By TNN

The Uttar Pradesh government plans to increase the area under oilseeds cultivation from 22 lakh hectares to 27 lakh hectares to achieve the target of producing 100 lakh tonnes of additional oilseeds by 2030-31.
The aim is to become self-reliant in production of edible oils and pulses.

The Uttar Pradesh government has chalked out a strategy to boost the production of oilseeds and pulses and reduce the state’s dependence on imports to meet the domestic needs. Chief minister Yogi Adityanath had observed that the Bundelkhand region has immense potential in production of such crops, directing officials to prepare a concrete action plan to augment the production as per demand. The government also aims to increase productivity from 11 quintals per hectare to 12.5 quintals per hectare and total production from 22 lakh tonnes to 31 lakh tonnes, that is, additional 9 lakh metric tonnes of oilseeds, in the next five years.

The government will implement several measures to enhance its production, which includes seed production of new species in agricultural universities and Krishi Vigyan Kendras.

As many as 100 seed processing plants will be set up while agricultural production organisations will be encouraged for seed production. The seeds produced by farmers and other organisations will be distributed to farmers as grants available under various schemes through the Uttar Pradesh Beej Vikas Nigam.

The production area will be increased through intercropping with crops like jowar, bajra and sugarcane. Along with this, small and marginal farmers will be made self-sufficient in the production of oilseeds by giving them mini kits.

Similarly, the Yogi government targets to produce more than 325.47 lakh tonnes of pulses by 2025-26.

To increase the production of pulses, the Yogi government will work towards the development and propagation of short-term crop species. In addition, coordinated strategy will be implemented in districts identified for the cropping of toor (pigeon peas), masoor (red lentils) and urad (black lentils) pulses.

In Uttar Pradesh, gram, masoor and mustard are mostly cultivated in the regions of Bundelkhand and Agra. The land of Bundelkhand is considered favourable for pulses and oilseeds as such crops require a dry climate. In Bundelkhand, gram, peas and lentils are mainly sown in the Rabi season while oilseeds such as mustard, linseed and rapeseed are also cultivated. The government is making efforts to further boost the production of these crops here as per its potential.

The central government is also providing support to the state to fulfil the objective of self-reliance in production of edible oils. For oilseeds production, NFSM – Oilseeds programme is providing support to UP for seed components covering purchase of breeder seeds, production of certified seeds, distribution of certified seeds, supply of seed minikits, creation of seed hubs.

The programme is also giving support for production inputs component covering Plant Protection (PP) equipment, PP chemicals, nuclear polyhedrosis virus (NPV)/bio agent, gypsum/pyrites/lime etc.

This article has been republished from The Times of India.

The Haryana Rice Exporters Association (HREA) demanded a reduction in market fee and the Haryana Rural Development Fund (HRDF) on basmati paddy.

A delegation of exporters met the Additional Chief Secretary, Agriculture and Farmers Welfare Department, the CA, Haryana Agricultural Marketing Board, and other senior officers on Wednesday.

They highlighted the difference between the market and other fee of the neighbouring states with that of Haryana. At present, basmati farmers have to pay 6.5 per cent fees comprising 2 per cent market fee, 2 per cent HRDF and 2.5 per cent arhtiyas commission, while all fees are 3 per cent in Delhi, 4.5 per cent in Punjab, 3.25 per cent in Rajasthan, 3 per cent in UP and Uttarakhand, 1.70 per cent in MP, they informed the higher authorities of both departments.

Vijay Setia, former president of the All-India Rice Exporters Association, said the government had increased the market fee on basmati paddy from 0.5 per cent to 2 per cent last year. It had also raised the HRDF on basmati paddy from 0.5 per cent to 2 per cent in January. Both steps will affect the rice trade and also the basmati farmers. He further said the commission of the arhtiyas (kachi aadhat/dami), market fee and RDF are the highest in Haryana compared to other neighbouring states. The association also alleged that due to high rate of market fees and HRDF in Haryana, an unhealthy completion had been created between fees evaders and honest businessmen. It had become difficult for an honest industrialist to compete and run his business in Haryana, said Setia, adding that other states government are providing benefits to the rice industry, whereas in Haryana, the government is not supportive of the rice industry.

This article has been republished from The Tribune.

By Prabhudatta Mishra

The government on Tuesday said sugar exports increased 39 per cent to 10.5 million tonnes (mt) during the 2021-22 fiscal from the previous year, while rice exports— Basmati and non-Basmati varieties—surged 19 per cent to 21.23 mt.

