6th August, 2014 Daily Global Rice E-Newsletter by Riceplus Magazine

Daily Rice E-Newsletter by Rice Plus Magazine www.ricepluss.
com
News and R&D Section mujajhid.riceplus@gmail.com Cell # 92 321 369 2874

6
th
August, 2014

TOP Contents - Tailored for YOU
Latest News Headlines

FDA Enforces Rule on Gluten-Free for Packaged Foods
QC restos now required to offer half servings of rice at half the
price
NBI urges raps vs. Bangayan, Banayo for rigged rice imports
Families, friends make big day of 2014 Arkansas Rice Expo
USDA will help producers prepare for new farm bill programs
Roundup: Vietnam exports 3.6 mln tons rice in 7 months, ranks 3rd
globally
North Korea FM visits Vietnam to expand ties
Fragrant rice comes to throne in Mekong Delta
Vietnam Exports Over 3.6 Million Tonnes Of Rice From January To
July
First rice auction since junta took power open to all traders
Bangchak ready to buy state's rotten rice
Agriculture Ministry eyeing higher priced markets for rice -as
production keeps climbing
PDMO hit by pledging rollover
News Detail
FDA Enforces Rule on Gluten-Free for Packaged Foods

Daily Rice E-Newsletter by Rice Plus Magazine www.ricepluss.com

WASHINGTON, DC -- Yesterday, the U.S. Food and Drug Administration (FDA) implemented the gluten-free labeling
final rule published in August 2013. The regulation requires that all packaged foods using the gluten-free claim must
contain less than 20 parts per million (ppm) of gluten."The gluten limit identified by FDA is consistent with those set by
other countries and international bodies that set food safety standards," said Paul Galvani, chairman of the USA Rice
Federation Retail Subcommittee. "Since rice is a naturally gluten-free food, it is in a unique position to capitalize on the
gluten-free trend with package claims to help consumers identify foods that are actually gluten-free."The use of the
gluten-free claim is voluntary and there is no requirement that a food containing gluten must declare that on the label.
However, any food label that carries the gluten-free claim but fails to meet the requirements of the rule is considered
misbranded and subject to regulatory action by FDA.
The FDA rule, which applies only to packaged foods, provides a uniform standard definition to help consumers with
celiac disease manage a gluten-free diet. The FDA recommends that restaurants and establishments making gluten-free
claims on their menus to follow the FDA's definition of gluten-free.

Contact: Katie Maher (703) 236-1453
C restos now required to offer half servings of rice at half the price
By Erika Sauler |Philippine Daily Inquirer
4:07 pm | Wednesday, August 6th, 2014

MANILA, PhilippinesIts official. Half-cup rice serving must also be available in restaurants.A measure
requiring restaurants and eateries in Quezon City to include a half order of rice with exactly half the price of a
full serving on their menu has been signed into law recently.A copy of the Half-Cup Rice Ordinance, signed
by Mayor Herbert Bautista on July 9 and released last week, is to be posted in food establishments together with
the message Eat your rice right and save lives.Councilor Allan Butch Francisco introduced the measure to
support the campaign of the International Rice Research Institute to reduce rice wastage at the consumer level.

The ordinance cited data from the Department of Science and Technologys Food and Nutrition Research
Institute that each Filipino wastes an average of three tablespoons of rice daily or 3.3 kilos per year.The
International Rice Research Institute said the losses translate to P8 billion a year, enough to feed 4.3 million
people.The ordinance covers all food establishments in Quezon City, including fast-food chains, food courts,
caterers, and canteens in schools and hospitals.A written warning will be issued by the citys business permits
and licensing office for the first offense. The second offense will be fined P1,000 and the third offense will be
fined P2,000 and one-month suspension of license to operate.


