Rice Tariff Collection Exceeds P10B Target

8th
October, 2020
Daily Global Regional Local Rice E-Newsletter
www.riceplusmagazine.blogspot.com
SIAL Food Show Returns After 4-Month Delay
By Sarah Moran
SHANGHAI, CHINA -- Last week, USA Rice participated in the twentieth SIAL international food show
here. Originally scheduled for mid-May, SIAL organizers had postponed the annual trade fair, the largest
in Asia, due to COVID-19 restrictions and travel bans.
On the first day of the exhibition, more than 200 visitors stopped by the USA Rice booth, including
representatives from Walmart and Sam's Club, as well as the new U.S. Consul General in Shanghai James
Heller, and the new Shanghai Agricultural Trade Office (ATO) Director Erik Hansen.
"Interest in U.S. rice continues to grow in China as importers become more familiar with the variety of
U.S.-origin rice types that are available," said Jim Guinn, USA Rice director of Asia promotion programs.
"Everyone who stopped by the booth -- retail reps, sushi manufacturers, and restaurateurs -- was
encouraged to sample the seven different types of U.S. rice on display. The four rice types from the south
included long grain, long grain parboiled, medium grain, and jasmine. The three California varieties were
Calrose, Calhikari, and Calmochi."
Absent the ability to travel to the show, USA Rice had invited all qualified exporters to submit short
videos introducing their company that were shown at the booth to prospective customers.
"Most traders are keen to import U.S. rice, but are reluctant to act because of concerns over bilateral trade
issues continuously highlighted in the media," said Guinn. "We're all waiting for that first shipment of
U.S. rice to China since the market was opened here more than 18 months ago."

The man behind the mask (left) at the USA Rice booth is
U.S. Consul General in Shanghai James Heller
Market Information

Health Tips: Eating bread and rice also reduces weight! Know
who is more healthy in both
by Bhavi Mandalia
October 7, 2020
in Health
Health Tips: Whenever it comes to losing weight, everyone from nutritionists to dieticians
recommend eating low carbohydrates. It is believed that weight loss is reduced by eating low
carb, in this case, those who lose weight, chapattis and rice first stop eating. But most people eat
only bread and rice, but without eating bread and rice, it seems incomplete. In such a situation, it
becomes difficult for dieters to leave chapatti and rice. But you will be surprised to know that
you can lose weight even after eating roti and rice.
Many research has revealed that bread and rice are also helpful in reducing weight. Actually,
bread and rice contain manly carbohydrates which go into the body and convert to glucose and
this glucose gives us energy. That is why it is important to eat some bread and rice. Apart from
this, there are proteins in chapatti and rice and other vitamins, millers, which are necessary for
healthy body. If the right amount of bread and rice is eaten, then it also reduces weight. So, today
we are going to tell you the complete nutritional value of roti and rice, as well as you will be
easy to know which food will help lose weight in roti and rice.
How much nutrition in a bun?
Normally a bun has about 100 calories. It is true that bread has the highest carbohydrate. A bun
contains 60 to 70 percent carbohydrates but in addition to carb, bread also contains protein, fat,
vitamins and minerals. Bread has about 20 to 22 percent fat and 10% protein. The rest of the roti
also contains minerals like sodium. Overall, roti is a healthy food and it is a part of our routine
food, so eating bread in the right proportion does not increase weight but decreases. And for
good results, eat whole wheat, wheat bran or multigrain flour bread. In this way, there is a lot of
fiber in the roti which keeps the digestion right.
Nutrition Value of a Bowl of Rice
In many states of the country, rice is also an important part of food, in such a situation it is
difficult to give up eating main for dieting. But if you eat rice properly and eat the right amount,
you can lose weight without leaving rice. Rice is also included in healthy food and works to give
energy to the body. Rice is the main source of carbohydrates and a bowl of rice contains about
150 calories, of which 80% is carbohydrate and the rest is fat and protein. If you are fond of rice

and want to lose weight then include brown rice instead of white in the food. Brown rice is a
better option for health. Vitamin and mineral which are not in white rice are in brown rice, so
brown rice is considered more healthy. In addition to carbohydrates, brown rice contains
essential minerals like magnesium, phosphorus, manganese and selenium.
Eat
chapati or rice to lose weight?
The nutritional value of rice and chapati is almost the same, so add whatever you like to your
diet. Bread and rice are both rich in carbohydrates. But more carbs are in rice than bread, so
eating rice fills the stomach quickly. But due to starch, they quickly digest and after eating it, the
appetite also starts quickly. Bread on the other hand has more protein and fiber than rice, which
keeps the stomach full for a long time. Roti has more minerals like potassium and phosphorus
than white rice. Rice does not contain calcium and sodium, whereas it is present in small
amounts in bread. Iron is almost equal in bread and rice and glycemin index of both is also same
so that sugar and blood pressure are regular. Depending on the nutritional value of both, a little

wattage is more of roti, so if one has to choose between roti and rice to lose weight, then roti is a
better option.
Chanakya Niti: According to Chanakya, a person who stays away from these two things is
always happy
.
https://pledgetimes.com/health-tips-eating-bread-and-rice-also-reduces-weight-know-who-is-more-
healthy-in-both/
Rice mill owners: Govt. urged to enforce controlled
prices
By Skandha Gunasekara
The Rice Mill Owners‘ Association of Sri Lanka
has called on the Government to strictly enforce
the recently stipulated control price for rice.
Rice Mill Owners‘ Association of Sri Lanka
President B.K. Ranjith said the Government
should ensure the control price for rice is
implemented.
―The authorities need to intervene and enforce
this. They should use the Army if they don‘t have the manpower, but they have to somehow
enforce the control price for rice.‖
He said that millers were being forced to buy paddy at exorbitant rates, resulting in the price of
rice skyrocketing.
―Some paddy manufacturers are hoarding stocks and selling it above the control price. As a
result, currently, a kilo of rice is above Rs. 100 in the market.‖
https://www.nation.lk/online/rice-mill-owners-govt-urged-to-enforce-controlled-prices-12593.html

Rice tariff collection in excess of
P10B to be used for
productivity programs —DOF
Published October 8, 2020 4:50pm
By TED CORDERO, GMA News
The government will be using any excess of the P10 billion tariff to be collected from
rice imports for programs to enhance the productivity of local rice farmers, the
Department of Finance (DOF) said Thursday.
―Ang taripang sosobra sa P10 billion ay ilalaan sa ibang productivity programs para sa
rice sector,‖ Finance Assistance Secretary Tony Lambino said during a virtual
webinar.
Under the Rice Tariffication law (RTL), of the total tariff to be collected annually,
P10 billion is automatically appropriated for the Rice Competitiveness Enhancement
Fund (RCEF).
The P10-billion RCEF is divided into four components, namely farm machinery and
equipment at P5 billion, certified inbred seeds at P3 billion, credit at P1 billion, and
training and extension at P1 billion.
The Rice Tariffication Law was signed by President Rodrigo Duterte in February
2019.
It removed all quantitative restrictions on rice importation in the Philippines and
imposed a 35-percent tariff for rice imports.
―Mula nang maisabatas ang RTL sobra po para sa P10 billion para sa RCEF ang
nalilikom mula sa taripa,‖ Lambino said.

As of the seven months of the year, rice tariff collections amounted to P11.036 billion,
up 4% year-on-year, and exceeding the P10-billion worth of rice import tariffs aimed
for RCEF.
―Lahat ng tariff collection na lalagpas sa P10 billion ay ilalaan sa iba pang tulong sa
mga magsasaka,‖ Lambino said.
Without specifying how the government will utilize the excess rice tariff collection,
the Finance official noted that of the P12.1 billion collected in 2019, the excess of
P2.1 billion was used by the Department of Agriculture for crop diversification
program (P1 billion) and expanded crop insurance on rice (P1.1 billion).
Noting that tariff collections have already exceeded P10 billion so far this year,
Lambino said, ―Sigurading mapopondohan ang RCEF programs.‖
Agriculture Secretary William Dar, for his part, cited the milestones done by the
Department of Agriculture under the RCEF programs.
Dar said the DA has distributed 1,375,125 bags of certified inbred seeds to 554,512
farmers covering 698,586 hectares during the dry season 2019 to 2020.
The agency has also distributed 2,274,165 bags of certified inbred seeds to 862,854
farmers covering 1,006,537 hectares during the wet season 2020.
For the RCEF mechanization component, Dar said the DA has procured 2,938
machines, of which 1,108 were distributed to 625 farmer cooperatives and
associations.
Under the RCEF credit component, the Agriculture department loaned out P1 billion
to 5,671 individual farmers and 22 cooperatives in 2019.
For this year, the DA has so far obligated P670.88 million for credit, of which
P102.71 million was released to 610 farmers and 15 cooperatives.

