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Daily November 13, 2014
Exclusive ORYZA E-Newsletter
DAILYCompiled EXCLUSIVE ORYZA E-NEWSLETTER & Edited by Riceplus Magazine November 13, 2014
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER News Headlines…
Brazil Paddy Rice Index Increases 0.5% from Last Week Cambodia Seeks China Support to Enhance Rice Infrastructure Conab Estimates Brazil 2014-15 Paddy Rice Production at 12.51 Million Tons, Down 3% from Last Year Global Rice Quotes Myanmar Plans to Support Rice Farmers with Extra Loans Thailand NLA Defers Ex-Premier Impeachment Hearing Oryza Overnight Recap - Chicago Rough Rice Futures Attempt to Recover from Recent Losses as Corn and Soy Provide Support Oryza Afternoon Recap - Chicago Rough Rice Futures Bounce Higher as Market Recovers to back above $12.000 per cwt Thailand, Vietnam Rice Quotes Lower Today; Other Asia Rice Quotes Unchanged USDA Post Estimates Vietnam MY 2013-14 Rice Exports at 6.5 Million Tons, Down 3% from Last Year Vietnam Exports 604,583 Tons of Rice in September 2014; Down 5% m/m and Up 22% y/y
News Detail... Brazil Paddy Rice Index Increases 0.5% from Last Week Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
Nov 12, 2014
The Brazilian paddy rice index maintained by CEPEA reached around 37.07 real per 50 kilograms as of November 11, 2014, up about 0.5% from around 36.9 real per 50 kilograms recorded on November 04, 2014. In terms of USD per ton, the index reached around $289 per ton on November 11, 2014, down about 1.3% from around $293 per ton recorded on November 04, 2014. Tags: Brazil paddy rice index, Brazil CEPEA index
Cambodia Seeks China Support to Enhance Rice Infrastructure Nov 12, 2014
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
The Cambodian Rice Federation (CRF) is planning to seek financing from China's ExportImport Bank (Ex-Im) to enhance the country's rice infrastructure such as warehouses and post-harvest facilities, according to local sources.The President of the CRF was quoted as saying that a working group from the Federation is preparing a proposal highlighting the current status of the Cambodia rice sector, existing infrastructure and the existing gaps to submit to the Ex-Im Bank. Cambodia targets to export around one million tons of rice by 2015 and in order to achieve the target the country's rice sector is keen on upgrading the country's milled rice export capacity. The CRF President noted that they have still not arrived at the exact amount of funds needed to upgrade their infrastructure, adding that the working group is analyzing the same. Earlier, the CRF President hinted that the country's rice sector may need around $500 million financial assistance to enhance capacity infrastructure, including warehouses, dryers and silos. The CRF would submit the proposal to the government for its approval. Once approved, they would sign a loan agreement with China's Ex-Im Bank next month.In September, Cambodia has launched its first large-scale paddy rice bank with an aim to support the local rice industry by way of purchasing, storing and drying rice, as well as helping farmers by disbursing loans in exchange for paddy put up as collateral. Cambodia exported around 269,370 tons of rice in January - September 2014, up about 1.2% from around 266,123 tons exported during the same period in 2013, according to the Secretariat One Window Service (SOWS-REF) under the Ministry of Trade. USDA estimates Cambodia to export around 1 million tons of rice in 2014, including both official and unofficial exports to Vietnam. Tags: Cambodia rice sector, Cambodia rice exports
Conab Estimates Brazil 2014-15 Paddy Rice Production at 12.51 Million Tons, Down 3% from Last Year Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
Nov 12, 2014
Brazil’s National Grains Supply Company (Conab) has forecasted the country's 2014-15 paddy rice production at around 12.51 million tons, down about 3% from around 12.162 million tons in 2013-14. Conab increased its projections for Brazil 2014-15 paddy rice production by about 4% from its last month's projection of around 11.99 million tons.
