THE United States Department of Agriculture (USDA) expects record rice production globally this year but the grain’s supply and price are constrained by trade-restrictive measures and tenders for more purchases of countries amid the new coronavirus disease 2019 (COVID-19) pandemic.
In a report released April 9, the USDA said while some producers may experience a slight drop in production, a bumper global rice harvest is still expected for the year particularly due to record carrying stocks in China and India, major exporters of the grain.
However, the USDA said global rice exports may drop by nearly 2 percent to less than 43 million metric tons (MT) this year, the lowest in four years due to export restrictions of some Southeast Asian countries as well as the impact of lockdown policies globally.
The USDA said all benchmark prices of rice have increased with Thailand quotes hitting $582 per ton and Vietnam which has banned its exports temporarily now at $435 per ton.
Price quotes per ton from India are now at $352; Pakistan, $418; US, $660 and; Uruguay, $515.
The report also showed for this month, the Philippines expects to bring in 2,500 MT of rice and mill about 11,400 MT with ending stocks at 3,120 MT.
RCEF
Meanwhile, an agricultural group has called on the Department of Agriculture (DA) to immediately release the Rice Competitiveness Enhancement Fund (RCEF) and implement programs under it as the country may need 14.5 MT for 2020 to meet rice consumption requirements.
“Farmers are waiting and many will start planting in a few months, Secretary William Dar has publicly mentioned another P32 billion in additional funds under ALPAS COVID and yet RCEF and its regular budget for the year have yet to benefit our farmers. While we welcome this new budget in addition to the RCEF, can the DA deliver this to farmers and do they have the capacity? This is the time that farmers and the country need it most,” said Maning Rosario, farmer-leader from Pambansang Katipunan ng mga Samahan sa Kanayunan.
Under the Rice Resiliency Project , palay production by the end of the year is expected to reach 22.12 million MT, equivalent to 13.51 million MT of rice or 93 percent of the country’s total rice demand.
“Right after the current dry season, we will urge farmers to plant more areas by providing them quality seeds, fertilizers and appropriate technical assistance,” Dar said.
The rice resiliency project will cover more areas this main cropping season, totaling 2.7 million hectares, broken down to 1.2 million hectares under RCEF to be planted to inbred rice; 550,000 hectares planted to hybrid; and 950,000 hectares to inbred rice.