For the RCEF‘s extension service component, the Agriculture chief cited the
following achievements:
 53 farm schools established; 12 assisted
 831 batches of training for farmers, with 20,803 participants, of which 20,231
received scholarships
 163 batches of training of trainers, with 5,255 participants
 8 batches of training of specialists, with 226 participants
 31 batches of training of seed growers, inspectors, analysts, and other extension
intermediaries, with 809 participants
 technical briefings conducted to 691,761 participants
 3,363,463 copies of information and educational communication materials
distributed
―We have generated more than enough revenues to fully fund RCEF para pataasin ang
competitiveness ng local rice industry,‖ Lambino said.
Emphasizing how the RTL helped in increasing the local industry‘s competitiveness,
Dar said that palay production increased to 8.9 million metric tons in the first half of
2020 from 8.27 million metric tons for the entire 2019.
Average production cost is also eyed to be reduced by 30% from the current cost
ranging from P12 to P14 per kilogram to ensure bigger profit margins for farmers.
―With higher productivity and lower production cost, farmers can offer to our
consumers, particularly the poor, affordable rice,‖ Dar said.
To shield the domestic sector from decline in farmgate prices of palay due to the
unhampered entry of imports, the DA allocated P10 billion under the 2020 budget of
the National Food Authority for the procurement of palay from local farmers at P19
per kilo.
The NFA also established 558 palay buying stations across the country and procured
two million bags of palay for September alone.

The DA also partnered with local government units for the procurement of locally
produced palay.
Multinational companies were also encouraged to buy from farmer cooperatives and
associations for their employees‘ rice allowance. -MDM, GMA News
https://www.gmanetwork.com/news/money/economy/759034/rice-tariff-collection-in-excess-of-p10b-to-
be-used-for-productivity-programs-dof/story/
No safeguard duties yet to stem rice imports
By: Karl R. Ocampo - Reporter / @kocampoINQ
Philippine Daily Inquirer / 05:18 AM October 08, 2020
The Department of Agriculture (DA) said it was not considering the imposition of safeguard duties
just yet to temper the arrival of imported rice in the country.
Agriculture Secretary William Dar said at a press briefing that the agency was still looking at other
measures to prop up prices of palay, including ramping up the procurement of the staple and giving
financial assistance to distressed farmers.
It has also been strict with the issuance of food safety permits—a primary requirement to import.
Under the rice tariffication law, taxes imposed on imports may be increased, reduced or revised by
the President to protect Filipino farmers and consumers from any unwarranted price or supply
concerns.
Imposing safeguards would increase tariffs and would make imports more expensive, thereby
discouraging traders from bringing in the staple to the domestic market and force traders to buy
from local farmers at higher rates.
Despite the insistence of the agency that prices at the farm-gate were hovering between P16 and
P19 a kilo, the Philippine Statistics Authority reported that several provinces have recorded palay
quotations as low as P12.80 a kilo.

The Federation of Free Farmers had blamed the dip in prices to the unimpeded arrival of imported
rice in the country, which allegedly robs local farmers of a stable market.
The DA considered using safeguards to temper the volume of rice imports, but this was shot down
by economic managers for being ―inflationary.‖
Other groups recommended a safeguard duty of 70 percent on top of the current tariffs slapped on
rice. Under the law, rice coming from Asean countries are imposed a 35-percent tariff while those
from non-Asean countries are slapped 50 percent.
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New African swine fever outbreaks seen in 6 provinces — Dar
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https://business.inquirer.net/309060/no-safeguard-duties-yet-to-stem-rice-
imports#ixzz6aGxHqfNd
Companies okayed to import rice to Uganda tax free
By Henry Sekanjako
Added 7th October 2020 08:33 PM
According to the Rice Business sector association Limited, the three companies were cleared last
month by both the ministry of finance and that of trade, to import the rice into the country.

Currently the demand for rice in Uganda stands at around 380,000 metric tons per month.
File/Photo
At least three rice trading companies have been exempted from Value Added Tax (VAT),
to import rice to Uganda to deal with the scarcity of rice created by the COVID-19
Pandemic.
The three companies include Gotovate Uganda limited, Williex Commodities limited and
Akhcom Limited.
According to the Rice Business sector association Limited, the three companies were cleared last
month by both the ministry of finance and that of trade, to import the rice into the country.
Isaac Kashaija, the chairman Rice Business sector association said currently the demand for rice
in Uganda stands at around 380,000 metric tons per month, with total local production of
approximately 180,000 metric tons per season leaving a deficit of about 200,000 metric tons per
month.
"If we need rice, we either have to help farmers grow more rice or increase the quality and
quantity of our rice to lower the demand, but before we do that, we have to allow rice imports,"
Kashaija said.
He noted that to address the rice shortage in the country one of the companies, Gotovate Uganda

Limited, was allowed to import tax free, 50,000 metric tons of rice from Tanzania, to Uganda.
He said the company requested for the tax waiver between the period of August to December
2020, to save Ugandans who were in total lockdown.
The move to exempt Gotovate from tax was however challenged by other stake holders saying it
would affect local rice farmers.
Kashaija defended the issuance of an import permit to Gotovate saying it would help address the
scarcity of rice in the country.
He also noted that the government had cleared other 14 rice companies to import rice into the
country in 2014, after they challenged parliament legislating against tax exemption on imported
rice from Tanzania and other East African Community (EAC) member states, to Uganda.
"It is not only one company that is importing exempted rice from Tanzania to Uganda, 14
companies have been importing the same rice for the last six years, with exempt taxes of over
sh1 trillion," Kashaija said.
According to the rice business sector association, a decision was taken following the East
African customs Union protocol article 15 that prohibits partner states from imposing duties on
products originating from partner states as urged by the 14 companies in the court case against
URA in 2014.
The rice companies challenged URA in court, for charging them tax on rice imports, despite the
EAC protocol barring such taxation.
"The government through the attorney general should expeditiously dispose of the case in the
court of appeal. It has broken the records of justice system of Uganda by taking now close to
seven years," Kashaija noted.
Fourteen rice trading companies appealed to court against the 18% VAT charge then and court
declared an injunction and since then the case has never been resolved.
The growers of rice also implored the government to help rice farmers to improve and increase
on quality and quantity of rice that can easily compete on the market.
They attributed the high volume of rice importation from Tanzania and Pakistan to Uganda, to
the bad quality of rice grown in Uganda.
"When you buy rice from Uganda and that from Tanzania, the aroma is different, most Ugandans
go for Tanzania rice because the aroma is different and good," Kashaija said.

Related articles
https://www.newvision.co.ug/news/1528768/companies-okayed-import-rice-uganda-tax-free
Scientists identify a gene that could help increase rice
productivity
By India Science Wire
New Delhi, Wednesday, October 07, 2020
Prof. P.V. Shivaprasad and his team at NCBS, Bnegaluru
In a major development in the search for methods to improve the productivity of rice,
a team of scientists at the Tata Institute of Fundamental Research‘s Bengaluru-based
National Centre for Biological Sciences has identified a protein that has a critical role
in the holding of the grains in the panicles of rice crops.
Small RNAs are regulators of gene expression. They decide which protein should be
made and how much of it should be made in a given cell/tissue/organism. They are
present across all organisms. Plants. Animals. Fungi. Bacteria. Name it. These small
RNAs are tiny, but they perform critical roles in different aspects of life. There are
hundreds and thousands of them in any given species.

Small RNAs are also key regulators in initiating and maintaining heritable changes in
gene expression without changes in the DNA sequence (called ‗epigenetics‘).
Numerous pioneering studies have shown that small RNAs and epigenetic
modifications are central to plant development and defence.
Small RNAs are also key regulators in initiating and maintaining heritable changes in
gene expression without changes in the DNA sequence (called ‘epigenetics’).
Small RNAs are made in cells by a set of proteins called Dicers (proteins that dice
longer RNAs into shorter bits). Once they are made, they associate with another
protein called Argonautes (abbreviated AGO). For acting as gene regulators, this
association between small RNAs and Argonautes is a must. There are a minimum
of10 different Argonautes in plants performing different activities. There are at least
19 of them in the group of plants called monocots, which include cereal crops.
In a new study, a team of scientists led by Prof. P.V. Shivaprasad has shown that a
previously unknown AGO named AGO17 is essential for the growth of panicles that
hold rice grains. When the researchers expressed it at higher levels in plants, they got
plants with longer panicles and more yield. On the other hand, plants had poor growth
if they removed this gene by knockdown strategies.
Speaking to India Science Wire, Dr. Shivaprasad said, ―It is clear that AGO 17 is a
new player that can be used to increase yield. Last year, we showed what exactly was
changed during the domestication of rice from wild grasses to high yielding cultivated
lines. In that work, we showed how the loss of small RNA led to a change in the
rigidity of rice stems as in current rice lines that are sturdier and can hold more grains.
AGO17 is also related to domestication. Its expression has been altered during the
domestication of rice. Since our results show that this gene can be used to improve
yield, natural lines having a higher expression of this gene can be used by breeders to
produce new crops with a higher yield. As we have demonstrated in this new study,
genetic engineering can also provide rice plants with enhanced yield. In the era of
genome editing, we can increase the yield by altering the expression of this gene‖.
Dr. Kannan Pachamuthu, who is the first author of the paper, is equally enthusiastic
that this finding has a direct application. ‗Panicles have a very dynamic gene
expression pattern during its development. We are happy that we found one major
regulator in panicle development‘, he says.

