KARACHI: Acting President of FPCCI Suleman Chawla has proposed that Pakistani exporters should tap the potential to export to Lithuania in the Baltic Region.

He also expressed admiration that Lithuanian economy has grown by over 500 percent since 1990 and that, he said, points to the direction where the Lithuanian economy is headed.

Chawla appreciated the fact that Ricardas Degutis, ambassador of Lithuania to Pakistan, visited the FPCCI Head Office within days of assuming his office. That shows his seriousness to promote trade and economic relations between the two countries.

Acting FPCCI chief highlighted the fact that Pakistan has always considered Lithuania as one of the important countries for trade and strategic affairs given its geographical location at the Baltic Sea; and, sharing land borders with Russia, Poland and Belarus.

Chawla extended his full support from the platform of FPCCI to help organise trade visits and B2B engagements of Lithuanian importers and investors to explore Pakistani world-class textiles, leather products, IT & ITeS, sports goods, surgical instruments, mineral and natural resources, rice, fruits and vegetables and hospitality and tourism.

Suleman Chawla apprised the session that Pakistan has made tangible gains with Lithuanian neighbors Russia and Belarus in the recent months vis-a-vis trade relations.

Ricardas Degutis, Ambassador of Lithuania to Pakistan, informed the prominent business personalities at FPCCI Head Office that he is willing to play his role, as country’s top diplomat for Pakistan, to connect FPCCI to Chamber of Lithuania as people-to-people and business-to-business linkages must be fostered to strengthen economic relations.

Copyright Business Recorder, 2023

Thailand advises Hom Mali rice buyers to check certification branding after fake production coming from China

The Ministry of Commerce has advised customers looking to purchase genuine Hom Mali rice from Thailand to look for certification branding on the package. This recommendation came in response to a report on fake Hom Mali rice coming from China.

The Department of Foreign Trade (DFT) has advised consumers to look for certification branding on the packages for quality assurance. Recent reports have warned of Chinese imitations of Hom Mali rice, whereby manufacturers sell rice of other origins processed with flavor enhancers.

DFT Director General Ronnarong Phoolpipat said three manufacturers have already been found producing imitated Hom Mali rice, after which they were shut down by Chinese authorities.
Ronnarong said the damage to the reputation of Thai rice from these imitation products has yet to be determined.

Thailand’s trade promotion offices in China will conduct more frequent inspections against imitated products, as well as work to raise awareness among Chinese customers on the quality assurance branding for items originating from Thailand. (NNT)

FILIPINO households do not consume all the food on their dining tables, and the resulting wastage has grown into a problem that requires serious attention.

This finding is highlighted in the 2018 Expanded National Nutrition Survey conducted by the Department of Science and Technology's Food and Nutrition Research Institute (FNRI).

According to the study, rice, vegetables and meat are the three most wasted foods in Filipino households. The bigger the household, the higher the waste. And rural households squander more food than their urban counterparts.

In terms of income class, households in the highest one-fifth or quintile had a bigger wastage than the poorest quintile.

"This implies that households incur more wastes when higher quantities are purchased, which most probably are not consumed and end up being thrown away due to spoilage." the FNRI noted.

The study reflects a glaring disconnect: millions of Filipinos go hungry every year, but the average Filipino wastes 86 kilograms of food annually. The vast amounts of food that go uneaten and thrown away would have been enough to feed hungry stomachs.

Food waste is a global malaise. By one estimate, as much as 40 percent of food, or 2.5 billion tons, around the world is wasted every year. The wastage is enough to feed 3 billion people.

Food waste impacts the environment as well, and is already recognized as one of the drivers of climate change. Estimates suggest that 8 to 10 percent of greenhouse gas emissions are associated with food that is not consumed.

"The increasing and persistent global demand for food is also driving fertile land useless while contributing to more land degradation and deforestation, which as a result, destroys our precious natural habitats and biodiversity, limiting the services that they provide and disrupting entire ecosystems," according to one study.

The Philippines is struggling with its own food security woes. We ranked 69th among the 119 countries in the Global Hunger Index of 2018, indicating a "serious level of hunger incidence."

Fifteen percent of the population experience "severe food anxiety," the highest rate among five Southeast Asian countries.

Based on monitoring by the World Food Program last year, one out of 10 Philippine households is food insecure. The problem is most acute in the Bangsamoro Autonomous Region in Muslim Mindanao, Eastern Visayas and Soccsksargen, three of the country's poorest regions.

Addressing food waste must be a multisectoral effort if it is to be effective. The United Nations has made curbing food waste a Sustainable Development Goal (SDG) target. SDG 12.3 aims to cut by half per capita global food waste at the retail and consumer levels, and reduce food losses along production and supply chains by 2030.

In its 2022 State of Food Security and Nutrition in the World report, the Food and Agriculture Organization (FAO) suggested increasing efforts "to measure food and inedible parts wasted at retail and consumer level and track food waste generation in kilograms per capita at country level."

The World Food Program noted that Filipino households with heads who only had a primary or elementary education "are more likely to be food insecure." That could be a cue for the government to include food security in school curriculums to raise family awareness on managing food needs.

Food manufacturers and dining establishments can do their share by donating surplus food to charitable and social work institutions instead of throwing it out as garbage.

FNRI Director Imelda Angeles-Agdeppa stressed the need for new strategies to focus on reducing plate waste, which is beneficial from a nutritional, economic and environmental point of view.

Training people to prepare and choose less food in terms of portion and meal size reduction and formulating policies on waste reduction could be an effective strategy in preventing additional food waste, Angeles-Agdeppa said.

The FAO is urging governments to rethink how to reallocate their budgets "to make them more cost-effective and efficient in reducing the cost of nutritious foods and increasing the availability and affordability of healthy diets, sustainably and leaving no one behind."

It will be in the Philippines' best interest to heed FAO's suggestion.

HIGHLIGHTS

• Food prices continued to rise high since February 2022 for the 11th consecutive month (except for a decline by 0.1% in Dec-2022), with CPI food inflation in January 2023 increasing by 42.94% over January 2022. National and international drivers (fuel price hikes, energy costs, devaluation of rupee against dollar increasing prices of food/Non-food imported items, Russia-Ukraine war, etc) suggest that prices will remain high for the coming months.

• Headline inflation based on the Consumer Price Index (CPI) is now 27.55%, the highest in 48 years (since 1975), representing an increase of 27.55% in January 2023 over January 2022. It should be noted that inflation rates in neighbouring countries stand at 5.2% (Afghanistan), 6.5% (India), and 8.6% (Bangladesh).

• In January 2023, prices increased for staple cereals wheat (+27.1%), wheat flour (subsidized) (+17.0%), wheat flour (Fine) (+8.2%), rice Basmati (+16.3%) and rice Irri-6 (+14.6%) compared to December 2022, representing an increase of 90% in wheat, 78% in both wheat flour (subsidized) and wheat flour (Fine), 61% in rice Irri-6 and 53% in rice Basmati from the same time a year ago.

• Among non-cereal food commodities, prices increased for chicken (+21.0%), pulses (Moong (+5.2%), Gram (+2.7%), Mash (+2.6%), Masoor (+2.0%)) and eggs (+2.0%) from the previous month, representing an increase in chicken (+99%), eggs (+60%), Moong (+56%), Gram (+48%), Mash (+40%) and Masoor (+21%) from the same time a year ago. On the other hand, prices decreased for ghee (-2.1%) and sugar (-1.1%) from December 2022.

• A comparison of pre-flood (June 2022) and post-flood (January 2023), some food commodities indicated huge increase in prices; for instance, price of onions increased up to 220%, wheat flour 74%, rice Irri 68%, pulse moong 65%, rice Basmati 45%, and milk 39%.

• Average Terms of Trade (ToT) for January 2023, measuring the amount of wheat flour that can be purchased with one-day of casual unskilled labor wage worsened by 14.0% from the previous month. The retail prices of automotive fuels increased in January 2023 compared to the previous month i.e., Super Petrol (+16.0%) and High-Speed Diesel (+15.0%).

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.

Rising rice prices reflect increased fertilizer costs, farmers’ group says

RICE PRICES are rising even during the dry season harvest, reflecting the higher cost of fertilizer, according to a farmers’ organization.

In a Viber message, Raul Q. Montemayor, chairman of Federation of Free Farmers, said high fertilizer prices raised the cost of production for palay (unmilled rice).

In Metro Manila markets, the price of domestically-produced rice between March 1 and March 15 rose P2 per kilogram compared with February levels, while the price of imported rice rose around P4, according to government price monitoring reports.

According to Mr. Montemayor, the dry season crop accounts for about 44% of annual rice production. The harvest for this crop is currently ongoing.

Mr. Montemayor also attributed higher prices to the rising cost of rice in Vietnam, one of the Philippines’ top suppliers of the staple grain.

He said that the “overall increase in import prices allowed local prices to inch up.”

“We expected this to happen in late 2022, but large imports during the year may have resulted in some delayed reaction which we are seeing now,” Mr. Montemayor said.

Citing data from the Bureau of Customs, Mr. Montemayor said that the Philippines imported 3.85 million metric tons of rice in 2022 which was the highest total since the rice tariffication law took effect in 2019.

He said imports do not seem to have kept prices from increasing.

Agriculture Assistant Secretary Rex C. Estoperez said that prices usually increase during the dry season, but agreed that fertilizer costs were a factor.

Mr. Estoperez said that the Philippines has been heavily dependent on chemical fertilizer.

“It might be better to source locally. Either organic or chemical fertilizer, it is better to have (domestic production) so that we are not dependent on imports,” he said.

“We still cannot say that the (rice prices) have normalized as the harvest has not peaked yet. We are still dependent on the remaining supply we are importing,” Mr. Estoperez told reporters. — Sheldeen Joy Talavera

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.

KUALA LUMPUR, March 15 — The government cannot unilaterally cancel any contract to import rice into the country because it needs to consider the social obligations which Padiberas Nasional Berhad (Bernas) has agreed to implement, the Dewan Rakyat was told today.

Deputy Agriculture and Food Security Minister Chan Foong Hin said as the country’s main rice importer, Bernas needed to fulfil 10 social obligations without getting any grants from the government.

The obligations include managing the country’s rice buffer stock, maintaining its role as the last padi purchaser at a minimum price, and managing padi price subsidy payments as well as the scheme for millers, Bumiputera wholesalers and farmers’ cooperatives.

Apart from this, Bernas also has to allocate funds for supply of machinery and padi mechanisation, development of large-scale padi farms and providing allocations for several programmes, including development of padi seed buffer stock, padi cultivation disaster fund aid and an information system on padi and rice.

“The cost that Bernas needs to bear to continue with the implementation of all these obligations, whether directly or indirectly, is RM3.22 billion, and of this figure, RM1.85 billion involves farmers and RM1.37 billion is for industries and consumers.

“Furthermore, Bernas now also gives a cash contribution of RM60 million and shares 30 per cent of its net profit from rice imports with farmers this year,” he said when winding up the debate on the Supply Bill 2023 at the committee stage on behalf of the ministry.

Earlier, several parties had questioned the extension of Bernas’ concession period as the country’s sole rice importer but the government stressed that it was necessary to ensure the commodity remains stable and under control.

The RM3.7 billion allocation for the ministry under Budget 2023 was approved at the committee stage by a majority voice vote after being debated by 21 government and opposition MPs. — Bernama

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

LAHORE: Punjab Governor Muhammad Baligh-ur-Rehman presided over a meeting of Sub-Committee on Rice Seed at Governor’s House here Tuesday. In the meeting, various suggestions were presented regarding the improvement of rice seed.

Speaking on this occasion, governor said that rice is important cash crop that earns country billions of foreign exchange besides meeting the country's nutritional requirements. He said that all the stakeholders had to give special attention to the search on rice seed to increase rice production substantially and explore new markets to increase export of rice.

Punjab Governor said that modern research was needed to improve the quality of the seed to increase the rice export so that the production of high quality rice in the country and its export can be boosted through joint efforts. He said that he would 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. On this occasion, Convener, sub-committee on rice, Shehzad 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 demanded the government simplify the rules and regulations related to breeding at the local level and provide interest-free loans for research and development of the institutions that produce seeds of modern technology at the local level. He emphasised on providing the facility of conducting tests from, at least three accredited laboratories.

Meanwhile, Governor in his message on Punjab Culture Day, said that Punjab is the custodian of regional customs and cultural traditions. He said the Punjab government deserves congratulations for celebrating March 14 (Punjab Culture Dihar) with zeal.

Health Consortium: The Vice-Chancellors of different medical universities suggested promoting academic research and modern trends in the field of medicine. They floated these suggestions during a meeting of the Consortium on Health chaired by Punjab Governor Balighur Rahman on Tuesday.

The trends in health education was the topic of the Consortium meeting which was attended vice chancellors of various medical universities. Convener of Health Consortium Committee, Vice Chancellor of FJMU Prof Khalid Masood Gondal briefed the governor about the suggestions and recommendations of the consortium.

VC University of Health Sciences Prof Ahsan Waheed Rathore, VC Children's University Prof Masood Sadiq, VC Faisalabad Medical University Prof Zafar Ali Ch, VC Nishtar Medical University Prof Rana Altaf Ahmed, VC Rawalpindi Medical University Prof M Umar and Pro VC King Edward Medical University Prof Ijaz Hussain also participated in the meeting.

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.

Raipur: The Directorate General of Foreign Trade (DGFT) on Monday organised an export outreach programme in Atal Nagar Nava, Raipur, with the exporters and investors from the state to increase the exports from the Chhattisgarh.
Exporters from Chhattisgarh have demanded that the 5% tax exemption of mandi fee on rice export — set to expire after two months — should be continued.
They also demanded a concession on the export units for goods transport and modernisation of processing plants, as Chhattisgarh is a landlocked state.
Raipur district collector Dr Sarveshwar Bhure said that pro-industry policies of the state have led to increase of more than 22% in the exports in the last five years. He said that special efforts are being made to promote the export of rice, construction machinery, and materials and processed spices from Chhattisgarh.
Raipur and Durg district are among 75 districts of the country that have been identified as potential districts for export promotion by the government of India.
Raipur district collector Bhure also emphasised on the possibilities of export of wire, rods, bars, coils, TMT bars, steel as well as forest produce tamarind, mahua, lac and small grain millets, Kodo, Kutki and Ragi.
Representatives of the Processed Food Products Exports Development Authority, Shellac and Forest Products Export Promotion Council, Export Credit Guarantee Corporation of India Limited attended the programme.

Convener of Rice Exports Committee of Federation Chamber of Commerce and Industry (FPCCI), former Chairman Rice Exporters Association of Pakistan (REP) Rafiq Sulaiman said that due to flood in Sindh.

40% of the rice crop has been affected due to which non-basmati rice exports have decreased by 15% and overall rice exports have decreased due to the prevailing conditions, Federation Chamber of Commerce and Industry Rice Exports Give suggestions to the government to improve those who are currently suffering so that the rice export targets can be achieved. He expressed these views while addressing the third meeting of the Rice Exports Committee of FPCCI yesterday.

FPCCI vice presidents Shabbir Mansha, Shaukat Ali Sulaiman, Haji Muhammad Yaqoob, former senior vice president FPCCI Abdul Rahim Janu, REP chairman Chela Ram Kiwalani and prominent exporters of rice were also present in the meeting. Rafiq Sulaiman said that in the 8th month of this year, the export of basmati rice has decreased by 25% while the export of non-basmati has decreased by 29%.

Pakistani rice is exported to 116 countries around the world, the current situation in which electricity, due to non-availability of gas, increasing price of petrol exporters are suffering a lot and they are loosening their market, I strongly appeal to the government of Pakistan to pay special attention to the export industry so that Exporters can export more.

Rafiq Sulaiman added that there is a great demand for 386 Pakistani rice in Somalia, soon a trade delegation of rice exporters will also go to Somalia to increase the export of Pakistani rice.

Abdul Rahim Janu said that if the current situation continues, there is a possibility of a huge decrease in exports and there will be a significant decrease in domestic foreign exchange.

He said that after Eid-ul-Fitr, FPCCI and Rice Exporters Association will organize a biryani festival with mutual cooperation in which ambassadors, commercial attachés, government officials of all countries will be invited.

To highlight the importance, in this biryani festival, dishes prepared from different types of rice will be made.

Shabir Mansha said that Kazakhstan has emerged as a new market and direct flights are starting here from the month of April.

Due to which the export of Pakistani rice can be increased in this market.

Chela Ram Kevalani said that due to the rise and fall of the dollar, both imports and exports have been badly affected, the government has increased the interest rate and the business community is facing a lot of difficulties.—NNI

Ban on broken rice exports is likely to have an adverse impact on farmers and millers, especially in Telangana, where a huge quantity of broken rice is expected during the Yasangi (Rabi) crop season

Hyderabad: The Centre’s decision to levy 20 percent duty on raw rice exports and ban export of broken rice has put paddy farmers and millers from Telangana in a tricky position. Though the Centre is claiming that the decision was taken to discourage rice exports and ensure availability of adequate stocks domestically, it is likely to have an adverse impact on farmers and millers, especially in Telangana, where a huge quantity of broken rice is expected during the Yasangi (Rabi) crop season.

Paddy is being cultivated in a record 55 lakh acres in Telangana during this Yasangi season, which expected to result in an yield of 1.5 crore tonnes. While the State government is planning to procure nearly 90 lakh tonnes, the Centre had agreed to purchase the rice but with a rider that the State would supply only raw rice. It is now well-known that the Yasangi crop would result in huge quantity of broken rice if the paddy is milled into raw rice.

India banned overseas shipments of broken rice and imposed a 20 percent duty on exports of various other grades in September 2022 amid concerns over production due to below-average monsoon rainfall in key paddy growing States. Though the Centre anticipated a shortfall of rice stocks in the country, the situation appears to be different.

The Union government has recently informed the Parliament that India’s rice exports recorded 22.26 million tonnes in 2022, an increase of 3.5 percent, making it the largest exporter of rice globally. Further, officials said India has ample stocks of rice domestically and would ensure that the restrictions have not deprived the world of rice.

The Centre’s decision not to lift the ban on broken rice exports is expected to affect buyers, particularly in China, who use broken rice as raw material for making ethanol or cattle feed. China was the largest buyer of India’s broken rice, with purchases of 1.1 million tonnes in 2021. Thus, this would affect Telangana farmers and millers adversely as well with the State turning into largest producer of broken rice due to the Centre’s mandate to supply only raw rice to the Food Corporation of India.

Meanwhile, a large quantity of parboiled rice which is used to make idli and dosa batter has been reportedly held up at some ports in Tamil Nadu and Andhra Pradesh, after the Customs authorities assuming it to be normal raw rice due to presence of chalky white grains in rice. The parboiled rice is largely exported to countries like Dubai, Japan, Singapore and Canada. The officials are asking the exporters to pay 20 percent duty to export it, treating it as raw rice. Except exports from Kerala, where idli rice is double parboiled, parboiled rice exports are affected in all other States.

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

KARACHI, March 10 (China Economic Net)– "Unquestionably hybrid rice is a model of China-Pakistan agricultural cooperation in Sindh Province," Mr. Zhou Xusheng, Director of Pakistan Business Department, Wuhan Qingfa Hesheng Seed Co., Ltd. a Chinese developer and provider of hybrid seeds, told the reporter of China Economic Net (CEN).

Amidst global headwinds, Pakistani rice is facing a series of challenges. Chela Ram Kewlani, President of the Rice Exporters Association of Pakistan (REAP), indicated that during the first seven months of the FY 2022/23, the export value of Pakistani rice decreased by 15.82% year-on-year to USD 1.08 billion, mainly due to flood damage to paddy fields in Sindh, where the local rice production has been reduced by 40%. 

Qingfa Hesheng has been providing hybrid seeds of rice, canola and vegetables to Pakistan for nearly twenty years, as well as training more than 300 local agricultural personnel. In particular, it registered the first hybrid rice variety -QY0413 in the history of Pakistan. 

“It may take three years for the rice export, which is an important means for Pakistan to earn foreign exchange, to recover,” Zhou noted, “however, we have preparation for such situations. 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, our test fields are located in Lahore, Chiniot, Shikarpur, Golarchi.”

“Except for floods, extreme high temperatures brought about by climate change are also difficulties that must be overcome in the upgrading of Pakistan’s rice industry. The annual average temperature here is much higher than that in China’s main rice climate zone. Therefore, in our selection of rice varieties, it is imperative to guarantee the seed setting rate and quality under high temperature. Nevertheless, a coin has two sides. 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.”

Data from PBS showed that exports of basmati rice fell 22.95% to 316,055 tonnes in the first seven months of this year from 410,207 tonnes in the same period last year, while exports of non-basmati rice fell 25% to 1.62 million tons. Despite a sharp drop in exports, rice prices have seen unprecedented increases in the domestic market due to inflation and rising international rice prices. In this regard, Zhou put forward his viewpoint.

“Affected by currency depreciation and inflation, the cancellation of natural gas subsidies means that fertilizer prices have risen, and even supply shortages. Various expenses have pushed up the purchase price of basmati rice. On the other hand, the main purpose of non-basmati rice is to export foreign exchange, and the three leading rice enterprises account for more than 50% of non-basmati exports. Rising costs have led to a decline in the competitiveness of non-basmati rice in the international market, so orders have dropped significantly.”

Soaring price of rice has greatly stimulated the enthusiasm of local farmers to plant hybrid rice, but expensive fertilizers and gasoline and diesel has pushed up the cost simultaneously. “For us, in order to make the hybrid rice business go further in Pakistan, ensure local food security, and further increase Pakistan’s foreign exchange, help the local establish relevant downstream industrial chains, lower the cost to improve the competitiveness and added value of its agricultural products, and further expand employment is is our top priority.”

The Ministry of Agriculture and Rural Development is about to complete a draft of the project to develop 1 million ha of low-emission high-quality rice in Vietnam, according to Deputy Minister Tran Thanh Nam.

Hanoi (VNA) – The Ministry of Agriculture and Rural Development is about to complete a draft of the project to develop 1 million ha of low-emission high-quality rice in Vietnam, according to Deputy Minister Tran Thanh Nam.

Speaking in an interview granted to the Vietnam News Agency, Nam said that the ministry will submit the draft to the Government next month.

About 700,000 ha of rice nationwide has been registered to join the project once it’s approved, Nam said.

The project is part of the activities to implement Vietnam’s Strategy for Sustainable Agriculture and Rural Development in the 2021-2030 period, with a vision to 2050.

Among the strategy’s goals is to develop areas of qualified raw materials.

Meanwhile, the project on 1 million hectare hi-quality rice will be among Vietnam’s efforts in realising the country’s commitment at COP 26 for net zero emissions by 2050.

The project will be critically important to the Mekong Delta region – Vietnam’s largest rice bowl - as current statistics show that rice production emission accounts for 40% of the total agricultural production’s emission.

Deputy Minister of Agriculture and Rural Development Tran Thanh Nam. (Photo: VNA)

It also aims to reorganise rice production in which cooperatives connect and support farmers to reduce production costs, and increase values for products and incomes for farmers, Nam said.

Currently, low-emission production models are applied on about 180,000 ha across Vietnam, Nam said, adding that those models will be consolidated and scaled up.

Results from the Vietnam Sustainable Agriculture Transformation Project (VnSAT) - a successful model that helps boost sustainable agriculture in the country - will be also expanded with higher requirements.

Nam said that enterprises are called on to join the low-emission high-quality rice production project as they need high-quality raw material areas./.

TEMPO.CO, Jakarta - Indonesian President Joko "Jokowi" Widodo is scheduled to monitor the harvest activities and inaugurate shrimp ponds in Central Java Province on Thursday, March 9.

The President and First Lady Iriana boarded the Indonesia-1 presidential aircraft to leave for the Yogyakarta International Airport in Kulon Progo, Yogyakarta, from the Air Force Base Halim Perdanakusuma in Jakarta on Thursday morning.

Accompanying the state head on the flight include Defense Minister Prabowo Subianto, Cabinet Secretary Pramono Anung, Military Secretary of President Rear Admiral Hersan, Presidential Security Detail (Paspampres) Commander Maj. Gen. Rafael Granada Baay, and Deputy for Protocol, Press, and Media of President Bey Machmudin.X

Yogyakarta Governor Sri Sultan Hamengkubuwono X and his wife, Commander of IV/Diponegoro Military Command Major General Widi Prasetijono and his wife, Regional Police Chief Inspector General Suwondo Nainggolan and his wife, and Adi Sutjipto Air Force Base Commander First Marshal Dedy Susanto and his wife welcomed the President's entourage upon arrival at Yogyakarta International Airport. 

Then the President went straight to the location of the rice harvest in Lajer Village, Ambal District, Kebumen Regency, Central Java Province. After that, the entourage moved to the shrimp cultivation pond located in Plesung Village, Karangrejo, Petanahan District, Kebumen Regency, to inaugurate it.

President Jokowi is also scheduled to visit Petanahan Market to hand over a number of social assistance to traders and then will return to Yogyakarta International Airport and depart for the Adi Soemarmo Air Force Base in Boyolali Regency for the next agenda. 

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).

HANOI, March 8 (Xinhua) -- Vietnamese rice export prices increased to 528.5 U.S. dollars per ton, up 9.8 percent in the first two months this year from a year earlier, the Vietnam News reported on Wednesday.

The Ukraine crisis has prompted buyers to import more rice and build up their inventories on fears that the disruption in the supply chain of food grains would make a comeback, the newspaper quoted Nguyen Quoc Toan, head of the Center for Digital Transformation and Agricultural Statistics under the Agriculture Ministry, as saying.

Prices of Vietnam's 5-percent broken rice prices in February rose to 457 U.S. dollars per ton from 449 U.S. dollars in January, Toan added.

Vietnam exported 789,000 tons of grain in January and February, earning 417.2 million U.S. dollars, down 18.8 percent in volume and 10.8 percent in value compared to the same period last year, according to the General Statistics Office.

The Philippines was the biggest import market in January with over 129,000 tons worth 64.55 million U.S. dollars, accounting for 34.6 percent of Vietnam's total export.

Supply remains a concern as the drought in some countries affected production and the situation in Ukraine raised concerns over shortages, traders said.

Besides, India's ban on broken rice exports and a 20-percent tax levy on white rice varieties have added to the supply difficulties given the fact that the South Asian country is one of the largest rice exporters in the world. Enditem

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".

Talking on the phone from his tractor in Colorado County, Texas, Craig Gutman said he was not surprised to hear water would not be available for rice farmers like him this year.

"I was pretty much expecting it. We've been watching the lake levels," he said, referring to the Highland Lakes.

The lakes sit well over 100 miles away from his farm, upstream on the Colorado River. These are the reservoirs that supply water not only to Austin, but also to agriculture and industry downstream.

Ever since drought took serious hold last summer, the reservoirs have been depleted enough to trigger an automatic cutoff for farmers who hold “interruptible” water contracts with the Lower Colorado River Authority, the agency that manages the reservoirs.

Those cutoffs began last July, and the LCRA announced Thursday they would continue this year.

“LCRA’s state-approved Water Management Plan requires it to cut off Highland Lakes water to agricultural customers ... based on the intensity and duration of the drought,” the agency said in a press statement.

That water management plan was adopted after the drought of 2011, which remains the worst single-year drought in Texas history.

All About Rice Farming In Texas

Early in that drought, water sent downstream for agriculture reduced the reservoir storage in the Highland Lakes considerably. It was so low some worried it put reserves for cities like Austin, with firm water contracts, at risk.

“During hot, dry times like these, the plan requires the curtailment of water to interruptible customers so LCRA can continue meeting the needs of cities, businesses and industries," John Hofmann, LCRA executive vice president of water, said in the statement.

Gutman says that some farmers in his area will use groundwater to keep growing rice, but tens of thousands of acres will now go uncultivated this year. Exacerbating the problem is the fact that a new reservoir which was constructedafter the 2011 drought to help farmers is still not up and running.

"When they were filling itup, the water was ... running straight back into the river," he said. “They're trying to seal it and line it ... to where that thing will hold water and do what it is supposed to do.”

He says crop insurance should soften the blow for the owners of approximately 250 rice farms that cultivate roughly 160,000 acres of cropland near the Texas Gulf Coast. But the rest of his community doesn’t have insurance to fall back on.

"The support industries are the ones that are really going to suffer,” he said. “It's our flight services, our chemical companies, our seed companies, our rice driers, and just the local economy is going to take a major, major hit.”

“It all starts with rice,” he said. “And rice has to have water.”

Rice farming is extremely water intensive – so much so that many have wondered whether the industry will survive in Texas, as water scarcity continues and water demand grows.

"To be really honest with you," Gutman said, "it is a major concern in this area."

As water supplies dry up, farmers look to drought-friendly alternatives if rice becomes unsustainable.

George Tibbitts, a third-generation farmer in Arbuckle, CA, has been growing rice on his 1,200-acre farm for three decades. His Sacramento Valley irrigation district, one of the oldest in the state, has long benefitted from senior water rights, which date back to 1914. The rights allow farmers such as Tibbitts to keep their fields flush with water, even in arid conditions.

But last year, with much of the state in extreme drought, he faced a career first: His district slashed water allocations by an unprecedented 90 percent, leaving him with little choice but to fallow all of his rice fields. 

Fortunately, the tenth of normal supply he received was still enough to plant sunflower, wheat and tomatoes in four of his nine fields. “If I were only growing rice,” says Tibbitts, “I would’ve been in a big world of hurt.”

Because farming is a profession fraught with uncertainty, there are obvious advantages to having options. Yet, when it comes to rotating fields in a region steeped in a long tradition of growing rice, Tibbitts goes against the grain. In fact, only about 10 percent of the Sacramento Valley’s 500,000 acres of riceland is rotated, with heavy clay soils favoring flooded paddies over other field crops. As such, there’s little information or much of a history to support the practice of crop rotation or substitution.

To bridge the knowledge gap, University of California researchers have developed the Rice Rotation Calculator, an online tool that helps growers explore the economic impacts of switching from rice to one of several alternative crops. Like an insurance estimator, it takes the guesswork out of field rotation: Farmers input a host of variables for cultivating rice—everything from seed and input costs to equipment, labor and irrigation—to get instant, dollar-per-acre revenue comparisons for beans, safflower, sunflower and tomatoes.

Crop rotation can help mitigate the economic and agronomic risks of mono-cropping, such as loss of soil fertility, increased reliance on pesticides and vulnerability to price fluctuations, says Whitney Brim-DeForest, a UC Cooperative Extension rice advisor, who developed the calculator with Sara Rosenberg, a UC Davis doctoral student in horticulture and agronomy.

However, because the practice is relatively rare in California’s rice country, the unknowns can make it a daunting proposition. “We don’t want to advise [growers] to crop-rotate if they [don’t] have an idea of what it looks like economically,” says Brim-DeForest. “This tool is designed to help them make informed decisions and, hopefully, reduce the barrier to entry.”

There’s also an enormous effort required to take a field out of rice, including removing levees, bedding up fields and installing irrigation. Rosenberg says that’s just one factor that contributes to “a whole system that’s been created to make rice so feasible.” Yes, there’s the clay soil, flat landscape and senior water rights. But that has created a unique regional economy and industry—one that seeds fields with planes instead of drill seeders, harvests with giant combines rather than tractors and requires far less labor than row crops.

It’s no wonder, then, that there’s very little data to support the practice of rotating rice fields, adds Brim-DeForest, and a lot of uncertainty around adopting such a major transition. “In this region, rice is a cultural crop,” she says—one engrained throughout generations of families and entire communities. The ubiquity often means that information and resources needed to make a switch are harder to come by, as are the social networks that aid in sharing equipment and tapping different markets.

The Rice Rotation Calculator is designed to demystify one of the biggest unknowns of rotating out of rice: the bottom line. Curious growers simply input their current farming costs as well as opportunity costs—the learning curve, in hours, for a new cropping system multiplied by hourly wage—to get a comparative overview of switching to one of four options: dry beans, safflower (both lower in value than rice, with a low barrier to entry), sunflower or tomatoes (both higher in value, with a more complicated transition).

Data pulled from the UC Integrated Pest Management Program, which developed the backend, factors in a comprehensive range of cost considerations. Along with seed, input and equipment costs, the calculator accounts for labor, field reconstruction and even rent for tenant farmers. Users get instant rice-versus-selected-crop comparisons, displayed via a graph and itemized summary for first- and average-year costs and net revenue.

Rosenberg emphasizes that the calculator shows only short-term cost implications, and it doesn’t account for bumps in rice yields, savings in inputs and weed control and additional benefits touted by Tibbitts and other advocates. She hopes that in supporting the wider adoption of crop rotation, data and research will follow and that future upgrades will incorporate that knowledge into forecasting long-term returns on a seemingly promising investment.

In the meantime, the calculator allows growers to weigh sound options for squeezing the most out of a limited water allocation or selecting a robust crop mix for weathering a cool rice market. Given all the uncertainties inherent in farming,“it’s another tool in the toolbox,” says Rosenberg, for growers to build resilience.

In a normal year, the Sacramento Valley produces 97 percent of California’s rice, but with reservoirs drained after three years of continuous drought, production plummeted by half in 2022, to 250,000 acres. Although heavy winter storms have brightened the outlook for this year, “we’re not out of the woods yet,” says Tibbitts. The U.S. Bureau of Reclamation recently signaled a potential increase in allocations—all the while noting that conditions are still subject to change. At this point, he notes that he’d be happy to get half of his annual water supply.

Regardless of outcome, a diverse planting helps Tibbitts roll with the punches. While four fields are slated for a May seeding of rice, he’ll plant a couple with sunflowers in early spring and lease the remainder to a tomato grower. In addition to stretching water allocation—sunflowers grow solely on residual soil moisture, while drip-irrigated tomatoes require 60 percent less water than rice—crop rotation improves soil health, reduces pesticide resistance and weeds and helps stagger his harvest.

“And when I put a field back into rice after growing tomatoes,” adds Tibbitts, “I always get the best yields.”

The export prices of Vietnamese rice in the first two months of 2023 rose by 9.8% year-on-year to 528.5 USD/tonne, according to the Ministry of Agriculture and Rural Development (MARD).

Hanoi (VNA) - The export prices of Vietnamese rice in the first two months of 2023 rose by 9.8% year-on-year to 528.5 USD/tonne, according to the Ministry of Agriculture and Rural Development (MARD).