NBI urges raps vs. Bangayan, Banayo for rigged rice
imports
By MARK MERUEAS, GMA NewsAugust 6, 2014 1:22pm

The National Bureau of Investigation has recommended the filing of criminal charges against rice trader Davidson Bangayan
and former National Food Authority administrator Angelito Banayo for allegedly rigging NFA's rice importation
program.Bangayan, who's allegedly the same person as notorious rice smuggler David Tan, will be charged with violation of the
Government Procurement Reform Act for bid-fixing; as well as violation of Article 186 of the Revised Penal Code, penalizing
monopolies and restraint of trade.Banayo will be charged with violation of the Anti-Graft and Corrupt Practices Act. Facing
graft raps as well are lawyer Jose Cordero, Celia Tan, lawyer Gilberto Lauengco, Carlito Co, and lawyer Judy Carol Dansal, all
of the NFA Special Bids and Awards Committee.
Upon investigation, the NBI discovered a scheme whereby certain rice traders/importers were able to corner the National Food
Authority's rice import allocations through the use of farmers' organizations/cooperatives and single proprietorships as dummies
in the NFA bidding for rice Import Allocation under the Private Sector-Financed importation thru the NFA Tax Expenditure
Subsidy," read the report NBI Director Virgilio Mendez signed.The NBI said the rice traders and importers pooled the bidders
into groups and financed their individual bids for NFA rice allocations. In exchange, the bidders were given a small percentage
share of a certain amount per sack of rice they were allowed to import.
"This scheme, in turn, allowed these rice traders/importers to corner the rice import allocations that were put up for bidding by
the NFA, even if they were not licensed by the NFA to engage in rice importation or bidding," the NBI said.Others to be
charged are Judilyne Lim, Elizabeth Faustino, Eleanor Rodriguez, and Leah Echeveria, who were the owners of the single
proprietorships and representatives and officers of the farmers' cooperatives and organizations.The NBI said Tan and the FO
and FC officers will be charged for their "act of combining, conspiring and agreeing with one another in the manipulation of the
bidding process for the award of rice import allocation from the NFA.
""They engaged in, or made transactions prejudicial to lawful commerce, restrained free competition in the market, and altered
or manipulated the market price of rice, which is a commodity of prime necessity in the Philippines," it added.The NBI said the
NFA officials will be charged for "giving unwarranted advantage or preference" to the winning bidders and awarding rice
import allocations to them despite their financial incapability to purchase the rice imports."The NFA SBAC should have known
from the start the bid documents submitted by the FCs/FOs and single proprietorship bidders that they were not financially


capable entities," the NBI said. "Despite the lack of financial capability... the NFA SBAC still considered them qualified and
proceeded to award them the corresponding rice import allocation," it added. NB, GMA News

Families, friends make big day of 2014 Arkansas Rice Expo
David Bennett | Delta Farm Press

12

A LARGE CROWD -- surely over 1,000 strong attended the 2014 Arkansas Rice Expo at the Grand Prairie Center in
Stuttgart on Aug. 1. Taking advantage of a wide range of activities, many children and families attended.

USDA will help producers prepare for new farm bill programs

Originally published August 5, 2014 at midnight, updated August 5, 2014 at midnight
U.S. Department of Agriculture Farm Service Agency Administrator Juan M. Garcia said Aug. 1 that farmers should start
receiving notices updating them on their current base acres, yields and 2009-12 planting history.The written updates are
an important part of preparing agricultural producers for the new safety net programs established by the 2014 Farm
Bill."We're sending these reports to make sure that farmers and ranchers have key information as they make critical
decisions about programs that impact their livelihood," Garcia said.If the information is correct, no further action is
needed at this time, he said, but any incorrect or incomplete information can be corrected by contacting an area Farm
Service Agency.


