The prices for Vietnamese 5 percent broken rice rose to $420 per ton late March, the highest in the past 3.5 months.

COLOMBO (News 1st); The Ministry of Trade said that another 40,000 MT of rice imported via the Indian Line of Credit will reach Sri Lanka on Monday (11). The secretary to the Ministry of Trades, Bhadrani Jayawardena stated that the stock will be sold through Sathosa outlets as soon as it is received. 1kg of Nadu and Kekulu rice is sold at Rs.110/- and 1kg of Samba is sold at Rs.130/- through Sathosa. Meanwhile, the Association of Importers of Essential Commodities said that all essential commodities required by the people during the New Year season have been distributed throughout the island. The spokesman of the Association of Importers of Essential Commodities, Nihal Seneviratne said that there could be a slight shortage of milk powder. He also said that the prices of essential commodities will be reduced in the future.  

According to the DGCI&S data, the export of wheat touched an all-time high at $2,118 million in 2021-22, growing 273% from the previous fiscal’s $567 million. India’s agricultural exports increased by about 20% to cross $50 billion for the year 2021-22, despite logistical challenges posed by the COVID-19 pandemic in the form of high freight rates, and container shortages, the Ministry of Commerce and Industry said. Agricultural and Processed Food Products Export Development Authority (APEDA), which works under the Ministry of Commerce and Industry, has scripted history by exporting agricultural and processed food products to the tune of $25.6 billion, which is 51% of India’s total agriculture exports of $50 billion, the ministry said. It has also surpassed its own export target of $23.7 billion for the financial year 2021-22 by registering shipments of $25.6 billion. Major exporting destinations were Bangladesh, UAE, Vietnam, USA, Nepal, Malaysia, Saudi Arabia, Indonesia, Iran, and Egypt. “The rise in export of agricultural and processed food products has been largely due to the various initiatives taken by Centre through APEDA such as organising B2B exhibitions in different countries, exploring new potential markets through product-specific and general marketing campaigns with the active involvement of Indian Embassies,” the ministry said. As per the ministry statement, the government organised more than 300 outreach programmes in collaboration with state governments for enhancing the exports of agricultural produce. “We have also created a products matrix for 50 agricultural products which have good scope for expanding our exports portfolios,” said Dr. M Angamuthu, Chairman, APEDA. As per the provisional figures released by the Directorate General of Commercial Intelligence and Statistics (DGCI&S), the agricultural exports have grown by 19.92% during 2021-22 to touch $50.21 billion. The growth rate is over and above the growth of 17.66% at $41.87 billion achieved in 2020-21. The cereal sector in APEDA exports contributes more than 52% share in 2021-22. Livestock products and other processed foods contribute 17 and 15% to APEDA export respectively in 2021-22.

According to the DGCI&S data, the export of rice was the top forex earner at $9,654 million during 2021-22, growing 9.35% from the previous year when it was $8,829 million. The export of wheat touched an all-time high at $2,118 million in 2021-22, growing 273% from the previous fiscal’s $567 million, while other cereals registered a growth of 53% by fetching $1,083 million in 2021-22 compared to the previous financial year when it was $705 million. Export of pulses reported a growth of 34% touching $358 million in 2021-22 from $265 million in 2020-21. Dairy products grew by 96% standing at $634 million in 2021-22 from $323 million in 2020-21, while buffalo meat registered a growth of just 4% as export of bovine meat increased from $3,171 million in 2020-21 to $3,303 million in 2021-22. Export of poultry products rose to $71 million in 2021-22 from $58 million in the previous year and sheep/goat meat export was up by 34% to $60 million in 2021-22 from $44 million in the previous year. Fruits and vegetables exports were up by 12% to touch $1,676 million in 2021-22 against $1,492 million in 2020-21, while processed fruits and vegetable exports were up by 7% to reach $1,202 million in 2021-22 against $1,120 million in the previous year. Exports of other processed food items grew by 34% during 2021-22 to touch $1,164 million against $866 million in 2020-21. The cashew exports also grew by 7% to $452 million in 2021-22 from $420 million in the previous year. Floriculture products reported a rise of 33% when they touched $103 million in 2021-22 from $77 million in 2020-21.

Higher freight, return of Thailand to international market weigh on supplies from India

The price of 1121 variety of basmati rice has witnessed a considerable jump in the open market in Haryana, fetching up to Rs 1,061 per quintal more compared to last time. On Monday, a rice grower from Sheria village in Jhajjar district sold his produce for Rs 4,561 per quintal at the grain market here even as private traders had bought it for maximum Rs 3,500 last year. “We sow 1121 variety of basmati rice over 20 acres every year and store about 150 quintal for subsequent sale. Even we hadn’t expected this much gain,” said an ecstatic Naveen, the rice grower. Bhartiya Vyapar Mandal vice-president Harsh Girdhar cited several reasons for the high rates, including decrease in 1121 basmati sowing area, new markets in Iraq and Iran and global grain crisis due to the Russia-Ukraine conflict. He said rice growers had been storing some portion of their produce to sell it during off-season when it fetched higher returns. “The area under PR variety of rice, procured by the government on the MSP, rising considerably last year was another factor behind the hike in the price.”    

The Sansom Mlup Prey Organisation (SMP) announced it is recruiting farmers to join its IBIS Rice programme. Members will carry out organic rice cultivation and wildlife rescue in four provinces – Stung Treng, Ratanakkiri, Mondulkiri and Preah Vihear. SMP executive director Keo Socheat said the enrolment of new members to the programme is free of charge, and there is no limit to the number of members, provided they qualify. This project aims to improve the lives of people living in protected areas and encourage them to participate in conservation activities, he said. “Membership is free, and we provide them with good quality rice. We have selection committees in each village that will assess the candidates. The farmers can grow the rice wherever they want – unless they encroach on forest land,” he added. Socheat said that nearly 1,500 families are currently on the programme. As a general rule, when people grow organic rice – which contributes to the rescue of wildlife – his NGO will offer 20 to 30 per cent above the market price, and sometimes up to 60 per cent. The NGO said on March 28 that if farmers are interested in increasing their income by growing wildlife-friendly rice – and live near the targeted wildlife sanctuaries – they should contact the project coordinator in their area to find out more details. Applications close at the end of April. The programme will be available to those who live in or near Lumphat Wildlife Sanctuary and Veun Sai-Siem Pang National Park in Ratanakkiri; Keo Seima Wildlife Sanctuary in Mondulkiri; Siem Pang and Prey Lang Wildlife Sanctuary in Stung Treng; and Kulen Promtep, Prey Preah Roka and Chhaeb wildlife sanctuaries in Preah Vihear. The NGO said that in addition to receiving high market prices, by participating in this project, farmers are protecting forests and wildlife, as well as preventing climate change. They also get access to new farming techniques. Lin Sambath, a field worker at the NGO, said that he inspects the rice at each stage of growth until it is delivered to the mill. The quality inspection of the rice is based on size, colour, cracking and hardness, and includes peeling, seeding and moisture inspection processes. Sambath said he quit his job at an oil company to work with this NGO because of the value of its four main principles – The use of non-chemical fertilizers, protecting the forest, refraining from cutting down trees and trading in illegal timber, and the protection of wild animals. “I expect that most new members will be with the project for a long time. The IBIS rice programme offers a real chance at a better life, and gave a lot of farming families the chance to send their children on to higher education. I hope that the next generations will see the forests and the wildlife and will recognise and understand the work that went into preserving them,” he said.

