October 28,2014 Daily Exclusive ORYZA E-Newsletter by Riceplus Magazine

October 28, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER

Riceplus Magazine wwww.ricepluss.com
mujahid.riceplus@gmail.com Cell: +92 321 369 2874

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Daily Exclusive ORYZA E-Newsletter
Compiled & Edited by Riceplus Magazine
www.ricepluss.comm
October 28, 2014
October 28, 2014


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News Headlines

Bangladesh Plans to Procure 300,000 Tons of 2014-
15 Aman Rice
Global Rice Quotes
Ghana Adopts Briquetting Technology to Boost
Rice Production
Guyana Rice Exports Sector Can Survive Even
without Venezuela's PetroCaribe Deal, Says
Agriculture Minister
India, Pakistan Rice Sellers Decrease Some of Their
Quotes Today; Other Asia Rice Quotes Unchanged
Regional Rice Program Planned for Africa
Oryza Afternoon Recap - Chicago Rough Rice
Futures Tumble despite Rally in Grain Markets
Nigeria Steps up Efforts to Boost Rice Production
Oryza U.S. Rough Rice Recap - Silent Market
ahead of Nasty Weather; USDA Estimates 96%
of Crop Harvested
Oryza Overnight Recap - Chicago Rough
Rice Futures Little Changed despite Support
from Rising Grains

October 28, 2014


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News Detail
Bangladesh Plans to Procure 300,000 Tons of
2014-15 Aman Rice
Oct 27, 2014
The Bangladesh government has decided to procure around
300,000 tons of rice from the ongoing Aman crop (April -
December), according to local sources.The government has
increased the procurement price to around Tk 32 per kilogram
(around $412 per ton) from around Tk 30 per kilogram (around
$387 per ton) last year due to increase in production costs. The
government fixed the production costs for husked rice (milled
rice) at around Tk 28 per kilogram (around $355 per ton), up
about 10% from around Tk 25.42 per kilogram (around $322 per
ton).
Aman rice procurement will go on from November 15, 2014 to February 28, 2015. According to
Bangladesh's Directorate General of Food (DGF), the government is planning to procure a total
of 1.5 million tons of rice locally during FY 2014-15 (July - June). The government targets
around 12.996 million tons of rice from the Aman crop.Meanwhile the Bangladesh government,
which last week said that it was waiting for Sri Lank's consent over export price, today
announced that the government will export 50,000 tons of rice to Sri Lanka at about $450 per ton
following a meeting with the Food Planning and Monitoring Commission, according to local
sources.
The Minister told local reporters that the government will sign a government-to-government
(G2G) contract with Sri Lanka over the next ten days. Bangladesh government, which extended a
ban on its non-aromatic rice exports to FY 2014-15 (July - June) to ensure food security in the
country, had agreed to export 50,000 tons of rice to Sri Lanka as its rice production this year is
likely to be impacted by a severe drought.
The government has assured that the current rice stocks are adequate to meet the country's
consumption needs. According to the Ministry of Food, the country has around 1.145 million
tons of rice stocks as on October 26, 2014, up about 50% from stocks of about 762,000 tons
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during same pariod last year.Bangladesh produced around 34.36 million tons of rice in 2013-14,
up about 2% from around 33.76 million tons last year, according to data from Bangladesh
Bureau of Statistics (BBS).USDA estimates Bangladeshs MY 2014-15 (July 2014 June 2015)
milled rice production to slightly increase to about 34.6 million tons from an estimated 34.39
million tons in MY 2013-14. It estimates Bangladesh to import 678,000 tons of rice in 2014 and
around 500,000 tons of rice in 2015.
Tags: Bangladesh rice procurement, Bangladesh rice stocks, Bangladesh rice exports

Global Rice Quotes
October 27th, 2014

Long grain white rice - high quality
Thailand 100% B grade 435-445
Vietnam 5% broken 440-450
India 5% broken 415-425
Pakistan 5% broken 390-400
Cambodia 5% broken 465-475
U.S. 4% broken 440-450
Uruguay 5% broken 595-605
Argentina 5% broken 595-605

