10th April , 2014

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today. China may buy rice from Thailand : Commerce Thailand to export 8.7m tonnes of rice Thai Rice Welcomed Back to Iraq After Months of Suspension High demand seen as 18 rice traders take part in govt auction US among countries eyeing 1.6m tonnes of G2G rice deals BAAC to take out another 500 million baht to pay rice farmers Rice prices seen improving Post Comment Water problems stalk India rice producers NorMin posts 6% growth in palay production in 2013 A heartening headway Thailand looking forward to hosting Rice Congress in late Oct Iraq to end Thai rice ban Thailand looking forward to hosting Rice Congress in late Oct WASDE: Domestic Rice Use Increased

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China may buy rice from Thailand : Commerce
April 10, 2014 3:16 pm

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China will possibly sign deals to buy one million tonnes of rice from Thailand after its specialists inspected a rice warehouse in Suphan Buri, a senior Thai Commerce Ministry said Thursday.Surasak Riangkrul, director general of the Foreign Trade Department, said rice inspectors from China National Cereals, Oils and Foodstuffs Corporation (COFCO) China's state-owned food processing holding company - were satisfied with the quality of Thai rice.Besides China, some Middle Eastern countries including Iraq have shown their interest in buying Thai rice, Thai News Agency quoted Surasak as saying.The Foreign Trade Department yesterday launched a new round of auctions for seven categories of rice from the 2013/2014 crop under the rice pledging scheme to be sold locally and exported, totaling 169,327.99 tonnes from 24 warehouses. There were eight bidders.It was the first time the government held a regional auction, and in Suphan Buri where a large number of state-owned warehouses are located.Auctioned rice will be packed into packaged rice for further distribution. Surasak said the department will hold similar regional auctions in other provinces which will help release rice from state stockpiles.

Thailand to export 8.7m tonnes of rice

Published: 10 Apr 2014 at 21.08 Online news: Local News Thailand will export about 8.7 million tons of rice this year, ranking it the second largest exporter after India, the UN Food and Agriculture Organisation (FAO) said Thursday.The figure would put Thailand's rice exports at "200,000 tonnes more than last projected and 2 million tons above the 2013 poor performance," the FAO's Rice Market Monitor said in its quarterly report.India's exports would reach 9.5 million tonnes, and Vietnam's 7.2 million tonnes, it said.Thailand was the world's largest rice exporter for three decades until the government's rice subsidy scheme hiked the price of its rice in 2012, making it uncompetitive on the global market.India and Vietnam surpassed the kingdom's exports in 2012 and 2013.After losing an estimated 400 billion baht to the programme, and failing to pay farmers for their last crop in the late 2013 season, Thailand is now selling its rice at market prices. Thailand's current stockpiles of rice are estimated at 18 million tonnes."Amid sustained efforts to curb its public inventories, Thailand is expected to capture much of the expansion in world demand, although most of the other rice exporters are also forecast to export more," the FAO report said.The FAO has forecast a 5% increase in global demand for rice this year, especially from China, which is expected to import 3.3 million tonnes, and the Philippines and Indonesia are expected to import 1.2 million and 1.1 million tonnes, respectively.Despite the higher demand, prices may not be on the rise because of an anticipated increase in supply this year."Global paddy production in 2014 could reach 751 million tonnes (or 500.7 million tonnes of milled rice), 0.8% more than currently estimated for 2013," the report said.The combined rice stockpiles of India, Pakistan, Thailand, the United States and Vietnam were about 48.4 million tonnes at the end of 2013, a 3% increase year-on-year.

