Daily Exclusive ORYZA Rice E-Newsletter

December 01 ,2015
Vol 5,Issue XII

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www.riceplusmagazine.blogspot.com

Daily Exclusive ORYZA Rice E-Newsletter

Italian Paddy Rice Prices Remain Firm in Third Week

of November 2015
Nov 30, 2015

Italian paddy rice prices remained unchanged as of November 24, 2015 from
those on November 17, 2015, according to local sources. Prices, which were
quite low in the last week of September and first week of October, have started
increasing from the second week of October and have continued the pace till the
week ended November 17. Prices of Japonica reportedly increased to a
relatively higher extent in the earlier weeks of this crop year (September 2015
August 2016).
Below are farm gate paddy quotes from the Milan grain exchange, as of
November 24, 2015:
Arborio-Volano rice is quoted 650-675 euros (about $ 689-715) per ton;
Balilla, Centauro and similar paddies are out at 335-365 euros (about $ 355387) per ton;
Lido, Crono, Flipper and similar varieties are out at 300-320 euros (about $
318-339) per ton;
Padano, Argo is out at 385-430 euros (about $ 408-456) per ton;
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Vialone Nano is quoted 590-630 euros (about $ 625-668) per ton;
Carnaroli is quoted 650-705 euros (about $ 689-747) per ton;
Thaibonnet and similar varieties are quoted 285-305 euros (about $ 302-322)
per ton;
Sant'Andrea is quoted 390-420 euros (about $ 413-445) per ton;
Luna Cl, Dardo and similar varieties are out at 300-320 euros (about $318-339
) per ton;
Baldo is quoted 360-380 euros (about $ 381-403) per ton;
Roma is quoted 400-430 euros (about $ 424-456) per ton;
Selenio is quoted 335-385 euros (about $ 355-408) per ton;
Augusto is out at 355-375 euros (about $ 376-397) per ton;
Loto and Nembo are quoted 330-360 euros (about $ 349-381) per ton.

Milling Facility Aims for Undisrupted Rice Supply in

UAE
Nov 30, 2015

A new rice milling facility worth 140 million dirham and with a storage capacity
of 50,000 tons is being planned by the Abu Dhabi-based agribusiness firm Al
Dhara Holding and India-based Kohinoor Foods to address supply concerns in
the United Arab Emirates (UAE), according to Reuters.
Al Dahra is the government's strategic partner on food security matters. The
joint venture firm can handle all production processes including milling , storing,
packing and distribution.
Since UAE imports all the rice needed for its consumption and nearly 85% of its
food needs, setting up of such a modern facility is expected to ensure
continuous supply of rice and other food items within the UAE countries.
"Al Dahra Kohinoor facility will ensure the sustainable and undisrupted supply of
essential food commodities into the Emirate (Abu Dhabi) and we are eager to
launch operations by the second quarter of 2016," said the Vice Chairman of Al
Dhara Holding in a statement.
The facility will reportedly be located in the Khalifa Industrial Zone Abu Dhabi
(Kizad).
USDA estimates UAE to import about 460,000 tons of rice in 2015.

Japan Lowers 2016 Rice Production Target by 1% to

7.43 Million Tons
Dec 01, 2015

Daily Exclusive ORYZA Rice E-Newsletter

Japan's Agriculture Ministry has lowered the country's rice production target in
2016 to around 7.43 million tons from last year's 7.51 million tons in line with
the falling consumption demand, according to local sources.
The Ministry has accordingly, reduced individual targets for the country's 47
prefectures, some officials were quoted as saying.
The government has been lowering the rice production target every year since
2010. Currently, the government is encouraging farmers to lower production for
human consumption and increase that for feed. Rice production for human
consumption fell below the target in 2015, but domestic rice consumption also
declined significantly during the year, according to Ministry sources.
Rice utilization for feed in the first eleven months of MY 2014-15 (October September) reached around 1.068 million tons from around 732,893 tons in MY
2013-14, USDA Post reported in a recent report.

India Average Wholesale Rice Prices Increase in

November 2015 on Concerns of Low Production
Dec 01, 2015

India average wholesale rice prices which declined in October 2015 with the
beginning of the kharif (June - December) rice harvest, have increased in
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November on concerns of lower output due to El Nino-induced below-average
monsoon rains in many rice growing areas.
Average monthly wholesale rice prices in India increased to around Rs.2,614.61
per quintal in November 2015, up about 1% from around Rs.2,588.89 per
quintal in October 2015, and down about 6% from their year-ago levels of
around Rs.2,779.28 per quintal.
In terms of USD per ton, wholesale rice prices in India stand at around $396 per
ton (using current exchange rates) in November 2015, slightly down from
around $399 per ton (using historical exchange rates) in October 2015, and
down about 12% from around $448 per ton (using historical exchange rates) in
November 2014.
Analysts are expecting Indias average prices to increase if Indias production is
dampened by intensifying El Nino weather pattern, which is likely to cause
drought conditions in Asia. The government of India has forecasted the 2015-16
kharif (June - December) rice production at around 90.6 million tons, slightly
down from around 90.86 million tons in 2014-15.