Speaking in the Lok Sabha on agri exports, Union Agriculture Minister Narendra Singh Tomar said the demand for organic products from India is consistently increasing in the global market. As such, the quantity of organic products exported during 2020-21 was 0.89 mt against 0.64 mt during 2019-20, up by 39 per cent, he said in a written reply.

Edible oil exports down

Though India has been importing close to 60 per cent of its vegetable oil requirements, exports of edible oils during the fiscal were 98,365 tonnes, down by 67 per cent. A significant quantity of molasses was also exported despite lucrative prices offered by the government-run companies for ethanol. Molasses exports increased to 1.4 mt from 1.3 mt.

Export of pulses, which are also imported to meet the demand, jumped 40 per cent last fiscal to 0.39 mt. Tea exports were down marginally to 2,08,614 tonnes from 2,12,687 tonnes and spices shipments slipped 11 per cent to 1.43 mt.

This article has been republished from The Hindu Business Line.

http://www.millingandmillers.com/2022/08/05/sugar-exports-up-39-rice-19-in-2021-22-tomar/

More and more farmers in Uganda are taking on rice growing, both as a cash crop and staple food.

In some parts, for instance, eastern Uganda, rice is fast replacing food crops such as maize, cassava and potatoes. As cash earners, this is partly due to prices for crops like maize taking a plunge.

As food, diseases have attacked the crops leading to poor yields. A case in point is cassava mosaic diseases which has devastated cassava. So, rice emerges as an alternative that strikes the balance. But despite growing the crop, many farmers are not yet conversant with the proper agronomy practices required, which in turn lead to poor yields.

Hu Jianghua is the director of a Shs13bn rice project run by Zhong Industries, which aims to train Ugandan farmers on how to grow rice while Godfrey Okumu is general manager for the project.

The rice project, which acts as a model is located in Lukaya Town Council, Kalungu District, along the Masaka-Kampala highway.

Here, they give tips on rice growing tips to farmers who want to maximise their yields.

Jianghua, who is from China, the world's leading country in rice growing, points out that there more than 1,000 rice varieties grown in the world. However, farmers in Uganda grow mainly Kaiso, Super, NP3 and New rice for Africa (Nerica) varieties.

Okumu adds that Kaiso and Super rice varieties are suitably grown in wetlands or lowlands while Nerica and NP3 varieties are grown in the uplands. Before a farmer decides on what type of rice variety he/she will grow, a number of factors have to be taken into consideration.

These include: the type of soil that is lowland or upland, which variety is more marketable or is high yielding. Also, which the variety is high yielding or has big grains.

For instance, most consumers in Uganda prefer Kaiso and Super varieties because of the good aroma and taste plus good cooking qualities. Many consumers say Kaiso rice grains enlarge when cooked compared to other varieties.

On the other hand, Super rice has higher yields compared to the other varieties. In one acre, a farmer can get about 4,500kg of milled rice (4.5 tonnes).

Nursery bed preparation

Transplanting seedlings.

The nursery bed should be made in an area, which is not water logged. However, he says, this does not mean that water is not needed. Water should only be taken to the nursery when needed and in controlled amounts. The first thing that a farmer has to do is to plough the land, which must be left for 15 days when NPK fertiliser is applied.

All plants need nitrogen, phosphorus and potassium to grow. Without sufficient amounts of any one of these nutrients, a plant will fail. In a 100 square metre area of land, 100kg of NPK should be applied.

After adding NPK, the soil should be tilled again, turned around to break it to make it even with small particles.

Then make lines in the prepared soil. The rice seeds should be soaked in a mixture of water, fungicides and pesticides. This must be done for 24 hours before planting. Then, they are placed in a warm place before planting in the nursery bed. A warm place helps them to germinate.

Two kilogrammes of seeds should be sown in a 10 square metre piece of land. The bed should be weed-free. The bed should be watered twice a day during dry periods. After 21-25 days, the seedlings are ready to transplant.

Transplanting

The seedlings should be placed in a container in which they are transported to the main garden. The seedlings should be planted in rows with spacing of 20 cm from row to row and 10 cm from plant to plant.

DAP or NPK fertiliser should be applied; this helps the seedlings to develop new roots for fast growth. After 25 days, it is advisable to apply urea, which helps the plants to grow healthy, strong and bear big rice grains

To control pests, apply pesticides and for fungi, fungicides should be used. Common pests such as stalk borer are controlled using pesticides.

Controlling birds

Birds are one of the biggest burdens rice farmers face; they eat the grains. If not controlled, birds can cause yield losses of up to 90 per cent.