Thai Rice Welcomed Back to Iraq After Months of Suspension

BANGKOK All it took was a taste test for Iraq to lift its months-long ban on Thai rice exporters, according to Thailands foreign trade

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department.Last month a government delegation from Bangkok showed up in Baghdad to cook sample grains for the Iraqi Grain Board to assure its members of the rices quality. Iraq banned the entry of Thai rice from private exporters starting last August over quality concerns, according to the Thai government, which has continuously defended the quality of its rice as good. The Iraqi government had already stopped purchasing rice directly from its Thai counterpart three years ago because of concerns about low quality.Mr. Surasak Riangkrul, director-general of the Department of Foreign Trade, told reporters recently that the Thai government mission to Iraq had successfully convinced Baghdad to lift its ban on the imports of Thai rice.In our recent visit to Iraq, the Thai mission brought sample rice and cooked for involved authorities to show how good the quality of Thai rice really is, said Mr. Surasak. Prior to the ban in August, Iraq had imported 500,000 to 600,000 metric tons of Thai rice each year, making it one of the countrys major clients. The biggest importer of Thai rice is Nigeria, which brings in an average volume of 1.1 million tons per year.Mr. Surasak added that there are chances Iraq may soon consider entering a government-to-government deal to buy rice directly, restarting a trade exchange that ended three years ago.Iraq has not issued a statement about the visit from the Thai government. Mr. Surasak said Thailand has invited Iraqi officials to visit Thailand this month for further discussion and is awaiting their confirmation.The lifting of the ban could at least give a small breather to for the Thai government, which has been struggling to meet commitments to a multibillion-dollar rice subsidy program by allowing it to sell off more from its rice stockpiles that have put a strain on its budget. The subsidy program involved buying rice from local farmers at up to 50% more than the market rate while the government withheld its stockpiles from the world market in hopes of driving prices up.It was a key part of the Pheu Thai Partys election campaign in 2011. But it has not worked as intended.As the governments stockpiled grew, rival rice producing countries, including India and Vietnam, managed to boost their supplies and exports while major importers like the Philippines started to increase domestic production. The Thai government then became unable to sell the supplies it had been holding without incurring losses.With more than $3 billion still in need to pay farmers who have participated in the project, the Thai government has no other option but to sell its stockpiles as quickly as possible.In addition to Iraq, Thailands Foreign Trade Department says it is in discussions with the U.S. and several other countries to sell up to 1.6 million metric tons of Thai rice to help leverage its stockpile.
Image: A Thai official of the commodity standards office, the Department of Foreign Trade, inspects the quality of rice in the sacks of rice stored at a warehouses in the Nonthaburi province, Thailand, on March 1.

High demand seen as 18 rice traders take part in govt auction

Petchanet Ptatruangkrai

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The Nation April 11, 2014 1:00 am Eighteen rice traders joined the Thai government's auction for 420,000 tonnes of rice late yesterday, reflecting high market demand.Surasak Riangkrul, director-general of the Commerce Ministry's Foreign Trade Department, said that at the end of the main-crop harvest season, traders seemed to have more demand for rice. The auction should be able to release rice at a good price. The bids are open for 420,000 tonnes of main-crop white rice harvested in 2013-14, and 13,000 tonnes of damaged rice. After this process, the Commerce Ministry will bargain for the best price with all bidders today. If price and volume needs are met, the deals will be proposed to caretaker Commerce Minister Niwatthumrong ongsongpaisan for approval. Surasak expects that the ministry should be able to sell half of the rice in this round for no less than the market price. According to a report by the Thai Rice Exporters Association, as of Wednesday, the price of 5per-cent Thai white rice was quoted at US$403 a tonne. The ministry last month opened bidding for about 400,000 tonnes of rice, which 34 traders joined. But the ministry has not agreed to sell the rice as the bids were far below the market price.

