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Daily Exclusive

ORYZA Rice E-Newsletter

Daily Exclusive ORYZA Rice E-Newsletter 2015
May 28 ,2015
Vol 5,Issue V

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Daily Exclusive ORYZA Rice E-Newsletter 2015

India's Open Market Rice Auctions Receive

Lukewarm Response Due to High Prices
May 27, 2015

India's rice auctions under the Open Market Sale Scheme (OMSS) since their launch on April 1
this year have received a lukewarm response from traders and private purchasers, according to
local sources.With an intention to clear off the buffer stocks with the Food Corporation of India
(FCI, the government of India has allowed the FCI to offload excess rice stocks to the extent of
around 2 million tons to bulk buyers such as millers and traders. Any government agencies are
not allowed to participate in bidding, according to local sources.However, the FCI received bids
for only 350 tons so far. &

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Daily Exclusive ORYZA Rice E-Newsletter 2015

An official from Food Ministry told local sources that the demand was low as the prices of
Rs.2,300 per quintal (around $369 per ton) for common grade paddy and Rs.2,340 per quintal
(around $375 per ton) for Grade A paddy offered by the FCI are higher than the prevailing
market price.
The official added that the rice price was set based on the Minimum Support Price (MSP), at
which the government agencies procure rice from farmers. The minimum and maximum auction
quantities of rice for sale under OMSS are 50 tons and 3,500 tons per week respectively.He
noted that if the demand does not pick up, the government may decide to wind up the rice sales
under OMSS.Indias rice stocks in the central pool as of May 1, 2015 stood at around 22.23
million tons (including a milled equivalent of about 7.968 million tons of paddy), down about
22% from around 28.41 million tons recorded during the same period last year, according to data
from FCI. Current rice stocks are about 94% more than the required buffer and strategic reserve
norms of around 12.2 million tons for this time of the year.

IPAB to Hear Basmati GI Certification Case

in July 2015
May 27, 2015

The Chennai-based Intellectual Property Appellate Board (IPAB) will reportedly hear the claims
of parties involved in the basmati gegraphical indications (GI) certification case for three days &

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Daily Exclusive ORYZA Rice E-Newsletter 2015

starting from July 8, 2015, a move that could see legal protection granted to Indian basmati rice,
according to local sources.India's petition to grant a legal protection to basmati rice is being
delayed since 2009, when the the Agricultural and Processed Food Products Export
Development Authority (APEDA) applied for the GI protection for the first time. However,
based on complaints from the Madhya Pradesh department of farmer welfare and agriculture
development and some basmati exporters in the state, in December 2013, the GI Registry
directed the APEDA to file an amended GI application to include Madhya Pradesh as a basmati
growing area.
Not convinced by the GI Registry's directive, the APEDA approached the Intellectual Property
Appellate Board (IPAB) in February 2014 to decide over the inclusion of Madhya Pradesh in its
Geographical Indications (GI) application. The Madhya Pradesh state farmers' body also
appealed against the APEDA with the IPAB.The APEDA has been very keen on not including
other basmati growing states, other than those recognized by National Agricultural Research
System under the agriculture and co-operative department, in its application as it views the GI
status is critical in determining the genuine basmati rice cultivators.
The Commerce and Agriculture Ministries as well as some renowned agricultural scientists in
India are also opposed to the inclusion of Madhya Pradesh in the definition of traditionally
basmati-growing geography as it would undermine the rights of those farmers who have been
traditionally growing basmati in Indo-Gangetic plain.Meanwhile, Pakistan's Basmati Growers
Association (BGA) also appealed to the IPAB against granting legal protection to Indian basmati
rice.A GI certification label certifies the geographical origin of a product and confirms adherence
to some production standards. It also prevents producers who aren't covered by the tag from
using the same thereby providing a legal protection to the cultivation and use of the specific

South Korea Buys 55,378 Tons of NonGlutinous Brown Rice from U.S. and China
in Tender
May 27, 2015

South Korea's state run Agro Fisheries & Food Trade Corporation (KAFTC) has purchased
55,378 tons of non-glutinous brown rice of the U.S. and Chinese origins, according to a
statement on its website.The tonnage and price details of the various varieties of rice purchased
are as below.KAFTC originally sought to purchase about 75,378 tons of non-glutinous rice via
eight tenders but will announce the results for 10,000 tons of non-glutinous short-grain brown &

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Daily Exclusive ORYZA Rice E-Newsletter 2015

rice, 9,000 tons 10,000 tons of non-glutinous medium-grain brown rice after sample tests are
complete, according to the website. Results for 10,352 tons of non-glutinous medium-grain rice
are also not specified by the KAFTC.