However, Jianghua says at the Zhong Industries project, they have devised simple methods to scare away the birds. They use empty mineral water bottles in which they place stones. The bottles are tied on strings which are suspended on poles. These are then placed around the field. When a person shakes the string at one point, it shakes all the bottles to make a sound that scares away the birds.

Harvesting

Rice is ready for harvest in 135-145 days, depending on the variety.

Simple tools such sickles are used to harvest rice, which is then dried and threshed. Drying should be done in a clean place in order to safeguard the quality of the rice.

A rice variety with higher protein content would be taken up for large scale cultivation from the next year’s kharif season in eastern region, which is facing problem of malnourishment.

A rice variety with higher protein content would be taken up for large scale cultivation from the next year’s kharif season in eastern region, which is facing problem of malnourishment.

Named CR Dhan 310 and developed by scientists from Cuttack- based National Rice Research Institute (NRRI), the rice variety has 10.5 – 11% protein content in comparison to 6% in the most of the rice varieties. Besides, in the field trials the new variety has produced a yield of 5 tonne per hectare against usual 3-4 tonne in the conventional paddy varieties.

“The new variety would certainly help deal with the protein deficiency in many communities in the eastern region,” AK Nayak, director, NRRI, told FE. The agriculture ministry’s central varietal release committee has recently approved the variety for cultivation.

Nayak said that CR Dhan 310 has the yield potential better than many of the hybrids available in the market while the key benefit for the farmers is that they can save their own seeds for next crop season instead of buying it every year.

In the coming kharif season, which is commencing from September, the variety would be taken up for limited cultivation through multiplying seed production from the NRRI’s breeder seeds by many state government-owned agencies. Subsequently from the next year, the state government agencies in eastern region would produce certified seeds from the foundation seeds for large scale cultivation by farmers.

Nayak said that the new high-yielding protein variety would be suitable for the cultivation across all the eastern regions such as Tripura, West Bengal, Jharkhand, Odisha, Bihar and eastern Uttar Pradesh.

“The new variety, also a non-lodging plant type, can address the problem of yield stagnation in this major rice ecosystem of the country. With its high yield and grain quality, this variety can significantly enhance the income of farmers of eastern region,” an agriculture ministry official said.

Tropical Cyclone Roanu made landfall just after midday Saturday northwest of Chittagong, Bangladesh, and still poses a threat of dangerous flooding in parts of eastern India, Bangladesh, and Myanmar into the weekend.

The India Meteorological Department estimated Roanu's maximum sustained winds were 50-55 mph (80-90 kph) at landfall, with gusts to near 70 mph (110 kph), while the U.S. Joint Typhoon Warning Center estimate was slightly higher at 60-65 mph (55 knots).

The Bangladesh Meteorological Department warned of a storm surge of 4-5 feet above normal tide levels along the coast of Bangladesh arond the time of landfall. Typically higher tides around the monthly full moon were only expected to aggravate the coastal flooding. 

Roanu has already turned deadly, with wind damage reported in the city of Chittagong, coastal embankments destroyed, and at least one landslide triggered from heavy rain.

Roanu, and clusters of thunderstorms ahead of the cyclone, have wrung out some impressive rainfall totals in India and Bangladesh.

In general, the rainfall potential of a tropical cyclone is not a function of its intensity (i.e. maximum sustained winds), but rather its forward speed.

Some of the most extreme rainfall events worldwide have occurred when tropical cyclones, in some cases as weak as depressions or even remnant lows, move slowly, or stall. 

After dumping over a foot of rain, triggering destructive mudslides in Sri Lanka earlier in the week, an area of low pressure consolidated enough convection near its center to be deemed a tropical cyclone just off the coast of India's Andhra Pradesh state northeast of the city of Chennai Wednesday.

Convection burst near the center of Roanu early Friday as its center meandered near the eastern coast of India, spreading heavy rain through parts of Andhra Pradesh, Odisha, and West Bengal states.

Despite the convective burst, thanks to wind shear, the change in wind speed and/or direction with height, Roanu was not able to strengthen much as it tracked generally northeast toward the coast of Bangladesh Saturday.

The Bay of Bengal has a notorious history for the world's deadliest tropical cyclones, owing to both population density of low-lying areas near the coast and the shallow northern end of the Bay of Bengal, funneling storm surge into Bangladesh, in particular.

In early May 2008, Cyclone Nargis slammed into southern Myanmar, driving a storm surge into the country's Irrawaddy Delta, claiming over 138,000 lives in the country's worst natural disaster.