Conab has estimated Brazil's 2014-15 paddy rice acreage to around 2.372 million hectares, Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
slightly down from around 2.387 million hectares in 2013-14 and about 1% lower from its previous month's projection of around 2.39 million hectares. Paddy rice acreage in the key rice growing Centro-Sul (Center-South) region is projected at 1.573 million hectares in 2014-15, slightly down from around 1.579 million hectares in 2013-14. Rice acreage in the North/Northeast regions is estimated at around 799,700 hectares, down about 1% from around 808,400 hectares in 2013-14. Average rice yield in Brazil in 2014-15 is projected at around 5.271 tons per hectare, up about 3% from around 5.095 tons per hectare recorded in the previous year, and down about 1% from its last month's projection of around 5.314 tons per hectare.USDA estimates Brazil MY 2014-15 (April – March) paddy rice production at around 12.28 million tons (around 8.35 million tons, basis milled), slightly up from around 12.2 million tons (around 8.3 million tons, basis milled) in MY 2013-14. It estimates Brazil’s 2014-15 paddy rice acreage at around 2.45 million tons, up about 2% from around 2.4 million tons produced in MY 2013-14. USDA estimates Brazil to export around 900,000 tons of rice and import around 700,000 tons of rice in 2014. Tags: Conab, Brazil paddy rice production, Brazil paddy rice acreage, Brazil yields
Global Rice Quotes November 12th, 2014 Long grain white rice - high quality Thailand 100% B grade 420-430 Vietnam 5% broken 430-440 India 5% broken 410-420 Pakistan 5% broken 395-405 Cambodia 5% broken 465-475 U.S. 4% broken 540-550 Uruguay 5% broken 595-605 Argentina 5% broken 595-605 Long grain white rice - low quality Thailand 25% broken NQ ↔ Vietnam 25% broken 390-400 Pakistan 25% broken 350-360 Cambodia 25% broken NQ ↔ India 25% broken 370-380 U.S. 15% broken 510-520
↓ ↔ ↔ ↔ ↔ ↔ ↔ ↔
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Long grain parboiled rice Thailand parboiled 100% stxd 405-415 ↓ Pakistan parboiled 5% broken stxd 425-435 India parboiled 5% broken stxd 390-400 ↔
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
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% 850-860 Vietnam Jasmine 555-565 ↓ India basmati 2% broken NQ ↔ Pakistan basmati 2% broken NQ ↔ Cambodia Phka Malis 835-845 ↔ Brokens Thailand A1 Super 330-340 ↔ Vietnam 100% broken 330-340 ↔ Pakistan 100% broken stxd 320-330 Cambodia A1 Super NQ ↔ India 100% Broken stxd 310-320 Egypt medium grain brokens NQ ↔ U.S. pet food 445-455 ↔ Brazil half grain NQ ↔
↔ ↔ ↓
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All prices USD per ton, FOB vessel, oryza.com
Myanmar Plans to Support Rice Farmers with Extra Loans Nov 12, 2014
The Myanmar government is considering to support rice farmers who are struggling with declining prices and lack of demand after China banned rice imports through the northern borders of Myanmar citing them as illegal in August. The Ministry of Cooperatives has decided to provide $500 loan to each rice farmer for helping them sustain crops in 2015, according to local sources.The Ministry has sought a loan of around $300 million from China for the purpose as the Ministry's funds are not sufficient to cover all farmers, according to the Agriculture Minister. He noted that the Ministry is waiting for the Parliament approval while China has agreed to disburse the loan amount. The Agriculture Minister noted that the Ministry is encouraging all eight million rural families to make use of the loans. He added that the low interest rate that China is offering will be passed on to the farmers. Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