A recent study published by nature.com showed that global demand for rice is expected to increase 30 percent by 2050, however, with a “limited scope available for other main rice-producing countries such as China and India”, it will become incumbent on the countries such as Cambodia, Myanmar, Philippines, Thailand, Indonesia and Vietnam to close the future deficit. “At present, the region accounts for 26 percent and 40 percent of global rice production and exports, respectively, being a major rice supplier for other world regions such as Africa and the Middle East,” it said. Over the past decades, countries in Southeast Asia were able to increase rice yields. However, there are concerns about whether future quotas can be met, as noted by a research analyst within the publication. “There is now evidence of yield stagnation in four of the six major rice-producing countries in Southeast Asia (Indonesia, Myanmar, Thailand and Vietnam)”. Aligning with reports that “the harvestable rice area has remained stable [within the aforementioned countries] or even declined slightly in some countries recently and is under growing threat of conversion for residential and industrial uses”. So, in the absence of land expansion, what can be done to make better use of the available land? A publication titled the ‘Use of Legume Cover Crops to Improve Soil Fertility, Rice Yield and Profits’, co-produced by the DALRM, GDA & CIRAD, details the story of Heng Hour, owner of a family-run rice farm in Boh Village, Rovieng District, who transitioned to Regenerative Farming practices to increase his yields. “We started farming rice in 1979. In the past, the soil was rich and the yield was high. From year to year, the yield decreased due to the loss of the soil fertility, higher weed pressure and diseases.” Heng explained that access to greater water controls helped his yield, but the remaining issue of soil fertility meant that “rice production was still not economically viable”. In November 2019, Hour was invited to a village meeting organised by the agronomists of the Conservation Agriculture Service Center and SmartAgro, a startup specialised in cover crops and bio-products. They presented the use of ‘legume cover crops’ to improve soil health in the community. According to organicgrowersschool.com, a ‘cover crop’ is a crop you “grow for the soil, instead of for your plate”, a practice dating as far back as the Roman Empire. Cover crops add “organic matter to the soil, and add nitrogen in a slow-release way that plants can handle, leading to less nitrogen volatilisation”. After implementing the legume cover crop strategy, Heng saw his yield grow by approximately 1 tonne per hectare compared with the previous year, noting a drastic increase in quality with over 60 percent of his yield being sold under the class one standard. “After the ploughing of the cover crops, I noticed the good smell of the decomposition of the cover crops. I observed many big earthworms and the soil was loose and soft when we walked into the field. After transplanting, the plants grew fast, the rice leaves were dark green, and I observed that the grains were well filled.” The cover crop practice is just one of many ‘Regenerative Farming’ methods that could be used to bolster rice yield and quality without dependence on high concentrations of chemicals. Regenerative Farming is a practice that actually rejuvenates Earth’s ecosystems, as opposed to just sustaining them.

India has for the third time invoked the peace clause for exceeding the 10% ceiling on support it offered its rice farmers. The country informed the WTO that the value of its rice production in 2020-21 was $45.56 billion while it gave subsidies worth $6.9 billion, which comes out to 15.14% as against the permitted 10%. The peace clause protects India's food procurement programmes against action from WTO members in case the subsidy ceilings are breached. New Delhi had first invoked the clause in 2020 when it became the first country to do so. New Delhi told the WTO on Friday the stocks under the programme are acquired and released to meet the domestic food security needs of India's poor and vulnerable population, and not to impede commercial trade or food security of others.

Latin American countries Cuba and Chile have expressed interest to purchase Basmati rice from Haryana. For this, a delegation of Cuba will visit Haryana next month. While giving this information on Saturday, a spokesperson of the Foreign Cooperation Department said the chairman of HAFED  Kailash Bhagat, managing director A Sreenivas and adviser to the department of foreign cooperation Pawan Choudhary held a meeting with Ambassador of Cuba to India, Alejandro Simancas Marin and Ambassador of Chile, Juan Angulo to discuss mutual cooperation with Haryana in various fields. During the meeting, Cuba and Chile have expressed interest to procure Basmati rice from Haryana. In addition, opportunities for cooperation in information technology, pharma and aviation will also be explored by Cuba. Therefore, a delegation from Cuba will visit Haryana next month. The export graph of the state will increase with the purchase of Basmati rice from Haryana by Cuba and Chile and the trade and bilateral relations of Haryana with these countries will also get strengthened, the spokesperson said. He said  the Ambassadors of Cuba and Chile also appreciated the thinking and vision of the Chief Minister Manohar Lal and said the initiative taken by the Chief Minister Manohar Lal Khattar for Heart to Heart Connect relationship is unique and commendable in itself. The Ambassador of Chile,  Juan Angulo said,”We are already working closely with the Government of India and we are glad that Haryana has contacted us. Certainly Cuba will take forward its relations with Haryana,”. The spokesperson said that the Haryana Government is continuously making consistent efforts to promote bilateral relations with other countries. In this episode, Haryana-Africa Conclave Series-1 was organized with African countries and a meeting was also held with the delegation of Latin America and Caribbean countries on March 27, 2022 at Surajkund, Faridabad, in which delegations from 11 countries had participated.

BENGALURU/BANGKOK/HANOI/MUMBAI/DHAKA: Export prices of rice in India were unchanged this week amid prospects of increased supplies and an appreciation in the rupee, while an increase in stocks weighed on rates in Vietnam. Top exporter India’s 5% broken parboiled variety was quoted at $367 to $370 per tonne this week, unchanged from the last week. “Since the government has extended subsidised food grain distribution by six months, local supplies will rise and prices will remain under pressure,” said an exporter based at Kakinada in southern state of Andhra Pradesh. Vietnam’s 5% broken rice was offered at $400-$415 per tonne on Thursday, down from $415-$420 per tonne a week ago. “Domestic supplies are rising thanks to output from the winter-spring harvest,” a trader based in Ho Chi Minh City said, adding that quality has been affected due to prolonged rain during the harvest time. Preliminary shipping data showed 72,000 tonnes of rice were scheduled to be loaded at Ho Chi Minh City port during the first week of April, with most of the grains were heading to the Philippines and Africa. Vietnam’s rice exports in the first quarter are estimated to have increased 24% from a year earlier to 1.475 million tonnes, raising revenue by 10.5% to $715 million. Thailand’s 5% broken rice prices narrowed to $408-$410 per tonne this week, from $408-$412 quoted a week ago. Overseas demand for Thai rice has been muted due to insufficient ships and high freight rates, traders said. Prices, however, remained high on domestic demand for broken rice used for animal feed due to logistic problems with imports, a Bangkok-based rice trader said. The supply situation remains unchanged with the new harvest entering the market this week, traders said. In Bangladesh, domestic prices of rice rose for the week, despite good crop and reserves, as inflation in February hit the highest since October 2020.

The Centre, however, clarified that the States could procure parboiled rice for consumption within the State. HYDERABAD: Dashing all hopes of the State government, the Centre has once again made it clear that the Food Corporation of India (FCI) would not procure parboiled rice from any State, including Telangana. The Centre, however, clarified that the States could procure parboiled rice for consumption within the State. In a written reply to BJP MP Dushyant Singh on procuring surplus parboiled rice during Question Hour in Lok Sabha on Wednesday, Union Minister of State for Consumer Affairs and Food and Public Distribution Sadhvi Niranjan Jyoti said that after meeting State’s requirement for Targeted Public Distribution System (TPDS) and Other Welfare Schemes (OWS), only the excess/surplus stocks procured by the State government/its agencies were handed over to the FCI in central pool in the form of raw or parboiled rice to meet the overall consumption requirement of the country as per the Memorandum of Understanding (MoU) signed between the Central government and Decentralised Procurement (DCP) States. “Due to burgeoning stock level of parboiled rice in the central pool, the States were informed that FCI will not be in a position to accept parboiled rice during Kharif Marketing Season (KMS) 2021-22. However, a State can procure parboiled rice for consumption within that State. In the last few years, procurement of parboiled rice in the deficit parboiled consuming States like Jharkhand, Kerala and Tamil Nadu has increased resulting in lesser movement of parboiled rice from surplus to deficit States,” the Minister said. Ethanol policy In its action plan for Rabi Marketing Season 2022-23, the FCI suggested the State govt to adopt a good ethanol policy as broken rice is suitable for the production of ethanol. The FCI also asked the State to enhance its storage capacities like Punjab and Haryana. 