In 2015, Tropical Cyclone Komen combined with the normal wet phase of the Asian monsoon to dump over 3 feet (1 meter) of rain to parts of eastern Bangladesh.

The resulting flooding and mudslides claimed at least 200 lives and destroyed 55,000 homes.

India's weather office said on Monday the late arrival of the monsoon will not delay crop sowing and that rains are expected to make rapid progress after their arrival around June 7.

Laxman Singh Rathore, chief of the India Meteorological Department (IMD), also told Reuters he was sticking to the original forecast of above-average rainfall this year after two straight years of drought that cut farm income.

Monsoon rains, the lifeblood for agriculture-dependent India, typically arrive on the southern tip of Kerala state by around June 1 and cover the entire country by mid-July.

On Sunday the IMD said the monsoon would arrive by June 7.

"There's a semblance of normality in the forecast that rains would arrive by June 7. In effect, I don't see any impact on sowing or overall agricultural productivity," Rathore said in an interview.

Heavy rains have lashed southern states of Kerala and Tamil Nadu in the past few days and showers are expected to hit interior areas of Karnataka state in the next few days, he said.

"Pre-monsoon showers will set the stage for sowing and rains are expected to gather momentum once monsoon arrives by June 7," Rathore said.

Millions of farmers plant rice, cane, corn, cotton and soybean crops in the rainy months of June and July. Harvesting starts from October.

Current weather patterns suggest that the monsoon would make a rapid progress once rains arrive on the Kerala coast, said K. K. Singh, chief of agricultural meteorology.

"At the moment there is cause for concern at all. We are set to have plentiful rains this year," Singh said.

The weather office last month said El Nino - a warming of the eastern Pacific Ocean that can lead to dry spells in South Asia - is fading and giving way to La Nina in which the same waters cool.

The monsoon season delivers about 70 percent of India's annual rainfall. It is critical for the country's 263 million farmers because nearly half of their farmland lacks irrigation.

Bountiful rains could keep a lid on inflation and also encourage the Reserve Bank of India to cut interest rates after the central bank in April eased its repo rate by 25 basis points to its lowest in more than five years.

India can enhance its rice yield by 2.5 per cent and wheat by 3.3 per cent if emissions leading to the generation of ground-level ozone could be mitigated, say scientists who have developed an ozone risk estimate database.

It could aid policymakers to examine suitable mitigation strategies for crop protection against ozone pollution, they say.

"We found out that the total loss of wheat and rice from top 10 producing states in India is estimated to be 2.2 million tonnes (3.3 percent) and 2.05 million tonnes (2.5 percent), respectively," Gufran Beig, senior scientist at the Indian Institute of Tropical Meteorology, Pune, told IANS.

"So if we can control the emissions of ozone precursors (like volatile organic compounds and nitrogen oxides), then we would produce that much more," Beig added.

Ozone production requires sunlight and high ozone concentration coincides with the crop growing season.

It is generated in the troposphere (the lowest layers of the atmosphere associated with weather) when sunlight triggers complex reactions involving short-lived climate pollutants, volatile organic compounds (VOC), nitrogen oxides (NOx) and carbon monoxide that originate mainly through burning of fossil fuels.

Ozone pollution is known to impact human health, crops and ecosystems, and exposure to elevated levels of ground-level ozone for longer duration can impact crops directly (yield or biomass). Also, ozone damage can occur to plants without any visible signs.

To shed light on the links between emissions and crop losses, the study on the ozone risk database was done by Sachin D. Ghude, C.K. Jena, D.M. Chate, and G. Beig of IITM; Rajesh Kumar of US National Center for Atmospheric Research; and SH Kulkarni of the Centre for Development of Advance Computing, Pune.

Published in the "Current Science" journal in April, it highlights that although VOC is one of the culprits, in comparison to NOx, its effects are only a "distant second."

"Our model suggests there is a relatively 93 per cent decrease in ozone-induced crop yield losses if the NOx emissions are mitigated," said Jena.

To create software simulations and models, the team used most suitable spatial crop distribution and production data available for India and the latest emission inventories for 2005.

"These are long-term studies; so it is relevant. Since 2005, ozone has anyway shown an increasing trend and so the impact is likely to be more pronounced," said Beig.

The study also maps crop losses in million tonnes.

The rice-producing states that are vulnerable to relatively high ozone exposure are Punjab (0.85 million tonnes), Andhra Pradesh (0.33 million tonnes), Uttar Pradesh (0.25 million tonnes) and West Bengal (0.23 million tonnes).