Oryza CBOT Rough Rice Futures Recap - Chicago

Rough Rice Futures Give Up Early Gains to Close
Lower
Dec 01, 2015

Chicago rough rice futures for Jan delivery settled 5 cents per cwt (about $1 per
ton) higher at $11.905 per cwt (about $262 per ton). The other grains finished
the day mostly higher; Soybeans closed about 0.9% higher at $8.8100 per
bushel; wheat finished about 0.7% lower at $4.7550 per bushel, and corn
finished the day about 1.4% higher at $3.7225 per bushel.
U.S. stocks traded mostly lower Monday, the last day of trade for November, as
investors eyed retail results and readied for key data and central bank
comments later in the week. The major averages briefly attempted slight gains
before holding mostly below the flatline in afternoon trade. The major averages
are on track for monthly gains of about 0.3% or more, with the Nasdaq
composite the best performer. The November Chicago PMI came in at 48.7, in
contraction territory and down from October's 56.2 print. The pending home
sales figure for October from the National Association of Realtors rose by just
0.2%, ending two straight months of declines but far below expectations for a
1.0% rebound, Reuters said. In addition to Friday's key employment report,
central banks will take center stage later in the week. On Thursday, the
European Central Bank is expected to expand its easing program and cut its
already negative deposit rate. The International Monetary Fund announced
Monday it will include China's yuan, or renminbi, in an exclusive group of
currencies that make up the basket of the IMF's Special Drawing Rights (SDR).
The change is set to take effect next October. European stocks closed mixed,
while Asian equities ended mostly lower. The Shanghai composite closed mildly
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Daily Exclusive ORYZA Rice E-Newsletter

higher after posting its worst day since August on Friday. In early afternoon
trade, the Dow Jones industrial average traded down 24 points, or 0.14%, to
17,776. The S&P 500 traded down 3 points, or 0.15%, at 2,087, with energy
leading six sectors higher and healthcare leading advancers. The Nasdaq
composite traded down 19 points, or 0.39%, at 5,107. Gold is seen trading
about 1.2% higher, crude oil is seen trading nearly flat, and the U.S. dollar is
seen trading about 0.1% higher at about 1:20pm Chicago time.
Friday, there were 729 contracts traded, down from 1,063 contracts traded on
Wednesday. Open interest the number of contracts outstanding on Friday
increased by 162 contracts to 12,544.

IGC Forecasts 2015-16 Global Rice Production to

Decline About 1% from Previous Year
Dec 01, 2015

In its November 2015 Grain Market Report (GMR), the International Grains
Council (IGC) forecasts 2015-16 global rice production at around 474 tons,
down about 1% from record 478 million tons in 2014-15 as expected decline in
some of the top producing countries, including India and Thailand, is only partly
offset by improved harvest in other Asian countries.
The IGC, however kept its forecasts unchanged from its previous estimate in
October 2015.
The IGC forecasts 2015-16 global rice trade at around 42 million tons,
unchanged from the previous year's 42 million tons as well as its previous
estimate of around 42 million tons. The IGC forecasts global trade to reach
record high in 206 due to increased imports by most of the Asian countries,
including Indonesia and the Philippines, as part of efforts to maintain adequate
domestic supplies.
The agency forecasts 2015 global rice consumption to increase about 1% to
around 486 million tons from an estimated 483 million tons last year and
slightly up from its previous estimate of around 487 million tons.
The IGC forecasts global rice ending stocks at around 94 million tons in
2015-16, down about 12% from an estimated 107 million tons in 2014-15 and
unchanged from its previous estimate. The IGC forecasts the ending stocks in
major exporters like India and Thailand to decline significantly.
In its November 2015 Rice Outlook report, USDA forecasts 2015-16 global rice
production (milled basis) at around 473.5 million tons, down about 1% from last
year due to an expected decline in acreage as well as decline in average yields,
which are likely to be affected by adverse weather conditions. USDA forecasts
2015 global rice trade at around 42.5 million tons, down about 800,000 tons
from an estimated 43.3 million tons in 2014, and almost unchanged from last
month's forecast of around 42.4 million tons.
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Daily Exclusive ORYZA Rice E-Newsletter

