NEW DELHI — 

A ban imposed by India on exports of several categories of rice due to rising domestic prices and fears of a shortfall in the next crop yield could drive up global prices of the grain at a time when food insecurity is already a concern, according to experts.

India, the world’s largest rice exporter, accounts for 40% of the global rice trade, with its shipments going to about 140 countries.

Announcing the ban Thursday, the government said that prices in the country had risen by 11.5% over the past year and 3% over the past month.

In a statement, the Ministry of Consumer Affairs said that it has amended the export policy "in order to ensure adequate availability of non-basmati white rice in the Indian market and to allay the rise in prices in the domestic market.” It said the ban would take effect immediately.

India’s move came days after Russia backed out of a deal to allow Ukrainian wheat safe passage through the Black Sea, prompting warnings that the action could lead to surging prices.

“The impact of India’s rice ban is bound to be felt on global prices. This is happening soon after the Black Sea initiative was not renewed. When wheat is undergoing a shock, India banning rice exports creates a further shock in global food grain markets,” Harish Damodaran, agriculture editor at The Indian Express newspaper, told VOA.

“India used to export about 22.5 million tons. Now about 10 million tons will go out of the international market, so about 40% of our exports will be knocked out. This includes a category whose exports were banned last year,” according to Damodaran.

India is unlikely to ease the restrictions soon as it grapples with food inflation, according to analysts.

The increase in food prices is a sensitive issue for the government as the country prepares to hold a series of key state elections later this year and national elections next April. Prices of rice and wheat are of particular concern in a country where cereals are a predominant part of the diet of low-income people.

India has been tightening farm exports since last year — a ban imposed on wheat exports more than a year ago has not been lifted.

Analysts say that while India, the world’s second largest rice producer, has sufficient stockpiles of rice for its 1.4 billion people, there are fears that an erratic monsoon season could damage the next paddy crop, which was planted in June and harvested in September.

Heavy rains in the north of the country in recent weeks triggered floods in key rice growing regions while deficient rains in the south prevented many farmers from planting the crop.

“We have had severe rains and floods in Punjab and Haryana, and these are the two states that predominantly supply surplus rice to the country,” Devinder Sharma, a farm analyst, told VOA. “The tragedy of southern states is that they don’t have irrigation and therefore they get adversely impacted by a shortfall in rains. So everything could go topsy turvy with the next rice harvest.”

He also pointed out that there are worries over the “El Nino” effect, which usually causes hot, dry weather and lower rainfall in Asia, where the bulk of the world’s rice crop which needs ample water is grown. That has led to further uncertainty about potential shortages of the crop that is a staple for more than 3 billion people in the world.

“So the government is right in being very cautious. They don’t want to take any risk,” said Sharma.

The curbs on rice exports exclude one variety that is mostly exported to Bangladesh and several countries in Africa, which analysts say is a diplomatic move to ensure that the neighboring country with which New Delhi has good ties and African nations — where it is trying to build influence — do not face a significant problem.

“The rice curbs have been crafted keeping in mind domestic political compulsions and diplomacy,” says Damodaran.

Traders say price offered under e-auction higher than market rates

The government may reduce the prices of rice offered under the open market sale scheme (OMSS) by the Food Corporation of India (FCI) being sold through e-auction to bulk buyers due to lukewarm response.

Official sources told FE  that ‘whenever there are some requirements for tweaking the policy for reducing prices for OMSS rice, we will consider it,”.

In the first two weekly e-auction for rice held in the last fortnight, FCI could sell only 460 tonne of rice against around 0.4 million tonne (MT) offered under the OMSS. The next e-auction is slated for Wednesday.

Many rice traders FE spoke to said the benchmark price of Rs 31/kg for e-auction fixed by FCI is higher than similar variety of grain available in the market.

“At the same cost, white raw rice is currently being available at the Mundra port, Gujarat for exports besides the FCI’s rice has about 25% broken grain which makes it unattractive for the traders,” a rice trader based in Karnal, Haryana, said.

Average bid price for rice under OMSS last week was Rs 3,110.07/quintal against the reserve price of Rs 3,110.07/quintal.

The official said current grain stocks are above the buffer and sufficient to carry out open market sales.

FCI currently has 25.23 MT of rice,which excludes 14.7 MT of rice yet to be receivable from millers. The rice stock is against the buffer of 13.54 MT for July 1.

The corporation needs 36 MT of rice annually for allocation under NFSA. The new procurement season (2023-24) for paddy begins on October 1.

A food ministry official said that the FCI would continue to sell foodgrains from its surplus stocks till inflationary trend in cereals prices are curbed. The retail inflation in cereal and products category was reported at 12.71% in June, a declined from 16.12% in January.

In the last many years, the rice sold through e-auction have not received encouraging responses while the grain sold states on specific demand without e-auction have received responses from the states.

Due to implementation of Pradhan Mantri Garib Kalyan Anna Yojana, where additional 5 kg of rice for each of the 800 million beneficiaries under the National Food Security Act were distributed during April, 2020 and December 31, 2022, the corporation did not conduct OMSS for rice.

The government last month decided against participation of states in e-auction of wheat and rice which according to food ministry officials to ensure that more traders, processors and retailers participate in the sale.

However the new Karnataka government said that the move was to stall the state’s government Anna Bhagya Yojana where 5 kg rice was proposed to be provided to BPL families. FCI earlier had agreed to supply rice at Rs 34/kg.

Jharkhand has also criticised the government’s decision against providing additional quantities of rice and wheat to states from the central pool which has forced the state government to buy rice from the market at higher price.

Food secretary Sanjeev Chopra last week had stated that 15 states and union territories including Tamil Nadu and Odisha were of the view that the central pool surplus food stock should be used in ‘larger interest of 1400 million population’ and ‘not for a particular section and particular class of people’.

Global prices for rice could soar again as the world’s largest supplier, India, considers banning the export of several varieties.

As the cost of the staple reaches an 11-year high, Narendra Modi‘s government is discussing a plan to ban exports of all non-Basmati rice, according to a Bloomberg report.

If implemented, the move would see India banning 80 per cent of all of its rice exports, sending global prices to new highs as the world grapples with soaring food price inflation after Russia’s invasion of Ukraine.

Insiders told Bloomberg the move was aimed at curbing the risk of heightened inflation, particularly ahead of upcoming elections. Indian consumers are battling prices so high that some are crossing the border to buy cheaper tomatoes.

While the rice move could control domestic prices, it carries the risk of causing global costs to surge even higher amid a tight supply.

Consumers in Britain will not be immune to the increases.

“Two-thirds of the rice we import – worth £229.2m last year – comes from climate-vulnerable parts of the world; over half of that (£127m) from India,” said Gareth Redmond-King of the London-based Energy and Climate Intelligence Unit.

“As impacts worsen, so shortages will drive up the cost of staple foods we import from overseas, which we cannot simply grow here instead,” he said.

“Cutting emissions to net zero is the only route to halting climate change to limit warming and avoid even worse impacts.”

India accounts for more than 40 per cent of the world’s rice exports. Prices jumped to a five-year high in June after the government announced an increase in minimum support prices for farmers.

Last year, India’s move to ban wheat exports led to a global outcry.

It comes amid global concerns over the disruptive El Nino weather phenomenon’s impact on farming, further adding to pressure on prices. The cyclic weather event in the Pacific Ocean is known to increase heat and is worrying researchers as it adds to the worsening climate crisis fuelling extreme weather events.

India has been grappling with repeated heatwaves and erratic monsoons impacting agricultural production. Longer droughts and heavier monsoons, resulting in more rain in a shorter period, have adversely impacted crop production.

Fears of shortages also pose challenges of stockpiling. Rice serves as a vital staple for around half of the global population, with Asia alone accounting for around 90 per cent of the world’s rice consumption. Importing countries such as Indonesia, China and the Philippines have been aggressively stockpiling rice this year.

Shortage of paddy, fears of crop being affected by weather factors behind the spike

Prices of Indian rice have increased by nearly 10 per cent over the past couple of weeks in the global market, but still they continue to be competitive as prices of the cereal from other origins have also gone up. However, the high prices have dried up export demand. 

“Indian rice prices have gone up by 5-10 per cent recently but this is the usual case with it during the lean season from July-September,” said BV Krishna Rao, President, The Rice Exporters Association of India (TREA).

Prices of parboiled rice, in demand from Vietnam and African countries, have increased from the levels of $380-390 a tonne to $430, he said.

Business dull

Traders said a major reason for the increase in rice prices is that paddy is being quoted higher or reports of its non-availability. 

“There seems to be a shortage of paddy, particularly in the south pushing up prices. There is still no parity in paddy rates compared with rice,” said S Chandrasekaran, a Delhi-based trade analyst.

“Last week, we bought rice, ex-mill, at ₹29,000 a tonne, but now it is quoted at ₹30,500,” said VR Vidya Sagar, Director, Bulk Logix. Prices of 5 per cent white rice have increased by at least $25 a tonne to levels of $490.

“No business is happening as buyers are of the view that prices are high. There are enquiries only for cheap rice from Singapore and East Timor,” said M Madan Prakash, President, Agricultural Commodities Exporters Association (ACEA). 

A trader from North India said paddy prices were shooting up every day, particularly in States such as Chhattisgarh — a phenomenon not seen in the past few years. “The volume of paddy available is also less,” he said. Shortage of paddy is being reported from centres such as Thoothukudi in Tamil Nadu.

Fear factors

Despite these developments, research agency BMI, a unit of Fitch Solutions, has cut its average price forecast for rice to 2.9 per cent for CBOT-listed second-month rough rice futures in 2023. The price forecast has been lowered from $17.30 per cwt (hundredweight or 45.35 kg) to $16.80.

“Prices have gone up on fears of floods affecting production of paddy in North India and deficient rainfall lowering the area under the cereal during the current kharif sowing,” said Bulk Logix’s Sagar.

Prices of Sona Masuri, Ponni or idli rice have all increased above $650. “Prices of Sona Masuri and other varieties have gone from $550 to highs not seen in the recent past. Normally, prices of these rice varieties are stable,” said ACEA’s Prakash. 

A section of the trade blames the Chhattisgarh government’s move to hike the minimum support price (MSP) of paddy to ₹2,800 a quintal for the spike in prices. 

Reflecting new MSP

TREA’s Rao said rice prices have begun to reflect the MSP fixed by the Centre for the 2023-24 crop year (July-June). The MSP for rice has been increased to ₹2,183 a quintal for the common variety from ₹2,040 last year. 

Traders are, however, unanimous that prices could begin cooling from September onwards. 

Research agency BMI  forecast that the global rice market will loosen through the 2023-24 season, moving from an estimated deficit of 9.9 million tonnes (mt) in 2022-23 to a narrow deficit of one mt. But the “now-confirmed” El Nino could pose a risk and it will support prices in the interim.

Despite these developments, the US Department of Agriculture has estimated India’s rice exports to increase to 24 mt in the 2023-24 marketing season (September-August). It also projected India’s rice production at 134 mt compared with the record 136 mt this season. 

India is considering banning the export of non-Basmati rice, which could further increase global rice prices due to the reemergence of El Niño.

India is contemplating a potential prohibition on the export of numerous rice varieties. This proposed measure, if implemented, could further elevate the already soaring global prices of this vital food staple, particularly as the disruptive El Niño weather phenomenon reemerges. India is the largest exporter of rice in the world.

Government officials are currently engaged in discussions concerning a plan to restrict the export of non-Basmati rice, as disclosed to Bloomberg by individuals knowledgeable about the matter.  LiveMint could not independently verify the report.

The motive behind this proposal, according to these insiders who requested anonymity due to the confidentiality of the information, is to mitigate the risk of heightened inflation ahead of upcoming elections.

India's decision to ban rice exports will have a significant impact, affecting approximately 80% of the India's rice exports. While this move may potentially lower domestic prices, it carries the risk of causing global costs to surge even higher. 

Rice stands as a crucial staple for approximately half of the global population, with Asia alone accounting for about 90% of the world's rice consumption. 

Concerns over the return of the El Niño weather phenomenon have already driven benchmark prices to a two-year high, heightening fears of potential crop damage and exacerbating the upward trajectory of prices in the global rice market.

India, a dominant player in the global rice trade, holds a substantial share of approximately 40%. In recent times, the country has taken measures to strengthen control over the trade of certain rice varieties. Notably, India implemented a ban on the export of broken rice in 2022. 

Also , a 20% duty was imposed on shipments of white and brown rice, in response to the surge in food staple prices, triggered by Russia's invasion of Ukraine, impacting commodities such as wheat and corn. Furthermore, India has imposed limitations on exports of wheat and sugar, indicating a concerted effort to regulate the trade of these essential food commodities.

Representatives for the food, trade and finance ministries didn’t respond to emails or text messages seeking comment. 

Importers such as Indonesia, China and the Philippines have been aggressively stockpiling rice this year. El Niño conditions have developed in the tropical Pacific for the first time in seven years, according to the World Meteorological Organization, threatening to bring drought to many rice-growing regions. A potential ban by India will add to worries over supply.

India’s plan comes after its consumer price inflation quickened in June, mainly due to higher food prices. Bloomberg Economics expects inflation to rebound further with the latest surge in tomato prices — a key ingredient in Indian cuisine — and an increase in the government’s support price for monsoon-sown crops.

Fortified rice which was supplied at ₹34/kg is being made available at ₹31/kg and wheat at ₹21.50/kg instead of ₹22.50/kg

 The Food Corporation of India (FCI) has reduced the price of rice and wheat being tendered out under the open market sale scheme (domestic) for registered bulk buyers.

Fortified rice which was supplied at ₹34/kg is being made available at ₹31/kg and wheat at ₹21.50/kg instead of ₹22.50/kg, said Manjeev Kumar Goyal, Deputy General Manager, FCI in Chennai on July 13.  

Addressing presspersons, Mr. Goyal said that the price of rice and wheat had been reduced as a market control mechanism to benefit consumers. Only traders having GST numbers in Tamil Nadu can bid. This is to ensure that the commodities are not resold to traders or middlemen outside the State. The FCI also keeps track of stock position of the millers and traders to doubly ensure this. A minimum of 10 tonnes to a maximum of 100 tonnes can be procured by one person or company, he said.

Ravi Shastri, deputy general manager (operations), said that so far, three tranches of wheat had been offered in Tamil Nadu and Puducherry. In the latest, 16,000 tonnes of wheat are available for Tamil Nadu and 2,000 tonnes for Puducherry. So far 4,800 tonnes have been sold via 15 depots in the State and 190 tonnes through one depot in the Union Territory. A total of 48,000 tonnes of rice are also available in this tranche. Stocks are bid through https://www.valuejunction.in/fci/ portal.  

At present, FCI’s stock in hand for Tamil Nadu and Puducherry for supply under the public distribution system and the noon meal scheme is 8.54 lakh tonnes of rice and 1.11 lakh tonnes of wheat, which is sufficient to meet the requirement for 10 months, Mr. Goyal added.  

July 13 (Reuters) - India, the world's biggest rice exporter, is considering banning exports of most rice varieties, Bloomberg News reported on Thursday.

The government is discussing a plan to ban exports of all non-Basmati rice, the report said, citing people familiar with the matter.

Reporting by Yana Gaur in Bengaluru; Editing by Himani Sarkar.

NEW DELHI — 

Warmer, drier weather because of an earlier-than-usual El Nino is expected to hamper rice production across Asia, hitting global food security in a world still reeling from the impacts of the war in Ukraine.

An El Nino is a natural, temporary and occasional warming of part of the Pacific that shifts global weather patterns, and climate change is making them stronger. The National Oceanic and Atmospheric Administration announced this one in June, a month or two earlier than it usually does. This gives it time to grow. Scientists say there's a one in four chance it will expand to supersized levels.

That's bad news for rice farmers, particularly in Asia where 90% of the world's rice is grown and eaten, since a strong El Nino typically means less rainfall for the thirsty crop.

Past El Ninos have resulted in extreme weather, ranging from drought to floods.

There are already "alarm bells," said Abdullah Mamun, a research analyst at the International Food Policy Research Institute or IFPRI, pointing to rising rice prices due to shortfalls in production. The average price of 5% broken white rice in June in Thailand was about 16% higher than last year's average.

Global stocks have run low since last year, in part due to devastating floods in Pakistan, a major rice exporter. This year's El Nino may amplify other woes for rice-producing countries, such as reduced availability of fertilizer due to the war and some countries' export restrictions on rice. Myanmar, Cambodia and Nepal are particularly vulnerable, warned a recent report by research firm BMI.

"There is uncertainty over the horizon," Mamun said.

Recently, global average temperatures have hit record highs. Monsoon rains over India were lighter than usual by the end of June. Indonesian President Joko Widodo on Monday asked his ministers to anticipate a long dry season. And in the Philippines, authorities are carefully managing water to protect vulnerable areas.

Some countries are bracing for food shortages. Indonesia was among the worst hit by India's decision to restrict rice exports last year after less rain fell than expected and a historic heat wave scorched wheat, raising worries that domestic food prices would surge.

Last month, India said it would send more than 1 million metric tons (1.1 million U.S. tons) to Indonesia, Senegal and Gambia to help them meet "their food security needs."

Challenges finding fertilizer

Fertilizer is another crucial variable. Last year China, a major producer, restricted exports to keep domestic prices in check after fertilizers were among exports affected by sanctions on Russian ally Belarus for human rights violations. Sanctions on Russia for its invasion of Ukraine don't target fertilizers but the war has disrupted shipments of the three main chemical fertilizers: potash, phosphorus, and nitrogen.

Bangladesh found suppliers in Canada to make up for lost potash shipments from Belarus, but many countries are still scrambling to find new sources.

Farmers such as Abu Bakar Siddique, who cultivates 1.2 hectares (3 acres) in northern Bangladesh, had enough fertilizer to keep his yields steady last year. But less rainfall meant he had to rely more on electric pumps for his winter harvest at a time of power shortages due to war-related shortfalls of diesel and coal.

"This increased my costs," he said.

Attempting to adapt

Each El Nino is different, but historical trends suggest scarce rainfall in South and Southeast Asia will parch the soil, causing cascading effects in coming years, said Beau Damen, a natural resources officer with the Food and Agriculture Organization based in Bangkok, Thailand. Some countries, like Indonesia, may be more vulnerable in the early stages of the phenomenon, he said.

Kusnan, a farmer in Indonesia's East Java, said rice farmers there have tried to anticipate that by planting earlier so that when the El Nino hits, the rice might be ready for harvest and not need so much water. Kusnan, who like many Indonesians uses only one name, said he hoped high yields last year would help offset any losses this year.

Widodo, the Indonesian leader, stressed the need to manage water in coming weeks, warning that various factors — including export restrictions and fertilizer shortages — could combine with the El Nino to "make this a particularly damaging event."

Baldev Singh, a 52-year-old farmer in northern India's Punjab state, is already worried. He typically sows rice from late June until mid-July, then needs the monsoon rains to flood the paddies. Less than a tenth of the usual rainfall had come by early this month, and then floods ravaged northern India, battering young crops that had just been planted.

The government has encouraged Punjab farmers to grow rice along with their traditional wheat crops since the 1960s to improve India's food security, even though farmers like Singh don't typically eat rice and irrigation of rice fields has drained the area's aquifers. But he keeps growing it, counting on the certainty of government purchases at fixed prices.

With rain scarce, Singh may need to dig wells. Last year, he dug down 200 feet (60 meters) to find water.

"Rice has been our ruin ... I don't know what will happen in the future," he said.

With heavy showers in July have meant that, India, which was seeing a 30% deficit in rainfall in mid-June, is now at 2% excess rainfall reading. However, the June deficit has had an effect on kharif acreage sowing which is around 9% lower than what it was last year.

The sowing seen in rice and pulses saw the weakest progress — shrinking by almost a quarter.

“Within pulses, lower acreage of Arhar (Pigeon pea) and Urad (Black lentil) was noted for the same period. Even the sown area of oilseeds, cotton and Jute and Mesta have fallen sharply,” say economists at Bank of Baroda.

Economists at HDFC say that uneven distribution of rainfall is the reason for the blip in sowing.

“This could be due to weak rainfall progress in major rice and tur producing states. Looking ahead, as the majority of the season’s sowing takes place in July, rainfall progress during the month would be crucial,” say economists at HDFC.

Eastern belt states like Bihar, Jharkhand, Odisha and in Central (Maharashtra) and Southern region of Telangana, Karnataka, Kerala have received deficient rainfall. Then there is the El Nino effect which might impact the entire monsoon season.

On the other hand, signaling a bounty year for millets, sowing seen in bajra or pearl millet was much more than that of last year. Jowar or sorghum also saw higher sowing, along with coarse cereals – and a marginal growth in sugarcane.

The year of 2023 has been declared the year of millets by United Nations, and apart from the Union Budget push, most state governments like Chattisgarh and Odisha are providing incentives to farmers as a part of their millet missions.

Source: CEIC, Bank of Baroda │ Data as of 7 July 2023

Rainfall, inflation & rate cuts

The slump in sowing might have an effect on food prices, and the prices of vegetables like tomato, chillies and ginger rose sharply in the past few days, in addition to milk inflation which continues to be high. Tur, wheat and rice are also beginning to inch up.

“To reduce the impact of steep increase in tomato prices, some state governments like Tamil Nadu and West Bengal have taken supply related measures. Among cereals, sufficient buffer stock of wheat and rice might offer a cushion and keep a check on prices,” said the HDFC report which expects inflation to average at 5% in the second quarter.

Also, in order to encourage pulses production the government has removed the 40% procurement limit on pulses, like Tur, Urad, Masur (red lentil).

“We expect the RBI to continue remaining on pause at its August meeting as the central bank’s inflation projections are on the cautious side and already factor in some upside to the inflation prints going forward. Although, if weather conditions turn for the worse and have a material impact on the inflation outlook, rate cut expectations by the RBI could be pushed back further in 2024,” HDFC believes.

A recent report by Kotak Institutional Equities says that a weak monsoon in July-August could make this a broad-based upside across various food items.

“This may not bode well for market expectations of an early rate cut cycle. We estimate inflation to average around 5% in FY2024 without any significant impact of monsoons and 5.3% in case monsoons were to disappoint and we see a more broad-based pickup in food prices,” Kotak says.

Discover the vibrant world of healthy Indian rice varieties with black rice, red rice, and brown basmati. Explore their flavours, health benefits, and culinary possibilities

Welcome to the vibrant world of healthy Indian rice varieties! In a land where rice reigns supreme, there are exquisite alternatives to traditional white rice that not only add a splash of colour to your plate but also provide a myriad of health benefits. We will take you on a captivating culinary journey, introducing you to the alluring Black Rice, the nutrient-packed Red Rice, and the fragrant delight of Brown Basmati. Get ready to explore these fascinating rice varieties and discover a whole new world of flavours, textures, and nourishment that will redefine your perception of rice!

Black Rice - Unveiling the Forbidden Elegance:

Step into the realm of the extraordinary with Black Rice, often referred to as the "forbidden grain." This enchanting rice variety hails from the northeastern regions of India and boasts a rich history. Its deep, dark hue, reminiscent of midnight skies, immediately captures the imagination. The distinct nutty flavour and sticky texture make it a versatile ingredient that can be used in both savoury and sweet dishes. But Black Rice is not just visually appealing; it is also a nutritional powerhouse. Packed with antioxidants, fibre, and essential minerals, Black Rice offers a myriad of health benefits, including improved digestion, reduced risk of heart disease, and enhanced brain function. Allow the allure of Black Rice to elevate your culinary creations and nourish your body.

Red Rice - A Symphony of Nutrition and Taste:

Indulge in the symphony of flavours and health benefits offered by Red Rice, a rice variety that exudes warmth and vitality. Cultivated in the verdant fields of southern India, Red Rice enchants with its earthy taste and a vibrant red husk that reflects the essence of the land. Red Rice undergoes minimal processing, ensuring that its natural nutrients remain intact. This rice variety is a treasure trove of vitamins, minerals, and antioxidants. Its high fibre content aids digestion, promotes satiety, and supports weight management. Furthermore, Red Rice possesses anti-inflammatory properties and assists in regulating blood sugar levels. Add a splash of colour to your meals and savour the nutritional bounty that Red Rice brings to the table.

Brown Basmati - Fragrance, Health, and Elegance:

Prepare to be captivated by the fragrant allure and wholesome attributes of Brown Basmati rice. Known for its delightful aroma and slender, elongated grains, Brown Basmati is a staple choice for health enthusiasts. Unlike white Basmati rice, Brown Basmati retains its bran and germ layers, making it a whole-grain powerhouse. Bursting with fibre, vitamins, and minerals, including B vitamins, magnesium, and potassium, Brown Basmati offers a range of health benefits. Its fibre content promotes digestive health, aids in weight management, and supports a healthy heart. With its low glycemic index, Brown Basmati is also a wise choice for individuals seeking to maintain stable blood sugar levels. Let the fragrance of Brown Basmati infuse your meals and elevate your dining experience.

Culinary Adventures with Healthy Rice Varieties:

Now that you're acquainted with the wonders of Black Rice, Red Rice, and Brown Basmati, it's time to embark on some culinary adventures. Here are a few recipe ideas and cooking tips to make the most of these healthy rice varieties:

1. Black Rice Pudding: Transform Black Rice into a luscious dessert by simmering it with coconut milk, jaggery, and aromatic spices like cardamom. Top it off with fresh fruits and nuts for a delightful treat that indulges both the senses and the body.

2. Red Rice Salad: Combine cooked Red Rice with an array of colourful vegetables, crisp herbs, and a tangy dressing to create a refreshing and nutritious salad bursting with flavours. This vibrant dish is sure to be a hit at your next gathering.

3. Brown Basmati Pilaf: Elevate your pilaf game by using fragrant Brown Basmati rice. Sauté onions, garlic, and spices in a pan, then add soaked Brown Basmati rice and cook it to perfection with vegetable broth. Garnish it with toasted almonds and fresh herbs for an aromatic and wholesome delight.

As you journey through the realm of healthy Indian rice varieties, the allure of Black Rice, the vitality of Red Rice, and the fragrance of Brown Basmati will captivate your taste buds and nourish your body. Embrace the richness of these rice varieties' colours, flavours, and health benefits. With their unique qualities, Black Rice, Red Rice, and Brown Basmati have the power to transform your culinary experience and take you on a delightful adventure. So, savour the magic of these rich rice varieties, and let them inspire you to create memorable meals that celebrate both taste and well-being.

The government and policymakers must adopt a global mindset and address technical, economic and environmental challenges related to the production and export of basmati. The policies on quality control must be effectively implemented and rigorously monitored in the proposed zone, right from various stages of production till when the product reaches the consumer. This will ensure success of the zone as a reliable producer of export-quality, globally acceptable basmati rice.

THE initiatives of diversifying from the paddy-wheat cropping system and increasing basmati area and production are being promoted by governments and non-governmental agencies in almost all rice-producing states of the country. The main objective of this push is to achieve greater financial benefits by promoting the export of basmati rice. Basmati has tremendous export potential if the produce meets the desired quality standards. Large-scale production of export-quality basmati and the development of related export infrastructure will require the creation of basmati export zones in the rice-producing states.

The creation of these zones is imperative because the production and maintenance of purity of aromatic basmati rice are dependent on the selection of the right variety of basmati and the agro-climatic conditions under which the crop is grown. The fragrance of basmati is attributed to the presence of aromatic compounds (predominantly 2-acetyl-l-pyrroline), which are formed initially in the plant when it flowers, then get transferred to the grains, where they remain preserved if temperatures remain low during the ripening. This basmati-specific genetic character gets expressed only under specific soil and climatic conditions.

The export zones need to be created in the basmati-growing states/UTs, including Punjab, Haryana, Himachal Pradesh, Delhi, Uttarakhand, western Uttar Pradesh and Jammu and Kashmir. The soil and climatic conditions are favourable, with mainly low temperatures during the ripening stage, for producing export-quality basmati. In Punjab, the export zone is proposed to be formed in the northern parts (Pathankot, Gurdaspur, Amritsar, Kapurthala, Jalandhar, Rupnagar). This zone should have a focused agenda to grow only the recommended basmati rice. In other parts of the state, since the temperatures remain higher, high yield may be obtained but the aroma decreases drastically.

In addition to the production of high-quality basmati, the diversion of areas from longer-duration non-basmati varieties (e.g. PR 126, Pusa 44, grown from June to October) towards shorter-duration basmati varieties (e.g. Pusa Basmati 1121, 1509, grown from early July to October) in this zone will reduce pressure on the rapidly declining water resources of the state.

In the proposed basmati zone, a transparent system needs to be developed regarding the variety of the crop being grown; the cropping system; soil, fertilisers, pesticides, water and energy management; adoption of basmati-specific quality standards at every stage, from planting of crop to maturity; post-harvest handling, processing and marketing. Efficient use of pesticides is a must to curb the accumulation of toxic pesticide residues in soil and plants, which can have an adverse effect on product quality, acceptability and exportability. In the past, basmati exports from India (especially to European Union countries) have suffered due to the presence of higher levels of pesticide residue (especially of tricyclazole and carbendazim pesticides) in rice grains. Plant breeders and entomologists need to play a significant role in recommending eco-efficient pest-control technologies. A well-run and transparent system will instil confidence in foreign buyers who will, in turn, be willing to pay more for high-quality basmati.

Pakistan is our main competitor for aromatic basmati in the global market; it is earning significant foreign exchange by exporting quality aromatic basmati. One of the reasons for Pakistan’s success is its transparent system in this regard, allowing buyers to assess the quality of the product they are purchasing. In Punjab, while basmati rice has good potential in terms of production, the inability to meet quality standards causes loss of confidence among foreign buyers.

The export zones can help in preventing adulteration of grains of genuine basmati. The grains should have about 7-mm length and 2.5-mm breadth; their amylose content should be in the range of 24-32 per cent. The adoption of these standards will deter growers, traders and companies from adulterating genuine basmati with non-basmati rice or other varieties. The quality-conscious international market is already carrying out DNA fingerprinting to identify adulteration material used and ensuring the credibility of the branding of the variety. For this, the setting up of state-of-the-art basmati-specific systems for quality control and infrastructure for processing (drying, milling, grading, packing, procurement, storage, transportation, marketing, etc.) will be essential in the proposed zone.

Basmati is traditionally exported to West Asia, the European Union, the US, South Africa, Tanzania and other nations. As per reports of the Agricultural and Processed Food Products Export Development Authority (APEDA), India caters to about 65 per cent of the world’s basmati export market. Additional international export markets must be explored through effective market-intelligence networks.

There is hardly any committed agency in Punjab that produces and supplies adequate quantities of ‘true-to-type’ basmati seed. In general, the seed is spread predominantly through farmer-to-farmer movement, resulting in deterioration of purity. A regulated genuine basmati rice seed production and supply system should also be developed in the identified zone to ensure the availability of high-quality seed to growers. For all this, farmers and traders will have to be intensively trained about various technological and economic aspects of producing high-quality basmati, marketing and other aspects so that the produce (raw or processed) is able to compete in the global market.

The government and policymakers must adopt a global mindset and address technical, economic and environmental challenges related to the production and export of basmati. The policies on quality control must be effectively implemented and rigorously monitored in the proposed zone, right from various stages of production till when the product reaches the consumer. This will ensure success of the zone as a reliable producer of export-quality, globally acceptable basmati rice.

Non-basmati rice dispatch rise 6% as Africa, West Asia buy more

Indian rice exports were off to a good start in the current financial year with volume of shipments increasing by about a tenth in the first two months to over 3.67 million tonnes (mt) compared with 3.36 mt in the same period a year ago on strong demand for basmati rice.

Basmati rice shipments during this period were up 21 per cent at 8.30 lakh tonnes (lt) against 6.85 lt a year ago. Similarly, non-basmati rice shipments, despite curbs on broken rice and export duty, were up by 6 per cent at 2.84 mt against 2.67 mt.

Basmati shipments to West Asia, the main market for the aromatic rice registered an increase of 13 per cent at 6.15 lt against 5.43 lt a year ago on higher demand from countries such as Iran, Iraq, Kuwait, Qatar and United Arab Emirates. However, shipments to countries such as Saudi Arabia and Yemen declined. Exports in dollar terms to West Asia were up 22 per cent at $665 million ($545 million in the year-ago period).

Gain in other geographies

To other geographies such as European Union and Asian countries, basmati shipments more than doubled during these two months. Shipment volumes to the European Union were up 154 per cent at 41,644 tonnes (16,407 tonnes) on demand from the Netherlands, Germany, Italy and Belgium. The basmati export value to the EU during April-May was up 196 per cent at $52.61 million ($17.74 million). In Asia, countries such as Bangladesh, Bhutan and Nepal among others stepped up the purchase of the aromatic rice with volumes rising to 15,339 tonnes (6,995 tonnes).

Similarly, in the case of non-basmati rice, shipments to Africa during April-May were up at 20.96 lt (15.49 lt), while exports to West Asia recorded a 24 per cent growth at 2.20 lt (1.77 lt). “There is a good demand. Despite certain restrictions, shipments are growing,” said B.V. Krishna Rao, President, The Rice Exporters Association. India has placed curbs on exports of 100 per cent broken rice and has levied a duty of 20 per cent on white and brown rice exports since September 8, 2022.

Rice prices are already at an 11-year high and are set to rally further after India’s move to increase the minimum support price (MSP) for the crop.

In Short

• Rising rice prices raise concerns of food crisis in Asia and Africa
• India's minimum support price hike contributes to global rice price surge
• Supply situation tightens as Indian rice exports face potential decrease

By India Today Business Desk: Several countries in Asia and Africa could soon face a critical shortage of rice as prices continue to surge across the globe.

Rice prices are already at an 11-year high and news agency Reuters reported that they are set to rally further after India’s move to increase the minimum support price (MSP) for the crop. The impact of El Nino on rainfall has further complicated the situation.

India accounts for more than 40 per cent of the world’s rice exports, but any reduction in shipment could drive up prices that have already been impacted by the Russia-Ukraine conflict and erratic weather conditions.

BV Krishna Rao, president of the Rice Exporters Association (REA) told the news agency that India was the cheapest supplier of rice.

“As Indian prices moved up because of the new minimum support price, other suppliers also started raising prices,” he said.

The report noted that the price of Indian rice exports has jumped to a five-year high of 9 per cent, following an MSP hike of 7 per cent. It is worth noting that export prices in Thailand and Vietnam have risen to more than two-year highs since the MSP hike.

Industry officials have also warned that the supply situation is extremely tight, and any decrease in Indian rice exports has the potential to cause a surge in global prices.

The price surge also poses challenges in building up stockpiles.

While demand from price-sensitive African countries has slowed, some Asian buyers, including Indonesia and the Philippines, have been increasing their purchases from traditional suppliers such as Vietnam.

Indonesia recently signed an uncommon agreement with India to import 1 million tons in the event of El Nino disrupting domestic supply.

El Nino impact

Rice, a staple for more than 3 billion people, predominantly originates from Asia, where the El Nino weather pattern often results in lower rainfall. However, even before the potential production disruptions caused by El Nino, the global rice price index remains above an 11-year high.

Despite near-record output forecasts from major producers such as Bangladesh, China, India, Indonesia, Thailand, and Vietnam, some global trading houses anticipate the impact of El Nino on the output of all key rice-producing countries.

Global rice inventories are projected to decline to a six-year low by the end of 2023/24, as stocks fall in China and India, following rising demand in recent years.

If yields drop sharply due to El Nino, the price could rise by a fifth or more, reported Reuters. The second rice crop in most Asian nations is expected to be lower than normal due to the weather phenomenon.

Thailand, the second-largest exporter of rice, has already urged farmers to plant only one rice crop due to below-normal rainfall. Similarly, India has experienced a slow start to planting with reduced rain, raising concerns for the ruling Bharatiya Janata Party (BJP) as elections approach next year.

The rice market, once a buyers' market, is now on the verge of becoming a sellers' market if El Nino adversely affects production, according to a Singapore-based deal quoted in the Reuters report.

As the global rice industry navigates these dynamics, attention remains on India's agricultural changes, weather patterns, and their impact on prices and supplies worldwide.

MUMBAI: Global rice prices, now at their highest in 11 years, are set to rally further after India moved to boost payments to farmers, just as El Nino threatens yields in key producers and alternative staples get costlier for poor Asians and Africans.
India accounts for more than 40 percent of world rice exports, which were 56 million tons in 2022, but low inventories mean any cut in shipments will fuel food prices driven up by Russia’s invasion of Ukraine last year and erratic weather.
“India was the cheapest supplier of rice,” B.V. Krishna Rao, president of the Rice Exporters Association (REA), told Reuters. “As Indian prices moved up because of the new minimum support price, other suppliers also started raising prices.”
Rice is a staple for more than 3 billion people and nearly 90 percent of the water-intensive crop is produced in Asia, where the El Nino weather pattern usually brings lower rainfall.
Yet even before the weather phenomenon can disrupt production, the global rice price index of the Food and Agriculture Organization hovers above an 11-year high.
That comes despite a forecast by the US Department of Agriculture (USDA) for near-record output in all top six global producers — Bangladesh, China, India, Indonesia, Thailand and Vietnam.
“The impact of El Nino is not restricted to any single country; it affects rice output in almost all producing countries,” said Nitin Gupta, vice president of Olam India’s rice business.
The price of Indian rice exports has jumped 9 percent to a five-year high, following a hike of 7 percent last month in the price the government pays farmers for new-season common rice.

Export prices in Thailand and Vietnam have risen to more than two-year highs since that incentive, aimed at luring the votes of farmers in key Indian state elections this year and a general election next year.
In recent months, the prices of sugar, meat and eggs have jumped to multi-year highs worldwide, after producers cut exports to rein in domestic costs.
Despite the forecast for a strong Asian crop, some global trading houses expect El Nino to crimp the output of all key rice producers.
“Rice prices have already been rising due to limited supplies,” added Olam’s Gupta. “If production decreases, there will be a rally in prices.”
Global inventories of rice are set to drop to a six-year low of 170.2 million tons by the end of 2023/24, as stocks fall in top producers China and India, the USDA says, after the rising demand of recent years.

Prices could rice by a fifth
Prices could rise a fifth or more if yields drop sharply, as El Nino means the second rice crop in almost all Asian nations will be lower than normal, said a New Delhi-based grains dealer with a global trading house.
No. 2 exporter Thailand has urged farmers to plant only one rice crop after May rainfall was 26 percent below normal.
In India, which plants its second crop in November, planting of summer-sown rice was down 26 percent from a year ago by Friday, as the monsoon brought 8 percent less rain than normal, government data show.
Weather in China, the top producer of the grain, has not been conducive for the early season crop but high stockpiles will balance supply and demand, said Rosa Wang, an analyst with Shanghai JC Intelligence.
Food inflation is always a concern for India’s ruling party, which banned wheat exports last year and curbed those of rice and sugar to bring down prices.
As elections near, the slow start of planting amid rising domestic prices is a concern for Prime Minister Narendra Modi’s Bharatiya Janata Party (BJP), raising the prospect that it could further curb exports.
“The Modi government is grappling with the task of containing the price rise in wheat, which is why it would not hesitate to impose restrictions,” said the dealer based in New Delhi, the Indian capital.
Indian curbs would leave other countries struggling to make up supplies, industry officials say.

“The supply situation is extremely tight, and decrease in Indian exports could potentially cause global prices to surge,” said a Singapore-based dealer with a global trading house.
Taken together, Myanmar, Pakistan, Thailand and Vietnam could raise exports by 3 million to 4 million metric tons, the dealer added.
The price surge also complicates the task of building up stockpiles.
Demand from price-sensitive African countries has slowed, said Himanshu Agarwal, executive director at Satyam Balajee, an Indian exporter.
But some Asian buyers, such as Indonesia and the Philippines, have been building stocks and increasing purchases from traditional supplier Vietnam.
Last month Indonesia signed a rare pact with India to import 1 million tons if El Nino disrupts domestic supply. Indonesia usually buys rice from nearby Thailand and Vietnam.
“Rice has been a buyers’ market for the past few years, but it could become a sellers’ market if El Nino cuts production,” said the Singapore-based dealer.

Advance Market Analytics published a new research publication on "Basmati Rice Market Insights, to 2027" with 232 pages and enriched with self-explained Tables and charts in presentable format. In the Study you will find new evolving Trends, Drivers, Restraints, Opportunities generated by targeting market associated stakeholders. The growth of the Basmati Rice market was mainly driven by the increasing R&D spending across the world.

Some of the key players profiled in the study are:
KRBL Limited (India), Amira Nature Foods (UAE), LT Foods (India), Best Foods (India), Kohinoor Rice (India), Aeroplane Rice (India), Tilda Basmati Rice (Europe), Matco Foods (Pakistan), Amar Singh Chawal Wala (India), Hanuman Rice Mills (India), Adani Wilmar (India).

Scope of the Report of Basmati Rice
Basmati rice which is traditionally grown in Asian continent, is a long grain rice with aromatic smell and good quality. Basmati rice grown in India and Pakistan are famous around the globe. Basmati rice has been enjoying a premium position among all other rice varieties in the global marketplace, due to superior aroma, delicious taste, and distinct flavor. Rice forms an important part of the Middle Eastern cooking, and is considered as a staple food along with wheat in many countries. Basmati rice is extensively used in a number of lavish rice-based dishes containing layers of rice, meat, sauces & dried fruits.

The titled segments and sub-section of the market are illuminated below:
by Application (Commercial, Home), Spices (White, Brown), Varieties (Indian Basmati Rice, Pakistani Basmati Rice, Others)

Market Trends:
Increasing efforts of key players to make product available at affordable price
Growing applicability in food industry

Opportunities:
Emerging markets around the globe
Improvement in standard of living
Growing demand for lavish rice-based dishes

Market Drivers:
Increasing demand for premium, high quality and aromatic rice
Rising Population

Region Included are: North America, Europe, Asia Pacific, Oceania, South America, Middle East & Africa

Country Level Break-Up: United States, Canada, Mexico, Brazil, Argentina, Colombia, Chile, South Africa, Nigeria, Tunisia, Morocco, Germany, United Kingdom (UK), the Netherlands, Spain, Italy, Belgium, Austria, Turkey, Russia, France, Poland, Israel, United Arab Emirates, Qatar, Saudi Arabia, China, Japan, Taiwan, South Korea, Singapore, India, Australia and New Zealand etc.

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Strategic Points Covered in Table of Content of Global Basmati Rice Market:
Chapter 1: Introduction, market driving force product Objective of Study and Research Scope the Basmati Rice market
Chapter 2: Exclusive Summary - the basic information of the Basmati Rice Market.
Chapter 3: Displaying the Market Dynamics- Drivers, Trends and Challenges & Opportunities of the Basmati Rice
Chapter 4: Presenting the Basmati Rice Market Factor Analysis, Porters Five Forces, Supply/Value Chain, PESTEL analysis, Market Entropy, Patent/Trademark Analysis.

Chapter 5: Displaying the by Type, End User and Region/Country 2015-2020
Chapter 6: Evaluating the leading manufacturers of the Basmati Rice market which consists of its Competitive Landscape, Peer Group Analysis, BCG Matrix & Company Profile
Chapter 7: To evaluate the market by segments, by countries and by Manufacturers/Company with revenue share and sales by key countries in these various regions (2021-2027)
Chapter 8 & 9: Displaying the Appendix, Methodology and Data Source

finally, Basmati Rice Market is a valuable source of guidance for individuals and companies.

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West Asian country’s share in exports falls

India’s basmati rice exports to Iran, which has been the largest importer of aromatic long-grain rice from the country for several years, have slowed recently, due to a delay in the settlement of payments to the West Asian country under the US’s sanctions.

Rice exporters said that the delays in settlement have been especially long in recent months as rupee reserve built up from the oil exports to India has depleted and a chunk of payments is being routed through third currency payment system using Dirham via Dubai.

“Its a complex process to get payment for basmati rice exports to Iran,” a leading exporter of rice from Haryana said on the condition of anonymity. He said that its would not be easy to replace Iran, which had share of 22% in the 4.55 million tonne (MT) of basmati rice exports from India.

According to trade data, India’s exports of basmati to Iran in the first two months of the current fiscal have veen flat at 0.15 MT compared to the same month’s previous fiscal. The share of Iran in the total basmati rice exports which was 29% in 2019-20 to 18% in April-May in the current fiscal

Rice shipments to Iran had got a boost when India launched a rupee settlement mechanism from April 2012 with Iran to avoid sanctions from the US and EU. As part of the initiative, state-owned UCO Bank tied up with Iranian lenders — Parsian, Pasargad, Saman and EN Banks — for settlements of dues.

The system of rupee settlement continued till 2019 after India stopped buying crude oil from Iran. Importers in Iran are currently settling payments using traders’ accounts based in Dubai.

Out of the total exports of 4.55 MT of Basmati rice last fiscal, the top five countries had the share of Iran (22%), Saudi Arabia (21%), Iran (8%), United Arab Emirates (7%) and Yemen (6%).

Industry sources said that major exporters of basmati rice are has stopped shipment to Iran due to payment settlement issues.

A senior official confirmed that while there is a barter system of rupee payment for India’s exports of banana and imports of apples from Iran, for basmati rice exports most of the payments are through a third currency payment system.

According to the Directorate General of Commercial Intelligence and Statistics, the value of rice exports in FY23 rose by more than 15% on year to a record $ 11.1 billion from $ 9.6 billion in the previous fiscal.

The volume wise the rice shipment grew by 5% to 22.34 million tonne (MT) last fiscal year.

India has been the world’s largest exporter of rice since 2012 and currently has 45% share in global grain trade. India has a share of around 80% global trade of basmati rice.

Currently, India exports more rice more than the combined shipments of the next three largest exporters – Thailand, Vietnam and Pakistan.

The United States department of agriculture (USDA), in its June 2023 crop outlook, has stated ‘India is expected to remain the most competitively priced global rice exporter in 2024,’. USDA, while estimating the total rice exports from India to cross 24 MT next calendar year, has stated “this would be the largest amount of rice ever shipped by any country in a single year,”

DAVAO CITY – Some 275 tons of rice will be harvested in the hybrid rice cluster demo project for the wet season in Hagonoy town, Davao del Sur, in September this year, the Department of Agriculture in Davao Region (DA-11) said Thursday.

Evelyn Basa, DA-11 rice program coordinator, said with an expected yield of a minimum of seven tons per hectare, the project can contribute to the country's rice production target for 2027.

Basa credited the initiative to the collaboration among DA-11, the Philippine Rice Board, the Davao del Sur provincial government, and the Hagonoy municipality, whose representatives conducted a ceremonial planting at the demo farm in Barangay Sinayawan.

The 35-hectare farm showcases 24 rice varieties and technologies from different seed companies and growers.

“The demo farm will serve as an avenue for farmers to observe and learn various technologies on cultural management practices, mechanical and seeding, and nutrient management such as the 'Abonong Swak' recommendation that can help them improve their production,” Basa said in a statement.

She said the expected harvest on the third week of September forms part of the culmination activity of the 16th National Rice Technology Forum (NRTF) from Sept. 18-22, 2023.

Meanwhile, Basa said the ongoing distribution of hybrid rice seeds to the members of Irrigators Associations (IAs) and Farmers’ Cooperatives and Associations or FCAs aims to increase the adoption of hybrid rice seeds by up to 40 percent.

This is part of the DA's strategy, she said, to reach an average hybrid rice yield level of up to six tons per hectare (ton/ha) in the wet season, and up to eight ton/ha in the dry season in target areas by 2028.

Eligible beneficiaries will be provided fuel subsidies, especially those who own or rent agricultural machinery used for crop production such as tractors, transplanters, harvesters, and shredders. (PNA)

You do not have to replace the staple you have grown up with because alien alternatives may not help you feel full and you may still tend to overeat. But you do have to practise portion control, include proteins and exercise, says Dr V Mohan, Dr Mohan’s Diabetes Specialities Centre, Chennai

There is a perpetual debate about whether the staple grains that have become the dominant part of a community’s eating habit, like rice and wheat, can lead to the development of Type 2 diabetes among people. Typically, the consumption of rice and wheat depends on the soil and climatic conditions of a region. Which is why people in the east, northeast and coastal stretches of the southern parts of the country have been rice-eaters while those in the western parts have been wheat-eaters since birth. So let me state at the very outset that keeping to a diet regimen depends a lot on the food that guarantees satiety and comfort. Rationing their portions may seem easier than switching over to an alien substitute. That’s why in a series of cross-sectional and longitudinal studies that we did, excess consumption of rice and wheat were expectedly linked to the onset of Type 2 diabetes. But when they had them in limited quantities, the test subjects just seemed fine.

Also, our studies showed that those who did enough physical activity could reduce their risk of diabetes despite having rice and wheat. The first evidence linking excessive consumption of rice or wheat to diabetes came through our cross-sectional study called the Chennai Urban-Rural Epidemiological Study or CURES. We found that those who were in the fourth quartile of rice consumption had a four-fold increase in risk of diabetes compared to those in the first quartile. But since there could be confounders in a cross-sectional study, we did a longitudinal study, where approximately 1,35,000 people were followed for 15 years from five continents and 20 countries. Those who didn’t have diabetes at the beginning of the study but consumed higher quantities of rice through 15 years had a higher chance of developing new onset Type 2 diabetes. Since this was a prospective longitudinal follow-up study, the data was much more powerful and reliable. Finally, we did a randomised clinical trial, replacing white rice with brown rice. We found that in those who were overweight and had signs of metabolic syndrome, there was a reduction in glycaemic responses throughout the day when they had brown rice as a substitute. Moreover, when they combined brown rice with some pulses and legumes or plant proteins, their glycaemic swings reduced. Hence, we concluded that if we could take unpolished or brown rice and include plant proteins, our diet could become healthy.

WHY WHOLE GRAIN RICE

The rice grain has three parts. The hard outer layer is the fibre-rich bran, whose pigmentation determines the colour of the rice, the most common being the brown rice. The nutrient-rich core is the germ (the embryo) of the grain, that grows into a new plant. Bran and germ are rich in protein, fibre, iron, vitamin B and omega 3 fatty acids, in addition to carbohydrates. Endosperm, the tissue that surrounds the embryo, provides nutrition in the form of starch. Covering all this is the inedible protective outer shell, the husk or chaff or hull.

A whole grain contains the entire grain: bran, germ and endosperm (the husk has to be removed before rice can be cooked). It’s nutritious, packed with vitamins, minerals, antioxidants, essential amino acids and fibres. It has a low glycemic Index (a measure of how fast the body converts carbs into sugars) and is better for people with Type 2 diabetes.
It also contains compounds (lignans) that lower blood pressure, fat in the blood and the risk of heart disease. Brown rice has consistently been shown to aid weight loss and help maintain a healthy body weight.

JUNK THE POLISHED GRAIN

Whole grain rice is highly nutritious but has a short shelf life. In order to increase the shelf life of rice, new milling technologies have displaced the healthy whole grain by removing both the bran and germ. The result is highly polished, starchy refined rice—or white rice—which is nutrient-depleted since endosperm is primarily carbohydrates with a little bit of protein. While brown rice has a short shelf life of about six months (unrefrigerated), white rice stays on the shelf for up to five years. The white rice is then processed to improve taste and enhance cooking properties. All this, at the expense of nutrients.

Unlike unpolished brown rice, white rice lacks plant compounds called phytochemicals — such as polyphenols, oryzanol, phytosterols, tocotrienols, tocopherols and carotenoids — as well as vitamins and minerals, that confer protection against cell damage, diabetes, heart disease and cancers. White rice is “empty calories,” since it loses its main sources of micronutrients, fibre, iron, and omega 3 and 6 fatty acids. With a higher glycaemic index, the carbs in white rice are turned into blood glucose more rapidly than those in brown rice. This is one reason why white rice has been associated with a higher risk of Type 2 diabetes, obesity, blood pressure and heart disease.

SHOULD WE BE REPLACING RICE OR WHEAT ALTOGETHER? NO

A common mistake most people make is to believe that flattened rice as in poha, puffed rice or that even millets could work for them. But all of these contain about 70 per cent carbohydrates, and their glycaemic load and glycaemic index vary slightly according to the grains used. Besides, if they sit lightly on your stomach, you tend to have larger portions than rice for satiety. This doesn’t work because the caloric load is just the same or may even go up with extra helpings. Many people these days talk about quinoa, which is a pseudo-cereal and only has the advantage of having 16 per cent protein. But it has 62 per cent carbohydrates.

The best way to limit carbohydrate consumption is to add proteins to your meals. Proteins lend satiety and take time to digest, slowing down the entire process of digestion and avoiding blood sugar spikes. Have them in salads and soups, where the protein, in combination with fibre, will further reduce your dependence on carbohydrates to feel full enough. That’s why breakfast foods like idli are good because they use urad dal, which is a protein. However, it is made of rice, so don’t overdo it. Up to two idlis are fine, five are bad news.

Instead of alternatives, I suggest the “follow the plate” principle. This means filling half the plate with non-starchy green leafy vegetables, a quarter of the plate with proteins, preferably plant ones and leaving just a quarter for carbohydrates. Also couple this diet effort with enough physical activity and reduce weight.

• Farmers advised to conserve water, avoid second rice crop
• Prolonged dry spell risks fueling inflation, economic recovery

Thailand is preparing contingency plans to deal with a potential drought that could last years and squeeze global supplies of sugar and rice. 

Rainfall across the nation may be as much as 10% below average this monsoon season, and the onset of the El Niño weather pattern could lower precipitation even further over the next two years, according to government officials. Thailand is facing widespread drought conditions from early 2024, authorities have warned.

The dire outlook has prompted Thai authorities to ask farmers to restrict rice planting to a single crop to conserve water, and sugar producers see output falling for the first time in three years. A drought is certain to fuel inflation in the Southeast Asian nation as the cost of vegetables, fresh food and meat get pricier on reduced harvests and more expensive animal feed.

Prime Minister Prayuth Chan-Ocha has asked state-run power utility Electricity Generating Authority and the Office of Natural Water Resources to help draw up contingency plans to conserve water. So far in 2023, the nation’s rainfall has been 28% below the same period last year, according to official data. 

El Niño can lead to drier conditions in parts of Asia and Africa, and heavy rains in South America, damaging a wide range of crops globally. Previous El Niños have resulted in a marked impact on global inflation and hit gross domestic product in nations from Brazil to India and Australia.

Thailand is seeking to nurture a rebound in economic growth that’s already facing headwinds from a slowdown in China, the nation’s largest trade partner, and a prolonged drought may scupper efforts to keep inflation under check. Thailand has already grappled with record heat this year.

“El Niño will pose a bigger worry on growth than inflation,” said Euben Paracuelles, an analyst at Nomura Holdings Inc. “Thailand is a large food exporter, with only half of total output consumed domestically. So the buffers could help limit the near-term inflation impact, alongside government price controls and subsidies.”

If El Niño turns severe, it could shave off 0.2 percentage point of gross domestic product this year because drought conditions could coincide with seasonal production in the second half, especially for rice, Paracuelles said. The central bank forecasts Thailand to clock GDP growth of 3.6% this year, accelerating from 2.6% in 2022.

Annual Rainfall in Thailand

https://www.bloomberg.com/toaster/v2/charts/181f4ce5e349ba2d63f363442b58c9de.html?brand=markets&webTheme=markets&web=true&hideTitles=true

Source: Thai Meteorological Department, Australia Bureau of Meteorology

Footnote: TMD Data Not Available for 2020-22

Power demand in Thailand hit a record in April when some regions saw all-time high temperatures, forcing companies and households to increase the use of air-conditioning to escape the sweltering heat.

The bigger, global impact from below-average rainfall in Thailand will be the hit to crops such as sugar and rubber, and could even threaten the nation’s position as the world’s second-biggest supplier of rice. Shipments tumbled a third to 7.6 million tons in 2019, the first year of the previous El Niño. 

Sugar cane is a sturdy crop, but the nation’s millers have forecast a decline in output. That will cut the supply to the world market and further fuel a rally in refined sugar prices that are hovering around a decade-high.

The nation produced about 11 million tons of sugar in the 2022-23 season and is estimated to have exported about 80% of its output.

Thailand’s lack of long-term mitigation efforts to deal with floods and droughts will likely aggravate the impact of extreme weather on the nation, according to the World Bank. 

“The frequency of floods and droughts, and the high human and economic cost associated with them, make climate change adaptation and water management important in Thailand,” said Fabrizio Zarcone, the World Bank’s country manager for Thailand. “A more robust framework prioritizing risk mitigation planning, investing in water resources infrastructure, and managing land and water use is needed.”

— With assistance by Kevin Dharmawan

Karnataka Food and Civil Supplies Minister K H Muniyappa on Friday said the government is all set to roll out the 'Anna Bhagya' scheme.

Karnataka Food and Civil Supplies Minister K H Muniyappa on Friday said the government is all set to roll out the 'Anna Bhagya' scheme, by crediting money to the bank account of the beneficiaries in lieu of the additional 5 kg of rice promised to every member of a BPL household, as sufficient quantity of the food grain is unavailable.

Facing difficulty in procuring large quantities of rice required to fulfil its poll guarantee, the state government on Wednesday decided to pay cash into the beneficiaries' accounts at the rate of ₹34 per kilo, for the additional 5 kg of rice under the free rice scheme. The minister also said that of the total additional 5 kg, the government plans to include 2 kg of ragi (finger millet) and jowar (sorghum) -- instead of rice -- under the scheme in the southern and northern parts of Karnataka respectively, as per requirement, as these grains are considered a staple in these two regions.

In the southern part of the state, the government plans to give 2 kg of ragi and remaining will be rice, while in north Karnataka it will be 2 kg of jowar and remaining will be rice, the minister said. There is adequate stock of ragi available, while the stock of jowar is less, so we will supply as much as we can, after that we will provide a full 5 kg of rice, he added.

"We will get information about the beneficiaries and, based on their inputs in the days to come, if there is demand for more quantities of ragi and jowar from southern and northern parts of Karnataka respectively, changes will be made in the quantity," he said, adding that the government will procure required quantities of ragi and jowar directly from the farmers at MSP rates and stock it.

"From tomorrow, the scheme will begin. To pay to the bank accounts (of beneficiaries), we have information that 99 per cent of them have the accounts. Those without an account but have ration cards will have to open a bank account. We have said we will pay ₹34 per kg, and each person will get (cash for) 5 kg," Muniyappa said. Speaking to reporters here, he said the amount will be paid to the bank account of the beneficiaries until there are enough grains to be distributed.

"The process is on for purchase of rice, as we had said we will supply rice or food grains for the poor..." he added. Pointing out that the chief minister had promised to supply foodgrains from July 1, which is a Congress poll guarantee, Muniyappa said, "To keep up the promise, we are giving money for now." "If the Centre had given rice from the stocks available, for cash payment, the state government would have supplied it from tomorrow," he said, adding, "Our month-long efforts in getting rice despite approaching central ministers and officials have failed."

"There are issues (in procuring rice). We have to issue a public tender. It has not been finalised. Also what kind of rice. We will decide on it and start giving rice as soon as possible," he added. Asked as to how long the government will pay the amount to the account of the beneficiaries instead of supplying rice or foodgrains, the minister said, "I cannot give you a date for now, but I assure you that we will give rice as soon as possible. Giving money is a temporary arrangement." On whether cash would be credited to the bank accounts from tomorrow itself, he said, "Money is ready, we have information about accounts. It will begin from tomorrow."

MUMBAI: India has decided to approve wheat and broken rice exports to few selected countries following their requests to allow the shipments of the grains, the government said in two separate notifications issued late onTuesday.

The South Asian country banned exports of wheat and broken rice in 2022 to lower local prices.

But following requests, India would allow broken rice exports to Indonesia, Senegal and Gambia in 2023/24 financial year started on April 1.

New Delhi also approved request from Nepal and allowed wheat exports in the current financial year.

Indian exporters, which were exporting grains to these countries, need to bid for the allocated quota of wheat and broken rice, the government said in notifications.

MUMBAI: India has decided to approve wheat and broken rice exports to few selected countries following their requests to allow the shipments of the grains, the government said in two separate notifications issued late on Tuesday.

The South Asian country banned exports of wheat and broken rice in 2022 to lower local prices.

But following requests, India would allow broken rice exports to Indonesia, Senegal and Gambia in 2023/24 financial year started on April 1.

New Delhi also approved request from Nepal and allowed wheat exports in the current financial year.

Indian exporters, which were exporting grains to these countries, need to bid for the allocated quota of wheat and broken rice, the government said in notifications.

CBOT wheat to test resistance $7.16-3/4

Indonesia has signed an agreement with the Indian government to potentially import 1 million tonnes of rice if the El Nino weather pattern hits domestic supply, media quoted the trade minister as saying on Friday.

Congress workers will be staging protests across the State on Tuesday condemning the decision of the BJP government at the Centre for denying rice to Karnataka.

The Congress government in Karnataka, which is struggling to procure rice for its ambitious Anna Bhagya scheme, on June 19 received a ray of hope after the Aam Admi Party (AAP) government in Punjab agreed in-principle to supply the requisite quantum of rice even as the State government is trying to procure rice from national-level cooperative agencies.

As the politics over rice continues, Congress workers will be staging protests across the State on Tuesday condemning the decision of the BJP government at the Centre for denying rice to Karnataka.

Under the Anna Bhagya scheme, the State plans to enhance free rice given per person in the BPL card from current 5 kg to 10 kg. The total supply of 10 kg is estimated to cost the exchequer ₹840 crore monthly and ₹10,092 crore annually, said a note from the Chief Minister’s Office. The Anna Bhagya scheme is slated for launch on July 1.

Punjab’s offer to supply rice came after the AAP-Karnataka unit took the initiative and intimated the State government that Punjab had enough quantum of rice and was also willing to supply to Karnataka in the federal spirit. AAP-Karnataka convenor Prithivi Reddy said that Karnataka Chief Minister Siddaramaiah and Punjab Chief Minister Bhagwant Mann spoke on Monday morning during which Mr. Mann conveyed that Punjab would be ready to supply rice.

“It is unfortunate that the foodgrains are rotting in godowns, and the Centre is showing step-motherly attitude towards the non-BJP ruled States. AAP has come forward to help because the scheme is aimed at mitigating the problems of the poor,” he told The Hindu.

While the Karnataka government has announced July 1 as the launch date for Anna Bhagya, doubts still remain about its launch after the Food Corporation of India (FCI) refused to provide 2.28 lakh tonnes required to launch the scheme after initially agreeing to supply the same. Since then, the State has been scouting for rice in other States. While Telangana and Andhra Pradesh expressed inability to supply, Chhattisgarh government expressed willingness to supply 1.5 lakh tonnes. Karnataka is looking to purchase rice at ₹34 a kg along with a transport cost of ₹2.6 per kg, which is the cost that it would incur if it had bought rice from FCI.

Cooperative agencies

Meanwhile, reiterating that the Centre was indulging in politics over supply of rice, Mr. Siddaramaiah on Monday told presspersons that efforts are on to get the price list from National Co-operative Consumers Federation, National Agricultural Co-operative Marketing Federation and the central pool to procure rice for the pro-poor scheme. “We will take details of the quantum of rice that these agencies can supply. We will try to procure rice through the tender also.”

He said that the cost and other modalities are being worked out with Punjab for supply of rice, and the Chief Secretary is in touch with Punjab officials.

When his response was sought on whether the State had time to procure rice to ensure the launch on July 1, he said: “The State government is making sincere effort to implement the scheme on July 1. The Centre has the stock, and it has to make up its mind to supply to us. Irrespective of politics over supply, we will implement Anna Bhagya.”

Mr. Siddaramaiah also said that if the State decides to provide 2 kg of either ragi or jowar, the stock in the State will last for six months. “Even then, the State government has to supply 3 kg of rice in addition to 5 kg being supplied now.”

New discovery set to boost disease-resistant rice

Newswise — Rice that is resistant to some of the worst crop-destroying diseases but can still produce large yields could soon become a reality for farmers worldwide.

A University of Adelaide researcher is part of an international team which has identified a new gene variant in a type of rice that can be modified to improve the performance of the crop.

“Rice is the most widely grown crop in the world but serious bacterial and fungal diseases such as rice blast and bacterial blight are a major threat to the industry,” said co-author Associate Professor Jenny Mortimer from the University of Adelaide’s School of Agriculture, Food and Wine.

“By identifying a specific gene called RBL1, we may have cracked the code for developing rice crops that are resistant to these destructive diseases without the yield penalties often associated with disease resistance.”

In an international collaboration led by researchers at Huazhong Agricultural University, China and University of California Davis, USA, researchers identified a rice variety that already had strong resistance to fungal and bacterial diseases but produced poor grain yields. They showed that this plant was mutated in the gene RBL1.

“Using existing genome-editing technology, the team then generated 57 gene variants from this type of rice and tested their immunity against several strains of rice blast and bacterial blight. We found that one variant of RBL1 had broad-spectrum disease resistance but unlike other varieties, it was still able to produce large yields in small-scale field trials,” said Associate Professor Mortimer, who is a researcher at the University’s Waite Research Institute.

The research has been published in the journal Nature and also indicates the RBL1 gene may play a role in the plant’s defence system by interacting with the cells that stop fungal infections from spreading.

In 2021/2022 about 520 million tonnes of rice were consumed worldwide.

“This is an exciting development because rice is a staple food for more than a third of the world’s population and crop disease is a constant threat to this food source,” said Associate Professor Mortimer.

Australians alone are estimated to consume around 300,000 tonnes of rice each year; half comes from imports while the remainder is grown here. The Australian rice industry has the ability to produce up to one million tonnes of rice each year.

While the new gene identified in this research has promising traits, more field trials are needed to test the immunity and yield of the RBL1 gene in other rice varieties.

Initial work also indicates that this gene is important in disease resistance in other staple crops, and future research will explore this.

“Rice crops with higher yields are needed to meet growing global demand and the results from this study could help shore up food supply in the future,” said Associate Professor Mortimer.

Journal Link: Nature 14 June 2023REQUEST AN EXPERT

June 8 (Reuters) - Prices of rice exported from top hub India jumped to their highest since early March this week, driven by tight supplies and a move to raise the government-mandated price for paddy, while rates for the staple from Thailand eased on lower demand.

India's 5% broken parboiled variety was quoted at $388-$395 per tonne, up from last week's $375-$380.