Similarly, other wheat-producing states vulnerable to high ozone exposure are Uttar Pradesh (0.61 million tonnes), Madhya Pradesh (0.49 million tonnes), Rajasthan (0.23 million tonnes) and Maharashtra (0.22 million tonnes).

Beig iterates current ozone exposure impact assessment studies evaluated the global losses of major agricultural commodities amounting to 79 million to 121 million tonnes and costing $11 billion to 18 billion and projected economic damage of about $12 billion to 35 billion by 2030.

A recent study by the World Meteorological Organization/United Nations Environment Programme (WMO/ UNEP) identified Asia to be vulnerable to ozone pollution.

"In India, the major problem in urban areas is due to particulate matter, but ozone pollution is a huge concern in rural pockets. The result of our analysis provides first-hand and important information to policymakers to propose or implement emission control of ozone precursors to ensure improved national food security," added Beig.

While the Government today launches a massive programme to make agriculture free of chemicals, the paddy storage problem has reached boiling point. Thousands of farmers are reaping the Maha harvest, but the tragedy is that large quantities of paddy from the earlier Yala harvest are still in cold storage. Desperate farmers, unable to get a fair price, are selling their paddy to private mill owners at a low rate to meet their basic needs. This scene at Karuwalagaswewa in the Anuradhapura district portrays the plight of tens of thousands of farmers around the country.

Karachi —Despite having a huge rice crop and export surplus Pakistan rice lagging behind due to gross negligence of this sector, said President UNISAME Zulfikar Thaver. It is very unfortunate that rice industry which is ranked as the second biggest after textiles is left mercilessly neglected. Regardless of the fact that it employs huge number of entrepreneurs from farm land to factories. The SME rice farmers, millers, processors, traders and exporters are in turmoil due to the step motherly treatment of the government. The cost of production has gone high and this has made the rice industry
non-competitive.
The farm inputs have become costly. The only answer to survival is value addition, quality bench mark and entering non traditional markets. Thaver urged the ministries of agriculture, commerce, industry and science and technology to co-ordinate with one another for the uplift of the rice sector. UNISAME after carrying out a study of the requirements for the uplift of the sector stated that dedicated efforts are required from grass root level from modernization of farming, milling, processing, packing and marketing. The union called upon the Small and Medium Enterprises Development Authority (SMEDA) under the ministry of industries and the Pakistan Council of Scientific and Industrial Research (PCSIR) under the ministry of science and technology to join hands for modernization of the rice industry.
It also requested SMEDA and PCSIR to take up the issues of paddy drying, parboiling, steaming and preparation of iron and vitaminized rice and also pre-cooked rice. Various products can be made from rice flour and rice grains if PCSIR could educate the sector on increasing shelf life of the products. PCSIR is capable of doing great work for the sector Thaver said. The Rice Research Institute under the ministry of agriculture also needs to do more and developed new varieties. We have only a handful of varieties whereas our neighbour India has many and we need to compete in the global markets. The ministry of commerce needs to intervene in the basmati Geographical Indication (GI) matter and also the basmati trade mark issue and resolve the matter with the Intellectual Property Organization and the Registrar of Trade Marks in national interest.
Another very important aspect is the marketing, we have lost the markets of Iran, Gulf and Middle East. Although we have never really entered Europe and USA, there is scope as our super basmati rice is far superior to the 1121 non basmati rice of India. The Trade Development Authority of Pakistan (TDAP) and Rice Exporters Association of Pakistan (REAP) will need to make great efforts to popularise our super basmati rice which is tasty, aromatic and cooks exceedingly well and is undoubtedly the best rice in the world. Another very important facility required for the exporters is the finance facility for export to third world countries and to buyers who are banking with low rating banks.
There is urgent need for export credit insurance at low premium just like India has done to promote exports to third world countries. The third world countries have rice as their staple food. India has captured their markets and we are lagging behind. Same is the case with Iran unless the facility for smooth transactions exist there can be no break through. India developed the currency agreement with Iran long ago whereas we were not yet ready to displease the sanction authors. Now with the re-entry of Iran in the SWIFT international currency exchange the possibilities look bright nevertheless Pakistan will have to re-enter the Iranian market with deligence to promote our super basmati rice.

Egypt has more rice than it needs but little available for those who need it most.

The price the government pays for rice has surged by about 50 percent in the past two months because traders are holding back supplies and expect prices to rise further following the government's failure to replenish its stockpiles.