Vietnam exported 789,000 tonnes of the grain in the reviewed period, earning 417 million USD, down 18.8% in volume and 10.8% in value compared to the same period last year.

The Philippines is the largest importer of the food from Vietnam in January with over 129,000 tonnes worth 64.55 million USD, accounting for 34.6% of Vietnam’s total export.

Vietnam recorded the highest increase price for rice exported to Taiwan (China) in January, with a surge of 54.6% year-on-year.

It is forecast to have favourable conditions for rice exports in 2023 as many countries such as the US and China, and those in Europe, are being affected by climate change and drought, which cause a shortage of rice supply.

Moreover, India - one of the largest rice exporters in the world, imposes a ban on broken rice exports and a 20-percent tax rate on white rice varieties.

Vietnam aims to export between 6.5 – 7 million tonnes of rice in 2023.

Its export is predicted to increase again as the demand in traditional markets such as Indonesia and Bangladesh has risen, and China – one of the largest importers of Vietnamese farm produce, has opened the market after the COVID-19 pandemic./.

After touching the peak of 4.9 million metric tons during the last fiscal, Pakistan’s rice exports are well on their way to explore a fresh bottom. Seven-month fiscal report from Pakistan Bureau of Statistics indicates that the country would be lucky to manage 3.2 million metric tons in exports during 2022-23, lowest quantum in past 15 years. Per PBS, rice exports are already down 25 percent during 7MFY23, easily making rice one of the worst performers among major exporting segments.

January 2023 turned out to be one of the worst performing months, as coarse rice - which constitutes up to 85 percent of exports by quantity – saw volume exported decline by 56 percent year on year to just 0.18 million metric tons. If last year isn’t fair comparison given record exports, consider that January 2023 underperformed Covid year exports (Jan’21) by 30 percent, and were 51 percent lower than average exports for the month over the last decade.

Export revenue performance from coarse rice offers little cause for hope either, falling 40 percent over last year. It was also one-third lower than the 10-year average, despite 40 percent higher unit prices fetched. At this rate, coarse rice exports would be lucky to breach the 2.8MMT mark in the full fiscal, having managed at least 3MMT every year since at least FY14. Coarse rice export revenue may rake in $1.3 billion, a six-year low. However, it may not the worst year for the exporting firms, who have fetched the highest per unit prices for coarse exports in well over a decade.

Meanwhile, export performance of the higher value basmati rice hasn’t been too different either. Although per unit basmati prices fetched in the export market during the 7MFY23 – nearly $1,100 per metric ton - have climbed up to their highest level in the last 10 years, basmati export volume remained lowest in five years, barely breaching 0.3MMT in the seven-month period. In fact, this may be the first time in five years when annual basmati exports from Pakistan once again fall under half a million metric tons, putting Pakistan’s share in the global market well below 10 percent, barely putting a dent in the market share of neighboring India, which commands the remainder 90 percent market share.

Here too, however, higher prices once again come to the rescue. Basmati unit prices are at least 25 percent higher compared to last fiscal year, raising the average earnings for the exporters. If prices remain elevated for the remainder fiscal year, revenue from basmati exports will only be 18 percent lower than last year, compared to one-third lower had prices remained at the same level as year – when they averaged around $900 per metric ton during the full fiscal. Revenue from basmati exports is expected to remain under $600 million, lowest in five years.

Although higher prices amid low volumes will make 2022-23 a mixed season for exporters, it is surprising that basmati exports did not pick up during the current marketing year. According to provisional crop statistics from provincial authorities, basmati crop had performed better during the kharif 2022 season, unlike coarse rice varieties such as IRRI and hybrid, which had become victim to the devastating floods in southern parts of the country. If export volumes do pick up during the remaining fiscal, it may lend credence to the theory that keeping the currency artificially appreciated during the first half caused irreparable damage to revenue from exports. Keep a close eye!

MANILA, Philippines  -SL Agritech Corp., the country’s largest hybrid rice producer, is asking President Marcos to provide additional and long-term funding for farmers and devote a bigger land area for hybrid rice to achieve the government’s rice self-sufficiency goal.

“We need P7 billion to P8 billion for at least 10 years for us to produce enough seeds. That is what we asked from the government,” SL Agritech chair and CEO Henry Lim Bon Liong told the Inquirer.

He said the company was spending about P1 billion per hectare to produce seeds for hybrid rice, a type of rice bred from two different parents as defined by Laguna-based International Rice Research Institute.

“How can you fund a long-term investment [with] a short-term loan?” he said. “If we want to be self-sufficient in rice, we should also be self-sufficient in seeds. If we are sufficient in rice but we don’t have enough seeds and we only rely on importation, [then] what will happen if there will be a shortage of seeds worldwide?”

SL Agritech technical and promotion support consultant Frisco Malabanan said farmers should also gain easier access to loans with zero or low interest rates.

The issues were raised during a recent meeting with Mr. Marcos, who concurrently heads the Department of Agriculture.

“The problem for farmers is that the government’s credit program is not that accessible. Farmers do not want to go back and forth to the bank to comply with the requirements and secure financing because they are too busy cultivating their lands. That’s why they patronize the informal credit conduits,” said Malabanan.

In a study published in Cell Reports, Prof. SONG Xianjun’s group from the Institute of Botany of the Chinese Academy of Sciences has uncovered a gene network underlying the regulation of seed size.

The researchers found that a genetically defined cascade-OsTIR1-OsIAA10-OsARF4-plays an important role in controlling rice grain size, and Thousand-grain weight on chromosome 3 (TGW3) phosphorylation of OsIAA10 regulates the trait by altering the corresponding auxin signaling.

Cultivated rice (Oryza sativa L.) is an important crop, feeding more than half the world’s population. In rice, grain size is an important agronomic trait that significantly affects grain yield and quality. However, few genetically defined pathways for grain size control have been reported so far.

Together with other groups, the researchers reported in 2018 a large QTL for grain size and yield, called TGW3, whose target gene encodes a GSK3-like protein kinase. They then identified the canonical auxin/indole-3-acetic acid protein OsIAA10 as a novel interacting partner of TGW3. As expected, TGW3 has the ability to phosphorylate OsIAA10.

Interestingly, in this study, the researchers identified three serine sites-Ser68, Ser75, and Ser97-of OsIAA10 as the major amino acids that are phosphorylated by TGW3 and found that the phosphorylation of OsIAA10 is involved in grain size regulation.

In addition, they showed that TGW3 phosphorylation of OsIAA10 promotes ubiquitylation and proteolysis of the substrate. Mechanistically, phosphorylation of OsIAA10 favors its interaction with OsTIR1 but hinders its association with OsARF4.

Furthermore, genetic evidence indicated that a viable OsTIR1-OsIAA10-OsARF4 auxin signaling axis regulates rice grain size.

“TGW3 may mediate the brassinosteroid (BR) response and the physiological effect may be transmitted through the regulatory pathway,” said Dr. MA Ming, first author of the study.

Overall, these findings uncover a phosphorylation-driven auxin signaling pathway for seed size regulation in rice, providing useful information for the improvement of the agronomic trait in crops.

Wheat yields will definitely be decreased by the heatwaves but the government's food management plan will cover the nation's food security needs.

The central government has doubled down on paddy purchases to tide over any shortages and has advised the millet-growing states to draw up intricate networks to buy the hardy crops in case of scarcity.

According to procurement strategies put in place, the central government will get by with enough stock of rice and millet to cover the country's food security demands since it is aware of the high likelihood of heatwaves over food-bowl states and their potential impact on the wheat harvest.

The government aims to procure 34.1 million tonnes of wheat at federally determined prices. Even if rising temperatures do have an impact on wheat production, as they did last year, estimates of the yield loss are available, an official stated while requesting anonymity.

According to the official data, the government has bought 71.3 million tonnes of paddy, paying farmers ₹1.4 lakh crore in support prices until 1st March 2023.

The government intends to buy 76.6 million tonnes of summer-sown paddy (equivalent to 51.4 million tonnes of rice). They intend to purchase 15.8 million tonnes of winter-sown paddy (equivalent to 10.6 million tonnes of rice). According to official estimates, the government's paddy stockpile will total 90 million tonnes.

Wheat yields will definitely be decreased by the heatwaves but according to the official, the government's food management plan depends on the precise distribution of rice, wheat, and even millets to meet the nation's food security needs, which include providing free grains to 800 million people.

The state purchases of wheat were abnormally low at 18 million tonnes last year, down nearly 58% from the previous year after a disastrous spell of heatwave cut output by 2.5% to 106 million tonnes.

The government intends to buy 76.6 million tonnes of summer-sown paddy (equivalent to 51.4 million tonnes of rice). They intend to purchase 15.8 million tonnes of winter-sown paddy (equivalent to 10.6 million tonnes of rice). According to official estimates, the government's paddy stockpile will total 90 million tonnes.

Wheat yields will definitely be decreased by the heatwaves but according to the official, the government's food management plan depends on the precise distribution of rice, wheat, and even millets to meet the nation's food security needs, which include providing free grains to 800 million people.

The state purchases of wheat were abnormally low at 18 million tonnes last year, down nearly 58% from the previous year after a disastrous spell of heatwave cut output by 2.5% to 106 million tonnes.

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”.

Geographical indication. Australia rejects India’s application for GI tag to Basmati rice

We have appealed before Federal court of Australia, says APEDA Chairman

Australia has rejected India’s application to grant a geographical indication (GI) tag for basmati rice on the grounds that it is not grown only in India.

Indian had filed the application in February 2019 for Basmati name and logo.

“Australia has rejected our application for GI,” said M Angamuthu, Chairman, the Agricultural and Processed Food Products Export Development Authority (APEDA).

“We have already filed an appeal. (An) Appeal has been filed before the Federal Court of Australia on February 1, 2023, against Basamti name,” he said.

“Australia contends that rice growers outside of India have an equally valid claim to use the term, Basmati. The interpretation of reputation of GI products by Australian authorities is the think of the new world,” said S Chandrasekaran, an expert in GI andauthor of “Basmati Rice: The Natural History Geographical Indiction”.

Ongoing process

APEDA is the authority that promotes exports and takes care of GI registration for Indian products abroad. 

“It is (GI registration) an ongoing process and we will appeal again. This will not have any impact on our trade as such,” the APEDA Chairman said.

“I think India has not explained its point correctly. It is a product that is grown only in North India and Pakistan. It will be corrected,” said Vijay Setia, former president of All India Rice Exporters Association and Director, Chaman Lal Setia Exports Ltd.

Australia imports about 50,000 tonnes of basmati annually with shipments of 35,112 tonnes valued at ₹351.78 crore during the April-December period of the current fiscal. 

YANGON, Mar 3 (UrduPoint / Pakistan Point News - 3rd Mar, 2023 ) :Burmese layer ducks farm owners face loss due to the rocketing feed price.

Layer ducks farm owner Ko Naing from Yangon Region put his ducks up for sale at 5,000 kyats (about 2.38 U.S. Dollars) per head for an outright sale.

"The feed cost is exorbitantly high. The price of broken rice as animal feed went up 33 per cent. Besides, the production rate has declined," he said.

"The quality of the feed is changed to an inferior state. Although the layer ducks fed well, the egg production plunged compared to the previous record," added another duck farmer Ko Kyaw Swar.

Meanwhile, the price of duck eggs is headed for a decrease.

The fishery sector is also facing burdens of high feed costs. Entrepreneurs have requested government efforts on the price stability of raw materials.

However, U Khin Hlaing, vice chair of the Myanmar Livestock Federation, said layer poultry farms are financially doing well, and the federation has a plan to conduct awareness courses to boost production for the livestock breeders.

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.

RPT-ASIA RICE-INDIAN EXPORT RATES EASE, BANGLADESH AIMS TO COMBAT HOARDING

India's 5% broken parboiled variety quoted at $390-$395 a tonne

*

Supplies building amid winter-spring harvest in Vietnam

By Arundhati Sarkar

March 3 (Reuters) - 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 <RI-INBKN5-P1> 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 <RI-THBKN5-P1> 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 <RI-VNBKN5-P1> 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.

(Reporting by Rajendra Jadhav in Mumbai, Khanh Vu in Hanoi, Chayut Setboonsarg in Bangkok, Ruma Paul in Dhaka; Editing by Sonia Cheema)

Replacing rice-bag delivery with digital card vouchers helps Indonesia's poor get more food

For many years, the Indonesian government's food aid program sent bags of rice to villages, where local leaders were supposed to distribute them to poor residents every month. But starting about five years ago, Indonesia changed that. Instead of rice bags, the poor were sent debit cards to buy the equivalent amount of food at local neighborhood shops.

Going digital had a major effect: Suddenly millions of Indonesians in the program started receiving the total amount of food intended for them 81% of the time, according to a study that MIT economists helped lead. Under the old system, by contrast, people received the full intended amount of food only 24% of the time, most likely because portions of the rice were given locally to many people not officially eligible for the program. The debit cards gave the poor the ability to purchase food themselves rather than rely on the government to deliver rice to them.

"What the program effectively does, by shifting from handing out bags of food to handing out a digital debit card with your name on it, means that people get the full amount they're eligible for," says Benjamin Olken, an MIT economist and co-author of a new paper detailing the study's results. "That's the big impact of the switch, and that leads to a pretty substantial reduction in poverty."

Indeed, for the poorest 15% of households when the study began, switching to debit cards reduced the overall poverty rate by 20%. The researchers discovered this by conducting a randomized controlled study, comparing the results of the different methods while the government implemented the new program in stages.

"It turns out the effects are very large," says Abhijit Banerjee, an MIT economist and another of the paper's co-authors. "This is the advantage of doing a randomized controlled trial rather than sitting and speculating about possible outcomes."

The paper, "Electronic Food Vouchers: Evidence from an At-Scale Experiment in Indonesia," is published in the current issue of the American Economic Review.

Indonesia founded its food aid program, called Rastra, prior to the most recent change, in 1998, targeting about 15 million households. Before the switch, those households were supposed to receive one 10-kilo bag of rice per month, about 6.5% of the income needed to rise above the poverty line.

However, with the rice apparently going to relatively better-off households fairly often, in 2017, the Indonesian government decided to try the debit-card system. At neighborhood shops, people could use their cards to purchase both rice and eggs, at a value level commensurate with the 10-kilo rice bag.

During the rollout of the new program, the Indonesian government randomly selected 42 out of 105 regional districts to receive the program in 2018, a year before the other districts converted. This created a real-world experiment because the simultaneous results of the new and old systems could be compared in similar circumstances. Indonesian officials themselves recognized that this created the potential for rigorous study, and approached the scholars about it.

"They recognized that a phased rollout like this is an opportunity to build randomization into policy design," says Olken. All of the co-authors have conducted extensive field research in the field of development economics in Indonesia; Banerjee, Hanna, Olken, and Sumarto have collaborated on multiple prior studies, including 2018 and 2019 papers about government food distribution in Indonesia, and Satriawan is an expert in antipoverty programs who has studied the effects of malnutrition, among other related topics. J-PAL backs rigorous field experiments and evaluations of antipoverty programs; one benefit of the durable working relationships the scholars have established in Indonesia is precisely the government's heightened interest in leading-edge evaluations of its own work.

"It's a pretty remarkable story about how researchers and governments can work together to build rigorous evaluation into programs," Olken adds. "It reflects not just our particular interests in this project, but more broadly how J-PAL works with policymakers."

To conduct the study, the scholars also collaborated with Indonesian officials to add new questions to the national household survey the government conducts. From this, the researchers could derive answers about the actual effects of the program change, including the striking rise, from 24% to 81%, in the frequency with which households received their full allocation of food. About 97% of households also reported consuming more rice, while egg consumption rose slightly.

The program also avoided one potential pitfall—that by increasing demand for rice in rural areas, the program might also lead to price increases as a result. The scholars found only marginal price rises. The program's administrative costs also dropped, from an already-low 4% to under 2%.

The most notable outcome, however, may be that the allocation of debit cards was implemented so smoothly, without problems in program adherence.

"The rules stick," says Banerjee, who shared the 2019 Nobel Prize in economic science along with MIT's Esther Duflo.

"The technology does make it harder to change," Olken observes about the program. "If you make [preferential distribution] a little more difficult, it's not worth it. What's so stark in the paper is this snapping to full compliance, with about 80% of the people getting the full amount they're entitled to."

To be sure, questions will likely remain about where to set the program's cutoff in terms of who receives food aid. In retooling this program, some people just above the official program eligibility line, who might have been receiving rice not intended for them, might now have less food than before.

"No targeting system is perfect," Olken says. "On net we show that concentrating the benefits to the poor really does reduce poverty and helps the government's objectives, but it does mean other people are losing out. So there is this question: Can you further improve the targeting of people to minimize exclusion and make sure everyone who is most needy gets some? That may be a matter for future research."

Still, Olken notes, for now the sheer efficacy of the debit card approach has been informing discussion about the program, its goals, and its effectiveness. "I think understanding these results is shaping the policy debate," he says.

Conservative level. Rice procurement target for 2022-23 fixed at 62.1 mt, rabi-grown rice to be 10.6 mt

Rice and wheat procurement arrangements for rabi season arrived after receiving feedbacks from States

The Centre has fixed a target of 10.6 million tonnes (mt) of rice to be purchased during the rabi season starting April 1, taking the total target to 62.1 mt in 2022-23 (October-September), which is 45 mt more than the actual purchase in the previous year. Besides, 34.15 mt of wheat has been estimated for procurement in 2023-24.

During the first session of the conference of State Food Secretaries, held on March 1, to discuss the procurement arrangements for the ensuing season, both wheat and rabi-grown rice targets have arrived after the feedback received from States, the food ministry said Thursday.

Initially, the target was 51.8 mt from kharif-grown rice, which was revised to 52.1 mt after higher procurement in Haryana. However, because of lower purchases in Tamil Nadu, the target has since got reduced to 51.47 mt from kharif season, out of which 93 per cent has already procured. “If the target of 62.1 mt (which is over 47 per cent of total output) is achieved, it will be the highest ever rice purchase as the previous high was 60.25 mt in 2020-21,” said an official.

“States were advised to enhance milling capacity so that milling of one season gets completed before the commencement of the next season and recycling of rice may be avoided. It is expected that seamless procurement with direct transfer of money into farmer’s account, minimum cost of transportation, and human interference-free and quick analysis of foodgrains shall be a part of the ecosystem of Food Security Management very soon,” it said.

Apart from the auto grain analyser to be used by the Food Corporation of India (FCI), States have been advised to implement more Minimum Threshold Parameters, linking of electricity consumption of mills with the milled quantity of paddy and linking of vehicles used for transportation of foodgrain and their GPS tracking for increased efficiency and transparency by June 2023, the ministry said.

The auto grain analyser based on artificial intelligence can process results in a minute with high accuracy for paddy, rice, wheat, and coarse grain. It has been certified by ICAR-CIPHET of Ludhiana. The machine will help minimise human intervention, error and biases, and will also save time by giving digitally verifiable result of each grain.

The wheat procurement target this year assumes significance on the backdrop of 2022 experience when the government could buy only 18.79 mt against the target of 44.4 mt. The lower procurement led to a ban on wheat export, which still continues since May 2022, and also a reallocation of grains in terms of rice by cutting the wheat quota for the beneficiaries under the National Food Security Act (NFSA).

Sources said that the target has been set at a conservative level as the food ministry does not want to take any chance with agriculture ministry’s production estimate. The agriculture ministry has already released its forecast of a record 112.18 mt of wheat production during 2022-23 crop year (July-June).

Addressing the state food ministers, Union Food Minister Piyush Goyal said that ‘SMART-PDS’ is a technological driven initiative and the need of hour, which should be implemented by all the States at the earliest. He emphasised on a transparent and accountable system and urged officials to reduce human intervention and promote automation in the existing processes. He said transparency should be of utmost importance for free supply chain of foodgrains under Public Distribution System (PDS).

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.

New program makes one-time payment to rice farmers based on 2022 plantings and prevented plantings 

WASHINGTON, Feb. 28, 2023 — The U.S. Department of Agriculture (USDA) today previewed plans to provide up to $250 million in assistance to rice farmers and what steps they can take to be prepared to sign up when the program is released later this spring. USDA is sharing information early so producers can prepare for program signup, which will include a pre-filled application in an effort to simplify and streamline the application process.  

“USDA intends to use the streamlined approach it has utilized on other disaster programs to speed program implementation," said Agriculture Secretary Tom Vilsack. “By leveraging Farm Service Agency and Risk Management Agency data for the Emergency Relief Program, USDA saved farmers and staff significant time, and we think this approach will help us provide an initial payment more quickly with a final payment after the application period has closed. I appreciate Senate Agriculture Committee Ranking Member John Boozman’s assistance bringing together rice farmers from across the country to provide input on how to expedite and simplify the process.” 

On Dec. 29, 2022, President Biden signed into law H.R. 2617, the Consolidated Appropriations Act, 2023, which provided the authority and funding for USDA to make payments to rice producers based on data already on file with the USDA, including planted acres and acres prevented from being planted.

What Farmers Can Do Now 

The full details of the program and application will not be available until after a Notice of Funding Availability is published later this year in the Federal Register. But there is something farmers can do right now to be better prepared for the signup, if they qualify for a higher payment limitation.

The payment limitation for the program is set by law and is higher if the farmer’s average adjusted gross farm income (income from activities related to farming, ranching, or forestry) is more than 75% of their average adjusted gross income (AGI). Specifically, a person or legal entity with adjusted gross farm income of less than 75% of their overall AGI, cannot receive, directly or indirectly, more than $125,000 in payments. AGI is based on the three taxable years preceding the most immediately preceding complete tax year.  Farmers with 75% or more AGI from farming qualify for a $250,000 payment limit. 

Rice farmers may visit their local county office to submit the appropriate form and certification (FSA-510, Request for an Exception to the $125,000 Payment Limitation for Certain Programs), if they qualify for and want to seek the higher payment limit and get part of the paperwork done early. Farmers will still have a chance to fill out the AGI form during signup as well. The form should be filled out for the 2022 crop year.

Planned Application Process 

After the official notice is published later this year, USDA’s Farm Service Agency (FSA) plans to mail prefilled applications to producers using information on file with USDA’s Risk Management Agency (RMA) or FSA, as reported by rice producers through their crop insurance agents or FSA county office. This streamlined application process will reduce the burden on producers and minimize errors due to manual data entries on the application form. More information will be provided when FSA announces the signup period in the coming weeks.  

Program Payments 

As directed by the omnibus legislation, FSA will calculate Rice Production Program (RPP) payments by multiplying the payment rate, individual average actual production history (APH), as reported to RMA, or county yield and an amount of certified rice acres determined by the number of planted acres and acres that were prevented from being planted.  FSA plans to issue an initial payment to eligible farmers soon after applications are returned and a final payment after the sign-up has closed. Details on these procedures and the initial payment rate will be in the future notice. 

USDA touches the lives of all Americans each day in so many positive ways. In the Biden-Harris administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit usda.gov. 

USDA is an equal opportunity provider, employer and lender.

The Government yesterday said there will be no Social Security Contribution Levy imposed on purchasing of paddy, production, and sale of rice.

A proposal by President Ranil Wickremesinghe as the Minister of Finance was approved by the Cabinet of Ministers on Monday to amend the Social Security Contribution Levy Act exempting the tax to encourage local rice producers.

Currently, 2.5% or Rs. 7-8 is being charged for a kilogram of rice produced with the aforementioned tax.

The Cabinet of Ministers also approved the purchasing of a kilogram of Nadu for Rs. 100 from farmers to be distributed to low-income families free of charge.

Vietnam’s rice export this year is expected to benefit from many favourable conditions, including high global demand, to reach 7 million tonnes, according to the Cong Thuong (Industry & Trade) newspaper.

Hanoi (VNA) – Vietnam’s rice export this year is expected to benefit from many favourable conditions, including high global demand, to reach 7 million tonnes, according to the Cong Thuong (Industry & Trade) newspaper.

The January report by the US Department of Agriculture forecast the global rice trade in 2023 will decrease about 4% from last year.

Large rice exporters are predicted to witness declines, including Argentina, Brazil, Cambodia, China, the EU, India, Laos, Malaysia, Pakistan, Paraguay, Russia, Senegal, Tanzania, Turkey, Uruguay, and the US. Among them, India and Pakistan may see the sharpest falls, down by some 2.1 million tonnes in total, due to lower output and domestic market stabilisation policies.

Climate change impacts and drought in the US, Europe, and China are posing a risk of supply shortages, the Foreign Trade Agency under the Ministry of Industry and Trade told a recent conference on rice export.

Aside from rising global demand, improved quality has also boosted importing countries’ demand for Vietnamese rice, the agency noted, expecting an export volume of 6.5 - 7 million tonnes in 2023.

Import demand in traditional markets like the Philippines and Africa will stay stable in the first half of this year as they are increasing food stockpiles, according to Chairman of the Vietnam Food Association Nguyen Ngoc Nam.

Nguyen Viet Anh, Director General of the Phuong Dong food company, said businesses are now highly optimistic, and that since 2019, the sector has no longer needed support to sell out the grain, but sometimes even run out of rice to meet demand.

Last year, Vietnam exported nearly 7.2 million tonnes of rice, gaining 3.49 billion USD./.

Shipments could hit 8m tonnes this year

Demand for Thai rice in the international market remains strong, with Commerce Minister Jurin Laksanawisit expecting the country's exports to potentially increase to 8 million tonnes this year.

Speaking after a discussion with the Thai Rice Exporters Association, Mr Jurin said on Monday that the weak baht, increased stocks for domestic consumption in India and Vietnam, and growing demand in the Middle East are the key factors that will help boost the Thai rice export outlook this year.

The Foreign Trade Department on Monday reported that Thai rice exports rose 75.2% year-on-year in January to 805,519 tonnes, driven by year-end orders, higher demand from the Middle East, and the weakness of the baht.

The value of rice exports, meanwhile, rose by 78.7% from January last year to 14.2 billion baht.

Ronnarong Phoolpipat, director-general of the Foreign Trade Department, said the weakened baht, which made Thai rice prices competitive, helped accelerate year-end purchase orders, while orders from many countries such as Iraq, Indonesia and Bangladesh had significantly increased in January.

However, Mr Ronnarong said his department was sticking to the rice export target of 7.5 million tonnes this year as it wanted to monitor the baht before deciding whether to revise the target.

"The baht's prospects are vital to the country's rice exports this year. Thai rice exports will become competitive in the world market if the baht is weakened," he said.

The baht has weakened again, by 1.5% against the US dollar so far this year, making it Asia's third-worst performing currency.

Last year, Thailand shipped 7.69 million tonnes of rice, outperforming the Commerce Ministry's target of 7.5 million tonnes.

Export volumes increased by 22% from 6.3 million tonnes shipped in 2021, while the value in baht terms rose by 25.1% to 138 billion baht.

Meanwhile, the export value in dollar terms rose by 14.6% from a year before to US$3.97 billion.

Last year, Thailand was ranked the world's second-largest rice exporter after India, which exported 21.9 million tonnes.

Vietnam was third, with rice exports of 6.31 million tonnes.

Iraq was the largest importer of Thai rice, buying 1.6 million tonnes last year, up 458% from a year before. South Africa came second, importing 775,000 tonnes (down 2.26%), followed by China at 750,000 tonnes (down 2.26%), followed by China at 750,000 tonnes (up 18.8%), the US at 650,000 tonnes (up 13.2%) and Benin at 321,000 tonnes (down 15.3%).

HANOI: Decreasing input costs as Europe eases sanctions against Russia and increased fertiliser supply will benefit rice export businesses, according to Vietcombank Securities Company (VCBS).

A recent report on the rice sector from VCBS showed that the global rice output is estimated at 519.7 million tonnes at the end of the 2021/2022 crop.

China, India, and Asean are key consumption markets, while India, Vietnam and Thailand are the largest rice exporters.

Rice prices witnessed an uptrend in global markets last year as the Indian government’s ban on rice export, floods in Pakistan, and adverse weather in China and the Philippines caused reductions in rice output in these countries.

While depleted inventories in the Philippines will result in higher imports in 2023, rice production will drop due to prolonged droughts in China and India.

On the other hand, due to heavy rain in Vietnam over the past year and gradually neutral weather in the first half of 2023, the country’s rice output is forecast to be stable this year, according to the US Department of Agriculture.

Therefore, Vietnam is very likely to benefit from the upward trend in rice prices which is fuelled by limited supplies and a shift away from the Indian supply, according to VCBS.

Meanwhile, input costs are also expected to go down in 2023 as Europe eases sanctions and welcomes back Russian fertiliser exporters, increases reservations, and aggressively reduces gas consumption.

The availability of fertiliser on a global scale is anticipated to rise, boosting rice industry profit margins.

According to VCBS, the business growth prospects of Loc Troi Group are positive thanks to the promotion of rice exports to the European market, starting with the French market. The merger with Loc Nhan Food also increased the company’s capacity. — Viet Nam News/ANN

BANGKOK: 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.

However, the ministry is sticking to its 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.

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)

Vietnam’s rice export activity has shown positive signs early this year, with 6.5-7 million tons of rice forecast to be exported in all of 2023.

The forecast was made during a trade conference held by the Ministry of Industry and Trade in HCMC on February 21.

At the conference, the Import-Export Department under the Ministry of Industry and Trade said that the nation shipped 7.13 million tons of the food staple last year, bringing in US$3.45 billion in revenue, up 13.8% and 5.1% year-on-year, respectively.

Vietnam was among the world’s top three rice exporters in 2022.

According to the Vietnam Food Association, rice export activity has kept its growth momentum so far this year. Vietnam’s 5% broken rice got the highest price worldwide.

On February 15, Vietnam-exported 5% broken rice sold for US$463 per ton (FOB), a 16.3% increase over the same period last year. This selling price equals that of Thailand’s rice and is US$20-30 higher than that of India’s and Pakistan’s rice.

Rice for export mainly comes from the Mekong Delta, while other regions of the country provide rice for domestic consumption, said a representative from the Ministry of Agriculture and Rural Development.

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.”

Hanoi, Feb 23 (Prensa Latina) The High Agricultural Technology Research Institute for Mekong Delta in Vietnam unveiled the development of the new rice variety, HATRI 200, which is resistant to drought and salinity.

Researched by the institution since 2017, HATRI 200 is a species derived from Japonica (round-grain) rice, with advantages such as growth time from 95 to 100 days, strong stems, ability to bear 10 to 13 shoots per bush, and a round fruit that is 6.2 millimeters long.

The new rice variety was planted on a trial basis in Ben Tre province as part of a project led by HATRI Director Professor Nguyen Thi Lang to show good tolerance to drought and salinity.

HATRI 200 is considered one of the most salt-tolerant rice varieties in the Mekong Delta. It boasts a stable yield, averaging 6.5-7 tons per hectare, explained Thi Lang, who was quoted by VNA.

This kind of rice is suitable for cultivation under the current climate change conditions and it can help farmers grow three crops in a year, specialists stated.

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.

Professor of lands and water resources at Cairo University Nader Noureddine said on Tuesday that the idea of cultivating Egyptian upland rice has been applied in some areas of al-Sharqia Governorate, Nile delta.

Therfore  it is possible to allocate part of the desert land to experiment cultivating this kind of rice.

He added that there is no difference between the types of rice, but the difference is only in the methods of cultivation.

The Egyptian rice differs in its taste from other types of rice.

“The Egyptian consumer does not prefer imported rice, especially from East Asian countries,” Noureddine said during a telephone interview with the talk show “Hadith al-Qahira” (Cairo Talk) on the “al-Qahira wal Nas” (Cairo and the People) channel.

Some researchers have found a new rice known as “dry rice” (upland rice), which may be similar to Chinese rice, he said.

Noureddine stressed that Chinese rice can be called dry rice, which does not need water in the amounts of water needed by Egyptian rice.

He explained that the Egyptian crop of rice must be preserved, because it is internationally registered.

Noureddine pointed out that the cultivating Egyptian rice needs to flood the land to a large extent with water, adding: “Egyptian rice cannot be grown in the desert.”

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. 

Fiji Rice Ltd made a profit of half a million dollars last year.

Chief Executive Ashrit Pratap says this was achieved despite not meeting the annual target of 5000 tonnes of production.

He says the highest target they have met is 2,000 tonnes last year, which is still less.

Pratap says the shortage of labour remains a challenge in the rice industry.

“What has happened is that over the years, the production has gone down because farmers moved out of their farms and hardly any young farmers were associated with farming.” So if you go to Dreketi, it’s like mostly the older generation is there.”

Fiji currently imports $39 million worth of rice from India, Thailand, and Vietnam annually.

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.

Fiji Rice Limited board chairman, Raj Sharma, said the request was compiled after recent consultation with farmers in the Northern Division.

A request have been made to the Government through the Ministry of Agriculture for consideration over re-establishment of a subsidy scheme for rice farmers.

Fiji Rice Limited board chairman, Raj Sharma, said the request was compiled after recent consultation with farmers in the Northern Division.

The pocket meetings were held for rice farmers in cluster areas such as Dreketi, Korokadi, Tabia and Lagalaga, in the Macuata province.

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.

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

TAIPEI – Costco Taiwan is now selling a new package of U.S. long grain as its Kirkland Signature house brand at all 14 warehouses nationwide.

“Taiwan has historically purchased medium grain from the U.S. but USA Rice started encouraging importers here to try U.S.-origin long grain back in 2020,” said Jim Guinn, USA Rice director of Asia promotion programs. “After that initial positive market reaction, U.S. long grain became a regular purchase by importers.”

In 2022, USA Rice developed consumer communications including press articles, social media influencer campaigns, in-store promotions, and educational events for professional chefs that promoted U.S. long grain to different consumption sectors.

“Our USA Rice team in Taiwan is currently in negotiations with Costco to schedule a retail promotion to spur demand for the newly introduced rice,” said Guinn.

The Taiwan market for U.S. rice is the most diverse in Asia, featuring imports of southern medium grain, long grain, long grain parboiled, long grain jasmine, short grain glutinous rice, and Calrose. Taiwan imports a four-year annual average of 59,000 MT of U.S. rice valued at more than $38 million.

