16th february,2015 daily global rice e newsletter by riceplus magazine
TRANSCRIPT
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Uruguayan rice: the secrets of a success story Written by Gonzalo Zorrilla.
Uruguay is a small country in the Southern Cone of
South America, located in a corner between the Río de
la Plata and the Atlantic Ocean. Rolling hills, excellent
natural grasslands, and temperate climate have made the
country a perfect place for beef, wool, and dairy
production, while typical temperate agriculture has been
a tradition since the early period of the Spanish
Daily Global Rice E-Newsletter
February 16 , 2015 V o l u m e 5, Issue I
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colonization. The country’s traditional products are wheat, barley, sunflower, and maize, with
soybean dominating the scene these days.
Rice is a relatively new crop. The first rice fields were recorded back in 1926. In less than 100
years, Uruguay developed an exportoriented rice production system that grew continuously on
up to 180,000 hectares (Fig. 1). The country has attained high yields and a premium position in
the international market. Having a tiny fraction of world rice production, it is seventh on the list
of rice-exporting countries, behind only the big players.
Farmer-miller alliance
How has this happened in the most intervened
and protected grain market in the world?
Natural conditions favored rice production
with good land, abundant water, and climatic
conditions affecting high potential for an
irrigated crop. But the key to the country
having a competitive and successful position
as a rice exporter was the private and public
institutional array of support that was
constructed over time.
Farmers and millers organized the Rice Farmers´ Association (ACA by its Spanish acronym) and
the Rice Millers´ Association (GMA by its Spanish acronym) in the late 1940s. Since then, both
organizations have been articulating all aspects of the rice agribusiness chain, knowing that each
has specific needs and interests, but that both are in the same boat of the rice industry. The best
example of this integration is a private rice price agreement, which is based on transparency
between ACA and GMA in which, for more than 50 years, the final value the farmer receives
depends on the total value of rice from one season (exported and sold internally), less the milling
cost and a fixed millers’ gain.This farmer-miller alliance was reinforced with sound government
policies that, without intervening in the markets or with prices, helped producers with roads,
electricity for irrigation pumps, opening markets with country-to-country agreements, and farmer
and miller loans, among other things.
Institutional innovations
In 1970, Estación Experimental del Este (Eastern Experimental Station) was established, which
started local research and innovation for rice. Since its early days, research has been highly
integrated with ACA and GMA, thus ensuring well-oriented, demand-focused actions. In 1980, a
government–rice sector agreement channeling private funds to Estación Experimental del Este
started the research investment of farmers and millers in Uruguay.
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Estación Experimental del Este became INIA Treinta y
Tres, with the creation of the National Institute for
Agricultural Research (Instituto Nacional de
Investigación Agropecuaria, INIA) in 1989. INIA was
established as an institutional innovation that had its
roots in the rice farmers’ experience, in which
government and farmers’ funds come together. This is
recognized in the Institute board, of which half of the
members are elected by the Ministry and half by
farmers’ associations.
In the last 40 years, a whole technological revolution based on local research took place,
resulting in the highly competitive indicators today. Now, 90% of the area is planted with
national varieties, which were developed by considering not only agronomic and high-yielding
traits but also the highest standards of grain quality, and taking into account the markets to which
Uruguay exports.All rice is planted in dry soils with minimum tillage and using no-till planters
that are adapted for planting over levees.
The country’s rice production is extensively mechanized, with an average farm size of 300
hectares. Rice is planted in rotation with pastures, with a typical rotation of two years of rice and
three years of grasses and legumes, which allow for highly productive cattle farming. This low-
intensity rotation system improves sustainability because it reduces pest and disease pressure and
maintains good soil conditions. This crop technology package is carefully followed by most
farmers. The national average yield reached 8 tons per hectare in the last five years, with top
farmers surpassing 10 tons per hectare (Fig. 2).
Well-organized farmers’ and millers’
groups, sound government policies, and an
articulated research and innovation system
brought the institutional framework to
success. This has become possible even
without any kind of subsidy, without a
domestic market to rely on (Uruguay’s
local market is only 5% of the rice it
produces per year), and depending on
highly volatile international markets (95%
of the rice is exported).
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Competitiveness is the name of the game for Uruguayan rice farmers and the race is never over.
Now, they are figuring out how to profit with increasing production costs and weaker rice prices,
and pressing for new technologies to further increase yield potential.