Imported commodities such as cooking oil have been in short supply for weeks at outlets that offer subsidized goods to poor Egyptians as a dollar shortage makes it harder for state importers to secure regular supplies.

But rice is widely grown in Egypt and farmers are actually producing a surplus.

Mostafa al-Naggari, head of the rice committee of Egypt's agricultural export council, estimates the country produced 3.75 million tonnes of rice in the 2015 season and carried over 700,000 tonnes from 2014. With consumption at 3.3 million tonnes, that leaves a surplus of more than 1 million tonnes.

But the government's failure to stockpile rice has left it at the mercy of traders, who are unwilling to sell when prices are rising daily, Naggari said.

With an eye to the overall rice surplus, the government has allowed exports to resume, but its failure to accumulate its own stocks has encouraged traders to hold back supplies in the expectation of rising prices while discouraging exports.

At the same time, the government has imposed a tariff of 2,000 Egyptian pounds ($255) per tonne tariff, which has kept exports low.

"One of our vital recommendations to the government before opening the door for rice exports in October was for it to stock up on around half a million tonnes," Naggari said.

"But that didn't happen and hence we find ourselves in the situation we are in today."

STOCKPILE

Previous governments have stockpiled between 200,000 to 500,000 tonnes of rice, but Naggari said supplies minister Khaled Hanafi had refused to buy any reserves.

Critics say Hanafi ignored advice to stockpile rice, saying it was plentiful and he could buy it when he needed it.

Hanafi and the Supplies Ministry did not respond to calls for comment.

Growing shortages and rising prices carry immense political risk for President Abdel Fattah al-Sisi, as tens of millions of the country's poorest rely on state subsidies for their basic food. Economic discontent helped stoke public unrest instrumental in unseating two presidents in the last five years.

"This month I couldn't get any subsidized rice at all," Cairo resident Sabrine said after returning from a government food outlet empty-handed. "They said we can take juice instead of rice -- what are we going to do with juice?"

The more desperate the government gets in its attempts to buy rice, the more traders are likely to hold back.

"The rice is there but it's being stockpiled, traders are storing it as they can see the prices go upwards and they are waiting to sell at the highest price," said one trader, who declined to be identified.

The government has this week tried to strike back, imposing penalties on suppliers it finds are hoarding, said Adham El Welely, managing director of Unicom for Investment and Development, a rice supplier that has been visited by government officials.

"We've had several visits in the past two days," he said. "They are just trying now to push you to sell or make some movement."

International rice prices in 2015 were at their lowest level since 2007, according to the United Nations Food and Agriculture Organization (FAO). Prices internationally were little changed from the previous month, with variations by country according to local supply and demand and the effects of government policies and currency.

In its commentary on its Rice Price Update for January, the FAO said that its All Rice Price Index (2002-04) averaged 197 points in December 2015, virtually the same value as in November, but 27 points or 12% below its level in December 2014.

“As per the various FAO sub-indices, prices were stable last month for the Higher Quality Indica, while they rebounded by 2% for the Lower Quality Indica rice,” it said. “On the other hand, Japonica rice quotations were down by 1%, influenced by a retreat of prices in the U.S. However, the most relevant development of last month was the recovery of Basmati prices, which despite weaker Thai fragrant quotations, lifted the aromatic rice sub-index by close to 4%.”

“The arrival of new crop supplies generally weighed on Thai quotations, in particular for the fragrant varieties,” FAO said. “It also affected negatively non-aromatic rice prices, bringing the benchmark Thai 100%B white rice down by 1.6% over the month. Prices in Vietnam, after rising in November, remained steady last month. By contrast, they showed a tendency to firm in India, mirroring the support to the market provided through large government procurement purchases, and in Pakistan, on large trader purchases and a slight firming of the currency. In the Americas, prices generally declined in Argentina, the United States and Uruguay, while they continued to firm in Brazil, on a tightening of supplies.”

The FAO All Rice Price Index reached a value of 211 points in 2015, 10.5% lower than in 2014, it said. The retreat was particularly pronounced for aromatic rice, with its respective sub-index shedding 79 points or 31% compared to last year.

In its Grain Market Report in January, the IGC reported that white and parboiled rice export prices had mostly declined since late-November 2015, with the IGC GOI rice sub-Index falling by 2%.

“Harvest pressure in India weighed, as did destocking in Vietnam and currency movements, but declines were capped by ideas of fresh demand from key importers, including Indonesia and the Philippines,” it said.