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)

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ISLAMABAD: World Food Programme (WFP) Thursday said WFP-USAID branded empty bags were used illegally to sell rice in Larkana, Sindh adding that it takes any unauthorized sale of its humanitarian food assistance extremely seriously and is committed to ensuring that it reaches those vulnerable people who depend on it for survival.

“WFP is aware of the unauthorized use of WFP-USAID branded food bags in Larkana, Sindh being used to sell non-WFP food in the open market. The issue has been investigated by local authorities. The WFP hotline at 0800 93732 remains available to report any unauthorized sale of WFP assistance”, WFP said in a statement in response to reports of food donated by it being sold in the markets in Larkana, Sindh.

Talking to The News, an official said WFP had provided yellow split peas in WFP-USAID branded food bags to flood affectees in Sindh but some people took the empty bags and after refilling them with rice, sold them in the local market. “WFP never provided rice to the flood affectees in Sindh, instead it was split yellow peas. The empty bags were refilled with rice and sold in the market”, the official added.

Earlier this month, a video had gone viral on social media in which a shopkeeper was selling rice in WFP-USAID branded bags in Jellus Market, Larkana. After the video went viral, different political parties criticised the Pakistan People’s Party (PPP) government for looting and plundering the flood victims’ relief. The Sindh government initiated an inquiry into the allegations, which revealed that a shopkeeper had purchased the empty bags, which had the monogram of WFP-USAID printed on them. The shopkeeper refiled those bags with rice and sold them.

The fact-finding report submitted to Chief Minister Murad Ali Shah further said stern action was taken against the shop owner immediately and the shop was sealed by Mukhtiarkar Larkana to stop the sale till an impartial inquiry was conducted. The Mukhtiarkar also confiscated 1,000 bags which were clearly labelled “Not for sale or purchase”. The inquiry committee, under the supervision of Larkana’s assistant commissioner, is also conducting probe into the case.

The inquiry found that the shopkeeper had purchased the empty bags from a man named Mohammad Saleem who sells gunny bags in the city. Furthermore, the incident report also gave detailed findings of an inquiry conducted by the representative of Secours Islamique France (SIF), an NGO that undertook a ration distribution programme across Sindh for flood victims in collaboration with the World Food Program (WFP) and USAID. “During the floods, USAID distributed ration among 22,000 families in 11 union councils of Larkana district,” the fact-finding report added. According to the incident report, the SIF representative apprised that the food bags did not contain rice as it is being circulated rather, it contained 9kg of yellow split peas.

Meanwhile, a spokesman for Sindh government said a fact-finding team was constituted to probe into allegations of WFP-USAID food donations being sold into the market and it has found all allegations to be ‘wrong and baseless’.

In fact, the inquiry found “empty bags of WFP-USAID were used to refill rice and sell in the market”, he said adding that the whole issue was conveyed to international donors, who also expressed their satisfaction over the inquiry.

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.

Fresh demand to help boost Bangkok's annual trade in staple to 8.2 million tons

BANGKOK -- Thailand's rice exports to the Philippines are expected to double this year, the Thai Rice Exporters Association said, as rival supplier Vietnam faces capacity constraints.

Philippine rice imports hit 3.7 million tons last year, making it the world's second-largest importer of the staple. The figure is likely to remain roughly the same in 2023. The country, which is battling inflation and various food shortfalls, is forecast to produce about 12.4 million tons, below the 15.8 million tons needed, according to the U.S. Department of Agriculture.

Of the Philippines' total rice imports last year, some 90% came from Vietnam -- the country's biggest supplier for decades due to its competitive pricing and close bilateral trade ties. The remainder of Philippine imports came from Thailand.

"This year, the Philippines is expected to buy more rice from Thailand as Vietnam is having a smaller crop," said Chookiat Ophaswong, honorary president of the Thai Rice Exporters Association.

Land used for the 2022-2023 growing season in Vietnam shrunk 3% from the previous season, likely pushing production down 1% to 27 million tons. Local rice consumption is forecast to be 21.5 million tons in 2023, unchanged from the previous year. That would leave about 6 million tons of rice available for export in 2023, versus 7.1 million tons in 2022.

Adding to the problem is a drought that has been hammering poorly irrigated Cambodian farms since late last year. "Over the past few years, Vietnam had a stable supply of rice because about 1 million tons a year was being smuggled into the country from Cambodia, allowing Vietnam to export 7 million to 8 million tons," said Chookiat. "But this year there's no more rice from Cambodia to bolster Vietnamese exports."

With supplies somewhat limited, Vietnam exported only 400,000 tons of rice in January, down 20.9% from the same period last year, according to the Ministry of Agriculture and Rural Development of Vietnam.

In contrast, Thailand foresees a large harvest this year, with reservoirs across the country at or near capacity, allowing cultivation of rice outside the usual growing season.

During the 2022-2023 season, Thailand is expected to produce around 20.2 million tons of rice, up from 19 million tons in the previous season. Domestic consumption will account for 12 million tons, with the remainder earmarked for export.

Traders and exporters said the Philippines has already reached out to Thai exporters, hoping to secure rice for the second quarter.

The Philippines' switch to a new supplier comes as the government tries to keep a lid on prices of food staples amid inflation that is at a 14-year high.

Inflation reached 8.7% in January, the highest recorded since November 2008, partly on rising food prices. President Ferdinand Marcos Jr. has agreed to import more agricultural products such as sugar and onions amid domestic shortages.

"The situation has forced Manila to buy rice from Thailand to meet demand and curb inflation," said a trader at an international trading house in Thailand. Strong demand from the Philippines was expected to double Thai rice exports to Manila to 300,000 tons in 2023, up from 180,000 tons the previous year.

Even with fresh demand from the Philippines and the usual orders from the Middle East, the Thai Rice Exporters Association predicted that total rice exports in 2023 will be 7.5 million tons -- almost unchanged from 7.6 million tons the previous year.

"That was a conservative forecast," said Chookiat. "In fact, we have up to 8.2 million tons or more left for export, as we can grow rice all year round."

He added that the association is monitoring the situation and will raise the 2023 export forecast if it sees production increasing or finds fresh demand.

'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.

MANILA, Philippines — A research and advocacy group has renewed the call to junk the Rice Liberalization Law, saying it has failed to deliver on the promise of boosting farmers' incomes and worsening the country's import dependency four years since it took effect.

An analysis by IBON foundation published Tuesday found that rice farmers' net returns per hectare decreased by around 40% – or from P32,976 to P19,680 – after rice tarrification was implemented in 2019.

"The effect is even worse when inflation is taken into account. When adjusted for 2018 prices, the real income rice farmers lost is worth P15,053,” the think tank said. “Not only did farmers lose money since rice liberalization, but their purchasing power also weakened as well.”

IBON foundation scored the current government for its “lack of interest” in supporting local production of rice in the long run, which placed the country’s rice farmers at risk of “plunging further in the spiral of import dependence.”

Rice watchdog Bantay Bigas also called for a repeal of Republic Act 11203, saying it pushed prices of unhusked rice to P7 per kilogram in Bicol in 2019 to 2020, which has now stagnated at P10 - P15 per kilogram on average. 

Farmer Mila Lirio of Bantay Bigas said that rice farmers have yet to recover from the massive income loss brought by rising fuel prices, which drove up costs of pesticides, seeds and other farming necessities. 

Rice-producing regions have also been ravaged by severe typhoons in the last three years, which lead to damaged rice fields and a drastic reduction in local rice harvests.

"The price of rice has now reached P40 - P50 per kilogram. We still haven't seen the P20 per kilogram of rice that was promised by President Ferdinand 'Bongbong' Marcos, Jr. He’s now the secretary of the Department of Agriculture, but we still haven’t seen concrete solutions to our problems,' Lirio said in Filipino. 

Bantay Bigas also estimated that rice farmers saw a drastic loss of income to a tune of P206 billion from the rice crisis and from imported rice.

Marcos said on Wednesday that he will implement a program to promote the shift of rice production from conventional seeds to hybrid seeds to increase crop production, according to the Presidential Communications Office.

The push for hybrid rice came after the chairman of SL Agritech Corporation, a private company engaged in the production of hybrid rice seeds, met with the president in Malacañang and proposed to convert 1.90 million hectares into areas with planted hybrid seeds in four years.

* 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."

Rose Nekesa's rice field in western Kenya has been invaded by huge swarms of the voracious red-billed quelea bird.

Thousands of farmers like her near the lakeside city of Kisumu fear they will reap their worst harvest in five years.

"I'm losing my voice because I spend all day shouting, to chase the birds away. These birds are not afraid of anything," she tells the BBC, holding a huge lump of mud in one hand and a stick in the other.

"They are already used to us and everything we throw at them."

She pelts the birds with mud to scare them away from her crop. Her small, wiry frame often allows her to run across her paddy field as more swarms descend.

"When there are no birds, I can work alone. Now, I need at least four people to work for me. It's very expensive. We are pleading with the government to intervene. This rice is the only source of income that we have."

Lawrence Odanga, another small-scale farmer, is also at the mercy of the world's most populous wild birds.

"I can hear them. They are coming to destroy us," he shouts in his mother tongue, Dholuo.

Even for the five people he has hired to protect every acre of his crop, chasing the birds away is an impossible task.

Scarecrows, the occasional blaring of vuvuzelas and bird traps have all proved ineffective.

"The birds have destroyed nearly all four acres of my farm. I won't earn anything. How will I take my children to school?"

Sometimes referred to as "feathered locusts", queleas are considered as pests across East and Southern Africa.

An average quelea bird can eat around 10g (0.35 oz) of grain a day. Not a huge amount, but as the flocks can number two million they can collectively consume as much as 20 tonnes of grain in 24 hours.

Chemical spraying

In 2021, the UN's Food and Agricultural Organization (FAO) estimated that $50m (£41m) worth of crops were lost to the birds annually, mostly in sub-Saharan Africa.

The latest quelea invasion in Kisumu, amounting to some 10 million birds, has already decimated 300 acres of rice fields. According to the county government, another 2,000 acres are still at risk during the harvest season.

https://emp.bbc.com/emp/SMPj/2.47.2/iframe.htmlMedia caption,

WATCH: Kenyan farmers battle the quelea birds

Other parts of the country have been worse hit. Millions of the birds invaded wheat farms in the southern Narok county, destroying an estimated 40% of the harvest.

The prolonged drought in the Horn of Africa, which has meant fewer seeds from wild grasses, a primary source of food for queleas, may be behind the invasion of cultivated land as the birds look for an alternative, some Kenyan scientists have suggested.

Paul Gacheru, from the environmental organisation Nature Kenya, however argues that climate change-induced drought is not the main driver.

He points the finger at land-use changes as "intensive farming and settlement means that we are losing space for natural vegetation to grow. The quelea species are adapting to the current land use".

Increased cereal crop production throughout Africa may have also increased the quelea populations as there is a larger source of food for their super-nomadic populations.

Added to this is the fact that the birds breed very fast - three times a year with as many as nine chicks - allowing for a huge explosion in the population.

As mud, sticks and vuvuzelas have not worked to protect the crops, the authorities have turned to a mass cull through chemical spraying.

In 2019, the Kenyan government is thought to have killed eight million quelea which had invaded the Mwea Irrigation Scheme, the country's largest rice-growing project.

Another two million were killed at Mwea in the same way last year.

This year the authorities in Kisumu began an aerial control operation aimed at killing at least six million birds. Drones are used to target the birds' roosting grounds, where they rest and breed, with the pesticide fenthion.

Ken Onyango, in charge of agriculture in Kisumu county, said the chemical spraying was the only way to save the rice fields at risk.

'You can't kill everything'

Fenthion is highly toxic to other species which are not the main target. As a result, environmental scientists and animal group activists are warning that the spraying will have severe consequences on the ecosystem, other plant and animal species, as well as human health.

"The question is, how do you plan to coexist with the birds? Because you can't kill everything, so that human beings remain," argues Raphael Kapiyo, a professor of environment and earth science at Maseno University.

"But more than that, we are saying the act of trying to control the birds with the chemicals is so dangerous."

The professor wants more traditional, environmentally friendly methods - such as scaring or trapping and eating the birds - to be employed instead to contain the quelea.

Chemical spraying, he feels, just offers an easy way out. The alternatives, though, are seen as expensive and time-consuming.

Mr Onyango, who oversees the Kisumu spraying operation, says that the correct procedures were followed, and approved by the National Environment Management Authority.

"We cannot be so careless to carry out anything that has any adverse environmental impact," he adds.

Collins Marangu, director of crop protection services, acknowledges that killing the birds is not desirable but says it is necessary.

"What we are doing is precision agriculture," he says.

"We spray the roosting grounds at night, precisely where the birds are. After that, we collect and burn them." Two out of the three roosts have been sprayed.

But whatever method is used, for the farmers affected the control measures have come too late as some of the crop has already been eaten. Harvests are down by more than a half.

Those near Kisumu say that the queleas are still causing a problem.

Rice farmer Rose Nekesa is bracing for the worst. She had hoped that she would harvest at least 50 bags of rice during the season. Now, she expects to gather only 30.

"We just want the government to take these birds away," she says in desperation.

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.

Overseas shipments were boosted by basmati rice, which registered a 16% increase in value terms, a surprising 92% jump in exports of pulses and 25% in fresh vegetables, mainly to demand from the US, UAE and China, latest data from the Agricultural and Processed Food Products Export Development Authority show.

Exports of agricultural produce through the Agricultural and Processed Food Products Export Development Authority in first the three quarters of the ongoing financial year touched a record $20 billion, registering a 12.6% rise on-year, latest figures show, with their growth propelled by higher global commodity prices and resilience of the farm sector.

Overseas shipments were boosted by basmati rice, which registered a 16% increase in value terms, a surprising 92% jump in exports of pulses and 25% in fresh vegetables, mainly to demand from the US, UAE and China, latest data from the Agricultural and Processed Food Products Export Development Authority show.

India has also emerged as a net exporter of farm products, whose exports touched an all-time high of US$ 50.2 billion in 2021-22, according to official data. Trade analysts say India change of focus from domestic food security to exports had driven overseas sales. Farm exports crossed 11% as a share of total merchandise exports for the first time in 2021-22.

The war in Ukraine, shipping disruptions and rising oil and fertilizer prices bumped up grain prices, which seemed to have raised rates of premium basmati rice, despite India banning wheat exports in May last year followed by restrictions on rice exports, said Rahul Chauhan of IGrain Pvt Ltd.

Exports are a key reason for steady farm growth. The annual Economic Survey, presented on January 31, said the agriculture sector, the country’s largest employer, has grown at an average annual growth rate of 4.6% in the last six years. The sector grew by 3% in 2021-22 compared to 3.3% in 2020-21.

It however warned of a slowdown in global growth in 2023-24, which could lead to slower export growth. “A slowdown in Indian exports is inevitable in a slowing global economy,” it stated. The growth of exports may have moderated in the second half of FY23, after a surge in FY22 and the first half of FY23, it added.

To facilitate exports, the Union government had launched Krishi Udan Scheme in August 2020 on international and national routes to help farmers transport agricultural products, especially perishable food products from the hilly areas and north-eastern states.

To boost shipments of agricultural produce by air, the Airports Authority of India now provides a full waiver of landing, parking charges and terminal navigational landing charges for freighters and passenger-to-cargo aircraft in 25 airports.

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.

VIETNAM JAN RICE EXPORTS AT 359,310 TONNES, DOWN 17.3% M/M - CUSTOMS DEPT

HANOI, Feb 9 (Reuters) - Vietnam's rice exports in January fell 17.3% from the previous month to 359,310 tonnes, government customs data showed on Thursday.

Rice shipments from Vietnam were valued at $186.6 million in the month, down 15.3% against December last year, it said. (Reporting by Phuong Nguyen Editing by Ed Davies)

© Copyright Thomson Reuters 2023. Click For Restrictions - http://about.reuters.com/fulllegal.asp

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.”

Officials from the Ministry of Commerce said they are working with their Philippines counterparts to finalise a memorandum of understanding (MoU) on rice trade, following their February 1-3 official visit to the archipelagic country along with a delegation of the Cambodia Rice Federation (CRF).

According to a ministry statement, the visit was aimed at expanding rice exports. During their tour, the Cambodian delegation met with Philippine Minister of Commerce Alfredo Pascual and Emmie Liza Perez-Chiong, president of the state-run Philippine International Trading Corporation, among other stakeholders.

They also discussed import mechanisms and pricing with several Filipino rice importers, who expressed interest in importing high-quality Cambodian rice.

“The Philippines is prepared to open a direct rice trade with the Kingdom, provided we can agree on the terms, including quantity, quality and price,” said the ministry.

CRF president Chan Sokheang said the Philippines is not only a rice producer, but one of the largest importers in Asia. In 2022, the country imported 3.82 million tonnes, mostly of plain white rice.

He added that initially, the CRF envisioned a market share of about 100,000 tonnes. In the past two years, the Kingdom has exported only around 100 tonnes to the Philippines. Its rice market, however, is very competitive so the CRF is exploring ways to reduce shipping costs.

“We are looking at the possibility of exporting as many as 100,000 thousand tonnes this year, but this will depend on whether competitive pricing can be guaranteed. Even Thailand exports very little rice to the Philippines, as the margins are so slender,” he continued.

He said the federation has the support of the government to control transport costs, so now is the ideal time to begin looking into the Philippine market.

According to Sokheang, the federation will hold an internal meeting to discuss the new market with his members and determine the best way to export the first 100,000 tonnes.

Song Saran, CEO and founder of Amru Rice – the leading producer and exporter of organic rice in the Kingdom – said the opportunity to expand into the Philippines is an excellent one for Cambodian exporters.

He said he was aware that the Philippines is a large market, but he wanted to receive more details about the proposal and whether sufficient funds for rice storage during the harvest season would be made available.

“We have never exported to the Philippine market. I am pleased that the commerce ministry and CRF are exploring this option on behalf of the hardworking Cambodian farmers,” said Saran.

“The Philippines is one of the largest rice markets in ASEAN, and we produce a lot of rice here in Cambodia. My company buys direct from farmers, so I think we are likely to be competitive in this exciting new market,” he continued.

The commerce ministry said that in late February or early March, at the invitation of the CRF, Philippine rice importers will visit Cambodian rice mills to meet the producers directly. This will build their relationships and improve trust, it said.

“The visit is scheduled to take place during the first round of the dry-season rice harvest and may lead to the signing of a purchase contract,” it added.

A team of researchers from the Agricultural Research Service’s (ARS) Southern Regional Research Center (SRRC) in New Orleans, La. are working to provide the world with more healthful rice. As one of the primary staples for half of the globe, the team is developing new technologies to make rice a more valuable commodity, according to a release.

“We’re interested in processing treatments that enhance resistant starch and other bioactive components,” said Stephen Boue, a research chemist in SRRC’s Food Processing and Sensory Quality Research unit. “We’re also using whole grain sprouts from rice to develop unique functional foods, like rice beverages and enhanced rice flour as a cooking ingredient.”

Bioactive compounds including lycopene, lignan and tannin have the potential to promote good health. Studies are in the works to uncover their role in combating diseases such as cancer and heart disease.

One new advancement is a rice variety that contains 8-10% resistant starch. Cooked rice usually has one to two percent starch that resists digesting, making the newer varieties more beneficial to human health.

“Resistant starch has many health benefits, like the prevention of diabetes, fat loss, better insulin resistance and reduced risk of colorectal cancer,” explained Boue.

In addition to its health benefits, the new variety brings color to plates across the globe.

“Red and purple whole grain rice offer U.S. consumers more colorful and healthy options to put on their plates,” added Boue. “They provide some of the same antioxidants as fruits, like grapes and blueberries. Additionally, the food industry can use these new rice varieties to make novel foods, particularly snack foods.”

SRRC sensory scientist Ryan Ardoin developed one of the new products: a rice-based horchata. While horchata made with white rice can currently be found on the shelves of grocery stores, Ardoin is taking a different spin on the traditional drink by using sprouted rice to enhance the health benefits. The next beverage in the pipeline for Ardoin is a version of iced tea created by cold-brewing purple rice bran.

“I’m excited about exposing consumers to the new colors, flavors, and products from rice and helping to change their perceptions about rice from ‘just a starch’ to ‘something healthy,’” concluded Boue.

EBITDA margin increased by 430 bps to 14.5 per cent compared to 10.2 per cent last year on account of superior realisation and moderation in the freight cost.

Shares of Chaman Lal Setia Exports (CLSEL) zoomed 17 per cent to Rs 155.2, hitting multi-year high on the BSE in Monday’s intra-day trade in an otherwise weak market, after the company reported a strong operational performance in December quarter (Q3FY23).

The stock surpassed its previous high of Rs 145.75 touched on January 19, 2023. It traded at its highest level since May 2018. At 11:48 AM, CLSEL was up 15 per cent at Rs 152 as compared to a 0.69 per cent decline in the S&P BSE Sensex. The average trading volumes on the counter jumped over 10-fold today. A combined 1.42 million equity shares, representing 2.75 per cent of total equity of the company, had changed hands on the NSE and BSE.

For Q3FY23, earnings before interest, depreciation, tax and amortization (EBIDTA) was up 130 per cent year-on-year (YoY) to Rs 51 crore, supported by moderation in freight expenses and the company’s efforts towards operational efficiency. EBITDA margin increased by 430 bps to 14.5 per cent compared to 10.2 per cent last year on account of superior realisation and moderation in the freight cost.

Revenue was up by 62 per cent YoY to Rs 354 crore for Q3FY23 due to market share expansion in key geographies and further strengthening of distribution network. Consequently, the net profit also increased by 134 per cent YoY to Rs 37.5 crore in Q3FY23 compared to Rs 16.0 crore in Q3FY22.

For Q3FY23, the export volume grew by 44 per cent YoY and export sales grew by 66 per cent YoY to Rs 312.4 crore. Average export realization in the period increased by 15 per cent YoY, the company said.

CLSEL is one of India’s largest basmati rice exporter. It has processing facilities in Karnal (Haryana) and Kandla (Gujarat). The company exports under its flagship brand “Maharani” apart from private labels to more than 90+ countries and has 440+ distributors spread across the world.

In November 2022, CRISIL Ratings had upgraded its rating on the long-term bank facilities of CLSEL to ‘CRISIL A’ from ‘CRISIL A-‘and revised the outlook to ‘Stable’ from ‘Positive’.

The upgrade reflects sustained improvement in the business risk profile of the company, as indicated by 8 per cent revenue growth in FY22, which is supported by healthy demand from exports leading to growth in volumes sold, better price realisation and geographically diversified operations with customer presence in more than 90 countries.

The rating also reflects continuous improvement in the financial and liquidity risk profiles of the company. The financial risk profile continues to remain healthy with strong networth and comfortable capital structure in the absence of long-term debt in the books. Liquidity is supported by robust cash accrual and healthy unencumbered cash and bank balance of Rs 258 crore as on September 30, 2022, it added.

The company has maintained healthy unencumbered cash and bank balance of Rs 258 crore as on September 30, 2022. Promoters’ support in the form of unsecured loans will continue to aid the liquidity profile of the company. Current ratio was healthy at 4.72 times as on March 31, 2022 and is expected to be 5-6 times over the medium term. The rating agency believes CLSE will continue to benefit from its strong presence and healthy relationships with clients.

SEREMBAN: The Negri Sembilan government will expand the area for padi cultivation up to 20.23ha in Londah here to boost the state's production, thus reducing the import of rice.

State Agriculture and Food Security Committee chairman Datuk Bakri Sawir said the state government was in the irrigation planning process with the Department of Irrigation and Drainage, and the land-clearing work would commence soon.

"This is in line with the government policy of 75 per cent local padi production. I think we will be able to complete the land-clearing work this year.

"We are also looking at the sustainability of the water supply for the crop because we are worried that when all the facilities are built, the water source to irrigate the crop will not be sufficient. So we need to look into permanent water sources and expand food production areas," he said at his office at Wisma Negeri here.

He added that opening new areas for padi cultivation would not only boost food security and create jobs for the locals, but also enable Negri Sembilan to fulfil its goal to become one of the rice-producing states.

On the abandoned padi fields in Jelebu, Kuala Pilah and other districts, Bakri said this might be caused by irrigation issues due to forest clearing for developmental plans, weather problems, as well as issues concerning financial and development of other sectors.

Meanwhile, he said the state government would create a permanent food production park for vegetables, cash crops and napier grass on a 40.5ha land in Gemas to encourage large-scale, commercial and high-technology agriculture activities.

He also said that the state government was ready to find land or an old warehouse to be used for vertical farming as an alternative to cover food needs in the future.

He said the move could be implemented in the future if the land area became smaller due to development.

"It (vertical farming) is not a new method, but it can be considered to be implemented in this country. This method is also popular in Singapore because it saves space," he said. – Bernama

‘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).

Officially known as the Democratic Socialist Republic of Sri Lanka, it is a South Asian country possesses GDP of about $ 85 billion according to the statistics of world bank. Over the past few years, the contribution of agriculture sector in Sri Lana’s GDP has experienced a rising trend. According to the latest report of statista, agriculture sector accounts for approximately 9 percent of Sri Lanka’s total GDP. Major crops are rice, tea, coconut, rubber, maize, wheat, potatoes, chili and beans. 52 percent of the total exports are based on garments and textile products. Tea accounts for 17 percent of total exports and 53.3 percent of agricultural exports. It contributed annually about $ 1.3 billion to country’s exports before the arrival of economic crises in Sri Lanka. Rest of the exports volume is distributed among fish, rubber, gems and spices etc. However, the decision to go for organic agriculture has stalled the production of multiple agricultural crops which has further exacerbated the economic difficulties for Sri Lanka. Therefore, the purpose of this case study is to examine whether organic agriculture itself is a technique that leads to adverse economic consequences on a country or there is something wrong with the planning and strategies which made organic agriculture ineffective for Sri Lanka so that it can be determined that organic agriculture is still useful or not in today’s living habits after what it has done to Sri Lanka.

            In June 2022, the then prime minister of Sri Lanka acknowledged the collapse of country’s economy before the Parliament leaving it insufficient to afford for the essentials. Later on after investigation of this economic catastrophe, various reasons were identified for pushing the country in to economic turmoil. One of the main reasons was organic agriculture. President Gotabaya Rajapaksa had an ambitious goal of transforming Sri Lanka into first country having 100 percent organic agriculture. He used this motto in his election campaign of 2019. Few months after he became the president of Sri Lanka in November 2019, he imposed a complete ban on the imports of pesticides and synthetic fertilizer on April 26, 2021. An year later, country was facing the crises of supply shortage. The production of rice dropped to 20 percent which compelled Sri Lanka to import rice by spending $ 450 million to meet the demand. Moreover, the prices of rice rose up to 50 percent. Tea industry being the major source of Sri Lanka’s foreign exchange suffered the financial loss of $ 450 million. Government had to pay significant amount to farmers and in subsidies to compensate the loss of low productivity. According to a report of foreign policy, about half million Sri Lankans had to sunken below the line of poverty after COVID-19 and Sri Lanka’s economic crises which was intensified by agricultural crisis. Moreover, according to WFP (World Food Programme) report of July 2022, on average three out of ten persons in Sri Lanka are  insecure to food which cruises to a total of approximately 6.26 million people of total population.

            Many commentators blame organic agriculture for economic crises in Sri Lanka, however there are number of underlying reasons including mismanagement by government, tourism, interference of China, economic crimes, violation of human rights and scarcity of foreign reserves behind this economic default.

          The President Gotabaya Rajapaksa banned the import of synthetic fertilizers and pesticides on April 26, 2021. He decided it overnight in a hurried manner without listening to the concerns of farmers. During his election campaign, Gotabaya kept highlighting his pure intentions to go for organic agriculture but he would argue that such a transition from conventional to organic agriculture would take place under a steady period of ten years so that all the farmers can have enough amount of time to adjust into organic agriculture. Moreover, he believed that agricultural chemicals and pesticides were steering the country towards the challenges of health and environment. There was a perception that a kidney disease named as Konketiyawa killing 20,000 farmers in Sri Lanka during last two decades was chiefly because of  impure chemical based availability of agricultural food products. Gotabaya argued that industrially manufactured agrochemicals were against the Sri Lanka’s legacy  of having sustained systems of food. Gotabaya wanted to save $ 400 million which country used to spend on the imports of agricultural chemicals and pesticides. Therefore, he considered it appropriate to take the overnight decision of shifting towards organic agriculture. So, millions of farmers had no choice but to opt for organic means for cultivation. The production of natural fertilizers at domestic level was not sufficient to compensate all the farmers. The matter did not finish there. Government did not import extra nutrients to meet the requirements of farmers for organic transition and it also put complete ban on the imports of fertilizers. Consequently, farmers were confronting the scarcity of fertilizers and pesticides in growing crops and the results were immediately witnessed in shape of serious ruination of crops productivity. Therefore, the root cause behind agricultural collapse was not organic agriculture itself, indeed it was due to the improper implementation techniques including insufficient arrangements for organic agriculture.

              Being sustainable form of cultivation, organic agriculture finds its importance owing to the economic and ecological reasons. Notable surge in organic cultivation has been witnessed  during the last decade across the world. 20% food market of USA and Canada, and 7.8% food market of Europe is based upon organic food. IFOAM (International federation of organic agriculture movement) issues guiding principles for the countries to opt organic agriculture. Organic agriculture is useful in reducing erosion of soil, requires lesser use of pesticides, reduces the leaching of nitrate into groundwater, and endorses recycling of animal waste for the nutrients purposes to the crops. It contributes in improving health of soil and biodiversity.

             Besides number of benefits of organic agriculture, it is argued that organic agriculture decreases the productivity of crops. Dalhousie University of Canada’s  research demonstrates that output productivity gap between conventional and organic agriculture is rapidly closing. In some cases, output productivity of organic agriculture exceeds the productivity of conventional agriculture. 40 years of research conducted by Rodale Institute, America’s largest side by side comparison between conventional and organic agriculture, unveils the fact that after five years of transition, yields through organic agriculture equalizes conventional agriculture. Because of its low production costs, it yields 3 to 6 times greater profit for farmers as compared to conventional agriculture. 45% less energy is consumed and it leaches no toxic chemicals to waterways. Therefore, organic agriculture if implemented properly, leads to sustainable, sufficient and profitable means of production.

             The world is confronting severe environmental effects in form of melting glaciers, changing raining patterns, scorching summers, floods, forest fires, storms and tornadoes. Shifting towards sustainable means of production and consumption is one of the major weapons that can be utilized in order to address these dilemmas. As organic agriculture is one of the sustainable means of production, therefore it should be experimented at first in those regions having lesser population and are economically developed so that in case of low productivity, states may not have to face food crises. Secondly, It should be adopted in phases after analyzing the outcomes in a certain area instead of immediately forcing entire country into rapid transition as in case of Sri Lanka. In areas of drought, organic agriculture should be given priority over conventional agriculture because of its high productivity. So, due to Sri Lanka’s terrible experience with organic agriculture, the significance of organic agriculture has not minimized in modern world. Therefore, pertaining to all these significantly affirmative aspects of organic agriculture, it is not wise to say no more organic agriculture in modern living habits. In fact, organic agriculture is need of the modern world for environmental friendly and healthy lifestyle.

Following fall in Aus rice production last season, the government is focusing on raising the grain's output this season. To do so, it is emphasising mechanisation to increase per hectare crop yield in Aus season, said speakers at a workshop.

The observation came at the mid-term workshop of the project -"Enhancement of Farm Machinery Research Activities for Mechanised Rice Cultivation (SFMRA)" - organised by the Bangladesh Rice Research Institute (BRRI) at its head office in Gazipur on Saturday.

According to the Bangladesh Bureau of Statistics (BBS), rice production in Aus season declined to 3.0 million tonnes in the last financial year (FY), 2021-22, which was 3.28 million tonnes in FY 21. The production might decline further in FY 23, as per primary projection of the BBS.

Ministry of Agriculture (MoA) Secretary Wahida Akhter, while speaking at the workshop, said mechanisation should be given importance to boost production as well as to minimise cost.

She noted that the country's food security largely depends on availability of the staple grain, and also focused on increasing cultivation and production of rice in Aus season.

"Therefore, the mechanisation process should be carried forward in coordination with the institutions that manufacture agricultural machinery for production," she added.

BRRI Director General Dr Md Shahjahan Kabir presided over the programme. Executive Chairman of Bangladesh Agricultural Research Council (BARC) Sheikh Mohammad Bakhtiar, Director General of Bangladesh Agricultural Research Institute (BARI) Debashish Sarkar, MoA Additional Secretary (Planning Division) Mahbubul Haque Patwari, Additional Secretary (Extension) Rabindra Sree Barua, BRRI Director (Research) Dr Mohammad Khalequzzaman, and BRRI Higher Education and Research Coordinator Dr Munnujan Khanam also spoke on the occasion, among others, said a press release.

BRRI SFMRA Project Director and Chief Scientific Officer Dr A K M Saiful Islam presented the keynote.

He said under this project four agricultural machineries, including BRRI seed-sowing machine, whole feed combine harvester, solar light trap, and rope twister, have been developed and expanded.

Apart from this, development of eight other machineries, like BRRI manual rice transplanter, power weeder, etc, is also in progress.

The SFMRA is an ongoing project, being implemented in 12 upazilas under 12 districts of the country from July 2019 to June 2024.

BRRI Director General Dr Kabir said if the benefits of this project can be taken to the farmers, there would be a revolution in agricultural mechanisation in the future.

The main objective of the SFMRA project is to strengthen research activities on farm machinery for their development and modernisation, suitable for sustainable rice cultivation, he added.

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

Cambodia is exploring the possibility of exporting rice directly to the Philippines, according to Trade Secretary Alfredo Pascual.

Pascual yesterday met with delegates of the Green Trade Co. and the Rice Federation of Cambodia who initiated talks on the possible purchase by the country of rice instead of buying everything from Vietnam, which also sources some of the rice from Cambodia.

Pascual said Cambodia can supply the Philippines as much as 3 million metric tons, which is about the volume the country imports per year.

He said half of Cambodia’s rice production is surplus.

Initial indicative price of long grain rice from Cambodia is P33 per kilogram, CIF.

The Philippines and Cambodia started preliminary talks on the rice trade at the sidelines of the Asean Summit.

