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SunRice lifts rice price as current crop struggles
Indonesia Records a Rice Production Surplus of 5.4 million Tons This Year
Farmers told: Beware of fake hybrid rice seeds
450,000 bags of Vietnam rice arrive to augment PH rice buffer stock - NFA
Rice importers fined for hiking prices
Bangkok rice FOB price
What’s next for Cambodian rice?
Basmati to stay on Iran’s plate
Grand jury in Kansas indicts Chinese scientists

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NEWS DETAILS:
SunRice lifts rice price as current crop struggles
ABC Rural :By Laurissa Smith
Posted Fri 20 Dec 2013, 10:28am AEDT
PHOTO: Windy, cold weather, snails and duck damage have made rice growing very challenging for farmers in southern NSW this year. (Laurissa
Smith)

Last season's crop just became more valuable for rice growers in Australia.
Rice food company SunRice has lifted the price of the
2013 crop for its farmers by $20 a tonne, which pushes
its indicative full year paddy price to $280 a
tonne.Despite an upgrade to profits in the first half of
the year, CEO Rob Gordon says its downgraded its full
year results outlook, warning profit after tax could be
up to 15 per cent lower than last year.The company is
also expecting growers will harvest a smaller crop next
year because of lower water allocations, but says it's
too early to comment on specific implications.One
consultant based in the southern Riverina says its been one of the worst years for growing rice, because
minimum temperatures have been below average for the entire season.He says the heatwave this week should
help improve the vigour of the rice crops that have been struggling to grow.
Topics: rice, agribusiness, wagga-wagga-2650

Indonesia Records a Rice Production Surplus of 5.4 million Tons This Year
BY ADMIN2
– DECEMBER 19, 2013POSTED IN: AGRICULTURAL, ECONOMY, GOVERNMENT, HEADLINES

Minister of Agriculture Suswono said the government need not import rice next year, since domestic production
in 2013 will suffice. Indonesia records a rice production surplus of 5.4 million tons this year. The central
government, regional government and businesses have joined hands in efforts to increase Indonesian food
production, especially rice, corn, sugar, soy and beef. If successful, rice production surplus may approach 10
million tons.Bulog has not made plans to import rice next year. As year-end approaches, the price of rice
remains stable. Besides, Bulog’s stock to this date is still above 2.1 million tons. Based on Bulog’s data, the

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price of rice of medium quality this weekend stayed around
Rp8,100-8,200 per kilogram.An agriculture expert from the
Indonesian Economic and Political Association (AEPI),
Khudori, questioned the reliability of the Central Bureau of
Statistics’ (BPS) data, which shows that Indonesia has achieved
rice self-sufficiency three years ago.

Farmers told: Beware of fake hybrid rice seeds
Philippine Daily Inquirer
9:45 pm | Thursday, December 19th, 2013

SCIENCE CITY OF MUÑOZ— Officials of the Philippine Rice Research Institute (PhilRice) here warned
farmers against businessmen who are passing off ordinary rice seeds as those of hybrid rice and are using bags
bearing the agency’s name and logo to attract buyers.―They are making big money. They are selling the seeds at
P4,000 to P6,000 per 20-kilogram bag,‖ said Dr. Eufemio Rasco Jr., PhilRice executive director. ―They are not
only making big money out of it but are also sabotaging efforts to increase rice production.‖Rasco said certified
hybrid rice seeds used by farmers for planting have a government-approved price of P1,200 per 40-kg bag.

The use of hybrid rice seeds for commercial planting is known to increase yield by at least 15 percent.There
were reported cases that with the use of hybrid rice seeds, a number of farmers were able to harvest more than
300 cavans per hectare.Mention of hybrid rice seed has become a magnet for farmers in the hope of obtaining
higher rice yield. It has also become a source for anomaly for scheming profiteers, PhilRice officials said.
Anselmo
Roque,
Inquirer
Central
Luzon

450,000 bags of Vietnam rice arrive to augment PH rice buffer stock NFA
By: Aerol B. Patena, Philippines News Agency
December 20, 2013 1:58 PM