_________________________________________
Mr. Zorrilla is the director of the National Research Program at the National Institute of Agricultural
Research in Uruguay and a member of the Rice Today editorial board.
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Unleashing the rice market Written by Lanie Reyes.
What is the true price of rice? Do we have enough
rice to feed the growing population? Where will
the rice in the future come from? What drives the
global rice market? What are the game changers?
These were just some of the questions raised by
economists and other participants at the 2014
Global Rice Market and Trade Summit in
Bangkok, Thailand, on 27-29 October.Government
policies, climate change, increasing population,
migration of farmers to cities, and the rising
middle class are some of the game changers in the global rice market that echoed among the
speakers during the Summit.
Climate change
There was a note of concern on the projected impact of climate change on agriculture. Most
agreed that rising sea levels, increasing soil salinity in farm areas, higher temperatures, and more
frequent occurrence of floods and droughts will have great adverse effects on rice production.In
Asia, large areas of rice are grown in low-lying deltas and coastal areas such as the Mekong
River Delta in Vietnam and the Ganges basin in Bangladesh and India. A 1-meter rise in sea
level could wipe out these prime rice production areas.
With increasing sea levels, saltwater could penetrate more inland areas and contribute to soil
salinity, thus radically reducing rice yields as most rice varieties are only moderately tolerant of
salt.Increases in temperatures will also decrease rice output. A study at the International Rice
Research Institute (IRRI) indicates that a rise in nighttime temperature by 1 degree Celsius could
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reduce rice yields by about 10% while many varieties are sensitive to higher daytime
temperature.
About 20 million hectares of the world’s rice-growing area are at risk of occasionally being
flooded, particularly in major rice-producing countries such as India and Bangladesh.Although
more research is needed to tackle the challenges posed by climate change, IRRI has already
developed several climate-smart rice varieties that have made huge impacts in unfavorable
environments in Asia and Africa. IRRI Director General Robert Zeigler said the second Green
Revolution is benefiting the marginalized sector of society— the poorest of poor farmers—who
live in areas most vulnerable to climate change (see Green revolutions 2.0 and 3.0: No farmer
left behind).
Booming population
There will be more mouths to feed in the future. The population is increasing, particularly in
South Asia, where most of the world’s rice supply is grown. "Thirty percent of the global
population growth in the next 5 years will be coming from this region," said Dr. Suthad
Setboonsarng, a Thai economist and currently member of the IRRI Board of Trustees. In
addition, the number of nontraditional rice eaters is rising, especially in African countries. With
global rice demand estimated to increase from 439 million tons in 2010 to 555 million tons in
2035, rice production must be able to keep up if world market prices are to be stabilized at
affordable levels for billions of rice consumers.
Rising urbanization
The changing economic structure of Asia and the increasing number of its middle class will have
an influence on the international rice market. "The higher the income of the people, the more
diversified are their diets," said Dr. David Dawe, FAO senior economist. "This change will have
an effect on the demand for rice."
And, 50% of this change is coming from India and China, according
to Dr. Setboonsarng. China's economic progress will result in mass
outmigration from farms to cities. The rural migration will be
massive, according to Milo Hamilton, senior agricultural economist
and co-founder ofFirstgrain. com. More than 250 million people in
China will leave their farms and move into cities in the next 15
years. In China alone, 1 billion more people will live an urban life
by 2030. This phenomenon is also occurring in other parts of Asia. Southeast Asian farmers are
leaving rural areas for better wages in cities. For example, Cambodians in rural areas are
migrating to the cities of Thailand to work in construction or in factories.
A worrisome question is who would be left on rice farms to feed the ever-growing cities that
need increasing quantities of food, said Mr. Hamilton. "This is a double whammy on the rice
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market—increase in urban consumption and reduction of rural food sector workers," added Dr.
Setboonsarng.
Water and rice
According to Dr. Setboonsarng, the expansion of urbanization in Asia is leading to an increase in
domestic consumption of water, which will compete with the use of water for agricultural
production, especially rice production. It is a fact that rice is the most water-intensive crop.
"Water, a limited resource, is diminishing," Dr. Setboonsarng said. "The groundwater used to
irrigate rice in countries such as Bangladesh, India, and China is stressed because of the
expansion of irrigation."