Delegates led by Chan Sokey Secretary of State in charge of Green Trade and Okhna Chan Sokheang, president of the Cambodia Rice Federation, were in Manila for a fact-finding on how Cambodia can secure a market from the Philippines through the Philippine International Trading Corp. (PITC), DTI’s trading arm.

Rice under Asean is pegged a tariff of 35 percent and is open for private sector importation under the Rice Tarrification Law. – Irma Isip

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.

SINGAPORE - Elderly homes, mosques and churches in Joo Chiat received 25,000kg of rice on Friday as part of a campaign to provide one million meals in two years to the less fortunate in Singapore.

The 5,000 bags of 5kg Meadows Thai Fragrant Rice were distributed by DFI Retail Group, which operates supermarkets like Giant and Cold Storage, and and United Overseas Bank (UOB) in DFI’s Have You Eaten? project.

The campaign, which began August last year, is a tie-up with non-profit The Food Bank Singapore to reduce hunger and increase food security for the less fortunate.

The rice, which is equivalent to 62,500 meals, was distributed at the Siglap South Community Centre on Friday evening to the Joo Chiat Division of Marine Parade GRC, who will be giving out the bags to community partners who serve the elderly and vulnerable in the area.

Attending the distribution event, Minister for Culture, Community and Youth Edwin Tong said that food is a key aspect of Singapore’s festive celebrations, and rice is central to the local diet.

He said: “From nasi briyani to nasi lemak, from rice at tuan yuan fun (Chinese New Year reunion dinner) to rice we pair with curry debal (Devil’s curry), rice is about as Singaporean as you can get. But yet, there are some in our society who, for various reasons, might find it difficult to put rice on the table as often as they like.”

He said that initiatives like these are important to providing community support to the less fortunate.

In Singapore, for every 1kg of Meadows rice bought from any Giant, Cold Storage and CS Fresh store, 10 cents will be used to purchase the same brand at cost price, which will go towards feeding beneficiaries The Food Bank Singapore supports.

DFI’s South East Asia marketing director for food and own brand Lee Yik Hun, who attended the distribution alongside UOB’s Singapore head of cards and payments Tan Min Yeow, said that the project aims to strengthen food security in Singapore.

He said: “With rice as a staple in the Singapore diet, we often take that one bowl, or plate of rice for granted. We hope to raise awareness that there are still many among us in Singapore who may sometimes struggle to put food on the table.”

Khoy Rida, Governor of Pursat, brought donations of rice seeds and food from Prime Minister Hun Sen and First Lady Bun Rany Hun Sen to 219 families of one of the communes of the province.

The donations were handed out yesterday morning at the party headquarters of Svay Daun Keo commune and were distributed through the Cambodian Food Reserve System Committee to distribute to 219 families affected by the dry season floods from Otapong, Svay Daun Keo and Romlech communes, Bakan district.

Rida brought a message from the Premier and First Lady and said that they constantly care for the safety and wellbeing of the people.

The provincial governor said that once they get the rice seeds, they have to work hard to grow and rehabilitate the damaged rice fields.

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.”

The Food Safety and Standards Authority of India (FSSAI) has introduced a new rule amid growing complaints of adulteration of basmati rice that come into effect on August 1, 2023.

For the first time, the Food Regulatory Authority of India has decided to impose certain regulatory standards on basmati rice to curb the spread of adulterated rice. According to several affidavits, traders mixed substandard rice with basmati rice, polished it and used chemicals to improve the appearance and smell of basmati rice to increase profits.

The new rules will set standards regarding the average size, moisture and uric acid content and condition of basmati rice after cooking.

What rules did FSSAI implement?

• The exporter must maintain the basmati perfume.
• All kinds of dyes, polishes and artificial fragrances are strictly prohibited.
• The regulations apply to all basmati rice, whether sold in India or exported.
• The regulations apply to brown basmati rice, milled (parboiled) basmati or semi-cooked basmati.

Among other measures, it was also ruled that the proportion of non-basmati varieties should not exceed 15% by mass, broken grains 5% and damaged grains 1%.

Basmati rice has been cultivated for thousands of years in the fertile alluvial plains between the Indus and the Ganges. To be considered basmati, the grains must meet certain criteria, such as aroma, length and width, and cooked texture. They must also contain moderate levels of amylose, which is necessary for making some traditional Indian dishes such as coconut basmati rice.

Compared to other countries, the quality of rice exported from India ranks first. Indian basmati is exported to the USA, Iran, Yemen and many other countries. Pakistan ranks second, followed by Vietnam, and the combined exports of these two countries account for only half of India’s exports.

An inconvenient with a long history

In 1900’s, scammers became notorious for cutting basmati rice with inferior grains, lured by the fact that it was 50% more expensive per kilo. A few decades ago, it was not uncommon for imported basmati rice to contain more than 50% impurities.

To address this, the UK Rice Board introduced a code of good practice in 2005. The standard is also observed across the European Union, which limits basmati to 7% impurities and introduces a list of 15 permitted varieties: nine traditional varieties could be imported duty-free and six modern varieties.

A DNA fingerprinting system was developed at Bangor University for code enforcement, sometimes leading to prosecutions for infringements.

In 2017, 25 new modern rice variants were added to the system and some code segments were updated. This was followed by a wave of new breeders in the 2000s and 2010s to address the problem of low yield and high growth of traditional basmati varieties, which tended to stagnate if over-fertilized.

These breeders solved this problem by cross-selecting to add a plant growth retardation gene, which has also been introduced into most modern rice varieties of the highest quality. However, it could be shown that this improvement was not entirely true.

By developing alternative DNA markers for fingerprinting, it was shown 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 made basmati fragrance possible.

Fish regulations

The FSSAI notification also sets an upper limit for formaldehyde, a substance identified by the International Agency for Research on Cancer as a potential carcinogen that occurs naturally in some fish but is also used illegally to extend the shelf life of fish.

The FSSAI stipulates that naturally occurring formaldehyde should not exceed 4 mg/kg in marine and freshwater fish, 8 mg/kg in crocodiles and 100 mg/kg in all frozen and stored marine fish products.

KRI deputy director of research Sarena Che Omar who is the lead author of the report said that Malaysia’s paddy and rice industry were dual in nature where one focused on the cheaper price controlled medium grained rice and the other was for speciality heirloom rice. – Malay Mail photo

KUALA LUMPUR (Jan 31): The paddy and rice industry in Malaysia can grow exponentially and become a major source of revenue if farmers in Sabah and Sarawak were to cultivate speciality rice grains on a large scale, Khazanah Research Institute (KRI) said today.

The think tank said there were around 500 unique rice varieties and that these seeds need to be preserved to prevent genetic loss of their unique characteristics; among them the Bario, Biris and Bajong.

In just one village there can be multiple varieties of rice, KRI said in its report launched today titled “The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential”.

For example in Kampung Katagayan in Tambunan, Sabah there are several varieties of specialty rice like Padi Tamparuli, Tadong, Keladi Merah, Bukit Bulan, Keladi Putih and Seribu.

KRI deputy director of research Sarena Che Omar who is the lead author of the report said that Malaysia’s paddy and rice industry were dual in nature where one focused on the cheaper price controlled medium grained rice and the other was for speciality heirloom rice.

She said in order to grow this revenue channel, the government needed to update some laws and policies to improve the businesses acumen and competitiveness among paddy farmers in East Malaysia.

One of the laws that needed updating is the Control of Padi and Rice Act 1994.

“The Control of Padi and Rice Act 1994 (522) is an important act that’s there to regulate the prices of rice but it poses some challenges like the need for around RM200,000 in capital for three months to start cultivating rice, it requires one to get permission to export.

“KRI acknowledges that Act 522 is an important Act to protect the supply and prices of cheap medium-grained rice with the goal of ensuring food security. Meanwhile, specialty rice has the potential to be commercialised and exported. These two rice segments have differing objectives which require separate policies and regulations,” she said in presenting her report.

“Farmers we spoke to want to plant their own unique rice as they like the flavour profile and it gives them a different option but they also want to know how they can sell the excess and make some extra income but they don’t have the capacity to try and reach a high end market like selling to places like St Regis or a Hilton,” she added, referring to international upscale hotels.

The difference between cheap and special rice is that cheap rice is sold at around RM1.60 to RM2.60 per kg, is high volume with a price ceiling, matures within 100 days and is valued at RM3.3 billion a year.

Speciality rice is priced around RM5 to RM22 per kg, is low volume with premium pricing, has a long maturity rate at three to six months, has hundreds of varieties and the seeds are not certified (informal or heirloom) and the industry is valued at RM3.1 billion.

“Given the low rice self-sufficiency for Sabah and Sarawak, it may be beneficial to explore alloptions for improving production, including the potential of rural specialty rice varieties as a means to assist in achieving that objective.

“But, of course, achieving rice self-sufficiency alone is not the only goal we should be aiming for. Other holistic factors of food security include improving income of farmers (food affordability) and instilling sustainable, good agricultural practices,” former minister Tan Sri Nor Mohamed Yakcop who is incumbent KRI chairman, said at the report launch.

Apart from that, KRI said the challenges faced by the industry were regulations that were designed solely for the purpose of security (in supply and prices).

In an effort to promote the uniqueness of specialty rice to both local and international markets, the report suggests several policy considerations. These recommendations would serve to support small businesses producing specialty rice, as well as facilitate the distribution of rice beyond Sabah and Sarawak.

The first suggestion to state governments would be to safeguard as many unique seeds and top introduce a universal naming system and to formally characterise these varieties.

Federal government needs to recognise the big difference between cheap and specialty rice and not subject the latter to the same regulations as the former. Once these two rice groups are differentiated the report suggested to allow specialty rice to be exported without needing special permission from the Director General, allow rice to be transported across state, review input subsidies for growers of specialty rice meant for export and to lower the minimum working capital requirement for the relevant licenses for micro and small enterprises in this sector.

By adopting these steps KRI hopes it will help alleviate the farmers from living in poverty as they can now expand their specialty rice business and market it to a bigger audience.

The think tank hopes it would increase the overall income of the locals while boosting Malaysia’s food supply and reserves.

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.

Climate change manifests itself through rising temperatures, changing rainfall patterns, and increasing intensity and frequency of extreme weather events. It has enhanced the production risk of agricultural farming, a business which has already been inherently risky for farmers due to high dependency on favourable weather conditions and volatile prices of crops in the market.

Even if we put aside the megaflood of 2022, Pakistan’s farmers already feel the full brunt of climate change. For instance, the extraordinary heat wave in March 2022 reduced wheat yield significantly because grains could not reach their full size due to early higher temperatures in the range of 40–42 Celsius.

Likewise, this heat wave also impacted the flowering of mango trees, which in turn decreased mango production in 2022. Negative effects of climate change can be seen in 2023 as well, where severe frost in January has adversely affected the potato crop in Punjab’s major potato-growing districts. As a consequence of such production decrease, Pakistan’s current food security situation is worsening, and it is likely to be aggravated further in the future.

To decrease the adverse effects of climate change on agriculture, international development agencies are pursuing an integrated approach called climate-smart agriculture (CSA), which is primarily comprised of three components; increasing agricultural productivity, building resilience to climate change (adaptation), and reducing greenhouse gas emissions, which cause climate change (mitigation).

With one of the lowest crop-water productivity in the region, two to five times more water is used to get the same amount of produce

In Pakistan, a clear consensus does exist amongst relevant stakeholders for making necessary changes to our agriculture system and improving the management of natural resources, as outlined by CSA. Considering the current vulnerability of our agricultural system to climate change, here are some broad areas for intervention, which are now becoming increasingly crucial for farmers as well as the country’s food security.

The biggest challenge being faced by our agriculture sector is low crop productivity. With the exception of a few, yields of our most crops remain below the world’s averages. Due to rising temperatures, winters are getting shorter in Pakistan, which is affecting our winter crops, including wheat, the largest staple food in the country. Similarly, higher temperatures and irregular rains, especially at pollination and maturity stages, are adversely affecting the yields of Kharif crops.

Such variability in climate necessitates the availability of climate-resilient crop varieties that must be high-yielding, short-duration, and heat tolerant. Along with this, they must be able to tolerate water stress and waterlogged conditions. Without such varieties, nothing concrete can be achieved to cope with the menace of climate change.

Unfortunately, Pakistan’s public sector research centres have failed to meet the nation’s expectations due to inadequate agricultural research budgets and poor human and institutional capacity. As a result, imported seeds have captured a good market share in Pakistan, which especially includes hybrid seeds of maize, rice, canola, sunflower, vegetables, and other crops.

Relying on intensive research, multinational companies have continuously introduced improved crop varieties of these crops to cope with climate variations. However, such ever-increasing dependency on imported seed is not a long-term and sustainable solution for a country like Pakistan, which has a large agriculture sector.

Therefore, what the country desperately needs is an enabling policy environment coupled with the right incentives for the private sector that can boost in-country seed production at a large scale. Only local production can enhance the provision of affordable quality seed to smallholders.

Water is a critical agricultural input and plays a central role in food security. Pakistan has one of the lowest crop-water productivity in the region. We use two to five times more water compared to other countries to get the same production. However, water availability is becoming increasingly uncertain in the country due to an increase in extreme weather events like dry spells (droughts) and heavy rainfall.

All of this necessitates increasing water management through various resource conservation technologies (RCTs), improving on-farm irrigation practices, and introducing water-smart farming. The greater usage of suitable RCTs like precision land levelling, raised bed planting, and various types of high-efficiency irrigation solutions can conserve a great deal of water and, in turn, the energy required to pump groundwater. Such energy saving would also reduce the emission of greenhouse gases.

Another related issue is the drainage of excess rainwater from fields caused by greater intensity and frequency of precipitation — another manifestation of climate change. The problem of standing water is increasing, especially in low-lying fields, and it has a very damaging effect on those crops that can’t tolerate waterlogged conditions. It is imperative to improve the drainage of rainwater from fields and its storage for subsequent usage.

In Pakistan, a substantial amount of agricultural produce is already lost to crop pests and diseases during the production phase. Climate change is impacting the biology and outbreak potential of crop pests, which may further increase crop loss. Therefore, to ensure food security, it is high time to introduce climate-smart pest management aimed at reducing pest-induced crop losses, but with a lesser application of pesticides.

The manufacturing and application of chemical fertilisers also produce greenhouse gases like carbon dioxide, ammonia, and nitrous oxide. In Pakistan, urea (nitrogenous fertiliser) is the most widely used fertiliser. Crops hardly take up 50 per cent of applied nitrogen, while the remaining runs off into waterways or gets broken down in the soil, releasing nitrous oxide. Hence, an increase in fertiliser use efficiency would not only mitigate climate change but also decrease fertiliser costs for farmers, which is on the rise.

In conclusion, Pakistan needs a productivity-centric and resilience-focused CSA that could increase its agricultural production while decreasing the agriculture sector’s vulnerability to climate change, thereby ensuring food security in the country.

However, in view of the country’s economic and financial problems, the real challenge is to identify, rank (prioritise), and then execute the most relevant interventions, which must be cost-effective and sustainable, with a higher impact.

Khalid Wattoo is a farmer and a development professional Sara Mehmood is a researcher in forestry and environmental sciences

Punjab farmers refuse to phase out water-guzzling paddy despite rapid groundwater depletion

The state is the highest extractor of groundwater in the country and 97% of it is being used in irrigation, mainly for paddy.

Despite years of discussions to phase out paddy in Punjab, owing to its impact on groundwater, latest data shows that the paddy crop area still dominates agriculture in the state. Paddy is currently grown over 87% of the total area under kharif crops (June-October) in Punjab, according to data shared by the Punjab Agriculture department which notes that in the current 2022-’23 kharif season, the area under paddy, was 3.1 million hectares out of 3.5 million hectares under kharif crops.

Over 35 years ago, in 1986, a government report on crop diversification, led by economist SS Johl, recommended at least 20% area under paddy and wheat, the dominant crops in Punjab, should be shifted to other crops for ecological sustainability, primarily prevention of groundwater depletion. The predicted impact of a large paddy area on groundwater has come true – currently 80% of the state is in the red zone due to the overexploitation of groundwater.

Punjab is currently the highest extractor of groundwater in the country and 97% of it is being used in irrigation, mainly for paddy, as per Central Ground Water Authority’s last available Ground Water Estimation report 2020. The seriousness of the problem was apparent in a statement by the monitoring panel of the National Green Tribunal NGT under Chairman Justice Jasbir Singh (retired) when it stated in May that if the present rate of extraction continues, the state would be left with groundwater for 17 years, till 2039.

Paddy is a water-intensive crop and needs around 5000 litres to grow a kg of rice. Punjab had a diversified agriculture landscape before two cereal crops – paddy and wheat – were promoted as part of the Union government’s thrust to attain food security, later pegged as Green Revolution.

The area under paddy in the state, which was 0.2 million hectares in 1960-’61, had increased almost five times to 1.1 million hectares by 1980-’81, data taken from Punjab State Farmers’ and Farm Workers’ Commission’s 2018 report revealed. The report has been removed from the public domain by the Punjab State Farmers’ & Farm Workers’ Commission after a new panel was announced recently. At the time of Johl’s report in 1986, the paddy area kept increasing and touched 2 million hectares by 1990-’91, an addition of almost 1 million hectares in one decade.

In an interaction with Mongabay-India, Johl, now 92, said he had advocated the promotion of alternative crops since he could foresee the fast depletion of Punjab’s underground water on which irrigation of paddy was mainly dependent.

However, farmers have been incentivised to stick with paddy production because of a few reasons, note various experts and government officials: there is almost 100% procurement of paddy at Centre’s minimum support price; harvesting and sowing has become easier; and agriculture extension services have helped to increase per hectare production.

With paddy being cultivated over 3.1 million hectares in the current kharif season (June-October) and wheat crop cultivated in 3.5 million hectares in the current rabi season (November-April), the two cereal crops occupy almost 84% of the total gross cropped area of 7.8 million hectares in the state.

Impact on groundwater

Punjab’s wheat-paddy cycle consistently contributed to the Centre’s food security needs for the last several decades. In the 2021-’22 procurement season, Punjab contributed more than 12.5 million tonnes or 20% of total rice procurement of 56.8 million tonnes to the central pool managed by the Food Corporation of India. Similarly, the state contributed around 53% of wheat to the central pool in 2022.

However, this high cultivation of paddy is fast-depleting groundwater in the state. As per the Central Ground Water Authority’s data obtained under the Right to Information Act in January, 119 out of 138 blocks in Punjab are currently in the over-exploited category as far as groundwater depletion is concerned. According to the agency’s reply, the situation is more serious in central and southern parts, including Patiala, Sangrur, Barnala, Mansa, Bathinda, Moga, Ludhiana and Jalandhar – where paddy is the dominant crop in the kharif season. The state’s average groundwater depth at which water is available has crossed 70 meters (200 feet). In the last decade (2011-2020), overall depletion was 2-4 metres.

“There are areas in southern districts of the state where the groundwater is not available even at 150-200 metres (450-600 feet),” Punjab’s former irrigation secretary KS Pannu told Mongabay-India. He said if this trend is not reversed anytime soon, Punjab will be left with no groundwater to irrigate its crops. “If the water level drops below 300 metres in the next 18-20 years, water quality becomes highly contaminated and unsuitable for irrigation or drinking. Even the cost of extraction will be too high for farmers,” Pannu said.

While quoting from Central Ground Water Authority’s groundwater estimation report 2020, Pannu explained that the state is over-extracting 14 billion cubic metres of groundwater annually. The annual extractable groundwater recharge in Punjab from different sources like rainfall, etc., is 20 billion cubic metres, but the state is using 34 billion cubic metres of groundwater, he said.

Factors sustaining paddy

Responding to a question by Mongabay-India, on why the state failed to phase out paddy despite its adverse impact on groundwater, Gurvinder Singh, director of the department of agriculture in Punjab, reiterates the reasons that farmers stick to paddy farming: 100% procurement of the paddy at centre’s minimum support price and consistent economic returns for the farmers.

While procurement data for the 2022-’23 season is not officially available yet, the centre spent Rs 1.45 trillion on procuring 75 million tonnes of paddy in the 2021-’22 season, followed by 89 million tonnes of paddy at Rs 1.69 trillion in 2020-’21 season.

Gurvinder Singh said in the 2018 and 2019 crop seasons, the department convinced a section of farmers in districts most-affected by groundwater depletion, to grow maize in place of paddy. But the farmers returned to paddy the next season as there was minimum support price for maize. “Even if the government starts procuring alternate crops like maize or pulses at minimum support price, it will still be insufficient to match the income farmers get from paddy,” he said. He explained that farmers’ current earnings from paddy are between Rs 45,000 and Rs 50,000 per acre. On the contrary, per acre income from pulses or maize, even after minimum support price realisation will be Rs 30,000 to Rs 35,000. “The income gap is basically due to low yield in alternate crops and further lack of proper sowing and harvesting techniques,” Singh added.

Another indirect reason that paddy has been able to sustain is that water for its irrigation is highly accessible at no cost. Punjab offers free power for agriculture since 1997, allowed farmers to extract as much water from the ground through tubewells for free. The data obtained from Punjab Electricity Corporation’s Engineers Association revealed that power consumption in the agriculture sector in Punjab has almost doubled in the past two decades, an increase from 6,049 million units in 1997-1998 to 11,226 million units in 2018-’19. This also increased the Punjab government’s subsidy bill from Rs 6.58 billion in 1997-’98 to Rs. 72 billion in 2022-’23, which is projected to touch Rs 75 billion in the current fiscal year, data revealed further.

In 2017, Punjab State Farmers’ and Farm Workers’ Commission recommended the withdrawal of free electricity to medium and large farmers and the use the money saved on subsidies to start an income support programme to promote alternate crops. The move, as per a report, could save at least half of the subsidy bill of the state government. But, these recommendations have not yet been implemented.

Economist SS Johl told Mongabay-India that free power was one of the major hurdles why Punjab could not phase out paddy. “It led to wastage of groundwater and increased its consumption manifold. This must stop before it is too late,” said Johl.

“Punjab’s problem is severe. We do have solutions to overcome them. But we lack political leaders who have farsightedness and can gather enough political will to take hard and strong decisions,” said Johl.

Past failures

A contract farming programme launched by the Punjab government in October 2002 aimed to remove 10 lakh hectares from the wheat-paddy cycle over the next five years as part of the crop diversification programme as recommended by another Johl-led committee in 2002. A pilot project to divert area under wheat-paddy to other crops began on over 11,000 (29,000 acres) jointly by the Department of Agriculture, Punjab Agro Foodgrains Corporation and private companies.

The Punjab Agro Foodgrains Corporation provided seeds purchased from reputed seed companies and promised to buy back the entire production at a fixed price agreeable to farmers and procurement agencies.

But Sukhpal Singh, an agriculture expert from Indian Management Institute, Ahmedabad, wrote in a research paper in 2005 that towards the end of harvesting season for the contracted crops, the programme had run into rough weather. The contracted maize crop failed almost completely due to weather-related issues and poor-quality seeds. None of the companies procured the produce. After this failure, occasional efforts were made to promote maize as an alternate crop to paddy but these efforts were without any income support programme.

In September, a special committee of Punjab Vidhan Sabha came out with a series of recommendations to save Punjab’s groundwater, which includes conserving water by agricultural zoning of the state and by metering groundwater. The committee also recommended reviving the canal water system in Punjab to reduce dependence on tubewells for irrigation.

Many such studies and recommendations have been periodically made regarding conservation of groundwater in Punjab.

New panel

The new Aam Aadmi Party government in Punjab, which won the election last year in March on the agenda of badlaav (change), recently announced another panel to formulate a new agriculture policy. On January 17, the state agriculture minister Kuldeep Singh Dhaliwal told media that the government is working on a new policy, aiming to save Punjab’s natural resources such as groundwater, soil health and geographical conditions. In this policy, aspects like crop diversification, agri exports etc., would get special attention.

Former bureaucrat KS Pannu, criticising the announcement, told Mongabay-India that Punjab needs the right intention more than anything else. “There is no dearth of solutions. For instance, it can optimise areas under canal irrigation to reduce dependence on groundwater. The government can initiate an income support programme to gradually phase out paddy. It can push the food processing industry and align it with the purchase of diversified crops at minimum support price,” he added.

Economist Kesar Singh Bhangoo, from Punjabi University, Patiala, told Mongabay-India that Punjab could not succeed in crop diversification without the active support of the central government but currently it cannot afford Punjab to phase out area under paddy. “Look at what happened last year when the union government had to ban wheat and paddy export just after a decrease in food grain production in the country due to climate conditions,” he added.

On the contrary, economist Johl, who also served as vice chairman of the Punjab state planning board between 2002 and 2007, argues that Centre can be convinced to help Punjab in its diversification programme. “After my second diversification report in 2002, I collaborated with the Union Food ministry. I convinced them for promoting oilseed production in Punjab, for which an initial grant of Rs 1600 crore was also approved. But later, no one from Punjab pursued this matter,” he added.

Meanwhile, Darshan Pal, a member of Sanyukt Kisan Morcha, a joint body of the farmers union, told Mongabay-India that any diversification plan without assured returns would not work.

This article first appeared on Mongabay.

While in several sectors, farmers’ income has been doubled, the Odisha Government is on a move to boost farmers’ income further with a roadmap to 2030.

Accordingly, in order to enhance farmers’ income in the State, multiple strategies have been suggested by the State Committee on Enhancing Farmer’s Income (SCEFI).

SCEFI Chairman Sanjeev Kumar Chadha has recently submitted a Detailed Strategy Report to the State Government.

Chadha is Principal Secretary Co-operation and Special Secretary, Agriculture and Farmers’ Welfare.

The Report of Doubling Farmers’ Income (DFI) headed by Ashok Dalwai says that farmers' income in various sub sectors have more than doubled in the State.

Dr Dalwai is appreciative of Millet Mission areas that have registered over two and a half times increase in productivity and income.

In fact, the Millet Mission is one of the flagship programmes of the Odisha Government spearheaded by the Department of Agriculture and Farmers’ Empowerment.

The SCEFI has gone into details of the production, productivity, enhancement of resources, enterprise diversification, climate smart agriculture, organic farming, marketing strategy, credit support, insurance support, use of technology and other issues.

While Odisha has gone much ahead in production and productivity, more is needed to achieve the national average.

Take for rice production, yield per hectare is 2,475 kg, where as national average is 2,722 kg per hectare and Punjab produces 4,034 kg per hectare.

So far as pulses are concerned, Odisha produces 544 kg per hectare, where as Gujarat produces 1,172 kg per hectare and the national average is 823 kg per hectare.

Total food grain production per hectare yield is 1,862 kg, where as India average is 2,343 kg and Punjab yields 4,527 kg per hectare.

So far as oilseed is concerned, yield of Odisha is 945 kg per hectare, where as Tamil Nadu's yield is 2,626 kg per hectare and the national average is 1,224 kg per hectare.

Total vegetables production is 14,197 kg per hectare in Odisha, while the national average is 18,262 kg per hectare and Uttar Pradesh's yield is 19,431 kg per hectare.

Total fruits production in Odisha is 8.31 Metric Ton per hectare, where as all India average is 15.07 MT/Ha and Andhra Pradesh yield is 23.41 MT/Ha.

Under this backdrop, the SCEFI has suggested multiple strategies, which are needed for enhancing the farmers’ income and it is expected that soon the State Government will come up with the implementation of an action plan for enhancing the income to next level, said sources.

Papua New Guinea's Minister for International Trade and Investment Richard Maru is hopeful a major rice project in Kairuku in Central Province will get off the ground this year.

He says the project though will have to get the blessing from the Central Provincial Government, Kairuku District Development Authority, Hiri-Koiari DDA, impact communities, and the National Government, who own the Manumanu land at Gabadi.

Rice investors from the Philippines, who visited the project site at Gabadi recently, say millions of Kina will be needed to finance the growing of rice on a commercial scale.

Former Philippines Department of Agriculture Secretary, Dr. Emmanuel Pinol, who leads the investor team, says they will need 1, 200 hectares to start this investment. 

The availability of state land and close proximity to the Hiritano Highway and electricity grid are some of the deciding factors.  

This decision was reached by a group of Filipino Rice Investors, after the conclusion of a two-day field trip up the Hiritano and Magi Highways of Central Province recently.     

It was all thumbs up, a gesture of confirmation that rice can be grown on a large scale in the country. 

A group of investors, from the Philippines, were satisfied after visiting villages along the Hiritano Highway, from Brown River, Vanapa, Gabadi, and Agevairu, and the Rigo Rice Farm along the Magi Highway last Thursday.

Minister Richard Maru in a media statement confirmed the investors have chosen Gabadi in the Kairuku District of Central Province as the ideal location for a large-scale rice investment, under the nucleus estate concept. 

Mr. Maru says rice farming is not new to the area. 

He added that large-scale rice investment will see the establishment of an 800-hectare estate rice model farm and train and support local village out-grower farmers under family-owned or rice-cooperative farmers from Brown River to Vanapa, and Gabadi all the way to Bereina.

The land they are interested in to set up the 800-hectare model rice farm with all the processing facilities is the recently acquired Manumanu State land which was recently acquired by the Government through Kumul-Consolidated Holdings Limited for K34 million.

NBC News / PNG Today

Following are selected highlights from a report issued by the U.S. Department of Agriculture’s (USDA) Foreign Agricultural Service (FAS) post in Canberra:

“Australia is set for a third consecutive record grain crop, and strong exports. Wheat production is estimated to have reached a record 37 million metric tons (MMT) in marketing year (MY) 2022/23, while barley is estimated to achieve 13.5 MMT of production, the fourth largest on record. The wheat and barley results were strongly supported by near ideal conditions in Western Australia and South Australia, but this was partially offset by excessive rains in much of the grain-growing regions of New South Wales and Victoria in September and October 2022.

Wheat exports in MY 2022/23 are forecast to reach a record 28 MMT. For the summer crops, sorghum production in MY 2022/23 is estimated to achieve 2.9 MMT and, if realized, would be the third largest on record. The rice production forecast has been severely impacted by excessive rains in the lead up to planting, resulting in only around half of the area planted from what was previously expected.”
Source: Reuters (Reporting by Julie Ingwersen in Chicago)

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.

The Large-scale adoption of hybrid rice, which has proved effective in withstanding climatic stresses, pests and diseases, is paramount to tackling Africa's hunger and malnutrition crisis, scientists have said.

NAIROBI, Jan. 29 (Xinhua) -- The large-scale adoption of hybrid rice, which has proved effective in withstanding climatic stresses, pests and diseases, is paramount to tackling Africa's hunger and malnutrition crisis, scientists have said.

Emmanuel Okogbenin, African Agricultural Technology Foundation (AATF) director for program development and commercialization, noted that the introduction of improved rice varieties will boost food security and tackle rural poverty in the continent.

"We are encouraging farmers to adopt hybrid rice that is adaptable to different ecologies and whose yield levels are high, which is key to food security and improved incomes for rural communities," Okogbenin said.

The file photo shows farmers raising hybrid rice seedlings in Kihanga, Bubanza Province, Burundi, on Oct. 29, 2022. (Xinhua/Dong Jianghui)

He spoke during a tour of the Mwea irrigation scheme in central Kenya, where AATF has facilitated the introduction of hybrid rice to test its resilience in the face of extreme weather events, invasive pests, and diseases.

According to Okogbenin, hybrid rice introduced in central Kenya has registered a doubling of yields at the small-holder level besides boosting the socioeconomic status of farmers.

He stressed that the unfolding climate crisis in Africa, coupled with the spread of voracious pests, diseases, and loss of soil fertility, calls for a shift from conventional to improved rice varieties.

The file photo shows a farmer pollinating in a hybrid rice field in Kihanga, Bubanza Province, Burundi, on Oct. 29, 2022. (Xinhua/Dong Jianghui)

Sheila Ochugboju, executive director of the Alliance for Science, called upon African governments, research institutions, and industry to facilitate the deployment of improved rice varieties to small-holder farmers as part of climate adaptation in the agriculture sector.

Ochugboju added that extension services in Africa should be revamped to help farmers access information, improved seeds, fertilizer, and modern post-harvest storage facilities.

She noted that hybrid rice is not only climate smart but is also rich in nutrients and ideal for tackling growing micronutrient deficiency among children in the continent.

Ochugboju said friendly policies and regulations, farmers' training, and investments in modern storage facilities will be key to spurring greater adoption of hybrid rice in Africa.  

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.

With predictions emanating from the global Analytics company, GRO Analytics Intelligence, regarding a likely sharp reduction in rice production in 2022/2023 (a projection with which the United States Department of Agriculture concurs), it would be instructive to attempt to assess the implications of this pronouncement for Guyana, the foremost rice grower in the Caribbean Community (CARICOM).

GRO’s recent Intelligence Report made no mention of Guyana in its projection on the state of the global rice industry in the period ahead, its primary focus targeting some of the ‘heavy hitters’ in the sector, including India and China, never mind the fact that the fortunes of Guyana’s rice industry have an important bearing on the food security bona fides of other Caribbean territories. The causes of the projected underperformance of the global rice sector, according to GRO Analytics, range from “weather events in the rice-growing heartlands of Asia to crop diseases and consequential damaged harvests in other parts of the world.” The predicted production decline, GRO is quoted as saying, is hinged to “a reversal following consecutive years of increased rice harvests worldwide.” The GRO report also asserted that it was the previous plentiful supplies forthcoming from global rice giants like India, which, for the most part, had “helped to forestall even worse food security crises in those parts of the world that had been gripped by sustained famine.”...

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.

Read more at:
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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.

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.

Even before global headlines seized on the fact that for the first time in a half-century, China’s mammoth population was in decline, Fiscal Year 2023 U.S. agricultural trade projections were down overall and specifically down with China. The latest information from the U.S. Department of Agriculture’s Economic Research Service and USDA’s Foreign Agricultural Service analysts offered this outlook: “U.S. agricultural exports in fiscal year (FY) 2023 are projected at $190.0 billion, down $3.5 billion from the August forecast. This decrease is primarily driven by reductions in soybeans, cotton, and corn exports that are partially offset by gains in beef, poultry, and wheat. 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 $1.0 billion to $6.0 billion based on lower unit values and subdued demand. Grain and feed exports are projected to decrease by $300 million to $46.2 billion.