Long grain white rice - low quality
Thailand 25% broken NQ
Pakistan 25% broken 345-355
Cambodia 25% broken 450-460
India 25% broken 370-380
U.S. 15% broken 510-520

Long grain parboiled rice
Thailand parboiled 100% stxd 420-430
Pakistan parboiled 5% broken stxd 425-435
India parboiled 5% broken stxd 400-410
U.S. parboiled 4% broken 580-590
Brazil parboiled 5% broken 585-595
Uruguay parboiled 5% broken NQ

Long grain fragrant rice
Thailand Hommali 92% 925-935
Vietnam Jasmine 575-585
October 28, 2014


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India basmati 2% broken NQ
Pakistan basmati 2% broken NQ
Cambodia Phka Malis 880-890

Brokens
Thailand A1 Super 340-350
Pakistan 100% broken stxd 320-330
Cambodia A1 Super 360-370
India 100% Broken stxd 320-330
Egypt medium grain brokens NQ
U.S. pet food 445-455
Brazil half grain NQ

All prices USD per ton, FOB vessel, oryza.com
Ghana Adopts Briquetting Technology to
Boost Rice Production
Oct 27, 2014
As part of its efforts to increase rice production and reduce
dependence on imports, the Ghanaian government has adopted
briquetting technology of fertilizer application, which helps
farmers to provide adequate nutrients to rice plants and thereby
increase yields, according to local sources.In the briquetting
technology, periled urea/fertilizer is converted into pallets, which
can be inserted among rice plants so that they receive the right
amount of fertilizer. Usually one pallet is inserted between four
rice plants. The briquetting technology has been introduced along
with the deep placement technology to around 2,000 rice farmers
in the Northern and upper East regions.
The technology has been introduced to the Ghana rice farmers by the Feed the Futute United
States Agency for International Development (USAID) under its Agriculture Technology
Transfer project in collaboration with a private fertilizer supplying company in Ghana.The chief
operator of technology at the private company told local sources that under traditional fertilizer
application method, nearly 60% of the urea applied would be washed away or lost through
October 28, 2014


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leaching or evaporation.
The briquetting technlogy would prevent such fertilizer losses.Ghana produces only 35% of the
required demand of around 975,000 tons and imports the rest. Ghana's annual rice import bill
stood at $306 million in 2013 and the government is planning to increase rice production by
about 20% per annum over the next four years to make Ghana self-sufficient in rice. It is
targeting at least 13% surplus rice production by 2018.
The government has also sought technical support from Turkey, India and the Dutch to increase
rice production in the country. It also developed a national rice seed map (NRSRM) to ensure
self-sufficiency in quality rice seed production by 2018.According to the USDA, Ghanas rice
production is estimated at about 330,000 tons (milled basis) in MY 2014-15 (October -
September). The U.S. agency expects Ghana to import 620,000 tons of rice during the year to
meet consumption needs of around one million tons of rice.
Tags: Ghana rice production, Ghana rice imports briquetting technology, fertilizer application

Guyana Rice Exports Sector Can Survive
Even without Venezuela's PetroCaribe Deal,
Says Agriculture Minister
Oct 27, 2014 Guyana, which has been very
dependent on Venezuela to enhance its rice
exports till recently, is now confident of surviving
in the international market without much
dependence on its neighboring country, according
to local sources.Guyana renewed the existing oil-
for rice deal (also known as PetroCaribe Energy
Cooperation Agreement) with Venezuela this year
to supply around 110,000 tons of white rice and
around 88,000 tons of paddy to the neighboring
country this year. But owing to uncertain political conditions in Venezuela, experts have been
expressing concerns whether the PetroCaribe deal would continue.
Guyana has been searching for newer markets to export its surplus rice to reduce dependence on
Venezuela. Along with traditional markets like Venezuela, Jamaica and Europe, the country
October 28, 2014