US among countries eyeing 1.6m tonnes of G2G rice deals

PETCHANET PRATRUANGKRAI THE NATION April 10, 2014 1:00 am THE UNITED STATES and other countries are interested in purchasing rice from Thailand under government-togovernment contracts, for a combined volume of more than 1.6 million tonnes, says the Foreign Trade Department.Moreover, the Commerce Ministry reported yesterday that eight local rice traders had joined the ministry's general auction in Suphan Buri province for 169,000 tonnes, while 15 traders also joined bidding through the Agricultural Futures Exchange of Thailand (Afet).Surasak Riangkrul, director-general of the ministry's Foreign Trade Department, said it was negotiating with the US on a G2G rice contract."If the negotiations succeed, Thailand may be able to sell about a million tonnes of rice to the US, one of the world's biggest rice-trading markets. Also, many other countries have negotiated with Thailand for purchase of about 600,000 tonnes of rice from the government," he said.He did not say which kind of rice the US was interested in purchasing. Last year, it imported 382,300 tonnes of rice from Thailand. In January this year, it imported 35,060 tonnes, down by 8.79 per cent year on year. According to the Thai Rice Traders Association, the price of 100-per-cent Thai white rice is currently quoted at US$403 a tonne, while the US rice is traded at $605 a tonne. Surasak said that with many potential contracts for sale of rice from the government stocks, it should be able to reduce its stockpiles while earning money to return to the Finance Ministry under the pledging scheme on time.

Rice exports to Iraq 'soon'

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Thailand should soon be able to resume exports of rice to Iraq after that country banned imports of Thai rice three years ago. Thai exporters should also be able to join the upcoming bidding for 800,000 tonnes of rice opened by the Philippine government and win some contracts, he added.As of the end of March, the ministry reported that it could return Bt216 billion from rice sales to the Finance Ministry.Moreover, as of last Friday, the ministry was able to return Bt10.7 billion of the Bt20 billion that had been allocated from the central budget to pay farmers under the rice-pledging scheme. Caretaker Deputy Commerce Minister Yanyong Phuangrach said the ministry should be able to return the whole Bt20 billion by the end of May.

To ensure rice quality, the ministry yesterday opened warehouses in Suphan Buri for the media's inspection. A representative from China's state-owned enterprise COFCO also observed the warehouses.Somchart Soithong, directorgeneral of the Internal Trade Department, said more rice buyers had joined the Afet auction of 260,000 tonnes of rice. The proposed price was better than at previous auctions, showing that market demand is up amid a lower supply from the second harvest season.Somchart said that after the end of the main harvest season in February, less rice had entered the market, while the second crop is expected to produce less than 8 million tonnes of paddy rice. With the lower supply amid rising demand in the world market, coinciding with a lower price for Thai rice, the country should be able to sell its stocks for reasonable sums, he said.Meanwhile, Yanyong testified yesterday to the National Anti-Corruption Commission (NACC) that caretaker Prime Minister Yingluck Shinawatra had not been negligent in preventing corruption in the ricepledging programme but had found it necessary to keep the Pheu Thai Party's election promise of setting the pledging price at Bt15,000 a tonne to increase farmers' incomes.

The NACC is prosecuting Yingluck over her role in large losses that the programme has allegedly caused.Yanyong was one of 11 witnesses that Yingluck had named, but was one of only three ministers that the NACC allowed to testify on her behalf. The others are caretaker Commerce Minister Niwatthumrong Boonsongpaisan, who will testify today, and caretaker Finance Minister Kittiratt Na-Ranong, who has postponed his testimony as he is attending a World Bank meeting in Washington, DC. Yanyong told the NACC that the rice-pledging scheme had been implemented under the Constitution Act. After the programme was established, the price of Thai rice had increased continuously compared with 10 years ago. He said Yingluck could not suspend or cancel the project after it had been declared to Parliament. Also, he claimed that despite the allegations of corruption and huge losses under the project, there was no clear evidence of such malfeasance as no authorised agencies had finalised the project's budget yet.