COLOMBO (IDN) — A recent statement by a Myanmar official has indicated that Sri Lanka has been buying rice from the country at a price higher than what others are paying for it. This has raised eyebrows in Sri Lanka that has prided itself for being self-sufficient in rice, its staple diet, for decades. In a statement attributed to the secretary of the Bayintnaung Rice Wholesale Depot, U Than Oo, Myanmar’s national daily Global New Light of Myanmar has said that in the past year Myanmar has been exporting rice to Sri Lanka and it has been a very profitable business. “Sri Lanka is a neighbour of ours and it is easy to export rice from Myanmar by sea. We sell rice to other countries at USD 340-350 per tonne, but to Sri Lanka we have been able to sell at USD 440-450 a tonne,” U Than was quoted as saying.  While Myanmar has been fetching over $ 100 per tonne above the price paid by other countries, he has also said that the Sri Lankan authorities have not imposed any restrictions on the import of Myanmar rice. “While Sri Lanka imposes no restrictions, Europe and China have been imposing various tariffs and other restrictions to protect their markets,” says U Than. “So, it is somewhat complex to export rice to these countries.” Sri Lanka has signed a memorandum of understanding with Myanmar on January 7 to import 100,000 tonnes of white rice and 50,000 tonnes of brown rice this year and the next. Due to this agreement Sri Lanka would be spending $ 15 million extra on rice imports. According to a Sri Lankan commerce ministry statement, while Myanmar has quoted $ 465 per metric tonne, the Sri Lankan counterparts have been able to negotiate the price down to $445 per metric tonne. Agricultural industry observers here predict that the rice harvest this year (due for harvest in April) could be down by about 30 percent. Today the rice prices in the market have skyrocketed creating social tension in the country. After the fertilizer subsidies to farmers were lifted (after the organic farming policy was announced) and the guaranteed price for paddy was increased to Rs 75 per kilogram, it has made any price controls of rice in the market place impossible. Government has announced that due to domestic market necessities, Sri Lanka would need to import up to 600,000 tons of rice this year. This would be the biggest rice imports to the country for 5 years. The government has also allocated Rs 40 billion ($ 13.8 million) to compensate farmers for harvest losses due to the switch to the organic farming policy. Due to the import of processed rice, United Rice Producers Society (URPS) says that it is threatening the closure of up to 500 small and medium sized rice mills in the country. “Only 75 percent of more than 800 rice mills in our country are in operation right now,” says Kusumitha Muditha, president of URPS. After a long period of self-sufficiency in rice, on November 15 last year when rice imports began to flow in, it has created this situation, he added. It is estimated that only 2.8 percent of farming land in the country use non-chemical fertilizer. After the announcement of the organic farming policy (in April 2021) some businesses have used household waste to make so-called “organic-compost fertilizer” to sell to farmers, which agricultural sources are worried is a fraud misleading farmer. Most of this is compost of food waste and is not helpful to realize Sri Lanka’s organic farming dream. The Central Bank has estimated that the leadership given to the Sri Lankan economy by agricultural activity has been now reduced by 7 percentage points and it has given rise to an agricultural industry that cannot satisfy farmers or consumers. It has come to a situation that seeds and fertilizer necessary for farmers are hard to obtain. Most of the farmers in Sri Lanka do not own the land on which they farm. Out of the productive land in Sri Lanka, government owns 82 percent.  Many of the farm leases of farmers have expired or lapsed. There are fears that if the traditional methods of survival of the farmers are tampered with, Sri Lanka would need to depend on rice imports into the foreseeable future. The farm costs have gone up including labour and hire of farm equipment. It has also made the farmer a permanent debtor. The Peoples Bank that was set up to assist farmers has now distanced itself from the farm sector, while the government has shied away from assisting the farmer. Today it is estimated that 22.2 percent of Sri Lanka’s food needs are covered by imports. To address this Sri Lanka has imported rice from Myanmar without any checks on its standards and suitability (for Sri Lankan cuisine). Within the Sri Lankan rice production industry there has been a shift in power structures with very few people controlling farming and especially trading. This has had a serious impact on the consumer according to the National Audit Office. They attribute this to the dire straits of the rice farming sector in the country. They have also pointed out that the ownership of rice mills in Sri Lanka has been slashed from 2000 people two decades ago to 800 today. 'Economynext' news noted recently that the government has given the nod to the State Trading Corporation to import limited quantities of rice from Myanmar to help stabilize the price of rice in the local market, which has been pushed up by a milling oligarchy, after Sri Lanka banned rice imports earlier and imposed an import tax. [IDN-InDepthNews – 31 March 2022] * Deshan Maduranga is a media and communication student at the Sri Palee campus of the University of Colombo in Sri Lanka. Image: Myanmar inks G-to-G agreement to export rice to Sri Lanka. Credit: MMR IDN is the flagship agency of the Non-profit International Press Syndicate.    

While commercial feed demand in recent years has been dominated by corn and wheat, Russia's invasion of Ukraine on Feb. 24 led to price spikes for both products. It has also led to increasing concern about global exportable supplies, with the Black Sea region one of the major origins for these products. However, demand from feed buyers is not new. According to Shirley Mustafa of the UN's Food and Agricultural Organization, this has been emerging for some time. "Use of rice for feed has been rising since 2020-21, after reaching a seven-year low the year prior," Mustafa told S&P Global Commodity Insights. "Rice use for animal feed [aside from bran] is usually limited and confined to backyard operations since the commercial feed sector usually has more economically viable alternatives than rice. However, gains in wheat and maize prices over the past year-and-a-half or so, driven by these commodities' own domestic and international market dynamics, have tended to narrow price differentials with rice [especially broken rice]." In China, for example, these shifting dynamics were directly linked to 2021 rice imports rising by 69% year on year to 4.96 million mt, according to data from Chinese customs, with the world's largest exporter -- India -- emerging to satisfy this huge volume of broken rice demand.

Rice markets react

But the demand from feed buyers has spiked in both India and other Asian rice markets since the Ukraine conflict began. In India, for example, sources have reported instances of defaulting and low supplies, with one Kakinada-based exporter going so far as to describe the local broken rice market as a "disaster" due to the sudden influx of demand. In rice export origins which are also destination markets for corn and/or wheat, such as Vietnam, many exporters have withdrawn their broken rice offers due to high domestic demand. Vietnamese 100% broken white rice price has increased by $65/mt since the invasion of Ukraine, reaching a high of $370/mt FOB on March 25, according to Platts assessment from S&P Global. However, many sources view broken rice prices from Vietnam as hypothetical, with the country even importing substantial volumes from India to meet demand. In traditional broken rice markets -- notably in West Africa -- the situation is more immediately concerning from a food security perspective. In Senegal, which is a huge market for broken rice for human consumption, a sizable gap is opening up between current retail prices and replacement costs. While in part this is due to Senegal's new retail price cap and high freight rates, the significant rise in Indian broken rice prices in recent weeks has only served to widen this gap. According to one Europe-based trader who buys for the country, this gap has reached $90/mt in recent days, and made it "impossible" to buy for Senegal at present without taking on huge financial risks. However, with sufficient stocks in Dakar for Ramadan and the following weeks, the trader added that it makes no sense to re-enter the market before the religious holiday is over, with hopes that the replacement cost gap will have narrowed in the interim.