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sealed new contracts with Panama, Guatemala and Nicaragua. According to the country's
Agriculture Minister, the South American nation has exported around 401,000 tons of rice as of
October 21, 2014 and still has export commitments of around 137,000 tons before the year-end.
He noted that the country's exports are likely to cross 500,000 tons mark in 2014. He also
expressed confidence that the country's rice production would be over 600,000 tons this year.
With so much development on the export front, the Agriculture Minister told local sources that
the country's rice exports are in a position to survive even if the PetroCaribe rice for oil
agreement with Venezuela falls through. Venezuela's oil exports are expected to decline to
around $20 billion from around $35 billion due to fall in oil prices from around $100 per barrel
to the current $82.70 per barrel. In this background, experts say Venezuela may be forced to
withdraw its PetroCaribe deal.The South American country exports about 70% of its annual rice
production and has been in search of lucrative destinations for its rice exports. Last month,
Guyana has signed a five-year rice export deal with Panama to supply 5,000 tons of rice per
month beginning September to Panama.
However, Guyana rice exporters and millers say Venezuela is a lucrative market for Guyanese
rice and also pays comparatively higher prices that the European and Caribbean
countries.Guyana produced around 535,000 tons of rice and exported around 395,000 tons in
2013, according to the Agriculture Minister.USDA estimates the country to produce 570,000
tons of milled rice in the MY 2014-15 (January 2014 - December 2014) and export about
450,000 tons. The country's consumption needs during the year are estimated at 145,000 tons.
The UN's Food and Agriculture Organization (FAO) estimates Guyana to produce 570,000 tons
of milled rice and export around 460,000 tons in 2014.
Tags: Guyana Rice Sector, Guyana rice exports, Guyana rice production

India, Pakistan Rice Sellers Decrease Some of
Their Quotes Today; Other Asia Rice Quotes
Unchanged
Oct 27, 2014
India rice sellers decreased their quotes for parboiled rice by about $5 per ton to around $400 -
$405 per ton from Friday. Pakistan rice sellers decreased their quotes for 5%, 25% and 100%
broken rice by about $5 per ton each to around $390 - $400 per ton, around $345 - $355 per ton
October 28, 2014


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and around $320 - $330 respectively. Other Asia rice sellers kept their quotes mostly unchanged
today.
5% Broken Rice
Thailand 5% rice is quoted at around $420 - $430 per ton, about $20 per ton discount to Vietnam
5% rice shown at around $440 - $450 per ton. India 5% rice is quoted at around $415 - $425 per
ton, about $25 per ton premium on Pakistan 5% rice quoted at around $390 - $400 per ton.
25% Broken Rice
Thailand 25% rice was last quoted at around $350 - $360 per ton, about $50 per ton discount to
Vietnam 25% rice shown at around $400 - $410 per ton. India 25% rice is quoted at around $370
- $380 and about $25 per ton premium on Pakistan 25% rice quoted at around $345 - $355 per
ton.
Parboiled Rice
Thailand parboiled rice is quoted at around $420 - $430 per ton. India parboiled rice is quoted at
around $400 - $410 per ton about $25 per ton discount to Pakistan parboiled rice quoted at
around $425 - $435 per ton.
100% Broken Rice
Thailand broken rice, A1 Super, was last quoted about $340 - $350 per ton, about $5 per ton
premium on Vietnam 100% broken rice shown at around $335 - $345 per ton. India's 100%
broken rice is shown at around $320 - $330 per ton on par with Pakistan broken sortexed rice.
Tags: India rice prices, pakistan rice prices, Thailand rice prices, Vietnam rice prices
Regional Rice Program Planned for Africa
Oct 27, 2014

The UN's Food and Agriculture Organization (FAO) and Africa Rice Center (AfricaRice) are
planning to develop a regional rice program for Africa with the support of the Coalition of
African Rice Development (CARD), according to a news release on the AfricaRice website.The
program will seek to synergize efforts of the FAO and AfricaRice to build a broad partnership
October 28, 2014