The study team consisted of Chenna Swetha, Debjani Basu, Soumitra Das, Indira
Singh, Vivek Hari Sundar and T.N.Sujith, besides Dr. Shivaprasad and Dr.
Pachamuthu. They have published a report on their findings in springer‘s
journal, Plant Molecular Biology.
:https://vigyanprasar.gov.in/isw/Scientists-identify-a-gene-that-could-help-increase-rice-productivity.html
India's rice exports could jump to record on Thailand
drought effects
Higher shipments from India, the world's biggest rice exporter, could cap global prices, reduce the country's
bulging inventories and limit Indian state stockpiler purchases from farmers
Let an Indian lawyer represent Kulbhushan Jadhav in Pak court: MEA
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Pakistan provides second consular access to Kulbhushan Jadhav
Not legally possible to allow Indian lawyer to represent Jadhav: Pakistan
Kulbhushan Jadhav case: Pak court appoints 3 senior lawyers as amici curiae

By Rajendra Jadhav
MUMBAI (Reuters) - India's rice exports in 2020 may rise by nearly 42% from a year ago to record
highs because of reduced shipments from rival exporters and a depreciating rupee, industry officials
said this week.
Higher shipments from India, the world's biggest rice exporter, could cap global prices, reduce the
country's bulging inventories and limit Indian state stockpiler purchases from farmers.

India's rice exports could jump to 14 million tonnes in 2020, up from last year's 9.9 million tonnes,
the lowest in eight years, said B.V. Krishna Rao, president of the Rice Exporters Association.
"Thailand's shipments are falling due to the drought. Vietnam is struggling because of lower crop.
That share is naturally coming to India," Rao said.
Thailand, the world's second-largest rice exporter, suffered through a drought earlier this year that
has affected the rice crop. Shipments in 2020 could fall to 6.5 million tonnes, the lowest in 20 years.
Vietnam, the third-biggest global exporter, has contended with low water levels in the Mekong River
Delta, the country's main rice growing region, that has limited supply.
India mainly exports non-basmati rice to Bangladesh, Nepal, Benin and Senegal, and premium
basmati rice to Iran, Saudi Arabia and Iraq.
India's rice shipments in 2020 will rise because of robust demand for non-basmati rice from African
countries, said Nitin Gupta, vice president for Olam India's rice business.
"Basmati rice demand is more-or-less stable, but in non-basmati we have seen a huge surge in
demand due to attractive prices," Gupta said.
India's non-basmati rice exports may double from a year ago to 9.5 million tonnes, while basmati rice
exports would remain stable around 4.5 million tonnes, he said.
India was offering 5% broken parboiled rice at $380 per tonne on a free-on-board basis, while
Thailand was offering the same grade at $490 per tonne, dealers said.
Indian exporters have offered rice at lower prices at a time when global prices have jumped on
limited supplies because of the rupee's depreciation, Rao said.
The rupee has declined 3% against the U.S. dollar so far this year.
In addition to lower Southeast Asian sales, China has also cut exports to Africa after floods hit local
crops, said a Mumbai-based dealer with a global trading firm.
"Unlike other countries, India has massive surplus. Exports won't create shortage in the local
market," the dealer said.

Also, the higher exports should cut into Indian inventories and limit government purchases from
farmers at minimum support prices, said Rao from the Rice Exporters Association.
(Reporting by Rajendra Jadhav; Editing by Christian Schmollinger)
(Only the headline and picture of this report may have been reworked by the Business Standard staff;
the rest of the content is auto-generated from a syndicated feed.)
India‘s rice export could jump to record on Thailand Drought
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https://www.business-standard.com/article/markets/india-s-rice-exports-could-jump-to-record-on-
thailand-drought-effects-120100700482_1.html

Pakistan to challenge Indian claim of GI
tag on Basmati rice in EU
ISLAMABAD: Pakistan has decided to oppose Indian‘s claim of Geographical Indication (GI)
tag to basmati rice in the European Union (EU). Pakistani legal team will file its formal
opposition into the EU with proof that Indian claims did not have solid grounds.
This was decided during a meeting chaired by Abdul Razak Dawood, Adviser for Prime Minister
on Commerce. The meeting was attended by secretary commerce, chairman Intellectual Property
Organisation (IPO-Pakistan), representatives of Rice Exporters Association of Pakistan (REAP)
and legal fraternity.
During the meeting, REAP representatives were of the view that Pakistan is a major grower and
producer of basmati rice and India‘s claim for exclusivity is unjustified.
Abdul Razak Dawood categorically stated that Pakistan will vehemently oppose India‘s
application in the European Union and restrain India from obtaining exclusive GI tag of basmati
rice.
Abdul Razak Dawood supported the concerns of REAP and relevant stakeholders and ensured
that their claim for basmati rice as GI will be protected. It is pertinent to mention that India
submitted an application in the European Union claiming sole ownership of basmati rice, falsely
misrepresenting its exclusivity.
Official sources said that India had applied for GI Tag in EU for basmati rice under article 50(2)
(a) of EU Regulations No. 1151/2012 of the European Parliament and of the council on quality
scheme for agriculture products on September 11. India in its application had falsely claimed
basmati rice as an Indian origin despite the fact that the same rice is largely produced in Pakistan.
Pakistan exports 500,000 to 700,000 tons of basmati rice to different parts of the world out of
which 200,000 to 250,000 tons is being shipped to EU countries. It is also a fact that EU
Regulation No 972/2006 of June 29, 2006 laying down special rules for import of basmati rice
for determining their origin had recognised basmati as a joint product of Pakistan and India. But

now India was making claims of exclusivity on basmati rice in the EU. According to laid down
rules and procedures, any country can oppose the application for registration of an AME
pursuant to Article 10 and Article 50(2)(a) of the regulation number 1151 (2012). There is a time
limit of three months to file an application against it so now Pakistan decided to file an
application for opposing the right of exclusivity of India on basmati rice GI tag.
https://www.thenews.com.pk/print/725340-pakistan-to-challenge-indian-claim-of-gi-tag-on-basmati-rice-
in-eu
Pakistan to challenge India's application for exclusive
GI tag to Basmati rice in European Union
During a meeting, REAP representatives were of the view that Pakistan was a major
grower and producer of Basmati rice and India's application for exclusivity is unjustified.
ISLAMABAD: Pakistan has decided to file its opposition in the European Union in response to
India's application for an exclusive Geographical Indications (GI) tag to Basmati rice in the 27-
member bloc, a media report said on Tuesday.
This was decided during a meeting chaired by Adviser to the Prime Minister on Commerce
Razak Dawood on Monday.
The meeting was attended by Secretary Commerce, Chairman, Intellectual Property Organisation
(IPO-Pakistan), representatives of Rice Exporters Association of Pakistan (REAP), and the legal
fraternity, the Dawn newspaper reported.
It said that during the meeting, REAP representatives were of the view that Pakistan was a major
grower and producer of Basmati rice and India's application for exclusivity is unjustified. India
has said that it is an Indian-origin product in its application, published in the EU's official journal
on September 11.
ADVERTISEMENT
Dawood said that Pakistan will vehemently oppose India's application in the European Union
and restrain New Delhi from obtaining an exclusive GI tag of Basmati rice. He supported the
concerns of REAP and relevant stakeholders and ensured that their claim for Basmati rice as GI
will be protected, the report said.

Pakistan enacted the Geographical Indications (Registration and Protection) Act in March this
year, which gives it the right to oppose Indian application for registration of Basmati rice's
exclusive rights.
https://www.newindianexpress.com/world/2020/oct/06/pakistan-to-challenge-indias-application-for-
exclusive-gi-tag-to-basmati-rice-in-european-union-2206727.html
Brazil purchases some 225,000 tons of rice from US,
India and Guyana
Brazil has negotiated the purchase of 225,000 tons of rice from the United States, India, and
Guyana, which are expected in the country during the second half of October and November. In
an attempt to contain the price increase for consumers, Brazil decided to lower the Common
External Tariff (TEC) on rice imports from outside Mercosur to zero. The measure was approved
in early September, when the Executive Management Committee (GECEX) of the Chamber of
Foreign Trade (CAMEX) lowered the levy for paddy rice until December 31, following on a
proposal from the Ministry of Agriculture and Food Supplies (MAPA). The temporary tariff
reduction is restricted to a quota of 400,000 tons of grain. Brazilian rice production in the
2019/2020 harvest, estimated by the national food supply company CONAB reached 11.2
million tons, and was supposed to be sufficient for an estimated consumption of 10.8 million
tons. For 2021, rice production is expected to grow by 7.2% over the previous harvest.
According to a report published by Valor Econômico newspaper, the Brazilian government has
not yet given up on the idea of also eliminating tariffs on imports of soy and corn from outside
Mercosur because of the persistent rise in grain prices and its impact on supermarket shelves'
prices. The poultry and pork industries concerned with this situation of increasing prices for oil
seeds and grains in the Brazilian domestic market have asked the Ministry of Agriculture for the
Common External Tariff (TEC) to be zeroed until the next Brazilian grain harvest comes onto
the market in January, similar to what was done with rice at the beginning September.
https://en.mercopress.com/2020/10/07/brazil-purchases-some-225-000-tons-of-rice-from-us-
india-and-guyana

Basmati: what is at stake?
Last week, BR Research covered the gaps in local Geographical Indications framework and its
implementation that could potentially weaken Pakistan‘s case at EU against India‘s exclusive
claim to basmati exports. (For more, read: “Basmati exports under threat” published on
October 01, 2020). But it might to help to take into account what is at stake. Compared to
Pakistan, India is pretty much a giant when it comes to basmati exports. Out of the total basmati
exports from sub-continent, Pakistan‘s share has been a puny 15 percent over the past decade. In
fact, India‘s basmati exports alone during 2018 exceeded Pakistan‘s total food group exports that
year, which includes all agri commodities such as dairy, fish, fruits, and even red meat! But that
makes sense, given the sheer size of our hostile neighbour and irrigated land available to its
farmers. Basmati yields across both countries are similar, as is the unit value fetched by
exporters of both countries in international market. Consider that in 2019, Pakistani exporters
fetched $880 per ton against export of 0.9 million tons of basmati – compared to a marginally
higher $1,040 per ton fetched by Indian traders on export of whopping 4.1 million tons.

