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USA Rice Federation is the global advocate of all segments of the U.S. rice industry with a mission to promote and protect the interests of producers, millers, merchants and allied businesses.  
Wednesday, November 12, 2014
USA Rice Talks New Food Security Challenges and Opportunities with USDA, USAID, Others       
 
Whenever there's a need

WASHINGTON, DC -- Last week, the USA Rice Federation joined members of the food aid community to participate in the Food Aid Consultative Group (FACG) to discuss the latest developments and responses in the U.S. government's food security programs. 

 

In addition to an overview of U.S. crop production, including a large rice crop, the meeting focused on the U.S. Department of Agriculture's (USDA) and the U.S. Agency for International Development's food assistance programming for the coming year, particularly on the recent announcement of a new round of funding for USDA's McGovern Dole (MGD) and Food For Progress Programs (FFpr).  Both programs have used significant quantities of rice in the past. 

 

This year's programming will only fund three new initiatives under FFpr in Benin, Ghana, and the Dominican Republic, and five under MGD in Rwanda, Mozambique, Honduras, Sierra Leone, and Cote d'Ivoire.  It is likely that Private Volunteer Organizations (PVOs) will look to program fortified rice in MGD programs which have a strong focus on addressing micronutrient deficiencies in school age children to increase their health and productivity. 

 

"A significant portion of last week's meeting was dedicated to the U.S. government and the World Food Programme's (WFP) response to the Ebola epidemic in the hardest hit countries: Liberia, Sierra Leone, and Guinea," said Sarah Moran, USA Rice's director of International Promotion.  "Agencies are planning for a severe food and nutritional emergency based on the projections of USAID's Famine Early Warning Systems Network. They are focused on potential problems including disruption of food availability, reduced household income, below average rice harvests, the staple food for west Africa, and a reduction in overall household food consumption."

 

WFP is already prepositioning rice to utilize in emergency relief programs and USAID will be looking to ramp up emergency feeding interventions utilizing ready to eat supplements and fortified foods. 

 

USA Rice will be meeting with key contacts in the next month to identify ways to assist in emergency relief efforts utilizing milled and fortified rice. 

 

Contact:  Deborah Willenborg (703) 236-1444

Turkey Announces November 18, 2014 Tender      

Announcement:    Up to 40,000 tons (-5%) paddy

Tender:                  18 November 2014

Shipment Period:  1 December 2014 to 10 January 2015

Delivery Period:    1 December 2014 to 31 January 2015

Place of Delivery:  Mersin, Turkey

Discharge Ports:     Mersin, Tekirdag (TDI port), Bandirma

 

Note: Tender documents (draft contract, technical and administrative specifications) must be taken from TMO General Directorate

 

SPECIFICATIONS OF PADDY RICE FOR IMPORTATION

Year of Production

 

2013 or 2014

Moisture (ISO 712)

(% max)

14.5

Foreign material

(% max)

2.0

Cargo rice

(% max)

10.0

Other types

       -

None of whole or broken

Milling yield

(% min)

55.0

Broken kernel

(% max)

10.0

Damaged kernel

(% max)

2.0

Red kernel and kernel with red streaks

(% max)

2.0

Raw kernel

(% max)

3.0

Chalky kernel

(% max)

3.0

Paddy rice kernel length (mm)

above 7.5 mm

7.5<

Rice kernel length (mm)

above 5.2 mm

5.2<

Ratio of rice kernel length (mm)/rice kernel width (mm)

2.5 and below

≤2.5





Contact:  Eszter Somogyi, 011-49-40-4503-8667

Japan Announces 6th Ordinary Import Tender in FY 2014      

Announcement:                       10 November 2014

Tender:                                    14 November 2014

Offer details:               33,000 mt

 

Country Specified or Global

Non-glutinous milled rice (medium grain)

Non-glutinous milled rice

(long grain)

TOTAL

 

 

 

 

Global Tender

13,000

20,000

33,000

 

Shipping period:         Medium Grain: From 25 December 2014 to 25 January 2015

                                    Long Grain: From 20 December 2014 to 31 January 2015

 

WASDE Report Released Monday 

WASHINGTON, DC -- All rice supplies for 2014/15 are increased slightly from last month due to an increase in production.  U.S. all rice production is forecast at 221.1 million cwt, up 0.2 percent from last month due to an increase in yield.  Average all rice yield is estimated at 7,597 pounds per acre, up 13 pounds per acre from a month ago.  Harvested area is unchanged at 2.91 million acres.  Long-grain rice production is up 200,000 cwt to 160.3 million, and combined medium- and short-grain rice production is raised 100,000 cwt to 60.8 million cwt.

 

On the 2014/15 use side, forecast all rice domestic and residual use and exports are unchanged from a month ago at 131 million cwt and 102 million, respectively.  However, the rough rice export component is raised 1 million cwt to 35 million, up 22 percent from the prior year, and the largest since 2009/10.  Conversely, exports of milled rice are lowered 1 million (rough-rice basis) to 67 million.  Exports of combined medium- and short-grain rice are raised 2 million to 34 million, up 10 percent from 2013/14.  Exports of medium-grain rice are expected to be larger because of forecast tighter supplies in Australia, and a change in the export policy in Egypt that likely will constrain exports.  Australia and Egypt are two principal medium-grain rice competitors of the United States.  Conversely, long-grain rice exports are lowered 2 million cwt to 68 million, still up 10 percent from the prior year.  Long-grain milled rice markets in the Middle East and Africa are expected to be very competitive and likely will favor lower-priced rice sourced from Asia.  U.S. long-grain exports will be strong to markets in the Western Hemisphere.  All rice ending stocks are forecast at 40.9 million cwt, up nearly 1 percent from last month, and an increase of nearly 29 percent from 2013/14.