BAAC to take out another 500 million baht to pay rice farmers today
Thursday, 10 April 2014By NNT BANGKOK, 10 April 2014, - The Bank of Agriculture and Agricultural Cooperatives (BAAC) will today withdraw another 500 million baht from its Rice Farmers Fund to pay farmers under the rice pledging program. It has also said local administrations

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nationwide will buy 10 billion baht worth of its 0.63% return promissory notes to help fund the payment. According to Managing Director of the BAAC, Luck Watjananawat, the bank has already paid more than 1 billion baht of the rice pledging money to eligible farmers. He added that local administrations across the nation would next week purchase 10 billion baht worth of BAAC's promissory notes, in their bid to assist the bank in paying the long-delayed rice mortgage payment. The financial instrument was one of the 3 approaches the BAAC came up with in February, after the 5-billion-baht loan it borrowed from the Government Savings Bank (GSB) was cancelled. The proposed loan drew angry backlash from anti-government protesters, causing its customers to transfer their savings to other banks, leaving the GSB with no choice but to cancel the lending. As for the 20 billion baht fund the bank received from the governments central budget, the Managing Director said the bank would have to wait for clarification from the government whether to borrow additional funds to pay the farmers when the fund was depleted.

Rice prices seen improving

OUR CORRESPONDENT KARNAL, APRIL 10: Prices of aromatic and non-basmati varieties ruled flat following lack of physical trading in Haryana markets on Thursday.Tara Chand Sharma, proprietor of Tara Chand and Sons, told Business Line that all markets and business establishments remained closed on account of poll day and there was no physical trading in the market . However, traders took orders on phone but they did not dispatch the consignments, he added.After witnessing a price rise over the last few days prices of aromatic and non-basmati rice varieties remained unchanged.Traders expect rice prices to improve further in the coming days, said Sharma. In the physical market, Pusa-1121 (steam) sold at 9,600 -9,700 , while Pusa-1121 (sela) quoted at 8,500. Pure Basmati (raw) quoted at 12,500. Duplicate basmati (steam) sold at 7,600. Pusa -1121 (second wand) was at 7,350, Tibar at 6,400 while Dubar at 5,400 a quintal. In the non-basmati section, Sharbati (steam) sold at 4,950 whileSharbati (sela) quoted at 4,350. Permal (raw) sold at 2,380, Permal (sela) at 2,400, PR -11 (sela) sold at 2,750 while PR -11 (raw) at 2,700. PR14 (steam) sold at 3,000 a quintal. (This article was published on April 10, 2014)
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Water problems stalk India rice producers

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Milo Hamilton explains amazing India/China dynamic

Apr 10, 2014David Bennett | Delta Farm Press

The often chaotic mixture of Indian languages, religions and cultures can leave a visitors head spinning.If you try to think of India as a country, youll go nuts, says Milo Hamilton, veteran rice trader and president ofFirstgrain.com. Its more like an amalgamation of small countries. Its amazing how it holds together.But its a democracy and farmers there can own land and India is currently on a tear. Theyve increased the amount of people that will receive food/grain subsidies from 35 percent of the population to 70 percent. They did that last fall and its so important -- hundreds of millions of more people can eat cheaper grain. Hamilton, author of When Rice Shakes the World: The Importance of the First Grain to World Economic & Political Stability," argues that rice is not only an incredibly food source but a cause for cooperation between Asian governments that are too often displeased with each other. The International Rice Research Institute produced a rice almanac, about 400 pages. In the almanac, they declared that the China, India and Indonesia per capita consumption of rice is going up, not down, since four or five years ago. That was unexpected. Part of that may be due to the millions more being placed on the food-grain dole.These changes are seismic, says Hamilton. The largest source of the worlds wealth -- over 50 percent -- 500 years ago, was in China and India. Today, half the worlds wealth is again in China and India. The difference is that 500 years ago, it was immobile and now its in motion. Their agriculture is in motion, drones, communication networks -- all of that is going on at the same time in those two mammoth countries. And they like to eat rice.owever, there are problems.India is wasting water at accelerating rates. Fifty-four percent of Indian land is arable. Thats the good news. The bad news is they have major water problems. India is pulling about half a Lake Mead worth of water from its declining aquifers. Lake Mead is the largest man-made reservoir in the United States. Check Rough Rice Futures Prices India is an exporter of 10 million tons of rice annually. But, as people continue to eat more and more rice, it is predicted that India will become a modest exporter -- or possible even importer -- of rice within the next five years.

