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30th November , 2013

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Japans Rice Stockpile Jumps to 15-Year High as Consumption Ebbs China buys one-third of Vietnams commercial rice Govt admits failure in rice sufficiency Typhoons could cause 2M tons of rice imports in 2014 Vietnam wins tender to sell 500,000 tonnes of rice to the Philippines Embattled Thai PM Easily Survives No-Confidence Vote, Protests Persist Reuters No price formula for paddy in Sri Lanka due to excess stocks Bloomberg: "Iran Nuclear Deal Seen Pushing Indian Rice Sellers to Cut Prices" Nagpur Foodgrain Prices Open-Nov 29 TABLE-India Grain Prices-Delhi- Nov 29 India extends rice stock limit by one year - govt (This article was published on November 29, 2013) Keywords: basmati, basmati prices, basmati production, Radikal Food Stock holding limit may be extended by a year for paddy, rice FG to Ban Importation of Rice, Fish, Wheat& Tomato The Nation: "Pakistan can up rice export to EU by implementing global gap" Commerce forecasts this year's rice export total at 8.5m tonnes Recovery seen this quarter amid govt, private sector efforts

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Japans Rice Stockpile Jumps to 15-Year High as Consumption Ebbs
By Aya Takada - Nov 28, 2013 12:48 PM GMT+0500

Japan raised the forecast for its domestic rice stockpile to a 15-year high as consumption wanes and farmers harvest a bigger crop.Inventories of Japanese food rice held by local producers and distributors may expand to 2.55 million

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metric tons as of June 30, 2014, from 2.24 million tons a year earlier, the Agriculture Ministry said in a report today. The ministry had projected 2.31 million tons in July. The new estimate is the highest since at least 1999, according to ministry data.Domestic consumption will drop 1.1 percent to 7.78 million tons for the year beginning July 1, 2014, after higher prices weakened demand from the local food industry. The ministry set its production target for the grain next year at 7.65 million tons, the lowest-ever level.Wholesale prices averaged 16,510 yen ($162) a bag in the year through September, rising 8.5 percent from a year earlier, according to the ministry report. One bag contains 60 kilograms.Japan, which grows enough rice to feed itself, imposes a 778 percent tariff on imports and pays subsidies to growers.The government approved a plan on Nov. 26 to end a 40-year policy that pays producers to reduce crops by the end of March 2019. To contact the reporter on this story: Aya Takada in Tokyo at atakada2@bloomberg.net To contact the editor responsible for this story: Brett Miller at bmiller30@bloomberg.net

China buys one-third of Vietnams commercial rice


VietNamNet Bridge China has bought around one-third of Vietnams 6.3 million tons of export rice via official channel, not counting

the

amount via border trade, according to the Ministry of Agriculture and Rural Development.

The ministry said that Vietnam shipped 441,000 tons of rice abroad in November, taking the total shipment this year to date to 6.29 million tons worth US$2.78 billion, falling by 16% and 19% year on year, respectively. China alone bought US$800 million worth of rice from Vietnam in the 11-month period, according to the ministry.The agriculture ministry made clear that the value of rice exports to China this year excluded the border-trade amount as formal statistics are not available.In early November, Vietnam Food Association estimated that the amount of rice exported to China via border trade might amount to 1.5 million tons this year. Authorities have warned traders of risks involving border trades, citing settlement risks and problems related to tax refunds.Apart from rice, China is also a major buyer of other farm produce items from Vietnam, especially rubber, cashew and vegetables.Vietnams total export sales of farm, fishery and forestry products this year to date have amounted to US$25.25 billion, rising 1.5% year on year.

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Source: SGT

Tags:China,Vietnams commercial rice,rice exports,

Govt admits failure in rice sufficiency


By Joyce Pangco Panares | Nov. 30, 2013 at 12:01am

PRESIDENT Benigno Aquinos promise of rice sufficiency in his last State of the Nation Address cannot be

fulfilled in 2013 and Agriculture Secretary Proceso Alcala blames it on the rain.In a speech at the National Grains Retailers/Wholesalers Conference on Friday, Alcala finally admitted that the Aquino administration cannot fulfill its frequently-repeated promise to the make the country self-sufficient in rice this year. We can no longer attain 100 percent self-sufficiency after 2013, Alcala said. I am not ashamed to admit that yes, in 2010, we dreamed of of becoming self-sufficient after 2013.But Central Luzon was struck by a Typhoon Santi during the harvest season, he added.After Typhoon Santi, we made our assessment and we have to prepare a quick turnaround program for the areas that were hit, he said. As late as October, Alcala and other agriculture officials remained optimistic the country could produce about 2.2 million tons of rice by the end of the year.[But] we are practical. I have to accept the truth. I am not God. I am only human, Alcala said. He said the domestic harvest can cover the usual rice requirements plus 70 days of the 90-day buffer, but the balance of 20 days for the buffer stock will have to be imported.In fact, he said the government has already sought bids from Vietnam, Thailand and Cambodia to provide 500,000 tons because the governments buffer stock was depleted by Super Typhoon Yolanda earlier this month.Before Yolanda, the government had wanted to limit imports to 350,000 this year, but so far imports approved by the National Food Authority has so far reached 705,000 tons. But lawyer Argee Guevarra said Alcala was only using this calamity as a convenient tool to make kickbacks from government-to-government importation contracts. It is plain palusot [scapegoating] for his part, Guevarra said in a phone interview, adding that Alcala should resign for misleading the President on the rice self-sufficiency target.He knows very well that the country is visited by at least 20 typhoons a year with varying degrees of damage. That should have been inputted in his projection, the lawyer said.Guevarra also questioned an alleged P400-million overprice in the contract with Vietnam, a portion of which was covered by a MOLSO provision [More Or Less at Suppliers Option], and accused Alcala of using Typhoon Santi to justify another round of importation. Guevarra also doubted Alcalas claim that the level of rice self-sufficiency will reach 98 percent by the end of the year.The United Nations Food and Agriculture Organisation also predicted that the countrys rice imports will increase to 1.2 million tons next year because the government will not be able to meet its production forecast of 18.58 million tons.The FAO said more than $11 million was needed to help clean and clear farmland and irrigation canals after the devastation caused by Yolanda and farmers will need $20 million more for farm inputs for next year.