“Agricultural exports to China are forecast at $34.0 billion, down $2.0 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 U.S. agricultural exports,” the report summarized. Why does that matter? China is the top U.S. agricultural export market with an export market value of $35.6 billion in 2021, according to USDA-FAS. Mississippi has a $9.72 billion agriculture industry. China is the third leading trading partner for Mississippi exports behind Canada and Mexico, with $759 million in value in 2020, representing a 63.8 percent increase over the previous year. With one-fifth of the world’s population at 1.4 billion as the world’s most populous country, China buys food and feedstuffs on global markets to offset the nation’s limited arable lands and the dual negative impacts of pollution and climate change.

Chinese imports of soybeans, corn, rice, wheat and edible oils drive a great deal of the country’s global shopping lists as does an increasing national appetite for meat and poultry – with the widespread availability of meat (particularly for middle-class citizens) being a relatively recent development. But economic forecasting and trade projections were both shaken in recent weeks by verified reports from the National Bureau of Statistics of China that at the end of 2022, the population of mainland China had decreased by 850,000 over the previous year. That population decrease is believed to be the first such decline during the Chinese “Great Leap Forward” program that began in the late 1950s. Scholars saw the elimination of China’s notorious “one-child policy” in 2015 as an early signal that China’s long-term population strategy had gone awry.

Now, forecasters see India overtaking China as the world’s most populous country — and soon.  The United Nations Department of Economic and Social Affairs said: “India is projected to surpass China as the world’s most populous country during 2023.” UN forecasts the global human population will reach 8.5 billion in 2030 and 10.4 billion in 2100. Agricultural trade development between the U.S. and India is not yet as substantial as it is with China — and the same is true for Mississippi ag exports to India. That, despite Mississippi’s prowess in soybean production and India’s status as the world’s largest importer of soybean oil. Those dual trade relationships are compounded by the fact that China and India are in direct conflict over which of the two nations will be the hegemon or dominant nation in Asia – and for that matter with Asia comprising more than half the global population, the global hegemon. Both China and India see themselves as competitors with the U.S. for that designation. For Mississippi’s agricultural economy, global trade is vital, and the world has had a clear lesson in Ukraine the impacts of regional military and economic conflict on large segments of the global economy. Whether considering markets for Mississippi poultry, timber, or soybeans — and the rest of our agricultural bounty — the world is smaller, our economic fortunes are more closely intertwined than ever, and risk is an inherent facet of reward. Global foreign and economic policy matters not just at the U.N. or the G8, but at the grocery store and the gas pumps where we live and work.

COLOMBO (News 1st) – Sri Lankan rice farmers who feed the nation are in a situation where they cannot even afford their own meals.

This can be attributed to the diseases that is turning rice plants yellow, which is spreading across a plethora of paddy lands in the country.

Farmers from Henkola Wewa that falls under the Mahasen Bedum Ela Agrarian Organization in Polonnaruwa commenced the Maha Season cultivation with high hopes.

However, their dreams of a rich harvest were shattered by the disease that is turning rice plants to yellow.

Farmers claim that around 800 acres of rice fields have been affected, leaving the farmers at a massive loss.

Farmers also said that they immediately informed the authorities when they noticed the disease in the initial stages, however, the relevant officials turned a blind eye to the issue.

In addition, over 100 acres of rice fields in the Weligepola area in Ratnapura have also been affected  by the disease that is turning rice plants to yellow.

Another 6,000 acres of paddy land in the Rajanganaya Agrarian Settlement have been destroyed by the same disease.

The same fate had befallen many other rice cultivations across the country.

The Rice Research and Development Institute (RRDI) in Bathalagoda said that tests have revealed that organic fertilizer was NOT a cause for rice plants to turn yellow.

Director of the Rice Research and Development Institute (RRDI) Dr. Jayantha Senanayake told News 1st that the samples obtained from paddy lands and organic fertilizer samples obtained from the possession of farmers, are being subject to tests.

He added that remedies are available to address the situation.

The mega trade fair will be held in Dubai at the World Trade Center from 20th to 24th February 2023.

Dubai, United Arab Emirates: European Rice, an EU-funded promotional program has announced its participation at the upcoming Gulfood 2023. The mega trade fair will be held in Dubai at the World Trade Center from 20th to 24th February 2023.

European Rice aims to spread awareness among consumers in targeted countries and among professionals such as food experts, distributors and wholesalers about the authenticity and unique production quality of European rice produced in Greece at ZA'ABEEL HALL Z5-160. At Gulfood 2023, European Rice will showcase its unique product in front of the global food industry and guests will have the opportunity to taste the European rice from Greece!!

“We are very excited to be a part of Gulfood 2023. We have been regular participants of the biggest trade show in Middle East and are confident that this year’s show will be another stellar performance. Gulfood is not only an opportunity for us to connect and network with peers from the industry, but also serves as an important platform to share and discuss best practices,” said Mr Konstantinos Giannopoulos, general manager of EASTH, the union of co-operatives that is in charge for the European Rice program.

European Rice found fertile soil in Mediterranean Europe and was grown, loved and became part of European culinary tradition since then. European rice is today distinguished for its quality and nutritional value. It is rich in B-complex vitamins, such as Niacin, Thiamine, Riboflavin and Selenium, while the carbohydrates contained in its endosperm constitute an important source of energy for the human organism.

“European Rice is the finest quality of rice, with rich nutrition value. At Gulfood 2023, our aim is to share and create more awareness about our production of rice, which is driven through high and sustainable tech solutions. While this platform will enable us to create more credibility and awareness about European Rice, we are optimistic that this edition will be a game changer for us to highlight the uniqueness of our products,” added Mr. Christos Tsichitas, president of EASTH.

The European Rice Market is sub-divided in two different segments, namely, INDICA RICE a long grain variety which represents around 25% of EU rice production and JAPONICA RICE, a short and medium grain variety which is the traditional European rice and represents around 75% of EU rice production.

Driving creativity and change, the 28th edition of Gulfood will continue to unite food and beverage communities around the world, and act as an industry trend springboard and a global sourcing powerhouse. The event is expected to host over 5000 companies from more than 120 countries, a line-up of industry thought leaders, and the world's greatest chefs chart the way forward and inspire industry-wide transformation for the good of the entire ecosystem.

Jakarta (ANTARA) - The Agriculture Ministry has said that the production target for rice this year is 54.5 million tons, the same as the target set last year.

“(The production targets for other commodities include) Corn with a moisture content of 27 percent of 23.05 million tons, soybeans with 370 thousand tons, and chilies 2.93 million tons," secretary general of the ministry Kasdi Subagyono said during a meeting with Commission IV of the House of Representatives, which was followed from here on Tuesday.

The target for shallots is 1.71 million tons, garlic 45.45 thousand tons, coffee 810 thousand tons, cocoa 780 thousand tons, sugarcane 37.15 million tons, coconut 2.99 million tons, beef 465.15 thousand tons, and chicken meat 3.87 million tons.

Most of the production targets for agricultural commodities in 2023 are not much different compared to those set in 2022.

The target for rice in 2022 was 54.5 million tons, with the realization reaching 55.44 million tons.

The target for corn production was 23.1 million tons, with the realization reaching 25.18 million tons; soybeans 280 thousand tons, with the realization recorded at 300 thousand tons; shallots 1.64 million tons, with the realization registered at 1.72 million tons.

The chilies production target was 2.87 million tons, but the realization was only 2.73 million tons. The target for sugarcane was 34.99 million tons, coffee 790 thousand tons, beef/buffalo meat 440 thousand tons, and chicken meat 3.54 million tons, with the realization reaching 3.77 million tons.

He informed that the main efforts to increase agricultural productivity in 2023 will cover the food crop, horticulture, plantation, and livestock sectors.

"For the Directorate General of Food Crops, (the efforts will include) the optimization of rice planting index improvement, development of biofortified rice, development of corn areas, development of soybeans, and development of integrated farming," he elaborated.

Then, in the horticulture sector, the ministry will develop horticultural villages, agro-industry, seed production, micro, small, and medium enterprises (MSMEs), and sustainable food yards.

“(The other efforts will cover) Plantations, smallholder household corporations, seed production of 15 million stems, and development of coffee, coconut, cashew, cocoa, and areca nut areas," Subagyono informed.

The efforts will also cover improving the downstreaming of areca nut exports, developing farmer-cooperation-based sago, pushing for self-sufficiency in sugar consumption, and developing non-cane sugar, stevia, palm sugar, and coconut.

As for livestock, the ministry will optimize the reproduction and handling of foot-and-mouth disease, development of goat and sheep cooperatives, swallow’s nests, beef cattle based on grazing, and the integration of cattle and palm oil, as well as the development of corporate cattle villages, and the optimization of reproduction and handling of PMK.

The ministry's program for those developments will be supported by Rp15.32 trillion in the 2023 budget ceiling, plus an additional automatic adjustment of Rp1.05 trillion.

A five-year partnership between Kellogg's InGrained and Lower Mississippi River Basin rice farmers to help reduce climate impact, is witnessing early positive results.

According to Kelloggs, during the pilot year of the programme, InGrained helped farmers implement climate-smart irrigation practices that achieved a reduction of more than 1,600 metric tonnes of greenhouse gas emissions. This would be the equivalent of taking more than 345 gasoline-powered cars off the road for one year.

The Environmental Protection Agency (EPA) estimates that rice production emits several greenhouse gases, most significantly, methane. Methane contributes approximately 1.5% of total greenhouse gas emissions and is 25 times more potent than carbon dioxide.

Financial And Technical Support

Kellogg piloted the programme in Northeast Louisiana along with agricultural greenhouse gas measurement firm Regrow Ag, rice producers, Kellogg supplier Kennedy Rice Mill LLC, and agribusiness firm Syngenta.

Kellogg said it will make adjustments as the partnership transitions into the second year of the programme, while ensuring both financial and technical support continue to help farmers with these new practices.

Kellogg also plans to expand the programme to include various regions with different weather patterns and soil types to determine if similar positive impacts are found.

Timetable In Place

"Kellogg's Better Days environmental, social and governance (ESG) strategy is committed to supporting 1 million farmers and reducing Scope 3 GHG emissions across our value chain by 15% by the end of 2030," said Janelle Meyers, Kellogg company's chief sustainability officer.

"Programmes like Kellogg's InGrained contribute to this ambitious goal, create positive impacts on the planet and support the livelihoods of farmers who grow the rice for some of our most iconic foods."

© 2023 European Supermarket Magazine – your source for the latest A-brand news. Article by Robert McHugh. Click subscribe to sign up to ESM: European Supermarket Magazine.

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!

14ymedio, Madrid, 16 January 2023 — Cuban authorities have not revealed the bad results of the 2022 rice production, but a note published on Sunday in Granma, the official daily, leads us to believe that is worse than expected. In February of that year, the harvest was 120,000 tons and they set a target for the following year of 180,000, a tiny portion of the nearly 700,000 needed for domestic consumption. Not even that was achieved, but official data are not available; an official stated that 2022 production was “a real sinkhole, the volume of food declined considerably.”

Oslando Linares Morell, director of the Rice Technology Division of the state run Agriculture Business Group, explains that in 2012, a program was created to develop this cereal which, in addition to being culturally a staple food in the Cuban diet, possesses several qualities which make it ideal for the situation on the Island, from its simple storage without processing to its high caloric value. The plan was to achieve complete self sufficiency in 2030 to suppress imports, but the failure has been monumental.

Cuba needs, the report states, 600,000 tons for the rationed food baskets and social consumption. The data are striking when in the last several years, including 2022, the amount required had been 700,000, which could suggest some relief following the exit of at least a quarter of a million people in the last 12 months.

To achieve self sufficiency, they’d need to sow 200,000 hectares annually, with a yield of six tons per hectare and 1,200,000 tons of wet cereal production, which would result in the desired 600,000. But, reality clashes with the dream.

“The plans created for 2023 are still quite low, with around 40% of what was expected at this stage of the development program. This means that we should sow 140,000 hectares, and this calendar year we’ve only managed to plant 68,000, a very poor number,” he said. With that they might manage to obtain, at best, 204,000 tons if we use official figures, which would still require importing at least 400,000 tons if everything turned out well.

The price of rice on the international market has increased in the past years and in Vietnam, the price per ton was at $437 the first week of 2023, which would require Cuba to spend $174.4 million to purchase the 400,000 tons from there. And this is if the expected results are achieved, which seems far from likely seeing that rice production continues to sink. In 2022, the Island should have used more than $300 million to purchase the product and to all these costs, one must add transport, since it “does not exactly [arrive] from nearby countries,” as Linares Morell reminds us.

In 2018, the national rice plans were marching along appropriately and although they were far from achieving the goal of self-sufficiency, the progress was good, until it reached an historic record that year of 304,000 tons. The collapse began in 2019 with 246,700 tons and later, with the pandemic, came the worst: 162,965 tons in 2020 and 120,000 in 2021.

The official spoke of the influence of COVID-19, the hardening of the embargo, the “spurious inclusion of Cuba on the U.S. list of state sponsors of terrorism,” and the war in Ukraine as reasons for the thwarted plans. In addition, he highlighted that there are limitations on the Island’s ability to obtain pesticides, herbicides, fertilizer and fuel for the air and land machinery.

Despite all of this, Linares was optimistic and believes that in 2023 a new recovery could begin, especially if they use “science, technology, and innovation,” although when it comes to exposing what that would consist of, it did not go beyond the usual volunteerism and the “we must.”

“We rice growers have to get used to the new work conditions, use less chemical products and use a considerably larger number of bioproducts,” he added. The only tangible processes he explained were the development of four seed varieties, in addition to the 12 that exist with support from Vietnam and Japan — with shorter cycles that rely on fewer inputs.

In the Cuban markets, meanwhile, the price of rice does not cease to increase, when you can find it. The official inflation data indicates that in October the price of that product increased more than 4% and in November it once again increased more than 3.4.%

The so-called creole rice, domestically produced, does not have a good reputation among Cuban kitchens. The methods of harvesting, transport and storage make for a final grain product that is frequently broken and its cooking unsatisfactory. Consumers prefer products imported from Brazil or Uruguay, from where a more whole grain rice come, that expands when cooked and has a better flavor.

The rice from Vietnam is not very highly valued because it has been sold on the Island in the rationed markets and the percentage of broken grain is high and it is difficult to achieve a separated grain when cooked, one of the characteristics sought after in the Cuban culinary tradition, which rejects a product that is sticky or clumps.

Prominent locally-owned rice miller and exporter Amru Rice (Cambodia) Co Ltd plans to set up facilities in Mondulkiri province, sourcing the grain required for production from nearby smallholder farmers to ensure remunerative prices for the staple crop, according to the company’s founder and director-general Song Saran.

“We plan to set up rice mills and drying silos in Mondulkiri to ensure better prices for the paddy grown by farmers [there and in Ratanakkiri], Kratie and Stung Treng provinces,” Saran told The Post on January 22.

He explained that the company works with farmers through “contract farming”, based on principles of environmental protection and climate resilience, to promote sustainability and inclusion as well as to ensure that its products are up to par.

“Contract farming” refers to entry into pre-harvest agreements between buyers and farmers on agricultural production with established conditions, generally regarding product types, prices, quantities, quality and other standards.

Saran noted that contracts can entail training in, among other things, standards in agricultural practices; organic farming; environmental protection as well as climate change mitigation and resilience; novel technologies and techniques; planning and management; marketing; internal auditing; financial recordkeeping; and entrepreneurship.

He shared that more than 30,000 smallholder farmers nationwide are now producing organic rice through such contracts with Amru Rice, after nearly a decade of following the business model. Saran assured that these growers have stable incomes and guaranteed buyers for their crop.

Through contract farming, the company aims to reduce greenhouse gas emissions, improve soil quality, and otherwise chip in towards the government’s carbon neutrality goals, he said.

Last year, the firm considerably stepped up its number of farming contracts in several provinces, especially in Preah Vihear, where it has partnered up with 21 agricultural cooperatives (AC) on organic rice agreements covering a production area of 11,400ha and involving 3,500 households, he added.

In the highlands, specifically in Mondulkiri, Amru Rice has teamed up with five ACs involving 3,500 households, as well as 13 ACs in the southwestern provinces involving 1,300 households in Kampong Chhnang, Kampong Speu, Takeo and Kampot provinces through a subsidiary Cambodian Agriculture Cooperative Corp Plc (CACC), Saran said.

Amru Rice is also working with Preah Vihear Meanchey Union Agricultural Cooperative (PUMAC) on contract farming to increase its reach, and boost supplies of organic rice for the company to export, he said.

And with support from multinational climate adaptation and mitigation programme Dutch Fund for Climate and Development (DFCD), Amru Rice is set to incorporate new regenerative and conservation agriculture practices into everyday farming, he noted.

These practices, he claimed, will increase smallholder farmers’ yields and incomes as well as reduce their vulnerabilities.

The Cambodia Rice Federation reported that the Kingdom exported a total of 637,004 tonnes of milled rice and 3,477,886 tonnes of paddy rice (also cited as “3,467,886” in the same document) respectively valued at $414.29 million and $841.09 million.

AIF is providing financial support to the farmers, agri-entrepreneurs, FPOs, SHGs, JLGs and many others to create post-harvest management infrastructure and build community farming asset throughout the country

Within two-and-a-half years of the implementation of the Agriculture Infrastructure Fund (AIF), the scheme has mobilised more than Rs.30,000 crore for projects in the agriculture infrastructure sector with a sanctioned amount of Rs.15,000 crore under AIF. With the support of 3 per cent interest subvention, credit guarantee support through CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) for loans of up to Rs.2 crore and facility of convergence with other Central and state government schemes, AIF is providing all-around financial support to the farmers, agri-entrepreneurs, farmer groups like farmer producer organisations (FPOs), self-help groups (SHGs), joint liability groups (JLGs) and many others to create post-harvest management infrastructure and build community farming asset throughout the country, Ministry of Agriculture & Farmers Welfare, Government of India said today.

Success stories of Agriculture Infrastructure Fund

Understanding the demand-supply gap between the need of the consumers and the supply of primary processed vegetables from the farmers, Yogesh CB from Mandya district of Karnataka was looking to set up a primary processing centre for vegetables. While looking for the support available from the government, he came across the AIF scheme in the year 2020. He applied for a loan of Rs.1.9 crore on AIF portal, which got verified by the Ministry of Agriculture and Farmers Welfare and sanctioned by Bank of India in December 2020. He was able to ground his vision with the help of AIF and Ariant Veg came into the existence. Through the interest subvention provided under AIF, he was able to secure the finance at an effective rate of interest (RoI) of just 5.45 per cent which is much lower than the open market rate. At present, Ariant Veg supports more than 250 local farmers by providing them with seeds and the technology to grow quality vegetables, then they collect the yield from the farmers at a fair price which is then cleaned, sorted, graded, and packed in the processing centre before reaching to the end consumer on a daily basis.

Similarly, Anand Patel, a farmer from Jabalpur district of Madhya Pradesh realised the importance and need for mechanisation in agriculture, especially for small and marginal farmers for whom agriculture machinery is not affordable. He then established a hi-tech hub where agricultural machineries are provided on a rental basis to the local farmers. This hi-tech hub has 12 farm machinery including combine harvester, thresher, laser land leveller, tractors, zero till seed cum fertiliser drill and mulcher that costs around Rs. 60.82 lakhs which seemed a lot for a farmer like Patel. But through the Agriculture Infrastructure Fund and its feature of convergence with other Central and state government schemes, Patel was not only able to secure a loan of Rs. 45.62 lakhs at an interest rate of 5.4 per cent but also got the benefit of a capital subsidy of 40 per cent of the total project cost under Sub-Mission on Agriculture Mechanization (SMAM) scheme of MoA&FW. Now he is providing services of these machines to more than 100 small and marginal farmers which helped them in saving a lot of effort, time and money.

Yogesh and Anand are two of more than 20,000 beneficiaries of AIF, whose dream to diversify their profile and take a forward leap in agricultural development has come true through AIF support. AIF is silently changing the landscape of Indian agriculture through the creation and modernisation of much-needed agriculture infrastructure. These infrastructure projects are helping in reducing post-harvest losses, modernising agriculture packages and practices and moreover helping farmers in better price realisation of their produce.

Agriculture Infrastructure Fund is a financing facility launched on July 8, 2020, for the creation of post-harvest management infrastructure and community farm assets. Under this scheme, Rs 1 lakh crore is to be disbursed by the financial year 2025-26 and the interest subvention and credit guarantee assistance will be given till the year 2032-33. In order to create awareness about AIF amongst various stakeholders, MoA&FW has been organising multiple conclaves and workshops.

Source: All success stories are provided by the Ministry of Agriculture & Farmers Welfare

The presence of striations and residue reveal the techniques used in harvesting.

A study led by Dartmouth has uncovered the earliest evidence of rice harvesting, dating back to 10,000 years ago in southern China. The research team analyzed stone tools and found evidence of two methods used for harvesting rice, which helped initiate the domestication of the crop. The findings were recently published in the journal PLOS ONE.

The distinction between wild and domesticated rice lies in their seed dispersal pattern; wild rice sheds its ripe seeds naturally, causing them to shatter on the ground when mature, whereas cultivated rice retains its seeds on the plant upon maturity.

To harvest rice, some sort of tools would have been needed. In harvesting rice with tools, early rice cultivators were selecting the seeds that stay on the plants, so gradually the proportion of seeds that remain increased, resulting in domestication.

Phytolith recovered from stone flakes from Shanghsan and Hehuashan flakes: rice husk phytolith (on left) and rice leaf phytolith. Credit: Jiajing Wang

“For quite a long time, one of the puzzles has been that harvesting tools have not been found in southern China from the early Neolithic period or New Stone Age (10,000 – 7,000 Before Present) — the time period when we know rice began to be domesticated,” says lead author Jiajing Wang, an assistant professor of anthropology at Dartmouth. “However, when archaeologists were working at several early Neolithic sites in the Lower Yangtze River Valley, they found a lot of small pieces of stone, which had sharp edges that could have been used for harvesting plants."

“Our hypothesis was that maybe some of those small stone pieces were rice harvesting tools, which is what our results show.”

In the Lower Yangtze River Valley, the two earliest Neolithic culture groups were the Shangshan and Kuahuqiao.

The researchers examined 52 flaked stone tools from the Shangshan and Hehuashan sites, the latter of which was occupied by Shangshan and Kuahuqiao cultures.

The stone flakes are rough in appearance and are not finely made but have sharp edges. On average, the flaked tools are small enough to be held by one hand and measured approximately 1.7 inches in width and length.

To determine if the stone flakes were used for harvesting rice, the team conducted use-wear and phytolith residue analyses.

For the use-wear analysis, micro-scratches on the tools’ surfaces were examined under a microscope to determine how the stones were used. The results showed that 30 flakes have use-wear patterns similar to those produced by harvesting siliceous (silica-rich) plants, likely including rice.

Fine striations, high polish, and rounded edges distinguished the tools that were used for cutting plants from those that were used for processing hard materials, cutting animal tissues, and scraping wood.

A selection of stone flake tools from the Shangshan ((a)-(h)) and Kuahuqiao ((i)–(l)) cultures. Red dots delineate the working edge of tools. Credit: Jiajing Wang

Through the phytolith residue analysis, the researchers analyzed the microscopic residue left on the stone flakes known as “phytoliths” or silica skeletons of plants. They found that 28 of the tools contained rice phytoliths.

“What’s interesting about rice phytoliths is that rice husk and leaves produce different kinds of phytolith, which enabled us to determine how the rice was harvested,” says Wang.

The findings from the use-wear and phytolith analyses illustrated that two types of rice harvesting methods were used — “finger-knife” and “sickle” techniques. Both methods are still used in Asia today.

The stone flakes from the early phase (10,000 – 8,200 BP) showed that rice was largely harvested using the finger-knife method in which the panicles at the top of the rice plant are reaped. The results showed that the tools used for finger-knife harvesting had striations that were mainly perpendicular or diagonal to the edge of the stone flake, which suggests a cutting or scraping motion, and contained phytoliths from seeds or rice husk phytoliths, indicating that the rice was harvested from the top of the plant.

“A rice plant contains numerous panicles that mature at different times, so the finger-knife harvesting technique is especially useful when rice domestication was in the early stage,” says Wang.

The stone flakes however, from the later phase (8,000 – 7,000 BP) had more evidence of sickle harvesting in which the lower part of the plant was harvested. These tools had striations that were predominantly parallel to the tool’s edge, reflecting that a slicing motion had likely been used.

“Sickle harvesting was more widely used when rice became more domesticated, and more ripe seeds stayed on the plant,” says Wang. “Since you are harvesting the entire plant at the same time, the rice leaves and stems could also be used for fuel, building materials, and other purposes, making this a much more effective harvesting method.”

Wang says, “Both harvesting methods would have reduced seed shattering. That’s why we think rice domestication was driven by human unconscious selection.”

Reference: “New evidence for rice harvesting in the early Neolithic Lower Yangtze River, China” by Jiajing Wang, Jiangping Zhu, Dongrong Lei and Leping Jiang, 7 December 2022, PLOS ONE.

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.

Jakarta (ANTARA) - State Logistics Agency (Bulog) distributed 100 thousand tons of rice through the Food Supply and Price Stabilization Program (SPHP), or called market operation, in early January 2023 to reduce soaring rice prices in the market.

"We ask the public to not worry because Bulog guarantees that the people's needs for rice will be met at affordable prices, even though there are price increases in the market," President Director of Bulog Budi Waseso stated in Jakarta on Thursday.

He remarked that the increase in the price of rice was caused by the current conditions that had not entered the main harvest season. Thus, the availability of goods in the market is decreasing and causing a slight increase in prices.

In order to maintain price stability, the president had issued directions and instructed all related elements to ensure market operations (SPHP Program), which has been running since 2022, to be intensified again to reduce price fluctuations in the market.

In addition, Bulog issued a policy to import 500 thousand tons of rice as an effort to control the increasing prices of rice. With rice imports and the supply of Government Rice Reserves (CBP) fulfilled, the price of rice in the market will certainly be under control, Waseso remarked.

He emphasized that the arrival of imported rice had brought CBP stocks at Bulog to 683 thousand tons. The additional imported rice can only strengthen national rice reserves until the main harvest season arrives in March 2023.

"This amount is sufficient for distribution until the main harvest session," he stated.

Apart from receiving additional stocks of imported rice, Bulog will also continue and be active in maximizing absorption during the next harvest. Waseso hopes that all CBP stocks this year would be fulfilled from domestic production.

Bulog also continues to coordinate with the central and regional governments to maintain rice prices in stable condition and try to avoid high spikes in prices. 

Rice Owls (13-5, 4-3 C-USA) at North Texas Mean Green (15-4, 6-2 C-USA)

Denton, Texas; Thursday, 8 p.m. EST

FANDUEL SPORTSBOOK LINE: North Texas -10; over/under is 131.5

BOTTOM LINE: Rice takes on the North Texas Mean Green after Quincy Olivari scored 30 points in Rice’s 88-81 overtime victory over the UTSA Roadrunners.

The Mean Green are 6-1 on their home court. North Texas is eighth in C-USA shooting 33.6% from downtown, led by Tylor Perry shooting 47.0% from 3-point range.

The Owls are 4-3 in conference play. Rice is the C-USA leader with 27.3 defensive rebounds per game led by Max Fiedler averaging 5.4.

The Mean Green and Owls meet Thursday for the first time in conference play this season.

TOP PERFORMERS: Perry is averaging 17.6 points for the Mean Green. Kai Huntsberry is averaging 11.3 points over the past 10 games for North Texas.

Travis Evee is shooting 39.0% from beyond the arc with 2.7 made 3-pointers per game for the Owls, while averaging 16.6 points. Olivari is shooting 42.2% and averaging 19.1 points over the past 10 games for Rice.

LAST 10 GAMES: Mean Green: 8-2, averaging 63.7 points, 30.1 rebounds, 11.0 assists, 7.2 steals and 2.9 blocks per game while shooting 42.5% from the field. Their opponents have averaged 56.8 points per game.

Owls: 7-3, averaging 86.6 points, 39.0 rebounds, 18.8 assists, 6.7 steals and 2.5 blocks per game while shooting 49.6% from the field. Their opponents have averaged 74.5 points.

Brazilian exports of rice in 2022 totaled 2.11 million tons, 85% higher than in 2021, according to the Brazilian Association of the Rice Industry (Abiarroz)

As Brazil continues to expand its agriculture frontiers and farming techniques, two cereals of which the country has been historically an importer are becoming increasingly self-sufficient. This is particularly true for wheat and rice, with most crops in the southern states of the country.

 In effect Brazilian exports of rice in 2022 totaled 2.11 million tons, with an 85% increase over the volume exported in 2021, according to the Brazilian Association of the Rice Industry (Abiarroz), which released a market update with data from the Ministry of Development, Industry, Commerce, and Services (MDIC).

In December 2022, shipments of rice reached 291,500 tons, with revenues equivalent to US$ 89.6 million. In December 2021, exports reached 161.700 tons and revenue was US$ 42.7 million.

According to the industry association, the increase in sales abroad was caused by the return to normalcy in global trade after overcoming the obstacles caused by the covid-19 pandemic, as well as promotional actions promoted by rice producers in strategic markets through the Brazilian Rice project, which was developed in collaboration with ApexBrasil.

Processed rice exports, a product with more added value, also grew in 2022. The volume increased 34% compared to the previous year, to 588.200 tons while revenue from shipments rose 14% to US$ 190.6 million.

Last year, the ten leading importers of Brazilian processed rice were Senegal, Cuba, Peru, Gambia, Venezuela, the United States, Netherlands, Spain, Portugal, and Algeria.

Additionally nine new markets received Brazilian processed rice for the first time: Honduras, El Salvador, Libya, Kenya, Lithuania, Guadeloupe, Oman, Benin, and Gabon.

Brazil has historically been a net importer of rice, with Mercosur associates, Uruguay, Argentina and Paraguay the main suppliers.

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.

A RICE monitoring group on Monday predicted that retail prices of the staple will further rise in the first quarter of this year because of poor palay production and despite imported rice flooding the market.

In a radio interview, Bantay Bigas spokesman Cathy Estavillo said the P39 and P40 per kilo of rice are no longer available in local markets, and what remains is the P38 a kilo of regular milled rice, which has a bad smell and taste.

"As early as last year, we already feared the increase in the retail prices of rice. There is a low palay production and while we are being flooded with imported rice, it did not help bring down the prices," Estavillo said.

In 2022, the government imported 3.8 million metric tons of rice.

"Retailers retained the P38 price just to show that consumers have access to cheap rice," Estavillo said.

A kilo of palay ranges between P16 and P17, she said. "Traders buy palay from our farmers at very low prices despite the high cost of production, and there are fears from our farmers that the P16 to P17 per kilo will further go down amid the rains being experienced in the country."

Farmers are also beset by the high cost of fertilizer, which sells by as much as P3,500 a bag.

A bag of fertilizer last year sold at between P950 and P1,000, Estavillo said.

On Monday, several militant groups picketed the Department of Agriculture (DA) in Quezon City to protest the soaring prices of agricultural products.

Agriculture deputy spokesman Rex Estoperez said the department is closely monitoring rice prices.

The DA also has to contend with the soaring price of onions.

On Monday, Sen. Maria Josefa Imelda "Imee" Marcos said the shortage of onions in the country, which triggered the price hike, could have been averted had the DA made a "timely" and "well-projected" minimal importation.

Marcos said the price of onions "had taken us on this mad roller coaster ride during the last few months. It is apparent that there is an abject lack of planning [on the part of DA]."

Another senator, Cynthia Villar, said that the DA's onion supply and demand data show there is no shortage.

Villar, whose Committee on Agriculture is holding hearings on the surge in onion price, said that even if there was a shortage of more than 2,000 MT of onions in 2022, there was a surplus of 53,202 MT in 2021.

"So, we could say that we really don't have a shortage to cause an increase in price. That is why we're calling this hearing for the people to be able to explain what is happening. They have to explain to us what is happening in the DA and, of course, in the Bureau of Customs," she said.

Senate Minority Leader Aquilino "Koko" Pimentel 3rd asked the DA to explain the unmet demand of almost 4,000 MT of onions in 2022 despite a reported surplus in 2021.

Pimentel wondered why the DA reported the shortage despite claiming that 11,000 MT of onions were stored in cold storage facilities which were part of a total of 53,000 MT of supposed supply in 2021.

Another farmers' group on Monday said the arrival of imported onions will depress its farmgate prices.

In a radio interview, Federation of Aritao Farmers of Onion, Garlic and Ginger Growers Association Nueva Vizcaya President Ulysis de Lara said the importation comes during the peak of the onion harvest season. As a result, the farmgate prices of onions.

The prevailing farmgate prices of onions are between P250 and P280 a kilo.

De Lara said onion farmers can meet the growing demand, so "there is no need to import."

Agriculture spokesman Kristine Evangelista said the DA is looking at the possibility of buying directly from onion farmers who want the farmgate price pegged at not lower than P100 a kilo.

Samahang Industriya ng Agrikultura President Rosendo So said the DA should make sure the imported onions arrive on or before January 27.

So also urged the DA and the Bureau of Customs to confiscate imported onions that will arrive after that date.

Kaithal Deputy Commissioner formed teams to probe bogus procurement

Kaithal, January 16

The physical verification conducted by 17 teams constituted by Deputy Commissioner Sangeeta Tetarwal found that 2630.82 quintals of paddy was short in the stock of 35 rice mills in Kaithal district. The teams were constituted after reports appeared in the media that there were bogus procurement of paddy on fake gate passes and the paddy was arriving from other states.

These teams conducted physical verification in November and December at 165 mills of the district. The team members also verified the stock available in the mills with the issuance of paddy by the procurement agencies along with the quality of custom-milled rice (CMR).

“I have constituted 17 teams to conduct physical verification. The teams will check the stock of the paddy and the custom-milled rice along with the quality of rice. The team members conducted physical verification and we have submitted our report to the Director, Food Civil Supplies and Consumer Affairs Department. Further action will be initiated after the directions from the department,” said Sangeeta Tetarwal, DC, Kaithal.

“We have allocated 82,40,812.560 quintals of paddy to 165 mills. The team members found 2,630.82 quintals of paddy short in the stock. As much as 14.61 quintals of rice was found short in the stock,” she added.