NorMin posts 6% growth in palay production in 2013

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BY: APIPA P. BAGUMBARAN Thursday 10th of April 2014 CAGAYAN DE ORO CITY, April 10 (PIA) --- Northern Mindanao registered a six percent growth in palay production in 2013, according to the National Economic Development Authority (NEDA) in the region.Engr. Cecilio Clarete of NEDA disclosed in todays media forum that the region produced a total of 674,903 metric tons (MT) of palay in 2013, up by 5.89 percent from the 637,348 MT produced in 2012.Area harvested also went up by two percent to 158,338 hectares while yield increased from 4.12 MT per hectare to 4.26 MT per hectare. Clarete said the region still managed to post a growth despite a slowdown in production during the fourth quarter of 2013.Data gathered by NEDA-10 show that palay production in the fourth quarter grew minimally by one percent due to the negative performances of Lanao del Norte and Misamis Occidental attributable to the movement of harvest, insufficient rainfall during the planting period, and rehabilitation of the National Irrigation System (NIA) irrigation systems. However, increases in production were also noted in Bukidnon, Camiguin and Misamis Oriental during the period due to the increased usage of fertilizer, more usage of high yielding variety, and lesser prevalence of pests and diseases.Meanwhile, corn production in the region declined by four percent in 2013 from 1,228,754 MT in 2012.Clarete said yellow corn, which constituted 70 percent of the regions total annual corn production, went down by four percent due to shifting of yellow corn areas to other crops as well as to the substantial decline in area harvested. (APB/PIA

A heartening headway
Developing nutrient-rich rice BANGLADESHI scientists have again made their mark by developing the BRRI dhan 62, a nutrient-rich rice that helps children fight stunting as well as deaths caused by diarrhoea or pneumonia as this rice contains more zinc than is available in its naturally existing variety. The good news is that yet another version of rice with still higher zinc content developed by Bangladesh Rice Research Institutes (BRRI) scientists will also be released soon. As expected, this success has earned for the country its due place at the Second Global Conference on Biofortification held recently in Kigali, the Rwandan capital. The focus of the said conference was to scale up the production of vitamin and mineral rich, i.e., biofortified crops to fight 'hidden hunger,' another name for conditions like anaemia, blindness, stunting, et al. Notably, these are caused by consumption of diets deficient in vitamins and minerals.Like our zinc-enriched rice, scientists from other countries have developed iron-rich beans, vitamin A-enriched cassava and maize as well as iron and zinc-rich millet and wheat which are being grown by farmers in Rwanda, Uganda, Congo,

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Nigeria, Zambia and India. So, thanks to the talent of our scientists, Bangladesh has been able to contribute significantly towards humanity's endeavour to create a world free from hunger, malnutrition and diseases. In this context, the government and the media have a role to play in increasing awareness of the public, farmers, in particular, about these agriculture-related innovations.Hopefully, the government will come forward to enable our local farmers to get the full benefit of the latest advancements in crop research. Published: 12:00 am Thursday, April 10, 2014 TAGS: agriculture zinc-enriched rice Biofortification Bangladesh Rice Research Institutes (BRRI)

Thailand looking forward to hosting Rice Congress in late Oct

Date : 9 2557 BANGKOK, 9 April 2014 (NNT) Thailand is gearing up to play host to the International Rice Congress (IRC) 2014, which will take place in Bangkok during October 27-November 1. Minister of Agriculture and Cooperatives Yukol Limlaemthong said it was both an honor and a great opportunity for Thailand to have been chosen as the host of the 4th IRC this year. In conjunction with the International Rice Research Institute, the event will be organized under the title Rice for the World. The ministry has convened a meeting with relevant agencies, such as the Rice Department, the Thai Rice Foundation and research institutes, on the preparations for the rice congress.