Unusual price spreads

Because of the massive influx in demand for Asian broken rice, unusual price spreads between different rice grades have emerged. Pakistani 5% and 100% broken white rice were briefly assessed at par earlier in March while the gap was $70/mt a year prior. The spread between Thai 5% and A1 Super 100% broken white rice has narrowed to only $2/mt in recent days, compared to $51/mt a year prior. One major Singapore-based rice trader said that "some 25% [broken white rice] shipments for feed purposes" was seen from Myanmar to Europe. Sources buying from the Myanmar market have reported that offers of low-quality B234 broken white rice have been largely unavailable in recent weeks due to high feed demand, with higher quality broken rice prices also moving up substantially. Despite sources reporting no obvious reason for why feed buyers could not turn to 25% broken white rice if 100% broken white rice was unavailable, or priced uncompetitively, sales of this product for feed purposes so far remain rare. A second Singapore-based trader said that they were advising their traditional broken rice buyers in Africa to accept 25% broken white rice due to supply and price issues for 100% broken white rice. However, the first Singapore-based trader cautioned that this would ultimately "depend on corn prices." FAO's Shirley Mustafa agreed, saying that "because this trend is influenced by factors outside of rice markets, developments in these external markets will have an important bearing." Mustafa added that "current forecasts suggest record-breaking supply availabilities in the major exporters this season, thanks to bumper harvests expected in India, Pakistan and Thailand. If these are realized, they should be more than sufficient to cater to the higher global needs."

Outside forces

Despite uncertainty surrounding how this situation will play out, it is almost inevitable that feed demand will take up an unusually large portion of international rice sales in 2022. A third Singapore-based trader said that it will "not be a huge chunk ... But it will not be insignificant either." The questions which remain at this point are whether 25% broken white rice sales for feed will become more widespread and how this demand for cheap rice will impact traditional buyers of 25% and 100% broken white rice for human consumption. However, with rice still a minor player in the massive global feed market, the situation will ultimately remain at the mercy of outside forces.

At least 40% of global rice exports come from Southeast Asia, making the region a major rice bowl. The region helps feed other parts of the world, such as Africa and the Middle East. Projections show that global rice demand is set to increase 30% by 2050. With the continuing rice trade and limited scope available for other main rice-producing countries like China and India to generate a rice surplus, Southeast Asia faces a challenge in stepping up to ensure adequate global rice supply. But crop yields stagnate, land allotted for agriculture does not increase, and climate change remains a looming threat, raising concerns about the capacity of the region to remain a large net exporter. In a recent study published in Nature Food, an international team of researchers, including those from the major rice-producing nations in Southeast Asia, estimated the difference between yield potential and average farmer yield across six countries — Cambodia, Indonesia, Myanmar, Philippines, Thailand and Vietnam. The initiative was led by the University of Nebraska–Lincoln and the International Rice Research Institute in the Philippines and included researchers from Huazhong Agricultural University in China, the International Fertilizer Association in France, the Institute of Policy and Strategy for Agriculture and Rural Development in Vietnam, Field Crops Research Institute in Vietnam, Thailand’s Rice Department, Thailand Rice Science Institute, Mawlamyine University in Myanmar, IRRI-Myanmar Office, the Department of Science and Technology-Philippine Atmospheric, Geophysical and Astronomical Services Administration, IRRI-Cambodia Office, the General Directorate of Agriculture in Cambodia and the Indonesian Agency for Agricultural Research and Development. Results from the project are available via the Global Yield Gap Atlas, a collaboration between the University of Nebraska–Lincoln and Wageningen University designed to estimate the difference between actual and potential yields for major food crops worldwide. “Over the past decades, through renewed efforts, countries in Southeast Asia were able to increase rice yields, and the region as a whole has continued to produce a large amount of rice that exceeded regional demand, allowing a rice surplus to be exported to other countries,” said lead author Shen Yuan, a postdoctoral research associate at Huazhong Agricultural University. “The issue is whether the region will be able to retain its title as a major global rice supplier in the context of increasing global and regional rice demand, yield stagnation and limited room for cropland expansion.” Through a data-intensive approach, the researchers determined that the region has the potential to increase production on existing cropland and remain a major global rice supplier, but changes in production and management techniques will be key, and producers could stress natural resources in the process. Researchers found that the average yield gap represents nearly half of the yield potential estimated for the region, but it is not the same for every country. Yield gaps are larger in Cambodia, Myanmar, the Philippines and Thailand but comparably smaller in Indonesia and Vietnam. “We used an approach that consists of a combination of crop modeling, spatial analysis and use of detailed databases on weather, soil and cropping system data,” said Patricio Grassini, associate professor of agronomy and horticulture at Nebraska. “The regional extent of the study together with the level of detail in relation to spatial and temporal variation in yield gaps and specificity in terms of cropping systems is unique, providing a basis for prioritizing agricultural research and development and investments at regional, national and sub-national levels.” According to the study, the region needs to close the existing yield gap substantially to reduce the need for rice imports, allowing for an aggregated rice surplus of 54 million tons available for exports. “Our analysis shows that Southeast Asia will not be able to produce a large rice surplus in the future without acceleration of current rates of yield gains,” Grassini said. “Failure to increase yield on existing cropland areas will drastically reduce the rice exports to other regions and the capacity of many countries in the region to achieve or sustain rice self-sufficiency. It will also put additional pressure on land and water resources, risking further encroachment into natural ecosystems such as forests and wetlands.” Researchers suggest a number of interventions needed to close the gap, including improvement of crop management practices, such as the use of fertilizer and irrigation, nutrients, water and pest management, as well as mitigation of production risks in lowland rainfed environments. “The challenge is how to increase yield while minimizing the negative environmental impact associated with intensive rice production,” said IRRI Senor Scientist Alice Laborte. “For example, tailoring nutrient management to each environment will help increase yield and farmer profits while reducing nutrient losses. Likewise, integrated pest management is a knowledge-intensive but valuable approach if applied correctly and holistically to reduce yield losses to weeds, pests and diseases while minimizing excessive use of pesticides and associated risks to the environment and people. “Closing the rice yield gaps requires the concerted effort of policymakers, researchers and extension services to facilitate farmers’ access to technologies, information and markets. Continued investment in rice research is crucial.” The study received support from Closing Rice Yield Gaps in Asia with Reduced Environmental Footprint, funded by the Swiss Agency for Development and Cooperation. The project also received complementary funding from the Global Water for Food Institute, as well as the Bill and Melinda Gates Foundation through the CGIAR Excellence in Agronomy 2030 Incubation Phase.

It’s the season of new records. Pakistan’s rice exports breached 3 million tons during the 8-month period ending February-22, a first in at least 12 years. If exporters are able to maintain the monthly run rate of 0.4 million tons between Mar-June, final export tally for FY22 may touch 4.5 million tons. That would be 10 percent greater than Pakistan’s highest-ever export volume, last achieved in FY16.

Unsurprisingly, higher export earnings have accompanied the quantum jump in volume. However, while export volume rose by 22 percent, dollar earnings only rose 15 percent. As BR Research has previously highlighted, rice is the only major cereal which has remained immune to the charms of ongoing global commodity price boom, leaving Pakistani exporters at a disadvantage so far.

According to the data released by PBS, rice exporters fetched 5.5 percent lower prices on average during Jul ’21 - Feb ’22, compared to the same period last year. Unit price for exports of both rice categories fell during 8MFY22, with average export price for basmati declining 11 percent, while coarse prices fell 6 percent versus the previous year. Nevertheless, full year earnings against rice exports may yet clock in above $2.1 billion, nearly three percent higher than last year. Interestingly, bulk of the jump in export value has emanated from basmati category, which added $80 million in incremental earnings over the previous year. Basmati export volume rose by 37 percent during the 8M period, but still remained significantly lower than the year earlier (FY20). Full year basmati exports may reach 0.7 million tons, only third-highest during last decade.

Market watchers will appreciate that growth in basmati exports remains the key to unlocking country’s the cereal’s export potential. Historically, basmati export has fetched 2x the unit prices in international market than coarse varieties. Pakistan’s basmati export potential is estimated at 1 million tons per annum – one-fourth of total world basmati market – yet has remained conspicuously shy of that goal due to uncompetitive pricing relative to Indian exporters until recent past. However, another risk to basmati export thesis now looms large in near-term. According to preliminary data, Pakistan’s basmati production has fallen short by 10 percent during kharif FY22, clocking in at 3.7 million tons against 4.1 million tons the previous year. This is despite news of national rice output kissing a fresh record of 9 million tons during the ongoing year, primarily driven by record yields in coarse varieties. Wherein lays the rub. Local consumers remain fond of basmati rice – which is also one-third more expensive (on average). It bears emphasis that up to 80 percent of Pakistani basmati feeds into local consumption, whereas nearly 75 - 80 percent of coarse varieties (both IRRI and hybrid) – are exported. This implies that the decline in basmati output during the current year may inadvertently impact the exportable surplus.