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Typhoons could cause 2M tons of rice imports in 2014


by Reuters November 29, 2013 (updated)

The Philippines, one of the worlds top rice consumers, may need to import as much as 2 million tons of the grain in 2014 as it looks set to miss self-sufficiency targets following two strong typhoons, traders and farming experts said.That would mark the largest rice imports in four years by the Southeast Asian country, the worlds biggest buyer in 2010, when it purchased a national record of 2.45 million tons.Higher demand from the Philippines is unlikely to have a huge impact on global rice prices as world production is forecast to exceed consumption next year. A farmer ploughs the soil with his carabao (water buffalo) at a rice paddy, in preparation for the planting of rice seedlings, in Gloria, Oriental Mindoro in central Philippines November 28, 2013. The Philippines, one of the worlds top rice consumers, may need to import as much as 2 million tons of the grain in 2014 as it looks set to miss self-sufficiency targets in the wake of SuperTyphoon Haiyan and another strong typhoon, traders and farming experts said. That would mark the largest rice imports in four years by the Southeast Asian country, the worlds biggest buyer in 2010 when it purchased a national record of 2.45 million tons. REUTERS/Erik De Castro But Vietnam, traditionally the countrys main supplier, and Thailand, which is sitting on record-high stocks, are expected to duke it out in bidding to supply Manila.Just last month, Philippine farm officials were still optimistic about rice production, announcing an estimated 2.2 million tons of year-end inventory that would have helped limit imports in line with the countrys goal of becoming self-sufficient in rice by 2014.But this week it had to seek bids from three neighbours, Vietnam, Thailand and Cambodia, for the emergency supply of 500,000 tons to boost government stocks depleted by relief work after Super Typhoon Haiyan devastated the central Philippines on Nov. 8.Vietnam, the worlds second-biggest rice exporter after India last year, bagged the government-to-government deal after offering the lowest price at a tender on Tuesday.Prices of Vietnamese rice rose on Wednesday, with 5-percent broken rice nearing a one-year peak.The Philippines is keeping the door open for more imports while awaiting the harvest from the first-quarter crop of 2014, state grains agency the National Food Authority (NFA) says. NFA Administrator Orlan Calayag remains hopeful imports will be minimal next year. But he said the private sector would be allowed to bring in as much as 350,000 tonnes of rice in 2014, with a duty of 40 percent under

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a commitment to the World Trade Organisation.Agriculture Secretary Proceso Alcala said the government had yet to estimate how much more rice may have to be imported next year.But he said 2 million tonnes would be too much, considering that some farmers hit by the typhoons have replanted, aided by the Department of Agriculture.That (import requirement) will be evaluated early next year, he told Reuters. We will miss our targets and will have to make some adjustments, but we are still aiming for self-sufficiency.Total imports approved this year by the NFA have hit 705,000 tonnes, including the latest emergency buy. Before Haiyan, the Philippines had aimed to limit 2013 imports to 350,000 tonnes. FARM INFRASTRUCTURE A CONCERN Traders and farm experts expect Philippine rice imports next year to range from 700,000 tonnes to 2 million tons.We are looking at anything between 1.5 to 2.0 million tons of imports in 2014, but it is hard to put a number on it just yet, said a Bangkok-based trader.They will definitely need more rice after the typhoon damage, the trader added. The World Food Program is coming up with a tender to supply rice as aid to the Philippines.The WFP said it had reached agreement with the NFA to provide 10,000 tonnes of rice for Haiyan relief operations.The United Nations Food and Agriculture Organisation (FAO) has predicted Philippine rice imports next year at 1.2 million tons, revising an earlier forecast of 900,000 tons.The Philippines-based International Rice Research Institute, which helped the Department of Agriculture assess crop losses, said damage to farm infrastructure was a bigger concernThe most serious issues will arise from extensive losses resulting from the storm surge in farm machinery, storage, housing and damage to roads and irrigation, said Bruce Tolentino, an IRRI official.It is far too early to put a figure on the Philippines rice imports next year, a London-based trader said.We will know more about their import requirements in 2014 by the end of December when the planting is over and we have some idea about the crop. SELF-SUFFICIENCY FAILURE The Philippines paddy rice output in the entire year is likely to be below a government forecast of 18.58 million tons, made before Haiyan struck.That prediction was already 9 percent lower than the governments target of 20.4 million tons set under its rice self-sufficiency programme.Because of Haiyan and Typhoon Nari, which hit major northern rice-producing regions in October, the FAO cut its 2013 aggregate forecast of rice paddy output including the main 2013 season and the 2013/14 secondary season to 18 million tonnes from previous estimates of a bumper crop of 18.9 million. The Rome-based FAO expects world rice production in 2013/14 to rise 0.9 percent to 494.1 million tons. Total consumption is seen up 2.6 percent, at 489.0 million.On Wednesday, the FAO said more than $11 million was needed to help clean and clear farmland and irrigation canals after Haiyan, which killed 5,500 people, the government estimates.That is in addition to the $20 million already sought to help farmers fertilise, irrigate and maintain crops to ensure harvests in 2014.We were previously projecting a 4 to 5 percent growth in production, but now it looks like it is flat for this year, said economist Roehlano Briones of the government think-tank Philippine Institute for Development Studies.So were way off the projection while our population continues to grow.

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He said a 2-million-tons volume was a reasonable estimate for the maximum import requirement next year, especially for a country visited by an average of about 20 typhoons each year.To plug the looming deficit, he said the Philippines should initially import at least 800,000 tons.Missed production targets and typhoons that have become stronger should prompt the government to abandon hopes for self-sufficiency in rice, he said.Theres no shame in withdrawing from an unrealistic policy. The government must have a more liberal policy on rice importation, he said.