India on Wednesday raised the price at which it will buy new-season common rice paddy from farmers by 7% to 2,183 rupees per 100 kg.

"Paddy prices have gone up in the local market in the last one month anticipating a hike in support prices. It is ultimately pushing up rice export prices," said Himanshu Agarwal, executive director at Satyam Balajee, an exporter.

Neighbouring Bangladesh imported 634,000 tonnes of rice to ensure food security in the first 11 months of the current financial year ending in June, data from its food ministry showed.

Bangladesh, which often requires imports to cope with shortages caused by natural calamities, doesn't need to import rice in the coming fiscal year given good domestic yield, Food Minister Sadhan Chandra Majumder had said.

Thailand's 5% broken rice prices were quoted at $490-$495 per tonne, slightly down from last week's $495.

Demand was still flat and additional supply was expected next month during the harvest, a Bangkok-based trader said.

Another trader said demand from African countries has been quiet because Thai prices were higher compared to India, while prices were supported by concerns of droughts and exports to Indonesia.

Vietnam's 5% broken rice rates were unchanged at $490-$495 per tonne.

Traders said they are speeding up rice purchases from farmers to fulfil export contracts for the year.

State media cited the Vietnam Food Association as saying that high prices have encouraged farmers to invest more in the summer-autumn crop.

The state government has expanded the supply of fortified rice, aimed at addressing malnutrition, to 31 districts of Karnataka without conducting any biomarker tests or studying the pros and cons.

In April 2022, the government, under its ‘Poushtika Karnataka’ (Nutrition Karnataka) programme, decided to provide fortified rice on a pilot basis. It involves grinding broken rice into powder and fortifying it with micronutrients such as iron, folic acid and vitamin B12, and then shaping it into rice-like kernels for beneficiaries in 14 districts. Based on the findings, the programme was to be implemented across the state. From April 2023, over 4.44 crore people are receiving fortified rice under the centrally-sponsored programme.

However, multiple sources in Food & Civil Supplies and Women & Child Development departments confirmed to DH that they have not conducted any study to ascertain if fortified rice has addressed the intended purpose of minimising anaemia, malnutrition and others.

Scientists are divided over supplying iron-fortified rice under various schemes of the public distribution system including Antyodaya, priority household cards, Anganwadi, and mid-day meals.

While a section of experts fears that an irrational supply of iron- a 'non-friendly chemical'-could cause more harm, others argue that India is supplementing fortified rice as per the advice of the World

Health Organisation and within the permissible limits.

Dr Anura Kurpad, member of NITI Aayog's National Technical Board on Nutrition and Professor at St John's Medical College, Bengaluru, says in principle, supplying fortified rice to a poor population is a great idea.

"But doing this in an imprecise way by supplying all through a mandatory system is not so great. This

could provide excess iron supplement to a large proportion of beneficiaries, particularly men whose

requirements are lower and whose diets do not need additional iron content, and this is is a worrying

factor," he says.

He says several studies have shown that providing an excess of iron content, especially to men, can have a cascading effect (as they cannot easily excrete iron from body). His study of data from a national survey of children has also found that adolescent children with higher iron stores, as measured by serum ferritin levels, run a risk of higher blood sugar levels, which in the long run has been shown to increase the risk of diabetes, dyslipidemias, and high blood pressure. Giving an iron supplement through fortification to children will increase body iron stores over time, and there is need for caution and precision in giving iron only to those who need it. A mandatory blanket provision will not do this.

"Without screening or surveying patients, the government through PDS is providing fortified rice to two- thirds of its population. The amount of iron that will be delivered to a beneficiary will be 10 mg per day, from each iron-fortified food. Apart from this, it is also providing iron and folic acid tablets to women (60 mg per week) and children. Given that men and women need only 10-15 mg of iron per day, one serving of iron-fortified rice will supply the entire daily iron requirement for men, and most for women. Eating two fortified foods simultaneously-like fortified salt along with rice-will double the amount

ingested iron to 20 mg per day. To this, we must add the iron from iron tablets supplied to women and children, plus the natural iron in the usual foods that are eaten, like green leafy vegetables and millet. There is no defined time limit to the fortification programme, nor any plan to test when this should be rolled back. The prolonged consumption of fortified rice can result in high iron stores along with oxidative stress resulting in harm to the body. Without monitoring the consequences, we could be putting a large proportion of the population in harm's way," he warns

Unlike other medications that are clinically provided under supervision (including consumption of iron

tablets) where the dosage is for a specific period, the government has not mentioned a plan or

indicators for tapering of fortified rice consumption, he adds The government, as recommended by the Food Safety and Standards Authority of India (FSSAI), has

been mixing one kg of fortified rice in one quintal of normal rice.

Countering Dr Kurpad's argument, Dr Prashanth Thankachan, an expert in micronutrients at St John's Research Institute, says the iron from fortified rice being provided in PDS is one-third (4.5 mg) of the total daily requirement. "In a country with a lack of diversity in food consumption, supplying iron fortified rice is a low-cost, safe and effective means of addressing malnutrition," he says. At least 14 countries including the United States of America, Canada and Bangladesh are supplying fortified rice since 2000, None of these countries have reported any adverse impact, he says.

"A person with no iron deficiency will not absorb additional iron into the body even if present in the food and, therefore, the risk of adverse events is nonexistent. The classic example is of salt fortified with adine to tackle iodine deficiency in the country, fodine deficiency has come down drastically in India, he says

A couple of days ago, the World Health Organisation in its Switzerland assembly passed a resolution

aking nations to increase supply of fortified food grains at the earliest to improve micronutrient levels among children and women,

Gyanendra Kumar Gangwar, Additional Director (Vigilance & Public Distribution) of the Food and Civil

Supplies Department, says they are awaiting a study from Path Foundation regarding the benefits of

fortified rice.

Path Foundation is funded by the Bill Gates and Melinda Foundation that is promoting the use of fortified rice in India.

"As of now, the state government does not have any report on the pros and cons of fortified rice. The centrally-sponsored scheme is being implemented based on several scientific studies conducted across the world. It has proved efficient in improving haemoglobin and nutrition levels in children and pregnant women," he says.

Path Foundation office-bearer Satyabrat informed DH that they have not conducted biomarker tests but meta-analyses on beneficiaries.

Experts say there is no proof to suggest that the consumption of fortified rice improves malnutrition as

the iron content in 'chemically laced rice is low.

Kalaburagi Women and Child Welfare Department Deputy Director Naveen Kumar U says the department is not completely dependent on fortified rice. "We are trying to mitigate malnutrition and anaemia at multiple levels, including providing eggs, bananas and others. So, it is difficult to say if the

changes witnessed in the district are due to fortified rice," he says.

Kalaburagi was among the 14 districts selected on a pilot basis and received 1.33 lakh metric tonnes of

fortified rice. It ranks among districts with high levels of malnutrition. Dr Anura Kurpad said instead of supplying iron-fortified rice, the government should encourage the

consumption of fruits and provide nutritious supplements based on screening.

MANILA, Philippines — The government should prioritize the competitiveness of local palay farmers amid the flooding of imported grains, according to a farmers’ group, as it pointed out that achieving rice self-sufficiency would be short-lived if it lacks profitability for producers.

In a radio interview yesterday, Federation of Free Farmers (FFF) national manager Raul Montemayor said that while President Marcos’ target of achieving 97.5-percent rice self-sufficiency in five years is “technically” achievable, local farmers would still compete with the unabated influx of imported rice under the rice tariffication law (RTL).

“Under the rice tariffication law, the government cannot prevent the importation of rice. It did not impose a ceiling on the importation. The law only stated that all agencies of the government are barred from preventing the arrival of imported rice,” Montemayor added.

Marcos has approved the Masagana Rice Industry Development Program, which seeks to achieve the highest possible rice self-sufficiency level by implementing various strategies.

The Masagana Rice Industry Development Program is similar to Masagana 99, a program implemented in 1973, during the late former president Ferdinand Marcos Sr.’s administration, that sought to address rice shortage and boost production.

“Technically, (we can achieve rice sufficiency in 2027) as our shortfall for one year is only about 10 to 15 percent, and it is easy to achieve if we can increase the rice plantations and increase the palay yield per hectare,” Montemayor said.

He noted that during the implementation of Masagana 99, many farmers suffered huge debts.

“Normally, if you want to increase the yields, you will invest on fertilizer, inputs, you will borrow. Based on the experience of farmers during the Masagana 99 period, their yield increased, but they were left with huge debts,” Montemayor said.

For the FFF leader, the government should make sure farmers can compete with the retail price of imported grains.

“We can be self-sufficient, but the market is still open to cheap rice imports. Local farmers, with the low cost of imported grains, will be forced to bring down their farm gate price just to compete with imported rice,” he said.

He added that the Philippines has a commitment under the World Trade Organization to allow an open market for rice trading without the intervention of government.

“The government should first fix the cost of production of our farmers, their competitiveness, before targeting self-sufficiency. Otherwise, it will be short-lived, the self-sufficiency will not last as farmers will suffer losses,” he said.

Because of the RTL, the country imports 20 to 25 percent more of the rice needs as against the 10 to 15 percent of actual needs.

“This is the reason why the farm gate price of palay is down during the harvest season,” Montemayor said.

Based on data from the Bureau of Plant Industry as of May 25, at least 1.6 million metric tons of imported rice had arrived, where the bulk or 1.4 million MT came from Vietnam, from January to May this year.

Montemayor expressed belief that the government’s target to bring down the farm gate price of rice to P8.13 per kilo will actually dissuade farmers from planting.

“If you will offer P8 per kilo, it will not entice farmers as the cost of production is actually at P12, P13 (per kilo),” he said.

“The approach of Masagana 99 was good as it had fertilizer, technical advice, credit, lands under the CARP (Comprehensive Agrarian Reform Program). It was discontinued during the administration of (the late former president Corazon) Cory (Aquino) as the implementation of the program was no longer comprehensive,” he added.

Montemayor emphasized that the government should learn from the mistakes from the past.

“A good slogan is not enough if no concrete program is offered. President Marcos should task officials to consult with farmers. Officials may succeed in impressing the President through the slogan, but if there is no detailed evaluation, the past mistakes will just be repeated,” he said.

Masagana 99 was able to address the rice shortage, but was dogged by credit program issues, according to experts.

MUMBAI/HANOI /BANGKOK/DHAKA: Prices of rice exported from top hub India edged higher this week from a near six-month trough as weaker rates attracted buyers from other Asian countries, while comparatively higher rates in Vietnam posed risks to demand in the near term.

India’s 5% broken parboiled variety was quoted at $375-$380 per tonne, up from the last week’s $374-$378.

“Buying from Asian countries has improved a bit because of lower prices, although the majority of buyers are still on the sidelines,” said an exporter based at Kakinada in the southern state of Andhra Pradesh.

Neighbouring Bangladesh, which often requires imports to cope with shortages caused by natural calamities such as floods, doesn’t need to import rice this year, its food minister said.

“There is a good harvest in the country, so there is no need to import rice,” Food Minister Sadhan Chandra Majumder told reporters. Vietnam’s 5% broken rice was offered at $490-$495 per tonne, unchanged from a week ago, which was the highest level since late April.

“Trading activity is quiet as some buyers are slowing their purchases due to high prices,” a trader based in Ho Chi Minh City said. Vietnam’s rice exports in the first five months of this year are estimated to have risen about 40.8% from a year earlier to 3.9 million tonnes, government data showed on Monday.

Lucknow. Chief secretary DS Mishra held a meeting with country director of the World Food Programme, Elisabeth Faure on Thursday. The two reportedly held discussions on three major issues, which included fortified rice, grain dispensing Annapurti and take home ration (THR) units.

Mishra informed Faure that the state had managed to scale up rice fortification and a community awareness drive on the importance and availability of the rice was being carried out. The information being given out through these drives includes details of the nutritional value and quality of fortified rice.

Meanwhile, Faure said three Annapurti solution facilities have been set up and WFP would be supporting installation of five more as per the request of the food and civil supplies department. It was discussed during the meeting that UP would increase the Annapurti centres, which work like food dispensing ATMs, to 100 locations across the state.

She further informed the chief secretary that during her field visits, she had learnt about new blended fortified THR being well accepted by the community and was also providing employment opportunities to women. There are 134 operational THR units covering 320 blocks of the state and the plan is to bring the entire state within their reach Faure said WFP would soon be piloting a solar power installation in one of the THR units.

This variant’s productivity is higher than other conventional varieties. Moreover, it ripens early and resists wind due to stronger stems, and skirts drought.

NEW DELHI:  A new paddy variety that developed from two Philippines varieties will transform the crop production in Uttar Pradesh, Bihar and Odisha. The rice productivity in these states has reached stagnated. Indian agricultural scientists at Benaras Hindu University (BHU), in collaboration with the International Rice Research Institute (IRRI) Philippines, developed a new rice variety Malviya Manila Sinchit Dhan-1. 

This variant’s productivity is higher than other conventional varieties. Moreover, it ripens early and resists wind due to stronger stems, and skirts drought. “According to Indian Council of Agriculture Research assessments this variety’s productivity is around 55-64 quintal per hectare, which is twice the average productivity in India,” says Dr Sarvan Kumar Singh, lead scientist at the BHU who developed the variety, told this newspaper.

India’s average production of rice is around 29 quintals per hectare. The other scientists associated with the effort are Dr Jaya Sudha, Dr Dhirendra Kumar Singh, Dr Akansha Singh from BHU, and Dr Arvind Kumar and Vikas Kumar from IRRI. Scientists used two IR-series rice varieties, indigenous to the Philippines, to develop Malviya Manila Sinchit Dhan-1 (MMSD). One of the varieties of the IR-series was IR-8, which was considered ‘miracle rice’ in the 1970s and helped increase global food production to counter hunger.

“The MMSD variety will revolutionise the Indian rice field, at least in eastern Indian states like Bihar, UP and Odisha,” says Dr Sarvan. According to ICAR assessment, MMSD has an encouraging response in Bihar, UP and Odisha. The production of grains was higher than 10% in these states compared to other states. This variety takes 115 days to ripen, and grain quality is better than the existing variety, which would help fetch higher prices to growers.

“During the de-husking, hulling, and milling process, the head rice (whole rice) recovery percentage is 63.5%, whereas conventional rice gets broken more and reduces the market value,” says Sarvan Kumar. 

Better ripening, more yield

A team of scientists from BHU and IRRI develops an early ripening variety of rice from the Philippines’ variety

Two Philippines’ varieties of IR-series used to develop Malviya Manila Sinchit Dhan-1

The new variety takes 115-118 days, produces 55-64 quintal per hectare, whereas existing varieties takes 135-160 days with less production.

Metro Manila (CNN Philippines, May 25) — The Department of Agriculture (DA) on Thursday said it is confident that rice supply in the country will be enough even during the lean months of July to September.

“If we are going into the lean months and we have a good buffer of about 60 days plus the production during that period and then import arrivals so I think we are confident that we will have a good supply for the lean months,” DA Undersecretary Leocadio Sebastian told CNN Philippines’ The Source.

Earlier, agricultural groups warned of a looming rice crisis due to the El Niño phenomenon this year, which is projected to emerge beginning June.

Sebastian said the DA has so far recorded 1.48 million metric tons (MT) of imported rice and a carryover stock from last year of around 1.8 million MT. The agency also expects 5.7 million MT in total local harvest from January to June.

“Malaki 'yung ating projected na (We have a big projected) supply for the first six months, and we are expecting we will have at least remaining stock by end of June that will be good for about two months,” he pointed out.

President Ferdinand Marcos Jr., who is also agriculture secretary, said in April that he sees no rice crisis in the country, but the option to import should always remain open.

One of the chief executive’s campaign promises was to bring down the per kilo price of rice to ₱20. Marcos said in March that the government hopes to achieve this “as soon as possible” despite hurdles, like the weather. 

Past and present government officials have said it may be difficult to achieve this immediately due to funding issues and situation in the market.

According to Sebastian, lowering the price of rice is possible, but it should be market driven.

“We are not going to dictate it, but what we can do is we can help our farmers reduce their costs, improve the value chain… para makita natin (so we can see) if our cost of production and the cost of the value chain will be lower baka pwede nating mapababa yung presyo, but ₱20 maybe mahirapan tayo doon (maybe we can lower the price, but ₱20 may be difficult),” he explained.

Latest government data showed the price of local commercial rice in Metro Manila markets ranges from ₱34 per kilo to ₱60 per kilo depending on the variant of local rice, and ₱40 to ₱58 for imported rice.

NEW DELHI, May 24 (Reuters) - India could consider supplying broken rice to other countries only through diplomatic channels, the Directorate General of Foreign Trade, an arm of the trade ministry, said in an order on Wednesday.

India banned overseas shipments of broken rice and imposed a 20% duty on exports of various other grades in September 2022 amid concern over production because of below-average monsoon rainfall in key growing states.

China was the biggest buyer of India's broken rice, with purchases of 1.1 million tonnes in 2021. Beijing used to import that variety mainly for feed purposes.

Though India might consider requests for supplies of broken rice to some countries case by case, New Delhi does not plan to lift the ban on broken rice exports, a government source said.

A 90% likelihood of an El Nino weather pattern developing during this year's June-September monsoon season has raised the possibility of less than normal rain in 2023.

By Adedapo Adesanya

The federal government says the recently commissioned large-scale Integrated Rice Mill will expand domestic rice production as well as achieve self-sufficiency in the country.

The event, which took place at Sheda, Kwali Area Council, Abuja recently, was in line with the federal government’s mandate to achieve food sufficiency, security and income generation.

President Muhammadu Buhari, who was represented by the Minister of Agriculture and Rural Development, Mr Mohammad Mahmood Abubakar, revealed that for the past eight years, the government has intensively promoted and supported agricultural development in the country through the Anchor Borrower’s Programme, the Grain Aggregation Centers amongst others.

He noted that these programmes demonstrate the federal government’s commitment to addressing critical infrastructural projects and in keeping with the ideals of the Change Agenda, which is geared towards economic diversification from oil and gas to agricultural sectors.

President Buhari pointed out that “we have witnessed the rapid increase in domestic rice production from the incentives given to farmers and processors over the period as a resolution of leveraging our potentials, producing what we consume and patronising locally made products”.

Speaking further, he emphasized that the country’s paddy yield per hectare has significantly increased to the extent of being adequate for raw material production.

He, therefore, encouraged Nigerian farmers to invest in any aspect of agricultural value chains by using the available incentives, and undertake agribusiness to aid food production in the country.

In his remarks, the Minister of State for Agriculture and Rural Development, Mr Mustapha Baba Shehuri, emphasized that the plant mill commissioned was one of the 10 Integrated Rice Mills that President Buhari approved under the Public Private Partnership (PPP) model based on the “build, operate and own”.

The Minister commended Messr. Ocean Glory (Development partner) for their full support to ensure the successful delivery of the mill, adding that the successful execution had acted as a catalyst for the speedy delivery of the remaining mills located in Adamawa, Bayelsa, Ekiti, Gombe, Jigawa, Kaduna, Kano, Niger and Ogun States.

He expressed optimism that the remaining nine Rice Mills would be commissioned soon.

In his goodwill message, the representative of the FCT Minister, the Secretary for Agric and Rural Development, Mr Abubakar Ibrahim, pointed out that the occasion marked a momentous step towards achieving the goal of self-sufficiency in rice production and transforming the Agricultural land scale for a great nation.

PBHF creates awareness to enhance the output of basmati rice in Pakistan with quality seeds and pesticides

Pakistan Basmati Heritage Foundation (PBHF), a consortium of Basmati rice exporters, arranged seminars to create awareness amongst the growers and other stakeholders of the rice value chain for improving productivity and food safety through the usage of certified seeds and judicious application of pesticides.

The seminars held at Narowal and Mandi Bahauddin were attended by the farmers, exporters, and representatives of Ebro Foods (an international grain company) and Eurofins providing testing, certification and other facilities to exporters.
Juan Parious Soto Commercial Director of Ebro Foods speaking on this occasion said that better crop productivity for higher volumes through certified seeds & monitoring of pesticides residue was very important since Import Tolerances (IT) were being revised periodically by the European Union (EU), USA & Gulf countries.
He said that our products are going to the high-end market and we have to keep the pesticide residue below the IT standards.

Antonio Hernandez Chairman of Ebro Foods (Ebro, Herba & Tilda) told the audience that being the world’s largest importer of basmati rice he was ambitious to double the Basmati rice import. Tariq Mahmood Focal Person of Ebro Foods &CEO of GRS added that Compliant Exportable Basmati rice means purity, quality, traceability & food safety.
Dr Alexander Zahm MD Eurofins Germany along with Dr Werner Nadder Former MD Eurofins shared the comparison of export dynamics of Basmati rice between India & Pakistan including rapid alerts generated for pesticides & aflatoxin.
Sh. Adnan Aslam Co-convener of PBHF and Executive Director of MAP Rice welcomed the foreign guests for visiting Pakistan & shared a snapshot of the rice sector, particularly basmati rice. He apprised the participants regarding the potential of exports by boosting rice productivity while keep ensuring food safety.
Imran Sheikh & Raja Arslan Khan National Coordinators of PBHF moderated both seminars & explained the context of the visit of international buyers. He underlined the usage of certified seed & responsible use of pesticides to meet import tolerance standards.
REAP Senior Vice Chairman Haseeb Khan and MC member Ali Narang shared their insights for increasing the share of basmati rice exports in the global market through new seeds and pesticide stewardship.
Samee Ullah Naeem Former Chairman Rice Exporters Association of Pakistan threw light on the importance of agriculture and advised the policymakers to devise farmer-centric policies for transforming the agriculture sector. He said that we need to focus on producing more food including rice per unit of land. Address the water & agrochemicals in the challenging scenario of the scarcity of above with added climate change & multiple risk factors, he emphasized.
Dr. Anjum Ali Buttar DG Agri. Ext. briefed about the insights & outcomes of the PM Emergency Rice Productivity project for promoting mechanization, & certified seeds.
Dr Ihsan ul Haq, Dr Amir Mumtaz & Dr Farrrukh Mehboob Program Leaders of IPM, Post-Harvest & Ecotoxicology respectively from the Pakistan Agriculture Research Council (PARC) sensitized the participants on the safe & responsible use of agrochemicals in rice production for ensuring food safety & quality.
Shahid Tarer Convener (PBHF) & MD Galaxy Rice explained about the vision of PBHF in bringing together all supply chain actors for better integration of forward & backward basmati rice value chain through solution-oriented strategies to address underlying challenges of the rice sector. He briefed the participants about the role of PBHF in establishing the National Chapter of SRP in Pakistan.
Javed Iqbal & Dr. Irfanullah Warraich Divisional Directors Agri. Ext Gujranwala & Gujrat addressed farmers on good agriculture practices for obtaining better yields & income. He appreciated the PBHF for implanting SRP standards & digitization of traceability from farm to fork.
Rana Faqir Ahmed DG of Pest Warning & Quality Control sensitizes farmers on the importance of the right application timing based on pest ETL (Economic threshold level) & PHI (Pre-harvest interval) to keep rice grains free from pesticide residues. Dr. Hiz Jamali from Asian Development Bank & Dr. Kashif Salik from Sustainable Development Policy Institute (SDPI) also participated.

Prices of rice exported from top hub India fell for a third straight week on sluggish demand, while Vietnamese rates eased off two-year highs in quiet trading after a long holiday.

India’s 5% broken parboiled variety was quoted at $376-$380 per tonne on Thursday, compared with $378-$382 last week.

“Buyers are postponing purchases as prices are coming down. They want to see how much prices could fall further,” said an exporter based at Kakinada in the state of Andhra Pradesh.

Vietnam’s 5% broken rice was offered at $485-$495 per tonne, down from $495-$500 a week ago - a level last seen in April 2021.

“Trading activity has not picked up following a long holiday that ended on Wednesday,” a Ho Chi Minh City-based trader said. Vietnam’s April exports nearly doubled year-on-year to 1.1 million tonnes, according to the government’s General Statistics Office, with shipments in the first four months of 2023 rising 43.6% from a year earlier, valued at $1.56 billion.

Bangladesh’s rice output from the summer crop was likely to exceed the target and hit 22 million tonnes, as farmers raised acreage to cash in on higher prices, agriculture ministry officials said.

Retail prices of coarse rice ranged from 65 to 70 taka ($0.6107-$0.6576) per kilogram this week.

The summer-sown crop, or ‘Boro’, usually makes up more than half of Bangladesh’s typical annual output of around 35 million tonnes.

Thailand’s 5% broken rice prices slipped to about $485 per tonne.

Prices had jumped to a more then two-month high of $490-$495 per tonne last week, driven by demand from Indonesia and due to depleting local supplies with the harvest season coming to an end.

Exporters were still fulfilling shipments to Indonesia after an increase in orders since last week.

“Prices should remain at this level for a while as supply slows near the end of harvesting period,” said a Bangkok-based rice trader.

Rice millers are not entitled to directly contact the farmers for the paddy procurement process, says Civil Supplies Minister

Civil Supplies and Consumer Affairs Minister Karumuri Venkata Nageswara Rao on Wednesday said that at least 30 mobile mini rice mills would be deployed to determine the percentage of broken rice in the presence of the farmers in the Godavari region from May 4.

Mr. Venkata Nageswara Rao reviewed the paddy procurement, and challenges of the farmers and rice millers during a meeting held here in West Godavari district on Wednesday. Officials and rice millers from across the Godavari region were present. 

“The 30 mobile mini rice mills will process the paddy on the field and determine the broken rice percentage before the paddy is procured by the State government. It will clear the doubts of the farmers and the rice millers on the percentage of broken rice in the Godavari region,” Mr. Venkata Nageswara Rao told the gathering.

The Minister added that the farmers are yet to understand that they should not visit the rice mills during the paddy procurement exercise, with the farmer’s role ending with handing over of the yield to the Rythu Bharosa Kendra.

“In West Godavari district, we have seized two rice mills after the rice millers invited the farmers to visit the rice mills to discuss the broken rice percentage. The rice millers are not entitled to directly contact the farmers for the paddy procurement process,” said Mr. Venkata Nageswara Rao.

Gunny bags

The West Godavari Rice Millers Association has pledged to supply 20 lakh gunny bags to be supplied across the Godavari region from May 4. 

On the pending payment of ₹33 crore in the Godavari region, the Minister stated that the payment was unsuccessful due to a mismatch of banking details of the farmers.

Civil Supplies Corporation Vice-Chairman and Managing Director Veera Pandyan, Joint Collectors of East Godavari, West Godavari, Eluru, Kakinada, and Dr. B.R. Ambedkar Konaseema districts and rice millers were present.

Arkansas Rice Farmer Discusses Needs for Farm Bill Safety Net Improvements before Senate Ag Panel

WASHINGTON, D.C. — Rich Hillman, an Arkansas rice farmer and member of the USA Rice Farmers Board of Directors, testified before the Senate Agriculture Commodities, Credit, and Trade Subcommittee during a hearing Tuesday on Farm Bill commodity programs.

The hearing, which was split into two panels, featured leaders from two general farm organizations as well as 10 commodity organizations. One theme became evident from the hearing – U.S. farmers need an improved safety net.

Hillman focused his testimony on the need to increase and index the Price Loss Coverage (PLC) program rice reference prices to ensure rice farmers have a reliable safety net – USA Rice’s number one priority for the 2023 Farm Bill.

He reviewed the rice financial situation over the past several years and the extraordinarily dire situation rice farmers faced in 2022.

“Rice was not as fortunate as many other commodities that saw large run ups in market prices in 2020 and 2021 all while contending with an unprecedented increase in costs of production,” said Hillman. “A Texas A&M University study in 2022 predicted two-thirds of rice farms would have negative net cash farm income for the 2022 crop year. USDA also reports a more than 30 percent increase in operating costs for 2022. On our farm that was even higher.

“Thank you all, and particularly Senator Boozman, for providing vital assistance to rice farmers for the 2022 crop year in the 2023 Omnibus Appropriations bill. It was truly critical for rice farmers.”

Hillman then spoke to the inadequacies of the current rice reference prices.

“Current cost of production is nowhere near 2012 levels – when the current PLC reference price was calculated, and established in the 2014 Farm Bill, rendering the program unworkable for rice presently,” Hillman told the Subcommittee members. “The importance of economies of scale has only become more evident. To keep pace with capital and other costs, we must farm more land and take on more risk.”

He expanded on why a strong farm safety net is important for rice farmers.

“As a high-cost input crop subject to severe global market distortions due to predatory trade practices of foreign countries, U.S. rice farmers are more vulnerable to the impacts of inflation and global events that have caused cost increases to fuel, fertilizer, labor, as well as the highest interest rates many farmers today have ever experienced.”

Hillman also noted that rice is one of the most government-manipulated commodities in the world, and the egregious actions of countries like India that put U.S. rice farmers at a disadvantage.

“The PLC program has traditionally been our true safety net. It’s allowed us to better compete on a lopsided global playing field impacted by foreign subsidies, tariffs, and non-tariff trade barriers. India subsidizes its rice producers by upwards of 90% and injected billions to offset escalating input costs.”

Hillman’s underlying message to the Subcommittee was simple: “USA Rice strongly believes reference prices under PLC need to be meaningfully increased and indexed to provide a safety net that remains relevant over the long haul to ensure the long-term viability of the U.S. rice industry.”

In response to a question from the Subcommittee’s ranking member, Senator Cindy Hyde-Smith (R-MS), on the need to increase the rice PLC reference prices Hillman explained that costs to produce a crop of rice are “out of control” and that U.S. rice farmers can compete against any other farmer around the world, but U.S. rice farmers cannot compete against foreign governments that step in and over-subsidize their rice producers-one of the leading factors to why U.S. rice farmers need a functioning farm safety net.

The group says the propagation of Golden Rice and Bt eggplant must be stopped to protect rice diversity against the threat of gene contamination

DAVAO CITY, Philippines – The Magsasaka at Siyentipiko para sa Pag-unlad ng Agrikultura (MASIPAG), a network of farmer-scientists, has called on local governments to take the lead in preventing the commercial release of genetically modified crops Golden Rice and Bacillus thuringiensis eggplant, citing potential dangers. 

The call came even as the Supreme Court en banc issued a Writ of Kalikasan against the release of the genetically modified crops on April 18. 

MASIPAG-Mindanao coordinator Leo Fuentes said, “The government should promote safe, healthy, and sustainable food production by supporting genuine pro-farmer agriculture and a pro-people food system.” 

Fuentes warned of the irreversible damage the genetically modified crops bring to the environment, rice and eggplant biodiversity, and human health. 

Instead, the group has been promoting the consumption of thousands of traditional varieties of crops developed and cultivated by small-scale farmers and indigenous peoples. 

In the writ, the High Tribunal required the secretaries of the Department of Agriculture (DA), Department of Environment and Natural Resources (DENR), Department of Health (DOH), and heads of the Bureau of Plant Industry under the Department of Agriculture (DA), the Philippine Rice Research Institute, and the University of the Philippines–Los Baños to file a verified return within 10 days from service. 

MASIPAG national coordinator Alfie Pulumbarit hailed the SC decision. “We welcome this move by the Supreme Court in issuing the Writ of Kalikasan on Golden Rice and Bt eggplant and its recognition that these genetically modified crops pose a grave danger to our environment and health,” he said. 

The group had sought a temporary environmental protection order (TEPO) against the DA to stop the commercial cultivation of Golden Rice and Bt eggplant until proof of safety, and compliance with legal requirements is shown.

Pulumbarit said. “It is urgent that the propagation of Golden Rice and Bt eggplant be stopped as our local rice diversity and associated biodiversity are at stake with the threat of gene contamination from these genetically modified crops.”

MASIPAG had also sought the declaration of all biosafety permits for Golden Rice and Bt eggplant to be declared null and void and prodded the DA to conduct independent risk and impact assessments on the products, and obtain prior and informed consent from farmers and indigenous peoples.

In its October 12, 2022 petition, MASIPAG asserted that Golden Rice and Bt eggplant were genetically modified organisms that pose risks to the environment and the health of consumers. 

The group alleged that Golden Rice was modified by inserting a gene from maize and a gene from bacteria extracted from soil. 

Golden Rice was developed by Ingo Potrykus in Zurich and Peter Beyer in Germany from 1991 to 2000. It was bought and patented by the transnational agrochemical corporation Syngenta. The Bill and Melinda Gates Foundation supported its food testing for US$10 million.

The rice has been promoted by the DA and IRRI as a new type of rice that contains beta carotene, a source of vitamin A that could help address malnutrition.

MASIPAG has also claimed that Bt eggplant was harmful since the genetically modified crop produces its own toxin to kill insects that usually consume and damage regular eggplants. – Rappler.com

After a long tortuous wait, Lagos State government has assured residents that the commercial sale of Eko Rice will commence by the end of this month.

The Special Adviser to the Governor on Agriculture and Rice Mill Initiative, Dr. Oluwarotimi Fashola, who disclosed this during an agreement signing with the Lagos Commodities and Future Exchange (LCFE) and key capital market operators, said the rice was used by Governor Babajide Sanwo-Olu for palliatives, adding that the development is meant to lay a foundation that subsequent administrations can work on and leverage.

While noting that the agreement is meant to provide sustainable finance to the ecosystem through the generation of tradable financial instruments, Fashola said the partnership was a historic development that would ensure liquidity to support the continuous supply of paddy for the rice mill in Imota and availability of finished rice in the market.  

“The Eko rice is already in the system and the good thing is that this partnership will create direct access to it for everyone and also ensure sustainability. The rice was used by Mr. Governor for palliative and by the end of this month; the commercial sale of Eko rice will hit the market.

“What we are doing is laying a foundation that subsequent administrations can work on and leverage. So, this partnership is a win-win for everybody,” Fashola said.

“Our par-capital consumption of rice is the highest in Nigeria and it is one of the highest in Africa. It is about 40 kilogramme per person per year and that is almost 50kg of rice per year and if that is multiplied by our population of over 22 million, the demand for rice in Lagos will be better situated,” he said.

Describing the rice as the best in Nigeria today, Fashola said the Lagos rice mill in Imota has come to challenge the status quo with regard to the quality of rice, adding that there was a need to ensure the ceaseless flow of raw materials to make it function optimally.  
 
“If we do not have rice paddy, which is our major raw material, then the entire equipment and infrastructure we have in Imota will be useless. This partnership, therefore, is about how to sustain the continuous flow of paddy into Imota.

“Imota mill will be requiring over 200,000 tonnes of paddy, yearly. It is not cheap. In Nigeria as of today, that is going into almost N100b, and N100b of taxpayers’ money being taken from the government will not be the easiest to do in any financial year, but with the partnership with Commodities Exchange, we can maintain the flow of paddy to the mill, as it continues to run, we have a comparative advantage of having a good price and at the same time, the finished rice becomes available in the market,” he said.

The Special Adviser, who lauded Governor Sanwo-Olu for the vision, strong support, and leadership that has brought about the consummation of the partnership and other stakeholders, said the state has become the first sub-national that will have such an engagement with commodities exchange.

“A lot has been said about the consumption of rice in Lagos and I am sure everyone would have had to eat rice in the course of this week.”

Earlier, the Managing Director of LCFE, Mr. Akinsola Akeredolu-Ale, said its duly licensed capital market professionals are already working on various financial instruments to deepen the Rice Value Chain.

“Investors are eager to start investing in the rice mill and other rice-backed commodity instruments. Exchange aggregators have already started supplying paddy to the mill and more are en route to the mill as we speak,” he said.
 
Akeredolu-Ale added that the signing ceremony represented a great stepping-stone to building stakeholder confidence for a great reception of the financial instruments by the capital market, assuring that the exchange would drive the support of the market towards the ecosystem. 
 
He added that the liquidity would be raised in batches, with N5b targeted for the first batch, while N30b is expected to be raised within six months and thereafter the N100b yearly target.

By Steve Linscombe with additional reporting from Josh Hankins and Kane Webb

RICE COUNTRY, USA – Rice planting along the Gulf Coast of Texas and Louisiana is mostly done, and the crop is rapidly progressing.  In Texas, conventional rice planting is mainly completed, with the majority of organic fields still to be planted.  Overall, the crop looks fairly good, with many fields approaching permanent flood.  East of Houston, which normally plants a little later, is about 70 percent planted with recent showers slowing down progress.

In southwest Louisiana, the crop is basically planted although some crawfish ponds are being drained to be planted to late rice.  There have been challenges in several fields, with some stand issues due to chinch bugs and seedling disease.  Weather conditions in the region have  been less than ideal recently, slowing the crop and delaying some herbicide and fertilizer applications.  There have been isolated instances of herbicide injury with newer technologies.  In north Louisiana, the crop is approximately 20-30 percent planted but a large part of the remainder will likely be planted this week.  Many north Louisiana growers are having to replant corn acres after the recent freeze event.

Rice specialists in Arkansas, Mississippi, and Missouri report “normal” planting progress in those states.  Dr. Jarrod Hardke, with the University of Arkansas, estimates the state is 40 percent planted, noting that southeast Arkansas has had a few more weather-related challenges, while a few rice farmers in other regions are finished planting.  Mississippi is about 25 percent in the ground, according to Dr. Hunter Bowman with Mississippi State University, but he estimates the state will be 50 percent complete by the end of this week.  In Missouri, planting is between 40-50 percent complete, with the southern Bootheel pushing 70 percent, according to Dr. Justin Chlapecka with the University of Missouri.  All three specialists say up to now, the early crop looks fairly good for the most part.

Florida is about 50 percent planted to date.  Early dry conditions have recently changed to excessive rainfall and rice there is currently being water-seeded.

Field work is just getting underway in California.  While the excessive rainfall and snowpack this winter has allowed for increased acres compared to last year, recent rains have delayed field preparation.

Most states will see an increase in rice acreage this year compared to last.  The exception is west of Houston in Texas, where acreage will decrease due to a shortage of water available from the Lower Colorado River Authority.

KOTA: The popular Basmati rice of Bundi is aiming for the prestigious Geographical Indication (GI) tag with the joint support of the National Bank for Agriculture and Rural Development (NABARD) and the Consortium for Industry Development and Awareness (CIDA) which held a one-day workshop for rice millers and other stakeholders to discuss the registration of the produce in Bundi on Friday.
CIDA and NABARD have jointly decided to file an application for the GI tag of the Basmati variety. At the workshop, a presentation was made on the history of the Bundi rice, evidence and documentation required for the GI tage to millers, district industry officials and other stockholders, said CIDA secretary Prasun Jain.
'No efforts made earlier by millers to apply for GI tag'
Due to the absence of the geographical marker, local millers were unable to export the product directly and had to depend on exporters from Haryana and Delhi, reducing the brand value. However, no efforts were made earlier by local millers to apply for the GI tag and CIDA initiated the process, he said.
The rice is produced in over 67,000 hectares in Bundi and is exported to Kuwait, Oman, Qatar, and Saudi Arabia as well as big businesses in India and abroad, CIDA president Dr Rohit Jain said. The rice recorded a business of Rs 1,800 crore in 2022, including Rs 1,400 crore through exports. Over 6,000 people were directly or indirectly employed in rice production in the district, he said. Famed as 'Dhan Ka Katora', production has increased from 52 lakh quintals last year to 80 lakh quintals in the current district, Jain said. The rice bears similar characteristics and quality of popular Basmati variants available in the country, he said. Neeraj Goyal, who presides over a Bundi rice business association, said that there were 26 millers currently operating in Bundi.

UAF VC urges scientists to work together to bring about innovations

FAISALABAD: The International Rice Research Institute (IRRI) of the Philippines is promoting regional cooperation to increase rice production and germplasm exchange in South Asia to meet nutritional needs of the rapidly growing population.

These views were expressed by the IRRI Director for Asia, Dr. Jongsoo Shin, during an online meeting with Prof. Dr. Iqrar Ahmad Khan, vice chancellor of the University of Agriculture Faisalabad (UAF), and other stakeholders on Monday.

He said that IRRI's efforts to increase rice production at global level had resulted in meeting nutritional needs of 56% of world's population. He said that 25 percent of world's population was cultivating rice and arranging their employment from it.

Therefore, the countries should work together to bring food stability at their level.

He said that 13 percent of world's crops were produced in the form of rice, which had worth of $206 billion. Jongsoo Shin said that rice was cultivated on 10 percent cultivable areas of the world, and 35% of total water resources were used for it. Therefore, it was dire need of the hour that new rice varieties should be introduced to meet future challenges.

The IRRI official said that in Pakistan, tall rice varieties with the help of crisper case and genome editing could be adapted by making them shorter in duration.

He said that Pakistan has been producing world's best fragrant rice. However, its production could be increased manifolds by using genetic diversity, he added.

UAF Vice Chancellor Dr. Iqrar Ahmed Khan said that with the help of IRRI, Pakistan could make advancements in rice production. He said that Pakistan was producing valuable rice with excellent taste and aroma.

However, he urged the scientists and experts to work together for value chain system equipped with new innovations.

Published in The Express Tribune, April 18^th, 2023.

In FY22, India, which has an around 45% share in global rice trade, exported more than 21 MT of rice valued at $9.6 billion.

India’s rice exports have crossed a record $11 billion in 2022-23, an increase of 16% from FY22. The volume of shipment, however, remained around the same level as last year at 21 million tonne (MT).

Officials attribute the spike in rice exports to factors such as robust global demand, especially from West Asian countries, Africa and Europe, and flood that hit a large chunk of paddy crop in Pakistan, a major grain exporter.

In FY22, India, which has an around 45% share in global rice trade, exported more than 21 MT of rice valued at $9.6 billion.

The increased realisation in rice exports has been achieved despite India last year banning broken rice shipment and the imposition of exports tax of 20% on white rice.

According to preliminary estimates, India has shipped $11.14 billion of rice, which includes basmati ($5 billion) and non-basmati ($6.14 billion) during FY23.

In terms of volume, the country has exported 4.9 MT of aromatic and long grain basmati and 16.1 MT of non-basmati rice.

India annually exports 4.5-5 MT of basmati rice and has an 80% share in the global trade of aromatic rice.

“Demand for rice has been robust because of resumption of shipment to Iran and spike in demand in Gulf countries especially from Saudi Arabia, Iran, UAE and others for the ongoing Ramadan months,” K Kaul, senior executive director, All India Rice Exporters’ Association, told FE.

India has been the world’s largest exporter of rice since 2012. Currently, India exports more rice than the combined shipments of the next three largest exporters – Thailand, Vietnam and Pakistan.

The United States department of agriculture (USDA), in its April 2023 crop outlook, has stated, “India’s prices are the most competitive among global suppliers and its total supply of rice is near-record high.” It has also stated that India’s price quotes for 5% broken-kernel rice were reported at $434 this month and are virtually unchanged since late January.

“Competitive pricing have ensured a surge in rice exports in the last fiscal and adherence to quality parameters has resulted in a significant demand for Indian rice with the grain being shipped to more than 75 countries,” M Angamuthu, chairman, Agricultural and Processed Food Products Development Authority, said.

In September, India had imposed a ban on broken rice exports and put a 20% export tariff on the non-basmati and non-parboiled rice, a measure aimed at improving domestic supplies due to the expectation of a decline in production in the 2022-23 crop season (July-June).

However, the fear of loss of production was allayed with the agriculture ministry estimating a record rice output of 130.83 MT in the 2022-23 crop year.

In terms of volume, Bangladesh, China, Benin, Nepal and Iran are five major export destinations for rice. Geographical Indication (GI) tagged basmati rice is a premium variety cultivated in the Himalayan foothills, mostly in Punjab, Haryana, western Uttar Pradesh and Jammu & Kashmir.

MANILA, Philippines — The National Food Authority (NFA) is pushing for the importation of 330,000 metric tons of rice in anticipation of a deficit in the country’s buffer stock this year, Malacañang said yesterday.

A Palace statement quoted agriculture officials as saying that the proposed buffer stock of rice is equivalent to nine days of national consumption from July 2023 onwards.

The proposal would also ensure enough volume for calamity and relief requirements from July to December this year, the statement added.

“The NFA is proposing the importation of 330,000 MT of rice to cover an expected deficit in the country’s buffer stock for the relief operations of various agencies in the event of calamities this year,” the Presidential Communications Office statement said.

“Given the NFA’s budgetary constraints, the agency expects its buffer stocks will decrease to less than 500,000 sacks by July 2023, which is equivalent to less than a day of public consumption,” it added.

Under the NFA’s proposed rice importation strategy, rice importation arrangement can be undertaken through government-to-government transactions, either through the Office of the President or its designated agency.

Republic Act 1203 or the Rice Tariffication Law has scrapped the regulatory and import licensing issuance functions of the NFA and reduced its mandate to emergency buffer stocking of rice purchased solely from local farmers, and allowed the private sector to freely import rice subject to a tariff.

At Malacañang where he met with agriculture officials, Marcos, who chairs the NFA Council, said, “It seems that our situation is good. We will not lack rice. We are looking at ways to control the prices of rice so it won’t increase that much.”

MANILA – The Department of Budget and Management (DBM) has released to the National Food Authority (NFA) a total of PHP1,182,905,000 for the grant of a one-time rice assistance to all qualified employees and workers of national government agencies.

DBM Secretary Amenah F. Pangandaman approved the Special Allotment Release Order (SARO) and corresponding Notice of Cash Allocation (NCA) on April 12.

"As directed by President Ferdinand R. Marcos Jr., we shall ensure the welfare of our government workers by giving them assistance for their household needs and, at the same time, boosting the production of our rice farmers," Pangandaman said in a news release on Thursday.

The rice assistance will benefit 1,892,648 government workers, including Job Order (JO) and Contract of Service (COS) personnel.

Administrative Order No. 2, signed by President Marcos, authorizes the grant of one-time assistance at a uniform quantity of 25 kilograms of rice to all qualified government workers/employees.

The rice assistance shall be granted to beneficiaries who are still in the government service and/or engaged by government agencies as of Nov. 30, 2022. (PNA)

Farmers of the district were convinced to adopt the direct-seeded rice (DSR) technique for the sowing of rice during the district-level agri-awareness camp organised under the supervision of Chief Agriculture Officer (CAO) Dr Narinder Benipal at the grain market of Sahnewal today.

Sahnewal MLA Hardeep Mundian said the state government was concerned about the receding water table.

“Farmers should be wise enough to adopt new techniques which are available on their doorstep today. Saving the environment should be a joint effort by the government, administration and the general public, especially farmers,” the MLA added.

Ludhiana Deputy Commissioner Surabhi Malik exhorted farmers to initiate a crusade against the insensitive use of water. She also congratulated all farmers whose wise decision of not burning stubble had enabled Ludhiana to reduce the menace by 50 per cent as compared to past years.

She urged growers to adopt such techniques of sowing by which could more and more water.

Joint Director, Department of Farmers Welfare and Agriculture, Dr Raj Kumar tried to persuade farmers to drift from traditional paddy sowing methods and adopt the scant water technology.

“Lowering of water table and deteriorating soil health should force us to rethink and adopt the technique of direct sowing which has far better results than the traditional methods,” he said.

Dr Benipal said the primary objective of the Agriculture Department was to provide seeds, fertilizers and pesticides of premium quality in a quick manner to farmers.

“Camps will be held at both village and block levels in the coming days to convince farmers to abandon the traditional methods of showing rice and adopt the latest DSR technology,” the CAO said.

He asked farmers to benefit themselves from various crop diversification schemes.

With a budgetary outlay of Rs 19.37 crore, this project is being jointly led by PAU, Ludhiana, and IRRI, Philippines.

A two-member delegation comprising Dr Van Schepler-Luu and Dr Jeanie from International Rice Research Institute (IRRI), Philippines, visited Punjab Agricultural University (PAU) on Wednesday to deliberate on emerging research areas for rice cultivation in Punjab and other parts of the world.

This visit was a follow-up of the mega project launch of a DBT-funded project entitled “Tackling emerging diseases and insect pest problem in rice through innovative genomic approaches” at IRRI South Asia Hub held in Hyderabad on April 8. With a budgetary outlay of Rs 19.37 crore, this project is being jointly led by PAU, Ludhiana, and IRRI, Philippines.

Dr Satbir Singh Gosal, Vice-Chancellor, PAU, highlighted the long association of PAU with IRRI for developing rice varieties, production and protection technologies. Gosal impressed upon forming an international working group on emerging rice diseases, especially Southern Rice Black Streak Dwarf Virus, a new viral disease of rice reported by PAU for the first time in India in 2022. Dr Gosal advised the PAU and IRRI scientists to organise an international brainstorming session on this disease to frame disease management strategies during the upcoming rice season 2023.

The principal investigator of the project, Dr Jagjeet Singh Lore, who is also the principal rice pathologist, shared the project details to map rice pathogen population across the sub-continent.

A team of PAU scientists, namely Dr Dharminder Bhatia, Dr Preetinder Sarao, Dr Rupinder Kaur and Dr Mandeep Hunjan, working on rice crop will co-lead the project. This five-year project will also help to identify new sources of resistance against major rice diseases.

The scientists from IRRI appreciated the research accomplishments and legacy of PAU in the agriculture and food sector at the national and international level. They visited the research laboratories and held fruitful deliberations with Dr Ranvir Singh Gill, in-charge rice section, PAU, and other scientists working on the rice crop.

Global market gets attuned to 20% duty on shipments of non-basmati whites

Non-basmati rice exports during the April-February period of the 2022-23 fiscal were up nearly three per cent at 16.09 million tonnes (mt), but the shipments were lower in February by nearly six per cent.

But the underlying fact is that the Indian government stands to gain good revenue to the tune of a billion dollars in view of the export duty on the shipments as the global market has accepted the duty, besides India’s market share remaining intact.

According to data from the Agricultural and Processed Food Products Export Development Authority (APEDA), exports in the first 11 months of the 2022–23 fiscal were up compared with the 15.64 mt shipped out in the same period of 2021–22. In terms of value, exports fetched $5.72 billion, against $5.56 billion in the year-ago period.

Two factors to consider

However, there are two factors to consider in the data, exporters and traders say. One, shipments seemed to have been dragged a tad since September 2022 due to the Centre announcing export curbs, including imposing a 20 per cent duty on non-basmati consignments and banning fully broken rice shipments.

For example, exports in February were 1.53 lakh tonnes (lt) compared with 1.63 lt in the year-ago period. But earnings were higher at $563.88 million against $552.02 million. 

The second factor is that India holds on to its leadership in the market, with importers absorbing the duty hike.

“India will get an additional billion dollar revenue from the exports by imposing duty. With the country enjoying 45 per cent market share,  the global rice market has absorbed the impact of the Indian duty,” said BV Krishna Rao, President, The Rice Exporters Association (TREA).

In terms of rupee, rice exports should now be able to fetch the Indian government ₹8,000 crore, he said. 

Demand still strong

According to available data, rice exports region-wise in the April-February period of 2022–23 were mixed. Shipments to Bangladesh, Nepal, and South-East Asia dropped. But exports to Africa, the European Union, the Americas, and Gulf countries increased. 

According to the Foreign Agricultural Service (FAS) New Delhi Post of the US Department of Agriculture, despite Indian imposing curbs on exports, demand for Indian rice in the global market remains strong. “Global rice prices have risen to absorb the export tax,” it said. 

The USDA’s FAS Post said Indian domestic supplies are forecast to be ample and the government is unlikely to impose additional export restrictions in the near term. 

No problem till kharif

At the same time, the Government will be reluctant to relax existing restrictions out of fears of food inflation. “While India’s export restrictions have not dampened export demand, they have generated an additional source of tax revenue for the government,” it said. 

Rao said rice exports should have no problem until November-December this year, before the new crop from competing nations such as Thailand, Vietnam, and Pakistan enter the market. 

“Pakistan might not face the problems it faced last year due to its worst flood in 61 years. Our kharif could be arriving by then. The Centre can review its export curbs based on market conditions then,” he said.

Though the Centre has banned exports of fully broken rice, it is permitting its shipments on a case-by-case basis. Recently, it permitted 3.5 lakh tonnes of consignments to Gambia and Senegal based on the Ministry of External Affairs’ recommendations. 

Improving competitiveness

“We have to see if there is a shift to white rice in a small way or other alternative before reviewing the decision on duty. But we are still improving our hold on the market despite the duty,” Rao said. 

The USDA’s FAS Post sees the export duty on Indian rice exports continuing in the near future. 

Meanwhile, India’s competitiveness in the global market has improved again over Vietnam, Thailand, and Pakistan. From being competitive by around $10 a tonne a month ago, it has improved by over $25 now. The competitiveness has improved as Indian prices have been lowered, while countries such as Vietnam and Thailand have raised their offer rates. (See table)

Rice exports are likely to be boosted by projections of a record high production of 130.83 mt this crop year, despite kharif output being affected due to a deficient monsoon in eastern parts of the country.

The central government has scrapped export duty of 20% on rice of seed quality in the husk (paddy or rough).

Officials said the duty was scrapped after review of rice stocks. The exemption will be effective from April 11.

The centre in September, 2022 had imposed an export duty of 20% on Rice in Husk (Paddy or Rough), Husked (Brown Rice) and Semi-milled or Wholly milled Rice.

This was done to lower prices of rice and to make stocks available for the domestic market.

The measures did not affect export of basmati or parboiled rice.

Finance Ministry had said that changes in India’s rice-export rules have helped keep a check on domestic prices without reducing the availability for exports.

The United States and five other ag-exporting nations have accused India of “vastly” underreporting the amount of subsidies that it provides for wheat and rice producers, fueling calls for the Biden administration to take the next step of filing a formal World Trade Organization case, our Doug Palmer writes for MA.

India is required under World Trade Organization rules to cap its agricultural subsidies at 10 percent of the total value of crop production. That’s double the 5 percent cap that developed countries such as the United States face.

In a “counter-notification” filed last week at the WTO, the United States, Australia, Canada, Paraguay, Thailand and Ukraine said India appears to have regularly provided rice subsidies that exceeded 78 percent of the value of production and wheat subsidies that exceed 65 percent of the value of production.

“It appears that India provides market price support for rice and wheat vastly in excess of what it has reported to the WTO,” the countries said.

Both the U.S. wheat and rice industry have long complained about the trade-distorting effect of India’s public stockholding programs.

“We urge USTR to take all necessary steps to ensure India brings these subsidies into compliance with their WTO commitments,” U.S. Wheat Associates President Vince Peterson said in a statement welcoming the latest counter-notification, the second such notification since 2018.

Sen. John Boozman (R-Ark.), ranking member on the Senate Agriculture Committee, echoed that call, while also praising U.S. Trade Representative Katherine Tai for highlighting India’s actions.

“This is further evidence that we need to pursue a formal case against India’s blatant violations with the WTO,” Boozman said.

India being one of the major players in the world rice markets can't remain untouched with the weather and other challenges that the crop faces every year

Recently, The Economist had a piece on the crisis engulfing rice production worldwide including in India, where it is one of the main staple food items consumed by a sizable chunk of the population.

The crisis at least for India, according to the article, is mainly due to erratic monsoon, falling water tables in main growing regions, excessive exploitation of soil, etc. Add to this the rising demand mainly as a feedstock for grain-based distillation, volatile prices, etc.

All these are combined together to give rice production a sense of uncertainty and risk usually not associated with the crop.

And India being one of the major players in the world rice markets can’t remain untouched with the weather and other challenges that the crop faces every year.

In India, rice is usually cultivated in around 44-45 million hectares of land both in the kharif and rabi seasons (the bulk in the kharif season) and occupies around 22-23 per cent of the gross cropped area per year.

The crop is grown in almost all parts of the country and the annual average production varies between 110-120 million tonnes per year.

It is also exported majorly and in FY23 despite a ban on exports, India might end up exporting around 17 million tonnes of non-basmati rice added to the 4.5 million tonnes of basmati rice.

“The exports growth has slowed due to the ban and import duty levied few months back,” said Vinod Kaul, executive director of All India Rice Exporters Association.

Being a crop that is heavily dependent on the southwest monsoon mostly in eastern and southern parts of the country, rice every year faces multiple challenges.

Any setback to the southwest monsoon has a very negative impact on the crop’s production mainly in those zones where irrigation facilities are limited and scant.

Poor rainfall pushes the cost of production of paddy up for the farmers and has a direct impact on per hectare income.

Though a sizable chunk of the paddy is procured by state agencies for distribution through public distribution programmes, the process of purchase is skewed in favour of a few states and regions.

However, off-late there has been a significant rise in the number of states from where Central government agencies procure rice for the central pool and states like Chhattisgarh, Telangana and Jharkhand have become the new rice bowls of India leaving Punjab and Haryana behind.

The challenge that the crop faces from uneven weather patterns and increasing impact of climate change can be addressed to some extent through modern farming techniques such as direct-seeded rice (DSR).

Rice and GHGs

Paddy farming has long been established as one of the major contributors to Greenhouse Gas Emissions (GHGs).

Among the various techniques propagated by scientists to check the emission of GHGs from paddy, DSR is among the most common.

In DSR, rice seedlings are directly planted into the soil either manually or through machines, thus doing away with the requirement of first growing the plant in nurseries and then transplanting them into the fields both of which have to be done in fully watered conditions.

However, despite being in vogue for several years, DSR hasn’t really picked up in major growing regions of India and one complaint of many farmers is rice grown through DSR technique is that yields are sometimes lower than the traditional process of transplanting and also the crop is more prone to pests and insects as compared to usual method.”

“DSR is a good way forward as it requires less water, the soil quality is retained, saves irrigation but the downside is that it makes the plant vulnerable to pest and weed attacks and increases the cost of plant chemicals for the farmers. Also, though DSR has been in practice for several years across India, its adaptation among farmers is very low. In the last few years, area under DSR rice could have gone up due to COVID and impending labour shortage but then I suppose it has gone back,” Avinash Kishore a senior Research Fellow in the New Delhi Office of the International Food Policy Research Institute (IFPRI) told Business Standard.

In Punjab, which is one of the premier rice-growing states, around 0.6 million hectares has been brought under DSR rice in the kharif season a few years back, which was among the highest so far, but just a fraction of the around 2.8 million hectares where paddy was grown in the state.

Similarly, in neighboring Haryana, the state government has been giving an incentive to farmers to shift from traditional puddling methods to DSR, but the progress has been slow.

According to a news report by the Press Trust of India (PTI) a few years back, studies have shown that rice farming across the world could be responsible for up to twice the level of climate impact relative to what was previously estimated.

The study which was conducted in India and published in Proceedings of the National Academy of Sciences (PNAS) found that intermittently flooded rice farms can emit 45 times more nitrous oxide as compared to the maximum from continuously flooded farms that predominantly emit methane, the PTI report said.

PNAS is the official journal of the National Academy of Sciences (NAS) and is an authoritative source of high-impact, original research that broadly spans the biological, physical, and social sciences.

The researchers investigated greenhouse gas emissions from rice farms across southern India. They found that nitrous oxide emissions from rice can contribute up to 99 per cent of the total climate impact of rice cultivation at a variety of intermittently flooded farms.

“These emissions contributed substantially to global warming pollution — far more than the estimate of 10 per cent previously suggested by multiple global rice research organisations,” the report said, quoting researchers who have worked on the study.

Studies show that growing rice is also resource-intensive. Rice cultivation covers 11 per cent of the Earth’s arable land and consumes one-third of irrigation water.

DSR Rice and Research

It is here that the role of research bodies, companies, and scientific institutions becomes crucial: to develop DSR rice varieties that do not lead to excessive use of plant chemicals while at the same retain the beneficial qualities of normal rice and consume less water.

For the last few years, scientists at the Manila-based International Rice Research Institute (IRRI) are working on a cross-country project in India to develop and commercialise DSR rice varieties, which not only give higher yields as compared to the traditional puddling method but are also resistant to pests’ attacks.

The varieties being tested in various agro-climatic zones across Asia not only germinate quickly in extremely dry conditions but also give a yield of around 4-5.5 tonnes per hectare.

And, if the same variety is grown through puddling, the yield level goes up even further to almost 7 tonnes per hectare, the researchers claim.

The cross-country trials are being conducted across 29 sites in Asia and Africa including India. In India, the first trials are currently close to harvest in states like Delhi, Uttar Pradesh, Bihar, and Odisha.

Global agriculture companies like Bayer are also developing DSR seeds that carry all the goodness of normal rice and are not overtly susceptible to pests.

New Delhi: A total of 269 districts in 27 states have started distributing fortified rice under Targeted Public Distribution System (TPDS), achieving a 100% target set for phase II by March 2023 in Rice Fortification Programme, food secretary Sanjeev Chopra said on Thursday.

Addressing a press conference, he said that about 105 lakh tonnes of fortified rice was lifted in the second phase, which focussed on 27 states for PDS rice distribution.

In addition to this, about 29 lakh tonnes was lifted by states, as well as for the integrated child development service (ICDS) and PM POSHAN programme in the second phase, taking the total quantity of fortified rice lifted in 2022-23 to 134 lakh tonnes, he said.

Now, under the third phase, the department is geared up to complete the coverage of all remaining districts excluding wheat-consuming ones before the targeted date of March 2024, Chopra said.

In addition to this, about 29 lakh tonnes was lifted by states, as well as for the integrated child development service (ICDS) and PM POSHAN programme in the second phase, taking the total quantity of fortified rice lifted in 2022-23 to 134 lakh tonnes, he said.

Now, under the third phase, the department is geared up to complete the coverage of all remaining districts excluding wheat-consuming ones before the targeted date of March 2024, Chopra said.

The cumulative annual fortified rice kernel manufacturing capacity has increased more than 18 folds from 0.9 lakh tonne in August 2021to 17 lakh tonne.

GENEVA, SWITZERLAND – This week, the Office of the U.S. Trade Representative (USTR) filed its second “counter notification” on India’s rice and wheat subsidies to the World Trade Organization’s (WTO) Committee on Agriculture.

itp-map-of-india-230406 image
Called out

The counter notification details the flaws in India’s notification methodology, which obscures the true level of subsidies it provides. The submission was co-sponsored by Australia, Canada, Paraguay, Thailand, and Ukraine, demonstrating the global impact of India’s trade-distorting subsidies.

The measure estimates that if India correctly calculated the level of support they provide to their rice farmers through domestic subsidies that they would be at 78.6 percent of the market value in 2014/15, and up to 93.9 percent in 2020/21, compared to the 10 percent limit India agreed to when it joined the WTO.

USA Rice has long called on the Biden Administration, and preceding administrations, to file a dispute settlement case against India’s domestic support for rice because of the trade distorting impacts on the U.S. and the rest of the world’s markets.

Due to India’s actions to stimulate rice production, U.S. rice farmers, and rice farmers throughout the world, are forced to sell their crop at a lower cost, bringing back less assistance to their own rural communities. The artificially low-priced Indian rice impacts every continent, and India is projected to break their own export record again this year.

The U.S. filed the WTO Committee on Agriculture’s first ever counter notification in 2018 (see USA Rice Daily, May 10, 2018), also against India’s rice and wheat subsidies, leading to India’s more regular notification of support for rice in each year since. The 2018 counter notification was submitted just by the United States.

“We commend USTR on filing this counter-notification and moving us closer toward a dispute settlement case against India,” said Bobby Hanks, Louisiana rice miller and chair of the USA Rice International Trade Policy Committee. “It is important to note that other key governments – including developing countries – are also clearly alarmed by the growing economic damage caused by India’s behavior.”

This strategic move by the United States comes on the heels of India’s 2022 notification where they admitted to providing $7.55 billion to their rice farmers last year, a figure equivalent to 15.2 percent of its overall value of production. Once again, India used the cloak of food security to justify their over-subsidization.

MUMBAI/ HANOI/ BANGKOK/DHAKA: Indian export prices of rice edged up this week on an improvement in demand and an appreciation in rupee, while Vietnam rates are expected to remain higher on economic and political concerns.

Top exporter India’s 5% broken parboiled variety was quoted at $383 to $389 per tonne this week, up from the last week’s $380 to $385. “There was (a) broader recovery in prices of all agricultural commodities in the past few days.

It has also been helping rice prices to move higher,” said an exporter based at Kakinada in southern state of Andhra Pradesh. Vietnam’s 5% broken rice were offered at $460 per tonne on Thursday, unchanged from a week ago.

State media cited Nguyen Ngoc Nam, chairman of Vietnam Food Association, saying rice prices will stay at high levels for the short term as global economic and political uncertainty has prompted countries to raise their food reserves.

Vietnam’s central bank had said earlier this week that it is under pressure to support economic growth while keeping the banking system and the foreign exchange market stable.

Traders said Vietnam’s rice shipments are estimated at 6.5-6.7 million tonnes this year, down from 7.1 million tonnes last year.

Thailand’s 5% broken rice prices were quoted at $480 to $482 per tonne, from last week’s $475 to $482. “Domestic prices are high as we approach the end of the harvesting season and there’s lower supply,” a Bangkok-based trader said.

Meanwhile, the World Bank in its latest report noted “the price for coarse rice remains volatile, but Bangladesh had a favourable Boro harvest, and public granaries are being restocked.”

Bihar's famous 'Marcha Rice' which is known for its aroma and palatability was awarded the Geographical Indication tag, according to the GI registry. Marcha is a short indigenous cultivar of rice found in West Champaran district of Bihar. By its size and shape, its grain appears like black pepper so it is known as 'Mircha' (pepper in Hindi) or 'Marcha Rice'.

The Journal of GI Registry said it has accepted the application seeking the GI tag for the rice.

A GI is a sign used on products that have a specific geographical origin and possess qualities or a reputation that are due to that origin.

"It (the rice) is also known as Mircha, Marchaiya, Marichaetc locally. Plants, grains and flakes have a unique aroma that makes it different," said the journal.

Expressing happiness over the development, Bihar agriculture minister told PTI: "This will further boost the production of Marcha Rice. It will also help farmers, engaged in the cultivation of Marcha rice, get a decent price for their produce".

The major growing areas of Marcha rice include Mainatand, Gaunaha, Narkatiyaganj, Ramnagar and Chanpatiya blocks of West Champaran district.

Korea’s Yoon vetoes legislation for government to buy surplus rice from farmers

President Yoon Suk Yeol on Tuesday vetoed a contentious bill requiring the government to purchase surplus rice, the first such move in about seven years, on grounds that it would undermine the country’s agricultural industry.

Yoon rejected the bill to revise the Grain Management Act during a Cabinet meeting Tuesday, marking his first veto of a bill since he took office. It has been about seven years since former President Park Geun-hye exercised her right to veto a revision to the National Assembly Act in 2016.