Italy Approves New Law on Agricultural Biodiversity;

More Rice Varieties to Get PDO, PGI Denominations
Dec 01, 2015

The Italian Parliament has approved the institution of a 'National System of

Agricultural Biodiversity and Food' on November 30, 2015, according to local
sources. It has also approved for the institution of a Protection Fund to support
the actions of farmers.
According to the law, the Council for Agricultural Research and analysis of the
agrarian economy (CREA) will intervene in the research activities related to
agricultural biodiversity and food over the next three years to protect and
develop the agricultural sector.
Farmers unions have welcomed the decision. "The recognition of our typical and
traditional products related to agriculture Italian territory becomes a real
investment in competitiveness," said the Italian Farmers Union Coldiretti.
The decision is expected to protect the locally developed rice varieties. Italy
currently has 4,886 traditional foods developed in local regions, including 272
food varieties are Protected Designation of Origin (PDO) and Protected
Geographical Indications (PGI) specialties. Of these, Riso di Baraggia biellese e
vercellese PDO, Vialone Nano PGI, Riso delta del Po PGI are famous rice
varieties. The PDO and GPI denominations allow to certify high quality standard
in rice farming and milling, thus permitting to get a higher final price.
The new law allows rice produced in many other regions also get PDO and PGI
denominations.

Oryza U.S. Rough Rice Recap - Prices Seen Steady

Despite Less Than Stellar Export Sales
Dec 01, 2015

The U.S. cash market was seen mostly steady today despite than stellar export
sales.
The USDA reported that cumulative net export sales for the week that ended on
November 19th, totaled 33,700 tons, a decrease of 23% from the previous week
and 51% lower than the prior 4-week average.
Increases were reported for the following destinations including: 13,700 ton to
Japan, 7,200 tons to Costa Rica, 5,000 tons to Haiti, 3,600 tons to Honduras
including 2,600 tons switched from unknown destinations, 3,100 tons to
Canada.
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Daily Exclusive ORYZA Rice E-Newsletter

U.S. rice exporters shipped 27,900 tons, a decrease of 75% from than last week
and 58% lower than the prior 4-week average. Increases were reported for the
following destinations including: 12,300 tons to Japan, 3,900 tons to Mexico,
3,500 tons to Honduras, 3,200 tons to Canada, and 1,500 tons to South Korea.

Global Rice Quotes

December 1st, 2015
Long grain white rice - high quality
Thailand 100% B grade

360-370

Vietnam 5% broken 370-380

India 5% broken

350-360

Pakistan 5% broken 320-330

Myanmar 5% broken

405-415

Cambodia 5% broken

415-425

U.S. 4% broken

485-495

Uruguay 5% broken 535-545

Argentina 5% broken

530-540

Long grain white rice - low quality

Thailand 25% broken

335-345

Vietnam 25% broken

355-365

Pakistan 25% broken

295-305

Cambodia 25% broken

400-410

India 25% broken

320-330

U.S. 15% broken

515-525

Long grain parboiled rice

Thailand parboiled 100% stxd
Pakistan parboiled 5% broken stxd

345-355

405-415
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Daily Exclusive ORYZA Rice E-Newsletter