Oryza Overnight Recap Chicago Rough

Rice Futures Remain Under Pressure from
Lack of Demand
May 27, 2015

Chicago rough rice futures for Jul delivery are currently seen paused 1.5 cents per cwt (about
$0.33 per ton) lower at $9.405 per cwt (about $207 per ton) during early floor trading in
Chicago. The other grains are seen trading with mixed results; soybeans are currently seen about
0.2% higher, wheat is listed about 1.3% lower and corn is currently noted about 0.9% lower.U.S.
stocks traded higher on Wednesday, recovering some of Tuesday's sharp decline, as investors
eyed Greece headlines amid continued rise in the dollar and bond yields. The Dow Jones
industrial average traded about 105 points higher. The blue chip index fell as much as 242 points
on Tuesday before closing 190 points lower. European stocks opened higher and rallied on
encouraging reports out of Greece.
The German DAX gained more than 1 percent, while Greece's ATHEX Composite traded 3.5%
higher. No major data is expected Wednesday. Weekly mortgage applications dropped 1.6% as
higher rates put a pause on refinancing. Investors will continue to watch the Dow transports,
which attempted to trade about half a percent higher. The index extended its recent selloff on
Tuesday, with its 50-day moving average falling below its 200-day moving average. Gold is
currently trading slightly higher, crude oil is seen trading about 0.4% lower, and the U.S. dollar
is currently trading about 0.1% higher at 8:30am Chicago time.

Thailand Rice Sellers Lower Some of Their

Quotes Today; Other Asia Quotes Unchanged
May 27, 2015

Thailand rice sellers lowered their quotes for Hommali rice by about $10 per ton to around $850
- $860 per ton today. Other Asia rice sellers kept their quotes mostly unchanged today.
5% Broken Rice &

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Daily Exclusive ORYZA Rice E-Newsletter 2015

Thailand 5% rice is indicated at around $370 - $380 per ton, about a $20 per ton premium on
Vietnam 5% rice shown at around $350 - $360 per ton. India 5% rice is indicated at around $370
- $380 per ton, about a $35 per ton discount to Pakistan 5% rice shown at around $405 - $415 per
25% Broken Rice
Thailand 25% rice is shown at around $350 - $360 per ton, about a $25 per ton premium on
Vietnam 25% rice shown at around $325- $335 per ton. India 25% rice is indicated at around
$345 - $355, about a $15 per ton discount to Pakistan 25% rice shown at around $360 - $370 per
Parboiled Rice
Thailand parboiled rice is indicated at around $370 - $380 per ton. India parboiled rice is
indicated at around $360 - $370 per ton, about a $45 per ton discount to Pakistan parboiled rice
shown at around $405 - $415 per ton.
100% Broken Rice
Thailand broken rice, A1 Super, is indicated at around $315 - $325 per ton, about a $5 per ton
premium on Vietnam 100% broken rice shown at around $310 - $320 per ton. India's 100%
broken rice is shown at around $275 - $285 per ton, about a $30 per ton discount to Pakistan
broken sortexed rice shown at around $305 - $315 per ton.

Global Rice Quotes

May 28th, 2015
Long grain white rice - high quality
Thailand 100% B grade 375-385

Vietnam 5% broken


India 5% broken


Pakistan 5% broken


Myanmar 5% broken


Cambodia 5% broken


U.S. 4% broken 465-475 &

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Daily Exclusive ORYZA Rice E-Newsletter 2015

Uruguay 5% broken


Argentina 5% broken


Long grain white rice - low quality

Thailand 25% broken


Vietnam 25% broken


Pakistan 25% broken


Cambodia 25% broken


India 25% broken


U.S. 15% broken


Long grain parboiled rice

Thailand parboiled 100% stxd


Pakistan parboiled 5% broken stxd


India parboiled 5% broken stxd


U.S. parboiled 4% broken


Brazil parboiled 5% broken


Uruguay parboiled 5% broken


Long grain fragrant rice

Thailand Hommali 92% 845-855

Vietnam Jasmine

India basmati 2% broken NQ

Pakistan basmati 2% broken


Cambodia Phka Mails 815-825

Thailand A1 Super

Vietnam 100% broken 310-320

Pakistan 100% broken stxd

Cambodia A1 Super

India 100% broken stxd 275-285

Egypt medium grain brokens


U.S. pet food


Brazil half grain NQ

All prices USD per ton, FOB vessel, &

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