 

The 2014/15 long-grain rice season-average farm price range is projected at $12.20 to $13.20 per cwt, unchanged from last month.  The combined medium- and short-grain farm price range is projected at $19.00 to $20.00 per cwt, up $1.30 per cwt on each end of the range.  The all rice season-average farm price is forecast at $14.20 to $15.20 per cwt, up 40 cents per cwt on each end of the range.  Tight supplies of combined medium- and short-grain rice in California along with reduced supplies among the major competitors including Australia and Egypt are expected to support prices.  Conversely, a larger supply of lower priced Southern medium-grain rice will limit the increase in the total medium- and short-grain farm price.

 

Global 2014/15 ending stocks are lowered 5.7 million tons or nearly 5.5 percent due to a decrease in total supplies and an increase in consumption.  Total supplies for 2014/15 are lowered 4.4 million tons due mostly to a reduction in beginning stocks of 4 million.  India's 2013/14 ending stocks are lowered nearly 3 million tons due mostly to an increase in consumption.  Lower procurement of rice by the government of India coupled with higher disbursement of rice through the public distribution system drew down government rice stocks in 2013/14.  Additionally, 2013/14 rice ending stocks in Thailand and Vietnam are

lowered 800,000 tons and 500,000, respectively.  World 2014/15 rice production is lowered 400,000 tons to 475 million tons due mostly to smaller crops forecast for Australia and Egypt, which are partially offset by an increase for South Korea.  Global 2014/15 rice consumption is raised 1.3 million tons to a record 482.9 million due mostly to increases for India and Vietnam, partially offset by reductions for Egypt and South Korea.  Global rice trade is up 400,000 tons from a month ago with an 800,000-ton increase for Thailand, partially offset by reductions for Australia and Egypt.  Imports are increased for EU and China.  The decline in global ending stocks is due mostly to reductions for India, Thailand, and Vietnam, partially offset by increases for China, Egypt, EU, and South Korea.  Global 2014/15 ending stocks at 98.6 million tons are down nearly 8 million tons from 2013/14 and the lowest stocks since 2009/10.  Stocks among the major foreign exporters are down 18 percent from 2013/14.

 

Read the full report here.
CME Group/Closing Rough Rice Futures   
CME Group (Preliminary):  Closing Rough Rice Futures for November 12


Month
Price
Net Change
November 2014
$11.785
+ $0.165
January 2015
$12.015
+ $0.165
March 2015
$12.280
+ $0.155
May 2015
$12.530
+ $0.155
July 2015
$12.710
+ $0.155
September 2015
$12.075
+ $0.155
November 2015
$11.975
+ $0.155


In the News  

Around Washington

Poised to Chair Senate Ag Committee, Roberts Pledges Not to Reopen Farm Bill  

National Journal

Roberts also noted that he has not yet been elected chairman, and he said it would be premature to talk about his committee agenda until he is chosen and has discussed priorities with the rest of his panel's members, both Republican and Democratic.

 

US FDA Taps Mayne to Head Center for Food Safety and Applied Nutrition  

Food Production Daily

The FDA Food Safety and Applied Nutrition Center will begin the new year with a new director, public health scientist Dr. Susan Mayne.

 

 

Around the Country

Don't Ask How to Feed the 9 Billion New York Times

There's plenty of food. Too much of it is going to feed animals, too much of it is being converted to fuel and too much of it is being wasted. We don't have to increase yield to address any of those issues; we just have to grow food more smartly than with the brute force of industrial methods, and we need to address the circumstances of the poor.

 

Missouri Farmers Bring Agriculture to Local Population USDA Blog

In 2012, Missouri produced more than 1.2 billion pounds of rice valued at more than $150 million, putting the state in fourth place in the nation when it comes to this important commodity. And all of this was achieved by only 386 farms on 175,000 acres.

 

The Urban/Rural Divide Huffington Post

Historically, food, farm and rural development legislation including national nutrition programs and global food security measures have required a national bipartisan support base. This coalition involved lawmakers representing urban, suburban and rural communities creating a national policy on food issues.

 

Trade and Tariffs

Rice Growers Turn to USDA for Help with Iraq Politico Pro

Bob Cummings, the USA Rice Federation's chief operating officer, tells POLITICO Pro that he and Alexis Taylor, USDA's deputy undersecretary for farm and foreign agricultural services, met Monday to discuss what the group calls an "alarming situation with Iraqi rice tenders."

 

Xi Urges Faster APEC Talks on China-Backed Free Trade Agreement Reuters

The global economic recovery is unstable and nations in the Asia Pacific Economic Cooperation (APEC) bloc should speed up free trade talks to spur growth, Chinese President Xi Jinping said on Tuesday. APEC includes the United States, China, Japan, South Korea, Indonesia and Canada.

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USA Rice Federation is the global advocate for all segments of the U.S. rice industry with a mission to promote and protect the interests of producers, millers, merchants and allied businesses.
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