29th January ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

8/20/2019 29th January ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

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Daily Exclusive ORYZA Rice E-Newsletter

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

January 29,2016

Vol 6,Iss


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Indonesia Hopes to Control Price Hikes with

Sufficient Supplies

Jan 28, 2016

The government of Indonesia is planning to prioritize achieving a supply-demand balance tocontrol rice and food price hikes, Tempo.Co quoted the Trade Minister as saying.

"The ups and downs in prices are market signals. We do not wish to be inflexible as we try tocontrol prices but would rather decide on the best course of action to restrain prices from rising,"he said. "If the prices were too high, some sort of incentive or market operation could be carriedout, and if prices are too low, more stocks would be bought," he added.

He noted that in order to exercise this activity, the government needs to check and enhance the

capacity of warehouses. He assured that the government was already in the process of buildingmore warehouses.

The Minister stated that a mechanism to set the floor and ceiling prices for various commodities,including rice, would be proposed at a coordination meeting involving all the concerned officersand Ministers.


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According to the Staples Market Monitoring System of the Trade Ministry, the average retail price of the medium-quality rice increased to Rp 10,904.55 per kilogram (around $787 per ton)this week from around 10,748.14 per kilogram (around $776 per ton) in December last week.The Ministry stated that prices increased despite an increase of supply.

Based on the data of staples price development of the Ministry, rice supply at the Cipinang RiceMarket increased about 17.61% y/y as of January 18, 2016.

The President reportedly held a meeting with the Chief Economic Minister, Agriculture Minister,Trade Minister and other concerned Ministers, to discuss the issue of increase in food prices overthe past few weeks.

Bangladesh Plans to Build Five

Steel Silos to Store 345,000 Tonsof Rice; May Invite Bids in August

2015Jan 28, 2016

The government of Bangladesh is planning to build five steel silos with total capacity to store

about 345,000 tons of rice, Bloomberg quoted a news release by the Directorate General of Food.

It is proposing to build rice silos of 48,000 tons capacity each in Dhaka, Narayangani, Barisal,Madhupur, Mymensingh and a silo of 105,000 tons capacity in Ashuganj.

The government is also proposing to build two wheat silos of 190,500 tons capacity inChittagong (114,300 tons) and Maheshwaspasha (76,200 tons).

The Bangladesh government is planning to invite bids from interested companies in August.Meanwhile, it has asked interested companies to submit application by March 14, 2016 for pre-qualification purposes. Companies can apply for pre-qualification of one or more contracts.

India 2015-16 Winter Crop Rice Planting So

Far Lags Behind Last Year

Jan 28, 2016


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India 2015-16 winter/rabi rice (November - May) planting area has reached around 2.241 millionhectares as of January 28, 2016, down about 7% from around 2.408 million hectares plantedduring the same period in 2014-15, according to a press release by the Ministry of Agriculture.

The decline is reportedly due to scanty rains and low moisture in some of the rice growingregions. However, this year's planting is ahead of the previous 4-year average of about 2.0195million hectares.

The total rabi planting of all crops stood at around 59.15 million hectares as on January 28, 2015,down about 3% from last year's 60.93 million hectares.

In 2014-15, the rabi rice acreage reached around 4 million hectares, down about 9% from around4.488 million hectares in 2013-14.

Malaysia to Distribute 20 Kilograms of Rice

per Month to Families in Need Under New

Aid Program


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The Malaysian Prime Minister has announced that the government has decided to distribute 20kilograms of rice per month to families registered with the government’s welfare database underthe new aid scheme, according to local sources.

The government reported introduced MyBeras program as one of the recalibration measures inthe 2016 Budget. The program will being from March 1, 2016, and will last until December 31,2016. Around 200,000 people are expected to benefit from the program.

The Prime Minister noted that the program was aimed to reduce the burden of financially weakerfamilies amid the increasing living costs. The Agriculture and Agro-based Industry Ministeradded the Ministry would work with the relevant agencies, including Village Development andSecurity Committees (JKKKs), to identify individuals who deserved the aid. "The governmentwould strive to provide the best quality rice to the recipients through the programme," he said.

MyBeras program will reportedly be implements besides the 1Malaysia People's Aid (BR1M) program.

EU Rice Imports Increase Sharply in

September 1, 2015 - January 19, 2016

Jan 28, 2016

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

increased sharply since the beginning of the crop year 2015-16 (September 1, 2015 - August 31,2016).

The EU imported about 441,465 tons of rice during the period September 1, 2015 - January 19,2016, up about 28% from around 345,163 tons imported during the same period last year.