FILE PHOTO OF RICE STOCKS AT NFA WAREHOUSE BY MIKE GUBAT

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MANILA -- An initial shipment of 450,000 bags or 22,500 metric tons (MT) of rice from Vietnam was received
by the National Food Authority (NFA) Thursday at its Manila Harbor Center warehouse in Tondo, Manila.The
stocks form part of the 500,000 MT that was awarded to Vietnam on a government-to-government tender last
November to boost the agency’s buffer stock
which was depleted due to the substantial
supply requirements

needed

for relief

operations in the hard-hit areas of typhoon
Yolanda.In an interview with reporters,
NFA spokesperson Rex Estoperez explained
that a total of 120,000 MT arrived in the
country this month through the ports of
Manila, Cagayan De Oro City, General
Santos City, Iloilo, and Cebu.

The remaining balance of 380,000 MT is expected to be delivered in the first quarter of next year to serve as
buffer for the traditional lean months of July to September. The importation would cost at around $ 462.25 per
metric ton which is equivalent to P 9.7 billion.―The NFA Council decided to import rice for precautionary stock
purposes. We need to strike a balance between ensuring the stability of the rice supply and providing relief for
those who were affected by recent calamities,‖ Estoperez said.Meanwhile, the NFA assures the public that
stocks on its warehouses are of premium quality contrary to reports that rice distributed for typhoon Yolanda
victims were rotten and not suitable for consumption.Estoperez stressed its quality assurance officers and
internal auditing department regularly monitor and assess stocks that are stored on its warehouses. ―Our stocks
need to pass our standards.
If our monitoring team determines that they are of inferior quality, warehouse managers will be accountable to
us and we will not release these stocks.‖He said that its critics are behind these media reports in order to derail

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its mandate of ensuring food self-sufficiency in the country.The agency is open for inspection of its warehouses
by the media and concerned citizens to prove that its rice stocks are good of quality.

Rice importers fined for hiking prices
By Beatrice Thomas:Thursday, 19 December 2013 11:51 AM

(Photo for illustrative purpose only)

A Saudi Government committee has fined
several rice importers SAR40 million
($10.67m) after they were found to have
colluded to reduce the weight of rice packets
and hike prices, it was reported.It comes amid
accusations that some rice importers were also
draining the market of rice stocks to bolster
returns.Minister of Commerce and Industry
Tawfiq Al Rabiah, who is also chairman of the
Council of Competition Protection (CCP), said
a committee investigating the matter found rice
merchants had mutually agreed to reduce the
weight of rice packets and hike prices.According to Article 12 of the Competition Law, a fine of up to SR5 million
($1.33m) will be imposed for each violation.It will be doubled in the case of repeat offences, with details of the
verdict publicised at the expense of the violator.
Al Rabiah said the law was aimed at ensuring fair competition by compelling traders and importers to curb practices
that monopolised the market, he said.Muhammad Al Qassem, Secretary General of the Council, said it had been
noted rice importers were draining the market of rice stocks and before increasing prices.―These companies informed
their customers about the new hike without notifying them or explaining the reasons for increasing prices,‖ he was
quoted by the Saudi Gazette as saying.The rice importers can appeal against their penalties to the Court of
Grievances, the Ministry of Commerce said in a statement.The Council will publish their names after a final verdict.

Bangkok rice FOB price
English.news.cn 2013-12-20 15:17:40

BANGKOK,Dec. 20 (Xinhua) -- The following are Bangkok rice FOB prices, as offered by the Rice Exporters Association of

Thailand, for the week:Unit: U.S. dollar/Metric Ton

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This week Last Week
Jasmine Rice (Thai Hom Mali Rice)
Grade A (crop year 2012/13) 1171 1163
Grade A (crop year 2013/14) 1028 1034
White Rice
White Rice 100% Grade B 458 460
White Rice 25% 398 400