The revision is aimed at requiring the government to purchase surplus rice if the production of the staple surpasses estimated demand by more than 3 percent to 5 percent or if rice prices decline by more than 5 percent to 8 percent from a year earlier. The bill was passed unilaterally by the main opposition Democratic Party on March 23.

“I find it very regrettable that the National Assembly passed the bill unilaterally without a proper debate,” Yoon said. “This revision is a typical populist bill that goes against the government’s goal of boosting farming productivity and raising the incomes of farming households and is of no help to farmers or the development of farming villages.”

Yoon also labeled the Grain Management Act a coercion that forces the government to spend taxpayers’ money to purchase overproduced rice and will ultimately lower the market price of rice and make farming household income more unstable.

Food, Agriculture, Forestry and Fisheries Minister Chung Hwang-keun told reporters after the Cabinet meeting that the bill will only increase the rice inventory and jack up the government’s expenditure for rice purchases every year to 1.4 trillion won ($1.06 billion) by 2030. “The government’s request for reconsideration of unjust bills is the authority of the executive branch in line with the separation of powers granted by the Constitution,” he stressed.

In response, the main opposition party held a press conference in front of the presidential office and criticized Yoon for “rejecting the bill aimed at normalizing rice prices and ignoring the public’s will.”

If a bill is sent back to the National Assembly, more than two-third of the lawmakers present must vote in favor in order to be passed again. The ruling People Power Party holds 115 seats, more than a third of the seats in the 299-seat National Assembly, making it unlikely the bill will pass again.

The new code has triggered a controversy with experts questioning changes on varieties, growing areas

The Agricultural and Processed Food Products Export Development Authority (APEDA) will hold detailed discussions with the All-India Rice Exporters’ Association, major exporters, experts and other stakeholders on the new code of practice (CoP) document the United Kingdom has come out with on basmati rice. 

APEDA will discuss the CoP documents and its provisions to analyse the short and long-term impacts on India’s basmati exports, if any. 

Responding to businessline’s report on UK’s new CoP for basmati triggering a controversy, APEDA said it was brought out by the British Retail Consortium and The Rice Association, UK, the representative organisation for the UK rice sector. 

Not regulatory document

“Its main aim is to promote the interests of members in all matters pertaining to the import, preparation, processing, packaging and marketing of rice. This has also been discussed with the Federation of European Rice Millers (FERM), AIREA and Rice Exporters Association of Pakistan (REAP),” the authority said. 

Stating that CoP was not a regulatory document, it said rather the associations had agreed with regard to basmati rice trade in the UK. AIREA, India’s major association engaged in basmati export, was involved in bringing out the CoP.

The scope of the CoP was limited to labelling of basmati rice sold in the UK and the code is voluntary. “...those choosing not to follow its provisions are required to meet the similar minimum legal requirements to ensure that their basmati rice is authentic,” APEDA said.

The authority said the CoP lists varieties that are currently approved by Indian and Pakistani authorities. It covers most of the popular basmati varieties notified under the Indian Seeds Act, 1966, provisions. The new CoP has included certain newly-notified basmati varieties.  

Deletion of 5 varieties

On the CoP deleting five varieties grown in India, APEDA said four varieties — Malviya Basmati Dhan, Pant Basmati 1, Vallabh Basmati 21 and Vallabh Basmati 24 — were not being cultivated. Thus, exports will not be affected. 

However, the deletion of Punjab basmati in the list seemed to be an error as India had no such notified variety. “All the notified varieties having Punjab Basmati as prefix have some numeral as suffix in the varietal name like Punjab Basmati 1, 2, 3 etc and hence does not have an impact on Indian basmati exports,” it said. 

On dilution of the growing area, particularly the Indo-Gangetic Plains, APEDA said, “The document has also referred to the February 2003 publication by the Food Standards Agency as the basis for the Code with the emphasis on ‘specific areas of Indo Gangetic Plains’”.  

On basmati Geographical Indication (GI) tag expert S Chandrasekaran questioning on APEDA not being consulted over the new CoP, the authority said “it would have been prudent on the part of the UK Association to discuss the CoP document with APEDA as owner of the basmati GI tag which is also registered in UK.”

A geopolitical issue

APEDA has registered Basmati name and logo as Certification Trade Mark (CTM) in the UK, it pointed out. On DNA fingerprint, the authority said the Food Safety and Standards Authority of India has framed  the requirement of purity and it will be implemented soon.  

APEDA concurred with AIREA views that the new CoP will strengthen India’s hold in the UK basmati market. 

When contacted, Chandrasekaran said basmati GI is a geopolitical subject involving the country’s boundary and sovereignty. Though the CoP said the code is voluntary, it says those not following it must “meet the same minimum legal requirements” for the rice to be authentic.  “The voluntary nature is being indirectly made   mandatory,” he said. 

The new CoP has strategic implications on the ownership of the fragrant rice.  “If a precedent is created by modifying the label of basmati (by any other organisation or foreign organisation), it encourages similar actions in the future if it suits a particular interest,” Chandrasekaran said.

Nepal opposed India

On the deletion of varieties, he wondered what if in the future the CoP deleted an active commercial variety, though it has now done away with only a non-commercial one. “It will have serious ramifications in North-West India. Also, by accepting the DNA testing protocol today, India will lose the right to question the delisting of varieties in the future,” the expert said.  

On the dilution of the Indo-Gangetic Plain description, Chandrasekaran said Nepal has opposed India’s application for a Basmati GI tag in the European Commission.

“There must be some reasons for the change of position in the area.  For example, the Code of Practice of Basmati Rice (CoP), United Kingdom, issued in June 2017 did not consider Himachal Pradesh and Delhi as growing areas,” he said.

APEDA’s application with the GI Registrar included Himachal Pradesh and Delhi from the start. “Why did CoP 2017 drop these areas? Dropping of the varieties and the growing areas is creating a precedent where in the future, other countries could do the same,” he said.  

Also, the DNA testing protocol developed by the University of Bangor, Wales, is funded by DEFRA.  “It is imperative to challenge the protocol.

Fiji imports an average of 40,000 metric tonnes of rice annually.

While contributing to the debate in the Parliament on the Review Report of the Fiji Rice 2013-2017 Annual Report on Wednesday, Minister for Agriculture Vatimi Rayalu said Fiji mostly import rice from Asian countries with a self-sufficiency level of 17 per cent.

“Rice has progressively become a staple diet,” he said.

“It is now consumed by every household in Fiji. It has become an essential commodity that requires special attention in terms of production and development in the country.

“The Ministry of Agriculture produces close to 50 tonnes of seeds annually for distribution to farmers, which is 20 per cent of the total seed requirement for production.”

He said the Fiji Rice Ltd is working with the Ministry of Agriculture to boost the production.

“With regard to the recommendations, we are grateful that Fiji Rice Ltd now works with the Ministry of Agriculture in terms of the Ministry of Agriculture, providing agriculture statistics, which the company now uses as relevant data for their future plans and reports.

“The company must be commended for pushing for the production of brown rice, which has become a delicacy for the people of Fiji.

“I have been told that Fiji Rice Ltd is working with the Ministry of Health in terms of using brown rice as an alternative food, especially in the fight against NCDs.”

Though the procurement, for the first time this season dipped, the government may be in a comfortable position to meet any extra demand outside the normal requirement

Rice procurement from kharif-grown crop during October-March has reached 492.2 lakh tonnes (lt), which is 0.7 per cent lower than 495.7 lt reported in the year-ago period. Though the procurement for the first time this season dipped, the government may be in a comfortable position to meet any extra demand outside the normal requirement under the food security law since it has been able to achieve 96 per cent of target amid purchases in West Bengal and Assam slated to continue for some more time.

The target was 514.72 lt of rice from 2022-23 kharif crop and considering that last year, there was 7 lt additional added in the procurement of kharif-grown paddy after March, there is still hope for some more quantity to be added this year as well, a Food Ministry official said, though it may not reach near what has been estimated.

While kharif season’s procurement has been concluded in all States for rice, it will continue until end of May in West Bengal and till June 30 in Assam. This year, the harvesting started early in West Bengal because of which the procurement is so far up by 38 per cent to 20.66 lt and some experts said that there might not be any significant improvement in the State.

As the government targets to procure 106.18 lt rice from rabi-grown crop, there is still scope of overall procurement reaching near last year’s 575.88 lt.

According to official data, rice procurement was 114.34 lt in October, 104.39 lt in November, 137.2 lt in December, 81.4 lt in January, 41 lt in February and 13.9 lt in March during 2022-23 season starting October.

Food security

“If common rice segment is considered, as government buys only this variety rice, the kharif procurement is nearly half of the 990.75 lt rice produced. The government will have to administrate food security rice supply and private supply in such a way so that physical market availability remains robust when core inflation is a concern,” said S Chandrasekaran, a trade policy analyst. The government requires about 380 lt rice per year for distribution under National Food Security Act and other welfare schemes and it leaves scope for additional distribution of the grain under Pradhan Mantri Garib Kalyan Anna Yojana, he added.

The Food Corporation of India (FCI) had 210.54 lt of rice and 371.80 lt of paddy (nearly 250 lt in terms of rice) as on March 1 in the Central Pool stock. According to APEDA’s crop survey, the country had 90 lt of Basmati rice production during 2022-23 and Agriculture Ministry pegged total rice output (both Basmati and non-Basmati) at 1308.37 lt.

THE Philippine Statistics Authority (PSA) released on Thursday the price situationer of selected commodities for the second phase of March 2023.

Increases were observed in six trading centers for the retail prices of well-milled rice per kilogram, ranging from P0.19 to P2.13 during the said period.

The average retail price decreased by P0.77 in Kidapawan City, P1.50 in Tacloban City and P1.88 in Legazpi City.

Nine trading centers also noted hikes in retail prices of pork kasim by P4.73 to P12.50, while its average retail price went down by P5 in Baguio City.

For the average retail price of bangus (milkfish) per kilogram, six trading centers reported a decrease by P0.35 to P10, lower compared to the first half of March of the same year.

However, there was an increase by P7.50 in Iloilo City and P15 in Kidapawan City.

Many trading centers still reported lower average retail prices of vegetables.

Retail prices of red onion per kilogram decreased by P10 to P135 as reported by 14 trading centers.

For the retail prices of calamansi per kilogram, six trading centers observed an increase by P2.50 to P37.50, while it dropped by P2.50 in Pagadian City.

Retail prices of brown sugar per kilogram varied. It plummeted by P2 to P3 in four trading centers, while its average retail prices increased by P7 in Metro Manila, P1.38 in Baguio City and P3.38 in Cebu City.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said rice prices increased due to higher world prices but it could be offset by some imports.

"Better weather conditions toward the dry or summer season led to more planting and supply of vegetables and other agricultural products, such as onions, thereby leading to lower prices," he said.

Ricafort also stated that pork prices are higher due to African swine fever (ASF) in other areas in the country.

He also mentioned that the limited imports of sugar could lead to some easing in sugar prices.

"However, this is offset by higher rice as well as higher pork prices due to ASF cases in more areas in the country that could reduce local pork supply and higher pork prices; but could be addressed by increased importation and the one-year extension of lower tariffs for rice and pork," Ricafort added.

Export prices of rice from India steadied this week after four weeks of declines helped by a slight pickup in orders from buyers in Africa, while hopes of fresh deals from Indonesia drove Vietnamese rates higher.

Top exporter India’s 5% broken parboiled variety was quoted at $380 to $385 per tonne this week - unchanged from last week and similar to levels seen mid January.

“Demand has improved slightly from African countries, but order book is still not full for April shipments,” said an exporter based at Kakinada in southern state of Andhra Pradesh.

Vietnam’s 5% broken rice were offered at $460 per tonne on Thursday, up from $450 a week ago.

“Prices rose after Indonesia’s food procurement agency said it would buy two million tonnes of rice this year,” a trader based in Ho Chi Minh City said.

“Domestic supplies are also tight despite an ongoing harvest in the Mekong Delta provinces, as 5% broken rice account for only 15%-20% of the output,” the trader added.

Vietnam’s rice exports in the first quarter are estimated to have risen 19.3% from a year earlier to 1.79 million tonnes, according to government data.

Thailand’s 5% broken rice prices ticked up to $475 to $482 per tonne from $465 last week.

Two traders attributed the rise to a stronger baht versus the dollar.

While fresh supply had started arriving in the market, it was not in large quantities, a Bangkok-based trader said.

UK decision to delete seed varieties under Indian Seed Act, change definition of growing areas under scrutiny

An amendment made by the UK to the code of practice (CoP) for basmati rice, which assures its quality for consumers there, has triggered a controversy. 

The All India Rice Exporters Association (AIREA) says the change could benefit India, but experts have questioned it charging the UK with diluting the area of cultivation and questioning the credibility of the Seed Act, 1966.

Why the CoP

The CoP was introduced in 2005 by the UK Rice Association (UKRA) along with British Rice Millers Association and British Retail Consortium to “safeguard the reputation of basmati rice marketed in the UK”. 

The code was evolved as imported basmati was alleged to be 50 per cent impure several decades ago. The UKRA came up with the COP, which was followed across the European Union specifying that basmati “could be no more than 7 per cent impure”. It also listed 15 permitted varieties — nine of them traditional and six that were modern cultivars.

The CoP was implemented through DNA fingerprinting developed by Bangor University, Wales. “The system worked well until 2017, when the code was updated to add 25 new modern cultivars. This followed an explosion in new breeding in the 2000s and 2010s,” said Katherine Steele, senior lecturer in sustainable crop protection at Bangor University, in an internal newsletter.

Alternative DNA markers

Steele said the university had developed alternative DNA markers for fingerprinting that showed six of the new varieties — five from India and one from Pakistan — were not properly bred for fragrance. As a result, these six have now been de-notified or taken off the list of basmati varieties.

But experts such as S Chandrasekaran, author of “Basmati Rice: The Natural History Geographical Indication”, contend that the DNA marking is a new invention by the British and its efficiency is yet to be proved.

“What samples were drawn? How? What were the parameters? Who authenticated the findings?’ wondered Chandrasekaran.

Striking feature

A striking feature of the amended code is that the British Rice Millers Association is no more part of the code. “The amended code says it will ‘strive to uphold the reputation’ from ‘concerned to safeguard the reputation. The change in the word from ‘concern’ to ‘strive’ indicates more action might follow,” he said. 

The code says the All-India Rice Exporters Association (AIREA) was consulted. “The amended code has a list of 35 varieties of basmati. The six varieties deleted are no longer being used. The new code will strengthen our hold in the basmati market. We had been taking this up with them,” said AIREA executive director Vinod Kaul.

Chandrasekaran said there are a few issues that pertain to India’s credibility in the new code. “How can the UK arbitrarily delist seed varieties that figure in the Seed Act, 1966? This means the credibility of the Indian authority is being questioned,” he said. 

Basmati boundary

Second, the code has diluted the boundary of basmati which was referred to as Indo-Gangetic plains. “The code issued in 2017 mentions basmati-rice growing States in the region. It has now been amended as ‘on both sides of the Indian and Pakistani borders’,” he said.

In particular it has dropped “which currently includes Punjab (on both sides of the Indian and Pakistani border), Jammu, Haryana, Uttaranchal and western Uttar Pradesh in India”, the expert said. 

Kaul said there was no change in the Indo-Gangetic plain. “The area remains the same,” he said. 

Chandrasekaran said there were two other issues with the amended code. “One, APEDA is India’s nodal agency for geographical indication (GI) tag. Why was it not consulted on this issue? 

Bias towards Pakistan?

“Two, the amended code is in contravention and a dilution to the notification the Agriculture Ministry issued on September 18, 2017, on basmati rice-growing areas and refers to the GI certificate issued on February 15, 2016,” he said. 

No comment was received from official sources who businessline approached for comment until this report was published. 

An analyst said the UK and European Union seem to have “a bias in favour of Pakistan”. Pakistan has not notified any standard or anything related to basmati. 

“Eurofin labs is conducting tests in Pakistan on the quality of basmati in the absence of Islamabad not specifying standards for the fragrant rice. Is the amended code serving the interests of Pakistan?” the analyst, who spoke on condition of anonymity, asked.

Factual errors

Chandrasekaran said the new code had factual errors. While specifying the removal of five Indian varieties, mentions Punjab basmati. “India has notified five Punjab basmati varieties and there is no ‘Punjab basmati’ notified by India. The 2017 code twice mentions Punjab basmati 2. Maybe, it is a clerical error,” he said. 

The analyst objected to UK Department and Environment, Food and Rural Affairs funding the research team of Bangor University along with the Rice Association as it meant “indirect support”. 

On other hand, Steele said she has been arguing for allowing not more than one per cent of impurity in basmati rice, the rule that applies for many products including non-genetically modified foods.  

“There’s no real reason for the basmati exception, and it is also arguably easier to enforce a 1 per cent rule because of the way that DNA testing works,” she said. 

As a special consideration, the government has permitted the sale of 3.5 lakh tonnes (lt) of broken rice to Gambia and Senegal, while shipments of this variety were banned on September 8, 2022.

The Commerce Ministry has cleared the shipping of 1 lakh tonnes of broken rice to Gambia and 2.5 lakh tonnes to Senegal, according to a statement issued by the Finance Ministry to Customs Commissioners in Ahmedabad, Chennai, Vizag, Nagpur, and Mumbai.

Also, the Ministry has authorized the shipping of 9,990 tonnes of broken rice to Djibouti, Ethiopia. Ruby Overseas, based in Chennai, will handle the shipment. In the case of Gambia, the Centre has authorised requests to export broken rice from Royal Mirage Consultancy (5,000 tonnes), Sarala Food Pvt Ltd (12,500 tonnes), and Laxmi Group of Industries Pvt Ltd (12,500 tonnes) (2,000 tonnes).

Senegal has received 1,12,500 tonnes of the total 2.5 lakh tonnes cleared by the Ministry, with Sarala Foods, Sri Chitra Exports, Manasa Quality Enterprises Ltd, Pattabhi Agro Foods Pvt Ltd, and CLRK Industries Pvt Ltd each receiving 22,500 tonnes. A portion of the trade is irritated by the authorisation for broken rice exports, wondering why the Centre authorised shipments to some countries but not to others.

"The shipments are being approved for strategic reasons and because the External Affairs Ministry is involved," claimed the unnamed analyst. The expert stated that India is clear that it will cover the food needs of "weak countries," citing the Centre's notifications prohibiting wheat exports and limiting rice shipments.

"The Foreign Affairs Ministry would have considered a variety of factors before approaching the Commerce Minister," he explained. Because the kharif paddy output was hampered by a lack of rain in important rice-growing districts in the east, the Centre banned the export of broken rice and placed a 20% levy on shipments of white and brown rice.

Rice production in the kharif season is expected to be 108.07 million tonnes (mt) in 2022, down from 111 mt in 2021. Nonetheless, rabi output has made up for the loss, with the Ministry of Agriculture projecting 22.76 mt compared to 18.47 mt the previous year. The Ministry of Agriculture has forecast rice output for the current crop year to June at a record 130.84 million tonnes, up from 129.47 million tonnes the previous crop year.

The rice, containing iron, folic acid, and vitamin B12, is being distributed under a Central scheme to combat anaemia and micro-nutrient deficiencies

Erode Collector H. Krishnanunni has said that fortified rice that has more nutrients, will be available at all ration shops from April 1.

The Collector distributed awareness materials on fortified rice at the Collectorate on Wednesday, and also inspected the rice kept on display. He said that the rice contains three nutrients: iron, folic acid and vitamin B12, that will address anaemia and micro-nutrient deficiencies among the people. 

To reduce the high prevalence of anaemia and under-nutrition among the poorest of poor, the Central government had, in 2020, included staple food fortification under the National Nutrition Mission as a complementary scheme. Under the National Food Security Act (NFSA), fortified rice will be distributed at all the ration shops in the district, he said.

Prime Minister Narendra Modi in his address to the nation on the 75 ^th Independence Day on August 15, 2021, had announced the fortification of rice so as to provide nutrition to every poor person of the country to overcome malnutrition and to combat lack of essential nutrients in women, children and lactating mothers as this can pose major obstacles to their development.

District Revenue Officer S. Santhoshini Chandra, District Supply Officer (in-charge) Sivakumaran, Tamil Nadu Civil Supplies Corporation Regional Manager Banumathi and other officials were present 

Indian exporters have been allowed to resume exports of a limited volume of broken rice with immediate effect, according to an official notification by the Indian government's Ministry of Finance shared with S&P Global Commodity Insights March 27.

The change in policy, a partial relaxation of a ban on broken rice exports imposed in September, comes as the government said it was giving Gambia and Senegal what they call "special consideration" for their broken rice consumption requirements. According to reports, Gambia will be able to receive up to 1 lakh ton (100,000 mt), while Senegal will be able to receive up to 2.5 lakh tons (250,000 mt).

For Senegal, the ministry has awarded 112,500 mt of the total 250,000 mt quota to Sarala Foods Pvt Ltd, Sri Chitra Exports, Manasa Quality Enterprises Ltd, Pattabhi Agro Foods Pvt Ltd and CLRK Industries Pvt Ltd, with all companies allowed to export 22,500 mt each.

For Gambia, the ministry approved Sarala Foods Pvt Ltd for 12,500 mt, Royal Mirage Consultants for 5,000 mt and Laxmi Group of Industries Pvt Ltd for 2,000 mt.

Additionally, a 9,990 mt shipment of broken rice to Ethiopia via the Port of Djibouti has been granted as part of the considerations. The shipment is expected to be fulfilled by Ruby Overseas.

India accounts for 40% of the global rice trade, with sales of 100% broken white rice previously accounting for a significant portion of exports.

The quotas mark what are thought to be the first exports of broken rice from India under new Letter of Credits since the ban was imposed on Sept. 9. The moratorium came amid accelerating inflation in food prices and a smaller kharif crop cultivation area compared with the previous year due to insufficient rainfall. The ban was announced a day after India imposed a 20% export duty on several varieties of rice, which is still in force.

While some sources welcomed the news as "helpful" to the Indian rice export industry, one exporter said it would only benefit a few exporters.

In terms of further volumes being allocated to Indian exporters, one exporter said they are "likely to be distributed among all the broken rice exporters...on pro-rata basis," based on last year's export data. However, not all agreed, with another exporter saying they would be unable to allocate tonnage in that fashion "as it'll be too complicated."

Platts Indian 100% broken white rice assessment remains suspended.

Broken rice shipments, banned since September 8, 2022, have been permitted on ‘special considerations’

The Government has approved the export of 3.5 lakh tonnes (lt) of broken rice to Gambia and Senegal as a special consideration as shipments of this variety were banned on September 8, 2022.

According to a communication sent by the Finance Ministry (seen by businessline) to Chief Commissioners of Customs in Ahmedabad, Chennai, Vizag, Nagpur, and Mumbai, the Commerce Ministry has allowed export of 1 lakh tonnes of broken rice to Gambia and 2.5 lakh tonnes to Senegal.

In addition, the Ministry has allowed shipments of 9,990 tonnes of broken rice to Djibouti, Ethiopia. The shipment will be done by Chennai-based Ruby Overseas.

In the case of Gambia, of the total quantity approved for exports, the Centre has cleared requests to export broken rice from Royal Mirage Consultant (5,000 tonnes), Sarala Food Pvt Ltd (12,500 tonnes), and Laxmi Group of Industries Pvt Ltd (2,000 tonnes).

Trade irked

For Senegal, the Ministry has cleared 1,12,500 tonnes of the total 2.5 lakh tonnes with Sarala Foods, Sri Chitra Exports, Manasa Quality Enterprises Ltd, Pattabhi Agro Foods Pvt Ltd, and CLRK Industries Pvt Ltd getting to ship out 22,500 tonnes each. 

A section of the trade is irked over the permission for exports of broken rice, wondering why the Centre was permitting the shipments to these countries when it is not allowed to other destinations. 

“What is the obligation the Government has towards the countries? Why relax a blanket ban imposed on food security grounds?” a Delhi-based trader asked.

However, a trade analyst said exports to Gambia, Senegal, and Djibouti have been approved by the Commerce Ministry following a request from the Ministry of External Affairs.

Permits for strategic reasons

“The exports are being allowed for strategic reasons and since the External Affairs Ministry is involved,” the analyst, who did not wish to be identified, said.

Pointing out to the Centre’s notifications while banning wheat exports and curbing rice shipments, the analyst said India is clear that it will meet the food needs of “vulnerable countries”. 

“The External Affairs Ministry would have taken various reasons into consideration before approaching the Commerce Ministry,” he said. 

The Centre banned exports of broken rice and imposed 20 per cent duty on shipments of white and brown rice after the kharif paddy production was affected by deficient monsoon in key rice-growing regions in the eastern parts. 

In the kharif season, rice production was estimated lower at 108.07 million tonnes (mt) in 2022 compared with 111 mt in 2021. But rabi output has made up for the loss with the Ministry of Agriculture estimating it at 22.76 mt against 18.47 mt a year ago.

For the current crop year to June, the Ministry of Agriculture has estimated rice production at a record 130.84 million tonnes against 129.47 million tonnes in the last crop year.

SS Chahal

INCENTIVISING direct seeding of rice (DSR) in the coming kharif season has been prioritised in the Punjab Government’s 2023-24 Budget. Primarily a labour-saving technology, its adoption as a water-saving technique is vital for a state which is on the brink of desertification due to overuse of groundwater for rice cultivation. So far, substantial results have not been achieved from crop diversification through plans to divert area from the water-guzzling paddy crop. The report of the Comptroller and Auditor General for the financial year ending March 31, 2019 (published in 2022) has revealed that despite an ambitious Rs 274-crore crop diversification programme, the area under paddy rather increased by 7.8 per cent between 2014 and 2019 and the area under other crops decreased by 13.49 per cent. Resultantly, there was an increase in the overexploited blocks from 76 per cent to 79 per cent in the state in 2014-17. Of the 138 blocks in total, 109 have already been categorised as overexploited.

The water-saving DSR technique is vital for a state which is on the brink of desertification due to the overuse of groundwater for rice cultivation. So far, substantial results have not been achieved from crop diversification through efforts to reduce area under the water-guzzling paddy. According to a CAG report, despite an ambitious Rs 274-crore crop diversification programme, the area under paddy rather increased by 7.8 per cent between 2014 and 2019 and the area under other crops decreased

Aimed at water conservation, Punjab’s flagship programme to promote dry DSR last year included an incentive of Rs 1,500 per acre for the farmers opting for this technique. Direct seeding of rice in more than 5 lakh hectares (ha) during 2020 and 2021 presumably led to fixing of the target of bringing at least 12 lakh ha under this technique. However, even by incentivising over 30,000 farmers, only about 7 per cent of the target could be achieved. The late announcement of the incentive left little time for decision-making by the farmers as well as for a statewide campaign by the Agriculture Department. Extending the deadline for registration by a month, from May 31 to June 30, also proved of little help as the most appropriate time for DSR was already over. Non-availability of adequate canal water due to breaches in certain areas and insufficient electricity to run tubewells for necessary pre-tilling irrigation were the other discouraging factors. The extreme heatwave was a major deterrent, along with the prospect of aggravation of the weed menace. Haryana, however, got a good response to its target of 1 lakh acres last year as 22,685 farmers registered their 1.08 lakh acres across different rice-growing districts under DSR; an incentive of Rs 4,000 per acre was offered (reduced by Rs 1,000 from the previous year) and 500 DSR machines were provided to farmers with Rs 40,000 subsidy per machine.

MUMBAI/HANOI/ BANGKOK: Indian rice export prices extended losses this week after sluggish demand as buyers, anticipating further price falls, postponed purchases, while Vietnamese traders hoped their competitive pricing and growing supplies would lure more orders from big buyers.

Top exporter India’s 5% broken parboiled variety was quoted at $380-$385 per tonne - the lowest since mid-January - down from $382-$387 a week ago.

One exporter based at Kakinada in southern state of Andhra Pradesh, who asked not to be named, said prices had corrected by around $20 per tonne in a month, and all farm commodities had dropped in the last few days.

“Buyers are waiting to see whether rice prices could fall further,” the exporter said. In Vietnam, the 5% broken rice prices were unchanged at $450 per tonne this week. “Trading activities will definitely pick up in the next coming months on rising supplies from current harvest and demands from traditional buyers including China and the Philippines,” said a trader based in the Mekong Delta province of An Giang, adding the winter-spring harvest would conclude by the end of March.

Another trader based in Ho Chi Minh City said rates for Vietnamese rice were still lower than Thai grain, so some traders overseas were turning to Vietnam to maximise profit. Thailand’s 5% broken rice prices rose to $465 per tonne, from last week’s $455 per tonne.

One Bangkok-based trader said prices had changed slightly because the baht rose. The trader expected, however, prices would be range-bound as demand was “quiet” and supplies were gradually rising.

A stronger domestic currency makes exports from the country expensive in dollar terms. Prices may come down if supplies increase, another trader said.

Just the fact that you're reading this article means you probably reside in some type of urban setting. This also means that on many days, you find yourself torn, choosing to stick to the staple rice or treating yourself to something slightly more extravagant for the next meal.

Unfortunately, this is hardly the case for the impoverished in India, many of who resort to meals like plain namak-bhat (cooked rice with plain salt) to pull them out of starvation. India's Public Distribution System helps provide them with grains for the month, but even that falls short oftentimes.

With millions of Indians devastatingly reliant on rice as their staple food, it is imperative that we maintain our crop yields to ensure adequate supply to every sect of society. However, a new report has shown that excessive atmospheric carbon dioxide levels could affect rice yields significantly in low- and middle-income countries, including India and China.

A study published in the journal Nature Geoscience has shown that high atmospheric CO2 levels can reduce phosphorus availability in soils by more than 20% in rice fields. Since phosphorus is an essential fertiliser for the crop, this could substantially affect final yields.

How substantially? By as much as 55%, it turns out. The research has pinpointed that over half of large rice paddy fields in India and China could experience an increased risk of yield reduction due to this phosphorus deficiency.

This isn't the worst of it either; other low-income countries in Southeast Asia, Central America, Africa and the Middle East could see even riskier percentages, going up as high as 70% in some places.

Atmospheric CO2 is actually an excellent source of carbon for crops, which helps increase them photosynthesise more, improving plant growth, biomass and yield. However, the study revealed that this was actually a double-edged sword, since its long-term presence impoverishes the soil of phosphorous.

Furthermore, phosphorus as a chemical fertiliser is unevenly distributed worldwide, making its import exceedingly valuable to countries without the resource. India is a prime example, with the country 90% dependent on rock phosphate as the key raw material in DAP and NPK fertilisers. In the past, phosphorus import prices have skyrocketed during food crises, which can severely exacerbate the food security of countries with inadequate purchasing powers.

MUMBAI/HANOI/ BANGKOK: Vietnam’s rice export prices extended gains this week as it shipped more of the staple grain to China, while rates in top exporters India and Thailand were weighed down by a weakening in their domestic currencies.

Vietnam’s 5% broken rice prices were offered at $450 per tonne on Thursday, up from $440-$445 range a week ago. “Prices edged up as shipments to China are recovering, while Indonesia is said to be buying more to improve its national reserves,” a trader based in Ho Chi Minh City said.

The central bank’s move to cut its policy rates on Wednesday would give a boost to export activities, including rice shipments, the trader said. Top exporter India’s 5% broken parboiled variety was quoted at $382 to $387 per tonne, down from last week’s $385 to $390 range.

“Rupee’s fall is allowing us to reduce export prices.

Demand from African countries is also weak,” said an exporter based at Kakinada in the southern state of Andhra Pradesh. Meanwhile, Thailand’s 5% broken rice prices were quoted at $455 per tonne, down slightly from last week’s $460. Prices were impacted by changes in the exchange rate, said a Bangkok-based trader. “Supply and demand have been quiet,” the trader said. A weakening currency makes exports from the country cheaper in dollar terms.

The eligible agencies which have undertaken the initiatives for the promotion of Geographical Indications (GIs) products shall be provided financial assistance by the government.

Operational guidelines have been issued by the Department for Promotion of Industry and Internal Trade (DPIIT) for the financial assistance for undertaking the initiatives for the promotion of GIs.

Financial Assistance to Agencies to Promote Geographical Indications (GIs) Products

Dealing with the investments and intellectual property rights (IPRs), DPIIT is an arm of the commerce and industry ministry whereas the Geographical Indications (GIs) products are primarily an agricultural, natural or manufactured product (handicraft and industrial goods) originating from a definite geographical territory.

Essentially attributable to the place of its origin, typically this name conveys an assurance of quality and distinctiveness.

Some of these famous goods that carry GI tag include Basmati rice, Darjeeling Tea, Chanderi Fabric, Mysore Silk, Kullu Shawl, Kangra Tea, Thanjavur Paintings, Allahabad Surkha, Farrukhabad Prints, Lucknow Zardozi and Kashmir Walnut Wood Carving.

In a note DPIIT said that “In accordance with the objectives of national IPR policy, Government of India will provide financial assistance to eligible agencies for undertaking initiatives for Promotion of GIs, which aims to create awareness about significance of GIs and its uniqueness, promoting registered Indian GIs, identify potential GIs and encourage stakeholders towards registration”.

The objective as per DPIIT is to be provide varied platforms to GI stakeholders thereby giving them ample opportunities for business development and income generation.

Extra Information Related to GI goods producers shall be added

It said that the initiatives would also include capturing socio- economic status of GI goods producers, their livelihood conditions and other related information, which would assist in devising suitable policy interventions.

It said that the “financial assistance will be extended to eligible agencies as 100 per cent grants in aid for undertaking initiatives for promotion of GIs.”

As mentioned in the operational guidelines, the disbursement of the assistance will be subject to actual expenditure or head-wise maximum permissible amount whichever is less for grants-in-aid.

It also said, while throwing light on eligible agencies, that the department may on its own undertake initiatives for the promotion of GIs within the country as well as abroad with Indian diplomatic missions or its agency or jointly with India’s apex industry chambers and their overseas counterparts.

After a product gets a GI tag, any person or company cannot sell a similar item under that name. This tag is valid for a period of 10 years following which it can be renewed.

The other benefits of GI registration include legal protection for the item, prevention against unauthorised use by others, and promotion of exports.

Shippers may not approach Government unless volume takes a hit

Indian rice exporters will unlikely demand a rollback of the 20 per cent export duty by the Government as long as the volume of shipments does not drop.

“Demand for Indian rice has picked up despite the export duty. Some buyers might have converted from buying white (raw) rice to parboiled (boiled). The duty has helped the government,” said BV Krishna Rao, President, The Rice Exporters Association (TREA). 

Centre’s earnings

On September 8, 2022, the Centre imposed a 20 per cent duty on exports of white and brown rice in order to keep domestic prices on a leash following fears of the crop being affected by deficient rains. 

The move came at a time when demand for Indian rice was high in the global market as other origins such as Thailand and Vietnam were offering the cereal at far higher prices. 

Rao said even if the Centre had earned $50 a tonne on average since September, it could have easily earned $0.5 million (₹414 crore).  “If there is a drop in the volume of exports in any quarter then we might approach the Government for some remedy. Until then, we may not seek a duty cut,” he said. 

Rising enquiries

According to data from the Agricultural and Processed Food Products Export Development Authority (APEDA), non-basmati exports during the April-January period of the current fiscal were 14.56 million tonnes (mt) against 14.01 mt in the year-ago period. Between September and January, exports were 5.48 mt, down marginally from 5.8 mt a year ago. 

According to M Madan Prakash, President, Agricultural Commodities Exporters Association (ACEA), enquiries for Indian rice, particularly 5 per cent white, are good. “Vietnam is seeking 5% white rice. We are quoting around $430 a tonne cost and freight,” he said. 

VR Vidya Sagar, Director, Bulk Logix, said demand for Indian rice continues, particularly for parboiled rice. “Prices have stabilised now after a fall. There is decent demand for 25% broken white rice from Vietnam for use as feed,” he said.

May rise from April

Indian parboiled rice is quoted at around $390 a tonne, while white rice prices were over $400. The 25% white rice is quoted between $380 and $410 depending on the variety. 

For parboiled rice, demand is good from Coutnou, Casablanca and Jordan. Though demand is decent for Indian rice, exporters continue trading with their regular old buyers, Sagar said. 

A Delhi-based analyst said rice prices are ruling stable now as the new crop arrivals have begun in Vietnam and Thailand. But prices could begin increasing from April onwards and they could continue their northward journey until September. 

“Prices will be firm at least till September,” said the analyst. 

Record-high Indian crop

In the global market, rice prices in Thailand dropped by one per cent last week as the Thai Baht gained. However, Indian rice is still competitive by over $10 a tonne compared to other origins such as Vietnam and Thailand. 

“The price difference will increase once Thailand and Vietnam arrivals get over,” the analyst said. 

India will likely be helped by a record-high crop this season to June despite kharif output being lower. The Ministry of Agriculture has estimated rice production this year at 130.83 mt compared with 130.5 mt last year. 

Rabi production has been projected at 22.76 mt this year against 18.5 mt a year ago. Rice output is estimated higher in the rabi season in view of higher acreage in States such as Telangana. 

NEW DELHI, INDIA – Last week, the U.S. Department of Agriculture (USDA) reported in the March World Agriculture Supply and Demand Report that India will continue to dominate the world rice trade in the 2022/23 marketing year, projecting that they will break their own world record with 22.5 million metric tons (MT) of rice exports on tap.

In May 2022, the U.S. government along with nine other governments initiated technical consultations with India regarding their egregious trade distorting rice subsidies that feed into their public stockholding program and violate the terms of the Bali Peace Clause. However, to date, the U.S. government has not taken formal action to address India’s explicit World Trade Organization (WTO) violations.

The rise in exports shown above is not coincidental but corresponds with significant increases in production which corresponds with the Indian government’s significant increases in the price they pay farmers to buy their paddy rice for government stocks. According to USDA figures, in 2010/11, that price roughly translated to $120 per MT of paddy rice whereas the 2022/23 price is roughly translated to $259 per MT of paddy rice.

A government-guaranteed price of $259 per MT of long grain paddy rice converts to about $13.16 per hundredweight coupled with a series of input subsidies that cover as much as 85 percent of the total cost of production. USDA estimates that the Indian government will purchase as much as 59 million MT of paddy rice from Indian farmers this year, which equates to $15.28 billion in just procurement costs alone at the government rate of $248 per MT.

“Just six months ago, the Indian government had imposed export restrictions on rice because of alleged food shortages, but within weeks they had put themselves on track for another record crop year and another record year of rice exports, continuing to penetrate markets across the globe, including the United States, with their artificially low-priced rice,” said Bobby Hanks, Louisiana rice miller and chair of the USA Rice International Trade Policy Committee.

Despite India’s claims around their domestic food security last year, they continued to export a record amount of rice and crowd out other, more reliable exporters, worsening uncertainty for needy rice importers. At the same time, India was making deals with Russia to funnel fuel and fertilizer into their country while most of the world stood in solidarity with Ukraine.

“India’s policies not only violate their WTO commitments, but also impact the livelihoods of those that produce or consume rice across five other continents,” Hanks added. “It is long overdue for countries that are concerned about the future of the multilateral trading system and the livelihoods of their producers to address India’s protectionist policies through formal dispute settlement. We encourage the U.S. Trade Representative to initiate a dispute settlement action to help American farmers and our counterparts compete on a level playing field and prevent further industry consolidation.”

LAHORE: The sub-committee on ‘rice seed’, which met here on Tuesday with Governor Punjab Muhammad Balighur-Rehman in the chair, discussed various proposals aimed at boosting rice production for fetching precious forex through the export of commodity.

Suggestions were also presented in the meeting regarding the improvement of rice seed.

Speaking on this occasion, the Governor said that rice is important cash crop that fetches billions of foreign exchange besides meeting the country’s nutritional requirements.

“All the stakeholders would have to give special attention on research on rice seed to increase rice production substantially and explore new markets to increase export of rice,” he said. “Modern research is needed to improve the quality of seed to increase the export of rice so that the production of high quality rice in the country and its export can be boosted through joint efforts.”

He said he will play his role in conveying the recommendations of the Rice Seed Committee to the provincial and federal governments to support the rice seed producers and rice exporters in the country.

Convener of the sub-committee on rice, Shahzad Ali Malik, put forward the recommendations and said that private seed companies producing hybrid seeds of modern technology in the country should be allotted government land on easy terms for the cultivation of seeds.

He also demanded to simplify the rules and regulations related to breeding at the local level and also to provide interest-free loans for research and development of the institutions that produce seeds of modern technology at the local level. He emphasized on providing the facility of conducting tests from, at least three accredited laboratories.

Members of the Rice Seed Committee, Dr. Khalid Hameed, Muhammad Asim, Tahir Saleemi, Prof. Dr. Muhammad Saleem Haider and Dr. Abid Mehmood, besides representatives of Agriculture University Faisalabad, MNS Agriculture University Multan were present.

Copyright Business Recorder, 2023

Meeting was held at the Governor’s House

LAHORE:

Punjab Governor Balighur Rehman presided over a meeting of the Sub-Committee on Rice Seed to review suggestions regarding improvement of the rice seed.

The meeting was held at the Governor’s House on Tuesday.

The governor said that rice was an important cash crop that earned the country billions in foreign exchange besides meeting the country’s nutritional requirements.

He said that all the stakeholders had to give special attention to the research on rice seed to increase rice production substantially and explore new markets to increase export of rice.

The governor said that modern research was needed to improve the quality of the seed to increase the export of rice so that the production of high quality rice in the country and its export could be boosted through joint efforts.

NEW DELHI: India’s rice export prices extended their decline this week as demand from key importing countries faltered, while supplies in Vietnam boomed due to peaking winter-spring harvest in the Mekong Delta.

India’s 5% broken parboiled variety was quoted at $385-$390 per tonne this week from last week’s $390-$395. Prices have been sliding from around $400 reached in the week of Feb. 23, their highest since March 2021.

The recent upside in export prices and an increase in freight rates for break bulk vessels were affecting demand, said Himanshu Agarwal, executive director at Satyam Balajee, India’s leading rice exporter.

India does not plan to lift a ban on broken rice exports and cut a 20% tax on overseas shipments of white rice, as the world’s biggest exporter of the grain tries to keep a lid on domestic prices, two government sources said last month.

In Vietnam, the 5% broken rice was offered at $440-$445 per tonne, unchanged from a week ago.

Traders said the winter-spring harvest is peaking in the Mekong Delta provinces, giving a boost to domestic supplies, which hasn’t impacted prices as demand is expected to be strong.

The country exported 534,607 tonnes of rice in February, according to government customs data released on Thursday.

Meanwhile, Thailand’s 5% broken rice prices was quoted at $460 per tonne, little changed from $450 to $460 seen last week.

“Prices are still standing at this level because (changes to) supply and demand have been quiet,” said a Bangkok-based trader. “We have to wait for the new harvest.” Meanwhile, domestic rice prices in Bangladesh stayed elevated, despite efforts to cool rates of the staple grain.

The government has allowed private traders to import rice while it’s also buying from the key exporting countries such as Vietnam, India and Myanmar.

Unlike the case in EU, Pakistan did not contest India's application in Australia

ISLAMABAD: The Australian government has rejected India’s application for exclusive rights of Basmati rice on the grounds that it is not grown only in India.

The development comes while the European Union (EU) remains undecided on a conflict between India and Pakistan over basmati’s Geographical Indication (GI) tag.   

According to officials, the development in Australia will support Pakistan’s case in the EU wherein Islamabad has opposed the Indian application on the grounds that the rice variety is grown in both South Asian countries. 

A geographical indication (GI) is a sign used on products that have a specific geographical origin and ensures good qualities or a reputation in the region. A protected geographical indication does not entitle the holder to prevent someone from making a product using the same techniques that are used in the standards for that indication.

Sources informed Profit that unlike the case in EU, Pakistan did not contest the India’s application in Australia. In fact, Canberra itself rejected New Delhi’s application knowing that the rice is grown in both the neighboring countries. However, India has reportedly moved the federal court of Australia in appeal against the decision.

The trade dispute started back in 2019 when India filed the application for basmati’s name and logo. Sources informed Profit that India has applied for the exclusive trade rights of basmati in over 20 countries where the best quality of rice is marketed. 

“After the case in EU, Pakistan has also applied for exclusive GI Tag for Basmati in a number of countries like USA, Thailand, UK and others,” they claimed, adding that the applications may face opposition from India in the same way Pakistan did in EU.

Pakistan registered Basmati as GI product after approval of the GI Law of the country. It had registered its GI for basmati rice in 2020 after India had falsely claimed its produce of basmati rice to be original in an attempt to hinder Pakistan’s trade in the EU. The Trade Development Authority of Pakistan (TDAP) was given the task of registering all the merchant profiles and trade routes and with the Intellectual Property Organisation (IPO). 

In September 2020, India had applied for an exclusive GI tag for Basmati rice in the EU. The EU had applauded India’s application in its official journal, showing basmati rice as an Indian origin product asking if there was any opposition to the application within 90 days.

To support its claim of exclusivity, India in return referred to various reports and dictionaries to show that the basmati rice is of Indian origin and conveniently left out the part that the same rice is widely produced in Pakistan.

Subsequently Pakistan, the second-largest exporter of basmati, filed opposition against India’s claim. The main grounds for opposition were that both Pakistan and India produce basmati, and therefore, it was a joint product of both the countries.

Rice industry facing series of challenges amid global headwinds

KARACHI:

Unquestionably hybrid rice is a model of China-Pakistan agricultural cooperation in Sindh, remarked Zhou Xusheng, Director of Pakistan Business Department, Wuhan Qingfa Hesheng Seed Co Ltd, a Chinese developer and provider of hybrid seeds.

Amidst global headwinds, Pakistani rice is facing a series of challenges.

Rice Exporters Association of Pakistan (REAP) President Chela Ram Kewlani indicated that during the first seven months of FY 2022-23, exports of Pakistani rice decreased by 15.82% year-on-year to $1.08 billion.

The decrease came mainly due to flood damage to paddy fields in Sindh, where rice production decreased by 40%, he added.

Qingfa Hesheng has been providing hybrid seeds of rice, canola and vegetables to Pakistan for nearly 20 years as well as training more than 300 local agriculturalists. It registered the first hybrid rice variety, QY0413, in the history of Pakistan.

“It may take three years for rice export, which is an important means to earn foreign exchange, to recover,” Zhou noted. “However, we have made preparation for such a situation.”

First, the stress resistance of crop varieties should be improved. Second, seed production can be carried out separately in Pakistan and China, spreading risk in the face of extreme weather. Currently, test fields are located in Lahore, Chiniot, Shikarpur and Golarchi.

Annual average temperature here is much higher than that in China’s main rice climate zone. Therefore, in the selection of rice varieties, it is imperative to guarantee the seed setting rate and quality under high temperature.

“It is precisely because of the hot and dry climate in Pakistan that hybrid rice diseases are much less than those in China, such as bacterial blight, but far less hazardous.”

Exports of Basmati rice fell 22.95% to 316,055 tonnes in the first seven months of current fiscal year from 410,207 tonnes in the same period of last year. Similarly, exports of non-basmati rice fell 25% to 1.62 million tonnes, according to the Pakistan Bureau of Statistics (PBS) data.

THIS ARTICLE ORIGINALLY APPEARED ON THE CHINA ECONOMIC NET

MUMBAI/HANOI/ BANGKOK/DHAKA India’s rice export prices extended their decline this week as demand from key importing countries faltered, while supplies in Vietnam boomed due to peaking winter-spring harvest in the Mekong Delta.

India’s 5% broken parboiled variety was quoted at $385-$390 per tonne this week from last week’s $390-$395. Prices have been sliding from around $400 reached in the week of Feb. 23, their highest since March 2021.

The recent upside in export prices and an increase in freight rates for break bulk vessels were affecting demand, said Himanshu Agarwal, executive director at Satyam Balajee, India’s leading rice exporter. India does not plan to lift a ban on broken rice exports and cut a 20% tax on overseas shipments of white rice, as the world’s biggest exporter of the grain tries to keep a lid on domestic prices, two government sources said last month.

In Vietnam, the 5% broken rice was offered at $440-$445 per tonne, unchanged from a week ago. Traders said the winter-spring harvest is peaking in the Mekong Delta provinces, giving a boost to domestic supplies, which hasn’t impacted prices as demand is expected to be strong.

The country exported 534,607 tonnes of rice in February, according to government customs data released on Thursday. Meanwhile, Thailand’s 5% broken rice prices was quoted at $460 per tonne, little changed from $450 to $460 seen last week.

Rise comes despite 20% export duty on white rice, ban on fully brokens

India’s non-basmati rice exports surged 4 per cent to 14.56 million tonnes (mt) during the April-January period of the current fiscal from 14.01 mt a year ago. This is despite the Government imposing a 20 per cent export duty on white (raw) rice and banning shipments of fully broken rice.. However, with an upward trend in freight cost, the realisation by exporters may get hit if importing countries do not absorb any increase.

The non-basmati rice segment registered a 3 per cent growth in value at $5.17 billion (₹41,273 crore) from $5.01 billion in the year-ago period, according to the latest data from the Agricultural and Processed Food Products Export Development Authority (APEDA). In the entire 2021-22, non-basmati rice export was 17.26 mt worth $6.12 billion (₹45,652.35 crore).

Freight uptrend

Exporters said when the government imposed the duty in September last year, the freight cost was about $100-$120/tonne and it was declining. While it dropped to about $50/tonne in February, it began to show an uptrend in the first week.

“Importing countries did not feel the impact of export duty as in the same period there was a fall in the freight cost. One thing is established the world now knows India as a credible destination for non-basmati rice,” said BV Krishna Rao, President of The Rice Exporters Association (TREA). There is no concern for now and exporters are ready to wait for the next kharif crop’s arrival in October to see if any policy change will be required, Rao said.

He said the increase in non-basmati rice has to be seen amid the crop failure in Pakistan and also the quantitative restriction in Myanmar. However, he said: “The world needs Indian rice. We will seek a change in policy if at all there is a drop in export.”

Fair assessment in Sept

Rao further said even after the imposition of export duty, neither there is a substantial improvement in procurement, nor a decline in export. He said a fair assessment could be made by September about how the kharif paddy crop would be and a decision could help exporters to enter into new contracts for shipments from October-November.

“As no fresh crop from any other origin to come before September, we are fairly covered till then. A policy review at that time will be definitely of help,” Rao said.

Meanwhile, basmati rice increased 41 per cent to $3.82 billion (₹30,514 crore) in the 10 months to January and there was an 18 per cent surge in volume to 3.66 mt. Total exports of rice (both non-basmati and basmati) increased 16 per cent to $8.98 billion (₹71,787 crore).

The European Union suggests raising the maximum residue level (MRL) for tricyclazole in rice from 0.01 mg/kg to 0.09 mg/kg after determining that the increased level poses no risk to consumers.

The European Food Safety Authority (EFSA) has proposed raising the level of tricyclazole in rice after concerns about permitting a higher limit were addressed sufficiently.

The European Standing Committee on Food Chain and Animal Health is now expected to ratify the proposal in May. The decision should encourage Indian rice exporters, as the presence of fungicide residue has been a source of concern for shipments to the EU. However, India has requested that the MRL for the chemical be reduced to 1 mg/kg.

Tricyclazole is a fungicide used to treat blast disease in rice. Japanese scientists conducted tests on mice that resulted in decreased body weight gain as well as increased organ weight and others in the rodent's liver.

Corteva Agriscience had applied to Italy's competent national authority, which is the rapporteur Member State (RMS) of the EU, to set an import tolerance for the active substance tricyclazole in rice, according to EFSA. According to trade experts, Italy is one of the EU members who is dissatisfied with the EFSA regulations because it is a major producer of rice.

In accordance with EU regulations, the RMS created an evaluation report. On April 26, 2018, it was submitted to the European Commission and forwarded to the European Food Safety Authority (EFSA). "The RMS proposed setting the MRL for rice imported from Brazil at 0.09 mg/kg," it said.

As a result, the EFSA identified the evaluation gaps, and the RMS submitted a revised evaluation report on October 7, 2022. "Based on the risk assessment results, EFSA concluded that the short-term and long-term consumption of residues resulting from the reported agricultural practise of tricyclazole is unlikely to pose a risk to consumer health," the authority stated.

Tricyclazole "is stable," according to hydrolysis studies conducted to investigate the effect of processing on its nature. "Because the proposed use of tricyclazole is on imported crops, residue investigations in rotational crops are not required," EFSA stated.

Rice bran, a byproduct of (husked) rice, may be used for feed purposes, and a potential carry-over into animal food was assessed. For all relevant animal species, the measured livestock dietary burden did not exceed the trigger value of 0.1 mg/kg dry matter (DM).

"Because the relative contribution of tricyclazole residues from rice hulls to total livestock exposure was insignificant, animal commodities were not further considered in this application," according to EFSA. The EFSA concluded that "the recommended use of tricyclazole on rice will not lead in a consumer exposure exceeding the toxicological reference values so it is unlikely to pose a risk to consumers' health".

EFSA moots raising maximum residue level on tricyclazole to 0.09 mg/kg

The European Union proposes to raise the maximum residue level (MRL) for tricyclazole in rice to 0.09 mg per kg from 0.01 mg/kg after finding that the raised level is unlikely to cause any risk for consumers.

The European Food Safety Authority (EFSA) has proposed the hike in the level of tricyclazole in rice after concerns over allowing the higher limit had been sufficiently addressed. 

The proposal is now expected to be ratified by the European Standing Committee on Food Chain and Animal Health in May. 

India’s demand

The decision should encourage Indian rice exporters as the fungicide residue’s presence has been a concern for shipments to the EU. However, India has been seeking an MRL of 1 mg/kg for the chemical. 

Tricyclazole is a fungicide that is used to control the blast disease in rice. Tests carried out by Japanese scientists on mice are reported to have led to decreased body weight gain and increased organ weight and others in the rodent’s liver. 

EFSA said Corteva Agriscience had submitted an application to  Italy’s competent national authority, which is the rapporteur Member State (RMS) of the EU, to set an import tolerance for the active substance tricyclazole in rice. 

According to trade experts, Italy is one of the EU members who has been unhappy with the EFSA regulations since it is a significant producer of rice. 

Evaluation resubmitted

The RMS drafted an evaluation report in accordance with the EU regulations. It was submitted to the European Commission and forwarded to the European Food Safety Authority (EFSA) on April 26, 2018. 

“The RMS proposed to establish MRL for rice imported from Brazil at the level of 0.09 mg/kg,” it said.

In turn, the EFSA identified the gaps in the evaluation and the RMS submitted a revised evaluation report on October 7, 2022. 

“Based on the risk assessment results, EFSA concluded that the short-term and long-term intake of residues resulting from the use of tricyclazole according to the reported agricultural practice is unlikely to present a risk to consumer health,” the authority said.

Hydrolysis studies conducted to investigate the effect of processing on the nature of tricyclazole demonstrated that tricyclazole “is stable”. “As the proposed use of tricyclazole is on imported crops, investigations of residues in rotational crops are not required,” EFSA said.

Impact on feed

As by-products from (husked) rice, rice bran may be used for feed purposes, a potential carry-over into the food of animal origin was assessed. The calculated livestock dietary burden did not exceed the trigger value of 0.1 mg/kg dry matter (DM) for all relevant animal species. 

“The relative contribution of tricyclazole residues from rice hulls to the total livestock exposure was insignificant, and therefore, animal commodities were not further considered in this application,” EFSA said.

The EFSA concluded that “the proposed use of tricyclazole on rice will not result in a consumer exposure exceeding the toxicological reference values and therefore is unlikely to pose a risk to consumers’ health”.

BRRI dhan 105 is diabetic- friendly while BRRI dhan 106 is a submergence -tolerant variety

The government on Thursday released two new varieties of rice aiming to boost production of the main staple in a changing climatic condition.

The National Seed Board (NSB) at a meeting gave the go-ahead to the rice varieties- BRRI dhan 105 and 106-, developed by the Bangladesh Rice Research Institute (BRRI).

With the development, the number of BRRI developed rice varieties is now 113.

Beneficial for diabetic patients upon being on a low glycemic index (GI) of 55, BRRI dhan 105 has been developed for Boro season, says a BRRI press release.

BRRI dhan 106 which is a submergence-tolerant Aus variety has been developed for the non-saline tidal areas of Barishal division, it was revealed at the NSB meeting presided over by Agriculture Secretary Wahida Akter.

Director General of BRRI Dr Shahjahan Kabir said average production of BRRI dhan 105 is 7.6 tonnes per hectare (paddy form) and it would take 148 days to harvest.

He added BRRI dhan 106 would take only 117 days to grow while its production is 4.79 tonnes per hectare which is nearly 17.4 per cent higher than that of its traditional alternative BRRI dhan 27.

Both the varieties are medium slender grains.

However, despite development of 113 varieties by the BRRI, only a few are dominating farmlands in the country, creating a market imbalance, said experts.

BRRI dhan 28 and 29, developed in 1993, dominate above 50 per cent land in Boro season and BRRI dhan 11, 22, 49 and trans-boundary variety Swarna capture above 80 per cent land in Aman season.

The government has highly been emphasising popularising the new varieties for a changing climate as well as to boost production of the staple grain.

WASHINGTON, DC – More than 50 farmer members of USA Rice fanned out on Capitol Hill and around Washington this week for more than 60 meetings with lawmakers, key Congressional staff, and Administration officials to share industry priorities as the 2023 Farm Bill gets underway and make their case for why they should be considered.

“We were unified with our messaging that the Farm Bill is hugely important for us and we have significant concerns that are likely unique to rice,” said Curtis Berry, a Mississippi rice farmer and chair of the USA Rice Farm Policy Task Force. “The Price Loss Coverage program is our true safety net, but the reference price is based on cost of production data that is more than 10 years old. In today’s environment, cost of production data from 10 months ago is out of date.”

Berry said his group talked about runaway input costs and stagnant prices as a result of global market manipulation by India as adding to the rice industry’s woes.

“U.S. rice acres in 2022 were the lowest in 40 years,” Berry said. “The impact of the decline is significant: the average U.S. rice farm contributes $1 million to its local economy, and the industry provides more than 125,000 jobs and $3.5 billion in critical wildlife wetland habitat in the off-season.”

Berry added that rice farmers are 100 percent committed to conservation and sustainability, but that government conservation programs should focus on working lands, avoid inflexible climate-related sideboards, and be locally-led, voluntary, and incentive-based.

“We want to do the right thing, but if we can’t remain viable as a business, we won’t be able to pursue any of these conservation goals,” Arkansas rice farmer Mark Isbell said to the minority staff of the House Agriculture Committee during a meeting yesterday.

The message appears to be resonating.

“Let me put it this way,” said House Agriculture Committee Chairman GT Thompson (R-PA) in a meeting with rice representatives on Wednesday morning, “the Farm Bill is not going to be a Climate Bill.”

“I want to thank everyone who left their farms this week to join us in Washington to advocate on behalf of the entire industry,” said Mississippi rice farmer and USA Rice Chair Kirk Satterfield. “We really appreciate the many Members of Congress, the Senators, and their staffs who joined us, and it was wonderful to hear directly from Secretary of Agriculture Tom Vilsack on Tuesday who shared some positive news about assistance heading to our beleaguered industry in the near future.”

The 2018 Farm Bill is set to expire on September 30, 2023.

Prices of rice shipped from top hub India eased this week on a slowdown in demand from buyers in Africa, while Bangladesh looked to clamp down on hoarding to tame soaring local rates for the staple.

Rates for India’s 5% broken parboiled variety fell to $390-$395 per tonne from $397-$404, which was the highest in about two years, were also hurt by a depreciation in the rupee.

Buying from African countries has slowed a bit due to the recent rally in prices, said a Mumbai-based dealer with a global trade house.

India does not plan to lift a ban on broken rice exports and cut a 20% tax on overseas shipments of white rice as the top exporter tries to keep a lid on domestic prices, two government sources said last month.

In Bangladesh, domestic prices stayed elevated despite good crops and reserves, which officials blamed on hoarding by middlemen.

The government has warned of legal action against those involved.

“Surveillance has been increased. New laws are being enacted,” Bangladesh Food Minister Sadhan Chandra Majumder said.

Thailand’s 5% broken rice prices were quoted at $450 $460 per tonne, a slight dip from the $460 range last week.

“Supply and demand have been muted because it’s early in the month, (so) we have to wait for the new harvest,” said a Bangkok-based trader.

In Vietnam, 5% broken rice was offered at $440-$445 per tonne, down from $457 per tonne a week ago.

“Prices edged lower as supplies are building up amid the winter-spring harvest,” a trader based in Ho Chi Minh City said.

While prices may ease further as the harvest peaks this month, strong global demand will prevent a more pronounced retreat, traders said.

One of the two varieties pose low diabetes risk

The National Seed Board on Thursday approved two new rice varieties developed by the Bangladesh Rice Research Institute to boost crop production prospects and food security hopes in the country.

Of the two varieties, Brri-105 is ideal for cultivating in the March-May period (Boro season) in arable land, and Brri-106 is intended to be cultivated in the July-August period (Aush season) in non-saline tidal areas.

The two new varieties take the national rice research institute's total developed rice varieties to 113.

According to the institute, Brri-105 has low score at the glycemic index, meaning it has low-sugar content and poses very low diabetes risks. Thus, it can become very popular, the institute claims. The rice variety can be identified through its green and straight leaves, as well as medium-long, golden-coloured and thin grains.

The average output of the variety is 7.6 tonnes per hectare but it can yield up to 8.5 tonnes in the best possible conditions. 

Brri-106 can on average produce 4.79 tonnes per hectare, which is over 17% higher than the yield of Brri-27 in areas frequented by unsalted tidal waters.

Uttar Pradesh makes the “fastest delivery” of custom milled rice to Centre in the country after application of technology for automatic allotment of paddy to mills

Uttar Pradesh has made the fastest delivery of custom milled rice (CMR) to the Centre, saving around ₹1300 crore as interest burden and eliminating the possibilities of malpractices that millers often indulged in by delaying the delivery of processed rice to the state government, officials aware of the issue said.

Application of technology for automatic allotment of paddy to genuinely performing rice mills and elimination of discretion and human interference in the whole process is believed to be the game- changer this year.

Custom milled rice is manufactured by milling paddy that the state government procures at the minimum support price (MSP) from farmers. The government gives the procured paddy to mills, which are supposed to deliver CMR to the government by March-April. The rice received from mills is finally handed over the Centre. It is only after the final CMR delivery that the Centre reimburses money already spent by a state in purchasing paddy from farmers.

“We have already delivered 9 lakh MT of CMR to the Centre and the remaining quantity of the same will also be delivered by March 2,” principal secretary, food and civil supplies, Veena Kumari Meena said.

This, she claimed, was the fastest CMR delivery by any state in India.

“Earlier, we kept on delivering to the Centre till as late as October because of which our money remained blocked and the interest burden continued to mount,” she said.

“Use of technology in allotment of paddy to deserving mills did the trick,” she emphasised.

Commissioner, food and civil supplies, Sourabh Babu said the government made a lot of technological interventions that not only curbed various malpractices prevalent in the procurement chain but also ensured fast delivery of CMR from mills and then to the Centre.

“A new provision in the software, for example, ensured that paddy allocation to mills was done automatically on merit without any human interference and this helped. Uttar Pradesh is the first state to do this,” he explained.

Paddy allocation to manufacture CMR was made among 1800 mills.

People aware of the issue said that vested interests tried their best to throw a spanner in the government’s plan to introduce the new system of automatic selection of rice mills for paddy allotment.

Earlier, allotment was made manually by the department’s inspectors who used their discretion for the purpose.

“Often, deliberately or otherwise, paddy was allotted disproportionately to mills, many of which were not able to do the job on time due to lack of capacity,” said an official.

“Many mills also indulged in bungling and malpractices. There was always the possibility for the millers to sell the undelivered rice in the open market at higher rates, and deliver the rice of the earlier season to FCI at the current higher market price,” he said.

Arun Kumar Singh, who retired as additional commissioner (marketing) three months ago, said timely delivery of CMR to the Centre will help the government save hundreds of crores of rupees as interest that it had to pay to lending banks.

“Various government agencies have to take loan from banks to buy paddy or wheat from farmers at MSP. While the government pays farmers promptly after purchase, the Centre reimburses bills only after delivery of CMR. Delay in CMR delivery blocks the cash flow and increases interest burden,” he said.

“Quality issues also cropped up when CMR was delivered to the Centre after the rains,” he added.

Some other reforms were also made during the last one-two years to eliminate role of middlemen in the procurement system to ensure that only genuine farmers avail of MSP and they got quick payments to their account. These steps include introduction of Aadhaar-based farmer registration system, integration of land records, verification of bank accounts, biometric authenticated procurement, biometric authentication of farmers and installation of dusters at all the procurement centres.

“The impact has been huge in terms of proper identification of farmers, weeding out of middlemen, control on disproportionate procurement, proper utilization of funds, faster payment of MSP, real-time monitoring of purchase and payments and purchase of good quality stuff,” Singh said.

(Adds details, rice exports to the Middle East)

By Kitiphong Thaichareon and Satawasin Staporncharnchai

BANGKOK, Feb 27 (Reuters) - Thailand's rice exports for January were at 805,519 tonnes, up 75.2% from a year earlier, helped by year-end orders, higher demand from the Middle East and a weak baht currency, the Commerce Ministry said on Monday.

The value of rice exports rose 78.76% to 14.28 billion baht ($406.72 million) in January year-on-year, Ronnarong Phoolpipat, head of the ministry's foreign trade department, told a news conference.

"Rice exports in January increased by a shocking rate," he said, adding the ministry's trade promotion efforts also helped.

He singled out "an opportunity to export further" to the Middle East given some Arab nations' high purchasing power and low agricultural output.

The region was the only growing market for Thai rice in the last year, taking 2.02 million tonnes of rice, or 26% of total rice shipments, Ronnarong said.

In 2021, Thailand shipped out only 630,000 tonnes of rice to the region, he added.

However, the ministry is sticking to its overall rice export target of 7.5 million tonnes this year as it wants to monitor the baht before deciding whether to revise the target, he said.