Mr. Hamilton said that rice production is more
like water conversion. When one trades rice, one
is also trading water. Samarendu Mohanty, IRRI
senior economist, said that "when the
government of India is subsidizing rice
production, it is, in one way or another,
subsidizing the water need of the country that
buys the rice." It is said that China has the
capacity to produce more rice if it wants to, but,
unlike India, it is conserving its water by
importing rice.
This goes back to the issue of finding the true value of rice. Mr. Hamilton said that water, itself,
is not usually priced but what is priced is the cost of obtaining the water. How we put a price on
rice is akin to how we put a price on water. Water scarcity will have an effect on where the rice
is coming from in the future. According to Mr. Hamilton, rice will be coming from countries
whose water resource has not yet been depleted.
A political commodity
Since rice is the staple food of more than half of humanity, it is easy to understand that it is a
political commodity. Governments will do everything possible to make rice available to their
constituents. They have done a lot of things to control its price so their constituents or "voters"
can still afford it, or buying from farmers at a higher price to encourage farmers to produce it.
When the price of rice spiked during 2007-08, riots erupted in different corners of the world and
posed tremendous challenges to many governments.
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Government policies
The rice price crisis was a wake-up call for many governments. Many created policy
interventions to prevent food crises from occurring again. For rice-importing countries such as
the Philippines, Indonesia, and Malaysia, the policy is selfsufficiency. The Philippines is doing
its best to increase its rice production through its Food Staples Sufficiency Program, at the same
time encouraging its citizens to diversify their diets by eating carbohydrate alternatives such as
sweet potato and cassava. In addition, the Philippine government launched national campaigns
discouraging consumers from wasting rice.
But, "government interventions in the form of rice policies often hide the true price of rice," said
Dr. Mohanty. For example, the rice-pledging scheme of Thailand made the price of its rice less
affordable—and less competitive—in the international rice market. India’s policy on rice subsidy
makes rice production cheap for farmers so they can sell rice at a low price. With India’s low
price, plus its bumper crop in 2013, it temporarily displaced Thailand as the top rice exporter in
the world.
"The government intervention in rice policies is two-pronged," explained Dr. Setboonsarng.
"Most governments control the price of food, including rice, to keep the price low. At the same
time, they subsidize the producer, especially the farmers to enable them to keep up with the
production. And as a consequence, the indirect recipient of subsidies to farmers is, in fact, the
rice consumer, not only in one’s own country but also in other countries. For the domestic rice
market, low prices discourage innovation in the whole rice value chain—from production and
marketing to storage and distribution."
And what does this mean to the international rice market? "As both the exporter and importer
control the consumer price of rice and subsidize rice farmers, the supply curve of rice is shifted
and lowers the price and quantity traded in the international market," Dr. Setboonsarng added.
"As a result, the world rice market becomes small and volatile. Moreover, the self-sufficiency
policy of most rice-importing countries adds to the uncertainty."
Lack of transparency
―Another reason for uncertainty is the lack of reliable information,‖ said Bruce Tolentino, IRRI’s
deputy director general for communication and partnerships. "Uncertainty in the global rice
market leads to speculation, and speculation can lead to confusion and panic." He also
emphasized the importance of transparency as a key to a stable global rice market.
"In fact, the root cause of the 160% price increase during the 2007-08 rice crisis was not the lack
of supply but a lack of transparency," Dr. Zeigler pointed out. "And, those hundreds of millions
of people who suffered are the poorest of the poor. That became the wake-up call for us.
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"For many, they think that the wake-up call was to pay attention to production technology," he
continued "But for us, we needed to understand what was going on in the rice trade and what we
could do to make a difference."
Over the years, IRRI has been focusing its expertise on what drives the global market and the
kind of information required to attain a stable environment. The Institute has been gatheringdata
and information on the socioeconomic aspects of rice: how much rice is needed, what it takes to
grow a good crop, what a good rice crop is, and what consumers want."
The underlying foundation is that IRRI is viewed as an honest broker," said Dr. Zeigler. "We
don’t have a dog in the fight in rice trade. This allows us to provide unbiased and accurate
information on rice production."
IRRI has been developing state-of-the-art tools to provide timely and accurate estimates of rice
production in Asia. "We have a suite of technologies on board," he said. "First, we have a much
better way of estimating the realizable yield of the rice crop using a crop growth model, a
technology that we have been developing for the last 25 years. We have an extraordinarily
accurate assessment of what a rice paddy is going to do."