District Food and Supply Controller Pardeep Kaushik said millers had to return 45 per cent of custom-milled rice by the end of January, of which they had delivered around 31 per cent so far.

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.   

MARGAOPanchamrutha Industries, a well-known name in the field of food products, has on Thursday launched "Panchamrutha Fortified Rice" in Goa at Margao.
Panchamrutha Director Jambulingappa Hosmani informed that Panchamrutha Fortified Rice is unique and unprecedented in the sense that the rice is enriched with vital vitamins and minerals to improve its nutritional content.
“Panchamrutha was launched in 2002 in Goa. Our mantra was 'Ghar Ghar Mey Panchamrutha'. Since then we have gone ahead in a big way. The uniqueness of Panchamrutha is that there is consistency in quality, consistency in price, and consistency in supply,” he said.
He pointed out that the Union government in 2015 had announced the need of producing fortified products to combat malnutrition in the country, Hosmani said “we took it up as a challenge, fortified our rice, and strengthened our network throughout the State.”
He added: “The advantages of this new Fortified Rice are that it improves haemoglobin content, fights anaemia, builds robust immune system and strengthens metabolism. When people purchase Panchamrutha rice, they can see some yellow grains present in the pack. It is because of that yellow grain the rice gets fortified. We have studied the advantages of this yellow grain after subjecting it to various tests.”
He said Panchamrutha Fortified Rice has all the potential to increase the physical health and fitness of the people and thus lead to a healthy society.   

Spices inflation was 20.35% in December 2022 as prices of jeera (cumin seeds), dhania , turmeric and black pepper rose by 25.25%, 22.53%, 7.7% and 10.18% respectively on year.

While food inflation fell to 4.19% in December, the lowest since January 2022, thanks to a sharp fall in prices of vegetables, edible oils, meat products and pulses, the prices of several commodities such as spices, cereals and dairy products continued to be at elevated levels amid supply contraints.

While stating that sharp corrections in vegetable prices eased up food inflation, Crisil said prices of most other food groups rose year-on-year. Cereals, which contributed majorly to inflation zooming past 7% for most of the first half of this fiscal, saw prices going up by 13.8% in December.

“It is not a broad based decline in food inflation, the fall is due to the most volatile part of the basket, that is vegetables,” DK Joshi, chief economist, Crisil told FE. Joshi said there remains stickiness in other components such as cereals where the wheat crop got hit last year while rice production is likely to decline this year. Wheat and rice inflation was at 22.2% and 10.49% respectively in December 2022 on year.

As per agriculture ministry, wheat output in the 2021-22 crop year (July-June) declined by around 3% on year to 106.8 million tonne (MT) because of heat waves during the flowering stage of the crop in March last year. India’s rice production in the current kharif season for the 2022-23 crop year (July-June) is expected to decline by around 6% to 104.99 MT against 111.76 MT in 2021-22.

In May 2022, India banned wheat exports for ensuring domestic supplies while in September 2022, the government also banned broken rice exports as well and put additional export duties of 20% on the certain varieties of non-basmati rice exports.

Spices inflation was 20.35% in December 2022 as prices of jeera (cumin seeds), dhania , turmeric and black pepper rose by 25.25%, 22.53%, 7.7% and 10.18% respectively on year.

Nomura said in a report that while the fall in vegetable prices in December 2022 is in line with seasonal trends, “the size of the contraction is surprising in view of the variations observed in daily market prices.”

“Early data for January suggest that vegetable prices have continued to fall in line with seasonal trends (our tracker for tomato, onion and potato prices is down -7.1% m-o-m from -10.5% in December), which is likely to continue having an outsized effect on headline inflation,” it said. Nomura‘s price trackers for pulses, vegetable oils and sugar also show a further contraction in January; cereal prices are moderating, while momentum remains strong for eggs and milk prices.

Milk and egg inflation in December was at 8.23% and 6.91% respectively.

On rise in milk price this year, Meenesh C Shah, chairman, National Dairy Development Board had said that, in the last one year fodder and feed costs have increased by 25% and there was ‘some drop in milk production in few pockets because of the spread of lumpy skin disease (LSD) amongst livestock population’. Mother Dairy, a fully owned subsidiary of NDDB, a major milk supplier in NCR-Delhi region, had announced the fifth round of increase in milk prices this year.

HSBC said in January, vegetable prices continue to ease, particularly that of tomato and potato. “Strong sowing bodes well for wheat production, and if all goes well, food inflation could fall further in the coming months,” it stated.

According to agriculture ministry data on Friday, wheat sowing this season has been reported at record 33.71 million hectare.

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.

• Price of rice at the two private companies is $393 and $397 per tonne
• Govt-run companies selling at $433 and $436 per tonne
• Govt-run traders earning Rs 330 million more per 100,000 tonnes

The ministry of food in Bangladesh has started the process of importing 300,000 tonnes of parboiled rice from India. The government will purchase two-thirds of the rice directly from the Indian government in a government-to-government (G2G) transaction. The remaining 100,000 tonnes of rice will be bought through a global import tender.

The ministry will procure the rice from four Indian companies and the import process is in its final stage. However, Bangladesh is spending nearly US $40 more per tonne when buying from government-run Indian companies compared to the private traders.

A number of Indian media outlets have already ran stories on the discrepancy of the price between government and private companies.

A source at the food ministry said the rice the two private companies in India are selling at $393 and $397 per tonne is priced at $433.6 and $436.5 by the two government-run companies.

Bangladesh will buy 100,000 tonnes of rice each from the government-run companies and 50,000 tonnes from each of the two private companies. The food ministry and cabinet committee on public procurement has already approved the import order.

When the country is going through a dollar crisis, the government should purchase rice at the cheapest rate possible. If the price of rice is going down then they should wait for a bit and then buy rice

AMM Shawkat Ali, Former agriculture secretary

Food ministry secretary Mohammad Ismail Hossain told Prothom Alo, “The cost of rice fluctuates in every country. The talks to purchase rice through a governmental transaction began in last October. The talks were finalised in mid-December. The rate was fixed according to the export prices at the time. The global import tender was issued last December. By then, the price of rice had fallen. That’s why we could purchase rice at a lower price.”

In December last year, a six-member team led by food minister Sadhan Chandra Majumder and Mohammad Ismail Hossain toured Thailand, Vietnam and Cambodia to seek traders to import rice at a lower rate. But the team couldn’t secure a deal to import the requisite amount. So, the food ministry resumed the process of importing rice from India.

A source at the food ministry said that very soon the ministry will sign a deal with India’s National Co-operative Consumer Federation (NCCF) and their central reserves to purchase 100,000 tonnes of rice from each.

The directorate general of food issued a letter of intent (LoI) to both the companies on 21 December. Around 70 per cent of the imported rice will be brought via the Chattogram and Mongla ports. The remaining rice will come in trains. The companies are contractually obligated to deliver the rice within 70 days of the signing the agreement.

The talks to purchase rice through a governmental transaction began in last October. The talks were finalised on mid-December. The rate was fixed according to the export prices at the time

Mohammad Ismail Hossain, food ministry secretary

In the global import tender, the two Indian private companies proposed the lowest quotations and were given the contract. The companies are the Singapore-based Agro-Crop International Limited and Bagadiya Brothers.

Business Line, a newspaper owned by Indian media house the Hindu group, ran a report on 21 December on the difference of price between the government and private traders. They expressed shock at Bangladesh choosing to buy from the government traders over the private ones.

The report said the Indian co-operative traders are getting Rs 330 million more per 100,000 tonnes of rice. In total, the co-operatives will earn an extra Rs 660 million.

The report claimed that the government and private traders from India are selling rice at the lowest rate in the current global market and traders in Thailand, Vietnam and Myanmar traders are selling at a higher rate in comparison.

Former agriculture secretary AMM Shawkat Ali told Prothom Alo, “At a time when the country is going through a dollar crisis, the government should purchase rice at the cheapest rate possible. If the price of rice is going down, then they should wait for a bit and then buy rice.”

According to the United States Department of Agriculture (USDA), India will be the biggest global exporter of rice in the running fiscal year. China will buy 1.35 million tonnes of rice from India and Philippines and middle-eastern countries are also showing interest to buy rice from India.

As per the food ministry, currently around 1.4 million tonnes of rice is stored at government food reserves. The government distributes nearly 200,000 tonnes of rice every month as part of its social security programmes.

After the price of rice spiked in the country, the distribution amount was increased to 300,000 tonnes. That’s why, the government is trying to purchase from external sources to replenish the reserve.

*This report appeared in the print and online edition of Prothom Alo and has been rewritten for the English edition by Ashfaq-Ul-Alam Niloy

Summary:

An international team has succeeded in propagating a commercial hybrid rice strain as a clone through seeds with 95 percent efficiency. This could lower the cost of hybrid rice seed, making high-yielding, disease resistant rice strains available to low-income farmers worldwide.

An international team has succeeded in propagating a commercial hybrid rice strain as a clone through seeds with 95 percent efficiency. This could lower the cost of hybrid rice seed, making high-yielding, disease resistant rice strains available to low-income farmers worldwide. The work was published Dec. 27 in Nature Communications.

First-generation hybrids of crop plants often show higher performance than their parent strains, a phenomenon called hybrid vigor. But this does not persist if the hybrids are bred together for a second generation. So when farmers want to use high-performing hybrid plant varieties, they need to purchase new seed each season.

Rice, the staple crop for half the world's population, is relatively costly to breed as a hybrid for a yield improvement of about 10 percent. This means that the benefits of rice hybrids have yet to reach many of the world's farmers, said Gurdev Khush, adjunct professor emeritus in the Department of Plant Sciences at the University of California, Davis. Working at the International Rice Research Institute from 1967 until retiring to UC Davis in 2002, Khush led efforts to create new rice high-yield rice varieties, work for which he received the World Food Prize in 1996.

One solution to this would be to propagate hybrids as clones that would remain identical from generation to generation without further breeding. Many wild plants can produce seeds that are clones of themselves, a process called apomixis.

"Once you have the hybrid, if you can induce apomixis, then you can plant it every year," Khush said.

However, transferring apomixis to a major crop plant has proved difficult to achieve.

One Step to Cloned Hybrid Seeds

In 2019, a team led by Professor Venkatesan Sundaresan and Assistant Professor Imtiyaz Khanday at the UC Davis Departments of Plant Biology and Plant Sciences achieved apomixis in rice plants, with about 30 percent of seeds being clones.

Sundaresan, Khanday and colleagues in France, Germany and Ghana have now achieved a clonal efficiency of 95 percent, using a commercial hybrid rice strain, and shown that the process could be sustained for at least three generations.

The single-step process involves modifying three genes called MiMe which cause the plant to switch from meioisis, the process that plants use to form egg cells, to mitosis, in which a cell divides into two copies of itself. Another gene modification induces apomixis. The result is a seed that can grow into a plant genetically identical to its parent.

The method would allow seed companies to produce hybrid seeds more rapidly and at larger scale, as well as providing seed that farmers could save and replant from season to season, Khush said.

"Apomixis in crop plants has been the target of worldwide research for over 30 years, because it can make hybrid seed production can become accessible to everyone," Sundaresan said. "The resulting increase in yields can help meet global needs of an increasing population without having to increase use of land, water and fertilizers to unsustainable levels."

The results could be applied to other food crops, Sundaresan said. In particular, rice is a genetic model for other cereal crops including maize and wheat, that together constitute major food staples for the world.

Khush recalled that he organized a 1994 conference on apomixis in rice breeding. When he returned to UC Davis in 2002, he gave a copy of the conference proceedings to Sundaresan.

"It's been a long project," he said.

Coauthors on the paper are: Aurore Vernet, Donaldo Meynard, Delphine Meulet, Olivier Gibert, Ronan Rivallan, Anne Cecilé Meunier, Julien Frouin, James Tallebois, Daphné Autran, Olivier Leblanc and Emmanuel Guiderdoni, CIRAD and University of Montpellier, France; Qichao Lian and Raphael Mercier, Max Planck Institute for Plant Breeding Research, Cologne, Germany; Matilda Bissah, CSIR Plant Genetics Resources Research Institute, Ghana; and Kyle Shankle, UC Davis. Khush is not an author on the new paper.

The work was supported in part by funding from the Innovative Genomics Institute and the France-Berkeley Fund.

• 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.

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

VIETNAM DEC RICE EXPORTS AT 434,611 TONNES, DOWN 26.1% M/M - CUSTOMS DEPT

HANOI, Jan 9 (Reuters) - Vietnam's rice exports in December fell 26.1% from the previous month to 434,611 tonnes, government customs data showed on Monday.

Rice shipments from Vietnam in 2022 rose 13.8% year on year to around 7.1 million tonnes valued at $3.5 billion, it said. (Reporting by Phuong Nguyen; Editing by Martin Petty).

Arkansas rice farmers were hit with a number of dramatic challenges as the planting and growing season unfolded during 2022. Weather patterns shifted from too wet to drought. Input costs for fuel, fertilizers, and others rose dramatically.

Agronomist Jarrod Hardke has a word for the 2022 rice season — erratic.

“The year began with dramatically higher input costs, especially for fertilizer and diesel fuel,” said Hardke, extension rice agronomist for the University of Arkansas System Division of Agriculture.

Average yields are down from last year’s record average, according to the U.S. Department of Agriculture’s National Agricultural Statistics Service estimate, Hardke said. “Average yield is estimated at 165 bushels per acre, down from almost 170 bushels an acre in 2021.”

While the average yield is lower this year, Hardke said — and he expects it to be a little lower when the final data is in — it’s not far off the previous years of 2017-2020.

Arkansas accounts for nearly half the rice grown in the U.S. In 2020, rice contributed more than $1.1 billion to the state’s agricultural economy, according to the 2022 Agricultural Profile published by the Division of Agriculture. Planted acreage this growing season topped 1.11 million acres, according to NASS.

All rice production for the state is forecast at 81.2 million hundredweight, down 5% from the August forecast and down 11% from last year’s production of 91.1 million hundredweight, NASS reported. The all-rice yield for 2022 is forecast at 7,500 pounds per acre, down 50 pounds from August and down 130 pounds from last year.

Rice prices began to rise around planting time, Hardke said, holding out hope that farmers might recoup their input costs in the end. But 2022 was the fourth or fifth wet spring in a row, and that delayed field preparation and planting, making those projected prices shaky.

“The rains stabilized a bit around May,” he said. “And then in June, it was like someone threw a switch, the rain stopped, and temperatures got up in the 90s. It got hot and dry, and everything just dried up really fast.”

The dry weather in June, when it was time to fertilize and flood rice, put a lot of strain on irrigation systems.

“Rice is very hardy in the face of extremes,” Hardke said. “So, in June, the rice was growing so fast it was soaking up all the water. A lot of growers were late getting nitrogen incorporated into the soil, and it took much longer to put a flood on the rice. Fields that might take three to four days to flood were taking 10 or 14 days.”

Irrigation pumps were running non-stop, Hardke said. “Growers experienced a lot of problems with wells going down because they were running so hard. And then, they had issues with replacing parts because of supply chain shortages.”

“These problems just nagged us all season,” Hardke said. “But rice is resilient, and when it needs help, it will kind of wait on you, so there was a bit of an escape for us. But it will only wait for so long.”

Hardke said milling yields were average for the year. “That’s better than last year when we had record rough rice yields, but milling yield was low,” he said. “That’s not a big gain for farmers, but it helps to get a little of that value back from a lower yield.”

Hardke said the NASS yield estimate doesn’t paint a complete picture of this year’s rice crop.

“The story is about the variability of success from field to field,” he said. “Yields were erratic because of the weather extremes and other problems growers faced in 2022.”

Dry weather kept disease pressure low, Hardke said. But late rains in some areas in August revived disease problems in those fields until hot, dry weather returned. On the other hand, the dry weather during harvest was a bonus.

“This year was the smoothest, driest harvest anyone could remember,” Hardke said.

The extended dry weather also allowed many growers to prepare fields for next year, work that usually has to wait for a dry window between August and April. And those windows of opportunity have been few in recent years.

“The speed that farmers were able to move through their fields meant that a ton of fall field work got done, especially in northeast Arkansas,” Hardke said. “A lot of fields are basically ready to plant next year.”

Rice producers who had losses this last season will receive some aid from the federal government.

The U.S. House and Senate passed a year-end spending package in late December. Included in the bill was $250 million in assistance for domestic rice farmers to help combat major losses due to record high input costs.

U.S. Sen. John Boozman said he helped get the aid included in the spending bill.

“It has been a difficult year for rice producers,” said Boozman, who is the ranking member of the Senate Committee on Agriculture, Nutrition and Forestry. “Soaring input costs have hurt producers of every commodity, but—as documented by two separate studies out of Texas A&M University—had a disproportionate impact on rice producers. I am pleased we came together to address this challenge in the year-end bill.”

David Gairhan, chair of the Arkansas Rice Federation, said the aid is much needed.

“The Arkansas rice community greatly appreciates Sen. Boozman’s successful efforts to provide support during a time of record high input costs. The timing of this assistance is crucial as farmers consider options for the upcoming planting season. Our state benefits from his leadership and we look forward to continuing to work with him and his staff in the new year on the next Farm Bill and other issues of concern,” he said.

Bangladesh to buy 100,000 tonnes of rice in tenders

*

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)

Societies that farm rice over wheat tend to be more tight-knit and interdependent, which could protect them from pandemic viruses like the one behind COVID

Rice farming is hard. It’s complicated. Traditional rice farming takes twice the amount of labor as crops like wheat, corn and potatoes. Paddy rice was built on irrigation networks that forced farmers to cooperate with each other. Rain falls on the fields of both rogue and cooperative wheat farmers, but irrigation networks flood paddy fields only if farmers work together to build them and manage to keep them working. In short, rice required a lot more social coordination compared with crops such as wheat, which the West was built on.

Rice farming might seem far removed from the COVID-19 pandemic. But research from my lab finds that some of the cultural traits of rice-farming communities are more important for handling pandemics than hard assets like health care dollars and hospital beds. Cultural traits around social norms and relationship networks can explain why rice-growing nations, including some of the world’s poorest, suffered death rates that were 3 percent those of non-rice-growing nations, including some of the world’s wealthiest. This theory suggests that, when the next highly transmissible infectious disease emerges, if everyone thinks like a rice farmer, rather than a wheat farmer, we could save millions of lives.

In the early days of COVID, China, Vietnam and South Korea were clear standouts in infection control. At the time, some observers suggested that the collectivistic culture of some East Asian countries meant that they were more likely to wear masks and more likely to comply with stay-at-home orders. As someone who researches the historical roots of culture, I noticed that these star performers were cultures with a deep history of rice farming. From my earlier research, we know that rice-farming societies around the world tend to share particular cultural traits. I wondered if those traits could help explain their outperformance.

RICE CULTURES HAVE CLOSED SOCIAL NETWORKS

One trait that rice-farming cultures tend to have is low relational mobility. Cultures low in relational mobility tend to have closed social networks, and they report having met fewer new acquaintances in the last 30 days. A study of 39 countries found that the U.S., the U.K. and Mexico have lots of relational mobility, whereas rice-farming cultures such as Malaysia and Taiwan are less mobile. Famously introverted Japan came in last in relational mobility.

These fixed relationships make sense with the work of traditional rice villages. Rice farmers put in twice the number of hours in their fields as do wheat farmers. To deal with this backbreaking labor, rice farmers rely heavily on extended family and neighbors.

This labor sharing puts people in binding relationships. It’s similar to how paying for a friend’s coffee today sets them up to pay for your coffee tomorrow. This interdependence helps cement relationships over time.

NORMS HELP MANAGE IRRIGATION AND PANDEMICS

Rice cultures also tend to share tight social norms. In cultures with tight social norms, people feel more constricted in what they can do in public. For example, tight-laced Singapore is famous for its chewing gum ban. Rice-farming cultures such as Sri Lanka and Japan report tighter social norms than people in cultures such as the U.S., Netherlands and U.K.

These tight social norms show up in anthropologists’ accounts of rice villages. Social norms help rice farmers manage the irrigation networks they use to flood paddy fields. Maintaining the irrigation channels benefits all the farmers in the village, but no single farmer wants to be stuck with the massive burden of building it and dredging the channels every year. To make it work, rice villagers split up the work and make sure everyone contributes. For example, rice villagers in southern China set up work assignments, monitor who shows up, and punish villagers who fail to show up.

How do these cultural traits relate to COVID? My colleagues and I analyzed COVID cases and deaths from 132 countries around the world. We found that rice-farming cultures suffered just 3 percent of the deaths per capita of non-rice-farming nations. Low relational mobility and tight social norms both independently accounted for differences in COVID outcomes. And both cultural traits continued to explain COVID deaths and case counts after accounting for wealth and health care infrastructure.

NATURAL EXPERIMENT RULES OUT CONFOUNDS

One alternative explanation is that nations with seemingly good COVID outcomes were just suppressing the numbers. For example, Turkmenistan was famous for reporting that it had no coronavirus cases over a year into the pandemic. Nations like the U.S. and U.K. did more testing and probably reported deaths more openly than countries with few resources or repressive governments.

That meant we had to take underreporting into account. We statistically controlled for coronavirus testing across countries. We also used estimates of underreported deaths from third-party researchers. Yet even after taking into account testing and transparency, the data showed that culture mattered.

East Asia is the classic rice basket, but rice-farming cultures outside of Asia also outperformed their neighbors. The African countries of Madagascar and Sierra Leone farm rice, and they outperformed nearby countries like Senegal and Zimbabwe, according to estimates from Our World in Data.

Another way to get at this question is to compare counties in southern and northern China. Southern China grows rice, and northern China grows wheat. Examining rice-wheat differences between nearby counties in China let us compare regions with the same national policies, ethnicity and religion, but different farming legacies.

We found wheat-farming regions reported three times more COVID cases than rice-farming regions. And just like the global findings, rice provinces of China have tighter social norms than wheat provinces, according to our own data.

FIRST MOBILITY, THEN NORMS

The data also taught us that mobility and norms played different roles. Relational mobility hurt societies like France and Brazil most in the early days of the pandemic when the coronavirus hijacked people’s flexible social networks. But once cases spiked and hospitals filled up, even people in mobile cultures like the U.S. started to trim their social networks, as one study found.

Tight norms followed the opposite trajectory. Norms didn’t seem to matter in the first few months of the pandemic. But by September 2020, cultures with tight norms started to pull ahead of other cultures in case counts and deaths. It takes time for cultures to coalesce around norms for a new disease—an average of four months for COVID, according to one estimate.

The narrower relationship networks in rice-farming cultures like Korea gave the coronavirus a little less runway to build up speed early on. Then, the tight norms made it easier for rice cultures like Taiwan to enforce rules on masks and monitor whether people were following quarantine guidelines. Monitoring quarantine rules is not far from the cultural memory of monitoring work assignments in rice irrigation networks.

In contrast, cultures like the U.S. and the U.K. that were built on less-binding crops like wheat mostly refused to enforce rules. U.S. travelers ignored quarantine orders and talked about it openly with journalists. The BBC reported that 300,000 British travelers ignored quarantine rules. U.K. authorities said that enforcing mask rules should only be “a last resort.”

WHY THE RANKINGS GOT IT SO WRONG

Culture can teach us why experts in preparedness got it so wrong. In October 2019, just before COVID struck, researchers at Johns Hopkins University ranked countries around the world on how prepared they were to handle pandemics. Wealthy countries like the U.S., U.K. and the Netherlands took the top three spots. Meanwhile, poorer countries like Sierra Leone, Madagascar and Vietnam ranked 50th or lower.

Two years later, the U.S., U.K. and the Netherlands were among the countries with the highest number of COVID cases and deaths per capita in the world. Madagascar, Vietnam and Sierra Leone all had fewer cases and deaths per capita than the global average.

The Johns Hopkins rankings focused on hard assets—things that are easy to count, such as accredited labs, government health care spending and hospital beds. Our analysis suggests that the rankings got it wrong because they ignored the “softer” assets of culture. Hard assets like dollars, labs and hospital beds matter. But we shouldn’t let the fact that beds are easier to count get in the way of accounting for culture. Sometimes culture is a matter of life or death.

This is an opinion and analysis article, and the views expressed by the author or authors are not necessarily those of Scientific American.

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.

MANILA, Philippines — The Philippines harvested over 100 tons of genetically modified “Golden” or “Malusog” Rice in 17 pioneer production sites across the country, the Philippine Rice Research Institute (PhilRice) said.

PhilRice said Malusog Rice is expected to be fully commercialized at the latter part of 2024 once more seed supply becomes available.

According to the agency, the first harvest will be milled for distribution in target households with pre-school children identified at-risk for vitamin A deficiency (VAD) and undernutrition, as well as pregnant and lactating mothers.

Viga and Virac in Catanduanes had already received promotional packs of Malusog Rice as part of the initial household distribution.

Catanduanes is one of the seven pilot provinces to receive the beta carotene-enriched variety.

The said province has one of the highest incidences of malnutrition in the country according to the Expanded National Nutrition Survey conducted by the Department of Science and Technology – Food and Nutrition Research Institute.

Distribution activities were conducted in partnership with Department of Agriculture (DA) – PhilRice, International Rice Research Institute (IRRI), and local government units in Catanduanes.

As one of the pilot provinces, Antique governor Rhodora Cadiao said the Malusog Rice can be one of the ways to address the province’s VAD problem among pre-school and school children.

VAD could lead to poor eyesight and weak immune systems that make children prone to viral infections and other diseases, delayed growth and development.

Farmer-cooperators also showed their support and delight as among the first to produce Malusog Rice in their respective provinces.

“As I have observed, Golden Rice (GR) has good quality of seeds, and I want to taste it already. It also has good characteristics in terms of its elongated stem. I was encouraged to be a cooperator of GR to help the government minimize cases of malnutrition,” said Leo Franco Ebardo, a seed grower in Bayugan City, Agusan del Sur.

Malusog Rice (Golden Rice) is branded after its first variety registered in the National Seed Industry Council (NSIC) as Malusog 1 or NSIC 2022 Rc 682GR2E.

PhilRice and IRRI, in collaboration with partner agencies, are currently multiplying the seeds for commercial production.

The current supply will be used for promotion and initial distribution in provinces with high incidence of malnutrition, especially vitamin A deficiency.

In July 2021, the Philippines was the world’s first country to approve the commercial production of genetically modified “golden rice” that experts hope will combat childhood blindness and save lives in the developing world.

Prior the approval, the IRRI spent two decades working with  DA-PhilRice to develop golden rice – named for its bright yellow hue.

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.

Arkansas rice farmers were hit with a number of dramatic challenges as the planting and growing season unfolded during 2022. Weather patterns shifted from too wet to drought. Input costs for fuel, fertilizers, and others rose dramatically.

Agronomist Jarrod Hardke has a word for the 2022 rice season — erratic.

“The year began with dramatically higher input costs, especially for fertilizer and diesel fuel,” said Hardke, extension rice agronomist for the University of Arkansas System Division of Agriculture.

Average yields are down from last year’s record average, according to the U.S. Department of Agriculture’s National Agricultural Statistics Service estimate, Hardke said. “Average yield is estimated at 165 bushels per acre, down from almost 170 bushels an acre in 2021.”

While the average yield is lower this year, Hardke said — and he expects it to be a little lower when the final data is in — it’s not far off the previous years of 2017-2020.

Arkansas accounts for nearly half the rice grown in the U.S. In 2020, rice contributed more than $1.1 billion to the state’s agricultural economy, according to the 2022 Agricultural Profile published by the Division of Agriculture. Planted acreage this growing season topped 1.11 million acres, according to NASS.

All rice production for the state is forecast at 81.2 million hundredweight, down 5% from the August forecast and down 11% from last year’s production of 91.1 million hundredweight, NASS reported. The all-rice yield for 2022 is forecast at 7,500 pounds per acre, down 50 pounds from August and down 130 pounds from last year.

Rice prices began to rise around planting time, Hardke said, holding out hope that farmers might recoup their input costs in the end. But 2022 was the fourth or fifth wet spring in a row, and that delayed field preparation and planting, making those projected prices shaky.

“The rains stabilized a bit around May,” he said. “And then in June, it was like someone threw a switch, the rain stopped, and temperatures got up in the 90s. It got hot and dry, and everything just dried up really fast.”

The dry weather in June, when it was time to fertilize and flood rice, put a lot of strain on irrigation systems.

“Rice is very hardy in the face of extremes,” Hardke said. “So, in June, the rice was growing so fast it was soaking up all the water. A lot of growers were late getting nitrogen incorporated into the soil, and it took much longer to put a flood on the rice. Fields that might take three to four days to flood were taking 10 or 14 days.”

Irrigation pumps were running non-stop, Hardke said. “Growers experienced a lot of problems with wells going down because they were running so hard. And then, they had issues with replacing parts because of supply chain shortages.”

“These problems just nagged us all season,” Hardke said. “But rice is resilient, and when it needs help, it will kind of wait on you, so there was a bit of an escape for us. But it will only wait for so long.”

Hardke said milling yields were average for the year. “That’s better than last year when we had record rough rice yields, but milling yield was low,” he said. “That’s not a big gain for farmers, but it helps to get a little of that value back from a lower yield.”

Hardke said the NASS yield estimate doesn’t paint a complete picture of this year’s rice crop.

“The story is about the variability of success from field to field,” he said. “Yields were erratic because of the weather extremes and other problems growers faced in 2022.”

Dry weather kept disease pressure low, Hardke said. But late rains in some areas in August revived disease problems in those fields until hot, dry weather returned. On the other hand, the dry weather during harvest was a bonus.

“This year was the smoothest, driest harvest anyone could remember,” Hardke said.

The extended dry weather also allowed many growers to prepare fields for next year, work that usually has to wait for a dry window between August and April. And those windows of opportunity have been few in recent years.

“The speed that farmers were able to move through their fields meant that a ton of fall field work got done, especially in northeast Arkansas,” Hardke said. “A lot of fields are basically ready to plant next year.”

Rice producers who had losses this last season will receive some aid from the federal government.

The U.S. House and Senate passed a year-end spending package in late December. Included in the bill was $250 million in assistance for domestic rice farmers to help combat major losses due to record high input costs.

U.S. Sen. John Boozman said he helped get the aid included in the spending bill.

“It has been a difficult year for rice producers,” said Boozman, who is the ranking member of the Senate Committee on Agriculture, Nutrition and Forestry. “Soaring input costs have hurt producers of every commodity, but—as documented by two separate studies out of Texas A&M University—had a disproportionate impact on rice producers. I am pleased we came together to address this challenge in the year-end bill.”

David Gairhan, chair of the Arkansas Rice Federation, said the aid is much needed.

“The Arkansas rice community greatly appreciates Sen. Boozman’s successful efforts to provide support during a time of record high input costs. The timing of this assistance is crucial as farmers consider options for the upcoming planting season. Our state benefits from his leadership and we look forward to continuing to work with him and his staff in the new year on the next Farm Bill and other issues of concern,” he said.

Rice stocks at many companies have been dwindling for a long time with the finger of blame not only being pointed at the government but also at retailers’ monopolistic practices.

File photo: Egyptian farmers plant rice in a field of the Mit al-Ezz village, near Mit Ghamr town in the Nile Delta, some 80Km north of the Capital, on June 25, 2022. AFP

Housewives and customers have found themselves forced to buy relatively lower quality rice or unpacked rice after the products of several well-known rice companies, including Al-Doha, Al-Sa’aa and Zamzam, have almost vanished from markets.

Some large retailers have been offering one rice pack of these well-known companies per each citizen, while other supermarkets have not seen these companies’ products for months.

“These products have become extinct. I almost forgot their names,” one retailer humorously told Ahram Online.

Another retailer has echoed widely-circulated claims that blame the government for a part of the crisis, saying some of the companies, including Al-Doha, have halted production after the government forced them to sell rice at lower prices.

However, Al-Doha company has denied the claims in a statement circulated on media in October, saying it supports all the decisions of the Ministry of Supply and Internal Trade that regulate the circulation of rice in the market.

Failure to collect enough rice

Late in August, Minister of Supply and Internal Trade Ali Moselhi said that the ministry intends to collect 1.5 million tons of rice this year. Only 300,000 tons have been collected, however, according to remarks made by TV Presenter Ahmed Moussa late in December.

Moussa said that the decisions taken by the government over the past two months, with the aim of regulating the rice market, have failed to secure the collection of the required rice and have had a negative impact.

He added that rice is sold in the free market for EGP 9,000 per ton; whereas the government announced that it would buy the rice quantities from farmers for only EGP 6,600 per ton. Therefore, the farmers refrained from supplying rice to the government.

Moussa urged the government to explain the reasons for its failure to collect the rice required for consumption, particularly since Egypt already has a surplus of 400,000 tons in wheat cultivation.

Egypt produced around 3.6 million tons of white rice this year, while local consumption of white rice stands at 3.2 million, Head of the Internal Trade Sector at the Ministry of Supply and Internal Trade Abdel-Moneim Khalil said in November.

Confronting price hike, monopolistic practices

Since September, the government has set a maximum price for 1 Kilogram of unpacked and packed rice, ranging from EGP 12 to EGP 15 respectively. In mid-December, the government extended the decision for another three months but raised the maximum price to EGP 18 for a 1 Kilogram pack that contains almost no broken rice.

Violators are punished by a fine ranging from EGP 100,000 to EGP 5 million under the Law on the Protection of Competition and Prohibition of Monopolistic Practices.

In November, the cabinet said rice will be considered a strategic commodity, which means that the government is entitled to regulate its trading in the market for a specific period of time as per the country’s consumer protection act.

Egypt's cabinet also issued in November a three-month decree penalising vendors who monopolise or stock up on rice with at least one year in prison and hefty fines of up to EGP 2 million to prevent any shortages in the strategic commodity in the market.

The decree obligates rice traders, including producers, suppliers, distributors, and merchants, to notify the directorates affiliated with the supply and internal trade ministry of the types and quantities of rice they have.

In October, The government extended the ban on rice export to “meet the local market's needs,” a decision that has been taken several times especially since 2008 to meet the demands of local consumption.

In August, the supply ministry mandated that farmers must supply one ton of barley rice for every feddan cultivated with rice, which amounts to 25 percent of a typical 3.5 to 4-ton yield, to regulate the trade in local barley rice during the current season.