Vietnam wins tender to sell 500,000 tonnes of rice to the Philippines


28.11.2013

The Philippines' National Food Authority (NFA) said on Thursday that Vietnam had won the tender to sell 500,000 tonnes rice to the state grains agency, which is seeking to boost stocks depleted by the ongoing typhoon-relief efforts.Loading will take place between next month and March 2014, chairman Truong Thanh Phong of the Vietnam Food Association was quoted by the Vietnam Economic Times newspaper as saying. Vietnam, the world's second-biggest rice exporter after India last year, submitted the lowest price at the tender on Tuesday, beating Thailand's offer.

Rice Bond Flop Adds to Yingluck Protest Misfortune


By Yumi Teso, Lilian Karunungan and Supunnabul Suwannakij November 28, 2013

Thailand's Prime Minister Yingluck Shinawatra. Photographer: Dario Pignatelli/Bloomberg

The failure of a bond sale for subsidized rice purchases adds to Prime Minister Yingluck Shinawatras challenges as she rounds up support to counter protesters occupying government offices.The finance ministry sold 37 billion baht ($1.2 billion) of three-year notes on behalf of Bank for Agriculture & Agricultural Cooperatives on Nov. 25, short of its 75 billion baht goal. The yield of 3.53 percent was 39 basis points above that on similar-maturity sovereign debt, according to the

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Public Debt Management Office. That compared with a 30 basis point premium at the last offer on Oct. 31, Thai Bond Market Association figures show.Rising borrowing costs are another blow for a program that has already eroded investor confidence and drawn criticism from the International Monetary Fund, which says the expenditure could jeopardize Thailands goal of balancing its budget by 2017. The Bank of Thailand unexpectedly cut interest rates this week amid slowing growth and a monthlong effort to oust Yingluck and dismantle the network of her brother, former premier Thaksin Shinawatra. STORY: How Thai Business Tunes Out the Protest Routine This growing political tension might have made it more important for them to raise funds for the rice scheme, Kobsidthi Silpachai, Bangkok-based head of capital markets research at Kasikornbank Pcl, the countrys fourth-biggest lender, said in a Nov. 26 interview. In the event of an election, they need to make sure their supporters are satisfied. Farmer Support Parties linked to Thaksin have won the past five elections on support from rice-growing areas in the north and north-east of Thailand that are poorer and more populous than the rest of the country. The government spent 689 billion baht in the two years through September buying 44 million tons of rough rice from farmers at above-market rates, official data show. The program spurred the buildup of record reserves of the grain and dethroned the country as the worlds largest exporter. The IMF said in a report this month the purchases should be dropped in favor of budget transfers to low-income households. STORY: In Thailand, It's Crippling Dj vu All Over Again The rice-purchasing scheme is already putting a severe strain on Thailands public finances and augurs badly for the credibility and transparency of fiscal policy, Nicholas Spiro, London-based managing director of Spiro Sovereign Strategy and a former consultant at Medley Global Advisors LLC, said in a Nov. 26 interview. The government is treading on very thin ice right now and has lost credibility.

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Protests, Growth Protesters started rallying last month to oppose a proposed amnesty bill that they said was aimed at allowing Thaksin to return to Thailand, and demonstrators broke into a compound housing the Ministry of Finance on Nov. 25. Protest leader Suthep Thaugsuban rejected an offer by Yingluck, who survived a no-confidence vote in parliament yesterday, to hold talks. The biggest opposition party plans to step up support of the demonstrations, Democrat party leader Abhisit Vejjajiva said yesterday. Thailands economy grew by 2.7 percent in the third quarter from a year earlier, the least since the first three months of 2012, official data show. The central bank cut its 2013 expansion forecast this week to around 3 percent from 3.7 percent. Exports fell 0.7 percent year-on-year in October following a 7.1 percent decline in September, customs data show. STORY: Don't Hold Your Breath Waiting for Japanese Maglev Trains to Arrive in the U.S. Global funds pulled a net $1.3 billion from Thai bonds and $1.5 billion from local stocks this month, according to official figures. Thats contributed to a 3 percent decline in the baht in November, with only Indonesias rupiah dropping more among emerging-market Asian currencies. Dovish Tone The Bank of Thailand cut its benchmark interest rate by 25 basis points to 2.25 percent on Nov. 27, a decision that wasnt predicted by any of the 19 analysts surveyed by Bloomberg. The yield on the 3.125 percent government bonds due December 2015 fell 23 basis points since the rate reduction to a three-year low of 2.65 percent, data compiled by Bloomberg show. With the dovish tone and the bias going forward, it should provide quite a bit of support for the bond markets, Santitarn Sathirathai, an economist at Credit Suisse Group AG in Singapore, said in an interview yesterday. Theres more risks and uncertainties surrounding this program and that loss could be larger for longer, he said, referring to the rice buying. STORY: In Japan, Shinzo Abe Backs Downand Loses a Big Abenomics Ally

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Embattled Thai PM Easily Survives No-Confidence Vote, Protests Persist Reuters


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(Reuters) Thailands embattled Prime Minister Yingluck Shinawat ra easily won a no-confidence vote in parliament on Thursday but failed to pacify anti-governmentprotesters who rejected calls for talks and massed by the thousands in the capital. Waving multicolored flags, blowing whistles and blocking traffic, protesters rallied outside the heavily barricaded national police headquarters, urging police to join their bid to topple Yinglick and her billionaire brother, ousted Prime Minister ThaksinShinawatra. Kill the Thaksin regime, the protesters shouted.