Earlier this year, the ministry lowered its export target for 2023 from 8 million tonnes to 7.5 million tonnes as the baht, which dropped as much as 13% against the dollar in October last year, appreciated.

The baht has weakened again, by 1.5% against the dollar so far this year, becoming Asia's third-worst performing currency.

Thailand is the world's third-largest rice exporter after India and Vietnam.

Thailand exported 7.69 million tonnes of rice in 2022, up 22.1% from a year earlier, beating a target of 7.5 million tonnes, with top markets being Iraq, South Africa, China and the United States.

($1 = 35.1100 baht) (Reporting by Kitiphong Thaichareon and Satawasin Staporncharnchai Writing by Orathai Sriring Editing by Kanupriya Kapoor)

LONDON, ENGLAND – The Lunar New Year took the edge of a previously bullish rice market, slowing down sales in late January, after prices started the year with rises.  

In its Grain Market Report of Feb. 16, comparing with its previous report, which was published on Jan. 12, the International Grains Council (IGC) said “with activity curtailed by Lunar New Year celebrations, average international rice prices were little changed month-on-month amid offsetting movements across key exporters.” 

“In Thailand, export values for 5% broken retreated by $23, to $460 fob Bangkok, as early gains, linked to currency movements and the covering of previously agreed sales, were later more than reversed by weak buying interest,” the London, England-based IGC said. “In Pakistan, initial support from rising local values was likewise countered by pressure from slow international demand, while Vietnamese 5% broken firmed as traders awaited fresh supplies from the upcoming winter/spring harvest. 

“Indian 5% broken offers were $15 higher, at $433 fob Kakinada, amid steady buying interest and solid government procurement.”  

The US Rice Producers Association, in its Rice Advocate publication of Feb. 17, noted a USDA attaché report highlighting the continued drought in South America.

“With approximately 10% of the harvest complete, it is expected that farmers have been forced to abandon approximately 50,000 acres of rice on account of the drought in Corrientes and Entre Rios,” the USDA said. “Rainfall in 2022 was only half of the annual average, so producers who planted hoping for rain and surface water were sorely disappointed.

“This will ultimately result in a shorter exportable supply, with key export markets like the EU, Brazil, and Chile competing for the product. In Asia, we are seeing some price softening in Thailand, likely a result of the second crop supply about to hit the market.”  

In its Rice Price Update of Feb. 3, the United Nations Food and Agriculture Organization (FAO) reported that after rising for the greater part of 2022, international rice prices opened calendar 2023 on a firm note. January’s global price level was up 6.2% from December and the highest since November 2011. 

“Indica prices drove this increase, rising 6.2% over December levels,” the FAO said. “Aromatic prices also strengthened markedly (by 9.8%), sustained by demand for Lunar New Year celebrations, preparative purchases for Ramadan and a post-harvest surge in Pakistani basmati quotations. 

“Low buying interest kept gains in Japonica prices comparatively more moderate (at 0.9%), even though this January increase placed the Japonica Index at a fresh nominal peak. By contrast, glutinous prices eased by 2%, weighed by ebbing Chinese glutinous demand.”

Asian quotations of Indica rice firmed across all the major origins in January, the FAO said.  

“The most pronounced gains took place in Thailand, where the Baht strengthened to a 10-month high, adding to the sentiment boost provided by Indonesian purchases,” the FAO said. “In Pakistan, short supplies from a flood-reduced crop and persistently elevated inflationary pressure were compounded by strong local demand for rice (including brokens), as constraints in wheat flour supplies drove consumers increasingly toward rice.” 

A further factor was that rises in currency against the US dollar influenced prices in Brazil, Vietnam and India.  

“In Vietnam, tight availabilities ahead of the winter-spring harvest provided further underpinning, as did a record pace of government domestic procurement in India, despite the smaller Kharif crop harvested in 2022,” the FAO said. “In the Americas, Iraqi purchases sustained Indica quotations in the United States, Argentina, and Uruguay.” 

India maintains rice export restrictions to control domestic prices and ensure adequate stocks

India maintains its ban on broken rice exports and 20 percent tax on white rice shipments to keep a lid on domestic prices and ensure adequate stocks amid concerns over production due to below-average monsoon rainfall in key growing states.

India has decided not to lift its ban on broken rice exports or reduce the 20 percent tax on overseas shipments of white rice as it seeks to keep a lid on domestic prices, according to two government sources. The move is expected to result in higher prices for rice buyers, particularly in Asia and Africa.

The ban on exports of broken rice and the imposition of the 20 percent duty on various other grades were introduced in September 2022 amid concerns over production due to below-average monsoon rainfall in key growing states.

Despite the restrictions, India's rice exports rose 3.5 percent to a record 22.26 million tonnes in 2022, more than the combined shipments of the next four largest exporters: Thailand, Vietnam, Pakistan, and the United States.

"We can't resume broken rice exports just because somebody in China or any other country wants it as a raw material to make ethanol or cattle feed. We'll rather prefer our domestic industry consuming it," said a senior government official who declined to be named in line with official rules.

China was the biggest buyer of India's broken rice, with purchases of 1.1 million tonnes in 2021. However, India will not be resuming exports to China or any other country at this time.

"We'd like to continue with the same arrangement," said another government source directly involved in decision-making. "Our restrictions have not deprived the world of rice, and at the same time, we've been able to maintain adequate stocks."

India's farmers plant rice, the most water-thirsty crop, in June and July when monsoon rains lash the country. Due to apprehensions that the El Nino weather phenomenon might hit this year's monsoon rains, India will extend its rice export curbs.

"We don't want to take a chance. We've limited wheat stocks but ample rice stocks, which we can use if the weather throws any big surprise," the official said.

The decision to maintain the export restrictions is expected to impact buyers, particularly in Asia and Africa, who will now have to pay more for the staple.

India's export restrictions have been in place for several months and are likely to remain so until the government is confident that monsoon rains will not have a significant impact on domestic production.

MUMBAI/NEW DELHI: India does not plan to lift a ban on broken rice exports and cut a 20% tax on overseas shipments of white rice as the world’s biggest exporter of the grain tries to keep a lid on domestic prices, two government sources said on Thursday.

New Delhi’s rice export curbs will force buyers, especially in Asia and Africa, to pay more for the staple that has become expensive in the last few weeks.

India banned overseas shipments of broken rice and imposed a 20% duty on exports of various other grades in September 2022 amid concerns over production due to below-average monsoon rainfall in key growing states.

“Rice exports didn’t slow down despite the 20% export duty, and that’s why we believe that there is no reason to reduce or scrap the duty,” said a senior government official, who declined to be named in line with official rules.

India’s rice exports rose 3.5% to a record 22.26 million tonnes in 2022. That was more than the combined shipments of the next four largest exporters: Thailand, Vietnam, Pakistan and the United States.

“We can’t resume broken rice exports just because somebody in China or any other country wants it as a raw material to make ethanol or cattle feed. We’ll rather prefer our domestic industry consuming it,” the official said.

China was the biggest buyer of India’s broken rice, with purchases of 1.1 million tonnes in 2021.

India will also extend its rice export curbs due to apprehensions that the El Nino weather phenomenon might hit this year’s monsoon rains.

“We don’t want to take a chance. We’ve limited wheat stocks but ample rice stocks, which we can use if the weather throws any big surprise,” the official said.

Indian farmers plant rice, the most water-thirsty crop, in June and July, when monsoon rains lash the country.

“Our restrictions have not deprived the world of rice, and at the same time, we’ve been able to maintain adequate stocks,” said another government source directly involved in decision-making. “We’d like to continue with the same arrangement.”

India banned overseas shipments of broken rice and imposed a 20% duty on exports of various other grades in September 2022 amid concerns over production due to below-average monsoon rainfall in key growing states.

Government does not plan to lift a ban on broken rice exports and cut a 20% tax on overseas shipments of white rice as the world's biggest exporter of the grain tries to keep a lid on domestic prices, two government sources said on Thursday.

New Delhi's rice export curbs will force buyers, especially in Asia and Africa, to pay more for the staple that has become expensive in the last few weeks.

India banned overseas shipments of broken rice and imposed a 20% duty on exports of various other grades in September 2022 amid concerns over production due to below-average monsoon rainfall in key growing states.

"Rice exports didn't slow down despite the 20% export duty, and that's why we believe that there is no reason to reduce or scrap the duty," said a senior government official, who declined to be named in line with official rules.

India's rice exports rose 3.5% to a record 22.26 million tonnes in 2022. That was more than the combined shipments of the next four largest exporters: Thailand, Vietnam, Pakistan and the United States.

"We can't resume broken rice exports just because somebody in China or any other country wants it as a raw material to make ethanol or cattle feed. We'll rather prefer our domestic industry consuming it," the official said.

China was the biggest buyer of India's broken rice, with purchases of 1.1 million tonnes in 2021.

India will also extend its rice export curbs due to apprehensions that the El Nino weather phenomenon might hit this year's monsoon rains.

"We don't want to take a chance. We've limited wheat stocks but ample rice stocks, which we can use if the weather throws any big surprise," the official said.

Indian farmers plant rice, the most water-thirsty crop, in June and July, when monsoon rains lash the country.

"Our restrictions have not deprived the world of rice, and at the same time, we've been able to maintain adequate stocks," said another government source directly involved in decision-making. "We'd like to continue with the same arrangement."

The Cambodia Rice Federation booth at the Gulfood expo. Fresh News

The Cambodia Rice Federation (CRF) participated in the Gulfood expo to promote the quality of Cambodian rice and rice products.

The Cambodian delegation was led by Chan Sokheang, President of the Cambodian Rice Federation. They participated in the expo on February 20.

The Gulfood is the largest exhibition event for the Middle East, with the 2023 event being the 28th event taking place from February 20-24. More than 5,000 food companies from 125 countries are participating in the event.

The participation of the Cambodia Rice Federation in the expo is taking place while the government tries to open markets for Cambodia in the Middle East.

On February 21, Tek Reth, Secretary of State of the Ministry of Commerce, led an inter-ministerial delegation to visit the booth of the CRF, while leading a delegation to negotiate the Cambodia-UAE free trade agreement.

Chandigarh, Feb 22 (IANS): HAFED, the apex cooperative federation of Haryana, has procured export orders of 85,000 metric tons (MT) basmati rice valuing Rs 850 crore from a Saudi Arabia importer, Managing Director A. Sreenivas said on Wednesday.

He said of this, an order of 33,000 MT has been executed and the rest is under the process of execution.

HAFED is currently participating in the world's biggest food and beverages exhibition at Dubai, aGULFOOD 2023', by putting up its exhibition stall for the first time.

Its Chairman Kailash Bhagat and Managing Director Sreenivas, along with officers, visited the exhibition and had a series of meetings with potential buyers of basmati rice for export tie-ups, an official statement said.

Sreenivas said HAFED procured export orders from the leading importer M/s Saleh A Babekar Sons Company of Riyadh.

"HAFED is also making commercial purchases of basmati paddy and has procured 2.75 lakh MT basmati paddy from farmers during the current financial year," he said.

Vietnam Food Association has just informed the price of Vietnamese 5-percent broken rice passes that of Thailand, becoming the leader in this segment, a milestone in the national target for rice export.

The winter-spring rice crop is the main one in the Mekong Delta. Thanks to favorable weather and high price, with a yield of 7.2 tonnes per hectare, farmers earn a profit of over VND30 million a hectare (US$1,260).

The Mekong Delta now has 1.5 million tonnes of rice ready for harvest. The price of Jasmine rice in Vinh Long Province and Can Tho City is at VND7,600/kg ($0.32), OM 4218 rice at VND7,400/kg ($0.31), and ST24, ST25 in Ca Mau Province at VND7,000/kg ($0.29). These are positive signals besides the stably high price of Vietnam 5-percent broken rice at $463 per tonnes ($2 higher than that of Thailand counterpart).

In this year’s winter-spring rice crop, An Giang Province is the leader in terms of rice field area under the partnership between farmers and businesses. Chairman Nguyen Thanh Giang of the Director Board of Binh Thanh Agricultural Cooperative (sited in Thoai Son District) said that his cooperative is growing rice on 1,000ha according to the order from Loc Troi Group, with a yield of 7-8 tonnes/ha thanks to proper techniques and synchronous mechanization in most steps. Loc Troi Group informed that it has made orders with farmers in the Mekong Delta for 210,000ha of rice.

Similarly, General Director Pham Thai Binh of Trung An Hi-tech Farming JSC. (sited in Can Tho City) shared that it is urgently finishing the order to sell 30,000 tonnes of rice to the markets of Singapore, Malaysia, and the Republic of Korea. The company is collaborating with farmers in the Mekong Delta to form a stable rice farming area for its export orders in 2023. At present, it is processing 9,000 tonnes of high-quality fragrant rice.

The year 2022 ended with remarkable achievements in rice export, with nearly 7.3 million tonnes sold abroad and a revenue of $3.54 billion (a volume rise of 16.3 percent and a value increase of 6.9 percent compared to 2021).

The most impressive result was that ST24 and ST25 rice types of Vietnam for the first time were sold to the markets of the EU and the Middle East at the price of more than $1,000/tonne, which is a true miracle.

Hence, in 2023, Trung An Hi-tech Farming JSC. has sighed a contract to export fragrant rice at the price of $1,250/tonne. This February, Quang Tri Organic Agro-product JSC. (QTOrganic) has sold its first 15 tonnes of organic rice to the EU market at the price of $1,800/tonne. Meanwhile, Loc Troi Group is expanding its market to the EU with orders of up to 400,000 tonnes of rice this year, at the price of €12.9/pack of 5 kilos or $2,000/tonne.

To successfully sell rice in such picky markets, both farmers and rice enterprises have to strictly follow a specific rice growing and processing procedure under a close partnership to ensure quality.

Another positive signal comes from the project ‘Sustainable Development of 1 Million Hectares of Specialized Field for High-quality Rice in Association with Green Farming’ by the Agriculture and Rural Development Ministry. It is now in the finalization stage to submit to the Prime Minister for approval, in hope of creating more breakthroughs in rice export.

Accordingly, the total estimated investment for the project in the 2023-2030 period reaches over VND40 trillion ($1.68 billion). 30 percent of this amount will be distributed to farmers for seed purchasing at a rate of 80kg/ha in the first 4 crops.

An Giang Province immediately expressed the wish to join in the project with its 200,000ha. Director Nguyen Si Lam of the provincial Department of Agriculture and Rural Development stated that in order for the project to be successful, it is necessary to create favorable conditions for rice companies to access this investment, to provide sensible land policies, and to call for the collaboration of relevant partners like the State Bank of Vietnam, the Industry and Trade Ministry, the Planning and Investment Ministry, trading associations in the field.

Director Nguyen Van Thanh of Phuoc Thanh IV Manufacturing – Trading Co. Ltd. (in Vinh Long Province) commented that 2023 is a promising year for Vietnam’s rice export. The global rice resource is depleting, and its stock is exhausted. This might lead to even higher international rice prices. With such lucrative prices, a high yield in the Mekong Delta, and lower fertilizer prices, farmers are enjoying a profit increase of 10-15 percent. Therefore, most rice enterprises are now concentrating on gathering material for their export orders.

After a lull of three months since the imposition of 20% export duty on rice, India's rice exporters are witnessing a surge in demand from the global markets and international buyers are willing to pay a price of $400 per tonne, as compared to $330 per tonne before the imposition of the export duty.

The government had imposed the duty on September 9 last year to contain the domestic price rise. Area under kharif fell 5.62% to 38.39 million hectares in last year's season due to poor rains 

rains in some states including UP, Bihar, Jharkhand, West Bengal. Buyers are absorbing the export duty, despite which Indian rice is cheaper than rice from Thailand which is commanding a price of $500 per tonne in the international market.

"The upswing in global demand will help India to achieve 15.5 million tonnes of non-basmati rice exports, which are only 10% lower compared to last year even though earlier it was thought exports would come down to 12-13 mt following the imposition of export duty," said BV Krishna Rao, president, Rice Exporters Association of India.

“The government talks about developing and promoting agricultural villages, but state-run food shops are making the lives of farmers harder," one farmer complained

The incomes of North Korean farming households have fallen significantly since the country began operating state-run food shops nationwide, Daily NK has learned.

State-run food shops provide rice and other grains to ordinary consumers at prices less than what can be found in local markets.

According to a Daily NK source in South Pyongan Province on Friday, the incomes of farming households last year were 25 to 30% lower than in previous years due to poor agricultural production last year and state-run shops coercing farmers to sell them grain. 

After harvests, farmers usually sell the share of production earmarked for personal use to market grain merchants or sell it into markets themselves. Following the harvest of 2021 and 2022 — when state-run food shops were operating — officials working for the shops went around farms to coerce them to sell the crop yield that farmers had traditionally taken for themselves. 

FARMERS GET FAR LESS SELLING TO SHOPS THAN TO MARKETS

Generally speaking, farmers can sell their rice for at least KPW 5,000 a kilogram at markets, but can only get KPW 3,800 to 4,000 if they sell the rice to state-run food shops. Given the approximately 30% difference in what they can get, farmers tend to prefer to sell their rice to markets.

However, the state-run food shops have been collecting rice from farmers in a coercive way under various pretexts, telling the farmers that they can become “patriotic farmers” and “loyal to the regime” if they contribute rice. The shops also call the rice farmers contribute to the state “patriotic rice.” 

Moreover, of the rice taken from farmers, the shops add an additional KPW 500 to 700 to each kilogram of rice that is sold to ordinary consumers. 

However, last year’s poor harvest meant that there has been less rice to go around, resulting in a situation where farmers have had less rice to use or sell.

According to figures announced by South Korea’s Rural Development Administration last December, North Korea’s food production in 2022 was estimated at 4.51 million tons, a 3.8% fall from 4.69 tons in 2021.

The situation differs from region to region, but in South Pyongan Province, farmers feel that last year’s production fell far short of previous years, with some saying that 2022’s rice production was just 60 to 70% of 2021’s production.

Excess agricultural production has fallen 30 to 40% compared to the previous year, and farmers are being coerced to sell their own share of the harvest at prices 30% less than what they can get at markets. What this means is that the incomes of farming households cannot go anywhere but down, the source explained.

In fact, one farmer told Daily NK that he takes a KPW 150,000 loss when he sells 100 kilograms of rice to the state-run shops, and a loss of KPW 1.5 million when he sells a ton.

“A farming household can survive a month on KWP 150,000, and 10 months on KPW 1.5 million, so we farm for a year and then we have no money to live on the next year,” he said.

“The government talks about developing and promoting agricultural villages, but state-run food shops are making the lives of farmers harder,” the farmer complained. 

FOOD SHOPS SELL POOR QUALITY RICE

However, state-run food shops are far from strict about the quality of rice they buy from farmers, which means that some farmers are turning over low-quality rice that is damp or has impurities, such as having stones mixed in with the grains. 

In fact, the poor quality of rice has become a focus of complaints by consumers of the state-run food shops.

Specifically, consumers are saying that while the rice is cheap, “its quality is equally low, and if you pick out the edible rice, there’s little price difference with the markets.”

Meanwhile, given the fact that the state-run shops do not sell grain all the time, critics say the shops are having little effect in stabilizing the market price of rice.

Cho Chung-hee, director of Good Farmers and an expert on North Korean agriculture, said that the shops are unable to provide regular sales of grain because of the country’s insufficient agricultural production and issues in procuring the rice from farms, adding that the amount of grain available to the shops is “extremely small.” 

Cho went on to say that the shops could have a positive impact on stabilizing food prices in North Korea if they operate normally, “but if the current situation continues, it is unlikely they will have an effect on stabilizing rice prices.”

Recently, high-ranking North Korean cadres have been conducting frequent tours of state-run food shops nationwide to inspect how they are operating, which suggests that the authorities are aware of the problems suffered by the shops.

North Korean state-run media reported on Feb. 7 that Premier Kim Tok Hun visited state-run food shops in the city of Nampo to ascertain how well they are distributing food, even demanding that measures be taken to improve food distribution. 

Kim also made onsite inspections of several grain distribution centers and state-run food shops in South Pyongan and North Pyongan provinces on Jan. 28, instructing that measures be created to deal with food distribution issues. 

North Korean authorities have announced that they will discuss agricultural issues and the future goals of agricultural development during the Seventh Plenary Meeting of the Eighth Central Committee set to be held later this month. The results of this meeting will make clear whether the country will take new measures to resolve problems with the state-run food shops. 

Translated by David Black. Edited by Robert Lauler. 

Vietnam’s rice exports to Taiwan rose by 18.5% last year as quality improved and prices were competitive.

It shipped 20,281 tons worth over US$10 million to account for more than 16% of Taiwan’s imports, the third highest market share.

In recent years Vietnam’s exports of high-grade rice to the market have been steadily increasing as its prices are lower than Thailand’s, Taiwan’s second largest source of imports at 23,042 tons.

But Thailand’s exports declined by 20% last year. Vietnam’s sticky rice exports to Taiwan exceeded those of the U.S. and Thailand.

Overall, Vietnam exported more than seven million tons of rice worth $3.5 billion to the global market last year.

It was sold in European supermarkets for the first time.

From the Laban Rice Mill in Kebbi to the Cosharis Rice Mill in Akwa and Lagos Rice Mill in Imota, Nigeria’s agricultural revolution is driving investments across the rice value chain.

Rice production has dominated the discourse in the Buhari-led administration’s agricultural sector revolution since coming into power in 2015.

A 70 percent tariff was imposed on rice imports through the ports, coupled with an outright ban through land borders by the federal government to support the local rice industry.

The policy created opportunity across the value chain and spurred investments as farmers and millers ramp up production to meet the ever-growing demand for rice – a key staple in Nigerian diets.

Rotimi William, chief executive officer of Kereksuk Rice Farm, said the agric revolution brought lots of investments across the rice value chain.

“Lots of youths made investments in rice production owing to the revolution in the sector,” William said. “Some youths invested in the aggregation of paddy for millers while others in the cultivation of the crop.”

Data from the National Bureau of Statistics show that Investments in the agricultural sector grew from $98.3 million in 2015, when Buhari launched the campaign, to $366 million in 2021.

The number of rice mills that have sprung up across the country and local rice brands that have become more visible is evidence of improvement.

Both integrated and cottage mills have increased by more than 60 percent in recent years as the government and private sector continue to invest in processing.

The number of integrated rice mills jumped from 10 to above 60 during the same period, according to industry data, an indication that investments are fast rising in the production of the crop.

Milling capacity also increased from 350,000 metric tonnes per annum in 2015 to more than 3 million metric tonnes per annum in 2021, according to the United States Department of Agriculture (USDA).

The average crop yield per hectare has risen from 2.5 metric tonnes per hectare to an average of 4 and 5 metric tonnes of the same acreage, owing to renewed government commitment, experts said.

The most recent reliable figures for production come from the USDA, which puts Nigeria’s milled rice 2022/2023 production at 5.5 million metric tons (MMT), up over 10 percent from the 2021/22 figure of 5 MMT.

“Since the agric revolution, lots of farmers who have abandoned growing rice have returned and even other farmers are shifting to rice cultivation because the market is there now and it is profitable,” Muhammed Augie, former chairman of Rice Farmers Association, Kebbi chapter, said.

“Mills are springing up across the country, a testament that the revolution in the sector is driving investments,” Augie said.

The agricultural sector is critical to the economic growth and development of Nigeria as it will not only enhance the diversification and integration of the economy but also become a major source of foreign exchange earner for the country.

As part of its sustained efforts to popularise the Cambodian “white gold” and help expand rice export to newer markets, the Cambodia Rice Federation (CRF) will take part and showcase the commodity at Gulfood, the world-famous food and beverages (F&B) exhibition in Dubai, the United Arab Emirates.

While Chan Sokheang, President of the Cambodia Rice Federation (CRF), and Lun Yeng, Secretary General of the CRF, will represent the apex body of rice millers and exporters in the Southeast country, four Cambodian companies will take part in the five-day exhibition that will start on February 20.

“They will be participating in the event under the CRF and together be showcasing a variety of Cambodian rice at one stall during the event,” Lun Yeng, the CRF Secretary General, told Khmer Times.

The four companies that will take part in one of the well-known F&B exhibitions are Signatures of Asia Co Ltd, a leading Cambodian rice exporter; Indochina Rice Mill Limited, one of the largest rice mills in the Kingdom; Primalis Corporation Ltd, a leading rice producer and exporter of the Southeast Asian country; and Kompong Thom Rice Mill Ltd, one of the top rice producers and exporters in Cambodia, according to the CRF.

The participation at the Dubai F&B show is aimed at showcasing Cambodian rice varieties, the CRF secretary general said.

These companies will be exhibiting aromatic rice, fragrant rice, white rice, parboiled rice, and organic rice at the 28th edition of Gulfood, one of the largest F&B sourcing events in the world.

Gulfood, which brings together food and beverage communities from around the world, also performs the role of an industry trend springboard and a global sourcing powerhouse.

More than 5,000 companies from over 125 countries are expected to take part in the event. “A line-up of industry thought leaders, and the world’s greatest chefs will chart the way forward and inspire industry-wide transformation for the good of the entire ecosystem,” claimed the organisers of the event on its website. The event will be spread over 24 halls and one million square feet of area.

Meanwhile, a high-level delegation from Cambodia will also be there in Dubai to take part in the three-day third round of the Cambodia-United Arab Emirates Comprehensive Economic Partnership Agreement (CAM-UAE CEPA) dialogue, starting on February 20, according to a statement of the Cambodian Ministry of Commerce, early this month.

While the first round of CAM-UAE CEPA talks took place in the UAE capital of Abu Dhabi on October 24-25, the second round of dialogue was held in Phnom Penh on December 19-21. The two countries are expected to formalise and put their signatures to the pact at the fourth round of talks to be staged in Cambodia this year.

Rice trade with the UAE is one of the focus areas of the agreement, according to the officials. The agreement will also help Cambodian rice producers/exporters to reach out to other West Asian and North African countries (collectively known as the MENA region).

According to the CRF, rice exports to the Middle East region have shown a significant increase in recent years. The shipment of Cambodian rice has increased from 673 tons in 2019 to around 3,807 tons in 2020 and about 6,139 tons in 2021. Rice exports to the region reached 8,358 tons in 2022, the data shows.

In the first month of this year, the Cambodian milled rice was shipped to 34 countries, earning the Kingdom $92 million in revenue along with the export of paddy, according to the CRF statistics.

Exported milled rice varieties in 2022 included premium aromatic rice, fragrant rice, long grain white rice, parboiled rice, organic rice and glutinous rice, said the CRF.

Agriculture, one of the key pillars of the Cambodian economy, contributed 24.4 percent to the gross domestic product in 2021, according to the Ministry of Agriculture.

ISLAMABAD - Chairman United Business Group in Federation of Pakistan Chambers of Commerce and Industry Shahzad Ali Malik has said surplus crops of rice and maize would be exported to new destinations including African markets for earning direly much-needed foreign exchange.

Addressing the one day all Pakistan Chambers Presidents Conference at Rahim Yar Khan Chamber the other day, he stressed the urgent need for establishing imports substitution industries in Pakistan without loss of time to narrow down the yawning trade deficit and on the other hand, equally emphasised the vital significance of adding the new products in the export basket rather than only relying on textile and surgical, etc. He said there was a vast scope of exports to African countries and new global markets must be explored on top priority which he added would help a lot in stabilizing the balance of payment.

He said the use of hi-tech hybrid seeds resulted in bumper crops of rice and maize and its credit goes to the private sector which invented new disease-resistant and pest-free varieties to increase yield per acre. He stressed the need for evolving new hi-tech hybrid seeds for other field crops of cotton, wheat and sugarcane.

He said Pakistan’s economy was agro-based and Pakistan imports nearly $14 billion in edible oil, oil seeds, cotton and wheat annually which he added can be brought to zero level if government sincerely focuses on the promotion of the agriculture sector on modern scientific lines taking all stakeholders into confidence.

Shahzad Ali Malik said if the government takes care of its proposals and recommendations in letter and spirit, it will not only bring agricultural revolution in the country but also surplus agri products could be exported at high international rates. He said if half of the same amount spent on the imports of agro-based products is invested in growers, farmers, and peasants in Pakistan, it will not only comfortably meet the food staple needs of the ever-growing population but surplus can be exported. Nearly 50 presidents of chambers of commerce and industries across the country participated in the conference and put forth their viable proposals.

Reduced phosphorus – an essential nutrient – seen in paddy soils when CO2 in the atmosphere was elevated, according to researchersThey estimate 55 per cent of the world’s rice paddies will face increased yield reduction risks due to phosphorus deficiency in the future

Higher carbon dioxide levels could result in less phosphorus in paddy soils – and that could threaten the security of rice supplies in the future, according to a new study.

Phosphorus is an essential nutrient for plant metabolism and growth. A prolonged deficiency in the nutrient can affect plant development and limit yields, and previous research has suggested that increased carbon dioxide levels in the atmosphere could affect phosphorus levels in soil.

The new study – led by researchers from the Chinese Academy of Sciences’ Institute of Soil Science in Nanjing – involved two long-term experiments to evaluate the effect of elevated carbon dioxide on phosphorus concentrations in rice paddy fields.

Researchers found that by the end of the experiments, the phosphorus available in the soil had declined by more than 20 per cent. During a 15-year period from 2004 to 2018, there was a 27 per cent reduction. And between 2011 and 2019, phosphorus levels were down by 21 per cent.

The study was published in the peer-reviewed journal Nature Geoscience last month.

Soil phosphorus is found in two forms – organic and inorganic. About 30 to 65 per cent of soil phosphorus is organic and has to be converted to inorganic phosphate with the help of microbes in the soil before it can be taken up by plants. Another 35 to 70 per cent is inorganic, and that includes what is known as soil-available phosphorus.

Both experiments showed decreased soil-available phosphorus and increased soil organic phosphorus after several years of increased carbon dioxide emissions.

“The gathered data were precious and highly convincing since one can rarely find field data in such a big experimentation with decades-long monitoring history in the literature,” Dengjun Wang, co-author of the study and an assistant professor with the Auburn University College of Agriculture in Alabama, was quoted as saying on the university’s website.

Moreover, the study authors estimated that 55 per cent of the world’s rice paddy fields will experience increased yield reduction risks due to phosphorus deficiency in the future.

Most of these rice paddy fields are already facing phosphorus deficiency, according to the study. It said about 35 per cent were at extremely high risk of yield reduction and 15 per cent were at risk of phosphorus pollution.

The researchers said the risk of rice yield reduction would go up if carbon dioxide concentrations continued to rise, and low-income countries were expected to be hardest hit.

“This situation is likely to place poor countries under more adverse conditions and further widen the economic inequality associated with CO2 emissions,” the authors said.

The study involved two long-term experiments to evaluate the effect of elevated carbon dioxide on phosphorus levels in rice paddy fields. Photo: Shutterstock

Some 70 per cent of rice paddy fields in low-income countries are expected to face increased yield reduction risks, compared to 52 per cent in middle-high-income countries, according to the study.

That is partly due to the fact that middle-high-income countries have better resources for recycling alternative phosphorus fertilisers from waste and organic compounds.

The researchers suggested that phosphorus fertilisation rates needed to more than double in countries such as Myanmar and Indonesia to avoid reductions in the soil-available phosphorus supply for rice crops.

“To ensure further crop and environmental gains, climate change must be included as a key factor for future sustainable strategies of phosphorus management,” the study concluded.

The study was published in the peer-reviewed journal Nature Geoscience last month.

* In 2022, Pakistan achieved a significant milestone in its rice trade with China, as its rice exports surpassed $455m for first time

The news was announced by Ghulam Qadir, the Commercial Counsellor at Pakistan’s Embassy in Beijing, China.

Qadir highlighted that the General Administration of Customs of the People’s Republic of China reported a 53% year-on-year increase in bilateral trade in agriculture products, with China importing more than 1.19 million tons of different types of rice from Pakistan.

He credited the facilitation from both governments and the hard work of businessmen for the successful trade, adding that with the opening up of China, the exports are expected to grow even further.

According to statistics from the General Administration of Customs, in 2022, China imported semi or wholly milled rice, broken rice, and other rice varieties from Pakistan, which amounted to USD 211.88 million, USD 162.78 million, and USD 80.74 million, respectively.

Qadir expressed that the Chinese government has been supportive of Pakistan by establishing offline and online pavilions, and Pakistani rice has already hit the e-commerce platform in China, with sales expected to grow further. He also noted that they are working with the General Administration of Customs to ensure more Pakistani rice enterprises register and increase exports even further.

The Commercial Counsellor shared that Pakistani rice has gained popularity in the Chinese market due to its finest taste and quality, and the total number of Pakistani enterprises registered with the General Administration of Customs has increased to 62.

The growth in trade and registration of enterprises signify a positive trend for the bilateral relations between Pakistan and China, as they continue to strengthen their economic ties.

ISLAMABAD: Amid a global economic slowdown, Pakistan’s exports of rice posted a negative growth of 15.82 per cent in the first seven months of the current fiscal year mainly due to the flood devastation of paddy fields in Sindh.

In value, the total rice exports dipped to $1.08 billion in July-January this year from $1.28bn in the corresponding months of last year. The stagnation in export proceeds, especially of basmati rice, is mainly because of several reasons particularly the under-invoicing of rice to Afghanistan and Iran under the barter trade system.

Rice Exporters Association of Pakistan (Reap) Chairman Chela Ram Kewlani told Dawn that the data compiled by the Pakistan Bureau of Statistics (PBS) did not show the basmati rice exports to Iran and Afghanistan. However, he said the crop of long-grain white rice (non-basmati rice) has witnessed a 40pc reduction in Sindh.

As a result of this production loss, Mr Kewlani said that the non-basmati exports decline is justified. However, he did not agree with the government statistics showing a decline in the value and quantity of basmati exports.

Local prices witness an unprecedented surge

The PBS data showed that basmati exports in quantity fell by 22.95pc to 316,055 tonnes in 7MFY23 from 410,207 tonnes over the corresponding months of last year.

The non-basmati rice exports fell by 24.94pc to 1.62 million tonnes in 7MFY23 from 2.17m tonnes over the corresponding months of last year. Despite a substantial decline in exports, the prices of basmati and non-basmati increased unprecedentedly in the domestic market.

REAP Senior Vice Chairman Haseeb Khan told Dawn that people have invested money to stockpile rice after a slowdown in the real estate sector.

He said the carry-forward rice stocks were also negative for the past couple of years leading to an increase in domestic prices. Rice has emerged as a profitable sector for investors due to a slowdown in other sectors especially real estate.

Mr Khan said that the export of basmati to Iran and Afghanistan is misdeclared as low-quality rice. He further said that even the quantity of rice is also not declared at the border stations. Pakistan’s customs should look into this under-declaration of value and variety of rice to these two countries, he further said.

Rice seeds

There are eight districts in the world whose basmati rice is famous out of which six districts are in Pakistan and two in India. However, there are issues now cropping up, especially with rice seeds in the country.

The unabated housing schemes on GT Road in Punjab province are eating up this rare earth in six districts that are suitable for the cultivation of the world’s best basmati rice. However, the government did not take any action in this regard.

Former Chairman REAP who is not willing to be named told Dawn that inflation also has an impact on domestic prices. He said rice price in the international market has also seen an increase which has an impact on domestic rice.

The flying squad officials seized 7.5 tonnes of ration rice from a poultry farm on Saturday.

Acting on a tip-off that ration rice was crushed and provided to chickens in a poultry farm along with fodder, a flying squad from the District Supply Office led by Tahsildar N.S. Rajeshkumar raided a poultry farm at Arasanatham near Attur. During the raid, the officials found that ration rice in 133 gunny bags weighing 7.5 tonnes in a godown at the poultry farm.

The flying squad officials handed over the seized item to the Civil Supplies CID for further investigation.

The poultry farm owners claimed that they bought the rice from the general public. ,This was the first time that a flying squad had raided a poultry farm in Salem. The Civil Supplies CID would register the case and arrest the owners soon, sources added.

Chairman United Business Group in Federation of Pakistan Chamber of Commerce and Industry Shahzad Ali Malik said surplus crops of rice and maize would be exported to new destinations including African markets for earning direly much-needed foreign exchange.

Addressing the one day all Pakistan Chambers Presidents Conference at Rahim Yar Khan Chamber, he stressed the urgent need for establishing imports substitution industries in Pakistan without loss of time to narrow down the yawning trade deficit and on the other hand, equally emphasised the vital significance of adding the new products in the export basket rather than only relying on textile and surgical, etc.

He said there was a vast scope of exports to African countries and new global markets must be explored on top priority which he added would help a lot in stabilizing the balance of payment.

He said the use of hi-tech hybrid seeds resulted in bumper crops of rice and maize and its credit goes to the private sector which invented new disease-resistant and pest-free varieties to increase yield per acre.

He stressed the need for evolving new hi-tech hybrid seeds for other field crops of cotton, wheat and sugarcane.

He said Pakistan’s economy was agro-based and Pakistan imports nearly $14 billion in edible oil, oil seeds, cotton and wheat annually which he added can be brought to zero level if government sincerely focuses on the promotion of the agriculture sector on modern scientific lines taking all stakeholders into confidenceShahzad Ali Malik said if the government takes care of its proposals and recommendations in letter and spirit, it will not only bring agricultural revolution in the country but also surplus agri products could be exported at high international rates.

He said if half of the same amount spent on the imports of agro-based products is invested in growers, farmers, and peasants in Pakistan, it will not only comfortably meet the food staple needs of the ever-growing population but surplus can be exported.

Nearly 50 presidents of chambers of commerce and industries across the country participated in the conference and put forth their viable proposals.

He thanked the president Rahim Yar Khan Chamber Iqbal for hosting the conference and lauded the group chairman Rauf Mukhtar’efforts making the event a success.—APP

RPT-ASIA RICE-THAI PRICES SLIP ON WEAKER BAHT; INDIAN VARIETY SEES FIRM DEMAND

(Repeats Thursday's story with no changes to text)

*

New supplies in April awaited - Thai trader

*

Buyers comfortable with the price rise in India - trader

*

Vietnam to export 6 mln tonnes despite low domestic inventory

By Seher Dareen

Feb 16 (Reuters) - Thai rice export prices dropped this week to their lowest levels in more than one month due to a softer baht and demand, while Indian rates held firm near their highest in about two years on strong buying.

Thailand's 5% broken rice prices <RI-THBKN5-P1> were quoted at $460 - $465 per tonne, down from last week's $480 - $490.

"The baht is weaker and has lowered the price of rice. Demand has been quiet and there has not been a big lot order," said a Bangkok-based trader.

Demand is still quiet and will have to wait until a new lot of supply in April, said another trader.

Top exporter India's 5% broken parboiled variety <RI-INBKN5-P1> was quoted at $395 to $402 per tonne this week, unchanged from last week.

"Buyers were making purchases despite the recent rise in prices. They are comfortable with the price rise," said a Mumbai-based dealer with a global trade house.

India's rice exports in 2022 jumped to a record high despite the government's curbs on overseas sale, as buyers continued to make purchases because of competitive prices, according to government and industry officials.

Vietnam's 5% broken rice <RI-VNBKN5-P1> were offered at $455-$460 per tonne on Thursday, unchanged from a week ago.

"Prices are expected to stay at elevated levels as many countries are buying to boost their national reserves, including China and Indonesia," a trader based in Ho Chi Minh City said.

Traders forecast this year's exports to be over 6 million tonnes, adding that domestic inventory levels are low.

Meanwhile, domestic rice prices in Bangladesh stay high despite good crops and reserves, traders said. The government has also been importing rice while private traders have been allowed to buy in an effort to cool prices. (Reporting by Rajendra Jadhav in Mumbai, Khanh Vu in Hanoi, Panu Wongcha-um in Bangkok, Ruma Paul in Dhaka; Editing by Sherry Jacob-Phillips)

© Copyright Thomson Reuters 2023. Click For Restrictions - http://about.reuters.com/fulllegal.asp

STUTTGART, Ark. — Scientists at the University of Arkansas System Division of Agriculture’s Rice Research and Extension Center seek to develop rice that is more resilient in the face of climate change and usable water depletion.

  Arkansas Agricultural Experiment Station scientists Nick Bateman, associate professor and extension entomologist, and Stan De Guzman, assistant professor and rice breeder, have been awarded $547,842 as part of a four-year, $10 million grant from the USDA’s National Institute of Food and Agriculture. Louisiana State University is the lead institution on the grant to improve the sustainability and profitability of rice farming through research innovations.

The project’s collaborating institutions include Clemson University, Mississippi State University, Texas A&M AgriLife, and the Arkansas Agricultural Experiment Station, the research arm of the Division of Agriculture. Jai Rohila, a research agronomist for USDA’s Agricultural Research Service based at the Dale Bumpers National Rice Research Center in Stuttgart, is also involved in the grant.

“I am thrilled to see this investment in rice research by USDA-NIFA,” said Jean-François Meullenet, director of the Arkansas Agricultural Experiment Station and senior associate vice president for agriculture-research for the Division of Agriculture. “I want to congratulate LSU and the research team on this award. This project has the potential to enhance rice production in southern states, and I look forward to the impact it will have on rice farmers in Arkansas.”

Extreme weather patterns due to climate change pose serious challenges to enhancing productivity, according to the project proposal summary. The project aims to help rice growers in the southern U.S. make the right decisions at the right time to reduce yield losses, land use, and water and energy consumption.

Rice is among Arkansas’s top three agricultural commodities, worth approximately $1.2 billion in 2020. According to the U.S. Department of Agriculture, the state typically produces 56 to 58 percent of the nation’s long-grain rice.

De Guzman will work to develop rice lines with heat stress tolerance using advanced genetic techniques. The process includes evaluating different rice lines for grain quality and agronomic and physiological traits under drought stress in field conditions using the alternate wetting and drying growing method. He will then work to incorporate those genetic traits into elite rice lines and varieties with drought and heat tolerance.

Bateman’s role is to conduct a study that monitors the changes in insect pressure when moving from flooded rice to the alternate wetting and drying method for water savings. Bateman said rice water weevil larvae are substantially reduced when moving to alternate wetting and drying. Still, other insects like armyworms, rice billbugs and chinch bugs are prone to pop up. He will look at environmentally friendly pesticides to control those populations.

“It’s not so much about controlling the insects but controlling the stress,” Bateman said. “Since part of the overall project is to reduce water use, we will be looking at what other insect pressures arise when you take it off a flood.”

Prasanta Subudhi, the lead investigator of the project and a crop geneticist in the LSU AgCenter School of Plant, Environmental and Soil Sciences, said, “We will equip the current and next generation of rice farmers, consultants and researchers with the necessary knowledge and skillset to embrace the new climate-smart agriculture technologies and production practices.”

“Knowledge gained from this project will increase the speed and accuracy of identifying rice genotypes with desirable combinations of genes for improved adaptation to a changing climate,” the project proposal summary states.

The specific objectives of the project are to assess the socio-economic and environmental impacts of current crop management practices and identify barriers to adopting novel technologies and practices; develop novel genotypes with enhanced tolerance to biotic and abiotic stresses; develop and optimize environmentally friendly crop management practices; and implement a robust extension program to disseminate the concepts and benefits of sustainable farming technology.

The five collaborating institutions are members of the Southern Association of Agricultural Experiment Station Directors, which represents 15 agricultural research centers at land-grant universities in the southern U.S. Southern region scientists collaborate to conduct research and outreach focused on conserving the region’s natural resources and sustainably feeding a growing global population.

“This grant demonstrates the importance and power of regional research collaborations in providing solutions to pressing problems that impact growers and consumers,” said Gary Thompson, executive director of the Southern Association of Agricultural Experiment Station Directors. “This significant federal investment leverages the capacity of our State Agricultural Experiment Stations to assist farmers in modifying their practices to a changing environment.”

This grant is part of a $70 million investment from USDA to establish robust, resilient and climate-smart food and agricultural systems.

“Southern U.S. rice production is concentrated in Louisiana, Arkansas, Mississippi and Texas, and rice research is a major component of the research portfolios of the agricultural experiment station in these states,” said Michael Salassi, interim LSU AgCenter executive associate vice president and director of the Louisiana Agricultural Experiment Station. “This grant will provide the many rice scientists across the region the opportunity to work collaboratively to evaluate alternate climate-smart production practices associated with a major U.S. food crop.”

To learn more about Division of Agriculture research, visit the Arkansas Agricultural Experiment Station website: https://aaes.uada.edu. Follow on Twitter at @ArkAgResearch. To learn more about the Division of Agriculture, visit https://uada.edu/. Follow us on Twitter at @AgInArk. To learn about extension programs in Arkansas, contact your local Cooperative Extension Service agent or visit www.uaex.uada.edu.

About the Division of Agriculture

The University of Arkansas System Division of Agriculture’s mission is to strengthen agriculture, communities, and families by connecting trusted research to the adoption of best practices. Through the Agricultural Experiment Station and the Cooperative Extension Service, the Division of Agriculture conducts research and extension work within the nation’s historic land grant education system.

The Division of Agriculture is one of 20 entities within the University of Arkansas System. It has offices in all 75 counties in Arkansas and faculty on five system campuses.

The University of Arkansas System Division of Agriculture offers all its Extension and Research programs and services without regard to race, color, sex, gender identity, sexual orientation, national origin, religion, age, disability, marital or veteran status, genetic information, or any other legally protected status, and is an Affirmative Action/Equal Opportunity Employer.

'Rice is being provided to 50 lakh families at a rate of Tk15 per kg under the Food Friendly Programme (FFP); OMS trucks now carrying 500kg more essentials to meet growing demand'

The government, under the VGF (Vulnerable Group Feeding) programme, will give 10kg of free rice to one crore families each. These are the families who are currently not receiving any form of government aid.

"This initiative will commence at the beginning of Ramadan," Food Minister Sadhan Chandra Majumder told reporters at the Secretariat on Thursday noon (16 February).

The food minister said that Open Market Sales (OMS) rice is being sold at Tk30/kg and flour at Tk24/kg.

Also, rice is being provided to 50 lakh families at a rate of Tk15 per kg under the Food Friendly Programme (FFP), he said adding that OMS trucks are now carrying 500kg more essentials to meet growing demand.

"All things considered, the price of rice is currently stable," the minister said.

He said that the law to ban the sale of polished rice under different names and to name rice varieties based on the names of the paddy is up for scrutinisation. 

He said that there is nothing to worry about when it comes to the stock of rice. "limited scale imports are taking place. Also, stocks are at an all-time high. 

"Some 374,030MT of Aman rice has been collected till yesterday. Our target is 5 lakh MT." 

Sadhan Chandra said, "The ongoing global crisis has not affected Bangladesh in terms of food and it is likely to remain the same in the future. Besides, we are expecting a bumper Boro season."

The minister said that FFP will resume from 1 March till May. "OMS are ongoing and will continue. "We will be able to sell atap rice, imported from Myanmar, in Ramadan."

ISLAMABAD, (APP - UrduPoint / Pakistan Point News - 16th Feb, 2023 ) :Chairman United business Group in Federation of Pakistan Chamber of Commerce and Industry�Shahzad Ali Malik said surplus crops of rice and maize would be exported to new destinations including African markets for earning direly much-needed foreign exchange.

Addressing the one day all Pakistan Chambers Presidents Conference at Rahim Yar Khan Chamber, he stressed the urgent need for establishing imports substitution industries in Pakistan without loss of time to narrow down the yawning trade deficit and on the other hand, equally emphasised the vital significance of adding the new products in the export basket rather than only relying on textile and surgical, etc.

He said there was a vast scope of exports to African countries and new global markets must be explored on top priority which he added would help a lot in stabilizing the balance of payment.

He said the use of hi-tech hybrid seeds resulted in bumper crops of rice and maize and its credit goes to the private sector which invented new disease-resistant and pest-free varieties to increase yield per acre.

He stressed the need for evolving new hi-tech hybrid seeds for other field crops of cotton, wheat and sugarcane.

He said Pakistan's economy was agro-based and Pakistan imports nearly $14 billion in edible oil, oil seeds, cotton and wheat annually which he added can be brought to zero level if government sincerely focuses on the promotion of the agriculture sector on modern scientific lines taking all stakeholders into confidence.

Shahzad Ali Malik said if the government takes care of its proposals and recommendations in letter and spirit, it will not only bring agricultural revolution in the country but also surplus agri products could be exported at high international rates.

He said if half of the same amount spent on the imports of agro-based products is invested in growers, farmers, and peasants in Pakistan, it will not only comfortably meet the food staple needs of the ever-growing population but surplus can be exported.

Nearly 50 presidents of chambers of commerce and industries across the country participated in the conference and put forth their viable proposals.

He thanked the president Rahim Yar Khan Chamber Iqbal for hosting the conference and lauded the group chairman Rauf Mukhtar'efforts making the event a success.

NEW DELHI: India is likely to produce nearly 324 million tonnes (MT) of foodgrains in the 2022-23 crop year (July-June), a new record and higher by around 8 MT (2.5%) than the output in the previous crop year.
The increase is mainly backed by the all-time record production of the paddy (131 MT), wheat (112 MT) and pulses (28 MT). High-priority millets could not match the increased attention with bajra recording only marginal increase whereas jowar and ragi reported a decline.
Millets output shows that the farmers continue to prefer paddy (rice) and wheat as current focus of procurement mainly on these two major crops make it an easy choice for them. Overall output of coarse/nutri cereals (53 MT), however, reported an increase in 2022-23 compared to previous year, mainly due to record output of maize and barley.
Second advance estimates of production of major crops, released by the agriculture ministry on Tuesday, showed even record output of certain non-foodgrains including oilseeds and sugarcane. Among oilseeds, mustard recorded an increase of over 7% this year compared to 2021-22.

Attributing the record output of foodgrains and oilseeds to "hard work of farmers, proficiency of scientists and farmer's friendly policies" of his government, agriculture minister Narendra Singh Tomar hoped that there would be increase in production and use of coarse/nutri cereals in the coming years.
"It is expected that more and more farmers may switch over to millets during upcoming kharif season, beginning June, as many states have lined up with incentives to them during the International Year of Millets 2023 in sync with the government's efforts to make India a global hub for millets," said an official in the ministry.
The current assessment of production of different crops is based on the feedback received from states and validated with information available from other sources. "This assessment will undergo further revision over successive estimates based upon feedback received from the states, alternative sources and other factors," said the ministry which comes out with four estimates before releasing the final one for a particular crop year.

* Ambassador also briefs REAP members on political, economic and security situation in Ethiopia and assures them of all-out facilitation in doing business in Ethiopia

Ambassador Extraordinary and Plenipotentiary of the Federal Democratic Republic of Ethiopia to the Islamic Republic of Pakistan H.E. Jemal Beker Abdula on Tuesday urged the Pakistani rice exporters to explore the Ethiopian market by joining in the five-day trade delegation flying to his country on March 05. “The rice exporters of Pakistan will get an opportunity to connect with the right people in Ethiopia by taking part in the trade delegation which includes subsidized airfares and accommodation at five-star hotel, visits to the industrial sites and above all meetings with the top leadership of his country,” he said during a meeting with the Rice Exporters Association of Pakistan (REAP) here. He said the Pakistani exporters could penetrate in the markets of Africa by investing in the agriculture sector and transferring their technology to Ethiopia. However, the REAP needed to develop a strategic framework to better compete with the other competitors which were selling the quality rice at affordable rates.

The ambassador said the rice exporters could play their due role in boosting the exports of their country by exporting the edibles to the markets of East Africa. Pakistan and Ethiopia had signed a trade agreement today to formalize the trade between two countries, he added.

The ambassador also briefed the REAP members on political, economic and security situation in Ethiopia and assured them of all-out facilitation in doing business in Ethiopia which had undergone a lot of transformation under the leadership of Prime Minister of Ethiopia H.E. Dr. Abiy Ahmed.

He said the cost of production was cheap in Ethiopia which had been producing clean energy through water, solar and geo thermal sources. It was also a signatory of the Africa Continental Free Trade Agreement which enabled the manufacturers in Ethiopia to sell their products across the continent.

There has been full investment protection guarantee in Ethiopia, he noted. REAP Senior Vice Chairman Haseeb Khan gave a detailed briefing to H.E. Jemal Beker on the exports potential of rice in Pakistan and said there was a strong appetite in exporters to explore other markets. He commended the efforts of Ambassador H.E. Jemal Beker for organizing the trade delegation to bring the two big nations more close. “I hope you will be able to achieve your target of increasing the bilateral trade between the two countries to $200 soon,” he added. At the end of meeting, the ambassador addressed to different queries of the exporters and highlighted the opportunities for the Pakistani businessmen in diverse sectors of economy including manufacturing, agriculture and agro processing, textile, fertilizer, chemicals and tourism.

A fungus that plagues rice crops worldwide gains entry to plant cells in a way that leaves it vulnerable to simple chemical blockers, a discovery that could lead to new fungicides to reduce the substantial annual losses of rice and other valuable cereals.

Each year, blast disease, caused by the fungal pathogen Magnaporthe oryzae, attacks and kills plants that represent between 10% and 35% of the global rice crop, depending on weather conditions.

University of California, Berkeley biochemists led by Michael Marletta, professor of chemistry and of molecular and cell biology, have discovered that the fungus secretes an enzyme that punches holes in the tough outer layer of rice leaves. Once inside, the fungus rapidly grows and inevitably kills the plant.

In a paper published this week in the journal Proceedings of the National Academy of Sciences, Marletta and his colleagues describe the structure of the enzyme and how it works to help the fungus invade plants. Because the enzyme is secreted onto the surface of the rice leaf, a simple spray could be effective in destroying the enzyme's ability to digest the wall of the plant. The scientists are now screening chemicals to find ones that block the enzyme.

"The estimates are that if you could knock out this fungus, you could feed 60 million more people in the world," said Marletta, the Choh Hao and Annie Li Chair in the Molecular Biology of Diseases at UC Berkeley. "This enzyme is a unique target. Our hope here is that we'll screen to find some unique chemicals and spin out a company to develop inhibitors for this enzyme."

This target is one of a family of enzymes called polysaccharide monooxygenases (PMO) that Marletta and his UC Berkeley colleagues discovered a little over 10 years ago in another more widespread fungus, Neurospora. Polysaccharides are sugar polymers that include starch as well as the tough fibers that make plants sturdy, including cellulose and lignin. The PMO enzyme breaks cellulose into smaller pieces, making the polysaccharide susceptible to other enzymes, such as cellulases, and speeding up the breakdown of plant fibers.

"There is an urgent need for more sustainable control strategies for rice blast disease, particularly in South Asia and sub-Saharan Africa," said Nicholas Talbot, who is Marletta's colleague and co-author, a plant disease expert and executive director of The Sainsbury Laboratory in Norwich in the United Kingdom. "Given the importance of the polysaccharide monooxygenase to plant infection, it may be a valuable target for developing new chemistries that could be applied at much lower doses than existing fungicides and with less potential environmental impact. It might also be a target for completely chemical-free approaches, too, such as gene silencing."

Marletta and UC Berkeley Ph.D students Will Beeson and Chris Phillips were originally interested in these enzymes because they degrade plant cellulose much more quickly than other previously described enzymes and thus had potential to turn biomass into sugar polymers that can be fermented more readily into biofuels. Fungi use PMOs to provide a source of food.

He and UC Berkeley colleagues subsequently found hints that some fungal PMOs may do more than merely turn cellulose into food. These PMOs were turned on in the early stages of infection, implying that they're important in the infection process rather than providing food.

That's what Marletta, Talbot and their colleagues found. Led by postdoctoral fellow Alejandra Martinez-D'Alto, the UC Berkeley scientists biochemically characterized this unique PMO, called MoPMO9A, while Talbot and UC Berkeley postdoctoral fellow Xia Yan showed that knocking out the enzyme reduced infection in rice plants.

Marletta and his UC Berkeley colleagues have found similar PMOs in fungi that attack grapes, tomatoes, lettuce and other major crops, which means the new findings may have broad application against plant fungal diseases.

"It isn't just rice that small molecule inhibitors could be used against. They could be widely used against a variety of different crop pathogens," Marletta said. "I think the future for this, in terms of drug development for plant pathogens, is pretty exciting, which is why we are going to pursue both the fundamental science of it, like we always do, and try to put together pieces to spin it out as a company."

Biofuels lead way to attacking fungal pathogen

Marletta specializes in identifying and studying new and unusual enzymes in human cells. But 10 years ago, when people got excited about biofuels as a way to address climate change, he was awarded a grant from UC Berkeley's Energy Biosciences Institute to search for enzymes in other life forms that digest plant cellulose faster than the enzymes known at the time. The goal was to turn tough cellulose fibers into short-chain polysaccharides that yeast could ferment into fuel.

"I said to two of my first-year graduate students, Chris Phillips and Will Beeson, "You know, there's got to be organisms out there that eat cellulose fast,'" Marletta said. "Those are the ones we want to find, because we know the enzymes that eat it slow, and they're not particularly useful in a biotechnology sense because they're slow."

Phillips and Beeson succeeded in finding fast-acting enzymes in a common fungus, Neurospora, which is among the first fungi to attack dead trees after a fire and does a quick job of digesting wood for nutrients. They isolated the enzyme responsible, the first known PMO, and described how it worked. Since then, Marletta's students have identified 16,000 varieties of PMO, most in fungi, but some in wood-eating bacteria. To date, these have had some success in speeding the production of biofuels as part of a cocktail of other enzymes, though they haven't made biofuels competitive with other fuels.

But Marletta was intrigued by a small subset of these 16,000 varieties that seemed to do more than provide nutrition for fungi. MoPMO9A, in particular, had an amino acid segment that binds to chitin, a polysaccharide that forms the outer coat of fungi, but is not found in rice. And though all PMOs are secreted, MoPMO9A was secreted during the infectious cycle of the fungus.

Studies subsequently showed that Magnaporthe concentrates MoPMO9A in a pressurized infection cell, called the appressorium, from which it is secreted onto the plant, with one portion of the enzyme binding to the outside of the fungus. The other end of the enzyme has a copper atom embedded in its center. When the fungus slaps the loose end of the enzyme onto the rice leaf, the copper atom catalyzes a reaction with oxygen to break cellulose fibers, helping the fungus breach the leaf surface and invade the entire leaf.

"We were curious: 'Hey, why does this enzyme have a chitin-binding domain if it's supposed to be working on cellulose?'" said Marletta. "And that's when we thought, "Well, maybe it's secreted, but it sticks to the fungus. That way, when the fungus is sitting on the plant, it can have between it and the leaf the catalytic domain to punch the hole into the leaf.'"

That proved to be the case. Marletta and Talbot are now testing other pathogens that produce PMOs to see if they use the same trick to enter and infect leaves. If so—Marletta is confident that they do—it opens avenues to attack them with a spray-on fungicide, as well.

"The only place you find PMOs like this is in plant pathogens that have to gain access to their host. So, they're almost certainly going to be working the same way," Marletta said. "I think the scope of work to develop inhibitors to this particular PMO is going to be well beyond rice, even though that itself is pretty important. We're going to be able to use them in other important crop plants."

Basmati rice sales are likely to increase 30 per cent to more than Rs 50,000 crore in the current fiscal, mainly due to high realisation and healthy demand, according to a report

Basmati rice sales are likely to increase 30 per cent to more than Rs 50,000 crore in the current fiscal, mainly due to high realisation and healthy demand, according to a report.

In the report on Thursday, Crisil Ratings said that next fiscal, however, sales will decline 5-7 per cent as basmati rice realisation is expected to soften with anticipated increase in paddy acreage.

The volume demand is expected to remain stable at 6.8 million tonnes, it added.

"Basmati sector sales will likely rise 30 per cent this fiscal, with volume growing 10 per cent and realisation increasing 20 per cent.

"Growth in export volume is driven by two factors -- increased food grain demand amid geo-political issues, and India benefiting from lower basmati exports from flood-affected Pakistan, a key basmati exporter. Next fiscal, sector sales will reduce by 5-7 per cent solely due to moderating prices," Crisil Ratings Director Nitin Kansal said.

Basmati rice exports, comprising 64 per cent of sales by volume, are estimated to log a healthy growth of 11 per cent on-year this fiscal to 4.4 million tonnes following strong demand from key markets like the Middle East and the US, as per the report.

India has already exported 3.19 million tonnes (growth of 16 per cent year- on-year) of basmati rice in the first nine months of this fiscal.

The report said the improved operating profitability will, in turn, result in higher cash accrual, which will improve the financial risk profiles of basmati players.

"Though absence of capex will limit basmati players' requirement of external long-term funds, their working capital borrowings will rise as paddy procurement will increase this fiscal to meet increased demand.

"However, increased cash flows from business will control the overall leverage of the players, keeping credit profiles stable," Crisil Ratings Team Leader Rachna Anand said.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Rice farmers from Regions Two, Three, Five and Six met Agriculture Minister Zulfikar Mustapha on Wednesday to discuss the problems they were facing in the industry. A press release from the Ministry said that they wanted the government to intervene over what they regarded as price gouging by spare parts dealers, although it was recognised that most of their problems were a consequence of unfavourable weather conditions and external economic factors. They also asked for an across-the-board price for paddy, since farmers in all regions had to face the same issues. Where this was concerned Mr Mustapha explained to them that it would not be possible to standardise the price of paddy, because the transportation costs for millers varied from region to region. The cost in Region Two, for example, would be more than that in Region Five, although he assured them the government would continue to engage millers on prices. In addition, he said, it was still in contact with Panama in an attempt to recover the payments that country owed to millers here.

In relation to the price gouging allegation, the release reported the Minister as reminding the farmers that VAT was no longer applicable to inputs and equipment for the agricultural sector but said he would engage the Guyana Revenue Authority on the issue after he was informed that some dealers were still charging VAT. That apart, he also told them that the government was in discussion to source cheaper fertilizers. He was then quoted as saying: “Most of the issues faced in the sector, we have to work together to resolve them. The weather hasn’t been favourable but we are working to strengthen our infrastructure. We are building new pump stations to assist with drainage. We are building new farm-to-market roads, and rehabilitating dams so that you can access your fields. We’ve been working to enhance the drying facilities that we have across the country …”

The Ministry of Agriculture does not have it in its direct power to confront dishonest parts dealers, force irresponsible Panamanians to pay the millers, or stop the Ukraine War which has caused high fertiliser prices, but it does have an obligation to advise farmers about the problem which affects them most, i.e, climate change. Mr Mustapha spoke about strengthening the infrastructure and building new pump stations to help with drainage as well as rehabilitating dams, and while all these initiatives are vital, at best they address the fundamental problem only obliquely.

At the end of last month we reported on rice cultivation in Leguan where lands have been abandoned by farmers for the last three or four crop cycles because of changing weather patterns. This has caused them substantial losses and has left several in debt. A few have decided to change from rice to cattle rearing, while others have tried growing bananas along with rice to limit their losses. Bananas are a crop which can withstand the heavy, recurrent rainfall. One source told our reporter that fewer farmers had returned to cultivate this year, and that only about one third of the lands have been cultivated. Last year the newspaper was told, there were about $20 million in losses on an island where rice provides the main source of income for residents.

As was pointed out, it is not as if the situation on Leguan is unique; the changing weather pattern affected the whole of the Essequibo coast as well as Berbice. With reference to the last-named county President of the Guyana Rice Producers Association Lekha Rambrich told this newspaper that the rainfall had prevented many farmers from being able to prepare their lands in time for cultivation. He was quoted as saying, “The lands become so saturated you cannot go into reap nor [can] you … go into preparing it … We have seen rain falling in April and October when normally it just drizzles, but these past years it has been continuous.” From a total of 235,000 acres under rice only 180,000 were being cultivated for this crop. Low production also affects the millers, since they are unable to sign new contracts to maintain a hold on their markets or go after new ones.

We reported that in a context of such major losses, questions were being raised as to whether it is not time for a rice fund to be established in order to support the industry, although Mr Rambrich indicated there might be technical issues in the way of this. For his part Minister Mustapha said that although there was no fund in place to support farmers who were suffering as a result of climate change, the Guyana Rice Development Board would help farmers through measures other than cash handouts.  Even if a fund were set up for rice farmers, it would be an interim measure. In the longer term the government has to address the implications of climate change and advise the farmers accordingly. And it is not just the rice farmers. The majority of Guyana’s inhabitants live on the coast, and Georgetown, New Amsterdam and their environs aside, a large proportion of them are engaged in agriculture of one kind or another. What does the future of the coast look like, and more particularly, what is the future of the crops which are grown there, particularly rice, and, it might be added, sugar too? Our report mentioned some varieties of rice such as the GRDB15 and 196 which can withstand the impact of the change in climate, but that the farmers preferred varieties which produced higher yields such as the GRDB 16 and 10.

It is time that the Ministry of Agriculture started looking at these matters and helping the farmers to transition to varieties which are resistant to the changing weather conditions, as well as looking at the kind of infrastructure suitable for each of the regions which will be required for them to be able to cultivate the land. If it is not possible for the farmers to adjust and the government to provide the necessary infrastructure some of which the Minister listed, then it would have to be asked whether rice would still be a viable crop in the long term. According to forecasts this crop season is expected to be dry, and therefore will allow the farmers to prepare land for the next crop. That, however, will just be an interlude; it does not reflect the longer trend of what will happen along the coast in terms of weather patterns.

RPT-ASIA RICE-INDIA RATES AT NEAR 2-YEAR HIGH ON FIRM DEMAND; THAI PRICES SLIP

(Repeats with no changes to text)

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New supplies in March could impact prices - Thai trader

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Vietnam rice exports down over 17% in January

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Rice prices stay elevated in Bangladesh despite good crops

By Rahul Paswan

Feb 10 (Reuters) - Indian rice export prices extended their rally to a near two-year high on strong buying, while Thai rates fell for the second straight week due to a weaker baht and lower demand.

Top exporter India's 5% broken parboiled variety <RI-INBKN5-P1> was quoted at $395 to $402 per tonne this week, up from last week's $393-$398.

"Indian prices are going up but still buyers are making purchases for March and April shipments," said a Mumbai-based dealer with a global trade house.

Thailand's 5% broken rice prices <RI-THBKN5-P1> were at $480 -$490 per tonne on Thursday, down from $495 per tonne last week.

"Despite the weakening of the prices due to the exchange rate, demand remains weak because exporters sees the current prices as high," a Bangkok-based rice trader said.

Another trader said supply has also decreased, helping maintain the current level of prices.