Basmati exports from both countries are in fact largely commoditized. Pakistani exporters have
struggled to build brands, onus of which largely falls on lack of investment in marketing and
building brand equity – a fact acknowledged by chairman Rice Exporters Association of
Pakistan in an interview with BR Research earlier this year. Thus, the current battle really may
appear to be one of export access than brand recognition, which even most fervent patriots would
admit is a stronger suit of the hegemonic neighbour, given its greater diplomatic currency and
soft power. On that note, Europe is a far less consequential market for India than Pakistan,
considering its bulk of exports are to Gulf region. More than 80 percent of Indian basmati
exports – in value terms – are to Gulf countries, where Iran is its biggest buyer with annual
import of $1.2 billion worth basmati rice every year. This is embarrassing on two accounts: one,
Pakistani exporters have land access to Iran as the two countries share a nearly thousand
kilometres long border. And two, unlike UAE – which serves as a re-packaging/re-branding stop
for basmati from both India and Pakistan – Iran has weaker trade relationships with EU.
Consider that India‘s annual basmati export to Iran is 1.4 times Pakistan‘s total basmati export to
the rest of the globe. Iran, then, is the one who got away! What makes India‘s obsession to
getting Pakistan‘s basmati banned from EU all the more frustrating is that until last year, UK and
not continental European countries was its biggest basmati buyer. Minus UK, basmati exports
from India and Pakistan to continental European countries are very much on equal footing – at
$130 million per annum. For India, that‘s less than 5 percent of its annual share, but for Pakistan,
that is nearly a quarter of its total global basmati market. Pakistan‘s prospective loss thus is
substantial, especially in relative terms.

It is tough to predict, which way the camel might land. But its consequences are already obvious.
First, an exclusive right in EU could serve as a precedence under TRIPs for other markets as
well, beginning from North America, to APAC and Mediterranean. However, Pakistan may
continue to have its feet inside the European door once the UK exits the single market and
refuses to follow EU‘s definition in bilateral trade with other countries. But more importantly,
Pakistani exporters will have to try even harder to capture the Gulf market, which is both still
open, and can serve as a dumping ground to repackage goods under Indian brands. As the
Eastern hegemon continues to invest in building brand India, that means further commoditization
for Pakistan‘s basmati, as the gap between per unit prices fetch by traders in both countries will
widen. The MoC then should be far more concerned with the lack of recognition of brand
Pakistan, and the precedence this act of hostility creates for the other trading partners.
Meanwhile, some introspection might also be in order for losing the other next-door neighbour,
Iran.
https://news.google.com/topstories?tab=mn&hl=en-PK&gl=PK&ceid=PK:en
India’s rice trade to set records amid export boom

India‘s rice trade to set records amid export boom
Thank you for reading the news about India‘s rice trade to set records amid export boom and
now with the details
Jeddah - Yasmine El Tohamy - MUMBAI: India‘s rice exports in 2020 may rise by nearly 42
percent from a year ago to record highs because of reduced shipments from rival exporters and a
depreciating Indian rupee, industry officials said this week. Higher shipments from India, the

world‘s biggest rice exporter, could cap global prices, reduce the country‘s bulging inventories
and limit Indian state stockpiler purchases from farmers. India‘s rice exports could jump to 14
million tons in 2020, up from last year‘s 9.9 million tons, the lowest in eight years, said B.V.
Krishna Rao, president of the Rice Exporters Association. ―Thailand‘s shipments are falling due
to the drought. Vietnam is struggling because of lower crop. That share is naturally coming to
India,‖ Rao said. Thailand, the world‘s second-largest rice exporter, suffered through a drought
earlier this year that has affected the rice crop. Shipments in 2020 could fall to 6.5 million tons,
the lowest in 20 years. Vietnam, the third-biggest global exporter, has contended with low water
levels in the Mekong River Delta, the country‘s main rice growing region, that has limited
supply. India mainly exports non-basmati rice to Bangladesh, Nepal, Benin and Senegal, and
premium basmati rice to Iran, Saudi Arabia and Iraq. India‘s rice shipments in 2020 will rise
because of robust demand for non-basmati rice from African countries, said Nitin Gupta, vice
president for Olam India‘s rice business. ―Basmati rice demand is more-or-less stable, but in
non-basmati rice we have seen a huge surge in demand due to attractive prices,‖ Gupta said.
India‘s non-basmati rice exports may double from a year ago to 9.5 million tons, while basmati
rice exports would remain stable around 4.5 million tons, he said. India was offering 5 percent
broken parboiled rice at $380 per ton on a free-on-board basis, while Thailand was offering the
same grade at $490 per ton, dealers said. Indian exporters have offered rice at lower prices at a
time when global prices have jumped on limited supplies because of the rupee‘s depreciation,
Rao said. The Indian rupee has declined 3 percent against the US dollar so far this year. In
addition to lower Southeast Asian sales, China has also cut exports to Africa after floods hit local
crops, said a Mumbai-based dealer with a global trading firm. ―Unlike other countries, India has
massive surplus.
Exports won‘t create shortage in the local market,‖ the dealer said. Also, the higher exports
should cut into Indian inventories and limit government purchases from farmers at minimum
support prices, said Rao. These were the details of the news India‘s rice trade to set records amid
export boom for this day. We hope that we have succeeded by giving you the full details and
information. To follow all our news, you can subscribe to the alerts system or to one of our
different systems to provide you with all that is new. It is also worth noting that the original news
has been published and is available at Arab News and the editorial team at AlKhaleej Today has
confirmed it and it has been modified, and it may have been completely transferred or quoted
from it and you can read and follow this news from its main source.
https://alkhaleejtoday.co/business/5071184/India%E2%80%99s-rice-trade-to-set-records-amid-export-
boom.html

Storms devastate rice paddies in Italy's 'golden
triangle'
by Francesco Gilioli With Ella Ide In Rome
Weekend storms dealt a severe blow to Europe's biggest rice producer, flooding the marshy area
where 80 percent of Italy's rice is grown
With a deafening roar, the swollen Sesia river swept down the Alpine valley in northern Italy to
engulf the plains below, drowning the country's so-called "golden triangle" of rice paddies in
mud.
Storms at the weekend, when the region was lashed by half the yearly average rainfall in just one
day, dealt a severe blow to Europe's biggest rice producer, flooding the marshy area where 80
percent of Italy's rice is grown.
"It was like the sea rising around us," farmer Noemi Leva, 24, told AFPTV. "It just kept coming,
we saved what we could."
Leva said she risked losing half her 55 hectares (135 acres) of crop. "It will be very difficult to
get back on our feet," she said.
The raging waters which hit Saturday drowned hundreds of sheep and goats, ruined olive crops,
brought down bridges and triggered landslides.

Italy's biggest agricultural association Coldiretti said the storm had caused more than 300 million
euros ($350 million) worth of damage.
Edoardo Merlo, who runs a farm near the Sesia with his father, said it was "an unimaginable
emergency".
"The extent of the damage is only coming to light now, as the waters recede," the 32-year old
said glumly, adding that many farms in the area "risk closing for good".
The raging waters also drowned hundreds of sheep and goats, ruined olive crops, brought down
bridges and triggered landslides
The rice Merlo had already harvested was stored at ground level, so it soaked up dirty river water
and must now be binned.
"The remaining crop is drowned in mud. I don't know whether it's even worth trying to harvest
what's left, if it could be sold."
'It's a catastrophe'
The timing is particularly bad, for the disaster comes hard on the heels of a new deal which
allows Italy to export rice to China.
The Chinese hunger for varieties used to make typical risotto dishes, such as medium-grained
Carnaroli, Arborio, Roma or Baldo, had been widely cheered by producers in the "golden
triangle".

That area of lush paddy fields stretches from Pavia in the Lombardy region to Vercelli and
Novara in Piedmont.
Rice has been enjoying increased popularity at home too, with consumption in Italy soaring 47
percent in the first weeks of the coronavirus pandemic which hit earlier this year, according to
Coldiretti.
Spread over 220,000 hectares (545,000 acres) and cultivated by 4,200 producers, Italian rice
production totals an annual 1.5 million tonnes, and the country boasts more than 200 varieties

"My whole farm was under two metres of water," said rice grower Felice Iato, 60
Spread over 220,000 hectares (545,000 acres) and cultivated by 4,200 producers, Italian rice
production totals an annual 1.5 million tonnes, and the country boasts more than 200 varieties

"My whole farm was under two metres of water," said rice grower Felice Iato, 60
Spread over 220,000 hectares and cultivated by 4,200 producers, Italian rice production totals an
annual 1.5 million tonnes, and the country boasts more than 200 varieties in all, each with its
own peculiarities.
But out in the paddies, farmers are having to deal with increasingly unpredictable weather.
The peninsula has in recent years seen a rise in tropical weather, with ever greater storms
pummelling a fragile territory. Urban expansion in the north has cut arable land by over a quarter
over the past 25 years, eating away at key floodplains.
"My whole farm was under two metres of water," said Felice Iato, 60, a rice farmer who also
represents the agricultural association in Pavia.
"I'm not even sure it's possible to harvest what's left," he said as he stared out over a golden
expanse of flattened stems.
"It's a catastrophe".
https://phys.org/news/2020-10-storms-devastate-rice-paddies-
italy.html#:~:text=Storms%20devastate%20rice%20paddies%20in%20Italy's%20'golden%20triangle',-
by%20Francesco%20Gilioli&text=With%20a%20deafening%20roar%2C%20the,of%20rice%20paddies
%20in%20mud.