Ordinarily, this would not make news, except that it comes at a time when the country is all set to witness a significant wheat shortfall. Naturally, basmati is Pakistani’s second favorite cereal after wheat flour, and a basmati surplus could have very-well come in handy to fill Pakistani stomachs in case wheat prices ran amok. Although rice and wheat prices have historically not shown any correlation in at least the domestic market, 2022-23 marketing year shall offer interesting insights into the extent of substitution effect between the two grains. Especially, if basmati prices come under pressure locally, while maintaining their prevailing calm in the international market. Whether consumers shall switch to the cheaper coarse rice also remains to be seen, especially given the strong distaste local palate has for IRRI/hybrid rice.

Meanwhile, will traders reduce basmati export volume to cater to greater domestic demand or not will be another curious event. Or, will they aggressively chase exports, raising prices back home? Interesting times ahead.

Exports to Singapore and Hong Kong up about 30% in 2021 TOKYO -- Despite the high asking price, Japan's rice exports rose by double digits to a new record in 2021 as demand for Japanese food boomed amid coronavirus-era travel restrictions. A Japanese yakitori restaurant at a Singapore shopping mall has created buzz for its takeout bento meals. They use Japanese-grown rice supplied by Osaka-based farm machinery manufacturer Kubota. The bentos caught on in Singapore as more consumers avoided eating out during the pandemic. "Demand for takeout is strong," a Kubota export manager said. "Japanese rice is made for bento, since it doesn't harden or easily lose flavor even when it's cold." Japan's rice exports, excluding for foreign aid, increased 15% to 22,833 tons in 2021. Sales of commercial Japanese rice to conveyor-belt sushi eateries and Japanese restaurants increased, particularly in Asian countries reopening their economies. Exports to Singapore soared 35%. Kubota overall exported 5,206 tons to Singapore, Hong Kong and other markets, up 30% or so. High-end Japanese rice has been a focus of exporting since the early 2000s, targeting wealthy consumers and gift purchases. About 90% of the global rice trade involves long-grain varieties. For Hong Kong, the top importer of Japanese rice, approximately 70% of the rice is long-grain and about 30% is medium- or short-grain. Japanese rice is estimated to languish at 3% or so of Hong Kong's market. Among medium- or short-grain rice, products from California and China are mainstream. Rice exports grew for 14 straight years from 2007. Prices in 2021 were less than half of 2007 levels but still around 20% above those for California-grown rice. Price is the biggest barrier to Japan increasing its presence in the export market for rice. Cooking it the Japanese way comes next. A Hong Kong curry chain that uses Japanese-grown rice from Kubota found that it did not taste the same every time. After receiving an inquiry from the chain, Kubota manager Takushi Suminaka found that staffers were putting rice and water into rice cookers by eye. Kubota and another Japanese company co-developed equipment to automatically wash and cook the rice. Kubota offered it to the chain with the rice itself. The chain won rave reviews from customers after installing the equipment. "The rice itself has flavor and is tasty," a guest said.

Chandigarh: Punjab food, civil supplies and consumer affairs minister Lal Chand Kataruchak on Saturday said a policy catering to the interests of rice millers would be formulated soon “Transparency would be the hallmark of my working,” he said as representatives of Punjab Rice Millers Association (PRMA) met the minister at his office on Saturday. PRMA representatives, led by their organisation’s chief and All India Rice Miller Association president Tarsem Saini, also made a case for stopping the pilferage of paddy, which is stored in rice mills for custom milling, as this causes a huge loss to the state exchequer. Distribution of paddy amongst rice millers must be fair and equitable besides representation should be given to rice industry in the the district allotment committees, demanded the association delegation. The minister assured the delegation of all cooperation to the rice milling sector. The delegation included representatives of the Rice Miller Association from Patiala, Sangrur, Ludhiana, Bathinda, Ropar, Mansa, Fatehgarh Sahib and Gurdaspur.  

COLOMBO, March 26 (Xinhua) -- China decides to provide 2,000 tons of rice as emergency food aid to Sri Lanka, said the Chinese embassy here in a press release on Friday. The donation, which was valued at about 2.5 million U.S. dollars (including freight cost), was made at the request of the Sri Lankan government upon its current difficulty of food shortage in the island country, according to the embassy. As the continuously raging COVID-19 pandemic and the dramatically changing international situation have further worsened the global food shortage and shipping capacity, the technical teams from both countries will work closely to finalize the production and shipment arrangements, and deliver the aid to Sri Lanka at an early date, said the embassy. Noting that this year marks the 65th anniversary of diplomatic relations between China and Sri Lanka and the 70th anniversary of the signing of the Rubber-Rice Pact, the Chinese embassy said the two countries have traditionally helped each other and shared weal and woe. China will continue to support Sri Lanka's social and economic development within its capacity, the Chinese embassy added.

t least 40% of global rice exports come from Southeast Asia, making the region a major rice bowl. The region helps feed other parts of the world such as Africa and the Middle East. Projections show that global rice demand is set to increase by 30% by 2050. With the continuing rice trade and limited scope available for other main rice-producing countries like China and India to generate a rice surplus, Southeast Asia faces a challenge in stepping up to ensure adequate global rice supply. But crop yields stagnate, land allotted for agriculture does not increase, and climate change remains a looming threat, raising concerns about the capacity of the region to remain a large net exporter. In a recent study published in Nature Food, an international team of researchers, including those from the major rice-producing nations in Southeast Asia, estimated the difference between yield potential and average farmer yield across the six countries: Cambodia, Indonesia, Myanmar, Philippines, Thailand and Vietnam. The initiative was led by the University of Nebraska-Lincoln in the U.S. and the International Rice Research Institute (IRRI) in the Philippines and multi-institutional collaborators. Results from the project are available via the Global Yield Gap Atlas (www.yieldgap.org), a collaboration between the University of Nebraska–Lincoln and Wageningen University designed to estimate the difference between actual and potential yields for major food crops worldwide. "Over the past decades, through renewed efforts, countries in Southeast Asia were able to increase rice yields, and the region as a whole has continued to produce a large amount of rice that exceeded regional demand, allowing a rice surplus to be exported to other countries," said lead author Dr. Shen Yuan, a postdoctoral research associate at Huazhong Agricultural University in China. "The issue is whether the region will be able to retain its title as a major global rice supplier in the context of increasing global and regional rice demand, yield stagnation and limited room for cropland expansion."

Pakistan has asked China to enhance the rice quota to two million tons. Sources told ProPakistani that Pakistan, during the tour of Prime Minister Imran Khan last month, asked China not only to support duty concessions but for quota enhancement in specific sectors including rice. Pakistan has exported rice worth $2.1 million to China in the first seven months of the current fiscal year 2021-22 whereas it exported rice worth $2.29 million to China in the same period the previous year. Sources said that Pakistan has also asked China to abolish the 4 percent duty on the export of cement. Pakistan can get the duty-free concession of exporting cement to China after 3 years under the Free Trade Agreement (FTA-II). Sources further said that this will help offset part of the trade deficit which has surged to $32 billion in the first eight months of the current fiscal year. They said that Pakistan has also asked China to expedite the process of mutual recognition agreements on agriculture and animal products. Apart from this, Pakistan has also asked the tariff liberalization to be done by 10 and 20 years from seven to 15 years under CPFTA-II respectively. Similarly, Pakistan has also asked China for an uninterrupted bilateral opening of the Khunjrab border for trade. Sources said that the Ministry of Commerce is waiting for the response of China on these proposals.  