Dr. Zeigler added that, through satellite imagery, data can be gathered and processed in real time
to obtain a good assessment of actual rice production. The real breakthrough is that IRRI now
uses radar imagery, which can provide superior penetration capability through any type of
weather condition, and this can be used in daytime or nighttime.
He explained that, unlike before, because most rice is produced during the monsoon season, all
we got were beautiful pictures of clouds. With radar imagery, IRRI can obtain a very good
assessment of rice distribution. It can collect data on soil, water, and temperature and even obtain
a weekly estimate of rice area, and determine the time when rice was planted. And, combining
all these with crop growth data, we can estimate the harvest. This timely and accurate
information will remove much uncertainty around production.
"Rice demand can be determined by income growth and distribution, and government policy,
among other data," Dr. Zeigler said. "As a rice research institute, IRRI can contribute in
providing highly accurate information on the rice crop. Having a good understanding of both the
supply and demand side of the equation is an important part of having a stable rice trade."
IRRI’s expanding role
Indeed, IRRI has an important role to play in the
development of rice policies. A number of interventions that
governments have made, although reasonable in the short
term, such as making sure that rice is available so that people
will not have riots on the streets, have long-term adverse
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impacts.
According to Dr. Zeigler, organizations such as IRRI and the International Food Policy Research
Institute are well placed to help governments work through the implications of their policy
choices. Those policy choices will have a dramatic impact on rice trade— locally, regionally,
and in the overall global rice market.
"From our perspective, we see a transition from a strictly research orientation attending to the
issues around how to produce more and better rice in a more sustainable way as a good starting
point for moving to a much richer engagement with the global community," he said. "We think
that it is increasingly important that we bring an unbiased point of view to the table to help
provide the information that the global community needs for an open and transparent rice trade."
_________________________________________
Ms. Reyes is the managing editor of Rice Today.
Source with thanks:http://irri.org/rice-today/unleashing-the-rice-
market?utm_source=IRRI+email+subscriptions&utm_campaign=0c5f0976ec-
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40925885
Rice serves up double measure of biofuel and fodder
An inexpensive process developed in Japan will allow farmers to produce their own tractor fuel
and cattle feed in one simple step.
Japanese researchers found that fermenting harvested whole rice plants with yeast and enzymes
into bales wrapped in impermeable film could produce ethanol for fuel, while the bale still
contained nourishing silage for cattle feed. Image: Shutterstock
Climate News Network Friday 13 February 2015
Japanese scientists have found a potential answer to
the biofuel dilemma that if you grow crops for
energy, you have to sacrifice crops for food.They
report that they can now ferment rice to deliver
ethanol, while making silage for cattle feed –and that
it can all be done on the farm without need for any
expensive off-site processes.Mitsuo Horita, of
the National Institute for Agro-Environmental
Sciences in Tsukuba, Japan, and colleagues write in
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the journal Biotechnology for Biofuels that they used a process of solid-state fermentation
known to temperate zone farmers everywhere: grass or cereal is harvested, compressed, sealed,
and fermented in the absence of oxygen.
Pickled product
The outcome is a pickled product that is both nourishing and palatable to cattle during the winter
months − and a mix of liquid hydrocarbon products that must be disposed of in ways that won’t
pollute water supplies or harm fish and wildlife.
“
What we’ve now demonstrated is a complete and scaled-up system that shows its potential
in a practical on-farm situation. Instead of a complicated process requiring special
facilities, our system simply builds upon traditional processes already used by farmers for
producing silage for animal feed.
Mitsuo Horita, scientist at the National Institute for Agro-Environmental Sciences
The Japanese research team packed harvested whole rice plants with yeast and enzymes into
bales wrapped in impermeable film.Sugars and starch in the rice were converted by the yeast into
ethanol, which could then be drained and distilled for fuel. And at the end of the process, the bale
still contained nourishing silage.For each bale, after six months of fermentation, the researchers
collected 12.4kg of pure ethanol, or alcohol − which is about 10 times more than anyone could
expect from traditional silage fermentation.
The bales also leaked effluent ethanol at the rate of about 1.7kg a bale.Biofuels are often seen as
a solution that creates more problems. Will increased ―green energy‖ mean high grain prices?