Verifying the accuracy of data is an important step for producers enrolling in the upcoming Agriculture Risk Coverage
program and the Price Loss Coverage program. Later this summer, farmers and ranchers will have an opportunity to
update their crop yield information and reallocate base acres.Producers are encouraged to bring their USDA notice to any
appointments with the farm agencies to help them discuss the available program options, Garcia said.All producers on a
farm will be required by midwinter to make a one-time, unanimous and irrevocable election between price protection and
county revenue protection or individual revenue protection for 2014-18 crop years.
Producers can expect to sign contracts for the preferred program for the 2014 and 2015 crop years in early 2015.Covered
commodities include barley, canola, large and small chickpeas, corn, crambe, flaxseed, grain sorghum, lentils, mustard
seed, oats, peanuts, dry peas, rapeseed, long grain rice, medium grain rice - includes short grain rice and temperate
japonica rice - safflower seed, sesame, soybeans, sunflower seed and wheat. Upland cotton is no longer a covered
commodity.
For more information about the 2014 Farm Bill programs, visit fsa.usda.gov or the local FSA office.
Roundup: Vietnam exports 3.6 mln tons rice in 7 months, ranks 3rd globally
Xinhua, August 6, 2014
Vietnam delivered some 3.617 million tons of rice worth 1.56 billion U.S. dollars to the world market in the
first seven months of this year, down 10.78 percent in volume and 10.27 percent in value, said Vietnam Food
Association ( VFA) on Wednesday.In addition, Vietnamese companies have signed contracts to ship more
2.102 million tons of rice overseas, said VFA.In July alone, Vietnam earned 264.6 million U.S. dollars from
exporting 615,000 tons of rice, posting the highest volume since the beginning of 2014.Vietnamese
government's e-Portal quoted the VFA as saying that as of the end of July, Vietnam's average rice export price
went up by 2.43 U.S. dollars per ton.
Meanwhile, prices of Vietnamese rice are reaching the highest level in 2014. Specifically, as of the end of July,
Vietnam's five- percent broken rice was sold at 460-470 U.S. dollars per ton while that of 25-percent broken
rice was 405-410 U.S. dollars per ton, said the association.The sharp increase in prices of Vietnamese rice over
time was attributed to positive signals in markets of Vietnamese rice, assessed VFA.Cumulatively, so far this
year, Vietnam has ranked the third among five largest rice exporters worldwide. Thailand topped the list with
5.62 million tons, up nearly 55 percent year-on-year.Thailand was followed by India with rice export volume
of 5.49 million tons, down 1.6 percent year-on-year.Pakistan ranked the fourth with 1.84 million tons of rice
while the United States was the fifth, selling overseas 1.68 million tons of rice.The total export volume of the
world's five major rice exporters so far in 2014 reached over 18 million tons, up 4.3 percent year-on-year, said
VFA.


The association forecast that due to abundant supply, competition among rice exporters in the last months of
2014 remains fierce.According to a recent report from Vietnam's Ministry of Industry and Trade, in the first
half this year, China imported some 1.34 million tons of Vietnamese rice, worth 576 million U.S. dollars, up
5.38 percent in volume and 8.89 percent in value year- on-year.The ministry forecast that Vietnam's rice
exports to China, the biggest importer of Vietnamese rice, will not see any significant change over
2013.According to the Department of Cultivation under Vietnam's Ministry of Agriculture and Rural
Development, the rice output of Vietnam's main rice bowl in southern Mekong Delta during summer- autumn
season in 2014 is expected to hit 4.23 million tons.Rice plays the most important role among all agricultural
commodities in Vietnam in terms of food security, rural wages and employment, as well as export revenues.In
2013, Vietnam made 2.99 billion U.S. dollars from exporting 6.72 million tons of rice. The country has set a
target of exporting some seven million tons of rice in 2014. Endi
Follow China.org.cn on Twitter and Facebook to join the conversation
North Korea FM visits Vietnam to expand ties
HANOI, Vietnam (AP) North Korea's foreign minister held talks in Vietnam on Wednesday in a visit to a fellow
communist country as part of efforts to break the North's diplomatic isolation.Ri Su Yong arrived Tuesday night
from Laos for a four-day visit before traveling to Myanmar for an ASEAN Regional Forum meeting, which will also
be attended by U.S. Secretary of State John Kerry and foreign ministers from Japan, South Korea and China on
Sunday.
He then visits Indonesia and Singapore. Ri held talks with his
Vietnamese counterpart Pham Binh Minh where they stressed on the
traditional friendship between communist countries. Ri will also meet
President Truong Tan Sang and other high-ranking officials."My visit to
Vietnam this time is to develop the existing friendship between our two
countries," Ri told Minh at the start of their talks. "Our relationship is a
comradely and fraternal one and unlike other countries it has an age-old
history."Unlike Vietnam, which launched reforms in the mid-1980s
opening up to foreign trade and investment, North Korea remains one of
the world's most isolated countries over its nuclear weapon program.Vietnam, the world's second-largest rice
exporter, often gives North Korea rice as food aid to help it overcome food shortages.