India parboiled 5% broken stxd
U.S. parboiled 4% broken

340-350

590-610

Brazil parboiled 5% broken

545-555

Uruguay parboiled 5% broken

NQ

Long grain fragrant rice

Thailand Hommali 92%
Vietnam Jasmine

700-710

435-445

India basmati 2% broken

NQ

Pakistan basmati 2% broken

Cambodia Phka Mails

NQ

830-840

Brokens
Thailand A1 Super

325-335

Vietnam 100% broken

330-340

Pakistan 100% broken stxd 280-290

Cambodia A1 Super 355-365

India 100% broken stxd

280-290

Egypt medium grain brokens

U.S. pet food 330-340

Brazil half grain

NQ

NQ

All prices USD per ton, FOB vessel, oryza.com

Thai Rice Prices May Increase by 15% Next Year if

Drought Continues, Says TREA Official
Nov 30, 2015

Daily Exclusive ORYZA Rice E-Newsletter

The Honorary President of the Thai Rice Exporters Association (TREA) is
expecting the Thai rice export prices, which are currently slightly below the
Vietnam prices, would increase by about 10-15% in the first quarter of 2016
and another 10-15% in the second quarter if the dry spell continues, according
to local sources.
He told reporters that the government is expecting output from this year's main
crop to decline about 2% to 26 million tons, and that from the off-season to
decline by over half to around 4 million tons. If the drought conditions continue,
output from next year's main crop may be impacted as well, he said.
The TREA is expecting the global rice production to decline by about 1%, he
said. "The impact of the dry weather is expected to become clearer by the
middle of next year, particularly after Indonesia's harvest season in April, when
we will see how much Indonesia's rice production will fall," he noted.
The TREA official noted that the major importers such as the Philippines,
Indonesia and Middle Eastern countries are concerned about their falling
outputs and are forced to maintain reserve stocks to prevent price hikes locally.
Despite lower production, he noted that Thailand's rice exports are expected to
reach around 9-10 million tons. The official also noted that the government still
has rice stocks of around 13 million tons, of which around 7-8 million tons are
of good quality and can be retained for domestic consumption and to maintain
state buffer stocks.
Export quotes of benchmark Thai 100% B rice currently stand at around $365
per ton compared to Viet 5% rice at around $375 per ton.

Thai Government Conducts First Rotten Rice Auction;

Two Local Firms Win Bid to Buy 37,413 Tons
Dec 01, 2015

Two private Thai firms won the bid to buy around 37,413 tons of stockpiled
rotten rice worth 198 million baht (around $5.53 million) in the first auction
conducted by the government of Thailand today, according to local sources.
The Commerce Ministry did not specify when the sale would be approved. "We'll
have to see how smoothly this auction goes and then we will see whether we
will hold the next one and when," said the Commerce Permanent Secretary.
The government earlier told that it would sell about 2 million tons of rotten rice
from stockpiles, for industrial use, in quantities between 1,000 and 6,000 tons.
Thailand holds about 13 million tons of rice stocks accumulated from the
previous government's rice pledging scheme, of which about 6 million tons are
"below-standard or rotten" and are judged unfit for human consumption,
according to a Commerce Ministry statement.
The government of Thailand sold around 4.6 million tons of stockpiled rice
raising around 49 billion baht (around $1.4 billion) in the ten auctions
conducted since it took over in May 2014.
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Daily Exclusive ORYZA Rice E-Newsletter

Vietnam exports 5.372 Million Tons of Rice in January

1 - November 23, 2015, Down 8% from Previous Year
Dec 01, 2015

Vietnam exported about 5.372 million tons of rice in January 1 - November 23,
2015, down about 8% from about 5.858 million tons of rice exported in first
eleven months of 2014, according to data from the Vietnam Food Association
(VFA). The average rice export price so far in this year stands at about $409.72
per ton (FOB), down about 6.5% per ton from about $438.27 per ton recorded
during same last year.
According to the data from the VFA, Vietnam exported about 334,521 tons of
rice from November 1-23, 2015, down about 51% from about 687,663 tons of
rice exported in October 2015, and down about 31% from about 484,513 tons
rice exported in November 2014. The average export price so far in October
stands at about $361.71 per ton, down about 8% per ton from a month ago and
down about 22% from a year ago.
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Daily Exclusive ORYZA Rice E-Newsletter

Vietnam, Pakistan Rice Sellers Alter Some of Their

Quotes Today; Other Asian Rice Quotes Remain
Unchanged
Dec 01, 2015

Vietnam rice sellers lowered their quotes for jasmine rice by about $10 per ton
to around $435 - $445 per ton today. Pakistan rice sellers increased their
quotes for 5% and 25% broken rice varieties by about $5 per ton to around
$320 - $330 per ton and $295 - $305 per ton respectively. Other Asian rice
sellers kept their quotes unchanged from yesterday.
5% Broken Rice
Thailand 5% rice is indicated at around $350 - $360 per ton about $20 per ton
discount on Vietnam 5% rice shown at around $370 - $380 per ton. India 5%
rice is indicated at around $350 - $360 per ton, about $30 per ton premium on
Pakistan 5% rice shown at around $320 - $330 per ton.
25% Broken Rice
Thailand 25% rice is indicated at around $335 - $345 per ton, about $20 per
ton discount on Vietnam 25% rice shown at around $355- $365 per ton. India
25% rice is indicated at around $320 - $330 per ton, about $25 per ton
premium on Pakistan 25% rice shown at around $295 - $305 per ton.
Parboiled Rice
Thailand parboiled rice is indicated at around $345 - $350 per ton. India
parboiled rice is indicated at around $340 - $350 per ton, about $65 per ton
discount to Pakistan parboiled rice last shown at around $405 - $415 per
ton.
100% Broken Rice
Thailand broken rice, A1 Super is indicated at around $325 - $335 per ton,
about $5 per ton discount to Vietnam 100% broken rice shown at around $330
- $340 per ton. India's 100% broken rice is shown at around $280 - $290 per
ton, on par with Pakistan broken sortexed rice shown at around $280 - $290
per ton.
Exclusive News have been shared with written permission of ORYZA.com with thanks

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