A Bangkok-based trader said prices could change once new supplies enter the market at the beginning of March.

High cost of freighters also contributed to muted supply and the rise in rice prices, another trader said.

In Vietnam, 5% broken rice <RI-VNBKN5-P1> was offered at $455-$460 per tonne on Thursday, up from a range of $445-$450 per tonne a week ago.

"Traders are resuming their rice purchases from farmers to prepare for new contracts, following the holiday," a Ho Chi Minh City-based trader said.

Vietnam's rice exports in January fell 17.3% from the previous month to 359,310 tonnes, customs data showed.

"Supplies remain low as the winter-spring harvest won't peak until next month," said a trader based in Ho Chi Minh City.

In Bangladesh, domestic rice prices stayed elevated despite a good harvest, which officials blamed on hoarding by dishonest traders. The government is also importing rice while private importers have been given permission to import rice. (Reporting by Rajendra Jadhav in Mumbai, Khanh Vu in Hanoi, Panu Wongcha-um in Bangkok, Ruma Paul in Dhaka; Editing by Devika Syamnath)

The Central Regional Coordinating Council (CRCC), on Wednesday, took delivery of 2,500 kg (2.5MT) of high-quality rice seeds to boost the Region’s rice revolution drive.

The gesture formed part of the $8million intervention by the Korea International Corporation Agency (KOICA) under its Rice Value Chain Support Programme (RVCSP) for farmers.

The KOICA in June 2021 launched its RVCSP, now being implemented in five beneficiary districts in the Region; Gomoa East, Assin Fosu, Assin North, Assin South, and Twifo Atti-Morkwa.

The project seeks to improve the quality of life of rural farmers in the Region through increased rice production and income of farmers.

It is also aimed at leveraging the capacities deployed by the KOICA rice value chain interventions with machinery and equipment, knowledge, and skills training programmes to increase output.

Dubbed: “Central Region Movement for Planting for One More Square Meter of Rice for the Next generation,” the move had been spearheaded by CRCC and the various Metropolitan, Municipal and District Assemblies.

Addressing beneficiary farmers at a brief presentation ceremony, Mr Moon Heon Kong, the Country Director of KOICA, said the RVCSP had a broader goal of increasing rice value addition among farmers in the beneficiary districts of the Region.

He commended Mrs Justina Marigold Assan, the Regional Minister, for her commitment and support to making the Region the hub of quality rice production. He said rice had become an important staple on the Ghanaian menu to the extent
that its value was far beyond what it had traditionally been known for.

Aside from the nutritional value, he said, the initiative buttressed the policy of the Ministry of Food and Agriculture to attain the country’s estimated self-sufficiency in rice production by 2023/2024.

“The estimated USD500 million used to import rice into the Ghanaian market can significantly reduce with initiatives such as the “Central Region Movement for Planting One More Square Meter of Rice for the Next Generation.

“This is a progressive initiative that will eventually help preserve the country’s hard-earned forex, help create jobs with improved livelihoods around the value chain activities, contribute to local economic development, and many other benefits,” the Country Director of KOICA said.

For her part, Mrs Assan said the region had the potential to produce enough rice to feed the country and boost the economy and livelihoods of farmers.

She said the Region had strategized to become the fulcrum of rice production and rice seedlings for rice farmers in the country.

“Undoubtedly, the region has the capacity and prospects to produce rice to meet local demand and for export and I encourage you all to support,” she added.

MUMBAI/HANOI /BANGKOK/DHAKA: Indian rice export prices extended their rally to a near two-year high on strong buying, while Thai rates fell for the second straight week due to a weaker baht and lower demand. Top exporter India’s 5% broken parboiled variety was quoted at $395 to $402 per tonne this week, up from last week’s $393-$398.

“Indian prices are going up but still buyers are making purchases for March and April shipments,” said a Mumbai-based dealer with a global trade house.

Thailand’s 5% broken rice prices were at $480 -$490 per tonne on Thursday, down from $495 per tonne last week. “Despite the weakening of the prices due to the exchange rate, demand remains weak because exporters see the current prices as high,” a Bangkok-based rice trader said. Another trader said supply has also decreased, helping maintain the current level of prices.

A Bangkok-based trader said prices could change once new supplies enter the market at the beginning of March. High cost of freighters also contributed to muted supply and the rise in rice prices, another trader said. In Vietnam, 5% broken rice was offered at $455-$460 per tonne on Thursday, up from a range of $445-$450 per tonne a week ago. “Traders are resuming their rice purchases from farmers to prepare for new contracts, following the holiday,” a Ho Chi Minh City-based trader said. Vietnam’s rice exports in January fell 17.3% from the previous month to 359,310 tonnes, customs data showed. “Supplies remain low as the winter-spring harvest won’t peak until next month,” said a trader based in Ho Chi Minh City.

In Bangladesh, domestic rice prices stayed elevated despite a good harvest, which officials blamed on hoarding by dishonest traders. The government is also importing rice while private importers have been given permission to import rice.

A combination of high realisation and healthy demand will help the basmati rice sector log strong sales growth of over 30% on-year to more than Rs 50,000 crore in fiscal 2023, its highest ever, said Crisil in a media release.

It added: "Next fiscal, however, sales will decline by 5-7% as basmati rice realisation is expected to soften with anticipated increase in paddy acreage, leading to higher supply. The volume demand is expected to remain stable at ~6.8 million tonne. Higher realisation, compared with increase in raw material prices, will also improve operating profitability by 100-125 basis points (bps) this fiscal, while the absence of capex and increased cash accrual will keep credit risk profiles stable.

According to the ratings agency, exports, comprising 64% of basmati sales by volume, are estimated to log a healthy growth of ~11% on-year this fiscal to ~4.4 million tonne, riding on strong demand from key markets such as the Middle East and the US. India has already exported 3.19 million tonne (growth of 16% on-year) of basmati rice in the first nine months of this fiscal.

"Domestic demand, on the other hand, should log 8-9% volume growth to 2.4 million tonne, riding on higher demand from the hotel, restaurant, and café segment, which is expected to fare better this fiscal on account of increased social gatherings as the pandemic tapers. Household demand is expected to remain stable," said the report.

Nitin Kansal, Director, CRISIL Ratings said, “Basmati sector sales will likely rise ~30% this fiscal, with volume growing 10% and realisation increasing ~20%. Growth in export volume is driven by two factors: increased food grain demand amid geo-political issues, and India benefitting from lower basmati exports from flood-affected Pakistan, a key basmati exporter. Next fiscal, sector sales will reduce by 5-7% solely due to moderating prices.” Increase in the prices of paddy (key raw material) by about 18% in fiscal 2023 will add a percentage point to operating profitability, which will stabilise at ~7%. Profitability will remain at a similar level next fiscal as paddy prices are expected to fall. The improved operating profitability will, in turn, result in higher cash accrual, which will improve the financial risk profiles of basmati players, though they will likely utilise the entire cash accrual to fund increased working capital requirement in the current fiscal."

Rachna Anand, Team Leader, CRISIL Ratings said, “Though absence of capex will limit the CRISIL rated basmati players’ requirement of external long-term funds, their working capital borrowings will rise as paddy procurement will increase this fiscal to meet increased demand. However, increased cash flows from business will control the overall leverage of the players, keeping credit profiles stable.” Looking ahead, working capital management, monsoon intensity, and the next crop harvest will bear watching.

Exports increased 17% to 3.2 million tonnes in April-December; unit value realisation up 40%

India’s basmati rice exports surged 17 per cent in volume during the first three quarters of the current fiscal, while exporters are earning at least 20 per cent more on average in overseas markets as Iran, Saudi Arabia, and the UAE together bought half of India’s total shipments of the aromatic rice.

According to the latest data from the Agricultural and Processed Food Products Export Development Authority (APEDA), the shipments of basmati rice increased to 3.2 million tonnes (mt) in April–December of the current fiscal from 2.74 mt in the year-ago period. However, in terms of value, the surge was 40 per cent to $3.34 billion from $2.38 billion. Due to the depreciating rupee, the growth is even higher – 50.5 per cent - in Indian currency, at ₹26,591 crore against ₹17,664 crore. In fact, export realisation in basmati rice increased to $1,044 per tonne this fiscal from $868 per tonne a year ago.

Win-win for all

Prices did not increase from the average received ($1,057) in April-September, contrary to what was expected, an official said. Though traders and exporters paid record-high prices for basmati paddy this year anticipating a huge jump, it is a win-win for all stakeholders—farmers, exporters, and consumers—the official said.

Recalling the 2013-14 price spiral in basmati, an industry official said exports may not rise that high over the next two months as contracts are happening at an average of $1,100-1,200/tonne, though some are getting premiums and selling at $1,350 for limited quantities.

In 2013–14, India exported 3.76 mt of basmati worth $4.87 billion, a record high in value terms, realising an average of $1,295 per tonne. “That was an exceptional year as Iran had bought nearly 1.5 mt of basmati from India whereas the traditional top buyer Saudi Arabia imported around 0.8 mt,” said an industry veteran who has been tracking basmati prices for the last two decades.

“The problems in Pakistan is redefining the basmati market in addition to India’s demand and supply. We are in the twilight zone,” said foreign trade policy expert S Chandrasekaran, who is also the author of a book on Basmati GI.

Normally, prices drop on higher supplies, but in the case of basmati, paddy prices witnessed an increase in October as high as 19 per cent at ₹3,322/quintal in Haryana and then topped ₹4,000/quintal.

Hanoi, Feb 9 (Prensa Latina) The economic and political uncertainties being faced by the world have benefited Vietnam's rice prices, which have reached their highest level in the last two years, sources from the sector reported in this capital.

Anxiety has pushed many countries to increase imports to grow their rice reserves, with the consequent increase in its value in the international market, Do Ha Nam, Vice Chairman of the Vietnam Food Association (VFA), said.

According to the official, quoted by The Voice of Vietnam, until February 5, Vietnam’s rice price had risen by 15 dollars per ton since late January, when 5-percent broken rice was traded at 473 dollars per ton and 25-percent broken rice was sold at around 453 dollars per ton.

In mid-January, the VFA itself predicted that domestic rice exporters would have a clear advantage this year, thanks to high prices and the enormous demand for rice worldwide.

Many companies have already received orders until April or even the third quarter of this year, Ha Nam informed at the time, noting that thanks to high-quality jasmine rice, the country has seen rapid growth in demanding markets such as the United States and the European Union.

Techniques that use less water, produce more rice and emit less methane are gaining traction in China

In a mountain village in south-west China, the local people are playing a guessing game. A new climate-friendly way of growing rice is being trialled here that will reduce methane emissions. So, what’s the difference in yield between it and the conventional method?

Shortly after the guesses are in, the findings are revealed: the new approach can increase yields by about 20%.

Although it seems far removed, the rice cultivation in this village is connected to a joint statement made by China and the US at the COP26 UN climate conference in 2021. In it, China said that by COP27, which was held in November 2022, it would produce a “comprehensive and ambitious national action plan on methane”, to achieve significant results in controlling and reducing emissions by 2030.

The full text of that plan is not yet available. But during COP27, China’s climate envoy Xie Zhenhua said the text has been written, and that it focusses on three areas: energy and natural gas; agriculture; and waste handling.

Reducing methane emissions is an urgent problem and is viewed as essential to keeping the global average temperature increase below 1.5C. Methane has 86 times more warming potential than carbon dioxide over a 20-year timescale, according to the IPCC (Intergovernmental Panel on Climate Change). While the International Energy Agency has said methane accounts for 30% of global warming since the industrial revolution.

Methane remains in the atmosphere for about a decade, so rapid emission cuts could quickly reduce its contribution to global warming, winning some valuable time to avoid disastrous warming. This is the goal of the Global Methane Pledge, an initiative to voluntarily reduce global methane emissions at least 30% from 2020 levels by 2030, which is currently endorsed by 150 countries. China has not joined the initiative, but as the world’s biggest emitter of methane – accounting for 14.3% of global emissions – its actions, together with other major emitters, will be crucial.

In China, unlike other industrialised countries, paddy field rice farming is a significant source of the gas, accounting for 16% of human-caused methane.

Last year, the government published policy guidance on cutting methane from rice farming, while new planting methods and technologies are being tested in the field. However, as we shall see, the small profits available from small-scale rice farming in the south of China pose problems for promoting climate-friendly techniques.

Meanwhile, the centre of rice farming has been shifting northwards, where less water-intensive techniques are producing less methane. In parts of China’s vast expanses of paddy fields, methane emissions are quietly falling.

Why does paddy farming produce methane?

The microorganisms that produce methane are some of the most ancient forms of life. Known as “methanogens” they are widely found in oxygen-poor environments such as lakebed silt, animal intestines and flooded paddy fields.

Rice can grow in dry ground, but farmers found when domesticating the plant that it also grows well in flooded fields, while the weeds it competes with do not. Paddy field farming therefore developed and has remained largely unchanged for millennia.

The water in paddy fields acts as a barrier between the air and soil, creating the ideal oxygen-poor environment for methanogens, while organic matter excreted by the rice’s root systems provide nutrition. Those ancient organisms thrive in the water-logged soil, emitting methane as they do so.

China is the world’s largest rice producer, utilising 30 million hectares of land for rice farming in 2021, and producing a harvest of 210 million tonnes, according to the National Bureau of Statistics. Rice is the staple food for 65% of China’s population. The country has 20% of the world’s paddy fields and produces 29% of the rice, according to a paper published in 2018 in the Chinese Journal of Eco-Agriculture.

But those paddy fields are Chinese agriculture’s biggest source of methane emissions. According to the government’s Second Biennial Update Report on Climate Change (2018), China emitted 55.3 million tonnes of methane in 2014, with 22.2 million tonnes of that coming from agriculture. Paddy field rice farming accounted for 8.9 million tonnes, or 40% of all agricultural emissions. Research has found that paddy fields in China produce 29% of global paddy field methane emissions.

Cutting methane emissions from rice farming

In June 2022, the Ministry of Agriculture and Rural Affairs, and the National Development and Reform Commission, published plans for emissions reduction and carbon sequestration in rural areas and the agricultural sector. Paddy field methane reduction was listed as the first of ten priorities in that document, with plans to “promote water-saving rice irrigation where suitable, improve efficiency of water use, and reduce production of methane.”

The best-established method of cutting methane from rice farming is to shift away from traditional flooded-field methods. As the organisms that produce methane can only survive in oxygen-poor environments, letting the soil dry out regularly – exposing it to the air – reduces emissions.

The System of Rice Intensification, which originated in Madagascar in 1981, does this through the use of shallow and intermittent irrigation or alternate wetting and drying. Research has found these techniques can reduce methane emissions from rice growing by 22–64%.

SRI is widely used across Asia, Africa and Latin America. Alongside the environmental benefits, it increases yields and so farmers’ incomes.

But one team working on paddy field methane emissions says SRI isn’t practical for local farmers in China’s south-west. A team member, who preferred to remain anonymous, told China Dialogue: “We haven’t promoted the method as we found the farmers very confused about when they should and shouldn’t flood the fields. In the mountains of the south-west, paddy fields are left flooded year-round, and always have been. This means the fields continue to emit methane over the winter, even though nothing is growing.”

They explained that as the different farmers’ paddy fields are all connected, one farmer adding or removing water affects others, making things more complex.

To accommodate these millennia old practices, the research team has opted for another approach known as furrow flooding. This involves piling up earth into ridges and planting crops on top of them. The furrows between the ridges are then flooded.

”Furrow flooding” can save a lot of water compared to fully flooding fields. In this photograph, it is being employed in San Juan, Argentina (Image: Eduardo Pucheta / Alamy)

“There are clear advantages to furrow flooding,” said the researcher. “The Institute of Soil Science at the Chinese Academy of Sciences found reductions of 60–80% in methane emissions. Managing water levels is easier, as water can be left in the furrows year-round. This saves the farmers a lot of work.”

Elsewhere, other approaches are being tried. In the township of Xitang in Jiashang county, Zhejiang, the China National Rice Research Institute and Alibaba Cloud have built a “smart” farming system as part of a 400 mu (27 hectare) low-carbon farming project.

According to the National Business Daily, the project uses Alibaba’s cloud computing tech and the Internet of Things to connect monitoring instruments with irrigation equipment and automated machinery, allowing more efficient, targeted management. For example, water level sensors are linked to valves that add or remove water from the field as necessary.

Calculations by the institute say the smarter techniques cut water use by 30–50% and methane emissions by 30% or more.

Challenges in popularising the new techniques

Rice farming in the south has been gradually shrinking as people move to the cities. In Hunan, for example, production was 27.6 million tonnes in 2015 and 26.8 million tonnes by 2021. China’s rice production has not been falling overall, however. Production has been shifting to the north. In Heilongjiang, 27.2 million tonnes were produced in 2015, and 29.1 million tonnes in 2021, according to the National Bureau of Statistics.

China has seen 40 years of rapid economic growth, creating many jobs and attracting hundreds of millions of people from the countryside to the cities. In the densely populated south, the remaining farmers tend to work only small patches of land. This makes it harder to achieve economies of scale. It is generally possible to make much more money in the cities. Fewer people are willing stay home and grow rice.

I’ve realised the biggest problem is that the villages are empty and nobody is planting rice

That presents another problem for the team trying to encourage furrow flooding in the south: “When we go into villages to try and talk about rice farming techniques, nobody is interested. A major problem for us is that resistance is in fact a resistance to the idea of rice farming.”

Although furrow flooding can reduce methane and increase yields, the changes aren’t big enough to tempt anyone to quit the factory job and come home to change existing techniques.

“Since joining the team, I’ve realised the biggest problem is that the villages are empty and nobody is planting rice,” said the researcher, who did not wish to be named. “Paddy field rice farming is very tough work and you don’t earn much. Two crops a year on a mu of land earn about 600 yuan (US$89). Why would you do that instead of working in a factory? Our method offers more stable, or even better, harvests. But the difference between 600 and 800 yuan isn’t significant. In some places in Hunan, they’re offering 600 yuan subsidies per mu of rice farming, doubling income, and still nobody is interested. Guangdong’s so close, who wouldn’t choose to work there?”

The team has found that to promote low-methane techniques should involve more than talking to villagers about how to grow rice. How to improve overall economic returns from farmland is the key. They’re investigating involving other more profitable crops too.

“We’re looking at using no-till cover techniques and planting other crops after harvesting [the rice] to add nitrogen and organic matter to the soil. That will increase soil fertility and reduce the need for fertiliser the following year, improving the harvest and reducing costs. We’re looking at a few ways of doing this, including no-till cover planting of broad beans, to see which is most profitable,” the team member said.

Potential for emissions cuts at scale

While rice farming in the south might be shrinking, things are different in the north-east, where there is more arable land per person and higher levels of mechanisation in agriculture. The province of Heilongjiang in particular, with its expanses of dark fertile soil, is becoming a new centre of rice production. Figures from the National Bureau of Statistics show the province grew more rice than any other in 2021 – 2.3 million tonnes more than second-place Hunan.

Rice growing in coastal provinces in the southeast like Guangdong, Fujian and Zhejiang has been shrinking since the early 1980s, according to a paper by Liu Guozhen, Li Zhengguo and others from the Chinese Academy of Agricultural Sciences’ Institute of Agricultural Resources and Regional Planning. Growth, meanwhile, has been mainly in Jilin and Heilongjiang in the north-east.

That shift north has meant changes in techniques. According to news agency Xinhua, Heilongjiang has been researching water-saving methods of rice growing since 2004, with water use reduced by 30–40% and yields up 5–10%. In 2012, that “dry-cultivation” method was used across 4 million mu. That expanded to 30 million mu in 2018, a sevenfold increase over eight years and more than half the area of flooded-field rice growing in the province.

A rice-growing demonstration park in Heilongjiang, north-east China, employing a method to save water and emissions (Image: Zhang Tao / Alamy)

The expansion was due to a combination of government support and significant cost reductions with the new method. One rice farmer, who has 400 mu of land in the Heilongjiang city of Hulin, said in an interview with ChinaNews.com that he had seen costs per mu fall by over 200 yuan, as well as savings on time, labour and water.

The changes rolled out in Heilongjiang have also reduced methane emissions. Research has found the dry-cultivation technique cuts production of methane by over 30%.

But while rice production has been shifting north, paddy fields in the south still produce most of China’s rice. According to the National Bureau of Statistics, only two northern provinces made it into the top ten rice growers for 2021. The other eight were all in the south and they grew 138 million tonnes of rice, about 65% of the total.https://flo.uri.sh/visualisation/12677250/embed

As all provinces have been told by the central government to maintain certain levels of arable land and grain production, there is little chance of a wholesale shift of rice growing to the north in this coming decade – a decade which is crucial for tackling climate change. There is still a lot of scope for climate-friendly techniques to be applied in the paddy fields of the south.

Some experts argue that increased “land transfers” – meaning long-term leases – could help reduce methane emissions from rice cultivation, while warning that smallholders’ land contract rights must be maintained to protect equity. If such transfers were made easier, then an increase in income of only 200 yuan per mu from dry-cultivation would be significant. On a 400 mu farm like that in Hulin, it would be 80,000 yuan per harvest, potentially more with government subsidies. This could increase the likelihood of people leaving factory jobs to implement the new techniques.

There is a parallel to be drawn with fertiliser reduction. In China, larger farms use less fertiliser per unit area, according to a joint study by China Agricultural, Zhejiang and Virginia universities.

The researchers found smallholder farms (less than 0.5 hectares on average) use machinery less and physical labour more, which hampers precise and science-based use of fertilisers. And as smallholder farmers can make more money working in the cities, they are less reliant on their farming income than larger professional farmers (with 30 hectare or more, on average). This makes the latter group more sensitive to changes in fertiliser costs and keener to reduce usage. But 98% of China’s cropland is farmed by smallholders. This led the researchers to recommend policymakers look at systems to facilitate “land transfers” and not just fertiliser application technology.

Chen Mei’an, programme director with the consultancy Innovative Green Development Program (iGDP), studies climate change issues in China. She told China Dialogue: “Farm size is a very important factor. China has smallholder agriculture, but applying better emissions tech costs money, whether it’s in fertiliser use or methane reduction, and that discourages smaller scale farmers. When you have larger farms, you get economies of scale and the costs are spread more thinly. Land transfers and leases would help achieve that.”

‘Abeyance’. Bangladesh scraps parboiled rice G2G import deals with Indian co-op agencies

With the deal not going through, domestic parboiled prices drop 10%

Bangladesh has cancelled its orders to import two lakh tonnes of parboiled rice from two Indian cooperative agencies through government-to-government (G2G) deals after having kept them in “abeyance” for a few weeks.

Trade sources said Bangladesh, which began dragging its feet after getting a couple of offers offering the rice at lower prices, has returned the “bid bonds” submitted by the two cooperative agencies during negotiations.

The return of the “bid bonds” is a confirmation of Dhaka cancelling its plans to import the rice as part of its efforts to buy five lakh tonnes for its public distribution system.

According to media reports in Bangladesh, the Sheikh Hasina Wajed government decided to “suspend the process of buying over-priced rice” from the two agencies — NCCF (National Cooperative Consumers Federation of India Ltd) and Kendriya Bhandar — last weekend.

Impact on India

The impact of the deal is being felt in the Indian domestic market with prices of parboiled rice dropping at least 10 per cent after having increased 30 per cent in January to ₹29,000 a tonne. Prices had surged on expectations of the G2G rice deals with Bangladesh going through.

“Even as we were loading parboiled consignments for African destinations, millers called us offering more rice at lower prices,” said VR Vidya Sagar, Director, Bulk Logix.

Dhaka’s plans to enter into G2G deals to import parboiled rice ran into rough weather after it face criticism of paying a higher price than what some private Indian exporters had quoted in a global tender to import 50,000 tonnes of parboiled rice.

The Wajed government was also facing problems concerning foreign exchange, which added further pressure on going ahead with the deal.

Global import tenders

In December, NCCF and Kendriya Bhandar offered to supply the two lakh tonnes under G2G deals at $433.60 and $433.50 a tonne, respectively.

Accepting the offer, Bangladesh’s Food Ministry issued letters of intent for the purchases of one lakh tonnes each from the two cooperatives before putting them on hold its decision.

At that time, the offers made by the two cooperatives were $35/tonne higher than what private traders offered in two global import tenders.

In a tender opened on December 21, India’s Bagadiya Brothers was the lowest bidder offering the foodgrain at $393.90/tonne. In the next tender opened on December 27, Singapore’s AgroCorp International offered the most competitive rate of $397.03.

Playing hide & seek

Official sources said they had charged more for the supplies since Bangladesh asked for the new crop besides wanting the consignments to be delivered in two months. Still, a couple of offers were made from the Indian side lowering the price by a few dollars.

“Had it given more time and opted for an older crop, it could have got the rice at a cheaper rate,” an official said on condition of anonymity.

Trade sources said some of the Indian exporters who took part in Bangladesh’s global import tenders had quoted higher prices when the cooperative agencies approached them for the G2G deals.

“Practically, they played hide and seek with us by cutting prices for the Bangladesh tender and raising it when the agencies sought rice for the G2G deals,” said a trader, who did not wish to be identified.

Dhaka, the loser?

After receiving the LOI, the Indian cooperatives were to furnish bank guarantees. But they got delayed by six days and Bangladesh utilised the opportunity to drag its feet before finally calling them off.

A trader said: “If it wanted, Bangladesh could have accepted the guarantee.” This was because Bangladesh Food Ministry and its Cabinet Committee had cleared the G2G deals.

Traders said Bangladesh would be the loser in deciding to not sign the deals as rice prices have increased by at least 10 per cent since the start of the year.

According to Thai Rice Exporters Association data, Thailand, India’s main competitor in the global market for parboiled rice, is offering the cereal at $517/tonne and Pakistan, which is facing short supplies, is offering it at $496-500.

India’s parboiled rice is quoted at $395-399.

“India’s offer is lower by at least $100 a tonne. Where can Bangladesh get rice at such a price? Even if it were to pay higher than the bids made in its global tender, it will still be over $60 a tonne lower than other origins,” said a trader.

Low output, stocks

According to the Food and Agriculture Organisation, rice prices zoomed to their highest since November 2011 in January, though they have declined a tad recently.

In India, the top global exporter, rice prices have increased with the Ministry of Agriculture estimating the Kharif crop this crop year to June lower at 104.99 million tonnes against 111.76 mt last year.

The procurement of rice by the Food Corporation of India has been tardy. Rice stocks in the central pool have dropped by 43 per cent compared with the year-ago period to an 8-year-low of 12.54 mt.

However, unmilled paddy stocks are higher than last year at 47.62 mt (31.91 mt rice).

BD's private sector imports halted in recent weeks

The world rice prices hit a 12-year high in January 2023, raising further concern for the importing countries, according to a latest report of the Food and Agriculture Organisation of the UN (FAO).

Bangladesh's private sector imports have also almost stopped notably in recent weeks, indicating a gloomy prospect for the domestic rice market in coming months following the persisting volatile situation in the global commodity market, said market experts.

FAO All Rice Price Index increased to 126.4 points in January which is 6.2 per cent higher than that of December 2022 and a 12-year high, according to the FAO monthly report on the food grain, published on Friday.

The prices of Indica species, consumed mostly by South Asians, witnessed the highest surge as its index reached 127 points in January, uppermost level since 2011, said the FAO report.

Price of exportable parboiled rice of India reached $388-$ 419 a tonne while Pakistani and Vietnamese rice traded at $430 to $ 466 a tonne.

Thai parboiled rice, suitable for the South Asians, was traded at $ 473 to $ 523 a tonne in January. (FAO report documents FOB prices, freight charges are excluded here).

Gradual appreciation of Asian currencies against US dollar, rising demands in Indonesia, lesser exports by Pakistan amid a flood-induced low output, the lunar year celebration across the far-east Asia and a record pace of government domestic procurement by India despite a decline in output were some major reasons behind such tectonic hike in rice prices, said the FAO report.

Meanwhile, import by Bangladeshi traders almost stopped in recent weeks amid the rocketing global prices as well as obstacle to sourcing US dollar for opening L/Cs, Shamsul Hoque, a Rangpur-based importer, said.

He said cost for imported Indian coarse rice would be minimum Tk 57 a kg now considering the minimum price of $390 a tonne, duties of 15.2 per cent and freight charges.

Most of the importers are trying to bring medium varieties of rice like Ratna, BRRI dhan 28, Swarna-5 and finer quality like Nazersail, Miniket from West Bengal, Hariana and Punjab in India to make some profits.

A food ministry official told the FE that private sector has been permitted to bring 1.45 million tonnes of rice from the foreign sources this financial year but they could bring only 0.409 million tonnes so far.

He said the government has brought above 0.45 million tonnes of rice so far this FY while another 0.5 million tonnes would be imported (by the government).

He said the public warehouses have now a handsome amount of 1.95 million tonnes of food grains of which rice is 1.6 million tonnes; Aman rice procurement is also going on.

There will be no shortage of rice until the next Boro harvest, he added.

Economist and value chain expert Prof Dr Md Moniruzzaman said though coarse rice prices showed a slight decline in recent weeks, medium and finer rice prices have surged even during the Aman harvesting season.

There is no sign of relief as production cost in the ongoing Boro season has also been rising to a record high this year.

Rising import costs will be a matter of concern from the later days of March when the stock of Aman crop would start to decrease, he continued.

The government would have the preparation for those off-peak months, he said.

According to the Trading Corporation of Bangladesh (TCB) and the city groceries, coarse rice prices are static at Tk48-52 a kg but medium and finer varieties of rice witnessed a further Tk2.0-3.0 hike per kg in a month in Dhaka city as those were retailing at Tk62-68 and Tk 75-98 a kg respectively.

The current prices are 6.0-12 per cent higher than that a year ago.

tonmoy.wardad@gmail.com

Rice farming produces 1.5% of the Earth’s greenhouse gas emissions, according to the World Wildlife Fund, but Kellogg sees a path toward diminishing the crop’s negative impact by working directly with farmers.

The cereal giant said its InGrained rice partnership with farmers in the Lower Mississippi River Basin region — which aims to grow the crop with reduced methane emissions — yielded positive early results after the pilot year of the program.

Kellogg invested $2 million in implementing irrigation practices over the past year. The company said that during a five-year period, it is paying producers $20 per ton of greenhouse gas they abate through introducing climate-friendly practices to their farming operations.

Over the first year, Kellogg said, these practices garnered a reduction of over 1,600 metric tons of greenhouse gases, equal to removing 345 gasoline-fueled cars from the road.

Janelle Meyers, chief sustainability officer at Kellogg, told Food Dive working with farmers on establishing the new agricultural practices has led to success with the project thus far. The farmers, she said, shared with Kellogg that the quality of their rice was not impacted by the new methods.

“What we’re trying to understand is, what are the practices that can deliver greenhouse gas reduction or water conservation as a collective between those different partners?” Meyers said. “Practices were identified based off of both technical recommendations and the suggestions from the different suppliers and growers as well.”

One practice, she said, is alternate wet and dry irrigation, in which rice fields are not kept continuously irrigated but are allowed to dry at specific intervals during the rice growing stage, according to research published by the Journal of Agricultural Science, which has been shown to mitigate emissions.

Kellogg sources rice, a key ingredient for its Rice Krispies and Rice Krispies Treats brands, from growers in Northeast Louisiana. The company collaborated with emissions tracking group Regrow Ag for its calculation.

The cereal giant believes the rice endeavor, which is part of Kellogg’s Origins sustainability program, will further its 2030 sustainability goals. These include lowering its Scope 3 emissions — which derive from food commodity production and transportation — by 15%, and engaging over one million growers in its environmental projects by 2030. As of 2021, the company had invested in 445,000 farmers.

Meyers said the company has a particular interest in investing in women-owned farmers. A 2019 study from AgFunder reports that only 3% of agri-food tech investment dollars go to women.

Kellogg identified 15 priority ingredients that need particular environmental, social or animal welfare needs, which it is rolling out and planning sustainabile agriculture projects for, Meyers said. “We’re working on corn in Mexico, wheat in Australia, potatoes in Europe, and there’s multiple others.” 

Rice production results in emissions of several greenhouse gases, including methane, which is more than 25 times as potent as carbon dioxide at trapping heat in the atmosphere according to the Environmental Protection Agency.

The Environmental Defense Fund reports that global production of the crop is doing as much harm to the environment as 1,200 coal power stations.

Rice production in the U.S. declined in 2022 because of persistent rainfall last spring that prevented the crop from being planted in parts of the South, according to USDA data. Yields for the 2022-2023 are projected to be lower in all growing states, the government department said, because of droughts in the Southwest region.

With its rice project, Kellogg aims to apply some of the principles it learns to other regions, but Meyers noted that strategies will differ based on the location and climate of the project.

“We take those learnings and try to apply them as we try to build out similar commodity projects in different regions,” she said.

U.S. rice exports are expected to total around 3 million metric tons in the 2022-23 marketing year.

Al Awees, the private company that took over much of the food purchasing for the government of Iraq in 2021, made two purchases of 44,000 metric tons each of U.S. rice as the 2022 calendar year ended.

The total of 88,000 metric tons may not seem like much given that U.S. rice exports are expected to total around 3 million metric tons in the 2022-23 marketing year, but the symbolism may be more important than the actual amount.

Questions had been raised about whether Al Awees would honor the 2022-23 Memorandum of Understanding signed by the governments of the United States and Iraq that calls for Iraq to purchase 200,000 metric tons of U.S. rice. Al Awees’ initial rice purchases in the summer of 2021were from Uruguay.

Rice trade

Iraq was once a major market for U.S. rice, but the rice trade between the two countries has been limited to nonexistent over the last three decades. Iraq imports nearly 90% of the rice it needs, and its purchases have been increasing.

“Iraq’s rice imports averaged 1.1 million to 1.2 million tons a few years ago but have now surged to nearly 2 million tons,” said Sarah Moran, vice president, international, who manages the USA Rice Federation’s international marketing programs.

Moran said rice production in Iraq has increased from 120,000 tons to 250,000 in the past year, but domestic consumption of rice has risen from 1.3 million metric tons to 1.7 million metric tons in 2022.

“Iraq operates a public distribution system where the government provides certain essential food products, such as rice, oil, wheat flour, sugar, and milk,” she said. “Nearly 90% of Iraqi households receive ration cards for subsidized food commodities. The amount of rice in these ration cards has increased from 12 kilograms per person (26 pounds) to 33 kilograms per person in 2022.”

India and Thailand

A chart displayed by Moran showed India and Thailand have accounted for the bulk of Iraq’s rice imports in 2020, 2021 and 2022. Prices of rice in those two countries are typically $200 per ton below U.S. prices due, in part, to government subsidies for rice farmers in India and Thailand.

The price disparity has played a role in the reduced outlook for U.S. exports worldwide. In January, USDA’s Economic Research Service lowered its forecast for U.S. 2022-23 all-rice exports to 66 million hundredweight or about 3 million metric tons, the lowest since the 1985-86 marketing year. “The downward revision was largely based on sales and shipments through late November, expectations regarding shipments for the remainder of the market year, and uncompetitive prices,” said Nathan Childs, coordinator of the USDA Economic Research Service’s Rice Outlook Report.

Export forecast

In it, the U.S. rough-rice export forecast was again lowered 2.0 million cwt and is now projected at 23.0 million cwt., or about 1 million metric tons. Rough-rice imports are projected to be almost 19% below a year earlier and are the lowest since 2000/01.

“Long-grain shipments to Latin America are expected to again account for the bulk of these exports,” Childs said. “However, the United States is facing increasing competition from South American suppliers in the region, especially in Mexico, the top U.S. rough-rice export market, as well as in several Central American markets.

U.S. 2022-23 milled-rice exports remain forecast at 46.0 million hundredweight, nearly 15% below a year earlier and the smallest since 1965/66. United States sales through late November to both Haiti—the largest market for U.S. long-grain milled rice—and Japan—the largest market for U.S. medium- and short-grain milled rice—were well below a year earlier.

U.S. rice shipments to Mexico have been declining by about 100,000 metric tons per year over the last two-and-a-half years, according to Dwight Roberts, senior advisor to the U.S. Rice Producers Association.

“In 2021, the U.S. exported 765,000 metric tons of rice to Mexico; in 2022, it was 625,000 metric tons; and as of September, it was 373,000 metric tons,” he said. “Mexico now accounts for 60 % of Brazil’s paddy exports, a statistic that was unfathomable only a few years ago.” (Brazil could ship 900,000 metric tons of rice to Mexico this year, he notes.)

Numbers like these make the Iraqi agreement to buy 200,000 metric tons and any other sales U.S. shippers can make more important than ever.

HANOI: Vietnam’s rice export is forecast to continue reaping successes this year as the world’s rice prices remain high at least in the short term as global economic and political uncertainties have resulted in high demand for rice reserves, according to experts.

According to the Vietnam Food Association, by the middle of last month, Vietnam earned nearly US$115 million from exporting more than 226,000 tonnes of rice, an increase of over 41 per cent in terms of both volume and value compared to the same period last year, reported VNA (Vietnam News Agency).

The country exported ST24 and ST25 rice to the Middle East region with a record-high price of US$1,000 per tonne, doubling the price of normal white rice.

Vietnamese rice further penetrated demanding markets like Japan and the EU.

According to experts, more than 80 per cent of rice varieties in Vietnam are fragrant high-quality rice, which is an important factor that helps increase Vietnamese rice’s value and accessibility to markets.

This year’s rice prices are forecast to return to their peak in 2019 thanks to periodical factors and increasing demand for rice reserves in countries, including such populous nations as China and India.

Moreover, Vietnamese rice exporters are taking advantage of free trade agreements.

Pham Thai Binh, General Director of Trung An Hi-tech Agriculture Joint Stocks Company, said that before the EU–Vietnam Free Trade Agreement (EVFTA) took effect, Vietnamese rice exported to the EU was taxed at high rates, from 5 per cent to 45 per cent, depending countries.

As the result, it was difficult for Vietnamese rice to compete with those from Cambodia and Myanmar as the EU has exempted import taxes for those countries.

Meanwhile, although Thailand’s rice is heavily taxed branding is strong and long-lasting, resulting in its high competitiveness, Binh said.

According to analysts from BIDV Securities Company (BSC), unfavourable weather conditions make major rice exporters like India and Pakistan reduce export volumes while major rice importers like China to increase imports.

Vietnam and Thailand are expected to hold negotiations to discuss rising rice prices in the context of increasing prices of input materials.

Last year, Vietnam exported nearly 7.2 tonnes of rice, gaining US$3.49 billion. -Bernama

MUMBAI/ HANOI/ BANGKOK/DHAKA: Rice export prices from India rose to their highest level since April 2021 this week, aided by firm demand and tight supplies, while elevated rates in Thailand kept buyers at bay. Top exporter India’s 5% broken parboiled variety was quoted at $393 to $398 per tonne this week, up from last week range of $387-$395.

“Government has made record purchases of unmilled rice from farmers this year. Limited amounts of supplies are available to private players for the exports,” a New-Delhi-based dealer with a global trade house said.

India’s rice exports in 2022 jumped to a record high despite the government’s curbs on overseas sale, as buyers continued to make purchases because of competitive prices, according to government and industry officials.

Thailand’s 5% broken rice prices eased slightly to $495 per tonnes, from $500 per tonne. Traders attributed the small price drop to a slow down in demand but blamed the lack of supply and the strength of the local currency for keeping prices high which they say deter buyers.

A Bangkok-based trader said prices could change once new supplies enter the market at the beginning of March. High cost of freighter also contributed to muted supply and the rise in rice prices, another trader said. In Vietnam, 5% broken rice were offered at $445-$450 per tonne, free on board, unchanged from two weeks ago.

“Traders are resuming their rice purchases from farmers to prepare for new contracts, following the holiday,” a Ho Chi Minh City-based trader said. Vietnam exported 400,000 tonnes of rice in January, down 20.9% from a year earlier, government data released on Sunday showed.

Bangladesh’s rice production in the marketing year to April has been revised upward to 35.8 million tonnes, the US Department of Agriculture said in its latest update.

As per traders, basmati rates have reached an all-time high of ₹120 to ₹170 per kg (depending upon the quality and variety) from ₹90 to ₹140 three months ago, due to increasing exports amid falling production. The rates of parmal (non-basmati) rice have also witnessed an increase, going from ₹30 to ₹40 per kg three months ago to above ₹45 per kg now.

As per traders, basmati rates have reached an all-time high of ₹120 to ₹170 per kg (depending upon the quality and variety) from ₹90 to ₹140 three months ago, due to increasing exports amid falling production.

The rates of parmal (non-basmati) rice have also witnessed an increase, going from ₹30 to ₹40 per kg three months ago to above ₹45 per kg now.

The rate of wheat flour is hovering between ₹38 and ₹40 per kg as compared to ₹30 earlier.

Wheat grain is also fetching a whopping ₹2,800 per quintal, against the minimum support price (MSP) of ₹2,125, in the domestic market despite a ban on exports. The government had banned wheat exports in May last year in view of a dip in production. While in 2020-21, the country had produced 109.59 million tonnes of wheat, in the subsequent year (2021-22), it had produced 106.84 million tonnes.

Bunty Garg, a rice-trader from Taraori of Karnal, said, “The prices of basmati and non-basmati rice are rising with every passing month. Even the rates of common basmati rice have shot up to ₹110 per kg from ₹85 two months ago.”

Rice exporters from Karnal say the global surge in demand for basmati is driving the surge in domestic rates.

Former vice-president of All-India Rice Exporters’ Association Vijay Setia said, “With around 13% increase in basmati exports and more than 5% increase in non-basmati rice exports in the international market, the prices of both varieties have witnessed a surge in the domestic market. Though basmati consumers are not affected much, the increase in prices of non-basmati which is called common man’s rice is worrisome.”

India’s exports see a rise

The latest comparative statement of Agricultural and Processed Food Products Export Development Authority (APEDA) reveals that India’s cereal export between April and November 2022 reached ₹72,626 crore as compared to ₹57,658 crore for the corresponding period in 2021.

The figures revealed that 27.32 lakh tonne of basmati was shipped between April and November against 23.97 lakh tonne in the corresponding period last year and the price of Basmati touched 1,051 USD ( ₹85,971) per tonne in November 2022 against 860 USD ( ₹70,348) per tonne in November in the last financial year.

The government had even imposed 20% duty on rice exports during this period but the basmati export increased.

Wheat export reached to ₹11,727 crore from ₹8,658 crore. Despite poor production last rabi harvesting season, India had exported 4.92 lakh MT wheat more than the previous year as the figures reveal that India’s wheat export from April to November this year was 46.56 lakh MT against 41.64 lakh MT of the last year.

The biggest reason behind the surge in the wheat export is surge in the prices in the international market -- it increased to 324 USD ( ₹26,503) in November this year from 280 USD ( ₹22,904) last year. “We are selling wheat flour at ₹35 per kg and maize flour at ₹40 a kg. This is the highest ever it has gone in recent memory and there is a strong possibility that the prices will increase further,” said Pawan Kumar, a trader of Ladwa of Kurukshetra.

Agriculture economist and food expert Devinder Sharma said increased export is leading to increase in prices of wheat flour and rice. “Though basmati consumers can afford this increase in prices, the main concern is the increase in prices of parmal rice which is consumed by the common man. As of now, the government has enough stock of rice. But the increase in wheat flour rates is worrisome. Even the Food Corporation of India has offered to sell wheat in open market to bring down the prices but there is need of more steps deal with the problem and protect the consumers.”

India’s rice exports in 2022 jumped to a record high despite the government’s curbs on overseas sale, as buyers continued to make purchases from the South Asian country because of competitive prices, according to government and industry officials.

The record exports allowed Asian and African countries to import the staple at a time when supplies of wheat and other grains were hit by drought and Russia’s invasion of Ukraine.

India, the world’s biggest rice exporter, in September banned exports of broken rice and slapped a 20% export tax on some non-basmati varieties as erratic monsoon cut production.

India’s rice exports in 2022 rose 3.5% from a year ago to 22.26 million tonnes, or more than the combined exports of the next four largest exporters Thailand, Vietnam, Pakistan and United States, a top government official told Reuters.

He declined to be named as he was not authorized to speak with media.

“Exports fell after government imposed the export duty, but very soon exports revived. In December, India managed to export more than 2 million tonnes,” the official said on Tuesday.

In 2022, non-basmati rice shipments stood at 17.86 million tonnes, while premium basmati rice exports were 4.4 million tonnes, the official added.

India exports non-basmati rice mainly to Africa and Asia, while basmati rice goes to the Middle East, the United States and Britain.

An export duty on Indian non-basmati rice shipments spiked prices but buyers soon returned, as Thailand and Vietnam were offering rice at an even higher price, said Nitin Gupta, vice president of Olam India’s rice business.

Indian rice is the cheapest and that’s why exports would remain strong in 2023, he said.

India has been offering 25% broken white rice at around $430 per tonne, while Vietnam was offering the same grade at around $440 and Thailand at around $500, a dealer said.

Despite higher exports, India has ample domestic stocks, said B.V. Krishna Rao, president, Rice Exporters Association of India.
Source: Reuters (Reporting by Rajendra Jadhav; Editing by Rashmi Aich)

A Battle Creek-based breakfast food and snack maker recently shared an update on a new rice farming initiative.

Kellogg Company last week reported early positive results from the pilot year of its InGrained program, a five-year partnership with Lower Mississippi River Basin rice farmers to help reduce their climate impact.

According to Kellogg, the InGrained program in 2022 helped farmers implement climate-smart irrigation practices, which achieved a reduction of more than 1,600 metric tons of greenhouse gases — the equivalent of taking more than 345 gasoline-powered cars off the road for one year.

“Kellogg has established itself as a committed partner to farmers in implementing climate-positive agricultural practices in important crops like rice,” said Steve Cahillane, chair and CEO of Kellogg Company.

Kellogg piloted the program in northeast Louisiana, where much of the rice is used in foods such as Kellogg’s Rice Krispies cereal and Kellogg’s Rice Krispies treats.

The company worked in collaboration with agricultural greenhouse gas measurement firm Regrow, rice producers, Kellogg supplier Kennedy Rice Mill and agribusiness firm Syngenta.

“Not only are we helping farmers implement new practices on their farms, but farmers are telling us that, just as importantly, the quality of their rice was not affected by the adjusted irrigation practices,” said Stacey Shaw, senior sustainability lead at Syngenta.

Rice production emits several greenhouse gases, most significantly methane. According to World Resources Institute, methane contributes approximately to 1.5% of total greenhouse gas emissions. The U.S. Environmental Protection Agency cites methane as 25 times more potent than carbon monoxide.

Going forward, Kellogg and its InGrained partners plan to make adjustments as they transition into the second year of the program while ensuring financial and technical support continue to help farmers with these new practices.

Kellogg also said it will explore the possibility of expanding the program to include various regions with different weather patterns and soil types to determine if similar positive impacts are found.

Traders say the ministry’s decision would give a signal to the market for improving supplies and curb spike in price.

Following the government decision to sell 3 million tonne (MT) of wheat in the open market from the Food Corporation of India (FCI) stock commencing February 1, the food ministry has issued guidelines for initiating open market sale scheme (OMSS) of rice to states, private traders and entities engaged in ethanol production.

While the food ministry will soon decide on the quantity of rice to be sold in the open market from FCI stocks, the guidelines have fixed rice prices for various categories of purchasers which would be valid for the current year. 

Traders say the ministry’s decision would give a signal to the market for improving supplies and curb spike in price.

Retail inflation in rice rose by 10.49% in December 2022 while prices rose by 10.51% in the previous month. FCI had last sold 2.49 MT of rice in the open market in 2020-21.

In a communication to the FCI, the food ministry has fixed the price of rice to be allowed to be purchased by states, including fortified rice for distribution in their own schemes, at the rate of `3400/quintal.

The ministry has set the reserve price of rice to be supplied for ethanol production under biofuel policy at `2000/quintal, while a price of `2400/quintal for private purchase through e-auction has been fixed, according to the guidelines.

Private entities, with the exception of those engaged in ethanol production, would not be allowed purchase of rice in grain surplus states including Punjab, Haryana, Chhattisgarh, Odisha, Andhra Pradesh and Telangana during paddy procurement period. The OMSS sale of rice would be allowed in deficit procuring states such as Uttar Pradesh, Bihar and West Bengal.

The FCI has allocated 1.6 MT of rice from its stocks for ethanol production in the current year so far.

The biofuel policy allows production of ethanol from damaged food grains like wheat, broken rice etc. which are unfit for human consumption. It also allows conversion of surplus quantities of food grains to ethanol, after the approval of the national biofuel coordination committee.

The ministry has stated that in view of uncertainties of procurement and additional allocations of rice, the quantum of stocks to be offloaded, and timing, considering stock holding at the relevant point of time for all the schemes would be decided by it.

At present, FCI has 15.4 MT of rice along with 31.5 MT to be received from millers which was far more than the buffer requirement of 13.8 MT for January 1.

Meanwhile, close to four months since the commencement of paddy procurement by the FCI and state government agencies for the current kharif season (2022-23), the total purchase till Saturday was up by 2% on year at 64 MT.

 Higher grain procurement is expected to boost rice stocks held by FCI, which has been depleted by implementation of the free ration scheme that was implemented during April, 2020 – December, 2022.

FCI distributes around 40 MT of rice and 18 MT of wheat annually under the National Food Security Act where 5 kg of grain per month per head are distributed free of cost to 800 million beneficiaries.  

The US Department of Agriculture (USDA) has revised upward its forecast regarding Bangladesh's rice production in the marketing year (MY) 2022-23 beginning from last May.

Production of the staple grain is forecasted to be 3.58 crore tonnes in MY23, up from the USDA's official estimate of 3.56 crore tonnes, the agency said in its Grain and Feed Update on Bangladesh released by the end of last week.

The USDA said it increased Bangladesh's rice harvested area and production forecast because of good Aman season rice harvest during the marketing year that begins with Boro and ends with Aman rice.

The USDA said it hiked MY 2022-23 Aman season rice harvested area and production forecasts to 58.5 lakh hectares and 1.41 million tonnes respectively, which is higher than its estimates for MY 2021-22.

The USDA said it increased Bangladesh's rice harvested area and production forecast because of good Aman season rice harvest during the marketing year that begins with Boro and ends with Aman rice.

The USDA said it hiked MY 2022-23 Aman season rice harvested area and production forecasts to 58.5 lakh hectares and 1.41 million tonnes respectively, which is higher than its estimates for MY 2021-22.

The agency estimates 1.97 crore tonnes of rice was produced during the last Boro season in MY23, which is 2 per cent higher than the 1.93 crore tonnes produced previously.

However, cultivation of Aus season rice, which took place in March and April 2022 and was harvested in July and August, dropped 24 per cent from the previous year as severe floods affected the north and north-eastern parts of the country during planting.

Yet, overall production was equal to the 3.58 crore tonnes estimated by the USDA for MY22 thanks to higher yields of Boro and Aman.

And despite no change in overall production, prices of all types of rice prices remained high through the third and fourth quarters of 2022.

"Usually, rice prices decline at harvest; however, higher production costs, high milling and transportation costs, appreciation of the US dollar, and high inflation were the major factors contributing to the high rice prices this year," the USDA report said.

In December 2022, the average retail price of coarse rice reached Tk 50.55 per kilogramme, which was approximately 7 per cent higher than what it was during the same period the year before.

This season, farmers harvested Aman rice in November and December 2022. The average retail price of high-quality nonaromatic (fine) rice hit Tk 75 per kilogramme last December, up by approximately 3 per cent compared to the same period the year prior, it added.

While prices of wheat flour hit a record high in January 2023, the average retail price of unpacked coarse wheat flour, also called aata, hit a record of Tk 61.6 per kilogram, up approximately 70 per cent year-on-year, the USDA said.

At the same time, the average retail price of fine quality unpacked wheat flour, called maida in Bangladesh, reached Tk 72 per kilogramme, which was also a record high.

The USDA report said since the Russian invasion of Ukraine began in February 2022, all types of wheat flour prices have been rising due to supply chain disruptions and higher international prices.

India's wheat export ban on May 13, 2022, and the appreciation of the US dollar against Bangladesh's taka aggravated the situation further as most wheat is imported.

"Due to the high price of all types of wheat flour, demand has fallen significantly at the consumer level," the USDA said, citing industry contacts that high wheat flour prices would likely continue until the wheat harvest begins in Bangladesh in April 2023 and India allows exports again.

According to the Punjab Mandi Board, almost all the arrivals have been purchased by private players who are offering quite a high price for the crop this year.

According to the Punjab Mandi Board, almost all the arrivals have been purchased by private players who are offering quite a high price for the crop this year.

After the three-month harvest season ended in November, Punjab’s agricultural market popularly called ‘mandis’ witnessed an increase in the arrival of basmati (aromatic fine-quality rice). The market saw a jump of 56 per cent (22.12 lakh tonnes) till January 24 as compared to last season.

Moreover, the farmers are getting around Rs. 4,400 to Rs. 4,745 for one quintal of basmati this year, which is also quite high. Last year they were getting between Rs 3,000 to 4,000 per quintal rate.

Last financial year, 14.17 lakh tonnes of basmati arrived in the ‘mandis’ which was 7.95 lakh tonnes less than the total arrival this year. Over a half-a-dozen districts have procured more than 1 lakh tonnes to 5 lakh tonnes of basmati this financial year.

According to the Punjab Mandi Board, Amritsar district tops the list where around 5.55 lakh tonnes of basmati rice has been procured followed by Fazilka where 4.12 lakh tonnes arrived in the ‘mandis’.  Apart from this, Patiala recorded 1.98 lakh tonnes, Sir Muktsar Sahib 1.86 lakh tonnes, Tarn Taran 1.75 lakh tonnes, Sangrur 1.69 lakh tonnes, Faridkot 1.22 lakh tonnes and Gurdaspur around 1.22 lakh tonnes.

Firozpur’s basmati arrival was recorded as 88, 174 tonnes, followed by Mansa (61, 843 tonnes), Kapurthala (42,092 tonnes), Ludhiana (35, 323 tonnes), Moga (19,083 tonnes), Bathinda (16, 178 tonnes), Jalandhar (7,062 tonnes), Nawanshahr (3,888 tonnes), and Mohali (1, 275 tonnes).

Minor quantities of basmati also arrived from Hoshiarpur, Pathankot, and Fatehgarh Sahib where 343, 153, and 115 tonnes of basmati were recorded, respectively. According to the Punjab Mandi Board, almost all the arrivals have been purchased by private players who are offering quite a high price for the crop this year.

Like paddy crops, basmati is not procured by the government and mostly big exporters and traders purchase it. The rate is highly dependent on the demand of the private players. There is a big demand for Punjab basmati rice in foreign countries, particularly in West Asia.

Ten varieties of basmati, including six recommended by Punjab Agriculture University (PAU), Ludhiana, are grown in Punjab. The recommended variety of PUSA-1121 is cultivated in 43% of the total area this season, followed by Punjab Basmati 1718 and PUSA Basmati 1509.

The crop was cultivated in around 4.50 lakh hectares of the area in Punjab this year. If the basmati area can be expanded to 10 lakh hectares it will help the state achieve its long-desired objective of diversification and save a huge amount of groundwater being consumed by water-guzzling paddy crop (non-Basmati Parimal rice) every year even though Punjab should not grow paddy on more than 14-15 lakh hectares. Currently, the area of paddy farming has almost doubled the required limit.

According to the Punjab Mandi Board, almost all the arrivals have been purchased by private players who are offering quite a high price for the crop this year.

After the three-month harvest season ended in November, Punjab’s agricultural market popularly called ‘mandis’ witnessed an increase in the arrival of basmati (aromatic fine-quality rice). The market saw a jump of 56 per cent (22.12 lakh tonnes) till January 24 as compared to last season.

Moreover, the farmers are getting around Rs. 4,400 to Rs. 4,745 for one quintal of basmati this year, which is also quite high. Last year they were getting between Rs 3,000 to 4,000 per quintal rate.

Last financial year, 14.17 lakh tonnes of basmati arrived in the ‘mandis’ which was 7.95 lakh tonnes less than the total arrival this year. Over a half-a-dozen districts have procured more than 1 lakh tonnes to 5 lakh tonnes of basmati this financial year.

According to the Punjab Mandi Board, Amritsar district tops the list where around 5.55 lakh tonnes of basmati rice has been procured followed by Fazilka where 4.12 lakh tonnes arrived in the ‘mandis’.  Apart from this, Patiala recorded 1.98 lakh tonnes, Sir Muktsar Sahib 86 lakh tonnes, Tarn Taran 1.75 lakh tonnes, Sangrur 1.69 lakh tonnes, Faridkot 1.22 lakh tonnes and Gurdaspur around 1.22 lakh tonnes.

Firozpur’s basmati arrival was recorded as 88, 174 tonnes, followed by Mansa (61, 843 tonnes), Kapurthala (42,092 tonnes), Ludhiana (35, 323 tonnes), Moga (19,083 tonnes), Bathinda (16, 178 tonnes), Jalandhar (7,062 tonnes), Nawanshahr (3,888 tonnes), and Mohali (1, 275 tonnes).

Minor quantities of basmati also arrived from Hoshiarpur, Pathankot, and Fatehgarh Sahib where 343, 153, and 115 tonnes of basmati were recorded, respectively. According to the Punjab Mandi Board, almost all the arrivals have been purchased by private players who are offering quite a high price for the crop this year.

Like paddy crops, basmati is not procured by the government and mostly big exporters and traders purchase it. The rate is highly dependent on the demand of the private players. There is a big demand for Punjab basmati rice in foreign countries, particularly in West Asia.

Ten varieties of basmati, including six recommended by Punjab Agriculture University (PAU), Ludhiana, are grown in Punjab. The recommended variety of PUSA-1121 is cultivated in 43% of the total area this season, followed by Punjab Basmati 1718 and PUSA Basmati 1509.

The crop was cultivated in around 4.50 lakh hectares of the area in Punjab this year. If the basmati area can be expanded to 10 lakh hectares it will help the state achieve its long-desired objective of diversification and save a huge amount of groundwater being consumed by water-guzzling paddy crop (non-Basmati Parimal rice) every year even though Punjab should not grow paddy on more than 14-15 lakh hectares. Currently, the area of paddy farming has almost doubled the required limit.

Rice prices are climbing, a sign that the food inflation shock that threw millions into poverty is still reverberating, even as the cost of wheat and other farm commodities has declined.

Thai rice, a benchmark for Asia, has soared to the highest in almost two years. Strong demand lies at the heart of the rally, with some importers buying more of the grain to replace wheat after the war in Ukraine disrupted supplies. Some consumers have also been stocking up ahead of festivals, while a strengthening Thai currency has also helped to push up dollar-denominated prices.

Rice is a staple for half the world, and while wheat soared to a record in March last year, rice was relatively subdued for most of 2022, constraining food inflation in Asia. Costlier rice now will be unwelcome news for billions of people from China to India and Vietnam. The United Nations has flagged the rise in prices as a risk, saying it’s important to stay vigilant on food security.

Thailand, the second-biggest rice shipper, has seen strong demand from Iraq and Indonesia, said Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association. “Iraq has been diligently buying our rice every month,” he said. The Middle Eastern country was the single largest buyer last year.

But as Thai rice prices get more expensive, new orders have started to slow. Buyers in China and Malaysia are switching to cheaper options, and prices may start easing around March

when the new crop hits the market, Chookiat said.

Even then, the Thai price would be higher than a similar Vietnamese grade, he said. The Thai benchmark was last quoted at $523 a ton, the highest since March 2021. Vietnam prices were more than 10% cheaper at about $458-$462.

The association cut its forecast for Thailand’s rice exports this year to 7.5 million tons from 8 million, according to Chookiat. Shipments reached 7.7 million tons last year, the highest in four years, according to preliminary data.

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Exports dropped for a third straight month in December, falling by 14.6% year-on-year, leading to annual growth of 5.5% in 2022.

The Commerce Ministry reported yesterday the customs-cleared value of exports contracted 14.6% to US$21.7 billion last month, while imports decreased by 12% to $22.8 billion, resulting in a trade deficit of $03 billion.

Exports of agricultural and agro-industrial products declined for three consecutive months, contracting 11.2% year-on-year in December to $3.59 billion.

Products that registered a decrease included rice (-4.1%), cassava products (-12.4%), rubber (-47.7%), canned and processed fruits (-20.5%), and sugar (-45.4%).

Industrial product exports also dipped for a third consecutive month, falling by 15.7% from December last year to copy7.2 billion.

Products that decreased included automobiles, equipment and parts (-17.1%), oil-related products (-25.7%), computers and equipment (-24.3%), and gems and jewellery (excluding gold) (-12.4%).

The export contraction last month was attributed mainly to the slowdown in the global economy and weak consumer purchasing power, especially in major markets such as the US, the EU, China and Japan. Other Asian countries also reported a drop in exports.

The ministry cited some positive factors, including the continued decline in freight rates, the implementation of the ministry's shipment strategies and the recovery of international tourism, which resulted in higher exports of related products.

For 2022, exports expanded by 5.5% to $287 billion, while imports rose by 13.6% to $303 billion, resulting in a trade deficit of 16.1 billion.

"The export growth of 5.5% exceeds the ministry's target of 4%," said Commerce Minister Jurin Laksanawisit. "This stems from the ministry's efforts to facilitate and stimulate exports, including a successful attempt to lower border trade obstacles by negotiating with neighbouring countries and working with both public and private sectors in central and provincial areas."

According to Mr Jurin, the meeting of the Joint Public and Private Sector Consultative Committee on Commerce, which includes the Thai Chamber of Commerce, the Federation of Thai Industries and the Thai Industries and the Thai National Shippers' Council (TNSC), agreed to set an export growth target of 1-2% this year.

In a related development, Chaichan Chareonsuk, president of the TNSC, said the Bank of Thailand has been asked to help tackle the baht's appreciation as a strong baht will adversely affect the pricing and competitiveness of exports compared with competitors' goods priced in weaker currencies.

Bangladesh has offered over $40 a tonne more to Indian cooperatives to import 2.5 lakh tonnes of parboiled rice in a government-to-government deal compared with prices quoted by the private trade in a global import tender. The import deal will be through NCCF (National Cooperative Consumers Federation) and Kendriya Bhandar in two tranches with Dhaka getting rice at $443 and $443.5 a tonne each, according to media report.

Two Indian co-operatives will export 2 lakh tonnes of rice under government-to-government deal to Bangladesh, which will also buy another 50,000 tonnes from private traders in India. The G2G deal has taken place at 11 % higher than the tender price of the private trader. “The two co-operatives will get a huge premium of $40/tonne over the private trade, which will earn a huge profit for the government. The private trade has been in losses by undercutting each other in fierce competition,” said an exporter, who requested not to be identified.

New Delhi-based Kendriya Bhandar (Central Government Employees Consumer Co-operative Society) will supply 1 lakh tonnes of non-Basmati par-boiled rice within 75 days from the date of opening of letter of credit at $ 433.50/tonne. Kendriya Bhandar will have to ship 70% of the total contracted quantity by ship and the remaining 30% by train. National Cooperative Consumers Federation of India will supply another 1 lakh tonnes of par-boiled rice to Bangladesh at $ 433.60/tonne within 70 days from the date of opening of the letter of credit.

According to trade sources, Raipur-based rice exporter has bagged the tender to supply 50,000 tonnes of rice to Bangladesh at $ 393.30 per tonnes. India has banned export of broken rice on concerns about its kharif rice output, while it has put a duty of 20% on export of rice. Meanwhile, the rice exporters from India had requested the commerce ministry to take up the issue of transparency in Government-to-Private (G2P) trade with Bangladesh during a delegation level discussion of commerce minister Piyush Goyal with Bangladesh commerce minister Tipu Munshi.

“Many times, we face rejection when our goods reach Bangladesh ports. In case of the trade taking place through the land border, our trucks get stranded for 4/5 days to get clearance to cross the border,” said another rice exporter, who did not wish to be identified. It is heard the term ‘Myanmar-Bangladesh rice diplomacy recently through media platforms. The use of rice as a diplomatic tool has received global media coverage (the sun daily , modern diplomacy , eurasia review, pakistan today , burma news international , counter review) despite Myanmar-Bangladesh tensions. There is nothing new to say about the influence of food on politics. It is really appreciable that Myanmar and Bangladesh have already started rice diplomacy to mend the ties. Now, time will say how fruitful Myanmar-Bangladesh rice diplomacy would be.

In ancient times, many kings used food as a diplomatic tool to entertain their guests. The tradition continues in the modern political world. Many leaders of political parties and presidents have used and continue to use food diplomacy to strengthen relations between allies or diffuse tensions with opponents. According to an English report, Rice appears to have emerged as a favourite diplomatic tool for building strong ties with neighbouring Myanmar and Bangladesh. It is said that the product is a staple food for most people in countries like Indonesia and Thailand and neighbouring countries like China and India. The agriculture sector is one of the most important and strategic sectors for the survival of a country. Without food, the country can experience chaos and bankruptcy. Bangladesh government relies on various measures to maintain rice availability. The most popular way is to import rice. This import policy causes a lot of damage because Bangladesh is an agricultural country or country that mainly has rice.

Although Bangladesh’s agricultural sector is one of the best sectors, the country continues to import rice. Due to the current state of the world facing a global food crisis due to the conflict between Ukraine and Russia, many countries have closed their doors to exports to maintain their domestic reserves. Rice is an essential product in the life of the people of Bangladesh. Dhaka, which imports about a million tonnes of rice every year, has ordered imports from Myanmar despite tensions between Myanmar and Bangladesh.

Since agriculture and livestock are the backbone of Myanmar’s economy, it earns foreign exchange from rice exports beyond self-sufficiency. The state is helping stockholders including farmers and investors to bring business opportunities. According to a memorandum of understanding between Myanmar and Bangladesh on the rice trade, two lakh tonnes of white rice will be exported from Myanmar to Bangladesh.

For the first time, 2,650 tons of rice will be sent directly to Bangladesh in January 2023. According to data from the ministry of commerce of Myanmar, according to the government-to-government agreement between Myanmar and Bangladesh, Myanmar sent 150,000 tons of white rice to Bangladesh in 2022. Myanmar and Bangladesh signed a Memorandum of Understanding (MoU) on rice trade on September 8 this year.

