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Rice Acreage Shrinks and Competition Rises Among Seed Suppliers (20131008)

Rice Acreage Shrinks and Competition Rises Among Seed Suppliers (20131008)

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Published by: CCM International Limited on Oct 10, 2013
Copyright:Attribution Non-commercial


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Guangxi: rice acreage shrinks and competition rises among seedsuppliers
Guangxi has seen an overall decline in rice acreage in the past few years and thecompetition is becoming intense among rice seed suppliers.
Guangxi, hybrid rice, seed, crops, rice varieties, planting regions, late-season riceGuangxi Zhuang Autonomous Region (Guangxi), a major agricultural region located in thesouthern border of China, has seen an overall decline of rice acreage in the past few years.The shrinking rice acreage is primarily owing to its unsatisfactory plant efficiency. Thedepressed purchase price under the impact of large rice imports from Vietnam has hurt thelocal farmers' enthusiasm for rice planting, according toSeed China News 1309issued by CCMin September.Eyeing at higher plant efficiency, a number of farmers give up rice planting and turn to other crops, such as sugarcane, corn, mulberry and eucalyptus, or change the double cropping of rice per year into single cropping per year.Despite the shrinking acreage of rice in Guangxi, the hybrid rice seed market, especially thelate-season rice seed market, still attracts rice seed players both inside and outside Guangxi.Due to the special location, the sales season of late-season rice seeds in Guangxi is usually atthe mid of June every year, much later than that in northern regions, which provides a separatemarket for rice seed players.There are quite abundant rice varieties in Guangxi market and the competition is increasinglyintense.Some excellent rice varieties, such as Y Liangyou1, Shenliangyou5814 and Zhongzheyou1promoted by rice seed players outside Guangxi have occupied a leading position in Guangximarket. Compared with adventive rivals, local rice seed suppliers are generally weak in salesand breeding capacity, but there are still some excellent varieties bred by local agriculturalinstitutes recognized in the market, such as Teyou582 and Yexiangyou9.Hybrid rice seeds are in the state of excess supply in Guangxi. Revealed by Tang Zhongping,Deputy Director of Guangxi Seed Administration Bureau, the total demand for hybrid riceseeds was around 12 million kg in 2012 while the supply exceeded 17.80 million kg, with thesupply and demand ratio hitting 1.48:1.It is expected that the market share of high-quality rice varieties will have an uptrend inGuangxi. At present, growers are willing to plant rice varieties with soft, fragrant andgood-tasting grain, instead of the simply high-yielding varieties. Actually, high quality alreadybecomes the first requirement on a rice variety in Guangxi market.

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