(Reuters) Thailands embattled Prime Minister Yingluck Shinawatra easily won a no-confidence vote in parliament on Thursday but failed to pacify anti-government protesters who rejected calls for talks and massed by the thousands in the capital.Waving multi-colored flags, blowing whistles and blocking traffic, protesters rallied outside the heavily barricaded national police headquarters, urging police to join their bid to topple Yinglick and herbillionaire brother, ousted Prime Minister Thaksin Shinawatra.Kill the Thaksin regime, the protesters shouted.Thats not so easy. The numbers of the protesters appear to have dwindled since the start of the week, raising questions over whats next in a conflict that broadly pits Bangkoks middle classes against the mostly rural supporters of Thaksin, who was ousted in a 2006 military coup.Yingluck, who won a 2011 election by a landslide to become Thailands first female prime minister, called on the protesters to clear the streets and enter into talks to avoid

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confrontation, saying Thailandseconomy was at risk after demonstrators occupied the Finance Ministry on Monday.The government doesnt want to enter into any political games because we believe it will cause theeconomy to deteriorate, she said in a televised address.In a sign support for the protest could be ebbing, police spokesman Piya Uthayo said the main force of anti-government protesters in Bangkok was now less than about 15,000, down from at least 100,000 on Sunday, though the total fluctuates through the day and into the evening.The protesters ultimate goals appear increasingly unclear. They have urged civil servants nationwide to resign en masse and for the creation of a democratically elected peoples assembly to run alongsideparliament and lead electoral reforms. Neither looks achievable, at least in the near term.Democrat leader Abhisit Vejjajiva, former prime minister of a militarybacked government thatYingluck routed in a 2011 election, called on Yingluck to move aside and said party members would march with the protesters on Friday.This prime minister no longer has a mandate to govern the country, he told reporters. INSINCERE A defiant Yingluck has said she will not dissolve parliament. Even if she did, protest leader Suthep Thaugsuban said the rallies would continue.No more negotiations, he told cheering crowds late on Wednesday after thousands massed outsidegovernment ministries, a state office complex and 25 provincial halls. His step-son, Akanat Promphan, spokesman for the Civil Movement for Democracy, as the protesters call themselves, also rejected talks.The prime ministers suggestion that all sides sit down and talk is insincere and we do not accept it, he said.The protests began after Yinglucks ruling Puea Thai Party tried last month to pass an amnesty bill that would have absolved political offenses stretching back to a 2006 military coup, effectively clearingThaksin of a 2008 graft conviction and allowing him to return from self-imposed exile.The Senate rejected it, and Yinglucks party dropped it. But the bill galvanized the Democrat Party and its allies in protests reminiscent of the yellow shirt movement which helped topple Thaksin and his supporters in previous years.Yinglucks party holds a commanding majority in parliament. She needed more than half of the 492 lower house votes to win the no-confidence vote. She got 297, with 134 against.After the vote, protesters cut electricity to the police headquarters, forcing police to use a generator. One attacked a policeman with a slingshot, striking him with a stone, said Anucha Romyanan, deputy police spokesman.They shouted abuse against Yingluck, a former business executive, who they accuse of being an illegitimate proxy for her brother, a tycoon-turned-prime minister revered by the poor as the first politician to

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have addressed their needs.Yinglucks party and its coalition partners faced three days of debate during which the Democrats grilled her on a $100 million water management project and financially troubled government rice intervention scheme. Those debates were as much about her as about Thaksin, a major influence on her signature policies. Despite fleeing into exile to dodge a jail sentence for abuse of power in 2008, Thaksin remains a political force, often communicating with the cabinet members via Skype from his villa in Dubai.Critics accuse him of abusing his electoral mandate to dismantle constitutional checks and balances while cementing his authoritarian rule during two administrations from 2001 to 2006.But in the vote-rich northern and northeastern heartlands, his populist policies from virtually free healthcare, to easy consumer credit and low-interest loans were unprecedented, winning him enough support to become Thailands first elected leader to complete a full four-year term.Much of that support remains intact, which means Yingluck would almost certainly win an election if one were called, though not with the same parliamentary majority. The Puea Thai Party is as united as ever and the Shinawatras will not be leaving politics anytime soon, Prompong Nopparit, an adviser to Yinglucks party, told Reuters.The protests threaten to destabilize Thailand at a delicate time, just as its $366 billion economy, Southeast Asias second biggest, is losing momentum. Factory output shrank for a seventh straight month in October and fell by more than most economists had expected, adding to other scattered signs of weakness that prompted the central bank to unexpectedly cut interest rates on Wednesday.The protesters have occupied the Finance Ministry since Monday and have gathered at the gates of otherministries, in some cases causing staff to evacuate. About 700 briefly turned up at the heavily barricaded Defence Ministry opposite Bangkoks Grand Palace, one of Thailands main tourist sites.We want them to join us, said protester Malee Kongsinkaeo.(Additional reporting by Panarat Thepgumpanat, Pairat Temphairojana and Annie Chenaphun; Writingby Jason Szep; Editing by Robert Birsel)

No price formula for paddy in Sri Lanka due to excess stocks


Fri, Nov 29, 2013, 12:44 pm SL Time, ColomboPage News Desk, Sri Lanka.

Nov 29, Colombo: A Sri Lankan government minister has said that there would not be a price formula for paddy due to the excess stocks of paddy in the country.Cooperatives and Consumer Affairs Minister Johnston Fernando told parliament that there was no need for a price formula since the government was purchasing the paddy produced by the local farmers.He said that a kilo of paddy is currently being purchased between Rs. 32 and 35 and added that there were sufficient stocks of paddy in the local market and the government has made arrangements to stock the excess

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paddy.Minister Fernando made this comment in response to a question posed by United National Party (UNP) parliamentarian Sajith Premadasa whether there is a pricing formula to purchase paddy.Premadasa however, noted that a kilo of paddy was being purchased at Rs. 27 despite government claims of purchases being made between Rs. 32 and 35.

Bloomberg: "Iran Nuclear Deal Seen Pushing Indian Rice Sellers to Cut Prices"
Rice exporters from India, the biggest supplier to Iran, may cut prices to retain market share as easing of sanctions on the Persian Gulf nation opens doors for increased supplies from Thailand and Pakistan, traders said.Prices of Indian basmati rice, used in dishes including biryani and pilaf, rallied as much as 50 percent in the past year as Iran paid a premium to secure supplies amid international economic sanctions, said R.S. Seshadri, a director with Tilda Riceland. Irans deal with the U.S. and five other world powers on Nov. 24 may prompt Thailand and Pakistan to grab a share of the market, he said. The question is, will Iran keep paying when they have other options, Seshadri said in a phone interview yesterday. Indias special position as far as Irans rice imports are concerned will be diluted to some extent and the rice trade will rebalance itself.Iran will get as much as $7 billion in relief from economic sanctions over six months as the accord reached in Geneva broke a decade-long diplomatic stalemate and set limits on the nations nuclear program. Easing curbs may lower Indian sales to Iran, which bought $1.2 billion of rice in the year ended March, said Vijay Setia, a former president of the All India Rice Exporters Association.
Direct commercial benefits from the accord will be limited because the primary sanctions on oil and banking remain. Its significant as the first break in a pattern of ever-tighter sanctions on Iran and a potential first step toward its return to the international economy. The American sanctions penalize other nations that trade with Iran, including U.S. allies.

