WORLD MARKETS AND TRADE:

COMMENTARY AND CURRENT DATA

MONTHLY HIGHLIGHTS:

International: Thai prices jumped $12 this month, with quotes currently at $296 per ton, FOB. While domestic prices continue to be supported by the mortgage scheme, most of the increase is because of currency fluctuations. Vietnam prices are currently quoted at $263 per ton, FOB. Although the soft export ban has reportedly been lifted, there are indications that limitations are still in place through the month of January.

Domestic: U.S. long grain prices have strengthened over the past month, up $16, with #2/4 currently quoted at $351 per ton, FOB. This brings the price spread between Thai and U.S. rice to $55 per ton. Meanwhile, U.S. medium grain prices have stabilized; current quotes for U.S. #1/4 are $515 per ton, FOB.

• Australia is further increased 100,000 tons to 500,000 due to larger exportable supplies.

• With a new parboiled rice mill, China is raised 100,000 tons to 700,000.

• Continuing the extraordinary export pace of 2005, Pakistan is boosted 600,000 tons to a record 2.8 million.

• The United States is reduced 100,000 tons to 3.7 million due to reduced competitiveness resulting from higher prices.

• Philippines is boosted 700,000 to 1.8 million tons in response to indications of unusually strong first and second quarter import demand.

• Burma is raised 25,000 tons to 175,000 considering the stronger pace to date.

• Pakistan is up 300,000 tons to 2.65 million due to robust exports to Africa.

• With enhanced shipments to select African and Middle East markets, Uruguay is increased 100,000 tons to 750,000 despite reduced shipments to Brazil.

• China is raised 100,000 tons to 600,000 based on stronger than anticipated import demand for fragrant rice.

• Cuba is dropped 50,000 tons to 800,000 due to weaker fourth quarter import demand.

• With stronger imports from Egypt and the United States, Jordan is increased 25,000 tons to 150,000.

• Nicaragua is raised 40,000 tons to 150,000 due to heavy shipments from the United States.

• Peru is boosted to a record 140,000 tons because of continued import demand from Uruguay and the United States.

• Sub-Saharan Africa is increased 225,000 tons to a record 8.2 million tons, with most of the increase in Ghana, Mozambique, and Senegal.

Return to Table of Contents

Last modified: Friday, January 13, 2006