India's rice exports could jump to record on Thai
drought effects
By Rajendra Jadhav
OCTOBER 7, 202011:55 AMUPDATED A DAY AGO
MUMBAI (Reuters) - India‘s rice exports in 2020 may rise by nearly 42% from a year ago to
record highs because of reduced shipments from rival exporters and a depreciating rupee,
industry officials said this week.
Slideshow ( 2 images )
Higher shipments from India, the world‘s biggest rice exporter, could cap global prices, reduce
the country‘s bulging inventories and limit Indian state stockpiler purchases from farmers.
India‘s rice exports could jump to 14 million tonnes in 2020, up from last year‘s 9.9 million
tonnes, the lowest in eight years, said B.V. Krishna Rao, president of the Rice Exporters
Association.
―Thailand‘s shipments are falling due to the drought. Vietnam is struggling because of lower
crop. That share is naturally coming to India,‖ Rao said.
Thailand, the world‘s second-largest rice exporter, suffered through a drought earlier this year
that has affected the rice crop. Shipments in 2020 could fall to 6.5 million tonnes, the lowest in
20 years.
Vietnam, the third-biggest global exporter, has contended with low water levels in the Mekong
River Delta, the country‘s main rice growing region, that has limited supply.
India mainly exports non-basmati rice to Bangladesh, Nepal, Benin and Senegal, and premium
basmati rice to Iran, Saudi Arabia and Iraq.
India‘s rice shipments in 2020 will rise because of robust demand for non-basmati rice from
African countries, said Nitin Gupta, vice president for Olam India‘s rice business.
―Basmati rice demand is more-or-less stable, but in non-basmati we have seen a huge surge in
demand due to attractive prices,‖ Gupta said.
India‘s non-basmati rice exports may double from a year ago to 9.5 million tonnes, while
basmati rice exports would remain stable around 4.5 million tonnes, he said.
India was offering 5% broken parboiled rice at $380 per tonne on a free-on-board basis, while
Thailand was offering the same grade at $490 per tonne, dealers said.

Indian exporters have offered rice at lower prices at a time when global prices have jumped on
limited supplies because of the rupee‘s depreciation, Rao said.
The rupee has declined 3% against the U.S. dollar so far this year.
In addition to lower Southeast Asian sales, China has also cut exports to Africa after floods hit
local crops, said a Mumbai-based dealer with a global trading firm.
―Unlike other countries, India has massive surplus. Exports won‘t create shortage in the local
market,‖ the dealer said.
Also, the higher exports should cut into Indian inventories and limit government purchases from
farmers at minimum support prices, said Rao from the Rice Exporters Association.
Reporting by Rajendra Jadhav; Editing by Christian Schmollinger
Our Standards: The Thomson Reuters Trust Principles.
https://www.reuters.com/article/india-rice-exports/indias-rice-exports-could-jump-to-record-on-
thai-drought-effects-idUSKBN26S0S9
Brazil purchases some 225,000 tons of rice from US,
India and Guyana
Wednesday, October 7th 2020 - 09:02 UTC
In an attempt to contain price increase for consumers, Brazil decided to lower the Common
External Tariff (TEC) on rice imports from outside Mercosur to zero.
Brazil has negotiated the purchase of 225,000 tons of rice from the United States, India, and
Guyana, which are expected in the country during the second half of October and November.
In an attempt to contain the price increase for consumers, Brazil decided to lower the Common
External Tariff (TEC) on rice imports from outside Mercosur to zero.
The measure was approved in early September, when the Executive Management Committee
(GECEX) of the Chamber of Foreign Trade (CAMEX) lowered the levy for paddy rice until
December 31, following on a proposal from the Ministry of Agriculture and Food Supplies
(MAPA). The temporary tariff reduction is restricted to a quota of 400,000 tons of grain.
Brazilian rice production in the 2019/2020 harvest, estimated by the national food supply
company CONAB reached 11.2 million tons, and was supposed to be sufficient for an estimated

consumption of 10.8 million tons. For 2021, rice production is expected to grow by 7.2% over
the previous harvest.
According to a report published by Valor Econômico newspaper, the Brazilian government has
not yet given up on the idea of also eliminating tariffs on imports of soy and corn from outside
Mercosur because of the persistent rise in grain prices and its impact on supermarket shelves'
prices.
The poultry and pork industries concerned with this situation of increasing prices for oil seeds
and grains in the Brazilian domestic market have asked the Ministry of Agriculture for the
Common External Tariff (TEC) to be zeroed until the next Brazilian grain harvest comes onto
the market in January, similar to what was done with rice at the beginning September.
https://en.mercopress.com/2020/10/07/brazil-purchases-some-225-000-tons-of-rice-from-us-
india-and-guyana
Pakistan To Challenge India's Claim For
Exclusive GI Tag On Basmati Rice In EU
Pakistan on Tuesday has decided to oppose India’s claim of GI tag for Basmati rice
in the European Union. A legal team will file its formal opposition with EU.
Written By
7th October, 2020 10:58 IST
Brigitte Fernandes

India and Pakistan are once again at loggerheads with each other over the Geographical
Indication (GI) tagging of Basmati rice. Pakistan on Tuesday has decided to oppose India‘s claim
of GI tag for Basmati rice in the European Union (EU). The decision was taken during a meeting
chaired by Adviser to the Prime Minister on Commerce Razak Dawood on Monday. A Pakistani
legal team will file its formal opposition with the EU, according to reports.
The Pakistan representatives are of the view that their country is a major grower and producer of
basmati rice and India‘s claim for exclusivity is unjustified. Hence Pakistan is planning to
vehemently oppose India‘s application in the European Union and restrain India from obtaining
an exclusive GI tag of basmati rice, according to reports.
India submitted an application with the European Union claiming sole ownership of basmati rice
in September. According to the Indian application, Basmati is special long grain aromatic rice
grown and produced in a particular geographical region of the Indian sub-continent while
adding that the region is a part of northern India, below the foothills of the Himalayas forming
part of the Indo-Gangetic plain.
'Pakistan will vehemently oppose India's application'
The meeting to tackle Indian exclusivity over Basmati rice was attended by Secretary
Commerce, Chairman, Intellectual Property Organisation (IPO-Pakistan),
representatives of Rice Exporters Association of Pakistan (REAP), and the legal
fraternity. During the meeting, the REAP representatives were of the view that

Pakistan was a major grower and producer of Basmati rice and India's application for
exclusivity is unjustified.
Dawood said that Pakistan will vehemently oppose India's application in the European
Union and restrain New Delhi from obtaining an exclusive GI tag of Basmati rice, the
report said. He further supported the concerns of REAP and relevant stakeholders and
ensured that their claim for Basmati rice as GI will be protected, it added.
https://webcache.googleusercontent.com/search?q=cache:P0oMQUvNbkUJ:https://www.republicworld.c
om/world-news/pakistan-news/pakistan-to-challenge-indias-claim-for-gi-tag-on-basmati-
rice.html+&cd=1&hl=en&ct=clnk&gl=pk
India Grain: Basmati falls further; wheat prices up on firm
demand
Tuesday, Oct 6, 2020
By Sampad Nandy
NEW DELHI – Prices of Pusa basmati 1121 fell further today in Amritsar and prices of wheat
rose in Indore and Jaipur. Maize and bajra prices were steady across spot markets.
* Price of the Pusa 1121 variety of BASMATI fell further today due to the anticipated rise in
output in 2020-21 (Jul-Jun) and weak demand, traders said.
* Basmati rice output in the country is expected to rise 10% on year to nearly 6.3 mln tn in 2020-
21 (Jul-Jun), said A.K. Gupta, director of the Basmati Exports Development Foundation under
the Agricultural and Processed Food Products Export Development Authority.
* Weak demand from bulk buyers has also put prices of the premium variety of rice under
pressure, traders said. "Bulk buyers have reduced their purchases as they are waiting for the fresh
crop to hit markets," Amritsar-based trader Ashok Sethi said.
* Prices of WHEAT in Jaipur and Indore rose today due to firm demand from bulk buyers amid
largely unchanged supply, traders said.
* Arrivals in Jaipur and Indore were steady at 1,000 bags (1 bag = 100 kg) and 1,500 bags,
respectively, from Wednesday.
* Prices of MAIZE were flat in Purnea and Nizamabad today, traders said.