“The Philippines’ National Food Authority announced it would import 400,000 tonnes of broken rice, likely from Vietnam, Thailand or Cambodia through diplomatic channels, for Apr-Jun delivery. Adding to earlier purchases, this helped to limit falls in prices in Vietnam, where the market was under pressure from stock sales ahead of 2016 main (winter-spring) crop cutting. Offers for 5% broken stood at $354 fob, a fall of $16.”

In Thailand, a weaker domestic currency capped gains, with 5% broken up marginally, to $355 fob, it said. Values firmed on smaller than anticipated new crop arrivals and worries about prospects for off-season output amid limited water availabilities.

“In South Asia, currency movements weighed on white rice export prices in India, 5% broken falling by $5, to $340 fob, with kharif crop harvesting pressure adding to bearish sentiment and limiting upside in local values,” the IGC said.

“Pakistan’s market was buoyed by strong international demand, including reports of an agreement to supply 1 million tonnes to Indonesia in the next four years. Offers for 5% broken were $20 higher, at $338 fob.”

In its Rice Outlook for January, the USDA Economic Research Service also noted the rise in Thai rice prices. “Prices for high and medium grades of Thailand’s regular-milled white rice have increased 1% to 2% over the past month, mainly due to tightening supplies of the main crop harvest and continued shipments of rice under government-to-government agreements with the Philippines, Indonesia, and China,” it said.

At the same time, prices from Vietnam fell. “For the week ending Jan. 12, prices for Vietnam’s double-water-polished milled-rice with broken kernels were quoted at $357 per tonne, down $28 from the week ending Dec. 15,” ERS said. “Vietnam’s prices are $2 below price quotes for similar grades of Thailand’s rice for the week ending Jan. 12. Vietnam’s rice had been selling at prices above Thailand’s since late October.”

ERS also reported a continued decline in U.S. prices for long-grain milled-rice.

Affirming that the economy is right on track, Finance Minister Arun Jaitley presented the Union Budget for 2016-17. Citing that the CPI inflation has come down to 5.4% from 9 plus, he said it is huge relief for the public.

Tax

Infrastructure and agriculture cess to be levied.

Excise duty raised from 10 to 15 per cent on tobacco products other than beedis

1 per cent service charge on purchase of luxury cars over Rs. 10 lakh and in-cash purchase of goods and services over Rs. 2 lakh.

SUVs, Luxury cars to be more expensive. 4% high capacity tax for SUVs.

Companies with revenue less than Rs 5 crore to be taxed at 29% plus surcharge

Limited tax compliance window from Jun 1 - Sep 30 for declaring undisclosed income at 45% incl. surcharge and penalties

Excise 1 per cent imposed on articles of jewellery, excluding silver.

0.5 per cent Krishi Kalyan Cess to be levied on all services.

Pollution cess of 1 per cent on small petrol, LPG and CNG cars; 2.5 per cent on diesel cars of certain specifications; 4 per cent on higher-end models.

Dividend in excess of Rs. 10 lakh per annum to be taxed at additional 10 per cent.

Personal Finance

No changes have been made to existing income tax slabs

Rs 1,000 crore allocated for new EPF (Employees' Provident Fund) scheme

Govt. will pay EPF contribution of 8.33% for all new employees for first three years

Deduction for rent paid will be raised from Rs 20,000 to Rs 60,000 to benefit those living in rented houses.

Additional exemption of Rs. 50,000 for housing loans up to Rs. 35 lakh, provided cost of house is not above Rs. 50 lakh.

Service tax exempted for housing construction of houses less than 60 sq. m

15 per cent surcharge on income above Rs. 1 crore

Social

Rs. 38,500 crore for Mahtma Gandhi MGNREGA for 2016-17

Swacch Bharat Abhiyan allocated Rs.9,500 crores.

Hub to support SC/ST entrpreneurs

Government is launching a new initiative to provide cooking gas to BPL families with state support.

LPG connections to be provided under the name of women members of family: Rs 2000 crore allocated for 5 years for BPL families.

2.87 lakh crore grants to gram panchayats and municipalities - a quantum jump of 228%.

300 urban clusters to be set up under Shyama Prasad Mukherji Rurban Mission

Four schemes for animal welfare.

Health

2.2 lakh renal patients added every year in India. Basic dialysis equipment gets some relief.

A new health protection scheme for health cover upto 1 lakh per family.

National Dialysis Service Prog with funds thru PPP mode to provide dialysis at all district hospitals.

