, down about

28% from around 4,081 tons exported during the week ended March 15, 2016.

Oryza U.S. Rough Rice Recap - Market

Unchanged as Traders Wait for IGB Tender

Results

The U.S. cash market remained unchanged again today as both buyers and sellers wait to see the

results of the latest Iraqi tender which traders expect to see next Thursday.

The U.S. will likely be the most expensive origin offered on this tender which greatly decreases

the chances of being awarded; however, if the Iraqi Grain Board needs the rice in a timely

manner then the likelihood of being awarded increases.


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Analysts note that without fresh demand from Iraq, Venezuela, or Colombia, U.S. prices will

continue to decline.

Policy Changes are Needed to Encourage

Bangladesh Rice Farmers, Say Experts

Apr 06, 2016

Experts have expressed concern that recently Bangladesh rice farmers are switching from rice

production to other crops such as maize, cotton and tobacco due to price 'deprivation' during the

harvest times, according to the Financial Express.

Farmers say they received about Tk 600-650 per 40 kilograms of paddy in the 2015-16 Aman

season (July - December) against the production cost of around Tk 700 per maund. They say

profit from other crops was better than that from paddy.

According to the Bangladesh Bureau of Statistics (BBS), paddy rice acreage declined by about

197,000 hectares in FY 2015-16 (July - June). Of this, Boro area itself accounts for a decline of

about 140,000 hectares. The bureau predicts that rice production may decline in FY 2015-16.

The shift to other crops was significant since last year, according to the data from the

Department of Agriculture Extension (DAE). The DAE data shows that tobacco cultivation has

expanded to 80,000 hectares of land in FY 2014-15 from 51,000 hectares in FY 2011-12; pulses

cultivation has increased to 420,000 hectares in 2014-15 from 265,000 hectares in FY 2011-12;

and lentil cultivation has expanded to 250,000 hectares in FY 2014-15 from 189,000 in FY 2011-

12.

Though some experts opine that the development is beneficial from the 'opportunity cost' point

of view, some of them expressed concern over the food security in the country.

Senior Research Fellow at local think tank Centre for Policy Dialogue told reporters that an

increase in 'opportunity cost' of rice farming means rice is becoming less profitable than that of

other alternatives. He noted that farming of cash crops could bring changes in the socio-

economic development of a farmer. "But rice production always is a strategic crop and

stakeholders should keep it in mind," he said.

A renowned academician noted that rice security is the key to food security of the country.

"Time-befitting export-import policy and setting of minimum support price for rice farmers are

needed to keep them in cultivation of the staple crop which is inevitable for food security," he

added.

USDA forecasts Bangladesh’s MY 2015-16 (July 2015 – June 2016) milled rice production at

around 34.6 million tons, slightly up from an estimated 34.5 million tons in MY 2014-15. It


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forecasts Bangladesh to import around 600,000 tons of rice in MY 2015-16 from an estimated

1.2 million tons in MY 2014-15.

Thailand Exports 1.86 Million Tons of Rice in

First Two Months of 2016; Up 39% from

Previous Year

Apr 06, 2016

Thailand exported around 1.86 million tons of rice in the first two months of 2016 (January -

February), up about 39% from around 1.34 million tons exported during the same period last

year, according to data from Thai Rice Exporters Association (TREA). In value terms, Thailand

rice exports earned around $812 million in the two-month period, up about 15% from around

$706 million earned during the same period last year.In February 2016, Thailand exported

around 835,861 tons, down about 18% from around 1.025 million tons in January 2016 and up

about 14% from around 732,151 tons in February 2015. In value terms, Thai rice exports earned

around $375 million, down about 14% from around $436 million in January 2016 and up about


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1% from around $370 million in February 2015.During the month, white rice exports accounted

for around 438,902 tons (about 53% of total February 2016 exports), Hom Mali rice exports

accounted for about 125,335 tons (about 22% of total February 2016 exports), brokens accounted

for 120,230 tons (about 14% of total February 2016 exports), glutinous variety accounted for

12,591 tons (about 2% of total February 2016 exports), parboiled rice accounted for about

133,156 tons (about 16% of total February 2016 exports) and husked/brown rice accounted for

about 5,647 tons (about 0.56% of total February 2016 exports). Average export prices of all

varieties of rice, except the husked rice, increased or remained stable during the month.Thailand

exported around 9.795 million tons of rice in 2015, down about 11% from around 10.969 million

tons exported during the same period last year.

Pakistan Rice Sellers Increase Some their

Quotes Today; Other Asia Rice Quotes

Unchanged

Apr 06, 2016

Pakistan rice sellers increased their quotes for 5% broken rice by about $5 per ton to around

$345-$355 per ton today. Vietnam and India rice sellers kept their quotes unchanged. Thailand

rice sellers are out today due to a holiday.

5% Broken Rice Thailand 5% rice was last indicated at around $370 - $380 per ton, on par with Vietnam 5% rice

shown at around $370 - $380 per ton. India 5% rice is indicated at around $370 - $380 per ton,

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

25% Broken Rice Thailand 25% rice was last indicated at around $355 - $365 per ton, on par with Vietnam 25%

rice shown at around $355- $65 per ton. India 25% rice is indicated at around $335- $345 per

ton, about $25 per ton premium on Pakistan 25% rice shown at around $310 - $320 per ton.

Parboiled Rice Thailand parboiled rice was last indicated at around $370 - $380 per ton. India parboiled rice is

indicated at around $345 - $355 per ton, about $60 per ton discount to Pakistan parboiled rice

last shown at around $405 - $415 per ton.

100% Broken Rice Thailand broken rice, A1 Super was last indicated at around $330 - $340 per ton, about $10 per

ton discount to Vietnam 100% broken rice shown at around $340 - $350 per ton. India's 100%

broken rice is shown at around $270 - $280 per ton, about $15 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

Documents

7th april ,2016 daily exclusive oryza rice e newsletter by riceplus magazine