Iraq Grain Tender Canceled, USA Rice to Meet with U.S. Ambassador
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ARLINGTON, VA -- Earlier this week, in a move that was only mildly surprising, the Iraqi
Grain Board canceled their current tender request without explanation or fanfare.
"The only thing we can predict with any accuracy in this market is the total unpredictability of this market," said Betsy Ward, president & CEO of USA Rice.
Ward said that although the U.S. bids are very competitive, and despite regular contact between the government of Iraq, the U.S. government, and USA Rice, she thinks it could be a long time before U.S. rice is sold with any consistency in this country unless something changes dramatically.
"Frankly, we're disheartened by the lack of progress we're able to make with the Iraqi Grain Board," she added. "We know our quality and logistics are better, and our prices are lower than South American origins, so one can only speculate as to why they aren't buying U.S. rice."
Ward will raise these concerns in what promises to be a frank meeting in Washington tomorrow with the U.S. Ambassador to Iraq, Stuart Jones.
"We're going to share with the Ambassador what we're experiencing here, and we look forward to hearing his take on events and market realities in-country and maybe get a clearer picture of what we can expect in the near term," Ward added.
Contact: Michael Klein (703) 236-1458
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USDA Announces $235 Million in Funding for RCPP
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WASHINGTON, DC -- Earlier this week, Agriculture Secretary Tom Vilsack announced an
investment of $235 million in funding to be applied towards the Regional Conservation Partnership Program (RCPP). The RCPP, created by the 2014 Farm Bill, is a conservation initiative administered by the USDA's Natural Resources Conservation Service (NRCS) that enables local leaders across the country to implement programs that will preserve natural resources in their region.
The first round of projects funded through the RCPP was announced earlier this year. USDA awarded $394 million to the first round of RCPP participants in all 50 states that helped fund 115 projects.
The rice industry will benefit significantly from the first round of RCPP funding. RCPP grants were awarded to California and Louisiana in addition to a $10 million national grant to USA Rice and Ducks Unlimited.
"These funds are specifically set aside for rice producers and will be used to help them install NRCS approved conservation practices. The initial Rice RCPP was the first of its kind and that got attention at NRCS," said USA Rice's Vice President of Government Affairs Ben Mosely.
Mosely added, "We're in the process of implementing the first award and hope to have growers signing up late summer or early fall, and we're already working on a new proposal for this second phase of the RCPP. We plan to build on that platform of the rice industry's commitment to on-farm management practices that address water quantity, water quality and wildlife habitat."
USDA plans to invest $1.2 billion in conservation projects through 2018. The deadline to submit an RCPP proposal is July 8, 2015.
Contact: Colleen Klemczewski (703) 236-1446
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Weekly Rice Sales, Exports Reported
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WASHINGTON, DC -- Net rice sales of 62,500 MT for 2014/2015 were down 45 percent from the previous week and 9 percent from the prior four-week average, according to today's Export Sales Highlights report. Increases were reported for South Korea (20,000 MT), Mexico (17,000 MT), Honduras (16,000 MT, including 8,500 MT switched from unknown destinations), Colombia (15,400 MT), and Libya (12,500 MT). Decreases were reported for Turkey (28,500 MT) and unknown destinations (6,000 MT).
Exports of 78,700 MT were up 36 percent from the previous week and 13 percent from the prior four-week average. The primary destinations were Mexico (19,600 MT), Colombia (15,500 MT), Honduras (12,300 MT), Japan (12,200 MT), and Haiti (7,100 MT).
This summary is based on reports from exporters from the period April 24-30.
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CME Group/Closing Rough Rice Futures | CME Group (Prelim): Closing Rough Rice Futures for May 7
May 2015
| $9.465 |
- $0.080
| July 2015 | $9.695 |
- $0.100
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September 2015
| $9.965 |
- $0.100
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November 2016
| $10.210 |
- $0.105
| January 2016 | $10.455 |
- $0.100
| March 2016 | $10.505 |
- $0.100
| May 2016 | $10.505 |
- $0.100
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In the News
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Around the Country
5 Steps to Meet Conservation Compliance NRCS USDA
Reminder: Farmers seeking federal crop insurance premium subsidies for the 2016 reinsurance year must comply by June 1 by filing form AD-1026. The 2014 Farm Bill relinked crop insurance premium subsidies with conservation compliance.
Arkansas Crop Planting Makes Quick Progress Delta Farm Press
Many growers were now faced with the irony of having waited out long weeks of heavy rains only to struggle with a narrow window of time before farmland - particularly that earmarked for rice - becomes too dry to plant or create levees.
Weighing In on the Farm Bill Safety Net: Part III Delta Farm Press
As farmers know all too well, the new farm bill is being implemented in a time of falling crop prices, and all members of the agricultural industry, including ag lenders, are feeling the effect of a downturn or flattening of land values.
Tariffs and Trade
Government Subsidies Distort Rice Exports Overseas Delta Farm Press
Exports continue to be important for the U.S. rice industry and for producers. That's why the USA Rice Federation has asked the U.S. International Trade Commission to begin an investigation of subsidy programs operated in rice-exporting countries, including the United States.
Mr. Xi and Others, Tear Down These Walls The Hill
Brazil, Thailand and India, plus China and Turkey, have all exceeded their permissible World Trade Organization (WTO) support limits, while four of the five are also illegally subsidizing their exports of wheat, sugar, corn, rice and wheat flour. China's and India's rice policies alone are distorting global markets and whipsawing U.S. rice producers.
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Mission Statement | 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. |
About Us | Editor: Michael Klein (703) 236-1458 mklein@usarice.com
Fax (703) 236-2301
2101 Wilson Boulevard, Suite 610 Arlington, VA 22201
This report is time-sensitive, based on information available at press time. Content is derived from facts and sources believed to be reliable. Reprinting and/or distribution may be done with permission of the USA Rice Federation
Copyright © 2015. Please direct comments or questions to the editor or contact name listed for each story. |
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