USA Rice Daily Up-to-the-Minute News on Issues and Activities Wednesday, September 30, 2015 Warshaw Testifies on Importance of In-Kind Contributions in Food Aid Programs     Jamie Warshaw WASHINGTON, DC -- Earlier today, the U.S. House of Representatives Agriculture Committee held a public hearing on U.S. International Food Aid Programs.  USA Rice Food Aid Subcommittee Chairman Jamie Warshaw testified, along with five other witnesses representing various private volunteer organizations (PVOs) and commodity groups.   "Unfortunately, despite all the efforts of the United States and other countries, there is still a significant number of people across the world that are food insecure," said Warshaw during his opening remarks.  "Therefore, I appreciate efforts by USAID and various members of Congress who are looking for ways to make food aid programs more effective, but I have serious concerns about many of the policy proposals and reforms that have been laid on the table." Several of the proposals seek to reduce or eliminate the use of in-kind contributions to food aid and replace them with a cash or voucher system.  Warshaw highlighted recent World Food Programme and Government Accountability Office (GAO) reports that emphasized the lack of oversight and diversion of aid when cash or vouchers were used. The United States has been one of the largest suppliers of food aid, providing $80 billion in food aid since World War II.  "When we provide U.S. commodities to the world's hungry, each farmer, processor, packer, handler, and cargo deliverer can feel good about the work they're doing to help alleviate hunger," said Warshaw.  "Additionally, these U.S. commodities are distributed in bags that feature the label 'From the American People.'  This is a clear statement of the commitment the U.S. has to fighting global food insecurity and is a symbol that is intended to help foster international good will." Congressman Rick Crawford (R-AR) commented on the new fortified rice developments for food aid and questioned whether the rice industry would be able to provide this product now.  Warshaw enthusiastically replied that the rice industry can provide a fortified product and in fact has been providing enriched rice to the domestic market and some export markets for decades.   Responding to Congressman Ralph Abraham's (R-LA) question about the food safety checks for U.S. rice versus other countries, Warshaw stated that the U.S has one of the world's safest food supplies.   "In many other rice exporting countries, there are issues with water quality, storage and farming practices, unregulated pesticide and herbicide use, and little to no third party oversight of the safety of the food product.  The U.S. has a strong system of objective checks that ensure the quality and safety of our products." Warshaw continued, "The U.S. rice industry has invested significant capital, time, and effort in being a timely and reliable supplier of food aid.  Looking forward, we are developing fortified rice and rice products aimed to reduce global hunger and malnutrition, particularly in women and children.  We have had great success so far but global food insecurity is a challenge we're still facing.  The continued delivery of in-kind food aid is necessary to help avoid many of these potentially serious consequences of program reforms." Contact:  Sarah Moran (703) 236-1457 Abraham Recognizes Rice in House Floor Speech       Rep. Abraham gives U.S. rice a big hand WASHINGTON, DC -- Yesterday, Congressman Ralph Abraham (R-LA), a great friend to the U.S. rice industry and Member of the House Committee on Agriculture, formally recognized National Rice Month during a floor speech here.   Standing next to a large photo of rice plants, Abraham said "I want to pay a special tribute to the hard working men and women who produce rice on their family farms and I'd also like to recognize those who mill and market rice, all the suppliers and buyers."  He fittingly finished his comment by thanking one of the most important sectors of the industry, "...all the consumers who make rice an essential part of their diet."   Abraham's Congressional District, LA-05, is the largest row crop district in the nation and the second largest rice-growing district in Louisiana with a five-year average of more than 113,900 acres of rice grown with an estimated $119 million farm-gate value.   Congressman Abraham will be a featured speaker at this year's USA Rice Outlook Conference being held in New Orleans from December 9-11.   Contact:  Julie Vieburg (703) 236-1467 CCC Announces Prevailing World Market Prices  WASHINGTON, DC -- The Department of Agriculture's Commodity Credit Corporation today announced the following prevailing world market prices of milled and rough rice, adjusted for U.S. milling yields and location, and the resulting marketing loan gain (MLG) and loan deficiency payment (LDP) rates applicable to the 2015 crop, which will become effective today at 7:00 a.m., Eastern Time (ET).  Prices are unchanged from the previous announcement.   World Price MLG/LDP Rate   Milled Value ($/cwt) Rough ($/cwt) Rough ($/cwt) Long Grain 14.53 9.17 0.00 Medium/Short Grain 14.04 9.42 0.00 Brokens   8.76 ---- ---- This week's prevailing world market prices and MLG/LDP rates are based on the following U.S. milling yields and the corresponding loan rates:   U.S. Milling Yields Whole/Broken (lbs/cwt) Loan Rate ($/cwt) Long Grain 55.01/13.46 6.50 Medium/Short Grain 61.81/8.43 6.50   The next program announcement is scheduled for October 7, 2015.     CME Group/Closing Rough Rice Futures    CME Group (Prelim):  Closing Rough Rice Futures for September 30  Month Price Net Change November 2015 $13.200  - $0.125 January 2016 $13.490 - $0.125 March 2016 $13.740 - $0.095 May 2016 $13.885 - $0.095 July 2016 $14.020 - $0.090 September 2016 $13.150 - $0.090 November 2016 $13.150 - $0.090 In the News  Around the Country Jeremy Zwinger to Discuss Rice Outlook at U of A Webinar Delta Farm Press The webinar, titled "Global Rice and Commodity Markets Will Mover Higher...  Have we hit the bottom!" is scheduled to begin at 2 p.m. Central Time on October 6.     Tariffs and Trade Pacific Trade Talks at Crucial Juncture Wall Street Journal U.S. officials are reluctant to make deep compromises to strike a deal, since doing so could lead industries and farm groups to withhold needed support in Congress, where the trade pact has already faced significant opposition.     Science and Technology Armyworms Invade Rice California Ag Today Rice farmers are on the lookout for two caterpillar infestations during the year when armyworms invade rice fields: the first one occurs sometime in June, the second usually occurs in mid- to late-August when the rice is heading out.   Study Concludes Added Enzyme Makes Phosphorus Rice Co-Products More Digestible for Pigs National Hog Farmer Co-products from the processing of rice for human consumption, such as rice hulls, rice bran, and broken rice, are an abundant feed source for livestock. Research conducted at the University of Illinois is helping producers make the most of these ingredients. Upcoming Events  Events Calendar   Recent Issues September 29 September 28 September 25 September 24 September 23 Mission Statement USA Rice  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  USA Rice. Copyright © 2015. Please direct comments or questions to the editor or contact name listed for each story.