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with governments, the private sector, research institutions, producer organizations and donors to
develop an vibrant rice-growing sector in the continent.
The Deputy Director of AfricaRice explained the
modalities of the expected regional rice program to
the delegates of the FAO. He noted the AfricaRice, a
pan-African organization of 25 member o has
"tremendous leveraging capacity for rice research,
development and training." AfricaRice Director of
Partnership and Capacity added that the program will
help to build more coherent rice development efforts
in Africa.
AfricaRice has been instrumental in developing and launching several high-yielding rice
varieties under the 'ARICA' brand as well as providing small-scale, locally adapted postharvest
machinery and processing equipment to African rice farmers.
The FAO Assistant Director-General and Regional Representative for Africa said, AfricaRice
has excellent research findings and innovation to out-scale and replicate in countries across
Africa. He added that the FAO seeks to support AfricaRice in stimulating national, regional and
global partnerships to develop Africas rice sector, as part of the efforts of CARD and under the
overall framework of the Comprehensive Africa Agriculture Development Programme
(CAADP) according to a Declaration of the Third Africa Rice Congress held last October.
Most of the African countries are net importers of rice and are keen on increasing local rice
production and cut down on imports. The new regional rice development program may be a
milestone in that regard.
Tags: AfricaRica, FAO, Regional Rice Program
Oryza Afternoon Recap - Chicago Rough
Rice Futures Tumble despite Rally in Grain
Markets
Oct 27, 2014
Chicago rough rice futures for Nov delivery settled 17 cents per cwt (about $4 per ton) lower at
$12.235 per cwt (about $270 per ton). Rough rice futures tumbled today despite rallying grains
October 28, 2014


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in neighboring pits. The market was unable to capture any spillover support and continued lower
as the technical outlook remains bearish. The other grains shot higher today, led by huge gains
for soy products with meal rocketing over 7.5% higher today; Soybeans closed about 2.9%
higher at $10.0600 per bushel; wheat finished about 1% higher at $5.2375 per bushel, and corn
finished the day about 2.8% higher at $3.6300 per bushel.
U.S. stocks drifted lower on Monday, retreating after the market's best week of the year, after the
cost of crude fell to a two-year low and investors sorted through quarterly earnings and global-
growth concerns. The European Central Bank on Sunday said about one in five of the euro-area
major lenders failed stress tests at the end of 2013, but most have since fixed their finances. After
a 75-point drop and 31-point gain, the Dow Jones Industrial Average was lately off 3.43 points to
16,801.98. The S&P 500 declined 4.61 points, or 0.2%, to 1,959.97, with energy the weakest
sector and telecommunications faring best among its 10 major industries. The Nasdaq shed 5.34
points, or 0.1%, to 4,478.19. Gold is trading about 0.2% lower, crude oil is seen trading about
0.2% lower, and the U.S. dollar is seen trading about 0.3% lower at about 1:50pm Chicago time.
Friday, there were 2,164 contracts traded, up from 1,722 contracts traded on Thursday. Open
interest the number of contracts outstanding on Friday increased by 82 contracts to 10,371.
Tags: chicago rough rice futures, U.S. rice prices, U.S. rice market
Nigeria Steps up Efforts to Boost Rice
Production
Oct 27, 2014 The Nigerian government, which is keen
on increasing local rice production and ban imports by
the end of 2015, is stepping up efforts in that direction,
according to local sources.In a latest development, the
Federal Government of Nigeria has signed a
Memorandum of Understanding (MoU) with the Bank
of Industry (BOI) to enhance rice milling capacity in
the country. According to the MoU, the BOI will
provide funds of about N13.6 billion (around $82.3
million) to the government to invest in nearly ten
medium sized rice mills and six high quality cassava mills across the country.
The CEO of the BOI told local sources that the funds will aid the government to successfully
take forward the agricultural transformation agenda (ATA), under which it aims to become self-
October 28, 2014