JAKARTA, March 22 (Reuters) - Indonesia's agriculture minister, Syahrul Yasin Limpo, told a parliamentary hearing on Tuesday: * Indonesia set its 2023 production target for unhusked rice at 56.08 million tonnes * The corn production target was set at 23.21 million tonnes * Next year's target is lower than the 2022 target at 57.5 million tonnes for unhusked rice and 26 million tonnes for corn. * In the January-April period of 2022, Indonesia's statistics bureau estimated unhusked rice output of 25.40 million tonnes, up 7.7% from the same period a year earlier. (Reporting by Bernadette Christina Munthe; Editing by Martin Petty)

The Long Hiep Cooperative in the Mekong Delta Province of Tra Vinh’s Tra Cu District has gradually grown and netted hundreds of millions of Vietnam dong per year from growing organic rice though it faced many various difficulties, lack of investment capital, application of technology at first.

 

Angimex, a member of Louis Holdings Group has inked a rice contract export with the Republic of Sierra Leone. The MoU inked will see Angimex export 3 million tons of rice to Sierra Leone under a three-year rice export contract. This kind of international rice export contract exerts a substantial influence, helping Angimex access new markets and customer groups in the future. “Thanks to the strict quality control system, Angimex has been and will be able to provide the highest quality rice products to meet the increasingly demanding requirements of the market. The enterprise’s professional services will surely satisfy the diverse needs of customers. With the goodwill for the sake of mutual development, Angimex strongly believes in the good and long-term success in the cooperation between Angimex and our partners in the upcoming time. We look forward to accompanying our partners to create the best and sustainable values,” said Mr. Do Thanh Nhan, Chairman of An Giang Import-Export Joint Stock Company.

Scope of deal

Within the scope of cooperation, Angimex will transfer the sample rice field to the enterprises of the Republic of Sierra Leone. The sample rice field is Angimex’s first successful factor to ensure high-quality rice input. The expansion of the large sample rice field is one of the solutions to increase the value of rice for export, according to the policy of the Ministry of Agriculture and Rural Development (MARD). When farming on the large sample rice field, farmers will simultaneously sow each high-yield and high-quality rice variety in the same field. Therefore, this combination of high-quality rice production and rice field expansion brings practical benefits to farmers, including changing production mindset and improving economic efficiency. Aiming at improving the quality of rice seeds in the future, the agricultural services of Angimex give an emphasis on providing farmers with in-depth knowledge and cost-saving methods during varietal selection, cultivation, and harvest. Angimex’s experts with rich experience in the field of agriculture will train farmers to master cultivation techniques and answer the farmers’ questions during the farming process.

As has been the case for several weeks now, the cash market throughout most of the delta was a bit stagnant this week, showing little signs of activity. It seems that most growers are more preoccupied with planting than marketing as the global grain complex becomes increasingly unstable. It seems clear that Putin severely underestimated the resolve of the Ukrainian people. Unfortunately, as a result, violence continues to escalate, and global grain security continues to deteriorate. Knowing input costs are soaring, and that they’ll probably continue to do so, growers around the world are forced to consider or even reconsider what and how to plant. In Asia, rice prices jumped a couple of weeks ago with all the other grains, further reflecting the global inflation at hand. However, since then, prices appear to have stabilized, at least in Thailand and Vietnam. Meanwhile, Pakistan is undergoing a small price correction as demand for whole kernel thins. Fortunately, the slowing of head rice demand is being partially offset by the growing needs for brokens in China. The US rice industry is just two weeks away from the USDA publishing its initial acre projections. Although the USDA is expected to overestimate California’s acreage, the agency should call for lower rice acres throughout the delta if their view is in line with the industry’s. According to the latest exports sales data, US rice sales have averaged roughly 68,000 MT/week over the past month, up from 42,000 in the four weeks prior. It will be interesting to see how US rice exports react to El Salvador’s new policy regarding the suspension of rice tariffs for a year. The El Salvadorian government suspended tariffs on multiple products in an attempt stifle the dangerous rate of inflation the country is currently experiencing (6.7%). Keep in mind that this policy is not US specific and may result in more non-US rice entering the market, not to mention, the fact that other Central American countries struggling with a similar battle may consider the same action. This may be first taste of what a fulfilled CAFTA-DR agreement looks like in this region. Fortunately, the US may find temporary market solace nearby, as South America rice acres come under pressure due to ongoing drought conditions and exorbitant fertilizer costs, inhibiting their ability to expand their market share in Central America.

FARMERS in Maramag, Bukidnon are expected to benefit from the P60-million rice processing system to be established by the Philippine Center for Postharvest Development and Mechanization (PhilMech) and local government units (LGUs) in the province. In a statement, PhilMech said it has signed a memorandum of agreement (MoA) with the local government of Maramag, Bukidnon, Central Mindanao University (CMU) and the National Food Authority (NFA) for the establishment and operation of a rice processing system (RPS) under the Rice Competitiveness Enhancement Fund (RCEF) Mechanization Program. The RPS will be equipped with one unit of multistage rice mill and two units of recirculating dryers worth a total of P60 million. This is the first MoA executed for the distribution of drying and milling facilities under the RCEF-Mechanization program. "The provision of the RPS for farmers of Maramag, Bukidnon represents the next level of intervention of the RCEF-Mechanization Program because it can help address the issue of lack of accessible drying and milling facilities for small farmers," PhilMech said. The lack of mechanical drying facilities by farmers forces them to sell the palay (unmilled rice) at lower prices. "The milling facilities will also allow farmers to mill their palay and market these directly to consumers or wholesalers, allowing them to earn more," PhilMech added. Meanwhile, PhilMech encouraged LGUs or progressive farmers' cooperatives and associations to build warehouses as counterparts for the provision of free drying and milling facilities by PHilMech under the RCEF-Mechanization program. Under Republic Act 11203, or the "Rice Tariffication Law" that created the RCEF, funds cannot be allocated for the provision of land and warehouses. For its part, CMU will manage and operate the facilities while the NFA has an existing area, facilities and structure within the university's property in Musuan, Maramag, Bukidnon of which a portion will be used to host the RPS.