Japonica rice imports increased about 8% to around 32,114 tons in September 1, 2015 - January19, 2015 period from around 29,619 tons during the same period last year. Indica rice importsincreased about 30% to around 409,351 tons during the said period from around 315,544 tonslast year.

The UK remained the largest importer in September 1, 2015 - January 19, 2016 period witharound 105,407 tons followed by France (78,689 tons), The Netherlands (49,535 tons), Germany(33,480 tons), Poland (31,047 tons) and Italy (30,404 tons). Other EU countries imported112,903 tons.

During the week ended January 19, 2015, the EU imported around 21,941 tons of rice, downabout 17% from around 26,514 tons imported during the week ended January 12, 2015.


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The EU imported around 1.143 million tons of rice in the crop year 2014-15, up about 12.7%from around 1.013 million tons imported in the crop year 2013-14.

Philippines Must Focus on Achieving Rice

Self -Sufficiency as El Nino Impact Lesserthan Expected, Says Official

Jan 28, 2016

The government of the Philippines must focus on achieving rice self-sufficiency as the El Ninoimpact on rice production has been lesser than expected, Bloomberg quoted the EconomicPlanning Secretary.

Speaking at a media briefing in Manila following the release of the GDP data, he noted that

though the government estimated that the El Nino would get worse during November andDecember 2015, the forecast didn't turn out to be true in many provinces.

He also noted that the government is still monitoring the impact of El Nino on rice productionand supplies.


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Yesterday, the National Food Authority (NFA) Administrator said that the government has decided to

stop rice imports for the lean season due to adequate stocks. However, there is reportedly no

information on rice imports under the minimum access volume (MAV).

Oryza U.S. Rough Rice Recap - HigherPrices Seen as U.S. and China Agree to

Phytosanitary Protocol

Jan 29, 2016

The U.S. cash market was slightly firmer today although the trade was mostly quiet as buyersand sellers could not come together on price.

This week’s firming of prices has been partially fueled by news that the U.S. and China havecome to an agreement regarding a phytosanitary protocol that would allow the U.S to export riceto China, the world’s largest importer.

Analysts note that although the agreement has not yet been formally signed, once the first sale toChina is confirmed, it will likely change the sentiment of the market for the foreseeable future.

Global Rice Quotes

January 28th, 2016

Long grain white rice - high quality

Thailand 100% B grade 375-385 ↔Vietnam 5% broken 350-360 ↔India 5% broken 355-365 ↔Pakistan 5% broken 340-350 ↔Myanmar 5% broken 415-425 ↔Cambodia 5% broken 425-435 ↔U.S. 4% broken 465-475 ↔Uruguay 5% broken 465-475 ↔Argentina 5% broken 460-470 ↔

Long grain white rice - low qualityThailand 25% broken 350-360 ↔Vietnam 25% broken 340-350 ↑Pakistan 25% broken 305-315 ↔Cambodia 25% broken 405-415 ↔India 25% broken 325-335 ↔U.S. 15% broken 445-455 ↔


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Long grain parboiled riceThailand parboiled 100% stxd 370-380 ↔Pakistan parboiled 5% broken stxd 405-415 ↔India parboiled 5% broken stxd 345-355 ↔U.S. parboiled 4% broken 500-510 ↔Brazil parboiled 5% broken 520-530 ↔

Uruguay parboiled 5% broken NQ ↔

Long grain fragrant riceThailand Hommali 92% 685-695 ↔Vietnam Jasmine 425-435 ↔India basmati 2% broken NQ ↔Pakistan basmati 2% broken NQ ↔Cambodia Phka Mails 750-760 ↔

BrokensThailand A1 Super 320-330 ↔Vietnam 100% broken 325-335 ↑

Pakistan 100% broken stxd 290-300 ↔Cambodia A1 Super 345-355 ↔India 100% broken stxd 260-270 ↔Egypt medium grain brokens NQ ↔U.S. pet food 280-290 ↔Brazil half grain NQ ↔

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

Thailand Hopes to Regain Top Rice Exporter

Status from India in 2016Jan 28, 2016

The President of the Thai Rice Exporters Association (TREA) expressed optimism that Thai riceexports will increase this year after passing the lowest point for the last three years, according tolocal sources.

Thai 2015 rice exports declined about 10.7% to around 9.8 million tons from around 10.97million tons in 2014. The TREA reported that Thailand lost its top rice exporter status to India,which exported about 10.23 million tons in 2015.

The TREA President attributed the fall in exports to a global economic slowdown. He also notedthat falling oil prices and extending drought conditions in many countries are expected to impactrice trading this year also.