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sufficient in rice production by 2015. He noted that the government has been taking several
initiatives to increase rice production in the country and there has been significant increase in
production this year. However, the set up of ten medium-sized rice mills would strengthen the
rice processing industry in the country.
Under the MoU, the government plans to set up rice mills each with a rice milling capacity of
36,000 tons and sell them to private parties who can run them efficiently. These mills are likely
to be located in the states of kebbi, Zamfara, Kaduna, Kano, Benue, Kogi, Bayelsa, Bauchi,
Ogun and Anambra.
The Agriculture Minister added that the government has been effectively dealing with the private
sector to boost rice production in the country. He noted that the government could attract nearly
$1.6 billion investment into the rice sector over the last three months. With the current
investment, the government would be able to achieve its rice-sufficiency target and even be able
to export rice within the next three years.
Nigeria is a net importer of rice and imports over 50% of its annual rice consumption needs.
USDA estimates the country to produce 2.55 million tons of milled rice in the MY 2014-15
(October 2014 - September 2014) and import about 3.5 million tons. The country's consumption
needs during the year are estimated at around 6.1 million tons.
Tags: Nigeria rice production, nigeria rice imports

Oryza U.S. Rough Rice Recap - Silent
Market ahead of Nasty Weather; USDA
Estimates 96% of Crop Harvested
Oct 27, 2014
The U.S. cash market was silent today as many farmers in the Arkansas were busy in their fields
either working ground or harvesting their crops ahead of a big storm in the forecast tomorrow.
As of today, offers remain firm near $12.50-$12.75 per cwt fob farm (about $276-$281 per ton)
while bids were unchanged near $12.15-$12.45 per cwt (about $268-$274 per ton) for November
delivery; however, there was limited selling interest at these levels.
October 28, 2014


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In the meantime, the USDA estimates that as of Oct 26, 96% of the U.S. rice crop has been
harvested which was 5% greater than the previous 5-year average. As of now, the USDA
estimates that 95% of the rice crop in Arkansas has been harvested compared to 95% in
California, 100% in Louisiana, 96% in Mississippi, 91% in Missouri, and 100% in Texas.
Tags: U.S. rice prices, U.S. rice market
Oryza Overnight Recap - Chicago Rough
Rice Futures Little Changed despite Support
from Rising Grains
Oct 27, 2014
Chicago rough rice futures for Nov delivery are currently noted 1 cent per cwt (about $0.22 per
ton) lower at $12.395 per cwt (about $273 per ton) during early morning floor trading in
Chicago. The other grains are seen trading higher: soybeans are currently seen about 0.7%
higher, wheat is listed about 0.6% higher and corn is noted about 1.2% higher. U.S. stocks
moderated Monday losses, with the Dow Jones Industrial Average rising, after the cost of crude
fell to a two-year low and investors sorted through quarterly earnings that included Merck & Co.
narrowing its outlook for the full year. In a report released late Sunday, Goldman Sachs cut its
2015 outlook for oil prices, saying it expects U.S. benchmark West Texas Intermediate crude to
drop to $75 a barrel and Brent to $85 a barrel in the first quarter of 2015. A read of existing-
home sales had them holding virtually flat in September. The National Association of Realtors
reporting signed contracts to buy existing home rose only 0.3% last month from August. German
business sentiment declined in October for a sixth consecutive month, increasing worries about
Europe's biggest economy.
Bouncing back from a 75-point deficit, the Dow Jones Industrial Average was lately up 19.30
points, or 0.1%, at 16,824.71. The S&P 500 declined 1.70 point, or 0.1%, to 1,962.88, with
energy the weakest sector and telecommunications faring best among its 10 major industries. The
Nasdaq shed 1.19 point to 4,482.58. Gold is currently trading about 0.3% lower, crude oil is seen
trading about 0.8% lower, and the U.S. dollar is currently trading about 0.3% lower at 9:45am
Chicago time.
Tags: chicago rough rice futures, U.S. rice prices, U.S. rice market

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DAILY EXCLUSIVE ORYZA E-NEWSLETTER

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