What’s next for Cambodian rice?
Kann Kunthy, CEO of Battambang Rice Investment Co, speaks to the Post from his office in Phnom Penh on
Wednesday. Vireak Mai
Fri, 20 December 2013
Chan Muy Hong
In November, Cambodia won the coveted World’s Best Rice award
for the fragrant variety. It was the second year in a row that the
product finished first in the global competition, held this year in
Hong Kong. Kann Kunthy, chief executive officer of Battambang
Rice Investment Co, was a presenter at the competition. The Post’s
Chan Muy Hong sat down with Kunthy to talk about what the award
has done for rice exports, and what challenges to stay competitive lie
ahead.
How is the World’s Best Rice award-winner selected?
Rice producers from around the world can submit rice samples to compete. I do not remember the number of
competitors this time. But for the first round, six countries were selected to go to another round.That included
Cambodia, Myanmar, Thailand, India and the United States (California rice). There were three countries left
after the second round: Cambodia, Thailand and the United States. Then Thailand was out. We were competing

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with California rice and we won. They judge the rice according to four criteria before and after it is cooked: the
aroma, the overall look, the texture and the length of the grain.
The award is nice, but how has it helped farmers?
We first won in 2012. I didn’t think then that we had benefited from it. But this year, we have seen attention
from both local and international media, and people keep talking about it. The award was won by Cambodian
farmers. This award belongs to no one specifically, but to all the farmers out there who have grown quality rice.
I think this award should be the starting point for relevant stakeholders to come together and push the whole
sector forward.
What needs to be done?
The number one challenge is capital. We take loans to invest in rice millers. We take loans to buy paddy rice.
Buyers do not pay us immediately, so the interest rate keeps going up. This is triple risk for us. We need a lower
interest rate loan.
Number two is energy costs. Compared to nearby countries, Cambodia has a lower energy supply and it is
expensive. It is quite a big deal for us because it makes our operational costs higher. Number three is
transportation and logistics to export rice, which require money too. We need a cheaper way to transport rice.
Finally, there is no marketing or public relations campaign to promote our rice to a wider market. I believe if we
could link the rice sector with tourism through marketing, we could bring the fame of our fragrant rice to the
globe while attracting more tourists.
What kinds of potential do you see in the rice sector?
We see more demand for Cambodian rice because Cambodian farmers are still using traditional ways of
farming, which means we have better potential in producing better quality rice for export. Rice production in
Cambodia is at nine million tonnes annually. I think in the future if we have better water management systems
and we use all the available land to farm, Cambodia’s rice production could reach 20 million tonnes a year. If
the government could provide information databases about soil mapping and where to seek quality seeds and
what province has potential for what kind of rice, I think it will attract more investment that will help improve
the whole rice sector.
What should be done to strengthen the competitiveness of Cambodia’s rice sector in the region?
The government should focus on marketing. The private sector should make rice quality better. In our case, we
are planning to do contract farming with local farmers in which we will be working with them in selecting
quality seeds, using soil and assisting them with farming techniques from our experts. ASEAN economic
integration is approaching, meaning no tax will be charged on importing and exporting among the member
countries. I think Cambodia should be ready in terms of competitiveness in price, quality and service.
This interview has been edited for length and clarity