The Myanmar Agricultural Development Bank under the Ministry of Agriculture has already disbursed around $197 million to about 2 million farmers who are registered under the Cooperative Small Loan Enterprise (CSLE). The Ministry is planning to include the remaining farmers also under the CSLE. The Ministry provided about K1,000 billion (around $962 million) loans to farmers at 5% interest in the 2014 monsoon season. As paddy prices have declined about 25-30% to around K280,000 - K300,000 per 2.5 tons (around $108 - $116 per ton) from around K400,000 per 2.5 tons (around $155 per ton) in July this year, farmers are not in a position to repay their loans. Therefore, Myanmar farmers' associations are planning to sell the monsoon paddy rice in auctions to cover losses to some extent. The government has also planned to buy paddy rice from farmers at K350,000 per 2.5 tons (around $136 per ton). Myanmar has exported around 630,071 tons of rice in the first six months (April - September) of FY 2014-15, more than double over around 300,000 tons exported during the same period last year, according to local sources. However, after China's banning of imports through border, Myanmar's rice exports have plummeted to around 50,000 tons from around 100,000 tons a month. Myanmar exported record 1.33 million tons of rice in 2012-13, but exports dropped to 1 million tons in MY 2013-14. The government is keen on increasing rice exports and accordingly has put rice at the top of its National Export Strategy for 2014-2019 and is planning to explore newer markets for its rice exports.According to the UN's Food and Agriculture Organization (FAO), average wholesale milled rice prices declined about 10% to around K350,880 (around $350) per ton in October 2014 from around K388,450 (around $400) per ton in August 2014. USDA estimates Myanmar to produce around 12 million tons of rice, milled basis, and export around 1.3 million tons of rice in MY 2013-14 (January - December 2014).a Tags: Myanmar rice prices, Myanmar rice sector
Thailand NLA Defers Ex-Premier Impeachment Hearing Nov 12, 2014
Thailand's National Legislative Assembly (NLA) whip has deferred the former Prime Minister Yingluck Shinawatra's impeachment hearing, which was scheduled for today, in the rice pledging scheme case to November 28, 2014 as the former PM's lawyers requested for the Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
deferment since she has not been given sufficient time to go through the impeachment documents, according to local sources. According to the former PM's lawyers, impeachment documents were handed over to her on November 7 and the hearing was scheduled for today. But they argued that the accused should be intimate about the hearing date at least 15 days in advance.Meanwhile, the National Anti-Corruption Commission (NACC) submitted its impeachment writ on the former PM to the NLA on Monday, November 11, 2014. The NACC stated in the writ that the former PM breached Article 178 of the 2007 charter, Article 11 of the State Administration Act, Article 58 of the Constitution Organic Law on Prevention and Suppression of Corruption Act by twice ignoring warnings by the NACC regarding corruption in the rice pledging scheme.Local sources say the former PM could face a five-year political ban if she is impeached. Tags: Thai rice pledging scheme, National Anti Corruption Commission (NACC)
Oryza Overnight Recap - Chicago Rough Rice Futures Attempt to Recover from Recent Losses as Corn and Soy Provide Support Nov 12, 2014
Chicago rough rice futures for Jan delivery are currently noted 13.5 cents per cwt (about $3 per ton) higher at $11.985 per cwt (about $264 per ton) during early morning floor trading in Chicago. The other grains are seen trading mostly higher: soybeans are currently seen about 1.6% higher, wheat is listed about 0.9% lower and corn is noted about 2.7% higher. U.S. stocks declined on Wednesday, with benchmarks retreating from records, as investors mulled the slowdown in Europe's economy and earnings from Macy's and other retailers. Wednesday data had wholesale inventories rising 0.3% in September, versus expectations for a 0.2% gain. The Dow Jones Industrial Average dropped 75.07 points, or 0.4%, to 17,539.83. The S&P 500 shed 6.3 points, or 0.3%, to 2,033.38, with utilities leading sector losses and materials the best performing of its 10 major sectors. The Nasdaq declined 9.03 points, or 0.2%, to 4,651.54. Gold is currently trading about 0.1% higher, crude oil is seen trading about 0.6% Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
lower, and the U.S. dollar is currently trading about 0.1% higher at 9:00am Chicago time. Tags: chicago rough rice futures, U.S. rice prices, U.S. rice market