One major problem farmers have battled for years is the lack of water. It’s becoming harder and harder to find water for irrigation as the climate changes and the demand for crops grows along with the global population. Half the country’s rice is grown in Arkansas, and in Northeast Arkansas where rice is grown, the water table cannot sustain the amount of use into the future, according to a report by The 2020 Arkansas Groundwater Protection and Management Report.   Based on 2015 water use data, less than half of the amount of water drawn from the Mississippi River Valley Alluvial Aquifer – 44.2% – is sustainable. Users of the aquifer pulled about 7.6 billion gallons per day out in 2015. Likewise, only about half, 55% of the Sparta/Memphis aquifer withdrawal rate of 160 million gallons per day is sustainable, the report adds. One tactic producers are trying to maximize is the development of farming practices that use less water. Arkansas Agricultural Experiment Station researchers can now grow rice with about half the irrigation water used in levee rice systems. Chris Henry, associate professor and water management engineer for the experiment station, has patented a tailwater recovery system for furrow-irrigated rice, also known as “row rice,” after nearly a decade of research at the Division of Agriculture’s Rice Research and Extension Center near Stuttgart. Row rice irrigation is challenging because it requires more frequent cycles than other row crops and timing is more critical because rice has a shallower root system, Henry said. “We’re trying to make row rice easier to manage. This system does that,” Henry said. “A continuous-flow system returns the water to the top of the field constantly, ensuring water is always available and simplifying irrigation management.” The efficiency is high because the system captures the tailwater and returns it to the top. The irrigation water doesn’t leave the field like a conventional row rice field. Henry’s novel tailwater recovery system makes furrow-irrigated rice competitive in water conservation with a zero-grade flooded field. Growing rice in zero-grade fields is more restrictive because it requires land with no elevation change. Zero-grade fields also present challenges in growing rotation crops. According to the B.R. Wells Arkansas Rice Research Studies 2020 publication, most of the state’s rice is grown in flooded fields through a method known as Multiple Inlet Rice Irrigation (MIRI) or conventional levee and gate systems. Traditional flooding, still the dominant rice production method, uses an average of 30 acre-inches of irrigation water a season. Henry’s novel tailwater recovery system can produce as much rice with less than 19 acre-inches of irrigation. An acre-inch is equivalent to one inch of water depth over an acre of land or 27,154 gallons per acre. Throughout his research since 2013, Henry said he has not used over 19 acre-inches of irrigation water with the tailwater recovery system. He has used as little as 12 acre-inches. Furrow-irrigated rice has gained momentum over the past seven years. In 2015, less than 1% of Arkansas rice land used furrow irrigation. By 2019, it had grown to 10.5% and in 2020 it was about 17%, according to Jarrod Hardke, rice extension agronomist with the Division of Agriculture. Henry said water conservation is an increasingly important issue as fresh groundwater becomes less abundant. Average seasonal irrigation demands range widely for different soil types and field designs, Hardke said. So, at 27,154 gallons per acre-inch, a farmer would need 814,620 gallons of water per acre to sufficiently water rice grown on a silt loam soil to achieve the average required irrigation of 30 acre-inches in a flooded field with levees, Hardke said. A zero-grade flooded field — one with no elevation difference to require an infield levee — averages about 18-acre inches of irrigation water, he said. “We are doing as good or better than a zero-grade flooded field,” Henry said. “It makes row rice field management like zero-grade but offers you the benefit of rows that can be used in subsequent seasons. You can potentially plant several weeks sooner than a conventional levee rice field because the tillage prep work to convert the beds to flooded levees is not necessary.” The system can reduce a farmer’s need for capital equipment, tractors, tillage equipment, and the labor to prepare fields, Henry added. “It can also allow more options for ground operations of fertilizer and pesticide applications providing the farmer with more options for rice management,” Henry said. The novel tailwater system has the most potential in rice but is also helpful in improving irrigation efficiency of our other crops such as soybeans, corn and cotton because it can recover tailwater for use during an irrigation event, Henry added. In addition to less irrigation water, Henry’s patented continuous-flow system in row rice provides more consistent ground saturation, which may produce less nitrous oxide than other irrigation methods, Henry said. The saturation can also reduce pigweed pressure, he added. Before Henry’s technical development, furrow-irrigated rice growers were warned of a possible 8% yield reduction in row rice production depending on field conditions and management capabilities. Henry said some recent experience and results suggest that his system may be closing that yield gap typically experienced by farmers and noted in published studies. Instead of a large water reservoir, or “pit,” common with conventional furrow-irrigation methods, the tailwater recovery uses a low-energy, high-flow-low-head, variable-speed pump at the lowest elevation of the field to return the water to the top of the field. Henry’s “pitless” tailwater recovery system recycles about 90% of the water in the system. The method also provides options for “fertigation,” or fertilizing with irrigation water. Henry continues to test slow-release nitrogen application methods in row rice, which may allow one application of nitrogen at the beginning of the season with potash and phosphate. Henry said it could be a time-saver for the farmer at no additional cost. Because it is still a new method in row rice, more work is needed to fully understand the tailwater recovery system, Hardke said. In addition to water use, research remains on fertilizer application and weed and pest control using the system. Arkansas rice farmers harvested 1.4 million acres in 2021 with a value of about $1.297 billion, according to the United States Department of Agriculture.

BENGALURU/BANGKOK/HANOI/MUMBAI/DHAKA: Export prices of rice from Vietnam climbed to a three-and-a-half-month high this week on steady demand and elevated shipping costs, which dissuaded some traders from signing new contracts. Vietnam’s 5% broken rice were offered at $415-$420 per tonne on Thursday, compared with $410-$415 a week ago. “Demand is stable, but traders are hesitant to sign new contracts due to high shipping costs,” a trader based in Ho Chi Minh City said, adding outbound shipping costs have risen significantly since the beginning of the Ukraine-Russia crisis. “We are hearing the Philippines may soon lift its limit on rice imports from Vietnam,” another trader said. Philippines, Vietnam’s largest rice buyer, in November took steps to temporarily limit imports of the grain from Vietnam amid a big harvest at home. Thailand’s 5% broken rice prices fell slightly to $410-$428 per tonne from $415-$428 a week ago, their highest since late June. “The baht has weakened and domestic prices are seen easing in the coming weeks due to new supply,” one trader said. There is still strong demand for low-quality rice from domestic feed mills, which are looking to use more rice in their animal feed mix as prices of wheat and corn rally, traders said. However, foreign demand remained largely muted, except for exporting activities to Iraq, they said. Top exporter India’s 5% broken parboiled variety was quoted at $371 to $378 per tonne, unchanged from the last week, as demand remained strong for broken grades for feed purposes. “Broken rice is in demand. Feed makers are replacing corn with 25% and 100% broken rice,” said an exporter based at Kakinada in southern state of Andhra Pradesh.

Summary: Three expeditions led an international research to the Cordillera de Kutukú, an isolated mountain range in Ecuador, to find just one specimen of the previously unknown species. The find in the Amazonian side of the Andes underlines the valuable biological role of this mountainous region.

"In total, the expeditions to the Kutukú region in southeastern Ecuador involved 1,200 trap nights, but only one specimen of the new species Mindomys kutuku was found," says Dr. Claudia Koch, curator of herpetology at the LIB, Museum Koenig Bonn, explaining the effort that went into locating the rare animal. From the collected specimen, the dry skin, skeleton and tissue were preserved for the collections. Preservation will allow future research to detect environmental changes, learn more about the ecology of the animals and plants -- and securely document the new species description, which was published in late February in the journal Evolutionary Systematics. The rice rat genus Mindomys was previously considered monotypic and included only the type species Mindomys hammondi. This species is known from only a few specimens, all of which were collected in the foothill forests of the Andes in northwestern Ecuador.

WASHINGTON, March 16 (Reuters) - The World Bank on Wednesday said a number of developing countries face near-term wheat supply shortages due to their high dependence on Ukrainian wheat exports that have been disrupted by Russia's invasion.

The World Bank said in its latest Trade Watch report that Gambia, Lebanon, Moldova, Djibouti, Libya, Tunisia and Pakistan are the most exposed to the disruptions of wheat exports from Ukraine, which make up roughly 40% or more of their wheat imports.

"These importers will have trouble quickly switching to alternative sources, possibly leading to supply shortages in the short run," the World Bank said.

The grain supply situation has been worsened by Russia's imposition of export curbs on wheat and other cereal grains to countries outside of fellow Eurasian Economic Union members Armenia, Belarus, Kazakhstan and Kyrgyzstan.

Russia was the top wheat exporter in 2018 and Ukraine the fifth largest, according to World Bank data. The two countries together make up about a quarter of world exports.

Western sanctions on Russia over its invasion of Ukraine do not specifically target Russian grain exports, but sanctions that prohibit dollar and euro transactions with top Russian banks make trade finance more difficult.

Aside from the direct supply shortages to Ukraine's biggest grain customers, higher market prices for wheat will affect middle-income countries across the globe, the World Bank report said.

The United Nations Food and Agricultural Organization's Cereal Price Index in February was up 14.8% from a year earlier, and the World Bank said wheat futures prices had surged 60% since the start of the conflict.

"Moreover, disruptions to exports of wheat will affect markets for corn and rice, which are wheat substitutes, benefiting net exporters and harming net importers of those products," the bank added.

Disruptions caused by the war in Ukraine also could challenge a strong global trade recovery in 2021, with goods and services trade now exceeding pre-pandemic levels, the World Bank said.

Overall trade in 2021 surged by 26% over 2020 levels and by 17% over 2019 levels, with trade values exceeding 2019 levels in all regions, except for transportation equipment, the World Bank said.