Senior citizens will get additional healthcare cover of Rs 30,000 under the new scheme

PM Jan Aushadhi Yojana to be strengthened, 300 generic drug store to be opened

Education

Scheme to get Rs.500 cr for promoting entrepreneurship among SC/ST

10 public and 10 private educational institutions to be made world-class.

Digital repository for all school leaving certificates and diplomas. Rs. 1,000 crore for higher education financing.

Rs. 1,700 crore for 1500 multi-skill development centres.

62 new navodaya vidyalayas to provide quality education

Digital literacy scheme to be launched to cover 6 crore additional rural households

Entrepreneurship training to be provided across schools, colleges and massive online courses.

Objective to skill 1 crore youth in the next 3 years under the PM Kaushal Vikas Yojna-FM Jaitley

National Skill Development Mission has imparted training to 76 lakh youth. 1500 Multi-skill training institutes to be set up.

Energy

Rs. 3000 crore earmarked for nuclear power generation

Govt drawing comprehensive plan to be implemented in next 15-20 years for exploiting nuclear energy

Govt to provide incentive for deepwater gas exploration

Deepwater gas new disc to get calibrated market freedom, pre-determined ceiling price based on landed price of alternate fuels.

Investments and infrastructure

Rs. 27,000 crore to be spent on roadways

65 eligible habitats to be connected via 2.23 lakh kms of road. Current construction pace is 100 kms/day

Shops to be given option to remain open all seven days in a week across markets.

Rs. 55,000 crore for roads and highways. Total allocation for road construction, including PMGSY, - Rs 97,000 crore

India's highest-ever production of motor vehicles was recorded in 2015

Total outlay for infrastructure in Budget 2016 now stands at Rs. 2,21,246 crore

New greenfield ports to be developed on east and west coasts

Revival of underserved airports. Centre to Partner with States to revive small airports for regional connectivity

100 per cent FDI in marketing of food products produced and marketed in India

Dept. of Disinvestment to be renamed as Dept. of Investment and Public Asset Management

Govt will amend Motor Vehicle Act in passenger vehicle segment to allow innovation.

MAT will be applicable for startups that qualify for 100 per cent tax exemption

Direct tax proposals result in revenue loss of Rs.1060 crore, indirect tax proposals result in gain of Rs.20,670 crore

Agriculture

Total allocation for agriculture and farmer welfare at Rs 35984 crores

28.5 lakh heactares of land wil be brought under irrigation.

5 lakh acres to be brought under organic farming over a three year period

Rs 60,000 crore for recharging of ground water recharging as there is urgent need to focus on drought hit areas cluster development for water conservation.

Dedicated irrigation fu

Govt. Decided To Float Tender for Import Urad Dal Soon

The Government has decided to soon float another tender for import of 5,000 tons of urad dal to boost supply.

This would be the 2nd tender to be floated by state-run MMTC for import of pulses. The agency has already invited bids for import of 5,000 tons of tur dal (pigeon peas) and the shipments are expected to reach by September.

A decision to import additional quantities of pulses was taken at a meeting of the committee of secretaries (CoS) held last week, according to sources.

The CoS recommended state-run agencies like MMTC to come out with import bids for 5,000 tons of urad, they added.

Thailand may reclaim its status as top rice exporter of the world due to weak monsoon rains affected paddy crop in India.

With poor rains cutting Indian supply, Thai rice exports could hit 10 million tons this year, near a record 10.6 million tons sold in 2011, said Duangporn Rodphaya, director general of Thai commerce ministry department offoreign TRADE.

India toppled Thailand 2 years ago to become the world top rice exporter as the intervention scheme priced Thai rice out of the export MARKET and as Govt. lifted a 4 year ban on non-basmati rice sales in 2011 to trim stocks.

Indian Rice output could be hit this year as rains, crucial for the summer-sown rice crop, were 40% below average in the 1st 6 weeks of the June-September monsoon season.

The National Bank of Agriculture and Rural Development (NABARD) inked a Memorandum of Understanding(MoU) with Small Farmers Agribusiness Consortium (SFAC) for development of small farm producers.

The MoU seeks to bring the 3 institutions in close coordination for implementing schemes for promotion of Producer Organizations (POs). The SFAC is implementing a scheme of the Government of India whereby the Producers Organizations are given equity support and the financing banks are given credit guarantee cover to enable formation of PO.

NABARD will proactively leverage the benefits of the equity grant and credit guarantee fund for POs set up by SFAC to ensure that finance for producer company flows smoothly. NABARD would also actively collaborate with the SFAC at national, state and district level by participating in the Food Security Mission. NABARD has a fund of Rs 50 crore for supporting producer organizations.