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Basmati to stay on Iran’s plate
TEJINDER NARANG
India's rice exports to Iran and Nigeria to remain strong.
Those who believe Iran will tap other rice producers are discounting India’s advantages.
Immediately after the US/EU-Iran interim
agreement was signed on November 24, there
were widespread concerns that India’s basmati
exports to the Islamic republic will take a hit.
Since the 2011 sanctions, Iran has been
increasingly depending on Indian exports of the
cereal. Now, with the prospects of the West
relaxing sanctions, Indian exporters fear the
country might not buy as much as it did
earlier.Shortly after the pact was signed, the
―export sentiment‖ for the 1121 Basmati variety
to Iran turned bearish. Many felt Iran may divert
business to Pakistan and Thailand. But that might
be a knee-jerk presumptive reaction. The fact is the prospect of increased basmati rice export to Iran and more
exports of non-basmati rice to Nigeria and Bangladesh may further strengthen India’s exports of this cereal in
2013-14.
Trade with Iran
Also, rupee depreciation has provided India with a cutting edge. The country’s number one rank in global rice
shipments is likely to be maintained — about 10-11 million tonnes (mt), or approximately 30 per cent share in
the global trade of 35 mt.India is uniquely placed to utilise Rs 50,000 crore (or $8 billion) held in UCO Bank on
Iran’s account. Pakistan and Thailand lack such a facility. The U S sanctions on Iran’s oil exports remain intact,
neither have curbs on banking been relaxed. The lifting of all restrictions would depend upon the signing of a
comprehensive agreement.Meanwhile, the Shia-Sunni rift in the Muslim world can rock the interim agreement.
Pakistan is closely aligned with Sunni Saudi Arabia, which has opposed this rapprochement. Any
accommodation by Iran of Pakistan would mean implicit support to Saudi’s ally, which is highly
unlikely.Moreover, India’s global basmati exports are 3-3.5 mt per annum. Iran’s annual import requirement of
basmati rice is 1.7-2 mt , while India’s supplies to the country have increased from 0.5 mt to 1.1 mt in the past
the four years, with better price realisation.
In 2013-14, India’s share could be about 80 per cent of Iran’s import of rice — about 1.4-1.5 mt. This reliance
cannot be dismantled overnight. On the contrary, dependence on Indian cereal can increase — especially with

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the new hybridised paddy 1509 with better yield and lower costs. In 2012-13, Pakistan’s total basmati rice
export to 96 countries was 0.63 mt, according to Rice Exporters’ Association of Pakistan. The country supplied
only 43,000 tonnes to Iran. Its monthly shipments are around 3,600 tonnes, against the Indian average of
approximately 1,00,000 tonnes.In the absence of a smooth banking arrangement with Pakistan, ideological
differences, lack of research capacity, quality issues and persistent power shortages, Pakistani rice cannot match
the Indian 1121 variety.Thailand has been a supplier of superior quality non-basmati rice (NBR) to Iran. Its
Hom Mali (fragrant rice) export virtually stopped after 1121 was introduced.The grain length and elongation
characteristics of 1121 are not tested by Hom Mali, which costs about $1,100/tonne. Iran and Indian shippers
use certain blends of Indian basmati and long grain NBR to lower fob values.
With Nigeria

On July 25, 2013, Iran sourced 2,50,000 tonnes of NBR (white rice) at $520/tonne fob, and not the fragrant
variety. Any small revival of Hom Mali cannot replace the preference for 1121.In November, Nigeria slashed
―effective‖ import duty on non-basmati rice from 144 per cent to about 44 per cent for the arrival of vessels in
December 2013-January 2014. Export tax arbitrage with neighbouring Benin has ceased. The new duty regime
is for two months, but what happens later is anyone’s guess.Nigeria imports 2.5-3 million tonnes NBRparboiled (PB) annually, mostly from India, Thailand, and Brazil. Direct Nigerian imports from India are about
0.8 mt in 2012-13.In addition, Nigeria’s neighbour Benin has been used as a base-country for import via
Cotonou of about 0.5 mt of Indian rice to Nigeria. Thus India accounts for about 50 per cent (1.3 million
tonnes) of Nigeria’s rice imports that may rise to 70-75 per cent in 2013-14.Indian par-boiled rice costs
$400/tonne fob as against $470/tonne in the case of Thailand. Prominent Nigerians buyers are keen to secure
Indian arrivals at least till Nigeria retains its low duty regime. Indian shippers are in a hurry to despatch their
parboiled rice and even diverting their cargos on high seas from Cotonou to Lagos.About a quarter million
tonnes is contracted additionally by prime Nigerian importers in end November-early December 2013 with
Indian shippers.
Bangladesh’s needs
The Government of Bangladesh (GOB) needs import of 0.5 mt of rice immediately of 15 per cent par boiled
variety. India is commercially and strategically well placed to meet this demand. But the India and Bangladesh
governments are not able to conclude a G-to-G deal. Reasons: FCI stocks need upgradation and repackaging,
special pricing and several other issues.Past dealings of PSUs with private players on a back-to-back basis have
been controversial due to procedural reasons.Indian open market prices are the lowest on delivered basis to
Bangladesh. The Bangladesh government has no alternative but to import from private Indian suppliers, where
Indian bidders compete on best market price (and not FCI).Thailand does not have significant availability of 15
per cent broken parboiled rice. Pakistan may not be successful in quoting competitive tenders while competing
with India.All Bangladesh has to do is to follow internationally accepted practices, rather than customised
tendering conditions prone to defaults and rent seeking.