* Arrivals in Purnea were pegged steady at 1,200 bags (1 bag = 100 kg). In Nizamabad, arrivals
were steady at 1,000 bags.
* Prices of BAJRA in Jaipur rose today due to firm bulk demand, traders said.
Following are highlights from trading in grain markets today:
Commodity Market Price/100 kg Change
Wheat
Indore
1,620-1,630
10-20
Wheat Jaipur
1,720-1,740
10-20
Maize
Purnea
1,250-1,300
—
Maize Nizamabad
1,250-1,300
—
Pusa 1121 basmati paddy Amritsar
3,100-3,140
(-)30-40
Bajra Jaipur
1,290-1,330 —
End
Edited by Nidhi Chugh
Cogencis Tel +91 (11) 4220-1000
Send comments to feedback@cogencis.com
This copy was first published on the Cogencis WorkStation
© Cogencis Information Services Ltd. 2020. All rights reserved.
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http://www.cogencis.com/newssection/india-grain-basmati-falls-further-wheat-prices-up-on-firm-
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What India’s farm reforms aim to change, in three
charts
A farmer with her daughter harvest the yield from a field growing multiple crops on the outskirts
of Bangalore
. Updated: 08 Oct 2020, 10:32 AM ISTArjun Srinivas , howindialives.com
Wide disparities in agri-marketing regulations have resulted in fragmented markets across states.
The new farm bills aim to change this but the jury is still out on whether it will have the intended
impact.
On 26 September, government procurement of food crops commenced across the country, five
days in advance, following the enactment of three contentious farm bills. Under the new policy

regime, farmers need not sell their produce through designated markets, and can sell to whoever
they want to.
The same week, reports emerged that farmers from Uttar Pradesh wanting to sell their produce in
Karnal, Haryana, were stopped at the Haryana border. Later, the Haryana government clarified
there was no law barring farmers from other states from selling their produce in Haryana, and
they could do so after registering on a portal. This begs the question, why would farmers from
one region want to sell their produce elsewhere?
Monthly data collected on wholesale prices across 122 centres by the ministry of consumer
affairs, food and public distribution shows wide geographical disparity in prices. We studied this
data for six key agricultural commodities in 2019, covering foodgrains, pulses and vegetables.
Three commodities (rice, wheat and tur dal) were among the 23 for which the government sets a
minimum support price (MSP). The other three (potato, onion and tomato) didn‘t have MSP
support. The largest price variation was seen for vegetables, where trade is mostly unregulated
and there exists no government procurement.
So, what explains this wide geographical disparity in prices? Under the current policy regime,
agricultural markets are the domain of state governments. All states that have notified the
Agricultural Produce Marketing Committee (APMC) Act operate APMC mandis (markets) with
specified geographical jurisdictions. Farmers are, therefore, required to sell their produce via
auctions to licensed traders at the mandi in their region.
Most major states have implemented the APMC Act, with Kerala and Bihar being notable
exceptions. However, there is large variation across states in terms of the scope and stringency of
these APMC acts, wrote Sudha Narayanan, associate professor at the Indira Gandhi Institute of
Development Research, in an article published by The India Forum. Such variations in APMC
regulations have led to fragmented markets, and impeded the emergence of a single national
market, according to Narayanan.
In rice, for instance, the monthly average price in 2019 ranged from ₹2,042 per quintal in Agra
(Uttar Pradesh) to ₹5,102 in Gangtok (Sikkim). In vegetables, the variation is much greater. In
tomatoes, for instance, the monthly average price in 2019 ranged from ₹985 per quintal in
Udaipur (Rajasthan) to ₹7,605 in Mayabunder (Andaman & Nicobar Islands).

These prices offer an insight into the wide disparity in what farmers earn for their produce in
different parts of the country. A quartile-wise distribution shows that in all six commodities,
there are a sizeable number of centres where the wholesale prices vary sharply. In rice, for
example, the average price in the bottom quartile (comprising 28 centers) was about 19% below
the average for the 122 centers. In the top quartile, the average price was about 33% higher. This
variance in vegetables is much higher.
To be sure, the difference in wholesale prices is also driven by transaction costs such as for
transportation, and the relative demand and supply across regions. With agricultural production
largely concentrated in the northern and western states, wholesale prices are relatively higher in
other regions, which are net consumers of these products.
Yet, inter-state barriers do seem to play a role in driving up the price wedge across regions. An
estimate by Shoumitro Chatterjee, a researcher at Princeton University, suggests that removal of
inter-state barriers can increase prices accruing to farmers by up to 11%. The paper describes
how restrictions on inter-state trade due to the APMC law undermine market power and,
therefore, prices accruing to farmers. The author then models an alternative scenario where these
restrictions don‘t exist.
In an emailed response, Sudha Narayanan explained how geographical disparities in prices can
indicate the presence of barriers to trade as well as high transaction costs that can aggravate these
disparities. ―In general, we would expect large disparities in prices to be arbitraged away by the
free movement of produce to the point where any disparity is on account of just the transaction
cost associated with moving the produce," she said.
Price variation is greatest in the case of vegetables, where government procurement is zero. The
absence of MSP in vegetables means they lack a price floor. Since vegetables are mostly
perishable, the lack of efficient storage and distribution networks inhibits long distance trade,
and markets for vegetables remain largely localized. Their prices are therefore volatile, being
prone to supply and demand shocks.
The full implication of the new farm policy regime is difficult to predict. In the absence of
regulation, market forces will dictate that buyers will migrate to regions where prices are low.
Farmers in regions that have a relative cost disadvantage might lose out. On the flip side, barrier-

free trade and more supply chain investments can increase earnings for farmers. With the new
farm bill, how this plays out will be keenly watched.
howindialives.com is a search engine for public data
https://www.livemint.com/news/india/what-india-s-farm-reforms-aim-to-change-in-three-charts-
11602052679387.html
Cambodia struggles to market rice
By New Straits Times - October 7, 2020 @ 9:45am
A worker carrying a sack of rice at a shop in Phnom Penh, Cambodia. EPA PIC
PHNOM PENH: Cambodia'S rice industry is losing out to cheaper rice from neighbouring
countries such as Vietnam and Thailand.
The two countries are now supplying white rice to the world market at much cheaper prices than
Cambodia, which exports more premium or fragrant rice varieties.

Agriculture Minister Veng Sakhon has urged exporters to focus more on white rice exports to tap
the global low-cost market.
"We are busy focusing only on premium fragrant rice and forgot about Vietnam, which is filling
the international market demand for white rice. So we should turn to processing more white rice
for export," he said, adding that by continuing to focus on premium fragrant rice for a niche
market, it would keep Cambodia out of the world's rice-producing countries and may leave
farmers lagging behind.
A Khmer Times report said that Cambodia produces more than 10 million tonnes of padi a year
and only about three million tonnes are premium fragrant padi.
According to figures from the ministry, as of September, padi cultivation was carried out on 2.7
million ha nationwide.
Lun Yeng, Secretary-General of the Cambodia Rice Federation (CRF), said the problem with the
markets needed to be addressed.
He said if they wanted to process white rice for export, they have to do it at prices that could
compete with neighbouring countries in the international market.
"We cannot produce on a large scale with high cost and sell at a low price. We already know that
the recurring challenges today are high production costs and transporting costs."
Yeng said Vietnam's production and transportation costs were low, with white rice being loaded
directly into vessels as bulk cargo.
"We really want to do it, but it is not profitable. Our production cost is already high, so we
cannot sell at low prices."
Cambodia exported 488,775 tonnes of milled rice in the first nine months of this year, up 22.6
per cent compared to the same period last year.
This paled in comparison to Thailand which exported 2.89 million tonnes in the first half of ths
year, a drop of 34 per cent year on year, while Vietnam exported 3.5 million tonnes, an increase
of 5.6 per cent.
Cambodia expects to export more than 800,000 tonnes of milled rice this year and reach the one
million tonne target by 2022.
Yeng said Cambodia also exported 30 per cent of its white rice, most of which was to the
European Union market.
However, he said since the European Commission imposed safeguard measures on Cambodian
rice, it could not compete in the European market.

"Therefore, fragrant rice is still our strength in the market. We do not focus on quantity. The
important thing is that we can produce with profitability and ensure the well-being of the rice
sector,"
He said Cambodia had 70 rice exporters nationwide, 60 of whom are members of CRF.
He said there were 120 rice mills processing padi for export which could process a total of 1.2
million tonnes per year.
https://www.nst.com.my/world/region/2020/10/630282/cambodia-struggles-market-rice

SunRice acquisition plans lift revenue towards $2b target
Andrew Marshall@BurrenAndrew7 Oct 2020, 9 a.m.
Agribusiness
The stars fronting SunRice's new baby rice cereal product promotion, Riverina mum, Erika
Burkinshaw and her son is Cove, in a southern NSW rice crop.

Stockfeed, baby food and snack foods have become fast rising stars on the SunRice business
agenda as the farmer-controlled company further diversifies away from relying on its best known
consumer staple - rice.
While global demand for its many respected rice brands well exceeds 1 million tonnes a year,
SunRice is also making the most of its broad market experience in the fast moving consumer
goods space.
New product lines and business acquisitions are being keenly explored Australia-wide to add
extra value to its range, and spread earnings risks, as it targets revenue of $2 billion in the next
two years.
For some time the market for feed ingredients for young livestock and pets has been one of those
steadily expanding value-added categories, but SunRice has now turned to nurturing young
humans, too, with a newly launched infant food range.
Its first foray into baby food, a 125 gram pouched Infant Rice Cereal lineup, is being promoted
as a convenient, Australian-made food choice, with no added salt, sugar or artificial colours and
flavours.
Initial marketing efforts will focus on young parents - and their babies - in Australia and China,
playing up the company's clean, green Riverina origins and its 70-year-old trusted farm sector
credentials.
The new line is manufactured for SunRice under contract and follows the recent launch of low
GI instant rice cup products to Chinese hospitals and China's huge online health food market.

