D.T.S GROUP INC (JAPAN) SUPPLIERS/IMPORTERS/DISTRIBUTORS. JAPONICA RICE KOSHINIKARI SASANISHIKI YAMADA NISHIKI AKITA HANA And other valuable Japonica rice brands. PAKISTANI RICE BRANDS (FOR EXPORT) 1121 Extra Long Grain Basmati Rice Super Kernel Basmati Rice Super Basmati Rice
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Due to an increase in ingredient costs, primarily corn, the price of feed soared in the third quarter of Japan’s Fiscal Year 2012 (October-December 2012).
However, thanks to the subsidies that fully absorbed this hike, Japan’s feed consumption and production remain stable.
Post updated PS&Ds for rice and barley, as the Ministry of Agriculture, Forestry and Fisheries (MAFF) announced Japan’s 2012 production statistics for these commodities.
Up-to-date feed production statistics and a detailed breakdown of feed ingredient utilization ratios follow.
The trend away from corn to wheat continues…
Japan has a feed stabilization program, where the combination of a subsidy by the Ministry of Agriculture, Forestry and Fisheries (MAFF) and an industry fund helps absorb sudden surges in the compound feed price. It is activated when the import costs of ingredients in a particular quarter exceed the average import costs of ingredients in the previous one year.
International rice prices have been stable in the past four months, with the FAO All Rice Price Index (2002-04=100) averaging 240 points in April 2013, unchanged from a revised January value. Across the various qualities and types, fragrant rice varieties were priced 7 percent higher than in January, reflecting tighter supply availabilities amidst strong buying interest, which contrasted with a continuing slide of Japonica prices amidst accrued competition among suppliers. Prices in the other rice segments were more stable, with the lower quality Indica index gaining 1 point and the higher quality Indica subsiding 2 points since January. Seen from an origin perspective, Thai quotations have weakened since January, on the arrival of new crop supplies, in spite of continued government purchases under the pledging programme. The large public stocks held in Thailand also weighed on market sentiment, prompting competing Viet Nam to lower its own prices, ahead of a possible offloading of large volumes of Thai rice on world markets. By contrast, prices showed a tendency to strengthen in India and Pakistan, especially for Basmati rice but also for the non-fragrant varieties. Limited availabilities also sustained long-grain quotations in the United States and in South America. In the next few months, the market attention is likely to focus on the Thai government decisions regarding the possible release of stocks, but also on India, where the widening of the rice distribution system, may have an impact on export availabilities and prices.
Compound Feed Price
As the graph below shows, during the most recent quarter (October-December 2012), compound feed prices increased by 4,750 yen per metric ton, from 58,500 yen to 63,250 yen. The subsidy entirely absorbed this increase.
In early December, MAFF announced statistics for 2012 rice production. Overall production volume increased 1.4 percent over the previous year as a result of a slight increase in planted area and a favorable yield due to an absence of inclement weather conditions throughout the growing season.
Japan's Rice Production (Brown Basis)
Global rice utilization in 2012/13 is predicted to rise by 1.8 percent to 478 million tonnes, with per caput food consumption averaging 56.9 kg in 2012/13, 0.7 percent more than the previous year. Consumer prices have been rather stable in the past three months, but, compared to last year, have drifted higher in several Asian countries, especially India and Myanmar, while they have tended to decline in Eastern Africa.
According to the IGC – At 466mt, world rice production is forecast to be little changed year-on-year, as smaller harvests in Asia, particularly in India, are offset by gains elsewhere. World use is expected to rise by 2% year-on-year, to a fresh record, underpinned by increases in Asia’s leading consumers. Global ending stocks are forecast to fall marginally, but supplies in the major exporters are expected to rise to a new record. World trade in 2013 is projected to decline by 5% as key importers in Asia and Africa reduce purchases from last year’s highs.
According to WASDE – Global 2012-13 projections of rice production and consumption are raised from last month, but trade and ending stocks are lowered. Global 2012-13 rice production is forecast at a record 465.8 million due to increases for Bangladesh, Bolivia, and Nepal partially offset by reductions for Argentina and Laos. Global consumption is raised 0.7 million tons to a record 469.3 million as relatively small changes are made to several countries including Bolivia, Iraq, and Nepal. Global exports for 2012-13 are lowered slightly due mainly to reductions for Argentina and China. Imports are reduced for Bangladesh, Cuba, Egypt, and Indonesia. Global 2012-13 ending stocks are reduced 0.5 million tons to about102.0 million due mostly to decreases for Egypt and Indonesia.
Foodgrain exports forecasts for 2012-13 (USDA’s WASDE)
Major exporting countries - exports in million tons
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