Oryza Afternoon Recap - Chicago Rough Rice Futures Bounce Higher as Market Recovers to back above $12.000 per cwt Nov 12, 2014
Chicago rough rice futures for Jan delivery settled 16.5 cents per cwt (about $4 per ton) higher at $12.015 per cwt (about $265 per ton). Rough rice futures bounced nicely today as the market attempts to recover from recent losses which saw prices fall below $12.000 per cwt (about $265 per ton). The other grains finished the day higher; Soybeans closed about 1.5% lower at $10.4775 per bushel; wheat finished higher at $5.4275 per bushel, and corn finished the day higher at $3.7775 per bushel. U.S. stocks wavered on Wednesday, largely erasing a retreat from records, as investors mulled the slowdown in Europe's economy and earnings from Macy's and other retailers. Utilities were hardest hit among the S&P 500's 10 major sectors after the United States and China reached an accord on carbon reductions to curb climate change. Wednesday data had wholesale inventories rising 0.3% in September, versus expectations for a 0.2% gain. Benchmark indexes moderated losses to turn little changed, with the Dow Jones Industrial Average initially shedding 78 points, and lately off a fraction at 17,614.28. The S&P 500 shed almost a point to 2,038.91, with utilities and energy leading sector losses and telecommunications and consumer discretionary the best performing of its 10 major sectors. The Nasdaq added 10.73 point to 4,671.28. Gold is trading about 0.3% lower, crude oil is seen trading about 1.4% lower, and the U.S. dollar is seen trading about 0.3% higher at about 1:00pm Chicago time. Tuesday, there were 503 contracts traded, up from 350 contracts traded on Monday. Open interest – the number of contracts outstanding – on Tuesday increased by 14 contracts to 9,826. Tags: chicago rough rice futures, U.S. rice prices, U.S. rice market
Thailand, Vietnam Rice Quotes Lower Today; Other Asia Rice Quotes Unchanged Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
Nov 12, 2014
Thailand rice sellers lowered their quotes for 5% broken rice and parboiled rice by about $5 per ton each and lowered their quotes for Hommali rice by about $15 per ton today. Vietnam rice sellers lowered their quotes for Jasmine rice by about $5 per ton today. Asia rice sellers kept their quotes mostly unchanged today. 5% Broken Rice Thailand 5% rice is quoted at around $405 - $415 per ton, down about $5 per ton from yesterday and about $25 per ton discount to Vietnam 5% rice shown at around $430 - $440 per ton. India 5% rice is quoted at around $410 - $420 per ton, about $15 per ton premium on Pakistan 5% rice quoted at around $395 - $405 per ton. 25% Broken Rice
Thailand 25% rice was last quoted at around $350 - $360 per ton, about $40 per ton discount to Vietnam 25% rice shown at around $390 - $400 per ton. India 25% rice is quoted at around $370 - $380, about $20 per ton premium on Pakistan 25% rice quoted at around $350 - $360 per ton. Parboiled Rice Thailand parboiled rice is quoted at around $405 - $415 per ton, down about $5 per ton from yesterday. India parboiled rice is quoted at around $390 - $400 per ton, about $35 per ton discount to Pakistan parboiled rice quoted at around $425 - $435 per ton. 100% Broken Rice Thailand broken rice, A1 Super, is quoted at around $330 - $340 per ton, on par with Vietnam 100% broken rice shown at around $330 - $340 per ton. India's 100% broken rice is shown at around $310 - $320 per ton, about $10 per ton discount to Pakistan broken sortexed rice quoted at around $320 - $330 per ton. Tags: Vietnam rice prices, India rice prices, pakistan rice prices, Thailand rice prices
USDA Post Estimates Vietnam MY 2013-14 Rice Exports at 6.5 Million Tons, Down 3% from Last Year Riceplus Magazine wwww.ricepluss.com mujahid.riceplus@gmail.com Cell: +92 321 369 2874
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
Nov 12, 2014