At the same time SunRice is broadening its rice snack portfolio, expanding overseas distribution
channels for rice chips, mini bites and rice cakes and starting production of brown rice chips in
Australia, which in turn will broaden scope for more new product innovation.
New product options and acquisitions are also likely in its Riviana Foods business, which
includes the Always Fresh, Fehlbergs and Roza's Gourmet preserved food and cooking
ingredient lines.
Fehlbergs Fine Foods' pickled vegetable range and Rooza's Gourmet dips and sauces joined the
SunRice stable in 2017 and 2018.
Eye on acquisitions
"We are continuing to accelerate pursuit of organic growth opportunities and key initiatives on
the merger and acquisition front," said managing director Rob Gordon.
"There are a number of acquisitions we're currently exploring across our group which, if
executed, are expected to diversify and increase earnings and align with our growth strategy to
achieve $2b in revenue by 2022.
"We are not just a company responsible for marketing the Australian rice crop, but a truly
international FMCG and global rice food business."
SunRice was leveraging its strong balance sheet to pursue these value-accretive acquisitions.
Lately, of note, has been a succession of investments linked to the company's 45-year-old
stockfeed division, CopRice.
Last month about $10m was set aside to buy a Gippsland-based stockfeed mill and start
upgrading the site to boost its capacity in beef and dairy feed markets.
CopRice also recently converted the former Coleambally rice mill to become Australia's largest
ruminant nutrition processing plant.
That coincided with SunRice also spending about $6m acquiring and commencing upgrading the
northern Victorian Feedrite mill at Wangaratta, now also part of CopRice's pet food business.
We have quite ambitious plans in the stockfeed category- Laurie Arthur, SunRice
CopRice has other mills at Tongala and Cobden in Victoria and Leeton in southern NSW, and
has enjoyed spin-off by-product benefits from the parent company's recent $10m rice bran
processing plant upgrade, also at Leeton.
"We have quite ambitious plans in the stockfeed category," said chairman and Murray Valley
ricegrower, Laurie Arthur.

"We've had a long period of expertise in the feed product market, we know the marketplace and
we have opportunities to value-add by-products from the rice industry and non-grain products,
too."
New stockfeed operations offered the chance to spread the company's product sourcing and
marketing footprint further interstate and help counterbalance the cyclical nature of stockfeed
demand and ingredient availability.
CopRice's current modest export business, primarily to Papua New Guinea, could also
potentially expand further afield by piggy backing on the company's rice trading and milling
activities, such as its mills in Jordan or the US.
Long-term PNG play
Mr Arthur said PNG itself, although currently a struggling economy with a much-devalued
currency and depressed consumer spending power in recent years, was still SunRice's biggest
single rice market and "a wealth of opportunity" in the longer term.
"It's got huge natural resources, including oil and gas reserves yet to be developed," he said.
"It will have its day - and our strategy is to stay the course with our PNG business.
"Six years ago the Middle East wasn't considered such an attractive place to be doing business,
either, but that region has some of our wealthiest customers crying out for premium quality
Australian rice."
Meanwhile, although barred from many other export markets by trade barriers, SunRice was
upbeat about opportunities in the Philippines, and breaking into the tariff protected European
market once Australian free trade deals were inked with Britain, and hopefully the European
Union.
"Britain was a major market for us until it joined the EU in the 1970s, so now we're hoping
Brexit will revive that opportunity," Mr Arthur said.
"It will be a good chance to get a foot back in the European door again.
"We've suffered extreme tariff costs on our sales to that part of the world, but no such restrictions
stop rice from Spain, Portugal, Italy or Greece coming into Australia."
 Start the day with all the big news in agriculture! Sign up below to receive our daily
Farmonline newsletter.
https://www.farmweekly.com.au/story/6957496/sunrice-growth-plan-looks-to-diverse-new-food-and-
feed-markets/

Indonesia’s food estate programme to expand new
plantations in forest frontiers
To expand the project into North Sumatra and Papua, the government is seeking out
private investors, but activists say this risks a repeat of the current corporate takeover of
Indigenous and community lands.
Farmer working on a rice field in Bali, Indonesia. Image: www.tiket2.com, CC BY-SA 2.0
By Hans Nicholas Jong, Mongabay.com
Oct. 7, 2020

The Indonesian government is doubling down on a plan to establish large-scale agricultural
plantations across the country, in a move that threatens widespread deforestation and the
disenfranchisement of smallholder farmers.
President Joko Widodo announced the expansion of the ―food estate programme‖ on Sept. 23 as
part of measures to secure domestic food supplies end Indonesia‘s reliance on imported food
crops. Among the regions expected to become agricultural centers are the provinces of North
Sumatra and South Sumatra in the country‘s west, and East Nusa Tenggara and Papua in the east.
No more plantations in Papua, says Indonesia’s point man for palm oil
The announcement comes as the government prepares to start planting this year on the site of the
current national food estate project in the Bornean province of Central Kalimantan. Widodo said
the government would focus on establishing the plantations in Central Kalimantan and North
Sumatra first, before expanding to the other regions.
In Central Kalimantan, the government has identified 165,000 hectares (407,700 acres) of
potential farmland in the districts of Pulang Pisau and Kapuas. Most of this new estate will sit on
peatlands that were targeted for an identical initiative, the Mega Rice Project (MRP), in the mid-

1990s. The government back then quickly abandoned the MRP after the nutrient-poor peatlands
proved too unforgiving for rice, a crop that requires the kind of mineral soils found in Java and
Bali islands to thrive.
The Widodo administration has called for reviving the former MRP areas, albeit with changes in
light of the lessons learned from the failure of that earlier project. Construction work aimed at
improving existing infrastructure, such as roads and irrigation channels, began on Sept. 28. The
cost of infrastructure alone is estimated at 6.7 trillion rupiah ($454 million).
North Sumatra
In North Sumatra, the government is eyeing 61,000 hectares (150,700 acres) of land on a plateau
that straddles four districts. It says the elevation makes the region well suited for crops like
potatoes and garlic, and that if the project succeeds there it can be replicated in other regions
such as Papua, which has a vast highland region.
It wants agribusiness companies to take the lead in the project, citing the high cost of
establishing large-scale plantations, even as one of the programme‘s stated aims is to empower
small farmers and rural communities.
Dana Prima Tarigan, head of the North Sumatra chapter of the Indonesian Forum for the
Environment (Walhi), said farmers would only benefit from the programme if they were granted
ownership and management rights over their own land. Anything short of this will make the
programme no different from past large-scale plantation programmes, in which companies
managed the estates and hired farmers only as paid labourers, Dana said.
Five companies, including food giants such as PT Indofood Sukses Makmur and PT Calbee
Wings Food, have expressed their interest in taking part in the programme. Nearly 80 per cent of
the 1,000 hectares (2,500 acres) of land expected to be planted this year in North Sumatra will be
managed by agribusiness companies and the government.

The government is also looking abroad for investors in the programme. Defense Minister
Prabowo Subianto said there was already interest from South Korea, the United Arab Emirates,
Qatar and China.
The government initially planned an estate of 30,000 hectares (74,100 acres) in the district of
Humbang Hasundutan, but an analysis by the Ministry of Environment and Forestry found there
was only 19,000 hectares (47,000 acres) available, with much of the remaining land designated
as protected forests that serve as a catchment area for Lake Toba.
The ministry has had to look at the neighboring districts of North Tapanuli, Central Tapanuli and
West Pakpak, where it has identified a total of 61,000 hectares of available land. That number
is subject to change pending a rapid environmental strategic analysis and forest conversion
process.
Another factor restricting the amount of available land for the food estate project in North
Sumatra is the sheer size of an existing concession held by pulp and paper producer PT Toba
Pulp Lestari (TPL): nearly 185,000 hectares (457,000 acres) of land — an area bigger than
London — across 11 districts and one municipality.
The company has been embroiled in long-standing land conflicts with Indigenous Batak
communities in the Lake Toba region, who have lost their benzoin trees, an important source of
incense and central to their culture and livelihoods. The conflicts have resulted in the jailing of
several Indigenous community members.
With TPL‘s pulpwood concession occupying such a large area, Darori Wonodipuro, a lawmaker
who served as the head of the forest protection directorate-general of the forestry ministry for
seven years, said that there might not be enough land left for the food estate programme.
―The location there has cool temperature but the land has been handed over completely,‖ he said
during a meeting with the Ministry of Environment and Forestry in Jakarta. ―First, it is owned by
Indo Rayon [the former name of TPL], these are all forest areas. Outside of that, they‘re all
customary land.‖