Will specialist biofuel crops escape from the farms and cause wider problems for the
environment? Could biofuels be more efficiently made from waste, or from natural sources not
for the moment of any commercial value? This new approach sidesteps some
nagging questions.―Generally, the bottlenecks in second-generation biofuel production include
the need for large facilities, bulky material transport, and complicated treatment processes, all of
which are costly and consume a great deal of energy,‖ Horita says.
―What we’ve now demonstrated is a complete and scaled-up system that shows its potential in a
practical on-farm situation. Instead of a complicated process requiring special facilities, our
system simply builds upon traditional processes already used by farmers for producing silage for
animal feed.
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Zero waste
―It results in a high yield of ethanol, while producing good quality feed, with zero waste.‖In
effect, the team has delivered fodder and tractor fuel in one step.Fermentation takes longer than
usual, but no extra energy needs to be supplied for the process, and the alcohol drawn off
contained no insoluble particles, and so would make it easier to handle.The researchers used a
vacuum distiller to get at 86 per cent of the baled alcohol, but they concede they must do more to
improve both the yield and the recovery of the ethanol.Meanwhile, they point out, they have
shown the way to an on-farm fuel system that could help farmers in the developing world, and
which exploits the same field for food and fuel at the same time.
Source with thanks:http://www.eco-business.com/news/rice-serves-double-measure-biofuel-and-
fodder/
Nigeria to benefit from N610bn rice grant BY OUR REPORTER ON FEBRUARY 16, 2015BUSINESSWEEK
BY STEVE AGBOTA
In order to attain self-sufficiency in food production, Nigeria has been selected to benefit from
about N610.5 billion (about $3.3 million) granted by Bill and Melinda Gates Foundation
(BMGF) and the German Development Cooperation (BMZ), under the Competitive African Rice
Initiative (CARI) project.Other three African countries included in the project are Burkina Faso,
Ghana and Tanzania .The project, which has been scheduled to end in 2017, was designed to
reach about 120,000 small-scale rice producers, as well as rural service providers and rice millers
as secondary beneficiaries.
The scheme, which is geared towards improving their sourcing capacity of quality supply, has
implementing institutions selected as grant facilitators to include GIZ, Technoserve, the John A.
Kufuor (JAK) and Kili Trust (KT).During the establishment of the Nigeria/ECOWAS Rice Sec-
tor Policy and Regulation Advocacy Platform in Abuja, CARI’s Project Coordinator, Mr. Stefan
Kachelriess-Matthess, explained that the main instrument for the implementation of CARI across
the four countries on the matching grant would be on the basis of Public Private Partnership
(PPP).Kachel-Matthess added: ―The projects are implemented at two levels of support. We
support up to 40 per cent of implementation cost and our Nigerian partners in the private sector
have to provide 60 per cent of the implementation cost.
‖Meanwhile, the Special Adviser to President Goodluck Jonathan on the New Partnership for
Africa’s Development (NEPAD), Mrs. Fidelia Njeze, who was represented by Mrs. Jael
Kpatuwak expressed the hope that the CARI project will address coordination failures, create
better linkages among rice value chain actors, the result which, she said, will lead to increase in
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the economic returns for all stakeholders.According to her, the sector holds the key to getting
Nigeria out of poverty as it provides food security, employment for the teeming population and
creating the platform for a diversified economy towards an industrialisation revolution.Njeze
said, ―this focus on rice commodity is most strategic for Nigeria and the West African sub-
region, which imports close to 50 per cent of rice from foreign countries outside the shores of the
African continent.
―In the last couple of years, Nigeria spent approximately N1 billion daily on rice importation.
This has led to the export of our jobs and financial resources meant for the transformation of the
domestic rice sector in order to achieve self-sufficiency and exports.‖She said the German
Development Cooperation has been a major partner to NEPAD in the implementation of the
Comprehensive Africa Agriculture Development Programme (CAADP), adding that GIZ had
supported the organisation of Nigeria’s CAADP country team orientation workshop in 2011.