Fragrant rice comes to throne in Mekong Delta
Posted on AUGUST 6, 2014 Written by SAIGON-GPDAILY LEAVE A COMMENT
Fragrant rice export in the Mekong Delta has made a breakthrough to reach about 700,000 tons this
year, an increase of 31.2 percent over the same period last year.

Fragrant rice (Photo: SGGP)
In the first eight
months, export
of six out of
eight rice
products
declined in
volume except
fragrant rice,
which export
price topped US
$600 per
ton.Businesses
are paying over
VND6,000 a
kilogram of
fragrant rice,
VND2,000
higher than that
of normal
varieties, said farmer Tu Sang from Thoi Tan Commune, Thoi Lai District of Can Tho City.The fragrant rice
has mainly been produced in large-scale paddy fields, in which farmers and businesses link together to produce
and consume the product.
Fragrant rice variety is mainly cultivated in large scale fields in the Mekong Delta (Photo: SGGP)
The Mekong Delta had 76,500 hectares of rice under this modal last year. It is expected to approximate 200,000
hectares this year.The large-scale modal yields higher profit than normal production method from VND2.2-7.5
million per hectare and it is result thanks to technical measures toincrease productivity and reduce costs.Soc
Trang is the largest growing province of fragrant rice in the Mekong Delta. Local residents have farmed 80,000
hectares this year, an increase of 26,000 hectares over last year.


Vietnam Exports Over 3.6 Million Tonnes Of Rice From January To July
HCM CITY, Aug 6 (Bernama) - Vietnam exported over 3.6 million tonnes of rice valued at more than US$1.56
billion in the first seven months of the year, Vietnam News Agency (VNA) reported.The latest figure showed a
decrease of 10.78 percent in volume and 10.27 percent in value over the same period last year, ietnam Food
Association reported.The Department of Cultivation said price of rice in the country's biggest granary Mekong
Delta is rising as more firms are stocking up rice for export.The region is introducing a big-scale paddy field
model designed to link farmers and businesses throughout the farming and marketing processes.It plans to
expand the model to increase coverage from 140,000 hectares to 201,000 hectares by year end.Rice exporters
nationwide are targeting to export 6.2 to 6.5 million tonnes of rice this year.-- BERNAMA
First rice auction since junta took power open to all traders

Petchanet Pratruangkrai
The Nation August 6, 2014 1:00 am
Thai traders have shown high interest in checking the quality of stockpiled rice and joining the first rice auction since the
National Council for Peace and Order assumed power in May. The auction is scheduled to take place tomorrow and is
open to general .The Commerce Ministry is scheduled to open bidding for 167,000 tonnes of rice tomorrow in what will
be the first auction to reduce the size of the state's stockpile since the National Council for Peace and Order took power on
May 22.Unlike previous auctions, the process will be more transparent as the ministry is allowing all types of trader -
exporters, domestic traders, rice packers, feed-meal producers, and millers - to take part in the bidding for a small lot of
rice from 40 state warehouses.
The ministry will open the bidding letters, bargain over prices and select the winner within one day, during which all
players can observe the transparency of the process, Duangporn Rodphaya, director-general of the Foreign Trade
Department, said yesterday.Bidders will be required to offer their prices between 8.30am and 11am, after which their
letters will be opened at 1pm. The ministry's bidding committee will then select the winning bid or negotiate for the best
price, all within the same day.The result of the auction will then be submitted to the Rice Policy Committee for approval
within a week, she added."The ministry has a working committee to work on the bidding process under a transparent
method. They will set up a 'floor price' for the bidding.
If bidders offer prices in accordance with the floor price, or not too low, the ministry will decide to sell the rice," said
Duangporn.Many rice traders are expected to show interest in joining the bidding due to the currently high demand in the
market, she said, adding that the auction should not however negatively affect the market price because it is being held
outside of the harvest season. About 30 rice traders participated in the department's clarification session concerning