Dana from Walhi said the government should use the opportunity presented by the food estate
programme to rescind these disputed areas from TPL and hand the land back to the Indigenous
communities to manage, which could then feed into the food estate programme.
―We would see it as a good policy if [the government] reduced the concession of the company,‖
Dana said. ―But don‘t give [the area] to new companies to manage, because then the Indigenous
peoples will have to watch [from the sidelines] again.‖Environment and Forestry Minister Siti
Nurbaya Bakar said the impact of the food estate programme on the environment in North
Sumatra would be minimal, since the earmarked areas comprise degraded forests.
―What‘s important here is that in regards to the environment, [degradation] can‘t happen,‖ she
said. ―So indeed the areas that we project [to become food estate] are those whose forest
functions have declined. But of course the agricultural practices have to be agroforestry. There
have to be conservation requirements.‖
Papua
The Papua region at the easternmost end of Indonesia is the country‘s least-developed area and
home to the world‘s largest standing swath of tropical rainforest outside the Amazon and the
Congo Basin. President Widodo‘s announcement that Papua would be included in the food estate
programme has prompted objections from a coalition of 10 Papua-based NGOs, who say the
programme will rob Indigenous Papuans of their rights.
The coalition likened the programme to the failed Merauke Integrated Food and Energy Estate
(MIFEE), initiated by Widodo‘s predecessor, Susilo Bambang Yudhoyono, in 2011 to turn
Papua‘s Merauke district into the ―future breadbasket of Indonesia.‖
That project, pitched by the government as the answer to Indonesia‘s food security needs, has
become a ―textbook land grab,‖ activists say. Within just three years of the project‘s launch, the
majority of concessions granted by the government to companies were for crops to be exported,
such as oil palm and pulpwood, belying the claim that the estate would boost domestic supplies
of food crops.

The latter, including rice and cassava, only account for 70,000 hectares (173,000 acres) of total
concessions in the estate, compared to 594,000 hectares (1.4 million acres) for pulpwood and
266,000 hectares (657,300 acres) for oil palm.
―In the beginning, [MIFEE] was planned to be dominated with food crops like rice, corn, soy and
others, [but] the fact is that now it‘s dominated with palm oil and industrial forest plantations,‖
Aiesh Rumbekwan, executive director of Walhi‘s Papua chapter, said in a press release.
In total, the government has granted permits for 45 companies on 1.3 million hectares (3.2
million acres) of land in Papua — an area that includes not just land where farming is
permitted, but also where it‘s off-limits, including primary and protected forests, residential
areas, and Indigenous settlements.
With the project threatening their customary rights and livelihoods, Indigenous communities in
the region have resisted by staging street protests, installing signs around plantations urging
companies to leave, and occupying company offices, among other actions.
The resistance has slowed MIFEE‘s expansion, but President Widodo has tried to revive the
project ever since taking office in 2014. In 2015, the president said he planned to turn the Papua
region into the nation‘s rice bowl over the next three years by allocating 1.2 million hectares (3
million acres) of land, and possibly up to 4.6 million hectares (11.4 million acres), in Merauke
district for the project. The latter figure represents the entirety of Merauke‘s area.
Since then, however, there‘s been little to no development on the MIFEE programme, which is
included in the Widodo administration‘s list of national strategic projects.
With the president now targeting Papua again under the national food estate programme, the
Ministry of Environment and Forestry is conducting a study to identify potential areas not only
in Merauke, but also in the neighboring districts of Mappi and Boven Digoel.
Asked by lawmakers at a parliamentary hearing whether the planned food estate would be
established in the former MIFEE area, Environment and Forestry Minister Siti said it hadn‘t been
decided yet because the study is still ongoing.

According to a document obtained by Mongabay, the government has identified nearly 1.7
million hectares (4.2 million acres) of potential plantation area in the three districts. There‘s also
1.04 million hectares (2.57 million acres) of forest that could be degazetted — stripped of its
forest status — and subsequently razed for farmland by 2021. Mongabay has tried to confirm the
validity of the document with the Ministry of Environment and Forestry, but to no avail.
The expansion of the food estate programme to districts beyond Merauke has sparked concern
among activists in the region, who worry the impact of the new programme will be greater than
that of MIFEE.
Walhi Papua‘s Aiesh said the food estate programme would not only threaten the region‘s
pristine rainforests, but also the Indigenous peoples who live there and call the forests their
ancestral home.
―There‘s already a lot of stories from Merauke documented by researchers and reporters on how
deforestation has changed the nature of the Malind Indigenous peoples and how their land
ownership has shifted to other parties or been forcefully taken away by legal papers issued by the
government,‖ he said.
Sabatha Rumadas, from the NGO Papua Peoples Network (JERAT), a member of the coalition
opposed to the project, said if the government truly wants to achieve food security and empower
native Papuans, then establishing large-scale food plantations is not the solution. Instead, the
government should recognise Papuans‘ land rights and give them power to manage their own
land, he said.
―There are empirical facts that before the integration [of Papua into Indonesia], Indigenous
Papuans were able to survive not because the state guaranteed their livelihoods, but because of
the availability of food and access to manage it,‖ Sabatha said.
Anselmus Amo, a pastor with the Papuan Indigenous rights organization SKP-KAMe, said that if
the government wanted to develop agriculture in the region, it should involve Indigenous
Papuans in the process and conduct a meaningful dialogue with them.

―Indigenous peoples also have a framework to secure their customary land for the sake of their
children and grandchildren,‖ he said. ―So there shouldn‘t be coercion, especially with violence.‖
This story was published with permission from Mongabay.com.
https://www.eco-business.com/news/indonesias-food-estate-programme-to-expand-new-plantations-in-
forest-frontiers/
DA urges farmers to sell palay to NFA buying station
Published October 7, 2020, 5:00 PM
by Marie Tonette Marticio
TACLOBAN City – Following reports of palay (unhusked rice) in Eastern Visayas being
bought by local traders as low as P13.50, the Department of Agriculture (DA) urges farmers
to sell them to the National Food Authority (NFA) buying stations.
This is far from the average price of well-milled rice which is at P1,800-P2,000 per sack.
Small farmers are compelled to sell their harvest to local traders at a low price because most
of them have no means of transporting their harvest to the buying stations. Some of them are
not even aware that there are existing buying stations in their province.
Lino, a farmer from Dagami, Leyte was disappointed to find out that his palay was only
bought for P13.50 per kilogram from his almost 1-hectare land. He said that he needed the
money for his children‘s school needs for the opening of classes.
―The buying station is far from here. We need the money already so we have no choice but
to sell them at a low price,‖ he lamented.
The NFA-8 has opened more palay buying stations for palay just in time for the peak
harvest season for the farmers who planted in May and June in order to help them earn more
from their harvest.
There are two in Ormoc City and one each Tacloban City and Baybay City, Hilongos, and
Alangalang, all in Leyte; Maasin City, St. Bernard, and Hinunangan in Southern Leyte;
Bobon, Laoang, and Catubig in Northern Samar; Borongan City, Oras, and Guiuan in
Eastern Samar; Catbalogan City and Calbayog City in Samar; and Naval, Biliran.

―At the onset of the coronavirus disease (COVID-19) pandemic, we closely coordinated
with the local government units (LGUs) for them to assist NFA in buying locally produced
rice under our ‗Buy Local, Eat Local‘ Program,‖ Francis Rosaro, DA-8 information officer
shared.
He said that the NFA buying stations procure clean and dry palay at P19 per kilogram as
part of the national government‘s mandate.
The official added that NFA is also exploring mobile buying stations by picking up palay
right from the farm instead of the farmers transporting them to buying stations.
―There is an ongoing consolidation effort of the NFA with our Agribusiness Marketing
Assistance Division of (AMAD) to drumbeat their massive buying program. Our farmers
just need to ensure that the palay is clean and dry,‖ he said.
https://mb.com.ph/2020/10/07/da-urges-farmers-to-sell-palay-to-nfa-buying-station/؎؎؎؎
Philippines to import 300,000 MT of rice
Louise Maureen Simeon (The Philippine Star
October 7, 2020 - 12:00am
MANILA, Philippines — The country is importing as much as 300,000 metric tons of rice until
the end of the year, giving it a stable buffer stock by 2021.
In a virtual briefing Tuesday, Agriculture Secretary William Dar said the DA expects about
200,000 to 300,000 MT of rice to arrive in the country for the rest of the year.
Two million MT of rice had already entered the country so far this year.
―If that‘s the case, by the end of the year, with local harvest and imports, we have a very rice
secure country. We will have [supply] good for three months next year,‖ Dar said.
Given DA‘s projection, total imports will likely reach 2.3 million MT next year. This is 23
percent lower than the three million MT recorded in 2019 and 12 percent below than the earlier
projection of 2.6 million MT for this year.

This as local production is expected to improve this year and attain a record-high production of
palay (unhusked rice) of 22.12 million. This represents an increase of 18 percent.
The expected higher production is anchored on the DA‘s flagship Plant, Plant, Plant program
aimed at expanding production areas, improving yields and ensuring availability of rice in the
country.
Amid the drop in palay prices, Dar said the DA already appealed to traders and importers to not
bring in rice while the harvest season is ongoing.
He said the DA could only do so much as the Rice Tariffication Law has virtually opened up the
industry to unlimited imports of the country‘s main staple.
―We appeal to traders to not take advantage of the pandemic and also allow farmers to earn this
season. They should have the patriotism to help our farmers,‖ Dar said.
Dar also encouraged multinational companies to buy rice for their employees from farmer
cooperatives and associations to help prop up farmgate prices.
https://www.philstar.com/business/2020/10/07/2047650/philippines-import-300000-mt-rice
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