To celebrate the 70th anniversary of diplomatic relations between Cambodia and Australia, Australia donated agricultural machines to farmers in Battambang to boost the farming capacity of the province. Australia organized a presentation on agricultural techniques on the use of cultivators and other agricultural techniques and equipment. The demonstration was held at Don Bosco School in Sangkat O’Mal, Battambang City on March 14. The demonstration was attended by the Deputy Ambassador at the Australian Embassy, Andreas Zurbrugg, and Battambang’s Provincial Agriculture officers. Deputy Ambassador Zurbrugg confirmed that this year is a special year for bilateral relations between Australia and Cambodia, it is the 70th year of diplomatic relations between the two countries. The Deputy Ambassador added that launch of agricultural assistance cooperation is an important point because Australia is economically dependent on agriculture. He said that Australia can provide assistance to Cambodia through the Australian Centre for International Agricultural Research (ACIAR) project, which has provided prior assistance to Cambodia through the establishment of the Rice Research and Development Institute in Cambodia. Deputy Ambassador Zurbrugg hopes that this good cooperation will continue with the relevant ministries and that the machines presented to farmers will assist farmers in increasing agricultural productivity.

Cambodia recorded an increase in this year’s rice exports for January and February compared to the same period in the previous year. This is according to a statement from the Ministry of Agriculture, Forestry and Fisheries released to local news in March 14. According to the statement from the Ministry, in the first two months of 2022, Cambodia exported 103,058 tons of rice, including all kinds of fragrant rice. This is an increase of 26,836 tons compared to the previous year’s exports for 76,222 tons. Rice exports in February 2022 amounted to 50,022 tons which is an increase of 8,073 tons or 19.24 percent compared to February 2021’s export of 41,949 tons. China is the main market for Cambodian rice export. On January and February of this year Cambodia exported 56,385 tons of rice. Cambodia also exports rice to 20 EU countries with a total volume of 26,507 tons and to three ASEAN destinations with a total 9,370 tons of rice export. The country’s exports to other 16 countries have seen a drop in volume with only 10,796 tons of rice exported, which is a decrease of 19.23 percent. Agricultural exports from Cambodia have seen a slight increase as the country begins to recover from the Covid-19 slump.

Prices of rice exported from top Asian hubs jumped this week on solid demand, while Vietnamese traders also flagged high shipping costs due to the Ukraine crisis. Thailand's 5% broken rice prices rose to $415-$428 per tonne, on average a peak since late June, from $400-$403 a week ago. As corn and wheat prices rise, animal feed makers were looking to use more broken rice, pushing up prices across the board, Bangkok-based traders said. Another trader said he recently received interest from buyers in Europe, the United States, Iraq and Iran for different grades of Thai white rice. Demand from Hong Kong has also increased, the trader said, with concerns over plans for a city-wide lockdown sparking panic buying by residents. Thailand exported 459,752 tonnes of rice worth $234 million in January, up 8.92% from the same period last year, the commerce ministry said. Rates for top exporter India’s 5% broken parboiled variety rose to $371-$378 per tonne from last week's $370-$376, also a peak since mid-June. "Consumers are trying to build stockpile due to the rally in wheat and corn prices. Demand is improving for rice," said an exporter based at Kakinada in southern state of Andhra Pradesh. Vietnam's 5% broken rice prices rose to their highest since December at $410-$415 per tonne on Thursday, versus $400 last week, amid higher demand, traders said, with the Ukraine-Russia conflict prompting buyers to place more orders from elsewhere in Asia. Another trader said shipping costs had surged since the Ukraine-Russia conflict began, with international freight costs rising 50% and domestic freight costs climbing 70%-80%. "We're concerned costs will keep rising if the conflict continues," the trader said. Traders said farmers in the Mekong Delta had harvested 20%-25% of the winter-spring crop. Domestic rice prices in Bangladesh remain high despite good crops and reserves, traders said, adding that the global market was seeing a hike due the Ukraine-Russia conflict. "It is very much unlikely that local prices will come down soon," a trader said.

KARACHI: The retail prices of various varieties of rice have been increased by up to Rs40 per kilo almost a month before Ramazan. Traders claim that the prices have been raised due to rise in exports and high transportation cost. The retail price of medium quality basmati is now Rs200 as compared to Rs160 per kg while normal basmati is selling at Rs150-160 instead of Rs120-130 per kg. Premium basmati is now priced at Rs250 per kg. A biryani shop owner said he had to pass on the impact of price hike of at least Rs10 per plate to customers as he was compelled to procure basmati Sella rice at Rs20-30 per kg higher rate from wholesale markets. He said he sold a biryani plate at Rs130. “Some other outlet owners are selling at Rs140 per plate depending on the area.” In bigger food shops, premium basmati rice biryani (double plate) is being sold at Rs300-330 and single plate at Rs170-200. While it is not easy for a buyer to judge the quality of rice in biryani, traders and biryani restaurants take full advantage of this ignorance by mixing various varieties. General secretary of the Karachi Retail Grocers Group (KRGG) Farid Qureishi said that price jump in basmati and other varieties of rice was not a matter of concern for the rich who continued to buy expensive commodities without any problem in higher quantities for monthly consumption. He said, however, the lower and middle income groups, who are hit hard by rising food inflation and utility bills, had been limiting their buying as per their requirement. A member of the Rice Exporters Association of Pakistan (REAP), Anis Majeed, said that despite a drop in transportation cost after Rs10 reduction cut in fuel rates on March 1, rice prices had been soaring owing to previous massive hikes in transportation cost because of diesel and petrol rates. He said exports were in full swing, thus putting pressure on local prices despite the fact that exports were made at a very low wholesale rates. Rupee devaluation against the dollar is certainly benefiting exports. Pakistan’s rice production is over seven million tonnes per annum in which exports have been hovering between 3.5 and four million tonnes while the rest is consumed domestically. Export destinations are Europe, Gulf countries, Australia, US, China, African countries, the Far East, etc. According to figures of the Pakistan Bureau of Statistics, basmati exports rose by 41pc and 414,190 tonnes of rice were exported in seven months of fiscal year 2022 from 293,761 tonnes in the same period of the last fiscal year. In terms of value, it is a jump of 28per cent, i.e., $362 million from $282 million. Other varieties of exports grew by 13pc, 2.138m tonnes from 1.886mn tonnes, while it went up by 5.56pc in terms of value, $924mn from $876mn, in seven months of fiscal year 2021. Mr Anis said due to massive hike in freight rates and lack of availability of shipping containers, rice exporters had chartered two to three bulk vessels destined for African countries in the last three months to load rice cargo in these vessels. Each vessel had carried 35,000-40,000 tonnes of rice. Besides, demand from China for Pakistani rice also remained high. In financial year 2021, export of other varieties had plunged to 3.062 million tonnes fetching $1.465 billion as compared to 3.3 million tonnes valuing $1.39bn in FY20. Basmati exports earned $575 million from 629,069 tonnes in FY21 from 865,949 tonnes earning $783mn in FY20. Rice exports in FY21 remained subdued due to low price offered by India for non basmati and higher freight charges from October 2020 amid Covid-19 pandemic. However Chinese buying of Pakistani non basmati rice kept the exports moving.

Prices currently being paid by millers for paddy are likely to fall further before any possibility of stability due to internal and external shocks. Berbice rice millers who held a virtual meeting with the Private Sector Com-mission (PSC) on Wednesday requested that the body seek an audience with government to find a reso-lution to the challenges faced. “From tomorrow we might have to change to $60,000 (per tonne) and if these challenges are not addressed we will have to drop as low as $55,000 per tonne of paddy… we are buying paddy today at $65,000 which is not dried, which is not processed on the scale,” was the per-spective offered to Stabroek News by Rayaadul Hakh, who operates in Regions 5 & 6. Hakh declared that the increased cost of production was due to global issues. He point-ed out that apart from the freight cost and government commissions, millers have other production associated expenses.