Stocking up on rice and failing to sell it after the deadline is punishable by a jail term of no less than one year and a fine of EGP 100,000 to EGP 2 million, the ministry warned.

In addition, the ministry warned that farmers who do not abide by the decision will not be allowed to plant rice during the following year or be granted subsidised fertilisers and pesticides for a period of one year.

The ministry noted that violators would also be required to pay the cost of the undelivered quantities (EGP 10,000 per ton).

Blaming retailers

Over the past months, authorities have confiscated dozens of tons of rice whose owners have attempted to trade on the black market. These movements by the authorities are in tandem with the intensified market monitoring campaigns -- launched by the government’s Consumer Protection Agency -- to prevent price gouging in strategic commodities.

Head of the Egyptian Farmers Syndicate Hussein Abu-Saddam told Al-Ahram in November that monopolistic practices are behind the current crisis in rice prices.

Speaking to the media, Abu-Saddam said that the government must intensify its monitoring campaigns to fight such monopolistic practices by big retailers. These retailers, he said, reap huge profits as a result of such practices.

The government has been fighting unreasonable price hikes on commodities to ensure that there are no variations in the price of commodities.

In mid-December, Prime Minister Mostafa Madbouly announced that a two-week deadline has been set for all retailers nationwide to place price-tags on their wares.

Madbouly said that inspection tours would be carried out periodically to ensure retailers adhere to the regulations. He encouraged members of the public to report shops that do not use price tags.

On Sept 8 last year, India banned the export of broken rice and imposed a 20 percent duty on exports of various grades of rice in a bid to boost local supply and control rising market prices.

The move, however, resulted in a spike in the price of key staple food in the Nepali market as the people in the country heavily rely on imported rice.

According to Nepal Rastra Bank (NRB), the prices of cereals including rice surged by 9.19 percent in mid-Nov 2022, a sharp jump of 2.08 percent from the same period in the previous year.

Though Nepal produces a roughly adequate quantity of rice, fine rice, which is in huge demand in the country, is insufficient.

According to the Ministry of Agriculture and Livestock Development, about 70 percent of Nepal’s total rice production comes under the category of mota chamal (rough rice) which is not a popular variety of rice to use as meals in the country.

With long-grain rice varieties increasingly becoming popular in the country basically due to the increase in income of ordinary Nepalis and the growing culture of consuming rice in daily meals, Nepal has increasingly relied on imported long-grain rice in the past two decades.

Amid this growing reliance, the market prices of rice have surged after India’s restrictions on rice exports.

However, officials and experts say that India’s restriction on export could be a blessing in disguise for Nepal to promote the consumption of domestic rice as well as other cereal products.

As a result of India’s restrictions, there has been a sharp drop in the imports of rice and overall cereal products. According to the Trade and Export Promotion Centre (TEPC), cereal imports during the first five months of the current fiscal year dropped by 40.2 percent to Rs 20.31bn during the first five months of the current fiscal year 2022/23.

According to Nepal Rastra Bank(NRB), imports of rice and paddy dropped by 49.7 percent to Rs 6.68bn during the first four months of the current fiscal year. In early November last year, India allowed the export of 600,000 tonnes of unmilled rice to Nepal. The southern neighbor, which is the largest exporter of rice in the world, said it would allow cargos of white and brown rice backed by letters of credit (LCs) issued before Sept 9 to be shipped overseas, a measure that provides some relief to exporters grappling with fresh government curbs.

Hikmat Kumar Shrestha, Senior Monitoring and Evaluation Officer at the Prime Minister Agriculture Modernization Programme under the Ministry of Agriculture, said reduction in imports should not worry Nepal about food security as the country has produced close to enough rice for the national population this fiscal year.

Official statistics show paddy production in the country in this fiscal year increased by 6.94 percent to 5.48m tonnes covering both productions of both rainy and dry seasons. In the last fiscal year, paddy production had dropped by 8.74 percent to 5.13m tonnes. “If all Nepalis consume rice only as their meals, we will have an inadequacy of only 550,000 tonnes of rice for the current fiscal year,” said Shrestha. “If we change our food habits by consuming other cereal products too as a staple food, there will be no food shortage in the country.”

But most of the rice produced in the country falls under the category of mota chamal (rough rice). Shrestha said farmers don’t like to cultivate long-grain or fine rice as their productivity is not as good as that of mota chamal. “That’s why the country has been increasingly importing fine rice from India for meals,” said Shrestha.

Lately, the government has been encouraging the cultivation of fine rice in the country through incentives.

According to Shrestha, as a result, the share of mota chamal production in the country has come down to 70 percent from around 90 percent just 5-7 years ago.

Most of the mota chamal is used for producing beaten rice, dry-fired grains, and other kinds of feed. There has also been an effort from the private sector to promote the cultivation of fine rice. For example, Buddha Air owner Birendra Bahadur Basnet has invested in paddy processing.

He has set up the Arju Rice Mill in Duhabi, Sunsari which promises to pay farmers the minimum support price (MSP) of paddy before they begin the transplantation. The company has also promised to harvest and collect the crop from the farmers’ fields.

The country spends a lot of money on importing agricultural products including rice though a lot of people are employed in the agriculture sector. According to a study conducted by the National Planning Commission, Nepal imported agricultural goods worth over Rs 200 billion in the fiscal year 2019/20, which could be produced within the country. The study titled Status of Export and Import of Agriculture Goods says most agricultural goods came from India. Massive imports in the last year resulted in fast depletion of foreign exchange reserves in the country raising concerns that Nepal could go the ‘Sri Lanka way’.

“Export restriction from India should be taken as an opportunity to increase and promote domestic products and production,” said a senior NRB official, adding, “We will not have to suffer from hunger due to the export restrictions as rice comes to Nepal also through informal channels. So, we should utilize this as an opportunity.”

Four agricultural associations have joined hands to promote the Bio-Circular-Green (BCG) model in rice farms across ten provinces, covering about 50,000 rai of paddy fields, with the aim of getting them to produce premium-quality rice.

The associations are the Save Planet Agro-Economy Development Association, the Community Rice Centre Association of Thailand, the Agriculturist Association and the Thai Rice Mills Association.

Pana Tappinkorn, president of the Save Planet Agro-Economy Development Association, recently said that the BCG model would be applied during off-season planting. It is a continuation of Save-Planet Rice's pilot projects which it successfully implemented in 20 villages.

The project helped lower investment costs, increased productivity and improved rice quality, he said.

He said the rice produced by the villages which took part in the pilot project commanded premium prices. It was handed out as gifts at the Asia-Pacific Economic Cooperation (Apec) 2022 summit.

The model applied in the pilot project will be gradually introduced to farmers nationwide, starting with farmers in Chiang Rai, Kamphaeng Phet, Nakhon Sawan, Phitsanulok, Nakhon Si Thammarat, Phatthalung, Songkhla, Chai Nat, Sing Buri, and Lop Buri.

These farmers will be encouraged to grow their rice organically, in an environmentally friendly manner to ensure their sustainability, said Mr Pana.

The four associations recently signed a memorandum of understanding to work on sustainable, chemical-free rice production.

It will help farmers save on production costs, he said.

The MoU was endorsed by Prime Minister Prayut Chan-o-cha on Nov 21.

"There have been some orders from China. This warm reception will encourage the expansion of the BCG model and make Thai rice the country's top revenue source again," he said.

Makassar. Law authorities in South Sulawesi have been investigating the disappearance of some 500 tons of rice from a warehouse belonging to the State Logistics Agency (Bulog) for more than a month and finally on Monday they detained two high-profile suspects.

The South Sulawesi prosecutors’ office said the head of Bulog’s local branch identified as Radityo Putra Sikado was named corruption suspect along with Muh Idris, who is in charge of the agency’s warehouse in the district of Pinrang.

"Both men have played a role in the release of rice disregarding the existing procedures," Soetarmi, a spokesman for the provincial prosecutors’ office, was quoted by Kompas news website as saying.

In late November, Radityo told reporters that he had “lent” half a million kilograms of rice to trading company Sabang Merauke Persada so that the warehouse could receive additional supplies necessary to “stabilize rice prices” in local markets.

While admitting that he had violated operating procedures, Radityo insisted that what he did was a “common practice”.

“Before I took office, it’s possible that the Bulog warehouse in Pinrang had previously lent its rice to a third party like what I did,” Radityo said.

“I simply happened to have bad luck. If there was no breach of contract by the third party, this would have been just fine,” he said, referring to the trading company.

He also claimed that before the company failed to pay for the rice or returned it to the agency, it had been involved in a mutually beneficial partnership with Bulog. 

His arrest came around two weeks after prosecutors detained a businessman identified only as Irfan, the owner of Sabang Merauke Persada. 

Like the Bulog official, Irfan denied any wrongdoing before being named a suspect and said that he would “tell everything honestly” when he came to the prosecutors’ office without a lawyer a day before his arrest on December 14.

It remains unclear if he already sold the entire Bulog rice handed to him by Radityo.

Prosecutors estimated that the rice steal scandal cost the state Rp 5.4 billion ($347,000) in lost revenue. 

Bulog has a unique task of stabilizing the price of basic commodities, most importantly rice which becomes the staple food for the country's population, by keeping it affordable to low-income families but not too cheap to allow local farmers to reap some profit from the domestic rice market.

Its headquarters in Jakarta is led by a presidential appointee, currently retired police general Budi Waseso.

The document noted that cultivable land in the country is estimated at 4.234 million hectares, made up of rain-fed uplands at 30 percent, rain-fed lowland at 52 percent

According to the recently launched National Rice Development Strategy II (NRDS II) Nigeria is aiming at increasing the rice area under irrigation from less than 1 million hectares to 2.7 million hectares, particularly areas under supplementary water supply to attain 2 cropping per year.

The document noted that cultivable land in the country is estimated at 4.234 million hectares, made up of rain-fed uplands at 30 percent, rain-fed lowland at 52 percent, irrigated lowlands at 17 percent and mangrove at 1 percent.

The new Strategy also targets to build the capacity of 84,000 extension agents and 12 million farmers on Good Agricultural Practice (GAP) and Sustainable Rice Production (SRP).

Part of its goal is to increase on a sustainable basis the volume of rice paddy produced, stored-up and marketed in Nigeria to meet the widening annual national demand and surpluses for export in the long run, and to improve the livelihoods of rice-dependent households in the country.

The document further noted that the objectives of the new Strategy is to bring more of Nigeria’s potential rice areas into cultivation through land development and make more rice land available.

“Enhance the productivity of existing cultivated areas through increased adoption of GAP for sustainable rice production and closing the yield gaps existing between farmers;

“Promote the adoption and use of climate-smart technologies and practices that reduce greenhouse gas emission from rice fields and increase the resilience or adaptation to climate change impact;

“To promote the adoption of SRP standards to mitigate the negative impact on the biophysical and social environment of rice production. Enhance farmer’s access to quality agro-inputs and their optimal use at a realistic cost”, the document stated.

The new Rice Strategy also aims at increasing average yield to 4.0 tons per hectare for rain-fed upland, 6.0 tons per hectare for rain-fed lowland and 7.5 tons per hectare for irrigated ecology through the introduction of new high-yielding climate-smart rice varieties.

While launching NRDS II in Abuja, the Minister of State for Agriculture and Rural Development, Mustapha Shehuri, said the rice value chain has been identified as being strategic to achieving food and nutrition security.

“The NRDS II document is a ten-year plan which seeks to provide direction for the development of the rice subsector to achieve government’s goals of self-sufficiency in rice production, food and nutrition security, employment creation and production of surplus for export”, the minister said.

Srinagar- In an important decision, Government of India has made distribution of foodgrains to NFSA beneficiaries free of cost from January, 1st this year.

So far under NFSA, subsidized foodgrains were being distributed at Rs 3 per kg for rice, Rs. 2 per kg for wheat and Rs. 3 per kg for wheat flour to NFSA beneficiaries under PDS in Jammu & Kashmir.

The Central Government has now decided to provide free of cost foodgrains, rice and wheat, to all NFSA beneficiaries under the National Food Security Act (NFSA) for one year, effective from 1st January, 2023.

The Department of Food & Public Distribution in J&K is commencing free distribution of foodgrains (rice and wheat) to all NFSA beneficiaries from 1st January, 2023 across Jammu and Kashmir.  Appropriate instructions have been issued to field officers, NIC Team and Technical Teams to incorporate these changes in IT system, e-POS applications, and PDS, so as to ensure free of cost distribution of rice and wheat to NFSA beneficiaries from 1st January, 2023.

While distribution of rice and wheat would be absolutely free, Rupee 1 would be charged for wheat flour per kg as conversion charges, with applicable conversion loss, where wheat flour is provided to beneficiaries instead of wheat.  The beneficiaries are advised to obtain printed e-PoS receipts, clearly indicating free distribution of rice and wheat, along with their entitlement.

The above benefit is exclusively for NFSA beneficiaries and the rate/scale shall remain unchanged in respect of Non-NFSA beneficiaries.

All the field staff and FPS dealers have been advised to create awareness amongst the beneficiaries for free of cost foodgrains distribution under NFSA. This free distribution under NFSA shall continue till 31st December, 2023.

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.

As the news flow and forecasts focus on the need for austerity and more belt-tightening during 2023, BR Research showcases what recent years have been like for daily wagers

Daily wagers’ purchasing power set back by a decade!

Introduction

CY2022 has not been an easy year for Pakistanis. Inflation averaged above 20 percent during the calendar year, despite the much-reviled freeze on energy prices during the first part of the year. As the news flow and forecasts focus on the need for austerity and more belt-tightening during 2023, BR Research showcases what recent years have been like for daily wagers.

The analysis compares two sets of data to arrive at a proxy for long-term trends in purchasing power: one, monthly national average prices of kitchen essentials published by the Pakistan Bureau of Statistics as part of the Sensitive Price Index (SPI). Two, the national average daily wage is calculated using the wages for various skilled and non-skilled workers collated by PBS; that is, the average wage of the following professions: laborer, mason (Raj), plumber, carpenter, and painter.

A comparison is then drawn by calculating the ratio between the retail price of each kitchen essential category, and the national average daily wage.

Based on PBS data, the average daily wage has increased from Rs571 in January 2012 to Rs1,356 in December 2022, an increase of 2.37 times over a span of 11 calendar years (or 132 months).

Analysis

During the 11-year period under review, an average Pakistani daily wager witnessed two major trends. The first trend lasted between December 2013 and September 2018, when an average household should have witnessed improvement in its food security as measured by the affordability of various kitchen essentials.

For example, the ratio of a kg of wheat flour to daily wage rose from 16 times to 26 times; broken basmati rice from 9 times to 14 times; of a dozen farm eggs from 5 times to 12 times; of fresh milk from 9.5 times to 12 times; and, for edible oil from 3 times to 5 times. Other than mutton and some pulses (which are imported), daily wagers saw the affordability of all kitchen essentials improve during this five-month period, which coincided with the global oil price crash and historically low inflation at home as a result.

In arithmetic terms, this means that a daily wager who could afford only 3 liters of cooking oil on his daily income in Dec-13, could afford 5 liters by the end of 2018. Of course, in real life, improved affordability does not mean more consumption. However, it could mean that when food security improves, it frees up more space for expenditure on other amenities of life such as education, medical treatment, or utilities.

Post-2018, daily wagers have witnessed a massive erosion in purchasing power, if retail prices of kitchen essentials are anything to go by. Today, an average daily wager can afford a lower quantity of flour than he did back in January 2012, fewer farm eggs, less fresh milk, fewer kilos of chicken meat, barely the same kgs of rice and pulses such as moong, and far fewer liters of cooking oil. The only exception is refined sugar, where affordability has in effect improved, despite the rise in the absolute price of the commodity.

The increase in the price of any good or service need not imply that affordability has declined if the rise in income takes place in tandem. Of course, that has not been the case as also noted by the rise in Pakistan’s labor competitiveness in the export market (ergo, labor has become cheaper). But does it necessarily mean more people are at greater risk of food insecurity and malnourishment?

There is of course no direct way to prove the argument. However, if prices of other services such as utilities, fuel, transport, schooling, house rent, or medical treatment had grown by a significantly lower quantum, it may free up more financial space to spend more on essentials. However, neither has been the case. A typical daily wager then faces Sophie’s choice: cut expenditure on fuel to work; children’s schooling; shift to cheaper housing; or, reduce expenditure on the kitchen. And as purchasing power erodes over a stretch of five year period– marked by intervening periods of layoffs, lockdowns, floods, and indebtedness, that forebodes a society at the brink of malnourishment: lower fats consumption, lower protein consumption, and ultimately, less calories altogether.

Conclusion

Although Pakistan’s poor fiscal management is beyond the pale and definitely needs serious introspection and course correction, stakeholders must appreciate what the inflation over the past five years - and especially over the last year – has meant for those at the bottom of the income pyramid. Floods, global commodity price spiral, political upheaval, pandemic, and five years of severe currency depreciation have in effect wiped out the purchasing power of the most vulnerable communities, who can afford fewer rotis today than a decade earlier. And while social protection programs such as BISP and Ehsaas may be helpful, these fail to reach the vast swathes of the affected populations. The tremendous escalation in prices of kitchen essentials may have put many more at risk of food insecurity and malnutrition, especially at a time when the specter of job losses and mass layoffs looms ahead.

The state must do more, but vulnerable communities also need action from both private citizens and business groups. More importantly, the international community and partners must also look closely before imposing more austerity on a country facing default. Ruling classes may have slipped up, but Pakistanis are in dire need of help.

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.

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.

74% percent of total export target for 2022-23 achieved in eight months

(April-November FY 22-23)

Export of processed fruits & vegetables up by 32.60% to USD 1310 million in eight months of current fiscal in compared to corresponding period last year

The exports of agricultural and processed food products rose by 16 percent in the eight months (April-November) of the current Financial Year 2022-23 in comparison to the corresponding period of FY 2021-22.

According to the provisional data by the Directorate General of Commercial Intelligence and Statistics (DGCI&S), the overall export of Agricultural and Processed Food Products Export Development Authority (APEDA) products increased by 16 percent growth in terms of USD during April-November 2022 to USD 17.43 billion from USD 15.07 billion over the same period of the last fiscal.

The initiatives taken by the APEDA (Agricultural and Processed Food Products Export Development Authority) that works under the Ministry of Commerce and Industry have helped the country in achieving 74 percent of its total export target for the year 2022-23 in eight months of the current fiscal.

For the year 2022-23, an export target of USD 23.56 billion has been fixed for the agricultural and processed food products basket and an export of USD 17.435 billion has already been achieved in eight months of the current fiscal.

As per the DGCI&S provisional data, processed fruits and vegetables recorded a growth of 32.60 percent (April-November 2022), while fresh fruits registered four percent growth in compare to corresponding months of the previous year.

Also, processed food products like cereals and miscellaneous processed items reported a growth of 28.29 percent in compare to the first eight months of the previous year.

In April-November, 2021, fresh fruits were exported to the tune of USD 954 million that increased to USD 991 million in the corresponding months of the current fiscal. Exports of processed F&V jumped to USD 1310 million in eight months of the current fiscal from USD 988 million in the corresponding months of the previous year.

The export of pulses has witnessed an increase of 90.49 percent in eight months of the current fiscal in compare to the same months of the last fiscal as the export of lentils increased from USD 206 million (April-November 2021-22) to USD 392 million (April-November 2022-23).

Basmati Rice exports witnessed a growth of 39.26 percent in eight months of FY 2022-23 as its export increased from USD 2063 million (April-November 2021) to USD 2873 million (April-November 2022), while the export of non-Basmati rice registered a growth of 5 percent in eight months of current fiscal. Non-basmati rice export increased to USD 4109 million in eight months of the current fiscal from USD 3930 million in the corresponding months of the previous year.

The export of poultry products increased by 88.45 percent and the export of other cereals recorded a growth of 12.90 percent in eight months of the current fiscal. The export of poultry products rose to USD 82 million in eight months of the current fiscal from USD 43 million in corresponding months of the previous year.

Similarly, dairy products recorded a growth of 33.77 percent as its export rose to USD 421 million in April-November 2022 from USD 315 million in the corresponding months of the previous year.

Wheat export has registered an increase of 29.29 percent in eight months of the current fiscal as its export rose to USD 1508 million in April-November 2022 from USD 1166 million in April-November 2021.

Other cereals’ exports increased from USD 619 million in April-November 2021 to USD 699 million in April-November 2022 and the export of livestock products increased from USD 2665 million in April-November 2021 to USD 2709 million in April-November 2022.

On the achievement, M Angamuthu, Chairman, APEDA, said, “We have been working with all the stakeholders such as farmers, exporters, processors to ensure that quality agricultural and processed food products are exported from the country.”

The rise in the export of agricultural and processed food products is the outcome of various initiatives taken for the 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.

Several initiatives were also taken to promote products having registered geographical indications (GI) in India by organising virtual Buyer Seller Meets on agricultural and food products with the United Arab Emirates and on GI products, including handicrafts with the USA.

Source: DGCIS Principal commodities data April-November, 2022) (Provisional data)

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.

RAJSHAHI, BANGLADESH – For decades, Shafiqul Islam Babu grew rice on his land in northwest 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 on his land — 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 while cleaning weeds and dead leaves from his 20-hectare cabbage farm.

“Then, vegetable farming showed me a ray of hope.”

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 ($2,000), up from the 80,000-odd taka 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 favored as 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, 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 it’s not just Rajshahi that is 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 fertilizer, officials said.

Depleting groundwater

While some parts of Bangladesh have been experiencing record-breaking monsoon rains and flooding, drought is becoming increasingly common in the Barind region, which covers most of Rajshahi and some of Rangpur district.

The area’s annual average rainfall is about 1,100 millimeters — 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 “is going down day by day,” he said.

Because there is so little rain, farmers in the region rely on deep wells to get water to irrigate their crops, putting intense pressure on groundwater supplies, Sarwar Jahan added.

Groundwater levels in Barind are dropping by 50 to 60 centimeters 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 fertilizer they were getting a good harvest,” said 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) estimates that certain vegetables — including tomatoes, okra and radishes — can be grown using about 336 liters of water per kilogram, nearly ten times less than it takes to grow the same amount of rice.

Boosting vegetable production is a priority for the Department of Agricultural Extension in Rajshahi, which is training farmers — from how to use fertilizers to controlling disease — giving them seeds free of cost, and raising awareness to encourage more to make the switch, according to Wadud.

He said the Rajshahi government is only focusing on areas where farmers are struggling to grow rice, so there is 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,” Wadud added.

Growing ‘hope’

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 Ali, who has 30 hectares of land on which he grows 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 ten years in Saudi Arabia as a construction worker to send money home, 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 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 lives in Lalpur, in the region’s Natore district.

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 each month on just one acre of land — and does not 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,” Ali said. “Nothing could be better than earning money and being with family.”

The Kaduna South senatorial candidate of the Labour Party, Engr. Michael Auta, has distributed truck loads of rice to widows and orphans under the Christian Association of Nigeria (CAN) and the Jama’atul Nasir Islam (JNI), across the eight local government areas of the Zone.

Inaugurating the distribution exercise held on Wednesday in Kafanchan, Eng. Auta said the gesture was in the spirit of the Christmas and New Year festivities.

Speaking through the director general of his campaign organisation, Alhaji Muhammed Zakari, the senatorial candidate said the gesture will also be extended to the communities recently affected by attacks in Zango Kataf and Kaura local government areas of the state to cushion their plight.

He explained that as a philanthropist, he will continue to put the interest of the less privileged at heart in spite of politics.

The candidate mentioned that the country needs leaders with a human face of quality Leadership that can provide good governance towards righting the many wrongs and challenges bedeviling the nation.

He wished the people happy celebrations and urged them to conduct themselves peacefully while celebrating the yuletide period.

Also speaking, the secretary of the campaign organisation, Mr. Jeremiah Kaburat Tunzwung, explained that  the zonal JNI and CAN leadership have been given 350 bags of 10kg rice each, to share amongst the vulnerable, while two hundred bags will be distributed to the communities affected by the recent attacks through their various village heads.

He however, said more groups will be carried along as soon as the final consignment of the rice is delivered.

Responding separately, the coordinating Zonal Secretary of CAN, Rev. Musa Ishaku and the Zonal JNI Chairman, Alhaji Garba Alhassan Adamu thanked the Labour Party senatorial candidate for remembering the less-privileged and prayed God to provide all that his heart desires.

They observed that his kind gesture was an indication if given the mandate to represent the people, he will perform credibly.

They also prayed that God will in 2023, give Nigerians the right leaders that will change the current hardship the ordinary man is facing for the better.

Kozhikode: Kerala has been witnessing huge demand for parboiled rice in the open market as the supply through ration shops got interrupted due to the unavailability of stock. Following this, the price of parboiled rice had a steep increase in the state.

As per the reports, the Kuruva variety of rice is priced at Rs 45 to 48 in the market. At the same time, Ponni and Vellakuruva are being sold in the market for Rs 40 to 45 while Bodhana is priced at Rs 35-38.

Even in state-run Supplyco outlets, the demand for parboiled rice is high.

As of now, ration shop-based distribution of parboiled rice is only limited to BPL card holders. The quantity per cardholder is 5 kg.

According to ration dealers, there is not much demand for row rice. Many white and blue cardholders are not interested to purchase their ration as parboiled rice is unavailable. The parboiled rice will not be available in the next month too, reports said.

HANOI, Dec 29 (Reuters) - Vietnam's rice exports in 2022 are estimated to have risen about 15.7% from a year earlier to 7.22 million tonnes, government data showed on Thursday.

Revenue from rice exports in the period is seen up 7% to $3.5 billion.

December rice exports from Vietnam, one of the world's leading shippers of the grain, likely totalled 550,000 tonnes, worth $283 million and up 11.3% from a year ago. (Reporting by Phuong Nguyen; Editing by Martin Petty)

Bangladesh farmers swap rice for vegetables as water dries up

More Bangladeshi farmers are growing vegetable crops instead of paddy as climate change results in less rainfall and groundwater.

For decades, Shafiqul Islam Babu grew rice on his land in northwest 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 on his land - 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 while cleaning weeds and dead leaves from his 20-hectare (49-acre) cabbage farm.

“Then, vegetable farming showed me a ray of hope.”

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 ($2,000), up from the 80,000-odd taka 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 as 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, 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 it’s not just Rajshahi that is 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.

Depleting groundwater

While some parts of Bangladesh have been experiencing record-breaking monsoon rains and flooding, drought is becoming increasingly common in the Barind region, which covers most of Rajshahi and some of Rangpur district.

The area’s annual average rainfall is about 1,100 mm (43 inches) - 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 “is going down day by day”, he said.

Because there is so little rain, farmers in the region rely on deep wells to get water to irrigate their crops, putting intense pressure on groundwater supplies, Sarwar Jahan added.

Groundwater levels in Barind are dropping by 50 to 60 cm 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 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) estimates that certain vegetables - including tomatoes, okra and radishes - can be grown using about 336 litres of water per kg, nearly ten times less than it takes to grow the same amount of rice.

Boosting vegetable production is a priority for the Department of Agricultural Extension in Rajshahi, which is training farmers – from how to use fertilisers to controlling disease – giving them seeds free of cost, and raising awareness to encourage more to make the switch, according to Wadud.

He said the Rajshahi government is only focusing on areas where farmers are struggling to grow rice, so there is 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,” Wadud added.

Growing ‘hope’

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 Ali, who has 30 hectares of land on which he grows various vegtables 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 ten years in Saudi Arabia as a construction worker to send money home, 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 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 lives in Lalpur, in the region’s Natore district.

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 each month on just one acre of land – and does not 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,” Ali said. “Nothing could be better than earning money and being with family.”

LAHORE: Following exemption announced by the Azerbaijan government on rice imports from Pakistan, the Rice Exporters Association of Pakistan (REAP) has initiated dialogues with the Azerbaijani importers to grab its share in the market of $33.93 million per annum.

Currently, India is the largest exporter to Azerbaijan having a 73% market share worth $24 million whereas Pakistan stands in the fourth position as a rice exporter to Azerbaijan with a market share of 4.63% worth $1.57 million.

“Pakistan has the potential to boost rice export to Azerbaijan as the tax waiver is an opportunity for the Pakistani exporters to compete with regional rice exporting countries and grab their share in the Azerbaijan market.

The decision will not only help in enhancing rice exports but will also increase the volume of bilateral trade between the two countries,” said REAP Senior Vice Chairman Haseeb Khan while talking to Business Recorder on Tuesday.

The REAP sent a trade delegation recently led by Haseeb which held meetings with different rice importers and the investment promotion agency of Azerbaijan (AZPROMO).

The embassy of Pakistan in Baku facilitated the delegation and Bilal Hayee at the embassy briefed the delegation about this opportunity. Head of export (AZPROMO) Yusif Abdullayev, showing interest in rice import from Pakistan, said his government has exempted the import of Pakistani rice from customs duty for five years.

The decision would expand the export of rice from Pakistan to Azerbaijan and open new opportunities for Pakistani exporters. The REAP delegation leader Haseeb Ali Khan said that different types of rice can be exported from Pakistan to Azerbaijan. He hoped the opportunity would be helpful for both countries and the people of Azerbaijan would be able to use better and higher quality rice from Pakistan.

Haseeb said they also exchanged rice samples with the importers in a bid to grab the market in future. Replying to a query, he said that as the buying season in Azerbaijan was over, they hope that result of the exemption of duty and B2B contacts between Pakistani and Azerbaijani traders would bear fruit from the next season.

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.

THE Department of Agriculture (DA) said that the agency expects 2.5 million metric tons (MMT) of rice imports in 2023, lower than this year's importation of 3.5 MMT.

Agriculture Undersecretary Mercedita Sombilla attributed this to the typhoons that hit the country in 2022 that caused a spike in rice imports.

"Usually, our average rice importation is only at 2.5 million and for this year we expect it to be 2.5 million MT," Sombilla said.

She added that the Bureau of Plant Industry (BPI) was tasked to manage the issuance of sanitary and phytosanitary import clearances (SPSICs) under the Rice Tariffication Law (RTL).

"The issuance of SPSICs is a continuing process as under RTL, you should not stop. The BPI is just trying to control the processing of SPSICs. If you stop the processing of SPSICs, the more we cannot monitor the entry of imported rice," Sombilla added.

Sombilla defended anew the decision of President Ferdinand "Bongbong" Marcos Jr. to extend Executive Order (EO) 171 allowing low tariff on rice, pork and corn until Dec. 31, 2023, saying this is necessary to prevent high inflation rate.

She said that while low tariff on rice help bring down the retail prices in the staple food, the DA implements various programs to boost local palay (unmilled rice) production, which she regards as "most important."

According to her, the RTL helped in stabilizing the prices and supply of rice in the country.

"You can see a drop in the retail prices of rice after EO 171, so it really helped. We are really trying to lower it to P32 [per] kilo, that's the objective of the RTL," Sombilla said.

At present, the prevailing price of rice is between P35 and P37 per kilo.

This, as the Agriculture department is aiming to reach 20 MMT of local palay production in 2023.

"We already exhausted all the possibilities of increasing the yield. What we are targeting right now is really to increase land productivity," Sombilla noted.

She added that many farmers still do not use certified seeds despite the government's program to promote its use.

"Only 40 percent of the farmers believed in certified seeds. After their harvest, they allocate for their next planting. The advantage of the certified seeds is about 1 ton per hectare," she said.

Sombilla said a big chunk of the budget for 2023 will be for subsidizing the farmers.

For his part, Agriculture Assistant Secretary Arnel de Mesa attributed the decline in the palay production to the increasing cost of farm inputs, particularly fertilizer.

"We did not reach our target but significantly higher. For example, for rice, last year we reached 19.96 million metric tons, it declined a little because of the increase in the cost, especially fertilizer. That is why we put more budget in the fertilizer to supplement the increase in the prices," de Mesa said.

PHNOM PENH (The Phnom Penh Post/Asia News Network): Cambodia plans to begin the formal export of milled rice to the archipelago nation of Maldives, a month after its Phka Rumduol jasmine variety was crowned as the “World’s Best Rice” for a fifth time, as part of a campaign to raise the profile of the local grain on the regional and international stages.

At a ceremony marking the beginning of work to revamp the 95.27km National Road 41 on the morning of Dec 26, Prime Minister Hun Sen revealed that he would visit the Maldives next month to discuss milled-rice sales as well as stepping up tourism ties.

“The Maldives is a rice-deficient country, so we want to forge links through tourism and milled rice exports. The Maldives may be a small country, but she also has demand [for milled rice] due to her large number of tourists. Our milled rice is superb, so she can bring milled rice from our country,” he said.

Speaking to The Post on Dec 26, Lay Chhun Hour, group president and CEO of City Rice Import Export Co Ltd, a major rice miller based in Battambang province, suggested that the more markets that Cambodian rice can establish a presence in, the more well-known it will become.

“We certainly welcome the efforts of our government, which is always trying to find new markets for our agricultural products and expand [existing ones], no matter how large or small, and our milled rice is becoming more and more known,” he said.

Chhun Hour is seen as the main person behind Phka Rumduol’s participation at the TRT (The Rice Trader) World Rice Conference in Phuket, Thailand on November 17 that awarded it the World’s Best Rice award for the fifth year.

Phka Rumduol is a type of long-grain jasmine rice that has emerged as a top choice of international buyers, and is one of the varieties exported under the “Angkor Malys” certification mark.

Lun Yeng, spokesman for the Cambodia Rice Federation (CRF), the Kingdom’s apex rice industry body, confirmed to The Post that Cambodia has never officially exported milled rice to the Maldivian market. He welcomed government plans to start doing so.

“Having more markets would be a boon for the Cambodian rice sector. Whether big or small, it’ll raise the profile of our milled rice on regional and international markets,” he said.

Straddling the equator in the Indian Ocean, the Maldives stretches along a length of 871km north-to-south and covers an area of around 90,000sq km, only 298sq km of which is dry land.

Most of the Maldives’ 1,192 islands form part of a double chain of 26 atolls that are grouped together into 21 administrative areas. The country reportedly had a population of 543,620 at end-2021 – up 0.57 per cent year-on-year – with 36.86 per cent women.