Fetching Premium
India continued to export rice, soybean meal and tea under a government-to-government payment mechanism and as Iran paid U.S. dollars at a preferential rate to importers of some staple goods. Basmati rice exports fetched Indian sellers $1,700 a metric ton to $1,800 ton, compared with Thai jasmine rice price of $1,100 a ton, Seshadri said. If sanctions are released and currency settlement with other rice exporting countries is eased then naturally Iran will have more options and Indian basmati will have to become more competitive, Seshadri said.

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Thailand and the U.S. may seek to export rice to Iran, he said.India controls 65 percent of the overseas basmati rice market, while the only other producer Pakistan accounts for the rest, according to government data. Saudi Arabia and Iran are two the biggest buyers of Indian basmati, while the U.S., Europe and Africa also purchase the premium grain.Iran bought about 50 percent of Indias total basmati rice exports of 3.53 million tons in 2012 -2013, according to the data from the Commerce Ministry. The Persian Gulf nation bought 1.8 million tons of rice in the year ended Sept. 30, up 20 percent from 1.5 million tons a year earlier, according to data from the Foreign Agricultural Service of the U.S. Department of Agriculture. To contact the reporter on this story: Pratik Parija in New Delhi at pparija@bloomberg.net To contact the editor responsible for this story: James Poole at jpoole4@bloomberg.net

Nagpur Foodgrain Prices Open-Nov 29


Fri Nov 29, 2013 4:10pm IST Nagpur, Nov 29 (Reuters) - Gram prices in Nagpur Agriculture Produce and Marketing Committee (APMC) reported down on lack of demand from local millers amid high moisture content arrival. Fresh fall on NCDEX, easy condition in Madhya Pradesh gram prices and increased supply from producing regions also pushed down prices, according to sources. * * * *

FOODGRAINS & PULSES GRAM * Gram varieties ruled steady in open market here but demand was poor in weak trading activity.

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TUAR * Tuar black reported strong in open market on renewed marriage season demand from local traders amid tight supply from producing regions. * Batri dal and Lakhodi dal reported sharp recovery in open market here on good marriage season demand from local traders amid tight supply from producing belts. * In Akola, Tuar - 4,400-4,550, Tuar dal - 6,600-6,800, Udid at 4,800-5,100, Udid Mogar (clean) - 5,700-6,000, Moong - 6,800-7,200, Moong Mogar (clean) 7,700-7,900, Gram - 3,300-3,500, Gram Super best bold - 4,400-4,600 for 100 kg. * Wheat, rice and other commodities remained steady in open market in thin trading activity, according to sources. Nagpur foodgrains APMC auction/open-market prices in rupees for 100 kg FOODGRAINS Available prices Previous close Gram Auction 2,500-2,850 2,550-2,890 Gram Pink Auction n.a. 2,100-2,600 Tuar Auction n.a. 3,950-4,050 Moong Auction n.a. 4,300-4,500 Udid Auction n.a. 4,300-4,500 Masoor Auction n.a. 2,600-2,800 Gram Super Best Bold 4,300-4,500 4,300-4,500 Gram Super Best n.a. Gram Medium Best 3,900-4,200 3,900-4,200 Gram Dal Medium n.a. n.a. Gram Mill Quality 3,500-3,600 3,500-3,600 Desi gram Raw 3,150-3,350 3,150-3,350 Gram Filter Yellow n.a. n.a.

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Gram Kabuli 7,700-10,000 7,700-10,000 Gram Pink 7,700-8,100 7,700-8,100 Tuar Fataka Best 6,900-7,100 6,900-7,100 Tuar Fataka Medium 6,600-6,700 6,600-6,700 Tuar Dal Best Phod 6,200-6,300 6,200-6,300 Tuar Dal Medium phod 6,100-6,200 6,100-6,200 Tuar Gavarani 4,500-4,600 4,500-4,600 Tuar Karnataka 4,650-4,750 4,650-4,750 Tuar Black 7,200-7,300 7,000-7,100 Masoor dal best 5,200-5,300 5,200-5,300 Masoor dal medium 4,800-4,900 4,800-4,900 Masoor n.a. n.a. Moong Mogar bold 8,300-8,700 8,300-8,700 Moong Mogar Medium best 8,000-8,200 8,000-8,200 Moong dal super best 7,300-7,500 7,300-7,500 Moong dal Chilka 6,700-7,100 6,700-7,100 Moong Mill quality n.a. n.a. Moong Chamki best 7,200-7,500 7,200-7,400 Udid Mogar Super best (100 INR/KG) 6,800-7,000 6,800-7,000 Udid Mogar Medium (100 INR/KG) 6,100-6,400 6,100-6,400 Udid Dal Black (100 INR/KG) 5,500-5,900 5,500-5,900 Batri dal (100 INR/KG) 4,000-4,200 3,900-4,100 Lakhodi dal (100 INR/kg) 3,000-3,100 2,900-3,000 Watana Dal (100 INR/KG) 3,250-3,350 3,250-3,350 Watana White (100 INR/KG) 3,100-3,200 3,100-3,200 Watana Green Best (100 INR/KG) 5,700-6,300 5,700-6,300 Wheat 308 (100 INR/KG) 1,600-1,700 1,600-1,700 Wheat Mill quality(100 INR/KG) 1,800-1,850 1,800-1,8050 Wheat Filter (100 INR/KG) 1,700-1,900 1,600-1,800 Wheat Lokwan best (100 INR/KG) 1,850-2,300 1,850-2,300 Wheat Lokwan medium (100 INR/KG) 1,700-1,900 1,700-1,900