"Thailand's rice shipment this year will not increase. Although world rice production andstockpiles will decrease from the drought impact and more trading, the falling oil price will hit


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the purchasing power of many rice-importing countries, mainly in Africa and the Middle East,"he said. The official noted that rice prices are also unpredictable but may gradually increase by10% on lower supplies.

He, however, noted that Thailand could again reclaim its top rice exporter status from India in

2016 as the South Asian nation expects to export only 8.5 million tons during the year. He alsonoted that there are several positive signs for Thailand's rice exports this year, including thedepreciation of Thai baht, competitive Thai rice prices, and support from the government. "TheCommerce Ministry is also striving to expand the market for Thai rice while maintaining themarket share," he added.

Oryza CBOT Rough Rice Futures Recap -

Chicago Rough Rice Futures Add Slightly to

Gains but Close off of Session High as RecentRally Runs into Resistance

Jan 29, 2016

Chicago rough rice futures for Mar delivery settled 4.5 cents per cwt (about $1 per ton) higher at$11.310 per cwt (about $249 per ton). The other grains finished the day lower; Soybeans closedabout 1.7% lower at $8.6775 per bushel; wheat finished about 0.9% lower at $4.7225 per bushel,and corn finished the day about 1% lower at $3.6550 per bushel.

U.S. stocks tried for gains Thursday, amid declines in biotech stocks, as oil prices rose andFacebook soared on a solid quarterly report. U.S. crude oil futures pared gains but still heldabout 3.5% higher, near $33.50 a barrel in afternoon trade. WTI surged above $34.50 to theirhighest since Jan. 6. Brent traded just above $34 a barrel in afternoon trade after earlier topping$35.50 a barrel on speculation that major producers may cooperate to cut production.

Russian Energy Minister Alexander Novak said Thursday that Saudi Arabia had proposed to cutoil production by up to 5% by each country in order to support weak oil prices, Reuters reported.But Saudi Arabia has not proposed cutting back production or asked Russia to do the same, DowJones reported, citing a senior Gulf OPEC delegate. In afternoon trade, the Dow Jones industrialaverage gained 63 points, or 0.40%, to 16,011. The S&P 500 rose 9 points, or 0.46%, to 1,891,

with energy leading nine sectors higher and health care the only laggard. The Nasdaq compositegained 30 points, or 0.66%, to 4,498. Gold is seen trading about 0.1% lower, crude oil is seentrading about 2.3% higher, and the U.S. dollar is seen trading about 0.4% lower at about 1:45pmChicago time.

Wednesday, there were 429 contracts traded, down from 467 contracts traded on Tuesday.

Open interest – the number of contracts outstanding – on Wednesday increased by 158 contracts to

13,381.


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Vietnam Rice Sellers Increase Some of Their

Quotes Today; Other Asia Rice Quotes

UnchangedJan 28, 2016

Vietnam rice sellers increased their quotes for 25% broken rice and 100% broken rice by about$5 per ton each to around $340-$350 per ton and $325-$335 per ton respectively today. Asiarice sellers kept their quotes mostly unchanged today.

5% Broken Rice

Thailand 5% rice is indicated at around $365 - $375 per ton, about $15 per ton premium on

Vietnam 5% rice shown at around $350 - $360 per ton. India 5% rice is indicated at around $355- $365 per ton, about $15 per ton premium on Pakistan 5% rice shown at around $340 - $350 perton.

25% Broken Rice

Thailand 25% rice is indicated at around $350 - $360 per ton, about $10 per ton premium oVietnam 25% rice shown at around $340- $350 per ton. India 25% rice is indicated at around$325 - $335 per ton, about $20 per ton premium on Pakistan 25% rice shown at around $305 -$315 per ton.

Parboiled Rice

Thailand parboiled rice is indicated at around $370 - $380 per ton. India parboiled rice isindicated at around $345 - $355 per ton, about $60 per ton discount to Pakistan parboiled ricelast shown at around $405 - $415 per ton.

100% Broken Rice

Thailand broken rice, A1 Super is indicated at around $320 - $330 per ton, on par with Vietnam100% broken rice shown at around $320 - $330 per ton. India's 100% broken rice is shown ataround $260 - $270 per ton, about $30 per ton discount to Pakistan broken sortexed rice shown at

around $290 - $300 per ton.

Exclusive News have been shared with written permission of ORYZA.com with thanks

29th January ,2016 Daily Exclusive ORYZA Rice E-Newsletter by Riceplus Magazine

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