According to this MoU, Bangladesh has agreed to buy 250,000 tonnes of white rice and 50,000 tonnes of parboiled rice from Myanmar between 2022 and 2027. According to the memorandum of understanding, the food directorate of Bangladesh and the Myanmar Rice Federation signed an agreement to sell 200,000 tons of Myanmar white rice for export to Bangladesh. According to the sales agreement, Myanmar has exported around 15,000 tonnes of white rice to Bangladesh till 19 December 2022. The remainder will be delivered within the deadline. According to the Government-to-Government pact between Myanmar and Bangladesh, Myanmar has sent over 174,000 tonnes of white rice to Bangladesh by sea, according to the Ministry of Commerce.

Myanmar and Bangladesh inked a Memorandum of Understanding (MoU) on rice trade on 8 September this year. As per the MoU between Myanmar and Bangladesh on the rice trade, 48 companies, under the supervision of the Myanmar Rice Federation, are to export 200,000 tonnes of rice to Bangladesh with Chinese yuan payment between October 2022 and January 2023. Under the contract, white rice (ATAP) GPCT Broken STX variety will be delivered. The FOB prices were 2.78856 Yuan per kilogramme and 2788.56 Yuan per tonne.

Bangladesh’s Directorate General of Food and MRF signed the sales contracts as per the MoU and Myanmar sent 100,000 tonnes of rice to Bangladesh each in 2017 for the first time and 2021 for the second time, as per the sales contract. Myanmar and Bangladesh have started practicing their rice diplomacy. Myanmar supplies to Bangladesh will deepen their ties. This can be a great effort by both sides to build good relations with the Bangladeshi and Myanmar governments. It will also build good bilateral relations between the people of Bangladesh and Myanmar. In the short term, the new generation on both sides wants better relations in terms of economy, tourism, etc.

There may be some problems between Bangladesh and Myanmar. However, these issues (Rohingya refugees and border issues) should be properly addressed by both sides. Bangladesh is going to become the economic miracle of South Asia. Bangladesh is praised by the international community in every international forum. Ping-pong diplomacy led by China and the United States was set up to strengthen their relationship. We can also expect another application of ping-pong diplomacy similar to rice diplomacy. Paddy’s diplomacy is a small initiative but its significance is huge. This small initiative will turn into a great achievement for both parties. A high-level official visit could be a step to strengthen ties. The two prime ministers may exchange visits to normalize relations. This is good news for Myanmar and Bangladesh.

The writer is a London-based Bangladeshi expatriate who is a Bangladesh and Myanmar affairs observer, analyst, and researcher

Thin margin. Rice exporters urge Centre to remove curbs on shipments, withdraw duty.

Rice exporters association says shippers margin have shrunk as the cereal is traded on ‘thin margin’

Rice exporters have urged the government to ease restrictions on non-basmati rice shipments by removing the 20 per cent export duty on white (raw) rice and allowing the shipment of one million tonnes (mt) of broken rice. However, the Centre is unlikely to take a decision before March as it has to assess the procurement of kharif-grown paddy by the Food Corporation of India (FCI).

In a letter to the Food Ministry, which proposed restrictions on export last year to ensure domestic availability and curb inflation, The Rice Exporters Association (TREA) said due to the 20 per cent export duty, exporters are facing stiff competition from Myanmar, Vietnam, Pakistan and Thailand.

Exporters said ever since the duty was imposed, their margins have shrunk, though rice trade is done at a “thin margin”.

Upbeat wheat outlook

“The issue (export duty) should be relooked at now as the twin objectives of keeping inflation under check and taking procurement to a comfortable level have been achieved,” said B V Krishna Rao, President of TREA. He said as the wheat crop outlook is good and the pressure on rice has eased as the Government reallocated more rice in place of wheat under the public distribution system.

On the issue of the total ban on fully broken rice export, Rao said TREA has suggested the allocation of one mt as there is a demand from Senegal and Indonesia for human consumption. This will help farmers to receive better rates for their paddy as other industry users such as poultry or ethanol might not pay adequate rates, he said.

The Directorate-General of Foreign Trade on September 8 issued a notification prohibiting the export of broken rice (parboiled and basmati exempted). However, it allowed the consignments for which deals had been signed to be exported under specific conditions between September 9 and 15. It recently extended the last date to September 30 for those under transitional arrangements. The Centre imposed a 20 per cent duty on the export of all varieties of rice, except basmati and parboiled rice.

The country exported 115.69 lt of non-basmati rice worth $4.11 billion (₹ 32,594 crore) in April-November against 109.49 lt worth $3.93 billion in the year-ago period.

Traders compete with FCI for stocks; currency movements, too, sway prices

Export prices of Indian white rice have increased by over 10 per cent over the past fortnight to nearly a 30-month high. The surge in prices is in view of the Food Corporation of India (FCI) procuring more rice for the central pool and global currency movements, exporters and traders said.

The Centre’s decision to end the distribution of free grains under Prime Minister Garib Kalyan Anna Yojana (PMGKAY), which is in addition to the normal supply under various welfare schemes, has also resulted in the prices rising, they said. 

This is because those who were getting rice under the scheme are now seeking rice from the open market. 

Near MSP levels

“Exporters have to compete with the FCI to get rice. This has pushed up rice prices. Once it ends procurement, we could see some correction,” said New Delhi-based exporter Rajesh Paharia Jain.

FCI procurement of kharif rice is 20 per cent higher year-on-year, he said. 

“Parboiled prices have increased by 30 per cent in the past couple of weeks to ₹29,000 a tonne from ₹22,000. Talks of Bangladesh buying rice under a government-to-government deal have pushed up the price,” said VR Vidya Sagar, Director, Bulk Logix.

According to data from the Agmarknet portal, a unit of the Agriculture Ministry, paddy prices were up at ₹2,419.46 a quintal last week compared with ₹2,054 a year ago. This year, the MSP for paddy has been fixed at ₹2,040 for the current crop year to June. 

Data from the Consumers Affairs Ministry show that the average wholesale price of rice is currently ₹3,328.43 a quintal, up 9.12 per cent year-on-year. 

Most of the rise in the price happened in the past week, he said. 

“Rice prices have increased to near minimum support price (MSP) levels and this has resulted in export prices surging,” said BV Krishna Rao, President, The Rice Exporters Association. 

Still competitive 

According to the Thai Rice Exporters Association, India’s 5 per cent broken white rice price has increased by $40 a tonne since the third week of December to $443-47 a tonne. The price of 25 per cent broken white rice has gone up by $50 to $428-32.

Only parboiled rice has not witnessed such a rise, though its prices have risen by $15 to $388-92 a tonne. Despite the surge in prices,  Indian rice is still the most competitive. However, the Indian cereal currently holds only a $15/tonne advantage over Vietnam. 

“Indian white rice prices will top $450 in a week’s time once the markets open up abroad after the Chinese lunar New Year. We have to see how the Vietnam market opens on February 1,” said Bulk Logix’s Sagar. 

Good for sector

Exports to Africa are taking place, though there is a general shortage of supplies in the market, he said. 

TREA’s Rao said the increase in rice prices is good for the industry since only “actual millers” are buying in the domestic market. “Various States such as Tamil Nadu are buying rice from the open market, pushing up prices,” he said.

“Prices have increased despite the arrival of new crop in West Bengal. We are exporting rejected grains from parboiled sortex,” said M Madan Prakash, President of the Agricultural Commodities Exporters Association.

Even prices of such grains have increased to nearly $320 free-on-board (f.o.b). 

Set to cool

However, the current trend may not hold for long since “the surge” is not sustainable, said Sagar. 

“Prices are likely to correct once the Vietnam market opens,” he said. 

“The market is caught between two rice seasons in Thailand. Once the new crop arrives there, prices will cool down,” said Rao. 

“Once FCI ends its procurement, it will be only traders in the market. It will bring down prices,” said Jain. 

But a trade analyst, who did not wish to be identified, was sceptical saying, “the market sentiments are based on physical supplies. Looks like the data on production may not be right.”

Rice prices are up since the production during the kharif season has been estimated lower at 104.99 million tonnes (mt) this year compared with 111.76 mt last year. This was because paddy sowing was affected by deficient rains in West Bengal, Odisha, Jharkhand, Bihar and eastern Uttar Pradesh. 

According to data from FCI, rice stocks are at an 8-year low of 12.35 mt as of January 1 but unmilled paddy stocks are at a record high of 47.62 mt (31.9 mt of rice). 

In its monetary policy statement announced on Monday, the State Bank of Pakistan (SBP) noted a “moderation in working capital loans to the private sector”. The rice processing industry –a subsegment of food product manufacturers - disagrees. According to the monthly disaggregated private sector credit snapshot published by the central bank for Dec 2022, rice market players have been borrowing like there is no tomorrow; as if the markup on loans has peaked at historic levels.

There is little by way of explanation to offer. USDA latest monthly update shows that the Ag-agency is standing steadfast with its initial prediction, forecasting national output of just 6.6 million metric tons (MMT) for the marketing year 2022-23, with 4MMT in exports. Yet, despite warnings of nearly one-third of national production being washed away, borrowing has followed in the footsteps of last year, when national production touched a record production of 9.3MMT.

In fact, based on SBP data, working capital lending to rice processors has effectively risen at the same pace as last year’s since the marketing season began at the end of Kharif 2022. By Dec 2022 close, working capital loans to rice processors rose by 62 percent over the Sep close (end of marketing year), against 65 percent during the corresponding period last year.

The rice export report card also offers little in the way of answers. Export volume declined at a record pace during 6M-FY23, falling by 23 percent over the corresponding period last year. Although basmati export volume has seen worse years, this is the first time in a decade that coarse rice exports suffered such a massive setback, which is in line with the destruction of the crop in the southern parts of the country. Total rice export barely managed 1.6MMT during 6M-FY23, against 2.2MMT in 6M-FY22. At this rate, USDA’s export forecast of 4.8MMT for FY23 appears to be a distant dream.

Significant support, however, was received by the upsurge in prices in the export market. Both basmati and coarse varieties averaged the highest unit prices in over a decade, muting the value impact of dwindling exports. Export revenue during the first half of the fiscal fell by just 13 percent year on year, raising hopes that two billion dollars in full-year export proceeds may still happen. Interestingly, however, the basmati export unit price fell during Dec 2023 despite the continued upsurge in the international market, giving credence to the theory that exporters are holding back on proceeds realization on account of anticipated depreciation in the currency.

With the weak export volume and even weaker supply, it remains unclear what’s behind the borrowing drive by rice processors. The margins in the commodity export market must be mouthwatering if market players are willing to make a play at a 20 percent borrowing rate, never mind the downside risk of a crash in international prices. Let’s see if the bet pays dividends!

MUMBAI, HANOI AND BANGKOK: Indian rice export prices rose to their highest levels since April 2021 this week boosted by limited supplies and a stronger rupee, while firm local currency and demand sent Thai rates higher. Top exporter India’s 5% broken parboiled variety was quoted at $387-$395 per tonne this week, up from last week’s $375-$382 per tonne. White rice prices rose to $435-$440 per tonne from $398-$405 per tonne a week ago.

The Indian rupee rose to a one-month high this week, trimming exporters’ returns from overseas sales. Demand is weak as local prices jumped after the government curtailed free-food grain distribution, said Himanshu Agarwal, executive director at Satyam Balajee, an exporter.

Thailand’s 5% broken rice was quoted at $500-$502 per tonne - the highest since March 2021 - up from $495 per tonne last week, which traders attributed to the strengthening of the baht and robust domestic demand.

A stronger baht translates to higher export prices in US dollars. “Many rice traders and buyers are now adopting a wait-and-see approach to the market due to the strong baht,” a Bangkok-based trader said.

Aman season lacks consumer-friendly varieties

Prices of paddy have declined 10-12 per cent in the last two weeks, which has hardly been reflected in the city rice market as most of the varieties remained almost in a static trend maintaining the previous highs.

Medium and finer types of parboiled rice, which are mainly available in the city groceries, were still trading at between Tk 65 and Tk 98 a kg in Dhaka when paddy prices fell by Tk150-200 a maund, according to Bangladesh Auto Major Husking Mill Owners Association, Consumers Association of Bangladesh (CAB) and city groceries.

Though prices of coarse varieties of rice showed a slight decline in the milling hubs, it is not reflected in the city as those were retailing at Tk50-54 a kg.

And most of the city groceries had hardly any coarse-variety rice in Dhaka's Mohammadpur, Mirpur Sections 11, 6, 10, Agargaon, Farmgate, Azimpur, Plassey, Segunbagicha, Malibagh areas, forcing several thousand buyers to purchase rice at higher prices, the FE found visiting the areas in last one month.

BAMHMOA secretary KM Layek Ali said coarse paddy witnessed a fall by a good margin as guti-swarna paddy price declined to Tk950 a maund from Tk1,150 in December.

Swarna-5 paddy was trading at Tk1,000 against Tk1,200 a month back, he said.

Finer varieties of paddy like Shampa-Katari and BRRI dhan 49 showed a slight decline---Tk50-60 a maund as those were selling at above 1,600 a maund.

He said Aman season now is the source for the major volume of coarse rice.

Swarna varieties occupied above 60 per cent of Aman fields in Rajshahi and Rangpur divisions, he added.

Supply and value chain expert Prof Md Moniruzzaman said millers bought a large chunk of paddy at a much higher rate in November last with the beginning of Aman harvest.

"So, they are now reducing prices at a much slower pace than that of decline in paddy rates", he said.

"Besides, the lack of medium and finer rice varieties in the Aman season is also a major reason for such price disparity in a peak harvesting and trading season when the government is claiming that production is very good," said Prof Moniruzzaman, who teaches agribusiness and marketing at the Bangladesh Agricultural University (BAU).

He said Aman season was once the key source for finer and aromatic rice which has almost altered.

Millers are ultimate gainers of having a limited number of varieties both in Aman and Boro seasons, he added.

The Aman season now provides the key coarse variety ---Swarna, a transboundary species.

He said the government has declared that there is no rice name 'Nazirsail.' "Then which is now the key finer parboiled rice in Aman season," he asked.

The government rice research and extension agencies concerned should introduce suitable farmer-consumer friendly rice varieties for Aman season to prevent such market imbalance, he added.

Delowar Jahan, founder of Prakritik Krishi, a safe food outlet, said a near-variety of Kataribhog namely 'Shampa-Katari is sold as Nazirsail in the northern and western regions.

The quality of the rice, which might have been developed by the farmers themselves, is very good but it hasn't been recognised by the government agencies, he said.

He said two rice varieties, developed by the state-run rice agency long ago in 1993-94 are still dominating the Boro rice fields.

It is the same for Aman season as apart from Swarna, only BRRI dhan 49 has been able to occupy above 10 per cent of land.

Hundreds of varieties in the Haor and other lowlands have gradually been witnessing extinction which are highly suitable now when the climate is changing rapidly, he said.

The agency should adopt or develop such varieties and should maintain their old name instead of any number, he said.

Asked, Bangladesh Rice Research Institute (BRRI) director Dr Mohammad Khalequzzaman said the agency has developed few medium and finer varieties like BRRI dhan 49, 57, 70 and 80 for Aman season.

Among them, BRRI dhan 49 has captured 15 per cent of land in last one decade, he said.

He said BRRI developed similar varieties of Swarna namely BRRI dhan 93, 94 and 95, which are slowly gaining popularity.

BRRI developed few dozens of Aman varieties which should be popularisied by the Bangladesh Agricultural Development Corporation and Department of Agricultural Extension (DAE), he added.

DAE director general Badal Chandra Biswas said they are trying to popularise BINA dhan 17, BRRI dhan 75 and BRRI dhan 87-three finer varieties.

He said DAE is insisting farmers on the varieties suitable for their areas.

BADC general manager (seed) Pradip Chandra Dey told the FE that the organisation supplied 25,000 tonnes of seeds in Aman season which would increase to 28,000 tonnes next season.

He said the Corporation has also been trying to raise production of newer varieties like BRRI dhan 95.

"We are supplying seeds as per the requirement set by the DAE", he said.

He said the DAE will have to work to popularise a specific rice variety.

Meanwhile, the agriculture ministry is expecting 16.3 million tonnes of rice from the just-ended Aman harvesting season as the acreage increased to a record 5.9 million hectares as per their primary projection.

Aman season provides 37-38 per cent of the total rice the country consumes.

In Punjab, nearly 30-31 lakh hectares (74 to 76 lakh acres) are dedicated to the rice crop (kharif season), out of which 25-26 lakh hectares come under paddy.

Crop diversification is a key issue in Punjab. The state has large areas under the water-guzzling paddy crop mainly on account of the assured returns to farmers in the form of Minimum Support Price (MSP) from the government and the high yield it offers. But the aromatic Basmati rice, which has fluctuating prices and no MSP, still offers hope as the best alternative to paddy. Here’s a look at the economics of growing Basmati.

How much area could be increased under Basmati?

In Punjab, nearly 30-31 lakh hectares (74 to 76 lakh acres) are dedicated to the rice crop (in the kharif season), out of which 25-26 lakh hectares come under paddy. The area under Basmati crop has remained between 4-5 lakh hectares over the last several years. Basmati’s early and late varieties are sown between June and July, and harvested in September and October.

Rice exporters say there is a huge demand for Basmati, and the state has the potential to grow it in vast areas. It is estimated by experts that at least 10 lakh hectares could easily be brought under the Basmati crop in the state, which will help reduce the area under paddy.

What is the yield of Basmati as compared to paddy?

Punjab grows both short-duration and long-duration paddy varieties. The average yield of short and long-duration paddy varieties is around 28 and 36 quintals per acre, respectively. Basmati, too, has long and short-duration varieties. The average yield of these varieties is between 20 and 25 quintals per acre — which is 8-10 quintals less per acre as compared to paddy.

The market for the crops

Paddy is procured by the Union government on MSP for distribution under the Public Distribution System. Basmati is neither procured by the government nor has any fixed price. It is procured by traders and exporters as Indian Basmati has large demand abroad.

What is the profit margin for each crop?

The MSP of paddy was Rs 2,060 per quintal in the 2022-23 kharif marketing season. The Basmati rate remains between Rs 3,200 to Rs 4,000 per quintal during September (for early varieties) and October-November (for late varieties).

Currently, its rate is Rs 4,600 per quintal as some farmers, who had held back some crops after harvesting, are now bringing it to the market, said Vinod Gupta, a Fazilka Mandi-based commission agent. He said that Basmati’s demand hardly goes down and its rate remains good. But, he added that local traders form cartels to give less to farmers and that the government must check such practices.

As per the MSP of paddy, a farmer could sell paddy worth Rs 57,680 to Rs 74,160 per acre depending on yield, Basmati could be sold for between Rs 64,000 to Rs 1 lakh per acre despite the lower yield. Last year, the average rate of Basmati remained between Rs 2,500 to 3,500 per quintal.

What are the benefits of the Basmati crop?

Experts say that 4,000 litres of water are required to grow a kilo of paddy. Basmati cultivation, on the other hand, is largely dependent on rainwater as it takes place during the main monsoon season. Even if some early varieties are sown in June, they are harvested at least a month before the main basmati and paddy varieties, thus saving water. Basmati cultivation can also reduce stubble burning — farmers use its stubble for fodder.

“It hardly needs any pesticides. The state government bans the sale of around 10 pesticides during the Basmati-growing season for the past five years, which indicates that it does not need those chemicals. According to an estimate by the Punjab Agriculture Department, farmers spent Rs 200 to 250 crore less on pesticides on Basmati over the past five years since 2017-18 years. This is a big cut in costs,” said Ashok Sethi, Director of the Amritsar-based Punjab Rice Millers & Exporters Association, in an interaction with Basmati farmers.

What is the role of Punjab’s Basmati in the export market?

Basmati is a premier and heritage product of Punjab. It is known for its flavour, length and taste due to Punjab’s excellent weather, soil and irrigation (through river and canal water). Also, Punjab is among the states and Union Territories (Haryana, Uttar Pradesh, Jammu and Kashmir, Himachal Pradesh and Uttarakhand are the others) that have a Geographical Indication (GI) tag for Basmati.

The annual Basmati rice export from India is around 4 million tons (worth Rs 36,000 crore), out of which Punjab contributes between 35 to 40 per cent.

Is there any hurdle Punjab’s Basmati faces in the export market?

Experts said that despite the government’s efforts to ban pesticides during the basmati-growing season, several farmers have indulged in unnecessary and excessive usage of chemicals combined with fertilisers. Several shipments of such crops are rejected after landing on US and European shores, owing to strict health regulations.

How can the government increase the Basmati area in Punjab?

Some experts say the Union and state governments must encourage farmers by giving them a bonus of Rs 8,000 to Rs 10,000 per acre. Haryana gives bonuses to those who are growing crops other than paddy. They suggest several other measures: Good quality seeds, rice exporters’ collaboration with the Department of Agriculture, strengthening of canal/river water, and setting up of solar panels.

A testing lab has already been set up in Amritsar to help farmers. The government can help educate farmers about the judicious use of only authorised pesticides. Exporters also said that pesticides unregistered in the EU and the USA are freely available for sale in India, which needs to tighten regulatory control over the sale and distribution of such products.

It has regulated standards to maintain the natural aroma and quality of basmati rice. The comprehensive regulatory standards will be enforced from August 1. 

Adulteration of food has become a big cause of concern amid ever-growing competition between the corporates. In recent days, it has been observed that some of the corporates, in order make their fast moving consumer products (FMCGs) more sellable, have resorted to unfair memes like adding artificial odour and colour to the food grains

Basmati rice - considered as the most popular rice form in the country - has also suffered adulteration. 

Taking note of some recent complaints, the Food Safety and Standards Authority of India (FSSAI) has specified the identity standards for basmati rice - It has regulated standards to maintain the natural aroma and quality of basmati rice. The comprehensive regulatory standards will be enforced from August 1. 

What are the regulatory standards?

As per the standards, the natural aroma of basmati rice has to be maintained. Any kind of artificial coloring and fake fragrance cannot be added to Basmati rice. These standards apply to brown basmati rice, milled basmati rice, parboiled rice, milled basmati parboiled brown basmati rice. 

The standards also specify various identity and quality parameters for basmati rice such as average size of grains and their elongation ratio after cooking, maximum limits of moisture, amylose content, uric acid, defective/damaged grains and incidental presence of other non-basmati rice.

India is the largest exporter of Basmati Rice

India is the largest exporter of Basmati rice worth about Rs 30,000 crore every year. New Delhi has also applied for GI tag for Basmati in European Union. 

What is Basmati Rice?

Basmati is long aromatic rice grown traditionally in the Himalayan foothills, Himachal Pradesh, Punjab, Haryana and Uttarkhand. Its speciality is that it has extra long grains and has more soft and fluffy texture upon cooking. Basmati rice is unique among other aromatic long-grain rice varieties.   

MUMBAI/HANOI/ BANGKOK: Export prices of rice from Thailand rose this week to their highest level in nearly two years on a stronger baht and sturdy demand, while Vietnam rates fell to a six-week low as activity slowed ahead of the Lunar New Year holiday.

Thailand’s 5% broken rice rates rose from $480 per tonne last week to $495 per tonne on Thursday - its highest since March 2021 - helped by a strong baht and more regional demand, traders said.

“Prices are the highest in 3-4 years because of the strong baht and demand coming in from Indonesia,” said a Bangkok-based trader, adding prices could reach $500. Meanwhile, Vietnam’s 5% broken rice was offered at $445-$450 per tonne, free on board, down from $458 per tonne a week ago. “Trade is slow as the Lunar New Year holiday is nearing,” a trader based in Ho Chi Minh City said.

“Exporters are focusing on delivery for the signed contracts,” the trader said, adding that domestic supplies are low after strong shipments in 2022.

Traders said the winter-spring harvest, the largest crop of the year, will begin in February and peak from mid-March.

Top exporter India’s 5% broken parboiled variety was quoted at $375-$382 per tonne, unchanged from last week. White rice prices in India rose to $398-$405 per tonne from $394-$400 per tonne a week ago on good demand.

“Buyers are giving preference to Indian rice despite export duty.

Indian supplies are at least $50 per tonne cheaper than other destinations,” said a New Delhi-based dealer with a global trading firm.

Rice imports have been banned since early November and no kind of rice can go through customs clearance`

Iran has lifted restrictions it recently imposed on rice imports, according to the director general of the Commerce Bureau of the Agriculture Ministry.

“There is currently no ban on placing order [for rice imports],” Shahyad Aabnar was quoted as saying by Iran Chamber of Commerce on Wednesday, adding that order has been placed for the import of 100,000 tons of rice in the past 24 hours.

His comments came after the head of Rice Importers Association of Iran announced that rice imports have been banned since early November and no kind of rice can go through customs clearance.

“Responsible officials have cited ‘balancing out bilateral trade’ as the reason why they have banned rice imports from the countries we normally purchase the grain from,” Karim Akhavan-Akbari was quoted as saying by the news portal of Iran Chamber of Commerce, Industries, Mines and Agriculture.   

It was earlier announced that only Indian rice imports were banned.

Akbari said the government decision would cause shortage in the domestic market, since local production cannot meet domestic demand for rice.

“So far this year, close to 1.27 million tons of rice have been imported. Our annual import demand stands at around 1.5 million tons. Therefore, we need to purchase nearly 250,000 tons of the grain by the end of the year [late March],” he said.

He noted that year-on-year inflation for top quality Iranian rice stands at 123.1%, adding that for high-quality foreign rice the rate stood at 45.9% in the month ending Dec. 21.

“The first six deciles of the country consume imported foreign rice, due to their more reasonable prices. The ban set on imports can result not only in a shortage of rice, but an increase in prices. In our country, rice is a staple food, coming in second after wheat in the list of the most consumed grains. Therefore, this measure can impact a large number of the population, particularly the ones with more modest means,” he said.    

His remarks came after Salar Saket, the deputy head of Rice Importers Association of Iran, echoed similar concerns.

“Indian rice accounts for the highest proportion of imported rice due to its high quality and reasonable price. Iranians prefer Indian rice over other foreign types of rice and importers trade commodities for which there is demand in the market. The rice we purchase from India meets the needs of six underprivileged income deciles and also balances the price of Iranian rice. So, it is only obvious how this ban on imports can damage the market,” he said.

The ban also applied to import of tea from India.

“It will be lifted as soon as bilateral trade is balanced out or registers surplus,” secretary of Iran’s Rice Suppliers Commission, Masih Keshavarz, was quoted as saying earlier.

A total of 1.75 million tons of rice were imported into Iran during the last Iranian year (March 2021-22). The import volume set a ten-year record high, according to the secretary of Iran Rice Association.

“Last year’s imports was more than twice the volume the country needed to make for the domestic production deficiency,” Jamil Alizadeh Shayeq was quoted as saying by Mehr News Agency.

A total of 2.25 million tons of rice were produced in Iran during the last Iranian year (March 2021-22), according to the deputy head of Iran Rice Union, Ahmad Eshraqi.

Rice consumption in Iran currently stands at 3 million tons per year, about 70% of which are supplied through domestic production, according to Alireza Mohajer, a deputy agriculture minister.

India has long been a major exporter of rice to Iran. Other exporters include Pakistan, the UAE, Thailand, Turkey and Iraq.

The three northern provinces of Gilan, Mazandaran and Golestan produce are Iran’s rice production hubs.

Contract-Based Production

Contract-based cultivation of rice was launched in Iran in April 2022 for the first time.

More than 6,322 hectares of paddy fields have joined the scheme so far, the CEO of the Central Organization for Rural Cooperatives affiliated with the Ministry of Agriculture said back then.

“We estimate that a total of 15,805 tons of rice will be produced under the scheme which is being carried out in the northern provinces of Gilan, Mazandaran and Golestan. Up until now, we have distributed over 1,100 tons of seeds among farmers taking part in the plan,” Esmaeil Qaderifar was also quoted as saying by ILNA.

Agricultural Production Insurance Fund, he added, has made sure all of these contracts are insured.

“Seeds, fertilizers and pesticides are provided for farmers as part of the contract-based production scheme. The government plans to expand the scheme to all strategic agricultural products,” he said.  

FAO Forecast

The Food and Agriculture Organization of the United Nations expects Iran’s rice production to reach 3 million tons in 2022, down from 3.1 million tons last year. Five-year average output has been put at 3.5cereal million tons.

In its biannual report on global food markets, FAO said Iran imported an average of 1.3 million tons of rice during the 2018-20 period.

The 2018-20 average production has been put at 2.5 million tons.

Consumption is forecast to slightly increase from 3.6 million tons in 2021 to 3.7 million tons in 2022.

Average utilization during crop years 2018-19 to 2020-21 stood at 3.6 million tons.

2022-23, 2021-22, and 2018-19 to 2020-21 average closing stocks have been put at 0.6, 0.5 and 0.7 million tons respectively.

The 2018-19 to 2020-21 average per capita has been put at 38.2 kilograms.

Limited availabilities of water for irrigation cloud rice production outlook for Iran, the report noted.

“International trade in rice is predicted to register its third successive annual increase in 2022 (January–December), with volumes exchanged across the world forecast to reach 53.1 million tons, up 3.0 percent from the 2021 all-time high. With the exception of the Asian Far East, most regions are anticipated to step up their imports over the course of the year, often aided by state efforts to contain inflationary pressure. Such steps have taken the form of import duty remissions in various African and Latin American countries, or of an acceleration of government-contracted imports, as has been most notably the case of Iraq and the Islamic Republic of Iran.”

Growers benefit in turn as the fragrant variety’s paddy sells above ₹4,250/quintal.

Basmati rice exports from India have gained in value and volume following short-supplies from Pakistan, the only other competitor in the global market for the long-grained rice.

Data from the Agricultural and Processed Food Products Export Development Authority (APEDA) show that basmati shipments during April-November of the current fiscal have increased to 2.73 million tonnes (mt), a 13 per cent jump over 2.4 mt in 2021-22. 

The value of exports, on the other hand, has increased to $2.87 billion from $.2.06 billion. This is in view of the unit value rising 39 per cent during April-November to $1,051 a tonne from $860 for the entire 2021-22.

More room for a hike

In rupee terms, the rise in value is 48.6 per cent. Though data are available only till November, the picture has changed dramatically since then with Pakistan basmati exports dropping 44 per cent during the July-December period.

Since then, basmati rice prices have increased further. Currently, the fragrant rice from India is quoted at $1,450 a tonne, while the Pakistan variety is offered at $1,350. 

The buoyant exports have resulted in basmati farmers fetching 60 per cent higher price this fiscal. According to data from Agmarket, an arm of the Agriculture Ministry, the weighted average price of basmati paddy is ₹4,326 a quintal against ₹2,688 a year ago. “There is room for India to increase basmati prices further in view of the shortage in Pakistan,” said S Chandrasekaran, who has authored the book “Basmati Rice: The Natural History and Geographical Indication” and is a trade analyst.

Wettest August in 61 years

Pakistan has been badly hit by the wettest August in 61 years it witnessed last year. The neighbouring country’s agricultural production, mainly basmati and non-basmati paddy, has been badly affected by floods. 

Despite the damage, the US Department of Agriculture (USDA) has not projected any major setback to agricultural production. However, Rice Exporters Association of Pakistan has been quoted by the media that basmati production had declined 40 per cent in the Sindh province due to floods.

On the other hand, India’s basmati production is expected to be higher but details are awaited. Trade sources said Pakistan is going through a turbulent period due to a shortage of US dollars that is preventing it from importing commodities. The drop in basmati exports will further affect Islamabad’s balance of payment problem. 

Damage to rail link

Pakistan is currently witnessing skirmishes for food with social media flooded with such incidents. Last year, its wheat crop suffered due to a heatwave and currently, it is having to look at imports to overcome the shortage in the domestic market.

Chandrasekaran said during the August-December period, there would have been at least 50,000 tonnes shortfall in Pakistan basmati supplies in the global market each month. “The historic floods have damaged the Karachi-Lahore rail link. It is another reason for Pakistan’s basmati exports to be affected,” he said. Differences between Pakistan and China over Main Line railway project under China Pakistan Economic Corridor have delayed the work to restore the link.

India, on the other hand, has gained with Iran buying 6.28 lakh tonnes (lt) of basmati rice during the first half of the current fiscal. This is two-thirds of its total basmati imports last fiscal. Saudi Arabia and United Arab Emirates are the next big buyers of Indian basmati, importing 4.45 lt and 1.8 lt respectively in the first half.

HYDERABAD: The ruling Bharat Rashtra Samithi (BRS) of K.Chandrasekhar Rao and the Narendra Modi-led Bharatiya Janata Party (BJP) are embroiled in a new conflict over a 5-kg free rice scheme that would be extended to ration card
users across the state beginning this month.

The BJP-led government in New Delhi recently decided that it will offer 5-kg
of rice per person in each ration-card-holding family across the country for
a year from January to December 2023 to those covered by the National Food
Security Act, 2013. In addition to the Centre's 5-kg rice scheme, the Telangana government said on Wednesday that it will  begin distributing 5kgs of rice per person per family with ration cards immediately. Civil supplies minister Gangula Kamalakar made the announcement on Wednesday. This provoked a war of words between the BRS and BJP leaders. The BJP leaders claimed that the BRS government was forced to implement this scheme after the Centre announced a free rice scheme.

The BJP leaders said the BRS government has been implementing 6kgs rice per
head at the rate of Rs 1 per kg all these years and when the central government announced 5kg free rice scheme from January, the BRS government decided to scrap its scheme and implement the Centre's free rice scheme to reduce its subsidy burden. When the BJP leaders threatened to hold agitation programmes, the BRS government backtracked and announced a 5-kg free rice scheme.

The BJP claimed that the state government's decision to distribute free rice
was a result of its state president Bandi Sanjay Kumar demanding the same.
The party, in a news release said the government's decision was forced after
Sanjay wrote a letter to the CM on Tuesday asking if the Telangana
government wanted the poor to be on empty stomachs during the harvest
festival of Sankranti.

Gangula Kamalakar claimed that his department had to change a software system in order to implement the Centre's free rice scheme at all ration shops, resulting in delay in distributing free rice to beneficiaries for a week. The plan to supply free rice from Wednesday has nothing to do with the BJP threatening agitation programmes.

 "Telangana has 55 lakh ration card holders covered under the Centre's NFSA
while the state government issued an additional 35 lakh ration cards on its own to cover more beneficiaries by increasing income ceiling. The Centre is giving free rice to only 55 lakh ration card holders while we are bearing additional expenditure on another 35 lakh beneficiaries. We are supplying free rice to all these beneficiaries with our own funds. This shows the humane approach of CM KCR towards the poor," Kamalakar said.

It coincided with one of my first conversations with Irvin Weerackody who was instrumental in initiating me into the fascinating world of advertising, a venture which I believe helped considerably improve my writing skills among other things. He asked me to come up with a line. So I did: ‘yali sahalata’ and the English version, ‘Back to rice.’ The idea was accepted and of course considerably enhanced by the Phoenix creative team.

At that time, as had been for several decades, the focus was on obtaining food security. Interesting term. Although it has connotations of self-sufficiency, what it really implies is the ability to either grow all the food a country (or a household or an individual) needs or possess the means to purchase the same. For those who believed that the former was the better option, which would make the term ‘food sovereignty’ more appropriate, it was about volume. In short, it was about growing all the food needed in the island itself.

There’s something missing though. Nutrition. New ‘improved’ rice varieties introduced with the Green ‘Revolution’ (the quotation marks are significant, please note) were hailed as miracles. Shailesh Awate, Co-founder of OOO Farms, a social movement in India, argues, however, that the term ‘improved’ was misleading because it suggested what people were eating before was underdeveloped.

The new varieties did help countries become self-sufficient but they also brought with them a lot of problems. They were thirsty for chemical fertilizers, demanded insecticides and pesticides and required farmers to buy new seeds every year. Traditional rice varieties had been developed over centuries and were adapted to specific environments. Most importantly, their nutritional benefits were immense.

So ‘back to rice’ on the face of it addressed a particular problem and did justice to the brief submitted by the then Government — necessary but not sufficient, one has to conclude in retrospect.

The self-sufficiency drive was launched in a context of the above ‘miracle’ as well as more than half a century since Japan developed technology to separate the inedible outer husk of rice grains which polished the grain so much that the bran got removed and turned brown rice into white. The removal of fibre and nutrients through polishing, it is now acknowledged, has affected the health of populations with rice-heavy diets. Dr. Vasanti Malik of the University of Toronto, points out that ‘white rice, because it lacks fibre and other nutrients, is absorbed quickly, prompting rapid spikes of blood glucose and insulin levels which, over time, increases the chances of developing diabetes.’ Asia, unsurprisingly, is projected to see the biggest rise in diabetes cases by 2045.

Strangely, though, the World Health Organisation in its report on non-communicable diseases such as diabetes, has recommended as long ago as 2002 that it would be prudent for countries to shift to traditional foods. It seems, then, that the subjects of agriculture and health (and within it, nutrition) have existed like two countries separated by oceans, mountains and massive chasms.

The problem is a fascination or even fixation with improving yield density at the cost of virtually abandoning nutrition density and along with it traditional rice varieties. Dr. Sirimal Premakumara of Colombo University, after studying brown, purple, red and gluteus varieties of rice still grown in Sri Lanka, concludes that their nutritional density is superior to even that of the iron-fortified ‘breakthrough rice’ developed by Thailand.

The ITI (Industrial Technology Institute) data shows that traditional varieties such as Pachchaperumal, Kalu Baala Vee, Rath Suwandel, Kalu Heenati, Rathu Heenati, Gona Baru, Kahavanu, Madathavalu and Beth Heenati are considerably richer in protein, iron and antioxidants than the modern, hybrid varieties that have been pushed over so many decades. They have superior anti-diabetes and anti-cancer properties, higher fibre content, improve immune systems and are far more nutritious.

The argument can be made and indeed is often tossed around that traditional varieties will not help the cause of achieving self-sufficiency. That’s bad science, isn’t it? First of all, they were rubbished by ‘experts’. Then they were deemed to be useless in the context of the yield-mantra, a gain proposed by experts who didn’t seem to think that nutrition needed to be considered. It was always about volumes, never mind if the population was forced to eat tons of unhealthy rice. Never mind if the Treasury had to allocate more and more money to deal with patients with non communicable diseases such as diabetes.

An unhealthy population is ok as long as they aren’t hungry, it’s ok if they suffer, it’s ok if they die young, seems to be ‘expert thinking’. All ok as long as manufacturers of so-called miracle seeds, agrochemicals and paddlers of such things profit and prosper, we might add. And the current call for ‘fortified rice’ is not about shifting to a different culture of consumption, it’s not about promoting traditional rice varieties or research on the same, perhaps towards improving yields, or about communication campaigns on eating better and on the severe risks of bad food habits. These things need to be talked about.

Back to rice. Good. Not good enough. Back to traditional rice. Better. Much better. Maybe the Government can consider commissioning a communication campaign along these lines. It could be a simple, four-word brief: ‘Back to TRADITIONAL rice.’

AT least 12,417 metric tons of imported rice have arrived in the country, the first batch of importation for the staple food in 2023, according to the Bureau of Plant Industry (BPI).

The BPI also said that the total imported grains in 2022 reached 3.8 million metric tons (MMT).

Based on the report of BPI, as of Jan. 5, 2023, at least 6,500 metric tons of the imported grains came from Thailand and 5,917 metric tons were sourced from Vietnam.

According to the BPI, the fresh rice imports were covered by at least nine sanitary and phytosanitary import clearances (SPSICs).

The BPI added that total rice imports in 2022 reached 3,826,238 MT, more than double the total importation in 2019 of 1.857MMT.

The bulk or 83 percent of the rice importation in 2022 came from Vietnam with 3.178MMT. This was 817,789 MT or 26 percent bigger compared to the 2.4 MMT total imports from Vietnam in 2021.

The country's total importation in 2022 was 1.05MMT or 28 percent bigger compared to the 2.8MMT rice imports in 2021.

Other sources of rice importation last year included Myanmar, 244,738 MT; Pakistan, 198.912 MT; Thailand, 183,230 MT; India, 10,095 MT; China, 9,328 MT; Singapore, 822 MT; Korea, 400 MT, Japan, 303 MT; and Spain, 4.96 MT.

Agriculture Undersecretary Mercedita Sombilla had said the DA expects 2.5 MMT of rice imports in 2023, lower than last year's 3.8 MMT.

Sombilla blamed the typhoons that hit the country in 2022 for the spike in the rice imports.

She added that the BPI was tasked to manage the issuance of SPSICs under the Rice Tariffication Law (RTL).

According to Sombilla, the DA targets 20 million metric tons of local palay production in 2023.

According to Sombilla, a big chunk of the budget for 2023 will be for the subsidy for the farmers.

For his part, Agriculture Assistant Secretary Arnel de Mesa attributed the decline in palay production to the increase in the cost of farm inputs, particularly fertilizer.

• Stockpiles are adequate to meet the needs of welfare programs
• India will likely sell wheat in open market to control prices

India, the world’s biggest rice exporter, is likely to lift restrictions on grain shipments in a move that would mark a further easing of a global wave of food protectionism after Russia’s invasion of Ukraine.

Authorities are actively considering removing curbs on some rice exports as domestic prices are stable, according to a person familiar with the matter. Government stockpiles are adequate to meet the needs of welfare programs, said the person, who asked not to be identified as the information is private.

India accounts for about 40% of the global rice trade. Any relaxation of the export curbs will likely cool benchmark prices in Asia, which are trading near the highest since mid-2021. The move is being discussed as concerns over food inflation have eased. Global food costs ended 2022 roughly where they started despite a year of disruptions from the war in Ukraine and extreme weather.

A spokesperson for the food and commerce ministries declined to comment. 

India imposed a 20% duty on exports of white and brown rice in September, and banned broken rice sales abroad. The curbs, which apply to about 60% of Indian rice exports, came on top of restrictions on wheat and sugar sales. 

Shares of Indian rice producers and exporters surged Tuesday on expectations that any change in shipment rules will potentially boost their sales. KRBL Ltd., one of the biggest shippers, climbed as much as 3.2%. LT Foods Ltd. rose 4%, while Chaman Lal Setia Exports Ltd. jumped 5.4%.

Rising Global Food Protectionism Risks Worsening Inflation

The Rice Exporters Association will call on the government to scrap some limits on exports as domestic supplies have increased following the harvest of monsoon-fed crops. The industry group will seek approval to ship at least 1 million tons of broken rice and request that the 20% tax on white rice exports be removed, according to B.V. Krishna Rao, president of the group.

Increased availability of the grain helped the government to boost its purchases for various welfare programs. The federal agencies have bought 53 million tons of unmilled rice as of Jan. 1 from the 2022-23 crop, an increase of 11% from a year earlier, according to data compiled by the state-run Food Corp. of India.

Officials are also considering selling about 2 million tons of wheat from state reserves in the local market to control prices, according to the person. This may be sold at a fixed price to users including flour mills, the person said.

— With assistance by Andrew Janes and Jason Scott.

Are you in search of a new and flavorful way to add nutrition to your meals? Look no further than Komal rice, a type of aromatic rice that is native to the Assam region of India and widely used in Indian cuisine.

Known for its distinct flavor and fragrance, Komal rice is a popular choice for traditional dishes like biryani and pulao. In this article, we will delve into the various health benefits of Komal rice and how it can be easily incorporated into your daily meals. So, if you want to add some flavor and nutrition to your meals, keep reading to learn more about this rice variety.

Elevate Your Meals with the Soft, Fluffy Texture of Komal Rice.

One of the unique characteristics of Komal rice is that it can be cooked using a method called "soaking." To prepare Komal rice using this method, you simply need to rinse the rice and then soak it in water for a few minutes. After soaking, the rice can be drained and used in a variety of dishes. This method of cooking Komal rice results in a soft, fluffy texture and allows the rice to retain more of its nutrients and flavor compared to other cooking methods.

Komal rice is not just good for your taste buds, but good for the planet too!

What really sets Komal rice apart is its farming methods. Unlike other types of rice that are grown using modern, industrial techniques, Komal rice is often grown using traditional methods that involve natural fertilizers and no chemical pesticides or herbicides. This results in a rice that is more flavorful, nutrient-rich, and better for the environment. And it's not just good for the planet - these traditional methods also help support local communities and economies by providing employment and income for small farmers.

In addition to its delicious taste and versatility in the kitchen, Komal rice is also a healthy choice.

Komal rice is a good source of complex carbs, which provide sustained energy and help regulate blood sugar levels. It is also rich in essential vitamins and minerals, including vitamin B6, iron, and niacin. And with its low fat and cholesterol content, Komal rice is a wise choice for those looking to maintain a balanced diet.

Just like every good thing out there, Komal rice does not come without its challenges.

As mentioned before, the grains of Komal rice are thin and delicate, which can make it difficult to handle and cook. It is also more prone to damage and breakage compared to other types of rice. Additionally, Komal rice is more expensive than many other types of rice, which can be a barrier for some consumers. However, despite these challenges, the end result of cooking Komal rice is well worth the effort.

Did we tell you? Komal rice is not just popular in the Assam but all over the world.

It is also gaining popularity around the world and can be found in many international restaurants. So why not add some global flair to your dinner tonight with a dish featuring Komal rice? Trust us, your taste buds (and the planet) will thank you for choosing this delicious and sustainable option.

Countries in South Asia, including India, Nepal, Sri Lanka, and Bangladesh, have been experiencing a decline in agricultural farm sizes because of increasing population and division of land among family members in successive generations. In particular, landholding has decreased rapidly in the areas that have a high population growth with dense populations. Pakistan is no exception to this.

In Pakistan, the average farm size has steadily declined from 5.3 hectares in 1971 to 3.1 hectares in 2000 and then subsequently to 2.6 hectares in 2010 (Agricultural Census 2010). As a result, the agriculture sector is now dominated by smallholders. Over 90 per cent of farms are smaller than 12 acres, out of which 67pc are below even five acres (two hectares).

The majority of farms have become so small due to successive land divisions that they are no longer economically and operationally viable. Small size is a major limiting factor for increasing labour and land productivity, mechanisation of farms, optimal application of quality farm inputs, and adoption of advanced agricultural practices and technologies.

At the same time, more than 8.2 million farms pose a serious challenge for the government to provide extension services, offer credit facility to all farmers, enhance their effective access to the market and even implement government programmes for farmers, primarily due to the high transaction costs involved. All these challenges translate into higher production costs and, in turn, a lack of competitiveness. As a result, farmers demand farm subsidies, putting additional pressure on the country’s scarce financial resources.

In Pakistan, the average farm size has steadily declined from 5.3 hectares in 1971 to 2.6 hectares in 2010

Interestingly, in East Asian countries like South Korea and Japan, instead of shrinking, farm sizes are increasing. In fact, thriving manufacturing and service sectors have provided lucrative employment opportunities, resulting in labour migration from agriculture to non-agriculture sectors.

Many research studies have explored and proven the inverse relationship between farm size and crop yields. In Pakistan, the solution undeniably lies in consolidating agricultural holdings into somewhat larger and more efficient farms. But the real challenge is to devise and execute effective policy measures. Among the options explored, cooperative farming and corporate farming are often the most cited.

Cooperatives (associations of persons united voluntarily) have been successful in many countries in empowering farmers to pool in multiple lands together, use collective bargaining to buy agricultural inputs and sell their produce, and collectively undertake value addition to attain greater efficiencies. Their success can be gauged from the fact that cooperatives in Europe have over 40pc market share in agri-food supply chains, whereas, in the USA, around 75pc of the country’s milk is marketed by dairy cooperatives.

Due to the peculiar socio-cultural context of our rural areas, particularly in Punjab and Sindh, people do not exhibit an inclination towards working together for common needs and aspirations. Therefore, cooperatives in the agriculture sector could not reap the desired results. In Pakistan, cooperatives often do not hire professional managers. Therefore, when the majority of members lose interest in managing the organisation due to one reason or another, a small group takes control and manages it for their own gains and interests.

Another widely mentioned option is corporate farming (large-scale agriculture by large companies). The arguments in favour include companies’ greater capacity and financial muscle to introduce mechanisation and new technologies, undertake effective marketing of farm produce, develop linkages with national and international value chain players, and improve farm and area infrastructure. All these factors result in higher productivity and competitiveness.

However, the major issue is the availability of large areas of land for prospective companies. In Pakistan, however, millions of acres of land are lying uncultivated in Cholistan, Thal, and other regions, which can be leased to local companies for 10-15 years for development and cultivation under high-efficiency irrigation solutions, ideally suitable for water-scarce areas.

Another option is reverse leasing, which is contrary to the historical rural tenancy system where landlords used to lease out their lands to small farmers for a fixed payment or crop sharing. Companies may get land from small farmers on a long-term lease in lieu of biannual payments or by making them shareholders in the business or/and by providing employment. However, its successful implementation requires intense social mobilisation to educate and coordinate with the farmers.

We should be cautious and circumspect about lessons learned from other countries. For example, Ethiopia encouraged foreign investment and foreign companies to transform its agriculture sector, but this drive led to large-scale land grabbing — partly illegitimate appropriation of lands by corporate investors — that has been largely supported by the government in the name of public interest/public purposes. The whole strategy dispossessed and displaced farmers and forced them to seek jobs either in urban centres or with agribusinesses.

Another point of view, expressed by a significant number of labour market experts, is that the issue of shrinking farm sizes would automatically be resolved without any external intervention by developing export-oriented manufacturing and service sectors.

Alternative sources of income generation in non-agriculture sectors would decrease peoples’ reliance on the land and help reduce the high rates of underemployment and disguised employment, which does not affect aggregate economic output in Pakistan’s agriculture sector. Several countries like China, Bangladesh, and Indonesia have experienced similar structural transformations in their labour markets.

However, along with developing manufacturing and service sectors, two policy measures are essential. Firstly, a special credit facility with low-interest rates is required, enabling small farmers to buy land, available-for-sale, adjacent to their farms or family members’ share of the inheritance.

Secondly, the government must take appropriate measures to reduce the cost and time required for land purchase, leasing in, and leasing out, as land purchase currently entails high transaction costs. Already, Japan and China have successfully implemented such policies aimed at land consolidation.

Published in Dawn, The Business and Finance Weekly, January 9th, 2023

Bangladesh to buy 100,000 tonnes of rice in tenders

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Some buyers favour cheaper Indian variety

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Thai rates rise to $480 a tonne this week

By Brijesh Patel

Jan 5 (Reuters) - Thailand rice export prices rose to their highest since May 2021 this week, helped by a stronger baht and domestic buying, while firm demand kept prices near multi-month highs in other top exporting Asian countries.

Thailand's 5% broken rice <RI-THBKN5-P1> was quoted at $480 per tonne on Thursday, up from $452 to $465 per tonne quoted last week due to the strength of the local currency, traders said.

"There are lots of demand for rice in the domestic market, while exporters continue to buy rice for shipment to Indonesia," a Bangkok-based trader said.

Traders said Indonesia ordered "hundreds of thousands of tonnes of rice" in mid-December.

Meanwhile, Vietnam's 5% broken rice <RI-VNBKN5-P1> was offered at $458 per tonne free-on-board on Thursday, unchanged from last week when they hit the highest since mid-July.

"Trade is slow amid the holiday season," a trader based in Ho Chi Minh City said, adding that some traders were already off for the Lunar New Year holiday.

State media cited the Vietnam Food Association as saying strong demand for Vietnamese rice had supported prices over the recent days, noting that the Philippines, Vietnam's largest buyer, had refrained from raising its rice import tariff to tame inflation.

It said other buyers, including Indonesia and Bangladesh, had also announced their rice purchase plans, without elaborating further.

Bangladesh has approved purchases of 100,000 tonnes of rice in tenders, officials said, as it seeks to build reserves to control domestic prices. The government is also looking to buy rice from India through state-to-state deals.

Top exporter India's 5% broken parboiled variety <RI-INBKN5-P1> remained unchanged from last week at $375 to $382 per tonne - highest since late-November.

"Orders are getting diverted to India from Thailand and Vietnam because of lower prices," said a Mumbai-based dealer with a global trade house. (Reporting by Rajendra Jadhav in Mumbai, Khanh Vu in Hanoi, Panu Wongcha-um in Bangkok and Ruma Paul in Dhaka; Additional reporting by Brijesh Patel; Editing by Subhranshu Sahu)

LAHORE (Web Desk) - The country s rice exports (basmati and non-basmati) have recorded nearly 30 per cent decline in quantity and almost 11pc decline in value during the first five months of fiscal year 2022-23 as compared to the corresponding period of FY2021-22.

Pakistan registered quantity wise 44pc decline in export of basmati rice during the period of July-November 2022 as compared to the corresponding period.

Similarly, non-basmati varieties registered a quantity-wise decline of 12pc and 5pc in value in the same period.

According to the Rice Exporters Association of Pakistan (REAP) the rice export was hit hard owing to a 40pc decline in long grain (non-basmati) crops in Sindh due to unprecedented recent floods, every increasing value of the greenback against the Pak rupee coupled with a huge gap between its value in the interbank against the open market rates.

Likewise, basmati rice which is surplus in Punjab is being hoarded by the stockiest pushing the prices skyrocketing for the commodity.

During the period mentioned above, Pakistan exported 210,184 metric tons of basmati rice (July-November 2022) against the export of 302,771 metric tons in the same period of the corresponding year 2021.

Pakistan exported 1.1 million tons of non-basmati rice during the period July-Nov 2022 against 1.235 million tons in the corresponding period of 2021.

Milled rice export from Cambodia increased by 3.2 percent to 637,004 tons in 2022 compared with 617,069 tons shipped across the world in 2021, according to the Cambodia Rice Federation (CRF). The export of the commodity garnered $414.29 million for the country, the federation said on Tuesday.

The milled rice was exported by 61 Cambodian rice exporters to 59 countries. Of these, China remained the largest buyer of Cambodian rice (288,830 tons) and accounted for 45 percent of the total export for the year.

After China, 25 European countries together bought 221,504 tons or 35 percent of the total milled rice shipped from Cambodia. Four ASEAN (Association of Southeast Asian Nations) member states bought around 10 percent (64,733 tons) of Cambodian rice. And the rest 10 percent (61,937 tons) were delivered to 27 countries, including the United States of America, Australia, Russia, Ukraine, and several African nations, among others.

Among ASEAN member states, Malaysia imported 45, 789 tons, Brunei 14,112 tons, Singapore 3,808 tons and Vietnam 1,024 tons of Cambodian milled rice in 2022

For the country that has set itself a target of exporting one million tons of milled rice from this year onwards, the shipment seems to have reached a plateau. But for 2020 in the last six years when the export touched a new high of 690,829 tons, the shipment figures have been oscillating around 630,000 tons.

While 635,679 tons were exported in 2017, the amount declined to 626,225 tons in 2018. In 2019 when Covid-19 broke out, the total milled rice export figure came down to 620,106 tons, only to record a leap of 70,723 tons of additional shipments in 2020.

In 2021, the shipment from the Southeast Asian nation declined to 617,069 tons, even below the 2019 figure. And this year it is back to a figure which is closer to the 2017 data.

At 277,739 tons, premium aromatic rice of Cambodia led from the front and accounted for 44 percent of the total shipment, according to the CRF data shared with Khmer Times. Over 179,070 tons of fragrant rice (Sen Kra-Ob) were bought by international clients and it accounted for 28 percent of the total export. White rice accounted for 24 percent or 153,428 tons, parboiled rice about 2 percent or 15,781 tons, organic rice less than 2 percent or about 10,963 tons, and glutinous rice 23 tons, said the federation.

The Kingdom also exported 3,477,886 tons of paddy, worth $841.09 million, to the neighbouring country of Vietnam in the year, the CRF release added.

On China being a huge market for the country’s potential agricultural products, Cambodian Minister of Agriculture, Forestry and Fisheries Dith Tina has been quoted by Xinhua as saying that the kingdom hoped to export more to China under the Regional Comprehensive Economic Partnership (RCEP) and the Cambodia-China Free Trade Agreement (CCFTA). “Cambodia and China have solid agricultural cooperation, and we have exported milled rice, mangoes, bananas, and, most recently, longans to China,” he told Xinhua.

In an effort to increase milled rice shipment, the government has sought to open new markets through free-trade agreements, the Comprehensive Economic Partnership Agreements (CEPA), and several memoranda of understanding (MoUs), the CRF, a government-recognised organisation, told Khmer Times earlier.

Agriculture is one of the major contributors to the Cambodian economy. The sector contributed 24.4 percent to the gross domestic product (GDP) in 2021, according to the Ministry of Agriculture. In 2021, production of paddy was 12.2 million tons, which was a rise of 11.6 percent over 2020, it said.

In 2019, agriculture accounted for 31.2 percent of jobs and 20.7 percent of GDP. Rice accounts for around half of the agricultures contribution to the GDP.

The government on Wednesday approved two separate proposals for procuring some 1 lakh metric tons of non-basmati boiled rice through international open tendering from India and Singapore.

The approvals came from the 1st meeting of the Cabinet Committee on Government Purchase (CCGP) in this year held today virtually with Finance Minister AHM Mustafa Kamal in the chair.

Briefing reporters after the meeting virtually, Cabinet Division Additional Secretary Sayeed Mahbub Khan said that the day's CCGP meeting approved a total of four proposals.

He said following a proposal from the Ministry of Food, the Directorate General of Food would procure some 50,000 metric tons of non-Basmati boiled rice from M/S Bagadiya Brothers Pvt Ltd. India under package two under international open tendering method with around Taka 210.36 crore. The price for per ton rice will be $393.19 against the previous per ton price of $443.05.

The Directorate General of Food will also procure some 50,000 metric tons of non-basmati boiled rice from M/S Agrocorp International Pte Ltd Singapore under package three under international open tendering method with around Taka 213.40 crore where the import of per ton rice would cost $397.03 up from the previous per ton price of $393.19.

Besides, Mahbub said following a proposal from the Local Government Division, the joint venture of SMEC International Pte Ltd Australia; ACE Consultants Ltd. Bangladesh; and Development Design Consultants Ltd Bangladesh have been awarded the work for consultants for the package number-SD2 with Taka 33.79 crore under the Dhaka Sanitation Improvement Project of Dhaka WASA.

Apart from these, the CCGP meeting also approved a proposal from the Local Government Division under which the joint venture of Nippon Koei Co. Ltd.; Koei Research and Consulting Co. Ltd.; Nippon Koei Bangladesh Ltd.; Resource Planning and Management Consultants and BETS Consulting Services Ltd have been appointed as the consultants with around Taka 281.73 crore for the Urban Development and City Governance Project.

India must boost value added agri exports, for which there is growing demand, especially in Europe.

India’s rising agricultural exports offers a ray of hope in an otherwise vitiating overall export performance, primarily due to the Russia-Ukraine war, economic sanctions coupled with blockage of financial channels, economic slowdown and disruption of supply-chain(s).

The export of key agriculture commodities rose around 16 per cent in the first half of 2022-23 (April-September) over the corresponding year-ago period. This is good news as agriculture is not only the backbone of the Indian economy but is also the main source of livelihood for more than half the population.

Agri-export income often brings relief when other sectors of the rural economy face stress. In celebrating the performance of farm exports, it is important also to ensure that they are sustainable.

India’s agri-export strategy is based on “produce and sell” mentality — also known as commodity trading. However, it is time to shift from ‘commodity export’ to ‘product exports’. Firms that are into agri exports should evaluate what consumers want and, accordingly, leverage the value-addition programme in their commodities. For instance, rather than exporting rice in bulk, the focus should be on creating smaller but targeted products segments such as rice flour which is in high demand in Europe, especially the southern part where it is widely used to produce pasta, crisps, cereals and snacks.

Similarly, rice starch is required by the pharmaceutical industry, and is also used as a thickener in sauces and desserts. Rice sweetener is again a value-added product and is used in sugar syrups and honey.

Some aromatic varieties of Basmati rice are imported by breweries in Europe, especially by some prized beer manufacturers. Likewise, rice bran is in high demand as it is rich in Vitamin B6, iron and magnesium, and utilised in cereals, mixes, and vitamin concentrates.

Also, rice bran oil can be promoted as a treatment for decreasing blood cholesterol. Broken rice, rather than being exported in bulk to western African markets, can be alternatively marketed as rice flour and as a mixture for pet foods. There can be various other value-added ‘ready-to-eat’ products manufactured from rice.

As the international market for value-added products is constantly growing, it is time India moved faster towards export of agri products. The evolving marketplace and market forces offer a plethora of business opportunities in product differentiation and, influenced by rising customer demand for health, nutrition and convenience foods as well as productivity improvements by food processors.

While the shift to a product-driven export strategy will take time, it will eventually help absorb the shocks from domestic as well as the global markets arising out of problems related to stocking, fair and remunerative prices to farmer, distress sale, shelf-life issues, and food losses and waste. The agro-producers must look to cater to the needs of end-users. For example, bovine producers should focus on table-ready meat.

India’s 350-450 million strong middle-class is already shifting towards value-added products, courtesy urbanisation, affordability, nuclear families and constraint of time for cooking, especially for working professionals. Value-addition in agriculture can achieved by taking the following steps.

Measures ahead

First, by innovation, which in turn focuses on enhancing current processes, procedures, products and services or developing new ones, which can be used to add value to agri-products. Successful value-added products are generally specialised/technical and sell in markets which have low competition.

It is time to leverage policy interventions and bring in operational changes, including training and hand-holding of producers, for creating a business ecosystem for agri product exports. Value-addition can be achieved by promoting the industrial use of food products but only where we have non-utilisable surplus. Resultantly, the traditional crops can be turned into non-food goods using a number of inventive and innovative technologies — bio-diesel is a case in point.

Second, coordination, especially between producers and marketers of agricultural products, must be improved. Considering India’s small landholdings, horizontal coordination that aims to pool or consolidate people or enterprises from the same level of the food chain is one solution. For example, while focussing on vertical coordination to aggregate milk, vegetables produce or fruits, there is need to look at horizontal coordination which includes contract-farming, contractual sourcing, production sharing agreements.

Finally, India’s agriculture export policy has been vacillating between export bans/restrictions and minimum export price on one side and free trade on the other. This approach needs to be reviewed.

An abrupt ban on export of a commodity sends wrong signals to the global markets. A predictable and transparent agriculture export policy is the need of the hour to make India a reliable global supplier of value added agriculture products, which will certainly contribute to the goal of doubling farmers’ income.

Ram is a Professor at Indian Institute of Foreign Trade, New Delhi, and Surendar is an Associate Professor at FORE School of Management, New Delhi. Views are personal

India’s 350-450 million strong middle-class is shifting towards value-added products, courtesy urbanisation, affordability and nuclear families.

WASHINGTON, DC, US — US agricultural exports in fiscal year 2023 are projected at $190 billion, down $3.5 billion from the August forecast, according to the Economic Research Service of the US Department of Agriculture. This decrease primarily is driven by reductions in soybeans, cotton, and corn exports that are partially offset by gains in beef, poultry, and wheat, the ERS said.

The report said soybean exports are forecast down $2.4 billion, to $32.8 billion, due to smaller production and increased competition from South America. Cotton exports are forecast down $1 billion, to $6 billion, based on lower unit values and subdued demand. Grain and feed exports are projected to decrease by $300 million, to $46.2 billion, with declines in corn, sorghum, and rice exports partially offset by higher exports of wheat and feeds and fodders.

The forecast for corn is down $600 million, to $18.5 billion, on lower volumes. Livestock, poultry, and dairy exports are forecast to increase by $300 million, to $41.4 billion, as increases in beef, poultry, and variety meat exports more than offset declines in pork and the value of dairy exports. Beef exports are up $500 million, to $10.3 billion, driven by higher prices. Ethanol exports are unchanged at $4.2 billion from the August forecast and remain a record if realized.

The ERS noted that agricultural exports to China are forecast at $34 billion, down $2 billion from the August projection, due to lower export prospects for soybeans, cotton, sorghum, and pork. China is expected to remain the largest market for US agricultural exports.

US agricultural imports in 2023 are forecast at $199 billion, up $2 billion from the August forecast, largely driven by higher imports of horticultural products, sugar and tropical products, and grain and feed products. A strong dollar, while a headwind to the export forecast, is partially responsible for the higher import demand, the ERS said.

As per Birgunj Customs, Rs5.25 billion worth of Indian paddy entered Nepal between November 21 and December 30.

Farmer Hirai Yadav of Jighaul, Siraha has been waiting for hours to sell his paddy at the depot of Food Management and Trading Company, the state-owned company tasked with buying farmers' crops.

“Farmers like us suffer all the time,” said Yadav.

Nepali farmers endured a chemical fertiliser shortage during the paddy transplantation period in June. They began harvesting their crops in November, and now they are facing another hardship—selling them.

While farmers like Yadav are standing in long queues outside the Lahan depot of Food Management and Trading Company to sell their paddy, convoys of paddy-laden trucks from India are entering Nepal through the Birgunj border point.

“The price we get for our paddy hardly covers our investment. Moreover, the government doesn’t buy our crops on time,” said Yadav.

On November 3, the government raised the minimum support price (MSP) for paddy by 8 percent for this fiscal year. The floor price for common paddy is now Rs3,128 per quintal, and the floor price for mota dhan is Rs2,967 per quintal.

The MSP is the lowest legal price that can be paid for farmers’ harvests. The government does not fix the floor price for fine paddy.

Nearly a month after farmers had harvested their crops and the government had fixed the MSP, Food Management and Trading Company finally issued a paddy purchase notice in Siraha, Madhesh province.

Since then, paddy growers have been waiting in long queues with their paddy-laden tractors outside the depot. On Sunday, the line stretched for 3 km.

The company has set the purchase price for sona mansuli at Rs31.28 per kg. The price of katarni, a fine grain variety, has been fixed at Rs38 per kg.

Raban Kumar Yadav, chief of the company in Lahan, said they would buy 1,500 tonnes of paddy this year as per the quota determined by the head office in Kathmandu.

“The process of buying paddy was delayed this year because the headquarters did not issue the purchase notice on time,” said Yadav. “In the past, the paddy buying process would begin in November.”

Farmers from Siraha, Saptari and Udayapur districts sell their paddy at the Lahan branch.

Despite the long line of farmers waiting to sell their paddy, officials say they may not be able to buy from everybody because they have to stick to the quota. They fear the farmers will launch protests if they are unable to sell their crops.

Farmers complain that middlemen are taking advantage of the situation.