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Lokwan Hath Binar (100 INR/KG) n.a. n.a. MP Sharbati Best (100 INR/KG) 3,100-3,600 3,100-3,600 MP Sharbati Medium (100 INR/KG) 2,600-2,900 2,600-2,900 Wheat 147 (100 INR/KG) 1,400-1,500 1,400-1,500 Wheat Best (100 INR/KG) 1,500-1,600 1,500-1,600 Rice BPT (100 INR/KG) 3,000-3,300 3,000-3,300 Rice Parmal (100 INR/KG) 1,850-1,900 1,850-1,900 Rice Swarna Best (100 INR/KG) 2,300-2,600 2,300-2,500 Rice Swarna Medium (100 INR/KG) 2,000-2,300 2,000-2,200 Rice HMT (100 INR/KG) 3,900-4,300 3,900-4,300 Rice HMT Shriram (100 INR/KG) 4,700-5,200 4,700-5,200 Rice Basmati best (100 INR/KG) 9,000-13,500 9,000-13,500 Rice Basmati Medium (100 INR/KG) 6,100-7,600 6,100-7,600 Rice Chinnor (100 INR/KG) 5,000-5,500 5,000-5,500 Rice Chinnor Medium (100 INR/KG) 4,900-5,100 4,900-5,100 Jowar Gavarani (100 INR/KG) 1,500-1,650 1,500-1,650 Jowar CH-5 (100 INR/KG) 1,800-1,900 1,800-1,900 WEATHER (NAGPUR) Maximum temp. 29.3 degree Celsius (84.7 degree Fahrenheit), minimum temp. 16.9 degree Celsius (62.4 degree Fahrenheit) Humidity: Highest - n.a., lowest - n.a. Rainfall : nil FORECAST: Mainly clear sky. Maximum and Minimum temperature likely to be around 30 and 16 degree Celsius respectively. Note: n.a.--not available (For oils, transport costs are excluded from plant delivery prices, but included in market prices.)

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TABLE-India Grain Prices-Delhi- Nov 29


Fri Nov 29, 2013 3:06pm IST

Rates by Asian News International, New Delhi Tel: 011 2619 1464 Indicative Previous Grains opening close (in rupees per 100 kg unless stated) ---------------------------------------------------------Wheat Desi 2,000-3,000 2,000-3,000. Wheat Dara 1,700-1,900 1,700-1,900. Atta Chakki (per 10 Kg) 215-240 215-240. Roller Mill (per bag) 1,800-1,900 1,800-1,900. Maida (per bag) 1,950-2,050 1,950-2,050. Sooji (per bag) 1,800-1,900 1,800-1,900. Rice Basmati(Sri Lal Mahal) 12,000 12,000. Rice Basmati(Lal Quila) 11,500 11,500. Rice Basmati(Common) 7,450-7,900 7,400-7,850. Rice Permal 2,400-2,550 2,400-2,550. Rice Sela 3,200-3,300 3,200-3,300. I.R.-8 2,340-2,440 2,350-2,450. Gram 3,050-3,400 3,050-3,400. Peas Green 3,350-3,550 3,300-3,500. Peas White 2,600-2,700 2,600-2,700. Bajra 1,300-1,550 1,300-1,550. Jowar white 1,850-2,100 1,850-2,000. Maize 1,550-1,800 1,550-1,800. Barley 1,350-1,400 1,350-1,400. Guwar 3,325-3,900 3,325-3,900. Source: Delhi grain market traders.

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India extends rice stock limit by one year - govt


NEW DELHI Fri Nov 29, 2013 1:06pm IST

(Reuters) - India, the world's second biggest rice producer, has decided to extend by one year the stock holding limit on the grain to check any rise in prices on account of hoarding of the essential food item, a government statement said on Friday.The extension will be valid until November 30, 2014.The government will continue to exempt rice exporters from the stock holding limit, traders said.The South Asian country surpassed Thailand and Vietnam to become the leading exporter of rice in 2012, when it sold around 10 million tonnes of the grain in the overseas market. On Friday, Indian common rice varieties were quoted at $390-$420 per tonne free-on-board, while aromatic basmati variety was quoted at around $1,515 a tonne, traders said.India produced 104 million tonnes rice in 2012/13, enough to cover demand from its around 1.2 billion population.India has been selling rice in the overseas markets without any curbs for the past three years as successive bumper harvest swelled stocks.On November 1, its rice stocks stood at 17 million tonnes, more than three times the target in the quarter to December. (Reporting by Ratnajyoti Dutta; editing by Malini Menon)

Basmati prices may shoot up 10-15%


HYDERABAD, NOV 29:

Basmati rice lovers may have to shell out 10-15 per cent more per kg in the next few weeks.As it is, basmati consumers have had to pay 60-65 per cent more for their favourite branded product this fiscal, as compared to the last fiscal.The procurement season is over up to about 70-80 per cent. As per current trends, we feel prices of branded basmati products may see one more hike of about 10-15 per cent next month, Uday Nayak, Senior General Manager (Sales and Marketing) of Radikal Food Ltd, said..Radikal, which has a manufacturing unit in Hapur district in Uttar Pradesh, has a portfolio of about five basmati products by that name with prices ranging from Rs 125 to Rs 180 per kg.Nayak felt that it was not so much as paddy output that has been pushing up basmati prices, but it was a combination of factors such as yield, export market conditions and the fluctuating rupee value that were actually driving up prices.Basmati production this fiscal may touch 2.5 million tonnes, as against 2.20 million tonnes last year. But, the price of 1121 crop, for example, is today about Rs 100 a kg, as against Rs 55-60 a year ago, he said.Radikal, which is expanding the capacity of its UP manufacturing facility from two lakh tonnes to 4.8 lakh tonnes, is also drawing up plans to enter the ready-to-eat food sector, with a range of rice-based products.
amitmitra@thehindu.co.in
(This article was published on November 29, 2013)

Keywords: basmati, basmati prices, basmati production, Radikal Food

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Bangladesh raises local rice purchase price