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Indian Policy
Since 2011, the Indian government has kept rice trade/export free from any conditions and encumbrances. That
is why India has secured number one rank in world trade. Stocks of FCI remain untouched. Private market
availability and dollar/rupee exchange rates have been helpful. Research in new rice varieties has added
impetus.More flexibility in Iran’s rupee account will be supportive of rice and non-rice trade. Removal of recent
stock limits on rice for export will also improve the sentiment.
(The author is a grains trade analyst)
(This article was published on December 19, 2013)
Keywords: US/EU-Iran interim agreement, Basmati rice, rice producers, world trade, import of rice

Grand jury in Kansas indicts Chinese scientists
Two scientists from China working in the U.S. have been indicted in Kansas on charges alleging they stole
seeds developed by a U.S. bioscience company and gave them to an agricultural delegation visiting from
China.A federal grand jury on Wednesday indicted Weiqiang Zhang and Wengui Yan on one count each of
conspiracy to steal trade secrets and one count of theft of trade secrets.Zhang, an agricultural seed breeder at
Ventria Bioscience's facility in Junction City, and Yan, a U.S. Department of Agriculture research geneticist at
the Dale Bumpers National Rice Research Center in Stuttgart, Ark., were initially charged last week with
conspiracy to steal trade secrets.Zhang was being held at a detention center in Leavenworth. Yan has been
detained in Arkansas. Federal public defenders appointed to represent the two men did not immediately return
calls seeking comment Friday.The two are accused of stealing Ventria rice seeds containing proteins used for
therapeutic purposes. The seeds were protected by Ventria as "confidential and propriety information," the
indictment said. Ventria, based in Fort Collins, Colo., did not respond to an email seeking comment
Friday.According to the federal complaint filed last week, the company told federal authorities it was the only
U.S. producer of those particular seeds and that if they were stolen and the technology compromised "its entire
research and development investment would be compromised." The company said its investment in developing
the seeds ranged from $3 million to $18 million.
Zhang, a citizen of China who is a lawful permanent resident of the U.S., began collecting the seeds in October
2012 from Ventria's facility in Junction City, Kan., where he managed the plant breeding and nursery
operations, according to the indictment.Yan, who had worked for the USDA since 1996 and is a naturalized
U.S. citizen, then visited a crops research institute in China with Zhang in 2012 "to gauge how their agricultural
knowledge and expertise would assist and further the efforts of the crops research institute," the indictment

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said.The pair arranged for a delegation from a crops research institute in China to visit the U.S. this summer so
they could "specifically pass along Ventria's Trade Secret Information and Ventria's unique rice seeds with
recombinant proteins," the indictment alleges. U.S. Customs and Border Protection confiscated the seeds from
the delegation before they flew back to China in August. The indictment does not name the institute that the
delegation represented.
Zhang and Yan each face up to 10 years in prison and fines up to $250,000 on each count.Their case coincided
last week with charges in Iowa against six other men from China, including the CEO of a seed corn subsidiary
of a Chinese conglomerate. They are charged with conspiring to steal patented seed corn from two of America's
leading seed developers. But Jim Cross, spokesman for the U.S. Attorneys in Kansas, said as far as he knows
the two cases are not related.Peter Toren, a former federal prosecutor who handled trade secrets cases, said
earlier this week that the number of cases of economic espionage connected to China has increased significantly
in recent years, due in part to a lack of respect for intellectual property rights in that country."The value in
bringing these cases in the criminal forum is hopefully it will have some deterrent effect," Toren said.

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20th december,2013 daily global rice e newsletter shared by riceplus magazine