USDA Post has estimated Vietnam's MY 201314 (January 2014 December 2014) rice exports at around 6.5 million tons, down about 3% from around 6.7 million tons exported in MY 2012-13 due to expected strong competition from Thailand, India, Pakistan and emerging exporters such as Cambodia and Myanmar. It estimates Vietnam's MY 2014-15 rice exports to increase to 6.7 million tons. The Post estimates Vietnam MY 2013-14 paddy rice production at around 45.058 million tons (around 28.16 million tons, basis milled), up about 2% from around 44.059 million tons (around 27.537 million tons, basis milled) produced in MY 2013-14 and slightly up from USDA official estimates of around 44.477 million tons (around 28 million tons, basis milled) due to an estimated higher yield in the Spring and Autumn crops. USDA estimates Vietnam MY 2014-15 paddy rice production to increase to around 45.19 million tons (around 28.24 million tons, basis milled) due to expected higher yields from spring and autumn crops.Acreage for spring and autumn crops has declined due to farmers' apprehensions from increasing competition from Thailand. The Ministry of Agriculture and Rural Development (MARD) also planned to shift around 260,000 hectares of paddy land to other crops by 2015 and around 510,000 hectares by 2020 to keep a check on imports of other agricultural products such as corn, soybeans, sesame and vegetables. The Post estimates Vietnam’s ending stocks to decline considerably if it exports more rice in MY 2013-14. Vietnam's ending stocks declined about 28% y/y to around 624,000 tons in MY 201213 due to an increase of rice consumption and residual. Tags: Vietnam paddy production, Vietnam rice exports, Ministry of Agriculture and Rural Development
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
(MARD)
Vietnam Exports 604,583 Tons of Rice in September 2014; Down 5% m/m and Up 22% y/y Nov 12, 2014
Vietnam has exported around 604,583 tons of rice in September 2014, down about 5% from around
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November 13, 2014
DAILY EXCLUSIVE ORYZA E-NEWSLETTER
636,545 tons exported in August 2014, and up about 22% from around 496,103 tons exported in September 2013, according to USDA. While share of Vietnam's rice exports to Asia and Africa declined during the month, share to Europe, Americas and Australia increased.
Asia accounted for around 391,077 tons (about 65% of total rice exports by Vietnam in September 2014), down about 20% from around 490,705 tons exported in August 2014, and up about 28% from around 306,079 tons exported in September 2013.Vietnam exported around 88,987 tons of rice to Africa (about 15% of total rice exports by Vietnam in September 2014), down about 26% from around 120,175 tons exported in August 2014, and down about 38% from around 143,240 tons exported in September 2013.Vietnam exported around 79,075 tons of rice to American destinations (about 13% of total rice exports by Vietnam in September 2014), about 13 times more than 6,017 tons exported in August 2014, and three times higher than 26,716 tons exported in September 2013. Vietnam's exports to Australia (about 4% of total rice exports by Vietnam in September 2014) increased about 18 times to around 24,230 tons from around 1,359 tons exported in August 2014 and about 15 times from around 1,636 tons exported in September 2013.Vietnam's exports to Europe and CIS countries (about 4% of total rice exports by Vietnam in September 2014) accounted for around 21,214 tons, up about 16% from around 18,289 tons exported in August 2014 and up about 15% from around 18,432 tons exported in September 2013. In terms of grade, 15% broken rice exports accounted for around 165,873 tons (or, about 27% of total exports in September 2014); 5% broken rice exports accounted for around 156,780 tons (or, about 26% of total September exports); Jasmine rice exports accounted for around 153,573 tons (or, about 25% of total September exports); 25% broken rice exports accounted for around 11,506 tons (or, about 2% of total exports in September 2014), glutinous rice exports accounted for around 69,522 tons (or, about 11% of total September exports); and 10%, 100% and other varieties accounted for around 47,329 tons (or, about 8% of total exports in September 2014). Tags: Vietnam rice exports, Vietnam rice exports to Asia, Vietnam rice exports to Africa, Vietnam rice exports to Europe, Vietnam rice exports to Australia
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