Mr Yukol revealed that a meeting of the Council for Partnership in Rice Research in Asia and the 29th International Rice Research Conference would be held as part of the IRC. Moreover, there will be exhibitions on rice research as well as related innovations and technologies. The minister stated that the upcoming congress was aimed at fostering networks among rice researchers at the international level to facilitate the exchange of knowledge concerning the cash crop. He was also confident that the event would help promote the quality and uniqueness of Thai rice and further Thailands cooperation with neighboring countries in related fields. The IRC 2014 will be held at the Bangkok International Trade and Exhibition Center (BITEC) from October 27 to November 1. Approximately 1,500 participants, comprising researchers, academics, private entrepreneurs, exporters and importers, are expected.

Iraq to end Thai rice ban

Published: 10 Apr 2014 at 06.35 Newspaper section: Business

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Iraq is set to resume buying Thai rice after halting purchases for almost a year on concerns about quality.Surasak Riangkrul, director-general of the Foreign Trade Department, said after a trip to Iraq to reconfirm the quality of Thai rice with Iraqi Trade Minister Khairallah Hassan Babiker that the Middle East state has pledged to resume importing Thai rice, a move that is likely to boost rice exports this year.Iraq is one of the world's largest importers of wheat and rice, much of which goes to supply a national food rationing programme.Normally, Iraq will issue a tender for 20,000 to 30,000 tonnes of rice a month.Iraq purchased about 845,000 tonnes from Thailand in 2012 but stopped in the second half of last year due to quality concerns.

Despite the halt, Thai exporters still managed to ship 703,869 tonnes to Iraq in 2013.Exporters earlier said Thailand could have sold 300,000 to 400,000 tonnes more to Iraq last year without the halt.Mr Surasak said once Thai rice exporters are allowed to participate in Iraq's rice import tenders, Thailand will regain more than half the total amount Iraq previously imported from Thailand.Moreover, Iraq is highly likely to open talks for rice purchases from Thailand via a government-to-government (G-to-G) contract, he said.Mr Surasak said apart from Iraq, other countries are interested in G-to-G deals.China and Malaysia have proposed buying a combined 600,000 tonnes of Thai rice, while the US is looking at purchasing more than 1 million tonnes, he said. Thailand is also planning to participate in a tender closing next Tuesday to supply 800,000 tonnes of rice to the Philippines, but Vietnam is expected to win the bulk of this tender."Despite the government not being eligible to participate in this tender, authorities have cooperated with Thai exporters to join the tender to be held on April 15," said Mr Surasak."We're confident that Thai exporters will win at least a half of the tenders or about 400,000 tonnes."Results of the tender held by the Philippines will be announced next Wednesday.As of last Friday, Thailand this year has exported 2.11 million tonnes of rice, up by 28.7% year-on-year.But in terms of value, exports fell by 6.66% to US$1.1 billion.In a related development, the Commerce Ministry yesterday put up a combined 429,327 tonnes of state rice stocks for auction.

Thailand looking forward to hosting Rice Congress in late Oct

Date : 9 2557 BANGKOK, 9 April 2014 (NNT) Thailand is gearing up to play host to the International Rice Congress (IRC) 2014, which will take place in Bangkok during October 27-November 1. Minister of Agriculture and Cooperatives Yukol Limlaemthong said it was both an honor and a great opportunity for Thailand to have been chosen as the host of the 4th IRC this year. In conjunction with the International Rice Research Institute, the event will be organized under the title Rice for the World. The ministry has convened a meeting with relevant agencies, such as the Rice Department, the Thai Rice Foundation and research institutes, on the preparations for the rice congress. Mr Yukol revealed that a meeting of the Council for Partnership in Rice Research in Asia and the 29th International Rice Research Conference would be held as part of the IRC. Moreover, there will be exhibitions on rice research as well as related innovations and technologies.The minister stated that the upcoming congress was aimed at fostering networks

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among rice researchers at the international level to facilitate the exchange of knowledge concerning the cash crop. He was also confident that the event would help promote the quality and uniqueness of Thai rice and further Thailands cooperation with neighboring countries in related fields. The IRC 2014 will be held at the Bangkok International Trade and Exhibition Center (BITEC) from October 27 to November 1. Approximately 1,500 participants, comprising researchers, academics, private entrepreneurs, exporters and importers, are expected.