While speaking at the event, the ECOWAS Commissioner of Agriculture, Environment and
Water Resources, Dr. Lapodini Marc Atouga, represented by a Director at the commission, said
rice consumption in the last two years in the sub-region had increased from 7 to 7.7 million
tonnes, saying this clearly shows that production is not matching up with the consumption as it
has to depend on international imports for 40 per cent of its rice supply with Thailand and Viet-
nam as the leading suppliers of the commodity to the region.
http://sunnewsonline.com/new/?p=105028
Cluster programme helping small enterprises think big
A platform for entrepreneurs to join hands
Small and micro enterprises in Kerala have got
a leg-up with the cluster development
programme, introduced as part of the State
industrial policy in 2003, providing a platform
for entrepreneurs to join hands to develop their
units into world class units. Industry
Department sources said about 50 sectors had
been initially identified for cluster development
and about 40 of them were registered across the
State.
The cluster development programme in Ernakulam district includes the Kalady Rice Millers’
Consortium, the plywood, plastic and furniture clusters in different parts of the district. Clusters
have also been formed for food processing, printing, electronics, wood-based industries, rubber
and general engineering.K.P. Raveendran of Kerala Furniture Consortium near Perumbavoor
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said 33 units made use of the common facility centre for value addition. The centre has facilities
for seasoning, treatment and finger-joining. New design development programmes were also on
in collaboration with the National Institute of Design, he said.N.P. Antony of Kalady Rice
Millers’ Consortium said the formation of the common facility centre for rice millers was helpful
in diversifying product lines.
The common facility centre for rice millers is a rice bran oil refinery with a capacity of 50 tonnes
per day.The establishment of the rice bran oil unit has helped the entrepreneurs expand the
marketing of the rice bran oil, which, Mr. Antony claimed was a healthy and cheaper cooking
medium. There are 38 units that make use of the common facility established at a cost of Rs. 7.5
crore.Sources in the Industries Department said Kerala had succeeded in having the largest
number of projects sanctioned under the Micro and Small Enterprises Cluster Development
Programme of the Union Ministry of Micro, Small and Medium Enterprises.
The Ministry provides 70 per cent of the project cost as grant and the State government provides
20 per cent. The rest of the investment comes from the beneficiary units.The formation of
clusters in the State is being overseen by the Kerala Bureau of Industrial Promotion (K-BIP).The
State has so far received approvals for 14 projects from the Union Ministry for establishing
common facility centres in clusters involving a total investment of Rs. 86 crore. Seven of these
projects have been commissioned and the rest are in various stages of completion.
Source with thanks:http://www.thehindu.com/news/cities/Kochi/cluster-programme-helping-small-
enterprises-think-big/article6900372.ece
The Foods That Will Survive the Disasters of the Future
Kelsey Campbell-Dollaghan
Kelsey Campbell-Dollaghan
When we think of the future of food, we think of crops that are bred
to be stronger, more productive, and even more nutritious. But it
turns out that these super-crops can have unexpected weaknesses—
as one scientist realized after a cyclone hit eastern India in
2009.Over the past few years, we've heard a lot about what foods
may not survive the changes our Earth is currently going through,
from corn to coffee, and even about the labs where scientists are
growing more resilient ones. But in some cases, it seems that we should actually looking back at
foods from the past.In a fascinating story on Ensia, we meet Debal Deb, a scientist who runs his
own rice seed bank.
After a cyclone hit the region in 2009, salt water from flooding ended up killing the remaining
rice crops—most of which were "modern, high-yield" varieties designed to produce more food
with fewer resources. But these wonder-rices weren't good at one thing: Surviving exposure to
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salt in the soil.That posed a huge problem for inhabitants who depend on rice to live—and so
Deb became an unlikely hero. Shreya Dasgupta explains:
Most traditional rice varieties, including the ones Deb carried that day, are adapted to local
climates and regions. But with the advent of modern high-yielding varieties of rice, local
varieties became disused, and many were subsequently lost. Fortunately, a handful of rice
conservationists in India have managed to save some of them.