Nepali farmers are expected to harvest 5.48 million tonnes of paddy this fiscal year, which is 7 percent more than last year, despite a crippling shortage of chemical fertiliser during the key transplantation period in the monsoon.

The paddy harvest will produce around 3.52 million tonnes of rice after milling. Nepal requires 4 million tonnes of rice annually to feed its population, and there could be a deficit of 480,000 tonnes this fiscal year, the Agriculture Ministry said on Thursday. The shortfall is normally met by imports from India.

Farmers complained that the company’s policy to purchase only up to 5 tonnes of paddy in the harvest season was not justifiable.Farmers from Siraha, Saptari and Udayapur districts sell their paddy at the Lahan branch. Post Photo: Bharat Jargha Magar

Khushi Lal Shah, a farmer from Madhopur, Siraha, said he had become frustrated waiting in the long queue.

According to the company, it will take at least a week to finish buying paddy from the farmers.

The Birgunj Customs Office said 151,907 tonnes of imported paddy worth Rs5.25 billion entered Nepal between November 21 and December 30, up 28 percent from the previous year.

The government collected Rs264.2 million in taxes from the imports.

“The import of paddy has increased steeply since mid-December,” said Jitendra Rasaili, operation in-charge of the Nepal Intermodal Transport Development Board in Birgunj, which operates the integrated check post.

“Around 125 to 150 trucks loaded with paddy have been entering the country every day.”

The Indian government has approved Birgunj, Bhairahawa and Kakarbhitta border points for importing paddy. A large portion of the imported paddy comes from Bihar, Uttar Pradesh and West Bengal states of India.

“Paddy and rice shipments commenced right after the Indian government permitted their export,” said Dhan Bahadur Baruwal, chief customs officer in Birgunj. “Traders might have been importing more than the usual amount to stock up in case the Indian government halts exports once again.”

In September 2022, India, the world’s largest exporter of rice, banned shipments of broken rice and imposed a 20 percent export duty on various types of rice, except parboiled and basmati rice.

The southern neighbour initiated the move to boost supplies and calm prices after below-average monsoon rains curtailed planting.

The repercussions were immediately felt in Nepal. Local retailers say the price of imported long grain and fine rice saw the single largest jump of Rs10 per kg.

Market insiders say the rise in the price of rice would affect all, particularly the poor.

India relaxed the restrictions in November, permitting the export of 600,000 tonnes of unmilled rice to Nepal. The Indian government said in a notice that it would allow exports to Nepal as it has traditionally relied on India to fulfil its food grain requirement.

“The government levies only a 5 percent agriculture improvement tax on paddy imports,” Baruwal added.

Subodh Kumar Gupta, president of the Birgunj Chamber of Commerce and Industries, said that the Indian government has allowed the export of 600,000 tonnes of rice and paddy to Nepal this season.

“The quota in the preceding year was 550,000 tonnes,” said Gupta, who is also president of the Association of Nepalese Rice, Oil and Pulses Industry. “The price of the rice might not increase this year as traders have been able to import sufficient quantities of paddy on time,” he added. 

The government is going to procure 1 lakh tonnes of non-basmati rice to bolster the supply chain of the country’s main staple food against the backdrop of high inflation.

Two suppliers — one each from India and Singapore —have been selected by the food ministry through international tenders for supplying the amount of rice equally – 50,000 tonnes from per supplier – at a total estimated cost of Tk 423 crore, said the food ministry officials.

They said that the food ministry had submitted proposals to the cabinet committee on government purchases in the past week seeking approval to give import order to the suppliers.

The cabinet committee chaired by finance minister AHM Mustafa Kamal is likely to review the food ministry proposals in a meeting today.      

The food ministry selected Indian company Bagadiya Brothers Private Limited as it quoted lowest $393.19 for per tonne in an international tender participated by a total of four suppliers.

In another international tender, Singapore-based Agrocrop International Private Limited quoted lowest $397.03 for per tonne rice among three bidders to be selected by the food ministry.

The rice procurement is a part of the government initiative to collect 30 lakh tonnes of rice for the current financial year ending in July this year.

Of the overall collection target, one third will be imported while the rest from local rice growers.

According to the ministry officials, they have already struck deals on the government-to-government basis to import 7.3 lakh tonnes of rice.

They said that the rest of the amount would be imported through competitive bidding. Bangladesh’s rice import stood at 9.87 lakh tonnes in FY22.

Rice from the Indian company would cost Tk 42.07 per kilogramme and Tk 210 crore would be required for the total consignment while that from Singapore Tk 42.68 per kg and Tk 213 crore for the total consignment, said the food ministry officials.

One kilogramme coarse variety of rice was selling at Tk 46 to Tk 52, according to the Trading Corporation of Bangladesh’s daily update on retail market prices of essentials on Tuesday.

Despite claims by the government that the country has surplus amount of rice, the prices of the staple had been increasing unusually since 2020 pushing fixed-income people into difficulties.

Volatilities in price of rice and other essentials kept the inflation close to double digits over the past six months.

Against the backdrop of unusual hike in rice prices, the government slashed the rice import duty but prices continued to rise.

On Saturday, the Bangladesh Rice Research Institute revealed a study report blaming millers and big corporations for destabilisation of the rice market.

‘Millers make a profit of at least Tk 8 to Tk 14 on the sale of per kilogramme of rice,’ said BRRI director general Md Shahjahan Kabir while sharing the study findings in Gazipur.

On June 1, 2022, food minister Sadhan Chandra Majumder blamed Square Group, Pran Group, City Group, Akij Group, Bashundhara Group and ACI Group for the price hike of rice during the harvesting period.

The staple of so many countries may also be the dirtiest of crops

Methane is the most potent greenhouse gas, silently baking the planet and responsible for around 30% of global temperatures. Enormous quantities are pouring out of farms, landfills, and fossil fuel infrastructure. Rice paddies are a significant source of methane emissions from agriculture. Rice makes up 12% of global methane emissions and accounts for a staggering 2.5% of all GHG emissions, due to its anaerobic decomposition during its production processes. 

Rice feeds the world's population daily, but the less-known fact is that rice is one of the key contributors to global warming and a victim of climate change as well. That's why 48% of the countries included rice in their agricultural nationally determined contributions (NDCs) strategy to tackle climate change effectively. 

And so, the question arises: Can we produce rice in a better way? 

Rice is a vital crop that feeds 3.5 billion people worldwide. It provides 20% of the world's calories, a staple of kitchens in various countries. It was domesticated and fed hungry civilizations on three continents across Asia, Africa, and South America for thousands of years. 

Crops grow better in wet soil than dry soil, and once farmers found that flooding the fields killed the weeds, but the rice survived, rice fields were kept inundated for months. 

When bacteria in the soil break down dead plants, they usually release carbon dioxide. But in a flooded field where air can't get in, there's less oxygen to react with the carbon in the organic waste. That encourages the growth of bacteria that make a gas called methane instead. Methane doesn't last as long in the air as CO2, but it heats the planet 80 times more over a 20-year period. 

Furthermore, the nitrogen in the fertilizer means paddies spew out nitrous oxide, which is 270 times more potent than CO2. At emissions per kilogram, rice is not as bad as the same amount of eggs, cheese, or meat, but it's worse than other carbs. With total emissions, it's an entirely different story. We eat so much rice that it heats the planet more than everything but the cattle industry. Fixing the rice production process could save a ton of pollution. 

The obvious solution is to drain fields, so bacteria don't make more methane. Across East Asia, farmers have drained their paddies in the middle of the growing season to save water. As water has grown even scarcer, others are piloting alternative techniques like “alternate wetting and drying water management”, which doesn't remove all flooding, but could reduce 30 percent of water use and cut GHG emissions by 90 percent, while boosting yield. 

In principle, it's a simple technology and requires no special machinery. This simple trick has halved methane emissions on some farms and saved increasingly scarce water. 

Intermittent flooding is significant for growing crops efficiently and reducing emissions. Still, the rigid policies and reluctance of farmers are the primary reasons it isn't happening. In Bangladesh, a recent study found that alternate wetting and drying have failed to take off because farmers don't receive either economic incentives to reduce or suffer no penalty to increase water use. They see little benefit from using less because they receive free water or subsidized electricity which allows pumping water from deep in the ground. 

The second problem is nitrogen. Fields where the water content varies over the season, produce more nitrous oxide. Wetting and drying create cracks in the soil that let in oxygen, which reacts with nitrogen to form nitrous oxide. Using less fertilizer can help avoid this, but scientists are still trying to work out how to stop it entirely. 

The third problem is the yield if the soil gets too dry. One review found that yields fell 5% in fields repeatedly drained and flooded. This can be life-changing for farmers. A simple way to fix this is by sparingly wetting and drying fields. 

The hundreds of millions of tons of farm waste is another issue. How farmers usually deal with it is toxic for people and the planet. There are only a few valuable things to do with rice straw, like turning it into animal feed. Innovation is needed to produce bio-energy or valuable products such as organic fertilizer that can be used on the farm itself. 

Changing people's behaviour is tough, and few governments even seem to be trying. A more radical idea to grow less rice is to swap it for cleaner and sturdier crops, like potatoes. This might sound absurd, but there are reasons governments in Asia might want to encourage other crops. In 2015 China launched a national strategy to make potatoes a staple crop to improve the country's food security and cut GHG emissions. 

Methane is way more substantial in the short term. If we can reduce methane emissions by about 45% in the next 10 years, we can shave off almost 0.3C of warming during the next 2-3 decades. To make the global food system more secure in the face of increasingly extreme weather, we need to work out an efficient and sustainable rice production system to keep the planet from heating, save dwindling water supplies, and cut air pollution. 

Unlike meat or dairy, there's no big rice industry lobbying against change and holding back progress. The challenge instead is to change the habits and traditions of farmers worldwide -- who can afford neither lower yields nor more extreme weather. Governments must put policies in the right direction and shift incentives, and invest into growing our crops as a nation more effectively and efficiently. Because climate change is affecting everything, mitigation of agricultural GHG should be our priority.

The Philippine Center for Postharvest Development and Mechanization said it will focus on providing rice millers and other postharvest facilities to farmer-beneficiaries during the remaining years of the rice competitiveness enhancement fund (RCEF).

PhilMech said it will fast-track the distribution of rice processing systems (RPS) to improve the rice sector’s productivity as part of its mandate under the rice trade liberalization (RTL) law.

“As of the end of 2022, PhilMech has completed a total of seven RPS, and has set the construction of another 17 RPS. Remaining targets are set for post-qualification and rebidding activities,” the attached agency of the Department of Agriculture said in a statement.

PhilMech said the remaining three years of the RCEF mechanization component would be focused on the distribution of RPS to reduce postharvest losses in the rice sector.

The agency noted that the first three years of the RCEF mechanization component focused on the distribution of production and harvesting technologies, such as tractors, tillers, transplanters and combined harvesters, among others.

“The next three years of the RCEF-Mechanization Program, or from 2022 to 2024, should be focused on the distribution of postharvest technologies for drying and milling palay (unmilled rice) also to qualified farmers’ organization and LGUs [local government units],” PhilMech’s Supervising Science Research Specialist at the Facility Management and Field Operations Division Engr. May Ville B. Castro said.

“This will make the rice farmers actively participate in the rice value chain,  enabling them to sell milled rice at the wholesale or retail level.”

PhilMech said it has three types of RPS under its mechanization programs that vary depending on the capacity of the rice mills.

The RPS-1 is a multi-pass rice mill with a capacity of 1.5 metric tons per hour and two units of recirculating dryer with a capacity of 6 metric tons, which is worth P17.5 million.

The P61.7-million RPS 2, meanwhile, has a 2- to 3-metric ton per hour capacity with two units of recirculating dryer with a capacity of 12 metric tons.

Lastly, the RPS 3 has a capacity of 4 to 5 metric tons per hour with two units of recirculating dryer with a capacity of 12 metric tons. It costs about P72.6 million.

“To date, seven sets of RPS 1 were already delivered and installed. Another  15 sets of RPS 1 and two sets of RPS 2 are due for delivery and construction,” PhilMech said.

“Post-qualification of 14 sets of RPS 2 and five sets of RPS 3 are ongoing. And lastly, for rebidding are 24 sets of RPS 1 and four units of RPS 2.”

Under the RTL law or Republic Act 11203, the annual guaranteed P10-billion RCEF program was created which would run for six years from 2019 to 2024. Under the law, half of the RCEF funds or P5 billion will be directly managed by the PhilMech for the distribution of free machinery to eligible rice farmers and cooperative-beneficiaries.

As groundwater dries up and rainfall becomes scarce, rice farmers in north-west Bangladesh find new hope in vegetables

For decades, Shafiqul Islam Babu grew rice on his land in north-west Bangladesh — until climate change made rainfall more erratic and overused groundwater began drying up in the mid-2000s.

As his rice harvest declined, so did his earnings.

In response, the 45-year-old farmer decided to grow cabbage — a high-value crop that uses less water than rice, has plenty of buyers, and provides him with a steady income.

"I didn't know what to do instead of paddy farming, which was my ancestor's profession, [and] I had to maintain my family with my savings," he said in an interview, cleaning weeds and dead leaves from his 20-hectare cabbage farm.

"Then, vegetable farming showed me a ray of hope."

Mr Babu said he sold his entire cabbage crop ahead of harvest this year, with demand for the vegetable high in Dhaka, the capital.

He managed to make about 215,000 taka ($3,063), up from the 80,000-odd taka (around $1,139) he used to receive for his rice harvest.

Accelerating climate change impacts have led many farmers in Bangladesh's Rajshahi district to swap rice for vegetables as they strive to make their business pay on an ever-hotter planet.

Eight years ago, rice was the region's main crop – but now it is the "loser crop", with vegetables from cabbage to gourds increasingly favoured.

They need less water, produce higher yields and bring in more money, according to Shamsul Wadud, head of the district's Department of Agricultural Extension.

Farmers in Rajshahi used to struggle to grow rice for two seasons a year, but many are now cultivating vegetables three or four times annually on the same land, Mr Wadud explained.

"They are getting good prices [and] the production of vegetable crops has now increased many times," he said.

Since 2009, the area of land dedicated to growing vegetables has almost quadrupled to about 78,500 hectares in Rajshahi, making it the nation's largest vegetable-producing district, agriculture ministry figures show.

But Rajshahi is not the only area looking beyond rice.

Bangladesh's agriculture minister Muhammad Abdur Razzaque said the government was aiming to use "all kinds of abandoned and sandy land" to expand vegetable production.

Sandy soil is considered superior for growing vegetables rather than rice because it requires less water and fertiliser, officials said.

Rainfall decreasing 'day by day'

While some parts of Bangladesh have been experiencing record-breaking monsoon rains and flooding, drought has becomes increasingly common in the Barind region, which covers most of Rajshahi and some of Rangpur district.

The area's annual average rainfall has fallen to about 1,100mm, less than half the nationwide average, said Chowdhury Sarwar Jahan, a geology professor at the University of Rajshahi.

And, due to accelerating climate change, average rainfall in the Barind region has been "going down day by day", he said.

Because there has been so little rain, farmers in the region rely on deep wells to get water to irrigate their crops, putting intense pressure on groundwater supplies, Mr Sarwar Jahan added.

Groundwater levels in Barind are dropping by 50 to 60cm every year, according to the Bangladesh Water Development Board.

This spurred some farmers in Rajshahi in the late-2000s to try growing cabbage and pointed gourd — which is similar to cucumber — on land where they had given up on rice, according to Dewan Ali, 55, a farmer living in the village of Godagari.

"A few months later, they were surprised to see that with less water and less fertiliser they were getting a good harvest," said Mr Ali.

"This good news was flying all over. Within two years, most of the farmers started to farm different types of vegetables."

The Bangladesh Rice Research Institute (BRRI) estimated certain vegetables — including tomatoes, okra and radishes — could be grown using about 336 litres of water per kilogram, nearly 10 times less than it would take to grow the same amount of rice.

Boosting vegetable production has become a priority for the Department of Agricultural Extension in Rajshahi,

The department has been training farmers in everything from how to use fertilisers to controlling disease.

It has also given them seeds free of cost, working to raise awareness to encourage more to make the switch, according to Mr Wadud.

He said the Rajshahi government was only focusing on areas where farmers were struggling to grow rice, so there was no danger of the shift to vegetables affecting overall paddy production.

"An adequate amount of paddy [rice] is grown in other parts of the country," Mr Wadud added.

Growing hope among farmers

While many farmers say their livelihoods have been saved by the discovery that vegetables can thrive on parched land, those abundant harvests can sometimes prove too much of a good thing.

In particularly productive seasons, oversupply drives down the prices farmers can charge for their produce, while storage is also an issue, said Hossain Ali, a farmer in the Godagari area of Rajshahi.

When farmers grow more rice than they can sell, it can be dried and stored easily for six months, he said, but surplus vegetables quickly rot unless they are kept refrigerated.

"If the government builds cold storage, we can preserve (vegetables) and in the off-season we can sell them at a good price," said Mr Ali, who had 30 hectares of land growing various vegetables including cauliflower and tomatoes.

However, for farmer Mohammed Ali, the challenges of growing vegetables are far outweighed by the benefits for his family.

After spending 10 years in Saudi Arabia as a construction worker to send money home, Mr Ali returned in 2010 to Rajshahi to farm rice.

But water shortages forced him to quit, and he instead opened a small grocery store beside his house.

Then, a visit to relatives in the region changed Mr Ali's life. He was amazed to see their land full of plump vegetables.

"I found some hope," said the husband and father of two, who lived in Lalpur, in the region's Natore district.

Mr Ali planted bitter gourd and pointed gourd as soon as he got home, and said he sold his first harvest two months later.

Now, he can make 28,000 taka ($398) each month on just one acre of land – with no need to consider leaving home to find work.

"I don't think about going abroad because I can earn a healthy amount by staying at home," Mr Ali said.

"Nothing could be better than earning money and being with family."

Basmati is the most popular speciality rice in the UK, adding extra flavour and subtlety to everything from curries to pilafs to kedgerees. Nearly three-quarters of the world’s basmati is produced in India, and the UK buys 3% of it – plus substantial amounts from the second-largest producer, Pakistan.

All has not been well with this delicious staple, however. A huge number of newly cultivated varieties have been permitted in the UK and EU since 2017, and some have turned out to be sub-standard, lacking the unique popcorn-like fragrance that helps to make this rice so sought after.

New rules are being introduced at the beginning of 2023 that aim to take these lesser varieties of basmati off the market. So will this solve the problem?

Basmati and the code of practice

Basmati rice has been cultivated for thousands of years in the fertile alluvial plains between the Indus and Ganges rivers. To qualify as basmati, grains must meet certain standards related to things like fragrance, grain length and width, as well as cooked texture. They must also have a mid-range level of amylose, a part of the starch in rice.

Fraudsters nevertheless became notorious for cutting basmati with lesser rice grains, drawn by the fact that it is up to 50% more expensive per kilo. Several decades ago, it wasn’t uncommon for imported basmati to be more than 50% impure.

To get around this problem, the UK Rice Association introduced a code of practice in 2005. Also followed across the EU, the code specified that basmati could be no more than 7% impure, as well as introducing a list of 15 permitted varieties: nine traditional ones that could be imported duty free and a further six that were modern cultivars. We at Bangor University devised the system of DNA fingerprinting that is used to enforce the code and has sometimes led to prosecutions for infringements.

The system worked well until 2017, when the code was updated to add 25 new modern cultivars. This followed an explosion in new breeding in the 2000s and 2010s to address the problem that traditional basmati varieties are tall, low-yielding plants which fall over if they are fed with too much fertiliser. Breeders overcame this by using crossing and selection to add the so-called “green revolution” semi-dwarfing gene, which is also bred into most other modern rice varieties.

India and Pakistan had successfully persuaded the UK and EU that these 25 new varieties were as high in quality as the existing 16, but several years later we were able to show that this wasn’t entirely right.

By developing alternative DNA markers for fingerprinting, we showed that six of the new varieties – five from India and one from Pakistan – had not been properly bred for fragrance. Some did not even contain the version of the BADH2 gene that makes basmati fragrance possible in the first place. Although India and Pakistan have rigorous systems for testing rice quality, they don’t necessarily do the gene testing that would have picked up the problem.

The future

The Rice Association has responded to this discovery by publishing a new code of practice that removes the six varieties from the permitted list. Coming into force on January 1, the code also adds five new varieties that do pass muster. As a result, consumers should once again be able to buy basmati rice in the knowledge that it is of the highest possible quality.

But this isn’t the end of the story. For one thing, the 7% impurity rule remains. I have long argued that the Rice Association should adopt the same 1% rule that applies in many products – non-GM foods, for example. There’s no real reason for the basmati exception, and it is also arguably easier to enforce a 1% rule because of the way that DNA testing works.

Secondly, rice breeding is not standing still. Breeders have started focusing on making crosses to allow basmati varieties to inherit genes that will mean they need less fertiliser, resist disease so they need fewer or no pesticides, and even withstand drier growing conditions or salt-contaminated soils.

These varieties aren’t quite ready to hit the market but are urgently needed to increase the sustainability of rice production. But if such varieties are to be sold labelled “basmati”, they too will have to be monitored to ensure they meet the same high standards that consumers expect. The same goes for varieties created by gene editing, which have not yet started emerging but probably will do over the next couple of decades.

If we don’t maintain today’s standards, it may harm the industry – and crucially the farmers who work so hard to produce this beautiful rice in the first place. It’s an interesting case study of how cutting-edge technology and the right regulation can ensure that an ancient industry remains fit for purpose in the 21st century.

Katherine Steele, Senior Lecturer in Sustainable Crop Production, Bangor University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Non-NFSA card-holders too stand to gain; district Collectors directed to take steps for smooth distribution of rice through PDS to beneficiaries of Antyodaya Anna Yojana and Priority Household persons

The Government of Andhra Pradesh is providing rice to the beneficiaries covered under the National Food Security Act (NFSA) and also to the non-NFSA card- holders free of cost with effect from January 1, 2023.

This follows the decision of the Central government to supply free food grains to all NFSA beneficiaries such as Antyodaya Anna Yojana (AAY) and Priority Household (PHH) persons for one year, from January 1 to December 31, 2023.

Relevant guidelines have been issued by the Ministry of Consumer Affairs, Food and Public Distribution.

The Centre has also decided to distribute rice on non-NFSA cards too free of cost, according to a press release by Civil Supplies Commissioner H. Arun Kumar.

He has instructed the District Collectors to take steps for the smooth distribution of free rice under the Public Distribution System (PDS) to the PHH and AAY households from January 1.

The Collectors have also been told to distribute red gram and sugar as per the existing subsidised prices and scales, and sensitise the fair price (FP) shop dealers, card-holders and field functionaries about free rice distribution and to display the information on notice boards at prominent places at the FP shops, indicating the scale and rates of commodities (duly showing the rate of rice as zero).

Customers can lodge complaints, if any, through the call centre number 1967, or toll-free number 18004250082, to get their grievances redressed.

Criminal action warned

Mr. Arun Kumar says that criminal action will be taken and penalties imposed as per the A.P. State Targeted Public Distribution System (Control) Order, 2018, if any rice cardholder / others resort to resale / purchase of the commodities drawn under PDS either from card-holders or from the FP shop dealers, any middleman or other source with the collusion of FP shop dealers and others involved in the PDS supply chain.

Threaten to stop production if missing trailers not recovered

Irked by the alleged stealing of containers and trucks, shipping rice from the mills, the Sindh Rice Millers Association has warned of suspending rice production if the theft incidents are not stopped.

At a press conference at the Hyderabad Press Club on Thursday, the association’s Farooq Ahmed and Dr Chetan Samrani said that three trucks filled with rice went missing during the last month.

According to them, they registered FIRs in the police stations in Karachi and Jamshoro districts. Still, only one of the stolen consignments has been recovered from Tando Muhammad Khan district. They alleged that police and a gang of criminals and truck mafia are involved in the theft. The stolen consignments were worth tens of millions of rupees.

“The trailers transporting rice are being stolen in an organised way,” said Ahmed, denying that the recent theft incidents appeared random. He said that the trailers leave mills but do not reach their destinations and the companies operating those vehicles react indifferently to such incidents. “The owners and drivers of trawler trucks living in Karachi are responsible for these incidents,” he alleged. He informed that when the police take action against those truckers, they and their families, including children and women, take to the streets in protest.

The office bearers apprised that the mills employ thousands of workers, and if they closed the mills, the bread and butter of the labourers would be affected. The consignments still missing belong to Qalandari rice mill, Hyderabad, and Shah Bhitai rice mill, Sujawal.

TEMPO.CO, Jakarta - The chairman of the Indonesian Chamber of Commerce and Industry, or Kadin, said that the country needs to be aware of the impact of disparities in the exorbitant price of rice. He referred to a World Bank report entitled 'Indonesia Economic Prospect' which stated that the cost of Indonesian rice was the most expensive compared to countries in the Southeast Asian region.

According to Arsjad, if the difference between domestic and foreign prices is too large, there will be a tendency for imported rice to be cheaper. As a result, the desire to import rice from abroad is very high and it could threaten local farmers.

"This condition can pose a threat to farmers," he said in a written statement, quoted on Friday, December 30, 2022.

The government has assigned the Indonesian Bureau of Logistics (Bulog) to import as many as 200,000 tons of rice by the end of 2022 to fulfill the government's reserve stock of rice or CBP. According to Arsjad, the impact of the price disparity was triggered by the import policy on rice that occurred when Bulog reported that CBP stocks had shrunk from 1 million tons in early 2022 to 587,000 tons in November 2022.

Arsjad stated that Bulog should replenish the rice stock by increasing it to a safe level of around 1.5 million tons as they have to intervene in the market during the famine season, which is three to four months ahead, and anticipate the need for natural disasters. Bulog is trying to obtain rice stock from the domestic market but is having difficulty acquiring it, even though the benchmark price regulations have been eased.

Therefore, the government decided the option to import rice. "This is the source of disagreement between Bulog and the National Food Agency and the Ministry of Agriculture," he said. 

In fact, Arsjad went on, Indonesia had achieved rice self-sufficiency in the 2019-2021 period. The current period only imported special rice, a type of rice that didn't grow in Indonesia. This special rice is generally intended for hotels, restaurants, and catering businesses. Based on data from the Central Statistics Agency, Indonesia imported special rice that reached 407,700 tons in 2021, an increase from 2020 which was only 356,300 tons.

The high price of rice would not lead to polemics and change the government's focus on maintaining food security, Arsjad warned. Today is a very important time to reinforce food security, considering there is a potential for a global crisis due to the continuous war between Russia and Ukraine.

He added that in the long term, the Indonesian government needs to encourage investment in agricultural research and development. It also must be added with counseling and development of agricultural human resources to increase farmer productivity.

Indian rice export prices extended gains this week on robust demand, while those in Vietnam hit more than five-month highs as China’s move to ease coronavirus restrictions is expected to boost shipments from the country.

Top exporter India’s 5% broken parboiled variety was quoted at $375 to $382 per tonne, up from the last week’s $374 to $380 range. Gains were however curbed by rising supplies from new-season crops.

B.V. Krishna Rao, president of the Rice Exporters Association, said export demand for parboiled rice is better than for white rice, adding that Indian prices are very competitive.

Vietnam’s 5% broken rice was offered at $458 per tonne free on board on Thursday, the highest since mid July, from $448-$453 a week ago.

According to traders, Vietnam is likely to benefit from China’s move to ease its coronavirus restrictions, which could boost shipments of the staple to the country.

Rice exports from Vietnam in 2022 are estimated to have risen 15.7% to 7.22 million tonnes, according to government data released on Thursday.

December rice exports from Vietnam are estimated at 550,000 tonnes, valued at $283 million.

Asia rice: More exports, stronger baht send Thai rates to over 6-month high

Meanwhile, Thailand’s 5% broken rice prices were quoted at $452-$465 per tonne on Thursday, a 2022 high, versus last week’s $452-$460 range. The peak in export prices was due to the strong baht, one trader said.

A Bangkok-based trader said however that price movement was muted overall as farmers and mills reduced activity for the holidays, while noting that supply would not be an issue to meet new demand.

He highlighted that when prices are on an upwards trajectory, millers would buy more to stock up in anticipation of higher prices in future.

“Exports next year should be better, the market will do better,” he said, adding that shipments were being made to Indonesia.

Cotton production falls 70% due to whitefly, pink bollworm attack

Chandigarh, December 29

If there is one area where Punjab’s Aam Aadmi Party has taken baby steps to make a difference, it is in the state’s traditional agricultural practices. Their agenda is clear — to save the state’s depleting groundwater while ensuring a thriving agrarian economy.

It is another thing that the initial changes in agriculture policy, announced almost immediately after the Aam Aadmi Party came to power — giving a push to the summer moong cultivation and using direct seeding technique for rice by incentivising it — seem to not have been much thought over. Little wonder that the moong cultivation in areas that traditionally grow cotton led to whitefly attack on the cotton sown after moong.

Notably, the cotton production this year has fallen by over 70 per cent because of the attack on the crop by whitefly and pink bollworm. This has led to the cotton growers fetching prices between Rs 9,000 and

Rs 10,000 per quintal.

The direct seeding of rice (DSR), too, was almost rejected by farmers as the use of this water saving technique for paddy cultivation was far below the target set by the government. Rather, the use of DSR technique was much below its use in the last year. “Saving groundwater is something that the state needs to do aggressively to delay its imminent desertification. The government’s intention was good, but to bring a major change, the entire ecosystem too has to be changed. This year, power pangs during the paddy cultivation season and the rather poor availability of canal water during the sowing time for the direct seeding led to the decline in area under the DSR,” said farmer Kuldeep Singh of Doraha.

This year, the harsh summer and the delayed monsoon too had an adverse impact on some crops, forcing farmers to revert to safer crops where minimum support price is guaranteed. To give the state government its due, the two procurement seasons — rabi marketing season in April-May and kharif marketing season now — have gone smoothly.

Basmati and cotton growers have got premium prices for their produce, despite cotton farmers suffering losses because of insect attacks. With the production hitting rock bottom and demand remaining high, cotton reaching mandis is fetching high prices.

The government, upon assuming power, has also cleared the dues of sugarcane growers. Cane crushing so far this year has remained smooth and the state government is also paying a higher State Advised Price — up by Rs 20 per quintal.

Agriculture being the mainstay of the state economy, a change in policy is accepted by farmers only if it leads to higher realisation of profit from the sale of produce. Realising this, the government has already gone to the drawing board to come up with a new agriculture policy in 2023.

The Punjab State Farmers and Farm Workers Commission is already talking to all stakeholders to draw up a comprehensive policy, with an emphasis on crop diversification, which is being personally looked into by Chief Minister Bhagwant Mann.

Bangladesh gets its staple, Myanmar develops the Ayeyarwady region

There is nothing new about the impact food has on politics. In the old days, many kings practised food diplomacy in entertaining their guests; by serving the best and most unique dishes that could have been created only by the royal house’s finest chefs. The tradition continues in the modern political world. Many leaders of political parties and heads of government use food diplomacy to strengthen relationships between allies or diffuse tension with the opposition.

Rice seems to have emerged as a favourite diplomatic tool for Myanmar and Bangladesh to build strong ties with each other. The commodity is the staple diet for most people in countries like Indonesia, Thailand and also the neighbouring countries China and India.

The agricultural sector is one of the most important and most strategic sectors for the survival of a country, for without food the country could be in a position of chaos and bankruptcy.

There are so many ways that the Bangladesh government maintains the availability of rice, one of the most common ways is by importing rice. Bangladesh is known as an agricultural country, but unfortunately, it continues to import rice.

Due to the current state of the world, especially the Ukraine-Russia conflict, many nations have stopped exports to maintain their domestic stock. Rice is a very important commodity in the Bangladeshi people’s lives; and there is even a proverb that says that Bangladeshis have not eaten if they have not consumed rice.

Despite tensions between Myanmar and Bangladesh, Dhaka imports millions of tonnes annually, and has placed an import order with Myanmar.

As agriculture and livestock are the backbone of Myanmar’s economy, it earns foreign exchange from rice exports beyond self-sufficiency. The state is supporting the stockholders including farmers and investors to bring about business opportunities. According to the Memorandum of Understanding between Myanmar and Bangladesh, 200,000 tonnes of white rice from Myanmar will be exported to Bangladesh.  A total of 2,650 tonnes of rice are to be directly shipped by the MV MCL-7 for the first time from the Ayeyarwady International Industrial Port AIIP in Pathein Industrial City, Ayeyarwady Region, to Bangladesh.

Bangladesh and Myanmar officials signed a sales contract on 8 September in order for exporting 200,000 tonnes of Myanmar’s white rice to Bangladesh. About 30,000-50,000 tonnes are scheduled to be sent to Bangladesh from the Pathein Port. On 28 October, the loading of 2,650 tonnes of Emahta rice onto a ship for Bangladesh commenced.

All the stakeholders involved in the supply chain, including the Ayeyarwady Region Government, departments concerned and private businessmen, are being exerted upon to meet the rice demand of Bangladesh and ship directly from the region. The direct rice shipment from Ayeyarwady Region, Myanmar’s rice bowl, to the foreign markets brings about economic opportunities for rice millers, farmers and traders and employment opportunities for local communities.

“Rice exports generate foreign currencies as well as contribute to private sector development. It is the first step of the regional efforts with the first ever direct rice shipment from Pathein city to the external market, with an aim to spur the developments in public and private sectors harmoniously together. The next step is to facilitate the trade in the Pathein Industrial City. The exports of rice also cause the GDP growth in the region. In addition to rice, corn and sesame are also targeted for direct export through Pathein City.

Myanmar’s rice exports to the neighbouring countries can enhance the livelihood of the farmers and create business opportunities for related businesses. This achievement in Pathein city can also strengthen the tripartite relationship between the State, farmers and entrepreneurs for ensuring A sustainable market and export promotion.

More than 20,000 tonnes of rice have been sent to Bangladesh by October, according to the Ministry of Commerce of Myanmar, after the MoU in September.

According to this MoU, Bangladesh agreed to buy 250,000 tonnes of rice and 50,000 tonnes of parboiled rice from Myanmar between 2022 and 2027.

Since 7 September 2017, Myanmar and Bangladesh have engaged in rice trade under a government-to-government pact. That MoU stated that Bangladesh has agreed to buy Myanmar’s white rice (250,000 tonnes) and parboiled rice (50,000 tonnes) till September 2022.
Myanmar sent 100,000 tonnes of rice to Bangladesh each in 2017 for the first time and 2021 for the second time, as per the sales contract.

The Ministry of Commerce has granted an export licence for 191,700 tonnes of rice for Bangladesh according to the agreement.

As per the MoU 48 companies, under the supervision of the Myanmar Rice Federation, are to export 200,000 tonnes to Bangladesh with Chinese yuan payment between October 2022 and January 2023.

Myanmar and Bangladesh inked another MoU this September, according to which Bangladesh agreed to buy 250,000 tonnes of white rice and 50,000 tonnes of parboiled from Myanmar between 2022 and 2027.

Myanmar plans to export a total of 200,000 tonnes of rice to Bangladesh under a G-to-G agreement. The first shipment was directly made by the Ayeyarwady International Industrial Port (AIIP) in Pathein of Ayeyarwady Region, and 10,565 tonnes of rice out of the targeted 200,000 tonnes has been exported from 2 to 22 November.

Deputy Director U Tun Tun from the Consumer Affairs Department commented on the benefits to farmers and businessmen due to direct export, said there was an instruction to export 20,000 tonnes as the first batch and 40,000 tonnes as the second batch, totalling 60,000 tonnes.

The respective ministry and export companies are working together to ensure the quality of export rice and fast shipping. Rice mills in Ayeyarwady Region are running to export good-quality rice, it is learnt.

Myanmar has conveyed about 110,000 tonnes of rice to Bangladesh under the government-to-government pact, according to the Ministry of Commerce.

Myanmar

Following the contract, white rice (ATAP) GPCT Broken STX variety will be delivered.

Since 7 September 2017, Myanmar and Bangladesh have engaged in rice trade under the government-to-government pact. That MoU stated that Bangladesh has agreed to buy Myanmar’s white rice (250,000 tonnes) and parboiled rice (50,000) tonnes between 2017 and September 2022.

According to the Government-to-Government, Bangladesh has been purchasing Myanmar’s white rice. The country has shipped rice directly from Pathein Industrial City since 2 November 2022. Between 1 and 8 December, 5,260 tonnes of rice were loaded onto the two ships in the second batch and the MCL-12 ship carrying 2,650 tonnes of rice departed in the morning of 8 December from the Ayeyarwady International Industrial Port AIIP in Pathein Industrial City, Ayeyarwady Region, to Bangladesh.

Earlier, Myanmar conveyed rice to Bangladesh through Yangon Port and Thilawa terminals. In the first batch from 2 to 22 November 2022, 10,565 tonnes of Aemahta rice (five-per-cent broken) were shipped by four ships directly from Pathein city to Bangladesh. The country delivered 2,610 tonnes on 1 December and 2,650 tonnes on 8 December in the second batch, totalling 5,260 tonnes. On 7 December, the MCL-18 ship arrived at the Ayeyarwady International Industrial Port and further exports are to be undertaken.

Myanmar’s white rice direct delivery from Ayeyarwady Region to Bangladesh was an accumulated 15,825 tonnes, with 10,565 tonnes in the first batch and 5,260 in the second.

“The main export item from Pathein Port is rice. If Bangladesh buys corn in addition to rice, there is an adequate supply of corn in the region. Myanmar has indicated readiness to export corn depending on the market demand. The rice shipment for the second batch has finished. “We plan to export agricultural products from Ayeyarwady Region to foreign trading partners. For the initial stage, efforts are being made to complete the rice shipment first,” said U Tun Tun, deputy director of the Ayeyarwady Region Consumers Affairs Department.

Earlier, the second batch of rice shipment was slated for the second week of December. However, Myanmar managed to ship the rice in the first week to Bangladesh as rice outputs from Ayeyarwady Region increased.  All the stakeholders involved in the supply chain, including the Ayeyarwady Region Government, departments concerned and private businessmen, are being exerted upon to meet the rice demand of Bangladesh and ship directly from the region. The direct rice shipment from Ayeyarwady Region, Myanmar’s rice bowl, to the foreign markets brings about economic opportunities for rice millers, farmers and traders and employment opportunities for local communities.

For the last two decades a tribal man has dedicated himself solely to saving native rice varieties of India and even at the age of 72, he continues to do so. Farmers in Kerala’s Wayanad had been growing indigenous rice varieties but over a period this has changed as they switched to high-yielding and genetically modified seeds posing a serious threat to the local varieties which faced extinction.

Thanks to the efforts of Cheruvayal Raman, also known as India’s “living paddy gene bank” and “Guardian of Native Paddy”, that didn’t happen as 54 ancient types of rice have been saved by him in the last 20 years.

Born in Kurichiyas tribe in Wayanad, Raman and his community had been producing rice and also promoting and preserving its indigenous varieties. When he realised that the native varieties are being substituted by hybrid ones, he sowed the former in 1.5-acre of his field.

Things took a turn for the better, when Raman inherited 40 acres of land in 1969 from his uncle and from then on, he completely devoted himself to farming and saving the local rice varieties.

Among the varieties saved by him are Mannu Veliyan, Chembakam, Palveliyan, Kanali, Thondi, Channalthondi, Chettuveliyan and the aromatic ones like Gandhakashala, Jeerakasala, and Kayama. All these he keeps in his 150-year-old mud house which also doubles up as a storehouse for rice harvest. Now he is expert in distinguishing the types by their look.

Raman does not sell the seeds but presents them and the only condition he stipulates is that the borrower should return the same quantity of seeds from their field after the first harvest.

He has been appreciated and awarded by several organisations, including the Government of Kerala.

HAMBURG: The lowest price offered in a tender from Bangladesh’s state grains buyer to purchase 50,000 tonnes of rice was assessed at $397.03 a tonne CIF liner out, traders said.

The tender closed on Tuesday and offers are still being considered with no purchase yet made, the traders said.

The lowest offer was believed to have been submitted by trading house Agrocorp.

Two other trading houses were said to have participated, with Bagadiya Brothers offering $400.01 a tonne CIF liner out and PK Agri offering $428.94 a tonne CIF liner out.

Liner out terms include some ship unloading costs for the seller.

The tender sought price offers for non-basmati parboiled rice for shipment to the ports of Chattogram and Mongla.

The rice can come from worldwide origins and shipment is required 40 days after contract award.

Bangladesh had also issued an international tender for 50,000 tonnes of rice, closing on Dec. 21.

Vietnam 2022 rice exports estimated at 7 million tonnes

The lowest offer was believed to be $393.19 CIF liner out, submitted by Bagadiya Brothers, traders said.

Bangladesh, historically the world’s third-biggest rice producer, often imports rice to manage shortages caused by natural disasters.

Due to the switch to high-yielding varieties, indigenous rice varieties in Wayanad have been preserved by tribal farmers for decades. But they are now in danger of going extinct. Cheruvayal Raman, also known as the “Guardian of Native Paddy” and India’s “living paddy gene bank,” has alone preserved 54 ancient rice types from Kerala over the last 20 years.

Raman spent the majority of his life producing rice. He was born in Wayanad’s Adivasi community of Kurichiyas, a tribe with a long history of preserving and promoting indigenous varieties of rice. He opted to sow native seeds in a 1.5-acre portion of his field upon seeing native paddy being substituted by hybrid seeds in the village.

The Better India quoted Raman as saying, “I embarked on this path sometime during the early 2000s. Wayanad has always been a region known for its paddy cultivation, but our native paddy varieties were losing out to hybrid and genetically engineered seeds.”

Raman began planting paddy when he was only ten years old. However, he was left 40 acres of land by his uncle after he passed away in 1969. At that point, he thoroughly immersed himself in farming. Mannu Veliyan, Chembakam, Palveliyan, Kanali, Thondi, Channalthondi, Chettuveliyan and aromatic rice kinds like Gandhakashala, Jeerakasala, and Kayama are among the native rice varieties he keeps as stock in his 150-year-old mud house that also functions as a storage space. After all these years of cultivation of over 50 varieties of rice, Raman can now distinguish different types of rice just by looking at them.

Furthermore, the 72-year-old farmer doesn’t really sell his seeds, but rather presents them on one condition: the borrower must return the exact same quantity of seeds from their field after the first round of harvest. Raman has received numerous honours and accolades, including the Plant Genome Saviour Award and the P K Kalan Award from the Kerala government.

South First reported that Raman was willing to delegate the duty of conserving these indigenous rice to any rice research centre, agricultural university, nongovernmental organisation, or interested individuals.

In last five years, at least 20 indigenous rice varieties, used to make a range of grain foods and dishes such as Muri, Chira, Khoi, Biriyani, Firni and Payesh, have gone extinct from Lakshmipur as the high-yielding hybrid rice varieties are dominating rice cultivation to ensure food security.

Many farmers, agro businesspeople and industry stakeholders say steps should be taken to preserve local rice varieties across the country.

Md Manchu Bepari (70) of the Char Lawrence village of the district's Kamalnagar upazila said he is cultivating few high-yielding varieties on 15-acre land in the current Aman season.

He said that in the past he used to cultivate other varieties including rice for muri, chira and khoi but not anymore.

Farmer Abdur Rahman of Char Monsa in sadar upazila, said even five years ago he used to cultivate aromatic varieties Kalojeera and Shakkorkhora, which are only used for polao and firni, on half the land he cultivated.  

Like Abdur Rahman, many farmers of his area have opted for high-yielding varieties instead of the indigenous ones.

Md Ismail, another Char Mansa farmer, said in the past almost all farmers used to cultivate Holidhan rice in the Aush season.

The Holidhan variety, once famous for sweet chira, has completely disappeared since the last five years.

Lohachura, which was well-known in Lakshmipur for khoi, and Geegs, which was used to make muri, have also gone extinct.

Saleh Uddin Palash, plant conservation officer of the Department of Agriculture Extension (DAE), said 13 indigenous varieties have disappeared in the last 5 years – Madhumalti, Kalarajashail, Lotorh, Bajailsada, Rajashail, Agunishail, Katishail, Kutia Moni, Pakkiraj, Patjat, Lohachura, Dholamoda and Nonahail.

"Currently, farmers cultivate five indigenous varieties – Geegs, Bhushihara, Kajalshail, Kalojira and Shakkarkhora – in a very small quantity," he said.

Kalahatiya is the only indigenous variety of the Aush season that is still cultivated, according to farmers.

Seven Aush season varieties – Bolaim, Goyal, Holidhan, Marhicha, Kerondol, Kotoktara and Panbira – have disappeared in the last five years.

Local farmer Mamunur Rashid Bhuiyan said that government subsidies should be given to rice farmers of grain foods, just as special loans and subsidies are given to oilseeds.

DAE Deputy Director Zakir Hossain said 3-4 indigenous varieties are cultivated during Aman season and 2-3 varieties in the Aush season.

He added that 90% of the varieties which are cultivated in the Aush, Aman and Boro seasons are now high-yielding hybrids.

The Bangladesh Rice Research Institute (BRI) developed 106 high-yielding rice varieties including 23 Aush, 7 hybrids, and 46 Amon till 2021. On the other hand, Bangladesh Institute of Nuclear Agriculture (BINA) developed 30 varieties. However, in Lakshmipur, a key paddy production area, only 3-4 varieties are cultivated every season.

From 1998 to 2020, the Seed Board allowed imports of 170 hybrid rice varieties – 18 Aman varieties and 152 Boro varieties.

Professor Mahbubur Rahman of the Greenland Project of the Sabuj Bangladesh, said gene banks should be established at the district level to save the indigenous rice varieties.

MUMBAI/ HANOI/ BANGKOK,/DHAKA: Prices of rice exported from Thailand this week rose to their highest since early June on the back of increasing shipments and a stronger baht, while cheaper rates for the staple in India kept orders rolling in.

Thailand’s 5% broken rice prices were quoted at $452-$460 per tonne, up from a $425-$457 range last week.

“There is more demand from Asian countries now, while African countries are more interested in rice from India,” said one Bangkok-based trader.

There was news that supply could soon tighten so exporters were buying to stock up, said another trader.

Top exporter India’s 5% broken parboiled variety edged higher to $374-$380 per tonne, from last week’s $373-$378, on a slight improvement in demand, although rising supplies from the new season crop capped the upside.

“December’s second half usually remains quiet but this year few sellers got export orders since Indian rice is cheaper than other destinations,” said an exporter based at Kakinada in the southern state of Andhra Pradesh. Traders said Cuba was buying more rice from India, with a vessel being loaded with 28,150 tonnes at Kakinada Port for delivery.

Neighbouring Bangladesh was in talks with India to buy a total of 200,000 tonnes of rice in government-to-government deals, officials said, as it seeks to build reserves to cool domestic prices of the grain. Vietnam’s 5% broken rice was offered at $448-$453 per tonne, unchanged from a week ago, when rates reached their highest level since July last year.

“Demand for Vietnamese rice remains steady, especially from top buyer, the Philippines,” said a trader based in Ho Chi Minh City.

Preliminary shipping data showed 167,650 tonnes of rice is to be loaded at Ho Chi Minh City port in the Dec. 1-28 period, with most of it heading to the Philippines and Indonesia.

Rice exporters demand industry status and lament treatment by the commerce ministry.

Rice exporters demand industry status, lament treatment by commerce ministry  

ISLAMABAD: Warning that Pakistan’s rice exports this year will fall, representatives of the rice sector are demanding that they be given industry-status immediately along with  the announced subsidized tariff of Rs 19.99 for the sector as well as the restoration of gas connections to mills.

Speaking at a presser, after a high-level meeting with officials from the commerce ministry, rice exporter association president Chela Ram Kewlani and other exporters warned the government in case of no timely action, the exports of rice will fall short of last year’s export proceeds of $2.5 billion. 

The association claimed that rice exports have the potential to reach $5bn in the next couple of months if the government provides support. Mr Kewlani said that Finance Minister Ishaq Dar’s claims to facilitate exports only remain on papers for sectors like rice. He alleged that Mr Dar only supports bigger industries and has no soft corner for the rice sector.

 “We are not demanding subsidies for exports”, he said, adding that the finance minister or commerce minister has no time to listen to the problems of Pakistan’s second largest commodity export sector. Mr Kewlani and his Team in Islamabad discussed various issues including the declaration of industry status for the rice sector, subsidized tariff rates for rice mills and other matters related to rice export trade with the secretary of commerce.

Mr Kewlani further said that the rice sector export development fund (EDF) amounting to Rs 12 billion is stuck with the government. “We demand that we spend this amount on the growers to improve seeds and cultivation to increase yield”, he said. The EDF funds are for the export sector and they should be used for export facilitation. 

Chela Ram said that despite the government’s announcements, the rice sector is not getting units of electricity at Rs 19.90. The rice sector is not being given the status of an industry, which is causing numerous problems, he added.

“Dollars are not available and this is causing serious problems. The containers are piling up and businessmen are unable to open LCs. We businessmen are paying the price for differences between political parties”, he remarked. There are eight districts in the world whose Banaspati rice is famous, he said, adding six districts are in Pakistan and two in India.

Muhammad Samiullah Former Chairman REAP said that export from the rice sector will increase in the coming month. In the first five months, the export of rice dipped by around 10pc. Mr Samiullah said that basmati exports will revive in the next five months.

Mr Samiullah warned the government to take out protests in support of growers in case the government did not consider rice millers’ demand. He said housing schemes on GT Road in Pakistan are eating up this rare earth in six districts suitable for the cultivation of the world’s best basmati rice. 

He said no action was taken. The country will become an importer of rice, especially basmati rice. “No government official is ready to sit down with the people of the rice sector to resolve our problems”, he lamented.

Subramani Ra Mancombu talks about the controversy surrounding steamed and the process of making steamed rice.

The Food Corporation of India (FCI) has clarified that steamed rice is not raw rice as it involves more processing before being made available for sale. This came as a relief for the exporters after steamed rice was stopped from exporting by the Customs authorities.

This controversy made everyone question how steamed rice is different from boiled rice and raw rice. In this video, Subramani Ra Mancombu, Head of Agri-biz & Commodities, takes us through the process of making steamed rice and also talks briefly about the challenges of producing steamed rice.

Credits:

Reporter: Subramani Ra Mancombu

A farmer holds late-season rice in his hand in Huai'an，Jiangsu province on Nov 24, 2022.

Rice plants attacked by the striped stem borer, a major paddy pest, send out airborne substances to warn their neighbors so they can prepare chemical defenses, Chinese scientists have found.

The findings can help enhance the widely planted crop's resistance against one of its most devastating pests, according to a study published in New Phytologist, a plant science journal, in mid-October, a boon to world food security.

HIPVs, or herbivore-induced plant volatiles, are complex mixtures of volatile organic compounds emitted by plants attacked by herbivores.

They play a crucial role in plants' interactions with insect communities, experts say.

For example, HIPVs can be used by insects to locate their hosts or prey, and to evade predators.

They can also be perceived by nearby plants and thus serve as airborne signals during inter-plant interactions.

The volatiles, emitted by plants attacked by herbivores or pathogens, can be sensed by other plants and lead to what is known as defense priming, which has been widely observed among corn, tomato and tea plants.

The study by agrarians from the Chinese Academy of Agricultural Sciences and a Swedish researcher went a step further.

They worked to decipher the process through chemical and molecular analysis and insect behavioral experiments.

Their research has found that pre-exposure to stem borer-induced HIPVs allows rice plants to activate a more intense response upon attack by creating a sudden surge of jasmonic acid and defensive proteinase inhibitors, which are harmful to the pest's larva.

Moreover, "primed" plants were found to emit larger amounts of volatiles that attract a wasp that parasitizes the stem borer.

"Understanding the details of the underlying processes should facilitate studies to elucidate similar interactions in other systems and may lead to strategies that exploit the odorous alert signals to manage the striped stem borer and other destructive pests," said the paper, which was partly funded by the National Natural Science Foundation of China.

Data provided by the Ministry of Agriculture and Rural Affairs showed that the striped stem borer and other major paddy pests and pathogens affected more than 57 million hectares of rice last year.

The research forms part of a broader effort by China to boost its food output through agricultural sciences and technologies.

The Ministry of Agriculture and Rural Affairs last month announced a program to step up breeding research in hopes of developing homegrown, high-yield varieties of crops and livestock to better feed the country's 1.4 billion people.

Rice is a staple food for 3.5 billion people worldwide, and more than 1 billion make a living through growing the crop, Qu Dongyu, director-general of the Food and Agriculture Organization, told a virtual forum last month. The crop also feeds around 60 percent of Chinese.

China has been leading the world in rice-related research. In 2004, Yuan Longping won the World Food Prize for developing hybrid rice, whose output was around 7.5 metric tons per hectare, compared with 4.61 tons globally.

The Federal Government, on Thursday, inaugurated the National Rice Development Strategy-II (2020-2030) and the Competitive African Rice Platform to ensure surplus rice production for export, food security and job creation.

It said the NRDS-II was developed following the successful implementation of the first phase of the NRDS-I, which took place between 2009 and 2019.

The Minister of State for Agriculture and Rural Development, Mustapha Shehuri, disclosed this in his keynote address at the inauguration of the second phase of the rice development strategy in Abuja.

He explained that based on the gains of the NRDS-I in 2020, the national paddy rice production rose significantly towards the self-sufficiency target of the Federal Government.

“As a result of this success, NRDS-I was reviewed to give rise to the formulation of a new NRDS document in 2021,” he stated.

Shehuri added, “This is the document that is being inaugurated today. The NRDS-II document is a 10-year plan which seeks to provide direction for the development of the rice subsector to achieve the government’s goals of self-sufficiency in rice production, food and nutrition security, employment creation and production of surplus for export.”

He said the document was adopted at the 4th National Council of Agriculture, which was held by all stakeholders, with support from the Competitive Africa Rice Platform.

Shehuri said, “CARP, formerly known as Sustainable Rice Platform, is dedicated to the productivity and sustainability of the rice industry with two main objectives, which are to ensure the competitiveness of Nigerian rice and sustainability of the Nigeria rice sector.

“The Competitive African Rice Platform-Nigeria is a multi-stakeholders platform set up to advocate policies and drive transformational changes in standard practices in the rice sector.”

On his part, the Permanent Secretary, Federal Ministry of Agriculture and Rural Development, Ernest Umakhihe, said the collaboration of the FMARD and several development partners had yielded positive results on rice production and processing in Nigeria within the last decade.

MANILA, Philippines — President Ferdinand “Bongbong” Marcos Jr. granted a one-time rice allowance to all government personnel for this year, Malacañang announced in a statement on Saturday.

Those who are entitled to receive the rice subsidy include civilian personnel in national government agencies, including those in state universities and colleges (SUCs), government-owned or controlled corporations (GOCCs), government financial institutions, government instrumentalities with corporate powers, and government corporate entities occupying regular, contractual or casual positions.

Military, police, fire, and jail personnel are also entitled to receive the rice assistance.

Personnel from the Bureau of Corrections (BuCor), the Philippine Coast Guard (PCG), and the National Mapping and Resource Information Authority (Namria) are also entitled to get the service recognition incentive.

‘Service recognition incentive’

Meanwhile, the Chief Executive also granted a “service recognition incentive” for employees in the executive department.

“The President’s order authorizes the grant of a one-time service recognition incentive at a uniform rate not exceeding P20,000 for executive department personnel,” the Office of the Press Secretary said.

Those who are entitled to receive the incentive include civilian personnel in NGAs, covering those in state SUCs, GOCCs, regular, contractual, or casual employees, members of the military and the police, as well as fire and jail personnel under the Department of the Interior and Local Government.

Bucor, PCG, and Namria employees will also receive the incentive.

Employees of both houses of Congress, the Judiciary, the Office of the Ombudsman, and Constitutional offices may also be granted a one-time SRI by their respective heads of office at a uniform rate not exceeding P20,000.

Indonesia starts rice import from Vietnam, Thailand to stabilize domestic stocks

JAKARTA, Dec. 16 (Xinhua) -- The Indonesia Logistics Bureau (Bulog) received on Friday 5,000 tons of rice imported from Vietnam at the Tanjung Priok Port, the agency said.

The import is part of the 200,000 tons of rice that the country has targeted to import by the end of 2022. In total, it has planned to import 500,000 tons up to February 2023.

Indonesia, one of the largest rice consumers worldwide, is set to import rice from Thailand, Pakistan and Myanmar to fulfill its domestic stocks.

"We need to import rice because there will be no harvest time in January and February 2023, while the demand for rice usually increases at the end of a year, from 30,000 tons per month to 170,000 tons per month. The government's reserve stock is not enough to fulfill (the demand)," Bulog President Director Budi Waseso told reporters on Friday.

Indonesia's National Food Agency (Bapanas) released on Thursday that the staple foods in the country, such as rice, soybeans, and beef had been experiencing a price hike. The rice price has increased in the range of 0.62 percent to 0.78 percent per kilogram.

The agency has also warned that without a top-up supply, the country's reserve of rice could drop and create a food crisis.

Indonesia's inflation has exceeded its central bank's target for the last six months due to increasing prices in food and commodities, though the country still sees a trend of economic recovery. 

World over rice production is likely to fall due to a combination of drought and floods

Three developments over the past couple of months have put the global rice market in focus. First, the India curbed rice exports by banning shipments of fully broken rice and imposing a 20 per cent duty on white rice exports.

Second, Union Minister of Agriculture and Farmers Welfare Narendra Singh Tomar told the Rajya Sabha last week that due to deficient rainfall in some rice-growing States such as Uttar Pradesh, Bihar, Jharkhand and West Bengal, the cereal’s production may decline this season (July 2022-June 2023). In its first advance estimate, the Agriculture Ministry pegged kharif rice production at 104.99 million tonnes (mt) this season against 111.76 mt last season.

Third, Bangladesh has approached India for 0.5 mt of parboiled rice on a government-to-government basis to build stocks for its public distribution system. The move comes after Dhaka had scouted for supplies in Thailand, Vietnam and Cambodia. Another reason for the Sheikh Hasina Wajed government to turn to New Delhi is the price competitiveness of Indian rice.

Trade analysts are of the view that these are signs of a bull run in the rice market in early 2023. According to the International Grains Council (IGC), the rice sub-index has increased 15 per cent over the past year.

Lower estimates

Though Indian production has been pegged about 7 mt lower than last year, there are fears that the output could be even less. Though kharif rice procurement is 13 per cent higher till the week-ended December 10, analysts say this is because procurement in Chhattisgarh began a month early. The trade says a clear picture will emerge only by the middle of January.

The problem in rice production is not confined to India alone. Pakistan is among the worst affected with much of its paddy crop washed away in floods during July, the worst since 1961. The US Department of Agriculture (USDA) has projected Pakistan’s rice production at a 10-year low of 6.6 mt this season against a record 9.1 mt last year. Analysts peg the crop loss at 4 mt.

The scenario in China is not clear, particularly since it faced its severest drought in 61 years for nearly 70 days from July to September in the Yangtze region. Seven of the 13 major producing regions affected by the drought accounted for 48 per cent of the nation’s rice production in 2020. Research agency Fitch Solutions Country Risk and Industry Research has cautioned the trade saying China might provide a false sense of slackness in the market. The USDA has projected a 2 mt drop in China’s production, though fears are that the loss might be higher.

There have been problems with the paddy crop in Myanmar, Vietnam, Cambodia and Thailand which could result in supplies being affected in the global market. Drought in parts of Europe and the US will affect the rice crop in those countries with production dropping by 0.5 mt.

In Bangladesh, two of its three paddy crops have been affected. While the Aush crop was affected due to lower rainfall, the Boro crop was earlier damaged by flash floods. Dhaka fears the third crop — Aman — might also be hit and the Hasina Government is looking to import to ensure the neighbouring nation has ample stocks.

FAO projections

The Food and Agriculture Organisation’s Agricultural Market Information System has estimated global rice production to drop by over 12 mt, while the International Grains Council and the USDA project the output 9-10 mt lower. Trade analysts, however, say there could be a nearly 14 mt drop in production.

The three agencies have estimated the carryover stocks lower ranging from 3mt to 13 mt, which could trigger a bull run in the global rice market.

A major reason why the rice market will likely soar over the next few months is that the trade is one-tenth of the global production. In such a limited trade, any variation in production or supply could trigger volatility.

Rice prices have increased by 5-8 per cent since India imposed curbs on the cereal’s exports. Analysts say prices have more headroom to move up and there should be no surprise if they surge by another 15-20 per cent.

The retail inflation rate in wheat rose to 19.67 per cent in November from 17.64 per cent in October.

The retail price inflation in cereals refused to decline, unlike overall or food inflation, as production was hit due to adverse weather conditions.

Cereals inflation rose to 12.96 per cent in November from 12.08 per cent during the previous month.

This comes even as overall inflation came down below the Reserve Bank of India (RBI) mandate of six per cent for the first time in 11 months. Food inflation also declined to its lowest level of 4.67 per cent in 11 months.

The retail inflation rate in wheat rose to 19.67 per cent in November from 17.64 per cent in October.

At the beginning of the year, it was just 5.1 per cent and rose to 9.59 per cent at the beginning of the current financial year. From there, it more than doubled in November.

Another cereal — rice — saw inflation rate rising to 10.51 per cent in November from 10.21 per cent in October. It was just 2.8 per cent in January and 3.96 per cent in April.

Wheat and rice drove the prices since the inflation rates in other cereals were negative in all these months, except October and November. The rate rose to 1.99 per cent in October from -1.37 per cent in September before cooling a bit to 1.7 per cent in November.

Rise in inflation in wheat and rice may disturb the budget of the poor, but the government has already extended the free foodgrain scheme for 800 million people by three months till December 31.

Under the scheme — the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) — five kg of wheat or rice is provided free of cost to the beneficiaries of the National Food Security Act. This is in addition to their monthly quota.

Besides, rationed rice and wheat have not seen much inflation.

For instance, public distribution system (PDS) rice saw a decline in prices during the first four months of the calendar year till April. And then, the inflation rate stood below one per cent till September. There was absolutely no inflation in October-November for PDS rice.

In the case of PDS wheat, prices continued to fall every month till November 2022 year-on-year (YoY).

Production of both wheat and rice has been below last year’s levels, according to the government’s estimate. But the extent of the fall has varied between what has been officially pronounced and what private traders calculated.

This is also perhaps among the very few times in recent history when output of both the main cereals has seen a drop due to adverse weather conditions.

Whole wheat output dropped in 2022 rabi season due to sudden rise in terminal heat, just ahead of the harvesting stage.

Rice production dropped in the preceding kharif season due to drought and patchy rains in the main growing states of eastern India — Bihar, Jharkhand, West Bengal and Uttar Pradesh.

According to official estimates, wheat production in the rabi season of 2022 that ended in June was officially pegged at 106.41 million tonnes. This is 3.8 million tonnes less than last year’s output as heat waves in the main crop-growing stage crimped output.

However, private traders have pegged the production at much less, somewhere around 98-100 million tonnes.

As a consequence of the drop in production, prices flared up in the domestic market. It was also aided by the acute shortage of wheat in the global markets due to the Ukraine war.

Similarly, in the case of rice, too, the weather played spoilsport and drought in eastern India pulled down rice output.

According to the first advance estimates, rice production in the just-concluded kharif season is expected to be at 104.99 million tonnes. This would be almost 6.05 per cent less than the same period last year.

Until as recently as 1970, India was a land with more than 100,000 distinct varieties of rice. Across a diversity of landscapes, soils, and climates, native rice varieties, also called “landraces,” were cultivated by local farmers. And these varieties sprouted rice diversity in hue, aroma, texture, and taste.

But what sets some landraces in a class of their own—monumentally ahead of commercial rice varieties—is their nutrition profiles. This has been proved by the research of Debal Deb, a farmer and agrarian scientist whose studies have been published in numerous peer-reviewed journals and books.

In the mid-1960s, with backing from the U.S. government, India’s agricultural policy introduced fertilizers, pesticides, irrigation facilities, and high-yielding varieties of crops under the moniker of a “Green Revolution” to combat hunger. Instead, it began an epidemic of monocultures and ecological destruction.

In the early 1990s, after realizing that more than 90% of India’s native rice varieties had been replaced by a handful of high-yielding varieties through the Green Revolution, Deb began conserving indigenous varieties of rice. Today, on a modest 1.7-acre farm in Odisha, India, Deb cultivates and shares 1,485 of the 6,000 unique landraces estimated to remain in India.

Deb and collaborators have quantified the vitamin, protein, and mineral content in more than 500 of India’s landraces for the first time, in the lab he founded in 2014, Basudha Laboratory for Conservation. In one extraordinary discovery, the team documented 12 native varieties of rice that contain the fatty acids required for brain development in infants.

“These varieties provide the essential fatty acids and omega-3 fatty acids that are found in mother’s milk but lacking in any formula foods,” Deb says. “So instead of feeding formula foods to undernourished infants, these rice varieties can offer a far more nutritious option.”

Deb and his team have also documented high levels of antioxidants and several B vitamins in more than 250 landraces of rice. Both of these compounds are essential for the functioning of a healthy human body, Deb says, but are rarely found in modern high-yield varieties.

In Garib-sal, a rice variety from a remote village in West Bengal, Deb and his co-workers discovered the bioaccumulation of silver in its grains at 15 parts per million. This may explain why Garib-sal was prescribed in traditional medicine for the treatment of gastroenteric infections, since silver nanoparticles are known to kill pathogenic microbes.

Miraculous as these traits may appear, they are far more than happy accidents of nature. They are the result of a conscious exercise of selective breeding by ancient farmers, whom Deb refers to as “unnamed, unknown scientists.”

“These farmer-scientists did not know anything about DNA, proteins, or enzymes,” he says, “yet they managed to develop novel varieties through generations of selective breeding.”

Deb’s conservation efforts are not to preserve a record of the past, but to help India revive resilient food systems and crop varieties. His vision is to enable present and future agriculturists to better adapt to climate change.

Cultivating Resilience

Deb conserves scores of climate-resilient varieties of rice originally sourced from Indigenous farmers, including 16 drought-tolerant varieties, 20 flood-tolerant varieties, 18 salt-tolerant varieties, and three submergence-tolerant varieties. He shares his varieties freely with hundreds of small farmers for further cultivation, especially those farming in regions prone to these kinds of climate-related calamities. In 2022 alone, Deb has shared his saved seed varieties with more than 1,300 small farmers through direct and indirect seed distribution arrangements in several states of India.