WASDE: Domestic Rice Use Increased

APRIL 9, 2014

By: AgWeb.com Editors

No changes are made on the supply side of the U.S. all rice and rice-by-class 2013/14 balance sheets. Total 2013/14 all rice use is raised 1.0 million cwt to 221.0 millionall on the combined medium- and short-grain rice side. All rice domestic and residual use is increased 4.0 million cwt to 124.0 million with long-grain and combined medium- and short-grain domestic and residual use each raised 2.0 million to 91.0 million and 33.0 million, respectively.Partially offsetting the increase in domestic and residual use is a 3.0 million cwt decline in projected total exports to 97.0 millionthe lowest since 2008/09. The 2013/14 long-grain export projection is lowered 2.0 million cwt to 65.0 million, and combined medium- and short-grain exports are lowered 1.0 million to 32.0 million. The rough rice export projection is lowered 2.0 million to 33.0 million, and milled exports are lowered 1.0 million (rough-equivalent basis) to 64.0 million.The export pace has dropped off to some markets in the Western Hemisphere including Venezuela, Nicaragua, Costa Rica, and Haiti, largely due to stronger competition from exporters in South America and Vietnam. Additionally, U.S. exports to African markets and Japan have been slower than expected.The increase in domestic and residual use is based primarily on total use implied from the March 1 rice stocks, as reported by the National Agricultural Statistics Service on March 31. USDAs March 1 rice stocks were lower than expected and lower than most trade expectations. The all rice 2013/14 August 1 stocks are lowered 1.0 million cwt to 27.3 million, the lowest since 2003/04all in combined medium- and short-grain stocks.The 2013/14 long-grain season-average price range is forecast at $15.30 to $15.90 per cwt, unchanged from last month, and with the midpoint forecast at $15.60 per cwtthe highest on record (series starts in 1982/83).

The medium- and short-grain season-average price range is forecast at $19.70 to $20.30 per cwt, up $1.00 per cwt on each end of the range from a month ago, and with the midpoint forecast at $20.00 per cwtthe highest price since the 2008/09 record of $24.80 per cwt.The all rice season-average price range is forecast at $16.60 to $17.20 per cwt, up 30 cents on each end of the range, and with the midpoint at $16.90 per cwtthe highest price on record. The reduced prospects for 2014/15 medium- and short-grain production in the Sacramento Valley of California due to drought and reduced irrigation supplies have significantly raised medium-grain prices in California. USDAs Prospective Plantings (March 31) reported intended plantings of medium -grain rice in California at 420,000 acres, down 18 percent from the previous year and the smallest since 1998.

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Additionally, old-crop supplies of medium-grain rice in California are drawing down, tightening the current supply situation. Finally, Australias drought is also increasing medium-grain prices as Australia is a major exporter of mediumgrain rice and a primary U.S. export competitor.The global 2013/14 rice supply and use balance sheet has changed little compared to a month ago, despite many country-level supply and use changes. World rice production is increased 0.8 million tons to a record 475.6 million tons, primarily due to larger projections for Brazil, Pakistan, and Sub-Saharan Africa. Global consumption is raised 0.5 million tons, largely due to increases for Brazil, South Korea, Sub-Saharan Africa, Vietnam, and the United States. Global rice trade for 2013/14 is nearly unchanged from a month ago at 40.8 million tons; however, there were some significant country-level changes including increases in exports for Pakistan and Thailand; and decreases for Vietnam and the United States. On the importer side, projected rice imports for 2013/14 are raised for Bangladesh, China, Vietnam, and Sub-Saharan Africa. Global 2013/14 ending stocks at 111.2 million tons are down 0.5 million from last month, but up 1.0 million from the prior year. Ending stocks projections are raised for China, Brazil, and the European Union, but reduced for Pakistan, Thailand, Vietnam, and the United States.

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