tomorrow's auction. They include CP Intertrade, Siam Indica, Capital Rice, Sandee Rice, and Olam (Thailand).Rice
purchased at the auction can either be sold domestically or in the export market.
Duangporn said the ministry would also hold other auctions and sell rice through other methods, such as allowing traders
to offer to purchase rice directly from the ministry, selling through the Agricultural Futures Exchange of Thailand, and
government-to-government contracts.She said the sale of stockpiled rice from government warehouses should result in an
increase in rice available on the market during the current global shortage. Vietnam has had low rice production this year,
while India has slowed down its rice export plan during the out-of-harvest season and because of lower stockpiles.The
Kingdom should be able to export 9 million-10 million tonnes of rice this year, said the senior official.Meanwhile, the
Commerce Ministry continues to sell rice to China under a memorandum-of-understanding contract to sell one million
tonnes to the country each year.
Thailand has already shipped 100,000 tonnes of rice under this contract, and will soon negotiate to sell other 100,000
tonnes from the stockpiles, as well as a further 100,000 tonnes from the next crop due to be harvested starting in
November.Moreover, the department has also negotiated the sale of rice to other countries such as Malaysia, Indonesia
and the Philippines. It projects releasing about 500,000 tonnes of rice per month from government stocks, starting this
month.Burin Thanatavornlap, managing director of Sandee Rice, said now was a perfect time for the authorities to sell
rice from the stockpiles because of high demand in the market.Rice prices should also be in accordance with market
prices, which have increased during the past few months following the end of the last harvest season, he said.The price of
new-crop white rice is currently quoted at Bt12.50 per kilogram, while jasmine rice is quoted at Bt31 and husk rice at Bt9
per kilo, he added.

Bangchak ready to buy state's rotten rice
Wednesday, 06 August 2014By MCOT
BANGKOK, Aug 5 -- Bangchak Petroleum Plc will buy rotten rice
from Thailand's state rice programme on the condition that the
government stops the sale of 95-octane petrol to increase the demand
for ethanol.Vichien Usanachote, Bangchak president, said that the
company is ready to buy rotten rice and its price would depend on its
flour content.However, he commented that the rice purchase would
negatively affect cassava growers as ethanol production would depend
less on cassava.To protect the interest, the National Council for Peace
and Order should stop the sales of 95-octane petrol to increase ethanol
demands, Mr Vichien suggested.He said the stoppage would not affect motorists because all vehicles could be
fueled with gasohol.Local ethanol demands stand only at about 2.87 million litres per day.

04/08/2014 | Press release


Agriculture Ministry eyeing higher priced markets for rice -as
production keeps climbing

distributed by noodls on 05/08/2014 23:37

Minister of Agriculture, Dr. Leslie Ramsammy said that the overwhelming success of the rice industry in terms
of repeated bumper crops has brought with it huge challenges ranging from lucrative markets that are readily
available and the capacity to dry and store large amounts of paddy.StorageThe latter has seen the Government
making major investments in the sector over the past three years in the area of drying and storage. Other
challenges include millers' inability to pay farmers in a timely manner, need for energy efficient management at
rice mills, and for more emphasis on value added rice production.These constraints notwithstanding, rice and
paddy production is 15.4 percent higher this year when compared to the corresponding period last year, while
exports are 23.4 percent higher. Minister Ramsammy said the Ministry is sparing no effort to have more rice
exported thereby reducing the need for storage space.He noted that if the sector has to store and keep rice for an
ideal pricing, then there would not be enough storage capacity and this is a major area of concern.

Marketing

In 2010, the sector struggled tremendously to meet the market demands for both rice and paddy."On top of the
European and Caribbean markets, Venezuela came on boardand Venezuela took up 70 percent of all our rice
and paddy and because of the price differential most of our farmers and millers opted for the Venezuela market
and gave up some of the European and Caribbean markets. We have had to recover those markets in the last
yearwe are now looking for new markets."The Agriculture Ministry has managed to attract markets in Haiti,
Panama and Belize to which a significant amount of rice and paddy is already being sold. Additionally, the
Ministry is looking to capture markets in Guatemala and several African countries.Minister Ramsammy
explained that Guyana has the capability to sell all 600,000 tonnes of rice produced almost immediately, but the
country is used to premium price and in recent times, large world market competitors (particularly those from
the Asian continent) have been slowly infiltrating the country's market domain, resulting in a decline in pricing.