One of these farmers is Shamika Mone. Mone received 24 traditional rice varieties from Deb on behalf of Kerala Organic Farmers Association, along with training on maintaining the purity of the seeds. Now these farmers have expanded their collection, working with other organic farming collectives in the state of Kerala to grow around 250 landraces at two farm sites. While they cultivate most of their varieties for small-scale use and conservation, they also cultivate a few traditional rice varieties for wider production, which yield an average of 1.2 tons per acre compared with the 1 ton per acre of hybrid varieties.

“But that’s only in terms of yield,” Mone says. “We mostly grow these for their nutritional benefits, like higher iron and zinc content, antioxidants, and other trace elements. Some varieties are good for lactating mothers, while some are good for diabetic patients. There are many health benefits.”

These native varieties have proven beneficial in the face of climate change too.

With poor rains in 2016, for example, the traditional folk rice variety Kuruva that Mone had planted turned out to be drought-tolerant and pest-resistant. And in 2018, due to the heavy rains and floods, she lost all crops but one: a folk rice variety called Raktashali that survived underwater for two days.

“They have proven to be lifesavers for us,” Mone says.

With extreme weather events, like droughts, floods, and storm surges, on the rise across the world, small farmers suffer damage to their farms, lose harvests, and go into debt. But small organic farmers incur less debt since they don’t depend on expensive inputs.

“About 90% of the overall costs incurred on most organic farms in Kerala are mostly for labor costs, while only around 10% goes on manures and composts, if any,” Mone says.

By expanding the cultivation of resilient crop varieties, an agricultural system can bounce back faster to its original capacity.

“Our emphasis and advice to every farmer in the world would be to foster and nurture diversity at all levels—at the species level, at the crop genetic level, and at the ecosystem level,” Deb says. “The building of complexity and diversity is essential to building resilience.”

The Case for Agroecology

Many fertilizers, pesticides, and herbicides commonly used in commercial farming act as biocides (killers of life forms) and, in so doing, decimate the microorganisms in the soil. Soil microorganisms, like mycorrhizal fungi, are recognized as essential to deliver nutrients from the soil to the plants. Without these nutrients, plants cannot remain productive, and they become more prone to pest attacks. Thus begins the degenerative cycle of spraying more pesticides while adding more synthetic fertilizers to compensate for the lack of nutrients.

Industrial farming, associated with monocultures and synthetic chemical inputs, leads to the loss of soil fertility year over year and ultimately the collapse of the farm ecosystem. Commercial hybrid seeds, dependent on costly inputs, have also proved to fall behind in climate tolerance.

“We need resilience under uncertainty and hardship,” says Sujatha Rajeswaran, a farmer from Villupuram district, Tamil Nadu, who received seeds and training from Deb. She sells her produce directly to a group of friends and family members.

“Growing traditional varieties coincides with our philosophy for life,” Rajeswaran says. “Just having a lot of money is not enough. We need good physical and mental health. We need good relationships. We need good ecology, not only in a human-centric way, but for all beings to be able to live and thrive.”

Deb asserts that in order to grow resilient and nutritious food sustainably, global food systems must transition to agroecology, which doesn’t introduce toxic chemicals to the environment. Deb and many other scientists have also documented agroecology to be more productive than industrial farming, and that it leads to better soil fertility year over year.

“Agroecology is an essential component in the fight against climate change and [greenhouse gas] emissions,” says Steve Gliessman, professor emeritus of agroecology at the University of California, Santa Cruz, and an international expert with more than 50 years of teaching, research, and production experience in the field of agroecology.

“Agroecology is all about farming practices that capture and hold carbon, but it is also all about how all other parts of the food system contribute to sustainability. This means more local, seasonal, and integrated food systems, where what we call ‘food miles’ are reduced, food waste is reduced, and local food production capacity once again plays an important role.”

Gliessman applauds Deb’s conservation and participatory work with local farmers. “[His work] confronts the modern idea of ‘improved’ seeds when farmers already have the seed knowledge they need in their hands. Deb has rescued this knowledge, codified it, and made it available once again.”

Roadblocks to Implementation

Despite a plethora of reasons to prioritize a transition to agroecology, funding for these open-source solutions is severely lacking. Public institutions and private businesses alike favor putting their money toward patented technologies and seeds.

There are two pathways to adapt agriculture to climate change, according to Rasheed Sulaiman V., director of the Centre for Research on Innovation and Science Policy, a nonprofit organization that promotes research in the area of innovation policy for agriculture and rural development. Pathway 1, he says, is the development and promotion of new climate-resilient, high-yielding varieties of seeds. Pathway 2 is to promote and strengthen in-place conservation of native, climate-resilient varieties by civil society organizations and seed champions like Deb.

Based on a detailed case study in Odisha, Sulaiman says Pathway 2 can help in achieving several more of the United Nations’ Sustainable Development Goals than Pathway 1, without causing adverse impacts to the environment and agro-biodiversity. “Unfortunately,” he says, “almost all science, technology, and innovation support is invested in Pathway 1, and there are practically no resources invested in strengthening Pathway 2.”

Deb documents that many native varieties of crops measure more resilient and nutrient-dense than commercial varieties and patented seeds, even after the billions of dollars that have been invested in agribusinesses. For example, the International Rice Research Institute, an agricultural research and training organization that contributed to the Green Revolution, has developed an iron-fortified genetically modified rice variety, IR68144-2B-2-2-3, containing 8.9 ppm of iron. This is meant to be its “high iron” variety. Contrast that with the approximately 80 native varieties of rice Deb has documented that contain between 20 and 152 ppm of iron.

Such knowledge becomes vital in light of government policy that favors food fortification instead of food sovereignty. The Indian government recently mandated that rice supplies be fortified with iron and other supplements in order to tackle malnutrition. This fortification process involves rice being milled into a powder form, fortified with supplements, and reshaped into rice grains. The Mandatory Food Fortification Program is now in effect across four states (Bihar, Orissa, Chhattisgarh, and Jharkhand) and counting, and all rice supply in India will need to be fortified by 2024.

“According to this fortification mandate, everyone, whether you need it or not, has to consume this fortified rice. What if your child has thalassemia, a condition where excess iron is lethal?” wonders Deb. So far, local news outlets have produced concerning reports: Children in Bolangir district of Orissa fell ill after consuming the fortified rice in their public school meals. In the state of Punjab, 19 samples of fortified rice out of 22 collected failed national quality control tests.

“Experts are spending billions of dollars to fine-tune genetic engineering, while these nutritious and resilient varieties already exist,” Deb says. “In the name of smarter agriculture, we are losing these climate-smart varieties.”

Small-Scale Solutions

Patented and high-tech solutions have also proven inequitable for small farmers. Deb asserts that these are not for peasant countries like India, where nearly 80% of farmers operate on less than 5 acres of land. High-yielding varieties have raised the input costs (since fertilizers, pesticides, and the seeds themselves have to be bought every year), making farmers increasingly dependent on markets. At the same time, the prices farmers receive for their harvests have fallen with greater market supply.

At times, in the short run, growing fragile, high-yielding varieties can be profitable. But in the long run, only large landholders are able to weather losses thanks to their other asset classes. Small landholders, Rajeswaran says, don’t have that cushion. They go into debt and face complete ruin. In fact, today in India, more than half of all farming households are in debt, leading to episodes of farmer suicide.

On the surface, reduced drudgery and more yields may seem worth it, which is why so many farmers opt in. “New varieties are being created for higher yields and process mechanization—for doing well in control environments,” Rajeswaran says. “But the real world is not a controlled environment, although we are constantly trying to make it one.”

Nearly three decades since beginning conservation work, Deb remains motivated. He recognizes that some of the farmers requesting his seeds today are the descendants of his original seed sources. They come to him after losing their seeds to high-yielding varieties.

“These ancient farmers never wrote down their discoveries or patented their work, so we are [wrongly] taught to assume they were unscientific,” Deb says. “Our task is to honor their discoveries by conserving these varieties.”

The government has decided to import 50,000 (+/- 5%) tonnes of non-basmati parboiled rice through a Letter of Credit (LC) under the international open tender method.

Traders have until 27 December to submit bids in the tender, according to a notice of Bangladesh's Directorate General of Food published on Monday (12 December).

As per the official notice, total 60% of the rice imports must be done through Chattogram Port and 40% via the Mongla Port.

The notice marks the third rice tender of the current FY2022-23.

LARKANA-The Sindh-Balochistan Rice Millers and Traders Association issued an ultimatum authorities to resolve the simmering problem of issuance of inflated electricity bills to the mills or they would be forced to take extreme steps after Dec 18.

Qamaruddin Gopang, Asad Tunio, central president and general secretary of the association, respectively, said at a press conference at Larkana Press Club that the power distribution companies (Discos) had been sending highly inflated electricity bills to the mills for two months, which they could not afford to pay.

They said that their business had not only suffered heavy losses in the post-rain conditions but it had also led to closure of many mills. Of 2,500 rice mills in both the provinces, 300 had remained completely shut, still they had been sent bills, they said.

They claimed that unprecedented rains and floods had rendered jobless around 500,000 labourers and technical staff employed in the mills. But instead of extending financial assistance to support the rice industry to cope with the drastic damage and losses, the government had refused to provide any relief to the millers even in the calamity-hit areas, they said.

They said that in addition to the inflated bills, a host of taxes -- environment, property, excise, weight and measure, market committee, labour department, food department, Sindh Building Control Authority, municipal taxes paired with sale and purchase tax -- were imposed and collected from the millers.

They regretted the ‘silence’ maintained by federal and provincial government towards the serious issue. How could the millers pay the exorbitant utility bills when the mills were lying closed, they questioned.

It was strange that whenever they approach-ed federal government to seek their help it simply came up with the reply that its powers had been decentralized under the 18th Amendment, so they had better contact the provincial governments to have their issues resolved, they said. They said that presently, they had been sandwiched between federal and provincial governments.

The institutions linked with agriculture had not yet consulted the association regarding the new policy which was quite discouraging, they said.

“We do not want to create trouble for the country’s institutions by declining to pay the bills. Hence, the organisation has time and again written to prime minister, federal minister, secretary and heads of power utilities asking them to resolve the problem but in vain,” they said.

They said in unequivocal terms that rice millers could not pay the highly inflated power bills being sent by SEPCO, HESCO and QESCO as they were barely surviving under the precarious financial conditions.

They demanded the authorities concerned take notice of their genuine problems and provide them relief by taking back the infla-ted bills, or they would be forced to go for extreme step after Dec 18.

The food ministry has extended the deadline to sign contract with rice millers regarding the purchase of the grain by a week to December 15 this year, said a notification.

The announcement comes as the responses from millers to supply the cereal to the state warehouses are low because of high prices in the local market.

The food directorate targets to buy 500,000 tonnes of rice from the ongoing harvest of Aman crops from millers at Tk 42 per kilogramme.

As of yesterday, it has signed the contract for the supply of around 267,000 tonnes with millers, said Md Raihanul Kabir, director of procurement at the Directorate General of Food.

The food ministry initially targeted to complete signing contracts with millers for rice purchase within December 8 this year.

Apart from milled rice, the food office plans to buy 300,000 tonnes of paddy during the current harvesting season of Aman, the second biggest crop providing 39 per cent of total annual rice production.

New variety, a joint work of Chinese and Pakistani researchers, gives 12.5% higher yield

BEIJING:

The Honglian type of hybrid rice, introduced in Pakistan in 2018, has achieved promising harvests in various demonstrative plots as field trials exhibited a 12.5% higher yield, said Zhu Renshan, Director of Wuhan University.

The demonstrative plots where the hybrid rice was planted were in Lahore, Gujranwala, Vehari and Pakpattan in Punjab, Shikarpur and Larkana in Sindh, which covered the main planting regions in Pakistan.

An online session of the 2nd International Cooperation and Development Forum on the Honglian type of hybrid rice was held in Wuhan, China on Friday.

Scientists and officials of China and Pakistan attended the forum to explore cooperation in hybrid rice in the future, China Economic Net (CEN) reported.

“Developing high-yielding hybrid rice is of great significance for the resumption of grain production and economic growth after the flood disaster,” Shahzad Sabir, Director Agriculture Headquarters, Punjab told the forum.

“We sincerely hope Honglian Type Hybrid Rice Joint Research Centre could become a long-term platform for China-Pakistan agricultural science and technology cooperation to safeguard mutual food security and deepen friendship,” he said

The reality is that Indonesia only has 503,000 tonnes of rice in store, well below the level of 1.1 million to 1.5 million tonnes required to maintain sufficiency.

JAKARTA – Each time the government rolls out a plan to import rice, the public reacts with resistance. Understandably, for many Indonesians, rice is considered more than just a staple food, but also a sort of political commodity.

Importing rice is deemed as taboo by some, although such a decision does not necessarily reflect the country’s failure to achieve self-sufficiency. At times, rice import is necessary to avert calamities such as a food crisis, speculator’s intervention, a severe price hike or inflation and thinning Government Rice Reserves (CBP).

Regarding the issue, President Joko “Jokowi” Widodo highlighted during a recent cabinet meeting the urgent need to secure national rice stock for 2023 amid the risk of an imminent food crisis.

“We have to be aware of the food crisis risk since it may trigger social and political unrest. Therefore, anything regarding domestic rice reserves must be calculated carefully and precisely. Do not make a mistake,” Jokowi stated.

The bad news is that to date the State Logistics Agency (Bulog) only has 503,000 tonnes of rice in store, well below the level of 1.1 million to 1.5 million tonnes required to maintain sufficiency. It is estimated that Bulog has to distribute 200,000 tonnes this month, further depleting Bulog’s reserves.

The agency has set a target of securing 1.2 million tonnes by the year-end. The problem is to fill the gap with domestic production, which is in good condition, amidst challenges of surging grain prices.

The price of unhusked rice at local mills has now ranges from Rp 6,000 (39 US cents) to Rp 6,300 per kilogram and this impacts downstream rice prices, which are currently in the range of Rp 11,000 to Rp 12,000 per kg, far above the highest retail price (HET) for medium rice of Rp 9,450 to Rp10,250 per kg.

Consequently, the government has no choice but to give Bulog the green light to import 500,000 tonnes of rice. It will be Indonesia’s first import since Bulog entered the international rice market for a significant volume in 2018.

Let’s not debate over whether the decision is correct. Indonesia is indeed racing against time to secure its staple food for national security’s sake. Timing is crucial to hinder imported goods arriving at the time of Indonesia’s main harvest in early 2023.

The government’s policy of revoking cheap rice and replacing it with Non-Cash Food Assistance (BPNT) as well as its foot-dragging revision of the government purchase price (HPP) policy have been the underlying issues of Bulog’s inability to maintain its rice procurement from the domestic market and stabilize prices.

At the end of the day, to make sure this rice import furor does not recur when the country is entering the critical political year in 2023, it would be appropriate for the government to consider that the procurement of rice for the BPNT program comes only from Bulog’s reserves.

If Bulog is given a chance to once again be the sole supplier of rice for the BPNT, it will be easier for the agency to stabilize rice prices and avoid import amid a local production surplus. In addition, it will ensure the efficient use of the state budget.

LAHORE: Grain and other commodity rates in rupees on Akbari Mandi on Wednesday (December 07, 2022)...

LAHORE: Grain and other commodity rates in rupees on Akbari Mandi on Wednesday (December 07, 2022)

======================================
Per 100 kg
======================================
Sugar                        9000-9100
Gur                        10500-12000
Shakar                     11000-13000
Ghee (16 kg)                 7200-7600
Almond (Kaghzi)            10000-42000
Almond (Simple)            12500-15000
Sogi                       40000-70000
Dry Date                   14000-20000
Chilli (Sabat)             26400-36000
Chilli (Pissi)             25000-31250
Turmeric                   15500-16500
Darchini (large)           26000-28000
Mong (Sabat)               15500-17000
Dal Mong (Chilka)          17000-19000
Dal Mong (Washed)          17500-19500
Dal Mash (Sabat)           29000-31000
Dal Mash (Chilka)          31000-35000
Dal Mash (Washed)          37000-40000
Dal Masoor (Local)         38000-40000
Dal Masoor (impor)         25000-27000
Masoor (salam-impor)       25000-27000
Masoor (salam-local)       30000-35000
Gram White                 26000-37000
Gram Black                 18000-18500
Dal Chana (Thin)           17000-19000
Dal Chana (Thick)          20000-23000
White Kidney Beans
(Lobia)                    20000-22500
Red Kidney Beans
(Lobia)                    32000-35000
--------------------------------------
Rice (per 100 kg)
--------------------------------------
Basmati Super (Old)        28000-29000
Basmati Super (new)        25000-30000
Kainat 1121                19000-32000
Rice Basmati (386)         13000-17000
Basmati broken             13000-16500
--------------------------------------
Tea (per 1 kg)
--------------------------------------
Tea (Black)                    650-980
Tea (Green)                   500-1300
======================================

BUTUAN CITY – About 1,907 rice farmers in Surigao City received PHP2.44 million worth of rice seeds during a distribution conducted by the city government and the Department of Agriculture (DA) 13 (Caraga) from Wednesday until Thursday.

In a statement on Thursday, the Public Information Office (PIO) of the Surigao City government said 3,210 bags of certified palay seeds were distributed during the two-day activity.

“Agriculture, especially rice production, is among the priorities of the present administration of Surigao City government under Mayor Pablo Dumlao II,” the PIO said.

It said the 1,907 farmer beneficiaries came from Surigao City’s 34 barangays.

The distribution of rice seeds is being funded under the DA’s National Rice Program.

The PIO also reported that PHP1,815,255 worth of certified rice seeds was given by the City Agriculture Office (CAO) to the rice farmers in the area in September.

“We are also announcing that the city government of Surigao is set to receive additional aid under the Quick Respond Fund (QRF) of the DA,” it said.

The additional QRF support will consist of 70 bags of certified rice seeds and 100 bags of hybrid rice seeds.

“The city government is also working on the procurement of an additional 315 bags of certified rice seeds with separate funding from the City Disaster and Risk Management Office,” the PIO said.

It said the city government, through the CAO, has yet to schedule the distribution of the additional rice seeds for farmers in the area. (PNA)

Procurement is being planned through National Cooperative Consumers’ Federation

After a gap of four years, the Tamil Nadu Civil Supplies Corporation is planning to procure rice from the open market. 

Initially, it has placed an order for 1.5 lakh tonnes of rice with the National Cooperative Consumers’ Federation (NCCF), a body under the jurisdiction of the Department of Consumer Affairs at the Union Ministry of Consumer Affairs, Food and Public Distribution.  The NCCF, one of the agencies authorised by the TNCSC, has also been procuring paddy too in the State.

The quantity will be helpful in meeting the requirements of beneficiaries covered under the category of Non-Priority Household (NPHH) ration cards.  This is likely to arise in late January and February 2023.  “If required, we may purchase another 1. 5 lakh tonnes,” says a senior official who looks after the Civil Supplies Corporation.. 

The need for the State to procure rice has arisen in the light of the Centre suspending the Open Market Sale Scheme (OMSS), through which the shortfall in requirements were met in the past.  The element of uncertainty over the continuance of the  Pradhan Mantri Garib Kalyan Anna Yojana scheme beyond December, which is meant for distributing  free food grains to the poor, has also contributed to the decision. 

On an average, the monthly off-take of rice under the public distribution system (PDS) is about 3.20 lakh tonnes, of which around 2.76 lakh tonnes are being provided  by the Centre. It is for the balance portion that the State has to approach different sources including  the OMSS.  Except in the case of tide-over allotment which is charged at ₹8.3 per kg, the allotments for the categories of Antyodaya Anna Yojana (AAY) & Priority Households (PHH) are levied at  ₹3 per kg.   The rate fixed by the Central department of Food and Public Distribution for OMSS is ₹23  per kg.  Since August, there has been no sale of rice under the OMSS.. As Tamil Nadu has been following the universal public distribution system and supplying rice free of cost to ration cardholders, it is bearing the entire cost.

Asked how much will be the cost of rice that the government has proposed to procure, the official says it may be around  ₹35 per kg.  

It may be noted that the Centre has determined the economic cost of rice at ₹36.7  per kg for the current year for the purpose of its calculations. 

ISLAMABAD - Pakistani exporters are hoping for a sharp growth in rice export to Azerbaijan following the latter’s decision to waive customs duty on rice import from Pakistan.

Muhammad Kashif-ur-Rehman, Secretary General of Rice Exporters Association of Pakistan (REAP), told WealthPK that exporters are hoping to take full advantage of the relaxation announced by the Azerbaijan government on import of rice from Pakistan. The Azerbaijan government has announced exemption of customs duty on rice import from Pakistan till December 31, 2027. Kashif said that Pakistan’s rice export to Azerbaijan was registered at $1.57 million in 2021, which was only 4.63% of the total rice import of Azerbaijan during that period.

“Pakistan has the potential to boost rice export to Azerbaijan following the waiver of customs duty,” the REAP secretary general said. He was of the view that the tax waiver is also an opportunity for Pakistan to compete with regional rice exporting countries and grab more shares in the Azerbaijan market. He said that Pakistan’s rice exports increased during the last few years and were at the highest at $2.51 billion in 2021-22. Rice exports also remained highest in terms of quantity at 4.87 million metric tonnes (MT) during the last year, he informed. Kashif called upon the government to help exporters find new markets for rice export. “Concessions from various countries in customs duties will increase exports,” he added. Chela Ram Kewlani, Chairman REAP, said in a statement that Pakistan’s rice export to Azerbaijan would be enhanced following the decision of waiving the customs duty. “The decision will not only help in enhancing rice export, but will also increase the volume of bilateral trade between the two countries,” he added.

Kewlani urged rice exporters take maximum advantage of this relaxation. According to the State Statistical Committee of the Republic of Azerbaijan, the country imported 46,765 MT rice in 2021 worth $33.92 million. India was the largest exporter of rice to Azerbaijan having 73% market share worth $24 million, followed by Russia with a share of 9.79% worth $3.32 million, and Kazakhstan with 9.65% share worth $3.27 million in 2021. Pakistan remained the fourth largest rice exporter to Azerbaijan with a market share of 4.63% worth $ 1.57 million during last year. According to the World Bank, population of Azerbaijan is 10.14 million, and rice is among the main food items of most of the people in the country.

According to the State Bank of Pakistan (SBP), rice export to Azerbaijan was registered at $242,000 during first quarter (July-September) of the current fiscal year against $158,000 during the same period of last year, with an increase of 53.16%. In September 2022, Pakistan’s rice export to Azerbaijan grew by 110% and rose to $82,000 from $39,000 during the corresponding month of last year. Kenya, China, Afghanistan, Indonesia, Kazakhstan, Tanzania and other Gulf and European countries are the major buyers of Pakistani rice.

'As of now, there has been no confirmation from the authorities and the response from the embassy in Tehran is also taking time'

The development is crucial, considering that Iran is India’s key export market for basmati rice and high quality tea.

The department of commerce has urged the agriculture ministry as well as the diplomatic mission in Tehran to apprise it of details as to why Iranian buyers have stopped import of rice and tea from India, a senior government official said.

Exporters said that exports of items such as high quality tea and rice have stopped since last week.

As of now, there has been no confirmation from the authorities and the response from the embassy in Tehran is also taking time, they said.

“This has been a big concern since India exports high quality orthodox tea to Iran in big quantities. Assam orthodox tea goes to Iran in high volume. There is a huge demand for Indian tea in the Iran market.

We have reached out to the department of commerce, DGFT and the embassy in Tehran. We want to understand why buyers have suddenly stopped purchasing tea and rice from India,” said Sujit Patra, secretary (exports), Indian Tea Association.

“Market reports say that Iran’s agriculture ministry has stopped order registration of proforma.

Before importing, a buyer has to get a proforma registration issued from Iran’s agriculture ministry.

Since issuance of the proforma has stopped, Iran’s Customs will not allow any ship to call at any Iran port. So, Indian exporters are not able to send tea consignments to Iran,” Patra added.

The development is crucial, considering that Iran is India’s key export market for basmati rice and high quality tea.

A fifth of India's total outbound shipment of tea is sent to Iran.

Rice exporters said that disruption in trade has been triggered by anti-hijab protests in Iran. As a result, Iranian buyers have been defaulting on payment obligations and are placing fresh orders, they said.

Similarly, in the case of basmati rice, a fourth of the total exports from India went to Iran during the last financial year.

Top Indian exports to Iran include rice, tea, sugar, fresh fruits, pharmaceuticals, soft drinks, industrial machinery and boneless bovine meat, among others.

During April-September, bilateral trade between India and Iran stood at $1.3 billion, with exports at $1 billion and imports at $306 million. Total trade increased by 59.9 per cent compared to the previous year.

Shellfish and wine could also be in danger—but there are ways to prevent extinction.

Climate change is threatening future crops, and some of the losses we’ll experience might be staggering. It’s hard to imagine the world that far ahead into the future, but decades from now, it’s increasingly likely that many global food sources, from indulgent treats to staple crops, will cease to exist.

“A number of foods that we hold very dear to our hearts and largely take for granted are under a real threat,” said former White House chef Sam Kass in a recent interview with People. “And you’re seeing in the future, we’re on track for a lot of those to become quite scarce and some really to be largely unavailable to most people and others just significantly increased in cost.”

Such products include wine, chocolate, coffee, shellfish, and rice, Kass notes. We’ve known for some time that coffee plants are in serious danger due to climate change, but the idea that it might be 100% impossible to obtain within our lifetimes is a less than welcome thought. And of course losing access to rice, a grain that feeds practically everyone on the planet, is virtually unthinkable.

Rice production in particular releases an estimated 34 million tons of methane per year, released by microbes that grow in the flooded fields where rice is cultivated. It’s an unsustainable practice, to say the least.

So what’s the solution to crop extinction?

Kass suggests that while eating less red meat and including more whole grains and beans into your diet will go a long way, regenerative farming practices are where we should be headed.

Regenerative farming, also called regenerative agriculture, is a practice you’ll likely hear much more about in the near future. It’s a holistic approach to agriculture that works in tandem with nature instead of against it, meaning that farming plays a role in the overall health of an ecosystem. The Chesapeake Bay Foundation explains regenerative farming using five basic principles:

• Minimizing soil disturbances, meaning soil isn’t agitated in physical or chemical ways, so as to prevent disruption of natural processes
• Soil coverage, ensuring that all soil is covered in vegetation or natural ground cover (like mulch)
• Increased plant diversity to keep the ecosystem varied and healthy
• Keeping roots established underground, which helps ensure that soil can capture excess water and not lose nutrients or moisture
• Integrating farm animals into the process, i.e. using manure as fertilizer to help soil stay nutrient dense without chemical/commercial fertilizers

The hope is that by using these techniques, they become normalized and adopted across agriculture to prepare for the coming decades. Changing the existing agricultural standards is a monumental task, but if our food system can learn to keep crops in tune with nature, we can capture carbon and stay fed in the process.

I sure hope that’s where we’re headed, at least. I love my morning cup of coffee.

Exports of broken rice increased 33.37 per cent to 23.82 lakh tonne during April-September FY23 as against 17.86 lakh tonne in the year-ago period, Parliament was informed on Wednesday

Exports of broken rice increased 33.37 per cent to 23.82 lakh tonne during April-September FY23 as against 17.86 lakh tonne in the year-ago period, Parliament was informed on Wednesday.

Minister of State for Commerce and Industry Anupriya Patel said there has been a sudden increase in demand for the Indian broken rice in the international market due to geo-political reasons.

"India's exports of broken rice have increased from 17.86 Lakh MT in 2021-22(April- September) to 23.82 Lakh MT in 2022-23 (April-September), registering a growth of 33.37 per cent," she said in a reply to the Lok Sabha.

The minister added that the export has increased about three times in the last four years from 12.21 lakh tonne in 2018-19 to 38.90 lakh tonne in 2021-22 in volume terms.

In value terms also, shipments rose from USD 369.58 million in 2018-19 to USD 1.13 billion in 2021-22.

Broken rice is mainly used for ethanol production and as poultry and cattle feed.

Citing the first advance estimates for 2022-23, released by Directorate of Economics and Statistics, she said the production of rice is estimated to be lower than the target fixed for the current year.

"Therefore, in order to ensure adequate availability of broken rice in the domestic market, the government has prohibited export of broken rice with effect from September 9, 2022," Patel said.

In a separate reply, she said there is no proposal at this stage to offer export subsidies to pulse traders.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Wheat export registered an increase of 70% to $ 1.5 billion in April-October 2022-23 from $ 886 million reported during the same period previous fiscal.

The agri-exports in previous fiscal was close to 20% more than FY21. (File)

Exports of agricultural and processed food products rose 19% to $ 15.2 billion during April-October (2022-23) compared to the same period last year, driven by spike in shipment of rice, fruits and vegetables, livestock and dairy products.

According to provisional data released by the Directorate General of Commercial Intelligence and Statistics, the value of Basmati rice exports rose by more than 37% in the first seven months of current fiscal to $ 2.5 billion in the first seven months of the current fiscal year. The shipment of non-Basmati rice registered a growth of 8% to $ 3.2 billion during the period.

Export realisation from shipment of aromatic long grain Basmati rice grew by 23% to $1056/tonne in the April – October, 2022-23 period from $ 857/tonne realized in same period previous year. Non-basmati Rice exports are likely to decline in the second half of the current fiscal, as India has imposed a ban on broken rice exports and imposed a 20% export tax on white rice.  

Wheat export registered an increase of 70% to $ 1.5 billion in April-October 2022-23 from $ 886 million reported during the same period previous fiscal.

India had banned shipment of wheat in May while allowing only those consignments aimed at meeting food security needs of developing countries. In the current fiscal, India has exported 4.6 million tonne (MT) of wheat so far while 7 MT of grain was shipped in FY22.

For the current fiscal, an export target of $ 23.5 billion has been set by Agricultural and Processed Food Products Exports Authority (APEDA). Other key agricultural products exported from the country include marine products, spices, tea, coffee and tobacco

Exports of products under APEDA basket was $ 25.6 billion in 2021-22, which was around 51% of  the country’s total agricultural goods exports of more than $ 50 billion. The agri-exports in previous fiscal was close to 20% more than FY21.

The export of meat, dairy and poultry products rose by 5%  to $ 2.3 billion during April-October period of current fiscal compared to previous year. The dairy products alone registered a growth of 43% to $ 380 million during the same period.

 “We have been working in collaboration with the key stakeholders such as farmers, exporters, and processors to ensure that quality agricultural and processed food products are exported from the country.” M Angamuthu, Chairman, APEDA, said.

The rise in the export of agricultural and processed food products is the outcome of the centre’s initiatives for export promotion of agricultural and processed food products such as organising B2B exhibitions in different countries, exploring new potential markets through product-specific and general marketing campaigns by the active involvement of Indian Embassies.

 Meanwhile, the government has formulated a strategy to boost exports of nutri-cereals – millets and valued added products focusing on the key markets including USA, United Kingdom, Belgium, Netherlands, Japan, United Arab Emirates and Saudi Arabia.

As part of the promotion of Indian millets exports, APEDA has planned to showcase millets and its value-added product at various global platforms such as Gulfood 2023, Foodex, Seoul Food & Hotel Show, Saudi Agro Food, Fine Food Show in Sydney (Australia), Belgium’s Food & Beverages Show, Germany’s BioFach and Anuga Food Fair, San Francisco’s Winter Fancy Food Show, etc

HAMBURG: Bangladesh’s state grains buyer has issued an international tender to purchase 50,000 tonnes of rice, traders said on Tuesday. The deadline for submission of price offers is Dec. 21.

The tender seeks price offers for non-basmati parboiled rice in CIF liner out terms, including ship unloading costs, for shipment to the ports of Chattogram and Mongla.

Asia rice: Thailand, Vietnam bank on new deals; few eye cheaper India supply

The rice can come from worldwide origins and shipment is required 40 days after contract award.

India is working on developing the "world's largest grain storage" program, Indian news outlet Mint reported on Monday, citing two people aware of the development. The proposal comes amid rising global food prices in the wake of disruptions caused by the Russia-Ukraine conflict and the COVID-19 pandemic, the report claimed.

The disruptions in global food supply chain have increased food security concerns in many countries, including India. It is understandable that some Indian officials have taken a positive attitude toward a grain stockpiling program, which aims to ensure India's food security, but it will not be easy to achieve those goals.

There are both short-term and long-term challenges ahead for India. India's federally held cereal stocks have declined to a five-year low as extreme weather pummeled both winter-sown wheat and summer-sown rice crops, driving up retail food prices to a 22-month high, the Hindustan Times reported in October.

A prolonged heatwave in March crimped India's wheat output, prompting New Delhi to ban wheat exports without prior government approval in May as domestic supplies dwindled. In September, the government also banned the export of broken rice with an aim to increase domestic availability. India's moves in this regard have drawn criticism from the West. Last week, India lifted the ban on exports of organic non-basmati rice, including broken rice. Although the announcement is welcomed as it will increase global rice supply, this may also add difficulties for the country to develop the "world's largest grain storage" program.

We cannot be blindly optimistic, too, in the long run. India, despite having large areas of arable land, suffers from low productivity. The Global Food Policy Report 2022 has warned that climate change may push many Indians toward hunger by 2030 due to a decline in agricultural production and disruption in food supply chain, Outlook India Magazine reported in May.

While it is certainly necessary to pile up grain reserves, the main difficulty lies in how India can ensure domestic supply and food price stability, avoid hunger and poverty, ensure reasonable growth in grain exports, and maintain its export competitiveness, at the same time develop the "world's largest grain storage" program. We believe India's agricultural policies are aimed at achieving multiple goals, rather than a solitary effort to pile up grain reserves.

At the very least, India has limited room to reduce domestic grain supply and allow food prices to rise beyond a certain level, because this will put further pressure on overall inflation, which eased to a three-month low of 6.77 percent in October but remained above central bank's tolerance limit.

If India wants to pile up grain reserves, the country has no choice but to achieve an increase of grain production. Seed, irrigation, and fertilizers need to be vastly improved, helping farmers increase yields. Advances in machinery, artificial intelligence, satellite imagery, and other emerging technologies could also improve the efficiency of inputs and further increase yields. In this regard, China and India have broad space for cooperation in the fields of agricultural infrastructure, finance, and agricultural technology.

China achieves one-fourth of the world's total grain production and feeds one-fifth of the global population with less than nine percent of the land on earth. In recent years, China has actively promoted cooperation in agricultural science and technology innovation.

China and India, two nations with a profound culture and long history of farming, are both a large agricultural producer, consumer and trader. The two countries should strengthen agricultural cooperation under bilateral or multilateral frameworks such as BRICS.

In recent years, BRICS countries have made continuous efforts to establish a long-term and stable cooperation mechanism focusing on food security. Agricultural cooperation enjoys potential because they are mutually beneficial.

There is no clarification from Iran for the stoppage but exporters believe that it is due to widespread anti-hijab protests in the country

Last week, Iran has stopped signing all contracts to import tea and basmati rice from India. There is no clarification from Iran for the stoppage, but exporters believe that it is due to widespread anti-hijab protests in the country, as the Economic Times (ET) reported. Shops, hotels and markets have remained closed since the start of the protest nearly two months ago.

Several experts have expressed that this might also be because India and Iran are working on the rupee trade settlement agreement. The report added that Iran imports around 30-35 million kg of orthodox tea and 1.5 million kg of basmati rice from India every year.

"There is no clarity on why suddenly this has happened. We have asked the Iranian buyers but they do not have any clear answer...We have informed the Tea Board and we are waiting for some clarity," Anish Bhansali, managing partner of Bhansali & Company, told ET.

However, the impact on basmati rice may be lesser as their exports have risen amid high demand from other countries. This is also due to high commodity prices globally amid the Russia-Ukraine war.

In the first eight months of 2022, between January and August, exports of tea from India increased by 14.8 per cent year-on-year (YoY) to 140.28 million kilograms, according to Tea Board data. During the January-August period in 2021, the shipments stood at 122.18 million kilograms (mkg).

However, tea shipments to Iran failed to increase due to economic sanctions imposed by the US on Iran, a report by PTI said earlier in November. Exports to that country marginally increased to 16.40 mkg in the January-August period as compared to 16.06 mkg in the corresponding period last year.

Tea exports rose marginally in other countries also, due to higher shipping and container costs which skyrocketed due to the war between Russia and Ukraine.

MUMBAI/HANOI/ BANGKOK/ DHAKA: Rice export prices rose across major Asian hubs this week on robust demand emerging out of Indonesia, with some buyers switching to the cheaper Indian variety.

Vietnam’s 5% broken rice was offered at $440-$445 per tonne, free-on-board, up from $438 a week ago. “Prices are rising on strong demand, especially from Indonesia’s food procurement agency Bulog,” a trader based in Ho Chi Minh City said.

“The rise in Vietnam’s prices could have prompted a Cuban buyer to switch to buy cheaper grain from India,” the trader said, adding a vessel is loading 28,000 tonnes at Kakinada port, in the southern Indian state of Andhra Pradesh for delivery to Cuba

Moreover, traders said domestic supplies are running low, which will likely keep Vietnamese rice prices at high levels over the next few weeks.

Top exporter India’s 5% broken parboiled variety was quoted at $375 to $380 per tonne, up from last week’s $373-$378. “Indian rice is available at a discount.

It is prompting buyers to switch to India from other supplying countries,” said an exporter based at Kakinada in southern state of Andhra Pradesh.

India’s exports of premium basmati rice are likely to jump 15% over last year as key buyers in the Middle East build their inventories despite prices jumping by nearly a quarter.

Thailand’s 5% broken rice prices rose to $427-$440 per tonne this week from $419-$425 last week, with traders attributing the gains to news of new deals on the table.

BAKU, Azerbaijan, December 1. A total of 11,558 tons of rice have been harvested from the Azerbaijani fields as of yet, which was 858 tons more than in 2021, Trend reports citing the country's Ministry of Agriculture.

The average yield of rice was 36.2 centners per hectare, up by 1.4 centners per hectare against the average yield of 2021.

According to the ministry, the total area of ​​rice fields equals 3,194 hectares. The majority of the rice crop was sown in Lankaran (802 hectares), Aghdash (681 hectares) and Ujar (678 hectares) districts.

The Ministry of Agriculture says that rice harvesting is a traditional branch of the country's agriculture. In recent years, the country has further strengthened support for this industry and taken a number of measures to increase sown areas and production.

According to the Agricultural Subsidy Council's decision, farmers are provided with a sowing subsidy of 360 manat ($211.6) for each hectare of cultivated rice.

Rice is the third-highest produced agricultural commodity in the world and accounts for a fifth of the calories consumed by humans worldwide. As a staple food for several billion people, particularly in Asia and Africa, it plays an important role in the food security of the global poor. Governments around the world use various measures to maintain its supply and price.

India is the second-largest producer of rice with a total production of 130 million metric tons (MMT) during the 2021-22 crop year. It is also the largest exporter of rice in the world accounting for 40 percent of global shipments. Despite a sharp increase in rice production from India from 2000-2020, the area harvested has remained relatively stable owing to a consistently rising yield.

The sharp rise in rice production in India over the past two decades can only be partly explained by the rise in exports. Production has increased by 50 MMT since 2000, but exports increased by only 10 MMT over the same period. Increasing population and domestic demand might also be factors driving the production increase.

However, perhaps the most important factor is the incentives created by government. The Food Corporation of India (FCI) buys rice and other agricultural commodities from farmers at a minimum support price (MSP), set by the government on an annual basis. The MSPs act as price floors for farmers and ensure that domestic prices never fall below it.

The government essentially guarantees procurement at the minimum price every year, so it has built massive stockholdings of rice and other food commodities. These stocks are used by the government in their public distribution schemes to the poor. The MSP policy therefore allows the government to control the domestic price of rice and isolate it from fluctuations in the international price. Although there is significant geographic inequality in procurement by the FCI, the amount of rice procured in recent years amounts to over a third of all rice produced in India. Therefore, the policy has a large effect on rice production.

Farmers in India, and other emerging markets with similar government interventions, do not base their production decisions solely on market prices. The incentives created by government schemes play a huge role in their choices and might influence the prices themselves. This makes rice production and prices in India relatively more stable than an economy like the United States and explains why the area used for rice cultivation remains relatively steady.

Since India is the world’s largest rice exporter, the policies implemented by the government also affect the rest of the world. Indian government subsidies are passed onto to the international market in the form of stable supply and prices. That is one reason why rice prices haven’t been as volatile as other agricultural commodities in the past decade.

However, the reliance on India also exposes the international market to potential shocks. For example, this year in September, the Indian government banned the export of broken rice and imposed a 20 percent export tax on several other varieties. This might have huge implications for global rice prices and food insecurity in developing countries.

Taiwan is another example of a country where rice production isn’t as tightly connected to the international market because of government intervention. Producer prices in Taiwan have some correlation to the world price, but they are much more stable. Like in the Indian case, the change in the area harvested and prices for rice are also more stable in Taiwan than the United States.

Taiwan also has a price support program for rice, which has existed since 1974. Farmers can sell a fixed amount of rice per hectare to the government at a guaranteed price. Businesses are allowed to import and export rice freely since 2002, but they must pay an import tax if they exceed a quota (10 percent of total rice consumption). The tax is about twice the average world price per kilogram.

Under these conditions, farmers’ decisions aren’t influenced very much by global prices. Dramatic changes in production occur because of government policies, not prices. In 2021, the area harvested with rice dropped 14.4 percent compared to the previous year when the world price had only dropped by 0.23 percent. The major reason for the decrease in production was that the Taiwanese government had stopped about 20 percent of irrigation services because of a severe drought.

Markets for essential food commodities in many countries, especially developing countries that have an incentive to prevent fluctuations in these markets, get distorted by government intervention. The production decisions of farmers in these countries are largely determined by local government policies that either try to control the price directly or offer other incentives that make prices less important in the decision.

Separating production decisions from world prices can affect the incentive to invest in improving productivity and can have massive implications for the availability of food commodities to the world, especially in the case of large exporters like India.

Kala Jeera rice cultivation and its marketing through an e-commerce platform bring better income and social status to women farmers, while also ensuring storage of good quality seeds for future needs

Koraput, Odisha: Odisha’s near-extinct Kala Jeera rice is making a comeback, thanks to the tribal women who are cultivating and marketing it to the outside world from Machhara village in Koraput district with the help of MS Swaminathan Research Foundation (MSSRF), Jeypore, and Odisha Rural Development and Marketing Society (ORMAS).

A traditional variety with a distinct aroma and nutty taste, Kala Jeera rice grains resemble cumin seeds. It has medicinal properties that help increase haemoglobin levels.

Researchers had warned that Kala Jeera rice would gradually vanish in 12 years, but the village women brought about the much-needed change. In fact, Kala Jeera seeds sowed by them also reaped the fruits of financial freedom.

Eight years on, over 100 women farmers in Machhara and nearby villages are now involved in Kala Jeera rice production. They have formed a collective — Sabari Producer Group — which not only cultivates the rice but also collects, processes, brands and sells it on the e-commerce platform Amazon.

Apart from Machhara, the group purchases Kala Jeera from farmers in over 10 nearby villages, including Mandia, Bajra, Suan, Dangarrani, Sukriguda, Bodapadar, Podeiguda and Mendhaguda.

“Most people in our village belong to Poraja, Godaba and Bhumiyan communities. Traditionally, we cultivate rice to feed our families. We also worked under the MGNREGA scheme. Even then, we could barely manage to keep ourselves alive,” Machhara-based Chitta Chendia, who now has three acres under Kala Jeera rice cultivation, tells 101Reporters.

She says adopting Kala Jeera variety has enhanced her source of income as it is priced at Rs 25 to 30 per kg in the market against the Rs 15 of a basic paddy variety. “If you cultivate basic paddy on three acres, you get Rs 50,000 to 70,000 per harvest cycle (once in a year); for Kala Jeera rice covering the same area, you get around Rs 2 lakh per cycle,” she elaborates, adding how she earns enough to send children to school now.

According to Daimati Chendy, not everyone was involved in farming Kala Jeera initially. But on realising the demand for the product on Amazon, many women joined the initiative. From just 30, the number of cultivators has grown to over 100 in the last eight years. “Even landless women now take up cultivation in plots on lease,” Chendy says.

Sita Jani of Machhara expanded her Kala Jeera cultivation by getting another plot on lease, apart from utilising her small piece of land. Seeds are available easily and at affordable prices, and there is no struggle to sell the produce either, she says.

“Due to our successful enterprise, the women of our village are seen differently now. We got opportunities to visit big cities and talk to people as equals. Even men respect us more and want to help us so that we can bring in more money home,” says Haribola Sukia.

Traditional farming practices are employed in Kala Jeera cultivation, which is fully organic. “Instead of chemical fertilisers, we make organic manure using readily available components such as cow urine and leaves of neem, papaya and pomegranate, among others,” explains Jani.

Additionally, the researchers at the MSSRF have trained the villagers of Koraput district to enhance productivity while staying true to traditional methods. “Using our traditional knowledge, we could grow three quintals of Kala Jeera rice in an acre. After training, we now harvest 10 to 15 quintals from the same land,” she says.

According to Surajita Turuk, the MSSRF field officer and officer-in-charge of Machhara village, traditional fertilisers and seed purification methods used by tribals for generations are the easiest ways to ensure organic farming. “We have branded them as Jibamruta and Bijamruta.”

“Seeds for the seed bank are collected from relatives and surrounding villagers, and then distributed among beneficiary farmers. We have a special committee for the seed bank,” Haribola Pitia explains.

Anyone who gets seeds from the bank has to return more seeds than they have taken. This is the rule, though it varies from village to village. “In Machhara, if someone takes 10 kg of seed, she has to return 12 to 13 kg. In Kundra, you have to return 14 kg for every 10 kg taken,” informs Pitia.

Before the sowing season, villagers get together to identify good quality seeds and decide on the quantity to be distributed in each area. They will also reach an understanding of how to collect the seeds back from the beneficiary.

Due to these efforts, Koraput district today stands as a fine example of community participation for biodiversity conservation.

* Country earns $181.852m by exporting 173,684 metric tons of Basmati Rice compared to exports of 229,791 metric tons worth $198.5m of same period last year

Rice valuing $545.708 million exported during the first four months of current financial year as against the exports of $594.600 million of the corresponding period of last year.

During the period from July-October, 2022 about 965,360 metric tons of rice exported as compared to the exports of 1.091 million tons of same period last year, according to the data of the Pakistan Bureau of Statistics.

Rice exports from the country during the period under review recorded negative growth of 8.22 percent as compared to the exports of the same period last year, whereas overall food group exports recorded about 4.27 percent increase and food commodities worth $1.493 billion exported in four months of the current financial year.

The country earned $181.852 million by exporting about 173,684 metric tons of Basmati Rice as compared the exports of 229,791 metric tons worth $198.526 million of the same period last year.

Meanwhile, 791,676 metric tons of rice other than Basmati valuing $363.856 million also exported in the last four months as against the exports of 861,199 metric tons valuing 386.074 million of the same period last year. It is worth mentioning here that rice production in the country during the last season was estimated at 5.53 million tons as the crop sown over 2.99 million hectares of land.

During the period under review about 50,859 metric tons of fish and fish preparations valuing $134.595 million and 26,747 metric tons of meat and meat products worth $129.197 also exported. Meanwhile, Federal Minister for Finance and Revenue Senator, Mohammad Ishaq Dar, here on Monday expressed satisfaction over the availability and production of sugar in the country. Chairing a meeting to review the demand and supply situation of sugar in the country, the minister stressed on maintaining the strategic reserves of the commodity and maintaining its price for providing maximum relief to masses.

Among others, the meeting was attended by Federal Minister for National Food Security and Research (NFS&R), Tariq Bashir Cheema; Special Assistant to Prime Minister (SAPM) on Finance, Tariq Bajwa, SAPM on Revenue, Tariq Mehmood Pasha, Secretary NFS&R, Special Secretary Finance and other senior officers from Finance and NFS&R. Earlier, the meeting reviewed the available stock position and future demand of sugar in the country and was apprised that sufficient stocks of sugar are available in the country, according to press statement issued by finance ministry.

It was informed that sugar mills have started crushing the sugar cane in Sindh and Punjab provinces, it said adding the participants were also apprised that production of sugar in the province of Sindh would be less than last year due to floods.

Continued carbon emissions would significantly reduce rice and coffee production in Indonesia -- one of the world's top producers of both crops -- according to a study

Continued carbon emissions would significantly reduce rice and coffee production in Indonesia -- one of the world's top producers of both crops -- according to a groundbreaking study that will be published by a team of scientists led by a co-chair of the UN's climate science panel.

The study, titled "Impact of Climate Change in Indonesian Agriculture", found that continued climate change would cut Indonesia's rice production by millions of tons a year, cutting exports by a third and leading to price increases of more than 50 per cent.

Lower emissions would still lead to reduced rice yields and price rises -- but to a lesser extent.

Indonesia is the world's fourth-largest rice producer, and these cuts to yields could be expected to have a disastrous effect on the world's poorest people.

Food price rises this year, following Russia's invasion of Ukraine, have been a major factor behind increased hunger globally.

Lead author, Edvin Aldrian, said: "Our report shows the stark contrast between a world in which emissions are high, and one where emissions fall. There are significant economic incentives to increasing efforts to cut emissions, to save ourselves from the devastating impacts we would otherwise see."

Coffee production would also decrease under continued emissions -- with high emissions, Indonesia's coffee exports may fall around 2-35 per cent.

The scientists project an increase in coffee prices for both Arabica and Robusta bean varieties of around 32 per cent by 2050 and 56-109 per cent between 2050 and 2100.

Although the study focuses mainly on Indonesia's economic and food security, it is clear that Indonesia's decreased coffee and rice outputs will affect the global supply chain, and producers elsewhere may see similar effects.

Sea level rise will increase salinization, flooding, and the loss of rice fields in coastal areas. The report shows that climate impacts will reduce Indonesian rice production by 3.5 million tons or equivalent to fulfilling the rice consumption of 17.7 million people.

Without serious mitigation efforts to shift away from fossil fuels globally, sea level rise may increase saltiness of soils, which will cause a 50 per cent loss of productivity amounting to a decreased production of 8 million tons or equivalent to the rice consumption of 42 million people.

This means that there will be a significant increase in world rice prices due to increased demand. Countries with significant agricultural production in their coastal areas will also be impacted in a similar manner.

According to Elza Surmaini, an author of the study from BRIN -- Indonesia's main governmental research agency, "extreme climate conditions cause a significant reduction in planted area and agricultural production. We must enhance our adaptation and mitigation efforts to ensure food security".

"Without a significant increase in mitigation efforts, the number of days where the temperature and rainfall conditions are optimal for coffee cultivation in Indonesia will be reduced by 50 per cent by the end of the century," reports Supari, a study author from BMKG --Indonesia's meteorological agency.

These results clearly show how improved climate change mitigation actions are needed to avert the world from more catastrophic climate change impacts. The level of disruption climate change could have on Indonesia's agricultural sector would affect the world's agricultural supply chain. The only way this can be prevented is with faster action to reduce carbon emissions.

Perdinan, a study author from IPB -- Indonesia's foremost agricultural institute, said: "The economic costs of the impacts of continued climate change on agricultural production show it is essential to make stronger commitments to manage climate risks and stabilize food supply, which are essential for achieving Indonesia's development targets."

--IANS

vg/ksk/

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

The Villupuram police on Monday arrested a truck driver for transporting 3,600 kg of rice meant for public distribution through ration shops to the open market

The Villupuram police on Monday arrested a truck driver for transporting 3,600 kg of rice meant for public distribution through ration shops to the open market.

Lorry driver K. Krishnamoorthy (32) of Thandrampattu in Tiruvannamalai district was arrested for transporting the smuggled rice.

The Civil supplies flying squad of Tamil Nadu got a tip-off that some people were engaged in the smuggling of rice meant for ration distribution. Based on the input, the flying squad and Villupuram police conducted searches of lorries at Valathi checkpost. It was found that ration rice sacks were in a lorry driven by Krishnamoorthy and it was being sent to the open market.

It may be noted that a cartel has been working in Tamil Nadu involved in smuggling rice meant for distribution in ration shops to other bordering states like Kerala and Andhra Pradesh.

In some cases, the ration rice is sold in the open market at a premium price and the Tamil Nadu Civil supplies flying squad has posted many informers in the market.

Tamil Nadu Civil Supplies department has been taking measures to prevent the smuggling of rice and other Public Distribution System (PDS) materials.

--IANS

aal/shb/

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

THE rice inventory at the beginning of October increased 6.5% year on year to 2.08 million metric tons (MT), according to the Philippine Statistics Authority (PSA).

In a report issued Nov. 25, the PSA said that month on month, the October rice inventory rose 43.5%.

Rice held by households as of Oct. 1 rose 10.7% year on year to 1.17 million MT while inventory held by commercial warehouses, wholesalers, and retailers increased 9.5% to 798,120 MT.

Stocks held by National Food Authority (NFA) depositories fell 33.2% to 111,040 MT.

Compared to September levels, the PSA said that household rice rose 65.1% while inventory held by commercial warehouses rose 27.1%. NFA stocks dropped 1.2%.

“As of Oct. 1, 2022, 56.3% of the total rice stocks were from households, 38.3% from commercial warehouses/wholesalers/retailers, and 5.3% from NFA depositories,” the PSA said.

Meanwhile, the PSA said that total corn stocks increased 40.2% year on year to 720,600 MT as of Oct. 1.

Month on month, corn stocks rose 28.3%.

During the period, corn held by households dropped 1.5% year on year to 210,040 MT while stocks held by commercial warehouses rose 69.8% to 510,570 MT.

Compared to September, corn held by households rose 119.4% while commercial warehouse inventories rose 9.6%.

“Of this month’s total corn stocks inventory, 70.9% were from commercial warehouses/wholesalers/retailers, and 29.1% were from the households,” the PSA said.  — Revin Mikhael D. Ochave 

Cameroon: Kuwait pledges CFA13 billion for the rice sector in the Far North

(Business in Cameroon) - The Government of Kuwait announced the disbursement of CFA13 billion to support the development of the rice sector in the Far North. The information was revealed by Abduiridha Bahmen, who heads the Kuwait Fund delegation, during a meeting with the Cameroonian Minister of Agriculture, Gabriel Mbairobe, on November 25.

This funding, which is currently being finalized, will enable the implementation of the rice value chain development project in the region to increase national rice production by 4% each year. According to reliable information, the initiative will involve 160,000 producers and about 700,000 households.

This initiative, which is in line with the government's import-substitution policy, should help reduce the country's rice imports. Rice purchases swallow an average of CFA100 billion each year, according to official estimates.

BRM

Azerbaijan approves five-year tax exemption on the import of Pakistani rice

ISLAMABAD: Azerbaijan has approved a five-year tax exemption on the import of rice from Pakistan.

Prime Minister Shehbaz Sharif on Saturday thanked Azerbaijan’s President Ilham Aliyev for the decision.

"I am thankful to H.E. Ilham Aliyev, President of Azerbaijan, for approving the tax exemption on the import of Pakistani rice for five years. Our two brotherly countries will work to promote economic cooperation and connectivity through road, rail and Gwadar Port," the prime minister wrote on Twitter.

The prime minister's tweet came in response to the Azeri president's remarks that the decision to import rice from Pakistan with a tax exemption of five years was the outcome of his meetings with the Pakistani premier held in the last couple of months.

Aliyev, addressing an international conference at ADA University, Baku, the other day, said that during these meetings, they discussed the agenda of their bilateral relations.

The president of Azerbaijan was responding to the questions raised by a Pakistani participant.

The president said that he discussed with Prime Minister Shehbaz the prospects of further intensifying the bilateral economic and trade cooperation and the decision over special regulations for rice from Pakistan, was a reflection of that.

He said that they had decided to take this step in order to stimulate the growth of mutual trade between the two countries.

He had discussed with Prime Minister Shehbaz what kind of goods they could provide to each other, he added.

"Why should we buy rice from some other place if we have high-quality rice in a brotherly country? So, that decision was clearly based on our brotherly relations," the Azeri media quoted the president as saying.

Commenting further, the president said that his country enjoyed excellent relations with Pakistan.

"We are very grateful to Pakistan for the continuous support that the country demonstrates with respect to Azerbaijan-Armenia relations. During the times of occupation, during the war, and after the liberation of our territories, Pakistan was always with us, and this political and moral support is highly appreciated by the people of Azerbaijan,” President Aliyev said.

He further said that he knew that the Gwadar Port of Pakistan was transforming into a big international hub and connecting it with their infrastructure was not a difficult thing as they had to properly address the issue of tariffs, legal framework, coordination on regulation, and have teamwork.

* Country earns $181.852m by exporting 173,684 metric tons of Basmati Rice compared to exports of 229,791 metric tons worth $198.5m of same period last year

Rice valuing $545.708 million exported during the first four months of current financial year as against the exports of $594.600 million of the corresponding period of last year.

During the period from July-October, 2022 about 965,360 metric tons of rice exported as compared to the exports of 1.091 million tons of same period last year, according to the data of the Pakistan Bureau of Statistics.

Rice exports from the country during the period under review recorded negative growth of 8.22 percent as compared to the exports of the same period last year, whereas overall food group exports recorded about 4.27 percent increase and food commodities worth $1.493 billion exported in four months of the current financial year.

The country earned $181.852 million by exporting about 173,684 metric tons of Basmati Rice as compared the exports of 229,791 metric tons worth $198.526 million of the same period last year.

Meanwhile, 791,676 metric tons of rice other than Basmati valuing $363.856 million also exported in the last four months as against the exports of 861,199 metric tons valuing 386.074 million of the same period last year. It is worth mentioning here that rice production in the country during the last season was estimated at 5.53 million tons as the crop sown over 2.99 million hectares of land.

During the period under review about 50,859 metric tons of fish and fish preparations valuing $134.595 million and 26,747 metric tons of meat and meat products worth $129.197 also exported. Meanwhile, Federal Minister for Finance and Revenue Senator, Mohammad Ishaq Dar, here on Monday expressed satisfaction over the availability and production of sugar in the country. Chairing a meeting to review the demand and supply situation of sugar in the country, the minister stressed on maintaining the strategic reserves of the commodity and maintaining its price for providing maximum relief to masses.

Among others, the meeting was attended by Federal Minister for National Food Security and Research (NFS&R), Tariq Bashir Cheema; Special Assistant to Prime Minister (SAPM) on Finance, Tariq Bajwa, SAPM on Revenue, Tariq Mehmood Pasha, Secretary NFS&R, Special Secretary Finance and other senior officers from Finance and NFS&R. Earlier, the meeting reviewed the available stock position and future demand of sugar in the country and was apprised that sufficient stocks of sugar are available in the country, according to press statement issued by finance ministry.

It was informed that sugar mills have started crushing the sugar cane in Sindh and Punjab provinces, it said adding the participants were also apprised that production of sugar in the province of Sindh would be less than last year due to floods.

About 20 villages in Paletwa township in southern Chin state encountered a serious rat infestation problem causing devastation to their rice-paddies. Without anything left to harvest local farmers are facing desperate times ahead to survive.

A Samee resident said “Rat population increases significantly as bamboo sprouts in the forests near the towns of Paletwa and Samee. These rats have invaded the farming areas of the villages and are eating away at the paddy and other crops leaving nothing left to harvest.”

He continued ,“When buds and fruits start to appear on the rice plants, there is a certain kind of liquid in them. The plants were destroyed by rats at the stage. The situation in the paddy fields and plantations in Samee is pretty bad. There are about 20 villages there that have suffered so much that the farmers can’t harvest rice”, he said.

“ If the rats have infested, it is almost impossible to harvest rice from that field. For example, if a field can produce 50-bushel of rice when the rats destroy it, you will not be able to get even a bushel full”, a farmer from Paletwa explained.

The flowers bloom profusely in a couple of bamboo species locally known as Mathay and Thalaku from September. When such bamboo flowers bloom, rats tend to increase in number and cause havoc in farmlands.

The villages in Paletwa that faced a ruinous situation where there was no harvest left in the fields due to the rampage of rats are : Abaung Tha, Sat Hlay, Sam Sate, Chi Palin, Seint Sin, Long Kadu, In Kho Wa, Sein Lat Wa Hadawa. In addition, the villages located along the Samee-Matupi highway, villages in the lower and upper parts of the Samee creek and villages located between Samee and Paletwa also faced similar situations.

A Samee resident said “ Day after day, the rats infested the villages and destroyed the fields. Our farmers are mainly dependent on rice cultivation. Due to the current situation, farmers from Samee and Paletwa are suffering a lot. In addition, there is also the difficulty of blocked roads in the region.”

Locals are using tactics like lighting fires, setting traps and other traditional methods to make rats run away, but the number of rats is so high, that it is extremely difficult to control them.

Some Christian religious organizations are helping by distributing rice for the people of Paletwa who have nothing left to harvest in their paddy fields due to the destructive rats and facing difficulties in their livelihood.

Similarly, when fruits grew on the bamboo trees in 2008, rats ran rampant in Paletwa, causing extensive damage to rice and other crops, and some locals experienced famine.

The locals said that bamboo trees bear fruits once every 50 years, and rats often come and eat the fruits in large groups. Subsequently the rats invaded the farms and plantations to destroy rice and other crops.

The federal government says it has released funds for the construction of 10 large-scale integrated rice mills with 320 metric tonnes capacity per day.

Mohammad Abubakar, minister of agriculture and natural resources, disclosed this at the fifth edition of the President Muhammadu Buhari administration scorecard 2015-2017 series in Abuja on Monday.

Presenting the ministry’s achievements, Abubakar said the construction of the ten large-scale rice mills was part of the resolve of the administration for the country not only to be self-sufficient in the staple but for export.

He said the location of the mills were Jigawa, Kano, Adamawa, Niger, Kaduna, Gombe, Ekiti, Ogun, Bayelsa and FCT.

Abubakar also disclosed that the Presidential Fertilizer Initiative established in 2016 had led to the increase of fertiliser blending plants in the country from eight to 200.

He added that the annual fertiliser production rose from 300 metric tonnes per annum to over 7 million metric tonnes.

The minister added that the ministry constructed and handed over agribusiness incubation centres for training students in various agricultural value chains.

According to the minister, the beneficiary institutions include the Federal University of Agriculture, Makurdi, Benue, Umaru Musa Yar’Adua University in Katsina State and the University of Ibadan in Oyo State.

Others are the University of Maiduguri, Borno, Niger Delta University, Bayelsa and University of Abuja (FCT), while the project is ongoing in the Federal Universities of Lokoja, Kogi.

“The ministry also distributed 14,785 agricultural equipment, materials and tools, groundnut processing machines, cashew processing machines, oil palm processing mills with components,” the minister said.

“We also distributed tractors, combine harvester tricycles for farmers, colour sorters and 2000 knapsack sprayers to farmers nationwide.”

Abubakar further said there had been a paradigm shift in the agriculture space because of Buhari’s vision to redirect the economic trajectory of the country.

VIETNAM JAN-NOV RICE EXPORTS AT 6.7 MLN TONNES, UP 16.3% Y/Y- STATISTICS OFFICE

HANOI, Nov 29 (Reuters) - Vietnam's rice exports in the January-November period are estimated to have risen about 16.3% from a year earlier to 6.7 million tonnes, government data showed on Tuesday.

Revenue from rice exports in the period is seen up 6.9% to $3.2 billion.

November rice exports from Vietnam, one of the world's leading shippers of the grain, likely totalled 600,000 tonnes, worth $296 million. (Reporting by Phuong Nguyen Editing by Ed Davies)

Chandigarh, November 24

Rice milling for 180 lakh metric tonnes of paddy could be delayed this year if the government fails to act against some manufacturers of fortified rice kernels (FRKs), who are demanding a premium for supplying the rice to millers.

What is fortification of rice

• Fortification is the process of adding fortified rice kernels (FRKs), containing FSSAI-prescribed micronutrients (iron, folic acid, vitamin B12) to normal rice (custom milled rice) in the ratio of 1:100 (mixing 1 kg of FRK with 100 kg custom milled rice)
• The FSSAI defines fortification as ‘deliberately increasing the content of essential micronutrients in a food so as to improve the nutritional quality of the food and to provide public health benefit with minimal risk to health’
• As per the Government of India policy, fortified rice is to be supplied for public distribution and also for various other welfare schemes to combat several malnutrition-related diseases

Govt warns of action

All sale of FRKs has to be done through the Anaj Kharid portal, and at the prices already fixed. If any manufacturer is found seeking a higher price, we can initiate action against him, including cancelling his licence and blacklisting his firm. — Rahul Bhandari, Principal Secy, Food and Supply department

Some suppliers of the FRKs have started demanding Rs 8-10 per kg (Rs 800-1000 per quintal) over and above the price of Rs 46.58 per kg fixed by the state government for this year. The FRKs has to be supplied to the rice millers by the end of this week, as milling of rice is to start from December 1.

There are more than 128 suppliers of FRKs in the state, and as many as 338 (including suppliers outside the state) had participated in the tender process to supply FRKs in Punjab. As per rules, 1 kg of FRKs is to be mixed in 100 kg of custom milled rice.

“For the past couple of days, some FRKs manufacturers either directly, or through their brokers, have been approaching rice millers asking them to pay a premium if they want the FRKs on time. Since the Centre will not accept rice without fortification, these manufacturers are trying to browbeat millers,” Ranjit Singh Josan, a rice miller in Ferozepur said.

He said the matter had been raised by the Punjab Rice Millers Association with top officials in state Food and Supply Department, as non availability/delay in supply of FRKs could in turn delay the custom milling of rice. Interestingly, the department has also issued advertisements, warning the FRKs manufacturers against selling at a premium.

Another rice miller in Sangrur said he, too, had been approached by a broker. “In 2020, FRKs was supplied at Rs 71 per kg, while last year it was supplied at Rs 55 per kg. This year, one of the manufacturers quoted a much lower price in the bidding for the tender, and all others accepted the price of Rs 46.58 per kg. The Centre pays the state government a price of Rs 73 per kg to buy FRKs. As the number of manufacturers of the FRKs has increased, a competition has started between them to supply FRKs at lower price. But they are now trying to extract more money from the rice millers,” he said.

That Pakistan’s rice exports are