DHAKA Wed Nov 27, 2013 1:46pm IST

Nov 27 (Reuters) - Bangladesh raised the price the government will pay to farmers for upcoming season's rice to 30 taka ($0.38) a kilogram, up from 29 taka a year earlier, Food Minister Ramesh Chandra Sen said on Wednesday.The government will buy 200,000 tonnes of rice from local farmers in the harvesting season starting Dec. 1, Sen said, adding that more rice would be procured locally if required ."The purchase will boost our reserves as well as ensure fair price for farmers," he told reporters.Bangladesh, the world's fourth biggest producer of rice, consumes almost all its production at home. In January, amid soaring prices of the staple, it backtracked on a plan to scrap a four-year old ban on rice exports.Last year the government was considering lifting the ban on common rice exports to support farmers as record crops and bulging domestic reserves pushed prices below production costs.The government buys rice and wheat from local farmers to ensure a support price to them, build stocks for government's welfare programmes and to meet any emergency needs.Bangladesh aims to produce more than 35 million tonnes of rice in the current year, up from nearly 34 million in the previous year. The south Asian country produces enough rice to feed its population of 160 million, but often needs imports to cope with shortages caused by natural calamities such as floods or droughts.Although it did not import rice last year, and is not expected to do so this year, Bangladesh was ranked as the fourth-largest importer of the grain by the U.S. Department of Agriculture in 2011, with a volume of 1.48 million tonnes. (Reporting by Ruma Paul; Editing by Anupama Dwivedi)

Stock holding limit may be extended by a year for paddy, rice


The proposal talks about providing exemption from the provision of stock limit with respect to exporters of rice, edible oils and edible oilseeds. NEW DELHI, NOV 27: The Centre is likely to extend the stock holding limit for some of the essential commodities such as paddy and rice by another year. The limit, imposed under the Essential Commodities Act, 1955, is lapsing on November 30.The Centres view to extend the stock limit is to check food inflation that increased to over 18 per cent in October. The Cabinet will take up the proposal on Thursday.However, Gujarat, West Bengal and Assam have opposed the proposal.

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EXEMPTION The Cabinet is also likely to consider granting exemption to exporters of some agriculture produce from the stock limit.Since trading of commodities is a State subject, so views were sought from them.A senior Government official told Business Line that 11 States and three Union Territories responded to the Centres proposal. Andhra Pradesh, Goa, Jammu and Kashmir, Kerala, Odisha and Tripura are among States supporting the the move. Among Union Territories, Delhi is in favour of extending the limit. DE-HOARDING OPERATIONS The Essential Commodities Act provides for the issue of control orders by the Centre enabling States to undertake de-hoarding operations through fixing of stock-holding limits and licensing requirements on private traders.Based on the order, every States fixes its own limit.Any one holding beyond the limit can face action from the local authorities which include seizure of the goods and penalty.Currently this mechanism is applicable for rice, paddy, edible oils, edible oil seeds and sugar.Rice production is estimated at 92.3 million tonnes during the current kharif marketing season against 85.6 mt last year.In fact, the total area under paddy increased to 381.47 lakh hectares this year against 373.26 lakh heatares in 2012-13. RELIEF FOR EXPORTERS In another proposal, the Cabinet is also likely to provide relief to exporters of agriculture produce.The proposal talks about providing exemption from the provision of stock limit with respect to exporters of rice, edible oils and edible oilseeds, the official said.Wholesale prices of edible oils have dropped in October on yearly basis, while oilseed prices have increased marginally by 1.4 per cent.Prices are likely to be subdued on account of higher sowing in the current crop year ending June. shishir.s@thehindu.co.in (This article was published on November 27, 2013) Keywords: Stock holding limit, extension, paddy, rice, food inflation,

FG to Ban Importation of Rice, Fish, Wheat& Tomato


Dr Niyi Odunlami, the Senior Technical Adviser to the Minister of Agriculture and rural Development on Friday said that the Federal Government intended to stop the importation of rice, fish, wheat and tomatoes.Odunlami spoke as a member of the supervision team visiting staple crops processing zones of the World Bank-assisted Commercial Agriculture Development (CADP) project in Lagos.He said that the Federal Government was working in partnership

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with state and local governments as well as Local Council Development Areas (LCDAs) to bring infrastructural development to rural farming areas. "The rural farming areas need to be developed in terms of infrastructure, so as to reduce or possibly eradicate the importation of what can be produced here, such as wheat, vegetable, rice and fish.The fish we import is not different from what we can find in the Nigerian waters," Odunlami said, adding that there was absolute need to develop staple crop processing zones.Some primary processing zones -Kogi, Kano, Niger, Lagos and Rivers stateshad been selected as models.Also, the supervisory mission had commenced work on Nov. 28, with a visit to the Lagos State Integrated Rice Processing Factory, Imota.

The Nation: "Pakistan can up rice export to EU by implementing global gap"


November 28, 2013:OUR STAFF REPORTER

LAHORE - India is ahead of Pakistan in basmati rice export to EU countries as the exports from India to the European Union in 2012-13 have surged by over 30 per cent from the previous year, while exports from Pakistan have dropped by 9 per cent in the same period.The EU countries offer vast market to Pakistani rice exporters provided they conform to good agricultural practices, phytosanitary arrangements and other such conditions required by the EU, as the consumption of basmati rice in European Union has almost doubled during the last five years. These views were expressed by the speakers at a luncheon arranged by the Rice Exporters Association of Pakistan in honour of Dr. Werner Nader, the Managing Director Eurofins Global Control GmbH here on Wednesday. Besides Dr. Werner, the ceremony was also addressed by the REAP Chairman Ch. Masood Iqbal and former Vice Chairman Samee Ullah Chaudhry.Dr. Werner spoke about importance of Basmati rice for the EU market and challenges and opportunities for Pakistani basmati rice exporters. He said Basmati has become biggest rice variety being imported in EU outside of EU. He said that India was doing great job by exploiting the opportunities of agricultural commodities export in the EU market. He said that Pakistani agricultural products could also take advantage of opportunities provided they comply with the conditions imposed by EU legislation on food import etc.