Milled-rice exports have been performing well this year, amounting to 509,249 tonnes in the first 10 months of 2022, up 10.67 per cent from the 460,169 tonnes registered in the same time last year, the Ministry of Agriculture, Forestry and Fisheries reported.

Fragrant rice contributed the bulk of the exports at 348,501 tonnes or 68.44 per cent, followed by white rice (148,933 tonnes; 29.24 per cent), and parboiled rice (11,815 tonnes; 2.32 per cent).

China was the largest buyer of Cambodian milled rice in the January-October period, accounting for 231,873 tonnes which were up 1.18 per cent year-on-year, followed by the EU (165,630 tonnes; up 43.43 per cent) and Asean. (48,253 tonnes; up 10.19 per cent), while other countries and territories bought 63,493 tonnes, marking an 11.48 per cent drop, the ministry said, indicating that four of the 27 EU countries did not import any through official channels.

The Director General, Nigeria Agribusiness Group (NABG), Dr. Manzo Maigari has said that he lost 500 hectares of rice farm to this year’s flooding, stressing that if quantified in monetary term, it stands at N2 billion.

Dr. Maigari who is the former Commissioner of Agriculture & Forestry under governor Nasir El-rufai of Kaduna State, however noted that it has become imperative to engage and involve insurance companies in farming business in order to get compensated in the event of such incidents.

He spoke in an interview with newsmen during a workshop on Climate Smart Agriculture Technologies and Practice in line with Food Safety Standards and Grades, in Kaduna.

According to Dr. Maigari, “This is a regional workshop that brings together youths and women farmers and players in Agriculture business management with the aim of sensitising and educating them on the challenges of climate change as it affects farmers today across Africa and even across the world.

“The participants are drawn from across the whole North West. We are looking at 50-500 participants, we are targeting a minimum of 500 participants at this two days workshop.

“This initiative is 100 percent funded by Bill Gates Foundation with Nigerian business groups as collateral and with the federal ministry of Agriculture as partner as well as the Kaduna State government, and that is why you see the State Commissioner for Agriculture came to give an address at the workshop.

“It is a four years project and we are in the second year, so you can’t know the monetary value until you finish and do the compilation, before you get to the funding.

“However, I want to speak practically as an individual who had lost so much to flooding. I lost 500 hectares of rice farm to flooding this year, and not a single stand of the rice survived, and if you want to quantify it in terms of monetary value is not less than N2 billion. The rice was to be harvested, processed, packaged and branded into the market. All I have lost is 4000 hectares of rice, you know what that means if you multiple 500 by 8 and the N2 billion multiplied by 8 also”.

On what preventive measures have been put in place against subsequent flooding, the Agric expert said, “We need to see agriculture as a business so that farmers can engage and involve insurance companies for insurance cover so that when you lost your product to flooding, you get compensated by the insurance company.

“We also need to look at alternative to rain season farming. So if you do dry season farming, you won’t experience flooding. And we need to look for varieties of crops, rice that can survive flooding, stay under water for days without dying”.

Earlier, speaking on ‘Small Scale Climate Smart Crop Production’, Professor Emeka Daniel Oruonye, noted that the need to grow more food crops and increase the income of the small-scale farmers has become necessary in order to mitigate poverty and achieve food security has become very important.

“Especially in this pandemic era, stakeholders under the agricultural space must join hands in maximising our numerous endowments to ensure that the desired economic growth is achieved.

“The greatest challenges facing farmers today is how to meet the increasing food demand to meet population growth. Climate volatility, more frequent extreme weather events and temperature changes increasingly threaten the viability of food crop production,” the Professor of Geography from Taraba State University told participants.

Speaking on ‘Climate Smart Agriculture (CSA) Technologies and Practice in line with Food Safety Standards and Grades, the Founder and Chief Executive Officer of Pyrogenesys, Mr Simon Ighofose, harped on the importance of climate smart agriculture, and said the production of biofuels and bioenergy remain some of the advantages of CSA.

“Considering the fact that small scale farmers cultivate small land areas, usually less than two to five hectares, are not engaged in producing crops as competitors, nearly 72% of them live on less than $1.90 per day, thereby plunging most small scale farmers into the hole of poverty”. Mr. Ighofose said.

HANOI, Dec 26 (Reuters) - Vietnam's rice exports this year are estimated at seven million tonnes, up 12.2%, the government said on Monday.

Revenue from rice exports for the year is estimated at $3.5 billion, up 6.4%, the government said in a statement. (Reporting by Khanh Vu; Editing by Kanupriya Kapoor)

ISLAMABAD -Over 1.393 million tons of rice valuing $749.407 million was exported during the first five months of the current financial year as compared to the exports of 1.585 million tons worth $826.505 million in the corresponding period of last year.

During the period from July-November, about 214,618 metric tons of Basmati rice valuing $229.297 million was also exported as against the exports of 296,674 metric ton worth $524.935 million of same period last year.

In the last 05 months, the exports of above mentioned commodity witnessed about 145 percent growth in dollar terms as compared to the exports of same period last year, according the data of PBS. During the period under review, 1.178 million metric tons of rice other then Basmati worth of $520.111 million was also exported as compared the exports of 1.290 million metric tons valuing $571.537 million of same period last year, hence showing about 75 percent growth during the period under review. On month basis, the exports of rice from the country in November of current fiscal year decreased by 12.40 percent as 418,207 metric tons of rice valuing $203.146 million was exported as against the exports of 493,844 metric tons valuing $231.908 million of same month of last year.

Authority couldn't find adequate rate for the farm produce on the basis of its final product

Rice unfit for human consumption and used for other purposes would not be exempt from the Goods and Services Tax (GST), the Chhattisgarh authority for advance rulings (AAR) has ruled.

The farm produce would attract 5 per cent GST, said AAR. Shraddha Traders, which runs a rice mill, sought a ruling from the AAR on paddy rice unfit for human consumption and used in industries, manure production and cattle feed.

Tax rates under GST are based on their classification under the harmonised system of nomenclature (HSN). The AAR said the farm produces merits classification under 100610 which attract five per cent GST.

However, the authority could not find an adequate GST rate for this rice on the basis of its final product such as industrial, manure or cattle feed as the applicant had not given details of the procedures.

Sandeep Sehgal, partner, tax, at AKM Global, said since the rejected/damaged paddy is not fit for human consumption, the same cannot be classified as rice or paddy exempted from tax.

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.

Federal Secretary to Ministry of Commerce Muhammad Sualeh Ahmad Faruqui, DG Agro Products Ministry of Commerce Qamar Zaman, and other relevant representatives were present in the meeting.

During the meeting, the delegation included the Former Chairman REAP Ch. Samee Ullah Naeem, Senior Vice Chairman REAP Haseeb Ali Khan, Members MC REAP Fuad Hamid Gharib, Mian Sabih Ur Rehman , Sec. General REAP Kasif ur Rehman and others.

In the meeting, the representatives of the Federal Ministry of Commerce were informed in detail about the problems faced by rice exporters.

Electricity and other issues including gas supply were discussed. REAP’s representation in EDF board and other related issues were discussed.

All other businesses in Pakistan have the status of the industry. Rice businesses should also be given the status of industry because rice business plays an important role in the economic improvement of Pakistan.

Chairman REAP Chela Ram Kewlani’s conversation with officials of the Fed. Ministry of Commerce.

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.

The National Cereals Research Institute (NCRI), Badeggi, Niger State, says it has produced two flood-resistant rice varieties, to mitigate the impact of flood on the production of the commodity.

The Executive Director of the Institute, Dr Aliyu Umaru, who disclosed this to newsmen in Bida, Niger State, listed the new varieties to include: Faro 67 and Faro 68.

Dr. Aliyu noted that the varieties can withstand submergence for between two to three weeks, compared to the previous varieties that normally perish after two to three days submergence.

He, however, urged farmers in the country to adopt appropriate varieties in flood-prone areas. “The farmers should adopt varieties that are flood-tolerant in to those areas.”

Umaru recalled that this year’s floods were devastating across the country, resulting in colossal losses to the farmers, including the institute.

The NCRI boss also called on the government to put in place water control structures in wetlands across the country.

“Such structures should be put in place in areas where flood is recurring annually and these structures are not there. That is why dry season farming where you have water control structures is more profitable than that of the wet season or rain-fed rice production.

“Old irrigation schemes that had become dilapidated as a result of lack of maintenance should be rehabilitated. Such schemes were established in the 1950s, but due to climatic extremes and other human factors they are no longer able to control water,” Umaru added.

He also called for the establishment of new irrigation schemes, adding, “irritated agriculture outweighs rain-fed agriculture by far.
  Umaru disclosed: “The yields are also high, less prone to flood, while incidences of pests and diseases are also reduced.”

Envoy calls Pakistani products better than its neighbours

ISLAMABAD:

Pakistan produces better quality meat and rice than its neighbouring countries, said Egypt Ambassador Tarek Mohamed Dahroug.

The ambassador on Wednesday called on Federal Minister for Commerce Syed Naveed Qamar where he expressed Cairo’s desire to enhance the import of halal meat and rice from Pakistan.

Dahroug specifically requested Pakistan’s government to take measures to make it easier for Egyptian importers to purchase meat and paddy. “We believe that Pakistani meat and rice are better in quality than its neighbouring countries,” a statement quoted the envoy as saying.

Qamar assured the envoy that his ministry would work closely with the Egyptian embassy to ensure the implementation of the proposed measures. The minister observed that total trade between Pakistan and Egypt stood at $636.89 million in July-June 2021-22, of which Pakistan’s exports amounted to $104.68 million and imports were worth $532.21 million. But it “did not match the actual trade potential of the two countries”.

He outlined the challenge of visa stamps being faced by the business community, even to participate in Egypt’s trade fairs. In response, the ambassador assured the business community that they would not face such a problem in future, adding that the Egyptian embassy would offer on-arrival visas at airports to passengers with Schengen, American and Canadian visa stamps on their passports.

Just 9 months ago, rice was marketed as the cereal that would save the planet. As war broke out in the Black Sea, fertilizer prices spurt out of control, and wheat harvests failed across the globe, world rice production remained unaffected, restraining fears of global food insecurity and hunger. Pakistani policymakers breathe a sigh of relief, as a substantial surplus in rice production could help mitigate two of their worst fears: a grain/cereal shortage in the local market; and, a widening trade deficit. Unfortunately, that hope could prove short-lived.

First, came the floods. The horrific monsoon rains destroyed Sindh’s coarse rice crop, which in the past has contributed up to 80 percent of Pakistan’s rice export by volume, and 75 percent by value. Pakistan’s annual rice production has now been written down by at least 3 million metric tons (MMT), down from 9.3MMT achieved last year. During 5MFY23, coarse rice exports are down by 5 percent in volume, and 9 percent in value, even as residual exports fetched the highest unit prices in nearly a decade.

Since then, luck has only taken a turn for the worse. Global rice production forecast has been lowered by 12 percent, as output in India dropped by a whopping 6MMT. As the world’s largest rice exporter imposed duties and tariffs on the export stage – particularly on broken rice and other coarse rice varieties – global prices have picked up, further tightening world supply. Unfortunately, Pakistani exporters are in no position to gain from the situation.

The story of basmati export is even berserk. Basmati prices in the international market have risen by more than half – 56 percent between Nov 2021 and 2022. Yet, it seems a grain shortfall in the local market coupled with tightening supplies due to lower cultivated area has resulted in weaker exports – which are 29 percent lower in volume terms during 5MFY23 compared to the same period last year. This more than offset the gains on unit prices, with an overall 11 percent drop in basmati export revenue during the period under review.

Although the exporting industry is hopeful that things shall pick up in the latter half of the fiscal year, don’t pin your hopes on it. After the wiping out of coarse rice surplus from Sindh, the record-shattering export target achieved during the last fiscal is now a distant dream. Higher basmati prices could stem the tide of falling export revenue, but the quantity exported of basmati would have to rise by at least 50 percent – from 0.75MMT in FY22 to 1.15MMT in FY23 – for annual rice export receipts to reach the $2.5 billion goal.

Two push factors may alleviate the export situation. First, premium basmati prices in the local market have skyrocketed over the last two months. If demand shows significant price elasticity, expect more supplies to become available for export. Two, inventory financing trends raises the possibility that procurement by milling segment may be keeping up pace with last year, even though bank lending rates have basically doubled between Nov 2021 and 2022. Of course, an alternative explanation could be that mills are paying through their noses for a smaller crop. Only market insiders can explain!

Either way, if you were a Pakistani rice farmer with a healthy crop yield during the outgoing Kharif 2022 season – most likely located in the northeast or central Punjab, congratulations on a year of excellent profitability!

Improved availability of rice in the Riverina has contributed to a more than 30 per cent growth in revenue for SunRice compared to last year.

Group revenue for the first half of this financial year was $758 million, which is up 34 per cent on the prior corresponding period.

There were also strong growth in earnings, with earnings before interest, taxes, depreciation, and amortization (EBIDTA) of $42.6 million and net profit after tax of $19.6 million, up 16 per cent and 17 per cent respectively on the prior corresponding period.

A fully franked interim dividend of 10 cents per B Class Share has been declared, and the estimated paddy price range for crop year 2022 currently being processed and marketed has been updated to $435 to $470 per tonne for medium grain Reiziq - a naturally earned record.

SunRice Group CEO Rob Gordon says other key drivers of the first half performance include sales price increases across most segments and product categories, continued recovery of the CopRice business including positive impact of the Pryde’s EasiFeed acquisition and ongoing recovery of strategic Pacific markets.

“The SunRice Group delivered a strong financial performance, with improvements in both revenue and profitability reflecting the strength of the Group’s brands and market positioning, especially as consumer spending is currently impacted by the high inflationary environment,” he said.

“The various investments in strategic and organic growth initiatives across the Group over the last few years are delivering benefits and enabled us to withstand some of the challenges that are affecting other industries and companies, particularly across our profit businesses.

“We expect the revenue growth achieved (in the first half of the financial year) to continue into the second half of the year, supporting strong paddy returns in the rice pool business and profitability in the profit businesses, despite underlying operational and inflationary pressures continuing in the near term.”

Mr Gordon said the combination of the increased availability of Australian rice stemming from the large CY22 crop and secured global supply sources, positions the SunRice Group favourably to take advantage of any under supply in key markets currently impacted by drought, including the United States.

The Group should also be able to extend its participation in global tenders in the second half of the year, which will support returns for both the rice pool business and international rice segment.

SunRice has said the planting window for the CY23 has now closed, and while it has been disrupted by heavy rain falls and flooding activity across the Riverina, the Group is expecting ample Riverina rice supply in CY23.

“The current water outlook is pointing towards positive growing conditions into CY24,” the company’s outlook states.

“The group is well positioned to take advantage of these favourable conditions and current global market dynamics to help deliver positive returns to both A and B Class shareholders.”

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

Diamond Paints/Sheikhoo Steel, Guard Rice and Diamond Paints emerged as winners in the Coca-Cola Lahore Open Polo Championship 2022 here at the Lahore Polo Club on Tuesday.

Nicolas Antinori hammered an impressive hat-trick in the Diamond Paints/Sheikhoo Steel’s thrilling 7-6 triumph over Salam Polo in the first match of the day. Besides the heroics of Nicolas Antinori, Mir Huzaifa Ahmed (two goals), Usman Aziz Anwar and Umar Malhi (one goal each) also made a good contribution from the winning side.

Nicolas Ruiz Guinazu was in sublime form and played well for the losing side as he contributed with fabulous four goals while his teammates Agha Musa and Raja Arslan struck one goal each.

Diamond Paints/Sheikhoo Steel, Guard Rice and Diamond Paints emerged as winners in the Coca-Cola Lahore Open Polo Championship 2022 here at the Lahore Polo Club on Tuesday.

Nicolas Antinori hammered an impressive hat-trick in the Diamond Paints/Sheikhoo Steel’s thrilling 7-6 triumph over Salam Polo in the first match of the day. Besides the heroics of Nicolas Antinori, Mir Huzaifa Ahmed (two goals), Usman Aziz Anwar and Umar Malhi (one goal each) also made a good contribution from the winning side.

Nicolas Ruiz Guinazu was in sublime form and played well for the losing side as he contributed with fabulous four goals while his teammates Agha Musa and Raja Arslan struck one goal each.

There is nothing new about the impact food has on politics. In the old days, many kings practiced food diplomacy in entertaining their guests; from serving the best 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 presidents 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 their neighbors. The commodity is the staple diet for most people in countries like Indonesia, Thailand and also neighbouring country China, India.

The agricultural sector is one of the most important and most strategic sectors for the survival of a country, without food the country could be in a position of chaos and bankruptcy.

There are so many ways that the Bangladesh government does to maintain the availability of rice, one of the most ways is by importing rice, this import policy reaps a lot of cons because Bangladesh is known as an agricultural country or a country with most of the worker in the agricultural sector, but unfortunately, Bangladesh continues to import rice.

Due to the current state of the world, which is experiencing a global food disaster due to the conflict between Ukraine and Russia, many nations have closed the export door to maintain their domestic stock.

Rice is a very important commodity in the Bangladeshi people’s lives; there is even a term in Bangladesh that says that Bangladeshi people have not eaten if they have not consumed rice; from this term, it can be seen that rice has become a staple for the Bangladeshi people.

Despite tensions between Myanmar and Bangladesh, Dhaka, which imports about millions of tonnes of rice every year, has placed an import order from Myanmar.

As agriculture and livestock are the backbone of Myanmar’s economy, it earns foreign currencies from rice exports beyond self-sufficiency. The State is supporting the stockholders including farmers and investors in order to bring about business opportunities. According to the Memorandum of Understanding between Myanmar and Bangladesh regarding rice trade, 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 Ayeyawady International Industrial Port AIIP in Pathein Industrial City, Ayeyawady 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 of rice are scheduled to be sent to Bangladesh from the Pathein Port. On 28 October, the loading of 2,650 tonnes of Emahta rice (5% broken) onto the ship heading for Bangladesh commenced.
“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 as the government is looking forward to the city with good prospects. The exports of rice also cause the GDP growth in the region. In addition to rice, corn and sesame are also targeted to be directly exported to foreign markets through the Pathein City.

The loading process of 2,650 tonnes of rice was completed on 31 October and the MV MCL-7 left for Bangladesh through the AIIP. More ships arrived and departed at the Port. It was the direct export of local products from Ayeyawady Region.
Myanmar’s rice exports to the neighbouring countries can enhance the livelihood of the farmers and create business opportunities for the related businesses driven by rice exports. This achievement in Pathein city can also strengthen the tripartite relationship between the State, farmers and entrepreneurs for ensuring the sustainable market and export promotion.

More than 20,000 tonnes of rice have been sent to Bangladesh by up to October 2022, according to the Ministry of Commerce of Myanmar. Myanmar and Bangladesh inked a Memorandum of Understanding (MoU) on rice trade in September this year.
According to this MoU, Bangladesh has agreed to buy 250,000 tonnes of rice and 50,000 tonnes of parboiled rice from Myanmar between 2022 and 2027. Following the MoU, Bangladesh’s Directorate-General of Food and MRF signed a sales contract for 200,000 tonnes of Myanmar’s rice to be exported to Bangladesh. As per the sales contract, Myanmar has shipped over 20,000 tonnes of rice to Bangladesh up to 31 October 2022.
Furthermore, over 15,000 tonnes of rice were loaded onto the vessel. The remaining over 150,000 tonnes of rice will be exported during the set period.
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.
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.

The Ministry of Commerce has granted an export licence for 191,700 tonnes of rice that will be shipped to Bangladesh according to the agreement between the two countries.
As per the Memorandum of Understanding 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.
Following 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.
The Export/Import division of the Trade Department issued over 534 million Yuan worth 42 export licences for 41 companies to convey 191,700 tonnes of rice to Bangladesh.
Myanmar and Bangladesh inked a Memorandum of Understanding (MoU) on rice trade in September 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.
Under the MoU, Bangladesh’s Directorate General of Food and MRF signed a sales contract for 200,000 tonnes of Myanmar’s white rice to be exported to Bangladesh. As per the sales contract, Myanmar has shipped over 20,000 tonnes of white rice to Bangladesh till 31 October 2022. The remaining will be delivered before the deadline.
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.
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 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 Ayeyawady International Industrial Port (AIIP) in Pathein of Ayeyawady Region, and 10,565 tonnes of rice out of the targeted 200,000 tonnes has been exported from 2 to 22 November.
The AIIP exported 2,650 tonnes of rice by MV MCL-7 from Ayeya Hintha company on 2 November, 2,615 tonnes by MV MCL-21 on 7 November, 2,650 tonnes by MV MCL-12 on 13 November and 2,650 tonnes by MV MCL-18 on 22 November, 10,565 tonnes of rice in total. A total of 211,300 bags of 50-kilogramme Emahta rice were conveyed from the AIIP to Bangladesh. Efforts are underway to continue exporting the second batch of targeted tonnes of rice.
Deputy Director U Tun Tun from the Consumer Affairs Department commented on the benefits to farmers and businessmen due to direct export that there was an instruction to export 20,000 tonnes of rice as the first batch and 40,000 tonnes of rice as the second batch constantly, totalling 60,000 tonnes.
The direct shipment enhances the economic development of the region and brings advantages to residents and the State. There will be a ship to dock over the next two or three weeks as well, he added.
The respective ministry and export companies are working together to ensure the quality of export rice and fast shipping. Rice mills in Ayeyawady 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 and Bangladesh inked a Memorandum of Understanding (MoU) on rice trade in September 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.
Under the MoU, Bangladesh’s Directorate General of Food and Myanmar Rice Federation signed a sales contract for 200,000 tonnes of Myanmar’s white rice to be exported to Bangladesh. As per the sales contract, Myanmar has shipped about 110,000 tonnes of white rice to Bangladesh as of 28 November 2022. Furthermore, over 2,000 tonnes of rice are being loaded onto the ship for now. The remaining will be delivered before the deadline.
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.
Following the contract, white rice (ATAP) GPCT Broken STX variety will be delivered. The FOB prices were 2.78856 Yuan per kilo and 2788.56 Yuan per tonne.
The Export/Import division of the Trade Department issued 42 export licences worth over 534 million Yuan for 41 companies to convey 191,700 tonnes of rice to Bangladesh.
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. 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.

According to the Government-to-Government pact between Myanmar and Bangladesh, 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 2022 from the Ayeyawady International Industrial Port AIIP in Pathein Industrial City, Ayeyawady 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 of rice by MCL-19 ship on 1 December and 2,650 tonnes of rice by the MCL-12 ship on 8 December in the second batch, totalling 5,260 tonnes. On 7 December, the MCL-18 ship arrived at the   Ayeyawady International Industrial Port and further exports are to be undertaken.
Myanmar’s white rice direct delivery from Ayeyawady Region to Bangladesh accumulated 15,825 tonnes, with 10,565 tonnes in the first batch and 5,260 in the second batch.
“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   Ayeyawady 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 Ayeyawady 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 Ayeyawady Region increased.  All the stakeholders involved in a supply chain including the Ayeyawady Region Government, departments concerned and private businessmen are being exerted to meet the rice demand of Bangladesh to ship them directly from the region. The direct rice shipment from Ayeyawady 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.

* On year-on-year basis, exports increased by 5.89% in November 2022 to Rs.531,599m against exports of Rs.502,009 during November 2021

The exports from the country in the rupee term witnessed an increase of 28.43 percent during the first five months of the current fiscal year (2022-23) as compared to the corresponding period of last year, Pakistan Bureau of Statistics (PBS) reported.

Exports during July-November (2022-23) totaled Rs. 2,661,304 million as against Rs. 2,072,145 million during the corresponding period of last year showing an increase of 28.43%, according to provisional data released by PBS.

On year-on-year basis, the exports increased by 5.89 percent in November 2022 to Rs.531,599 million against the exports of Rs.502,009 million during November 2021.

On month-on-month basis, the exports increased 1.10% in November when compared to the exports of Rs. 525,831 million in October 2022.

The main commodities of exports during November 2022 were knitwear (Rs. 88,974 million), ready-made garments (Rs. 72,620 million), bed wear (Rs. 49,457 million), rice other than Basmati (Rs.34,909 million), cotton cloth (Rs. 34,140 million), towels (Rs.20,597 million), fish & fish preparations (Rs.11,382 million), rice Basmati (Rs.10,252 million), cotton yarn (Rs.9,533 million) and surgical goods & medical instruments (Rs.8,343 million).

On the other hand, imports during July – November (2022-23) totaled Rs. 5,841,359 million as against Rs. 5,532,271 million during the corresponding period of last year showing an increase of 5.59%.

On YoY and MoM basis, imports into Pakistan during November, 2022 amounted to Rs. 1,152,054 million (provisional) as against Rs. 1,039,036 million in October 2022 and Rs. 1,366,681 million during November 2021 showing an increase of 10.88% over October 2021 but a decrease of 15.70% over November 2021.

The main commodities of imports during November 2022 were petroleum products (Rs. 157,448 million), petroleum crude (Rs.121,378 million), natural gas, liquified (Rs.70,725 million), palm oil (Rs. 70,720 million), plastic materials (Rs. 42,730 million), raw cotton (Rs.38,923 million), fertilizer manufactured (Rs.37,281 million), electrical machinery & apparatus (Rs.34,692 million), medicinal products (Rs.34,487 million) and Iron & steel (Rs.34,170 million).

All citizens are required to donate several kgs of rice despite a bad harvest that triggered a massive food shortage

Two North Korean farmers work at a field in Unsan County in South Pyongan province on July 26, 2000. North Korea is facing a severe food shortage as crops have failed in the drought and many children and adults are suffering from malnutrition. (Photo: AFP)

North Korean authorities are forcing citizens to donate “patriotic rice” to the state amid a massive food shortage that reportedly triggered public dissatisfaction.

The government in the Communist nation instructed all citizens including farmers to donate several kilograms of rice for use by the military, party officials, scientists, and people in need, Radio Free Asia (RFA) reported on Dec. 16.

Many citizens have voiced their anger in private of threats of public humiliation, political reeducation, or even detention at labor camps by government officials should they miss the pre-defined quota by year-end.

“The authorities threatened the farmers saying [they] could be subject to systematic ideological criticism and punishment at disciplinary labor centers… for at least six months, but no more than a year,” an unnamed resident from the northwestern province of North Pyongan told RFA.

“I don’t even have rice to eat today. What can I possibly offer as patriotic rice?”

“They [the government] told residents to sacrifice from their conscience and patriotism. If I have true patriotism, will rice rain down from the sky?” the resident exclaimed.

The recent directive has come from the Central Committee -- the highest party -- which reminded people of the well-being and the increasing dignity of the country through its recent missile launches.

“It praised North Korea’s national power and status, saying it had risen to epic highs, and it said to the people that our food problems must be solved through patriotism,” said the unnamed source.

The committee however barely acknowledged the country’s food shortage while citing generous donations from citizens above their allotted quota.

Most citizens will have to donate 5 kgs, farmers must donate between 10 and 15 kgs whereas students and the elderly must donate between 2 and 7 kgs.

The farmers have until Dec. 30 to comply with the orders.

The order comes despite the fact that the nation faced a decline in rice harvest due to colder temperatures and heavy cloud cover that reduced sunlight in July, which is the prime rice growing season, according to South Korea’s Rural Development Administration.

The agency estimated that North Korea’s overall crop production declined by 180,000 tons to 4.51 million tons, this year.

In a bid to get farmers and citizens to comply, the committee released an explanatory document asking citizens to draw an example from the soldiers who donated rice from their rations, a second source told RFA.

The order demanded farmers to give 1 kilogram (2.2 lbs.) more than the “recommended” donation.

“The rice storage container at home is empty, so how can we take responsibility for the rest of the country?” the unnamed source said.

“The people were critical of the authorities for launching so many missiles recently,” the source said adding that the “food shortages are so bad they cannot properly feed the army.”

The residents have also accused their supreme leader Kim Jong Un of his failure in fulfilling the promise of food security made 11 years ago when he took the reins of the country after succeeding his late father.

“They say that the promise made by the Highest Dignity [Kim Jong Un] has gone nowhere,” the second source said adding that “the food crisis has worsened because of the wrong policies of the authorities.”

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.

He named the partners to include the German Cooperation Agency, the Competitive African Rice Initiative, Japan International Cooperation Agency, and the Food and Agriculture Organisation.

Industry players say output-based incentives will have a greater likelihood of achieving productivity growth than input subsidies.

While the move to distribute RM10 million this year to padi farmers has been welcomed by those in the sector, industry players say a comprehensive view is needed of the problems at hand, in order to ensure the effective improvement of their welfare. 

Nurfitri Amir Muhammad, coordinator of the Malaysian Food Security and Sovereignty Forum, said the allocation was in fact the long-delayed responsibility of Padiberas Nasional (Bernas), as the company still has social duties that have yet to be carried out, including the establishment of disaster funds, the supply of machinery and the development of a padi database in addition to ensuring funds for the supply of rice seed buffer stocks. 

"Nevertheless, the farmers have not yet been told how the funds will be channelled, whether in direct cash aid or through development programmes," he said. 

He was responding to the move by Prime Minister Anwar Ibrahim directing Bernas to pay RM10 million to farmers this year and RM50 million in the year to come. 

Bernas, known as Lembaga Padi dan Beras Negara before it was privatised in 1994, controls the local rice industry and foreign rice imports.

Its largest shareholder is corporate tycoon Syed Mokhtar Albukhary.

Tey Yeong Shen, a senior researcher at Universiti Putra Malaysia (UPM), said it was not yet clear how the RM10 million allocation would be used. 

"If it is to be returned to the farmers, output-based incentives will present a greater likelihood of attaining productivity growth than input subsidies," Tey, of UPM's Institute of Tropical Agriculture and Food Security, told MalaysiaNow. 

On the problems faced in the rice industry, he said that in terms of policy, proactive measures such as price controls and input subsidies contribute to unintended effects including stagnated yields, a drop in competition and innovation, and low added value in addition to stunted development for SMEs.

"Straight removal could be politically and socially infeasible," he said. 

"A soft landing or transitional approach would be better for materialising progressive measures, such as output-based incentives." 

Nurfitri meanwhile said that troubles in the rice industry could be seen from the aspects of market and production. 

Over time, he said, farmers had lost more and more of their bargaining power due to a dip in the number of rice mills. 

"Farmers looking to harvest their crops don't have a lot of choices when it comes to selling as there are only one or two mills in any given location," he said. 

"So they are forced to accept whatever price is offered as well as the net weight deduction imposed by the mills." 

He said farmers should also have the freedom to choose which seeds, fertiliser and cropping system to use, whether conventional or alternative. 

"Subsidies should be given directly to the farmers, not the suppliers," he said. 

"The agricultural input market must be opened up to allow for competition. Then the price and quality will be reasonable." 

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.

NAIROBI, Kenya, Dec 15 – Kenyan Government will allow millers and traders to import 1.5 million metric tons of duty free maize and rice to bridge the food deficit in the country.

A total of 900,000MT of maize and 600,000MT rice from February to August 2023.

In a public notice, State Department for Crop Development Principal Secretary Kello Harsama said the duty waiver shall apply to white maize and milled rice.

“An Import Duty Waiver will be granted for millers and traders to import a total of 900,000 metric tons of white maize grain and 600,000 metric tons of milled rice from February 2023 to August 2023 to enable the Country have adequate stocks to last until next harvest from July- August 2023,” said Harsama.

While imported maize moisture content should not be more than 13.5 per cent, aflatoxins levels are capped under ten parts per billion.

Milled rice is also required to be grade one, dry, clean, wholesome, and uniform in size, color and shape.

“Shall be free from abnormal flavours, musty, sour or other undesirable odour, obnoxious smell and discoloration and also shall be free from micro-organisms and substances originating from micro-organisms, fungi or other poisonous substances in amounts that may constitute a hazard to human health,” he said.

Harsama instructed all interested millers and dealers to submit their registration information within 15 days to the Head/Supply Chain Management Services, Kilimo House.

TEMPO.CO, Jakarta - As Christmas and New Year (Nataru) approaches, the majority of staple food prices have continued to rise in the past week. However, some prices like cayenne pepper, cooking oil, and eggs are experiencing a decline.

As reported by the National Food Agency (Bapanas) Price Panel on Thursday, December 15, 2022, the red cayenne pepper price dropped by 0.10 percent to IDR49,530 per kilogram (kg) compared to a week ago. Chicken egg prices also declined by 0.37 percent to IDR9,940 per kg, packaged cooking oil prices were down by 0.73 percent to IDR17,680 per kg, and bulk cooking oil prices dropped by 0.56 percent to IDR14,260 per kg.

Meanwhile, other staple foods such as rice, soybeans, and beef are experiencing a price increase. Premium rice prices increase by 0.62 percent to IDR13,010 per kg, medium category rice prices increase by 0.62 percent to IDR11,430 per kg, imported soybeans prices increased by 0.41 percent to IDR14,840 per kg, shallots prices rose by 0.68 percent to IDR35,550 per kg, and garlic prices increase by 0.78 percent to IDR25,920 per kg.

Furthermore, prices of curly red chili increased by 1.29 percent to IDR36,870 per kg, pure beef price increased by 1.03 percent to IDR135,940 per kg, bulk wheat flour price increased by 0.45 percent to IDR11,140 per kg, and corn prices increase by 1.76 percent to IDR5,770 per kg.

Meanwhile, the Ministry of Trade (Kemendag) ensured that prices and stocks of food staples (bapok) are relatively safe, especially in preparation for Christmas 2022 and New Year 2023 (Nataru).

Minister of Trade Zulkifli Hasan (Zulhas) said that based on the Ministry of Trade's records, although prices of food staples have increased, some recorded a decline, such as the price of rice in modern retail which remains stable, or even lower compared to the permissible highest retail price (HET). Meanwhile, Bulog's (Indonesian Bureau of Logistics) rice prices remained unchanged. In addition to rice, chicken meat prices also decreased.

"Overall, the stock is available and the price is stable. Therefore, once again the stock is available, and the price is stable. We are doing everything we can to keep stock of staple foods safe," said Zulkifli in his statement on Monday, December 12, 2022.

Zulkifli added that inflation in November 2022 was recorded at 5.42 percent, a number lower compared to the previous month, which was recorded at 5.71 percent.

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 out