Value-Added

Meanwhile, the Ministry is looking at other ways to ensure that the rice industry remains viable and resilient
despite the challenges. In this regard, it is exploring more efficient energy management using the rice husk. This
can be used to produce energy for mills, and bricks and pellets that can be utilised by the Guyana Sugar
Corporation (GuySuCo) at the beginning of the grinding season.Not only will this reduce the cost of energy for
the sugar industry, but will also contribute to safer environmental practices. The Ministry is also looking to
boost agro-processing using rice to add to wheaten flour via cereal and beer among other products.Minister
Ramsammy said that this means that the rice industry will continue to move forward creating more products and
generate more income for the country.In 1990 the country reaped 90,000 tonnes of rice. In 2013, Guyana
recorded a production of 535,000 tonnes of rice of which it exported 395, 000 tonnes generating US$246M in
export value.This year, the country is expected to produce over 600,000 tonnes of rice by the end of 2014.Only


about 120,000 tonnes of rice is consumed locally which would mean that the remaining amount is exported and
contribute to the local economy. This means that export markets have to be found for the remaining
amounts.The country is also looking at surpassing 461,000 tonnes of rice for exportation by year end; this
would add approximately US$251M to the economy.Apart from higher production levels, the industry has also
better yields in terms of rice variety. The Guyana Rice Development Board (GRDB) had developed 14 new rice
varieties which are cultivated by approximately 20 farmers.
PDMO hit by pledging rollover
Interest amounts to B20bn per year
Published: 6 Aug 2014 at 06.00 |
Newspaper section: Business
Writer: Wichit Chantanusornsiri
The Public Debt Management Office (PDMO) must shoulder an average interest expense of 20 billion baht a
year from a rollover of 500 billion baht debt incurred from the previous government's rice pledging scheme. The
office needs to roll over the 500-billion-baht debt until it is paid off, said the PDMO's bond market adviser
Suwit Rojanavanich, adding it carries an average interest rate of 4%, or around 20 billion baht per year.The
Pheu Thai government's rice subsidy, which offered a pledging price 40-50% above the market price, cost 878
billion baht to the fund since it was unveiled in the 2011-2012 main crop and around 500 billion baht worth of
debt is left over.The rice-pledging scheme, a major populist policy which swept Yingluck Shinawatra to power
in the 2011 general election, has suffered setbacks as it failed to boost the market price.
Several million tonnes of milled rice have been kept in thousands of warehouses, in accordance with the
government's policy that withholding a large supply from market will raise prices.Mr Suwit said the Finance
and Commerce Ministries are inspecting rice stocks to collect data for the account's closing, with 70% already
audited.Proceeds from selling stockpiled rice will be used to service debts, while the annual budget will be used
to subsidise losses from buying rice at high prices and selling it at lower prices.The Finance Ministry has set a
183-billion-baht budget to pay the debt in fiscal 2015. Of the total, 55.7 billion baht or 2.2% of the total
expenditure will be used to pay principal and the remainder will be used for interest payment.
The Yingluck government successfully transferred the Financial Institutions Development Fund's debt of over 1
trillion baht incurred from assisting ailing financial institutions during the 1997 crisis to the Bank of Thailand, a
move which allowed the government to reduce public debt ratio to GDP to pave the way for additional
borrowing and lower the interest payment burden of 50-60 billion baht a year. The Finance Ministry's public
debt threshold is set at 60% of GDP.Separately, finance permanent secretary Rungson Sriworasat will preside
over a public debt management meeting for fiscal 2015 on Friday. Public debt next fiscal year is close to the
current year at 1.3-1.4 trillion baht.The junta endorsed the budget for fiscal 2015 starting on Oct 1 at 2.575
trillion baht, while the government's revenue collection was estimated at 2.325 trillion.

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