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He also threw light on his organization Eurofin and said it was a network of 170 laboratories situated in 35 countries and providing services to food, pharmaceutical and environment sectors. He said that rice sector of Pakistan could take advantage of its services in pre-shipment inspections.Former Vice Chairman REAP Samee Ullah Chaudhry speaking on this occasion said that import of basmati rice by EU is increasing every year and it has doubled during the last five years. However, he regretted that Pakistans contribution out of total 350,000 tons of rice imports by EU is negligible as compared to its potential. He stated that Pakistan should have to comply to sanitary and phytosanitary requirements, adopt global good agricultural practices by the growers and introduction of post harvesting techniques including storage and milling in line with the global standards.He said that overall, 27 countries in the EU imported around 278,902 tons of basmati rice from India and Pakistan in 2012-13, up about 21% from the previous year. However, a bulk of the basmati rice imports was from India, while imports from Pakistan declined from the previous year.India accounted for around 233,985 tons or about 84% of total basmati rice imports by the EU in 2012-13, which is up about 30% from the previous year, while basmati rice imports from Pakistan stood at around 44,917 tons in 2012-13 which is down about 9% from 2011-12.Among the EU countries, the U.K. was the largest importer of basmati rice in 2012-13 importing about 132,701 tons, followed by the Netherlands (about 44,893 tons), France (about 29,158 tons) and Italy (about 27,618 tons). Basmati rice consumption is increasing in Spain.

Commerce forecasts this year's rice export total at 8.5m tonnes


Petchanet Pratruangkrai The Nation November 29, 2013 1:00 am The Commerce Ministry is projecting that Thailand should be able to get this year's rice-export total up to 8.5 million tonnes, earning as much as US$5.7 billion (Bt183 billion), thanks to efforts by both the government and private exporters.The announcement came after the Foreign Trade Department reported that it was able to release 615,000 tonnes of rice via a recent auction, earning up to Bt12.3 billion.Surasak Riangkrul, director-general of the department, said rice exports should begin to recover this quarter, as many government-to-government and private contracts were awaiting shipment before the end of this year. The recovery should continue next year.He added that the department is projected to export at least 8 million tonnes of rice worth US$4.8 billion. The average price of exported Thai rice is about $600 a tonne. That is much lower than the cost of pledging, for which the price should be about $750-$800 a tonne for white rice.Between the beginning of the year and November 20, Thailand was able to export 5.68 million tonnes of rice worth $3.81 billion. That export volume was down by 8.78 per cent year on

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year, and its value decreased by 10.16 per cent in US dollar terms, or by 12.64 per cent in baht terms.Surasak said the Commerce Ministry would continue to release rice via general auctions to Thai exporters and domestic traders to clear out stockpiles and earn more money to offset the losses from the rice-pledging project.The department is projected to earn up to Bt30 billion in the current fourth quarter, enabling the ministry reimburse Bt200 billion to the Finance Ministry under the rice-pledging project.The Thai Rice Exporters Association showed that the price of Thai jasmine rice had dropped since November 13 from $1,097 a tonne to $1,048 as of November 27. But the price of Thai 5 per cent white rice rose from $433 to $442 a tonne during the same two-week period.Korbsook Iamsuri, president of the association, said rice exports should end up at 7 million tonnes this year, better than the previous forecast of 6.5 million tonnes thanks to higher demand from the Philippines and Nigeria.Meanwhile, the Commerce Ministry's state-owned Public Warehouse Organisation (PWO) yesterday insisted that the government of Prime Minister Yingluck Shinawatra had not behaved corruptly under the cheap-rice project, as alleged by a Democrat MP during this week's censure debate in the House of Representatives. PWO president Chanudpakorn Vongseenin said the rice-sale process was transparent and alleged irregularities were promptly investigated.He said no rice had gone missing as alleged under the project. Of the 2.5 million tonnes of rice that had been approved for the discount programme, only 590,000 tonnes had so far been processed. The rest remained in the government's warehouses, and would soon be processed for distribution to the public.

Recovery seen this quarter amid govt, private sector efforts


The Commerce Ministry is projecting that Thailand should be able to get this year's rice-export total up to 8.5 million tonnes, earning as much as US$5.7 billion (Bt183 billion), thanks to efforts by both the government and private exporters.The announcement came after the Foreign Trade Department reported that it was able to release 615,000 tonnes of rice via a recent auction, earning up to Bt12.3 billion.Surasak Riangkrul, directorgeneral of the department, said rice exports should begin to recover this quarter, as many government-togovernment and private contracts were awaiting shipment before the end of this year. The recovery should continue next year.He added that the department is projected to export at least 8 million tonnes of rice worth US$4.8 billion. The average price of exported Thai rice is about $600 a tonne. That is much lower than the cost of pledging, for which the price should be about $750-$800 a tonne for white rice.Between the beginning of the year and November 20, Thailand was able to export 5.68 million tonnes of rice worth $3.81 billion. That export volume was down by 8.78 per cent year on year, and its value decreased by 10.16 per cent in US dollar terms, or by 12.64 per cent in baht terms.Surasak said the Commerce Ministry would continue to release rice via general auctions to Thai exporters and domestic traders to clear out stockpiles and earn more money to offset the losses

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from the rice-pledging project.The department is projected to earn up to Bt30 billion in the current fourth quarter, enabling the ministry reimburse Bt200 billion to the Finance Ministry under the rice-pledging project. The Thai Rice Exporters Association showed that the price of Thai jasmine rice had dropped since November 13 from $1,097 a tonne to $1,048 as of November 27. But the price of Thai 5 per cent white rice rose from $433 to $442 a tonne during the same two-week period.Korbsook Iamsuri, president of the association, said rice exports should end up at 7 million tonnes this year, better than the previous forecast of 6.5 million tonnes thanks to higher demand from the Philippines and Nigeria.Meanwhile, the Commerce Ministry's state-owned Public Warehouse Organisation (PWO) yesterday insisted that the government of Prime Minister Yingluck Shinawatra had not behaved corruptly under the cheap-rice project, as alleged by a Democrat MP during this week's censure debate in the House of Representatives.PWO president Chanudpakorn Vongseenin said the rice-sale process was transparent and alleged irregularities were promptly investigated.He said no rice had gone missing as alleged under the project. Of the 2.5 million tonnes of rice that had been approved for the discount programme, only 590,000 tonnes had so far been processed. The rest remained in the government's warehouses, and would soon be processed for distribution to the public.

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