Deb has spearheaded the effort to distribute these traditional—and salt-tolerant, thanks in part to
his strategic cultivation—types of rice to farmers in the region, making them more resilient in the
face of the ever-worsening storms and floods.Modern science and botany has given us the power
to build better foods—but it turns out that nature is still a pretty damn good engineer, too. [Ensia;
H/t Climate Central]
Lead image: An aerial view of an isolated and marooned village is seen in the Gosaba area near
Sundarbans, on, Wednesday, May 27, 2009, after Cyclone Aila pounded eastern India and
Bangladesh, killing at least 191 people. AP Photo/Indian Defense Ministry, HO
Source with thanks:http://gizmodo.com/the-foods-that-will-survive-climate-disasters-1685867792
Grain diversion: role of Hassan rice mill being probed
The investigation into the seizure of rice meant for distribution under Anna Bhagya scheme at
Arkalgud has brought to light the alleged involvement of a Hassan-based rice mill in the illegal
transportation of foodgrains meant for government schemes.The Arkalgud police had seized 450
bags of rice on Thursday, when it was allegedly being transported to Kerala by a truck. The
police had found that the stock originated from Guru Rice Mill in Hassan. Two persons were
arrested in this connection.
Interestingly, the same rice mill was in the news in 2013 for keeping a stock of 305 quintals of
Anna Bhagya rice, illegally. The Food and Civil Supplies officials had conducted a raid on
August 15, 2013 and seized the rice. A case had been booked against Krishna, owner of the rice
mill, under relevant sections of the Essential Commodities Act. Later, the rice seized had been
sold through auction and the matter is in court.―The accused got a bail in the case. The trial is
going on,‖ said S.E. Mahadevappa, Deputy Director of Food and Civil Supplies Department.
In 2004
In fact, it was not the first time that the rice mill was in news for wrong reasons in August, 2013.
Mr. Krishna’s brother, Jagadish, was an accused in a major rice-scam involving misuse of
foodgrains meant for drought-relief programme in 2004. It was Guru Binny Rice Mill, owned by
the latter, from where over 12,000 tonnes of rice had been allegedly exported illegally to
Mombasa in Kenya. Then, cases had been booked against 28 people, including Mr. Jagadish.
Many government officials faced charges in connection with the alleged misuse of 17,000 tonnes
of rice. This matter is also in the court.
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Mr. Mahadevappa alleged that proprietors of Guru Rice Mill were often involved in crimes of
similar nature. ―The department has issued notices to the mill several times. We have requested
the police to deal sternly with perpetrators,‖ he said.
Guru Rice Mill said to have been involved in a crime of similar nature in 2013
Police urged to deal sternly with those misusing foodgrains meant for public distribution
system Source with thanks:http://www.thehindu.com/news/national/karnataka/grain-diversion-role-of-hassan-
rice-mill-being-probed/article6898047.ece
Nigeria on track for self-sufficiency in rice
Inside AfricaNigeria
Feb 14, 2015
Investment in production and the rollout of higher-yield strains are
helping put Nigeria on track for self-sufficiency in rice, potentially
opening the possibility for exports further down the line.unnamedOil-
rich Nigeria has long been dependent on staple imports to feed its
170m people, with a total bill of $4.3bn at the end of December 2013.
Nigeria has typically consumed around 6m tonnes of rice a year, importing almost half the
amount to bridge its supply deficit.
However, a tighter fiscal environment – a result of declining oil revenues – alongside efforts to
strengthen the agricultural sector, has prompted a state-led push to improve local staple crop
production and sustainability. To that end, the government plans to ban all rice imports by the
end of this year, saving some N360bn ($1.9bn) a year.The target is ambitious, but according to
the Minister of Agriculture and Rural Development, Akinwumi Adesina, Nigeria has recently
reached 80% self-sufficiency in paddy rice production, speaking in November at the Second
Nigeria Rice Investment Forum.
Production increase
According to government officials, the recent increase in production has been achieved through
private sector investments as well as state support schemes for growers.Minister of Agriculture
and Rural Development, Akinwumi Adesina, said the introduction of new rice varieties – that
meet international standards and allow for two plantings a year to generate additional yield – will
boost output and quality as well as open up export opportunities in the future.We started a rapid
process of replacing local varieties with these new varieties,‖ he told OBG. ―Within the last three
years, we have reached 6m farmers who have expanded cultivated area by 2m hectares. These
new varieties can be produced in both wet season and dry season, so for the first time in this
country, we are doing dry season farming.‖
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―I expect within three years Nigeria will be a net exporter of rice just like Thailand and India,‖
he added.The new strains will be crucial but there is a broader package of measures currently
being rolled out, including an upgrade of infrastructure and storage facilities, which is equally
important.―Realistically Nigeria must get its infrastructure right, including roads, irrigation and
storage facilities, along with co-operatives and efficiently sourced inputs,‖ said Mukul Mathur,
the head of Nigeria Olam, which has invested N18bn ($111m) in an integrated farm and milling
facility in Nasarawa State. ―Only then will the discussion be about higher yielding seeds,‖
Mathur told OBG.
Private sector involvement
Significant investments have also been ploughed into processing capacity, with the number of
rice mills rising from one plant five years ago, to 24 at present, according to the Rice Millers,
Importers and Distributors’ Association of Nigeria. Increased processing will enable Nigeria to
reduce milled imports and boost the value-added in the production chain.One of the biggest
investments in processing was made last year by Dangote Group. In August, the Nigerian
conglomerate committed to spend more than N165bn ($1bn) in mills, farms and related
infrastructure in a bid to support the country in its goal of becoming a net-exporter of rice. The
group acquired farmland in five states, which will be used for the commercial production of rice
paddy.
It will also set-up two rice mills with an installed capacity of 240,000 tonnes of rice per day.The
expansion of downstream activity is crucial to ensuring that Nigeria’s rice sector is sustainable.
Countries that have been able to fully develop their agriculture sectors have done it through
commercialisation, Aliko Dangote, President and CEO of Dangote Industries Limited told OBG.
―Nigeria is already making strides to prioritise greater private sector participation in farming,
since large commercial entities can introduce larger capital investments and productivity-
enhancing initiatives,‖ he added.
Imported rice destabilises market
In addition to other initiatives, the Federal Government recently said it had concluded plans to
establish and manage a rice levy fund to support local rice production and growers.Under the
Backward Integration Programme scheme, introduced in 2013, approved investors who are
developing rice processing facilities are allowed to import rice at reduced tariffs until their
production capacity comes on line.The programme, which will end in 2017 when domestic
production is expected to be sufficient to meet demand, is credited with having helped attract an
estimated $1.6bn in private sector investments. However, it may also have caused distortions in
the market and a drain on state funds with claims of increased smuggling of rice as a result of a
government price hike on imports.
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Cheap smuggled rice has toughened the competition for local growers, lowering the price they
can attain on the market. At the same time, some companies may have obtained an import quota
but have not made any investments in the rice sector, or have imported quantities of rice well
about their quota, without paying the appropriate levies.In mid-January, the government
announced it would pursue instances of under-payment or non compliance, with the N36.5bn
($195.7m) in estimated debts to the state, once collected, to be put into the newly established
National Domestic Rice Production Fund.
Source with thanks: spyghana.com
Amira Nature Foods : ATTENTION AMIRA SHAREHOLDERS: Shareholder Rights Law Firm Johnson & Weaver, LLP is Investigating Potential Violations of the Federal Securities Laws by Amira Nature Foods Ltd and Certain Officers
02/13/2015 | 10:46pm US/Eastern
Shareholder Rights Law Firm Johnson & Weaver, LLP is investigating potential violations of the
federal securities laws by Amira Nature Foods Ltd (NYSE: ANFI) and certain of its officers.
Amira is engaged in processing, distributing and marketing packaged specialty rice and other
food products.On February 9, 2015, Prescience Point Research Group published a report alleging
that Amira had overstated its India-produced Basmati rice revenue by at least 116.9% in 2014,
citing Indian government reports on Basmati rice exports.
Prescience further alleged that Amira had engaged in material related-party transactions with its
largest distributor, one of its largest suppliers and a company from which Amira intended to buy
$30 million of land. Additionally, the report stated that Amira Chief Executive Officer Karan
Chanana used Company resources for personal use, including paying salaries for household
help.As a result of this news, Amira stock plummeted $3.45 per share to close at $9.95 per share
on February 9, 2015, a one-day decline of nearly 26%, on volume of over 3.6 million shares.
If you are an Amira shareholder and are interested in learning more about the
investigation or your legal rights and remedies, or if you have any information that may
assist us in our investigation, please contact Jim Baker ([email protected]) at
619-814-4471. If you email, please include your phone number.
Johnson & Weaver, LLP is a nationally recognized shareholder rights law firm with offices in
California, New York and Georgia. The firm represents individual and institutional investors in
shareholder derivative and securities class action lawsuits. For more information about the firm
and its attorneys, please visit http://www.johnsonandweaver.com. Attorney advertising. Past
results do not guarantee future outcomes.
Source with thanks: Courtesy 4-traders.com