Tag Archives: Marketing

Domestic rice markets continue to shine as exports lag

rice shelves at grocery store

• By Kurt Guidry • As we head into planting season for the 2021 rice crop, the current cash rice market in Louisiana has remained supported in the $20 to $21 per-barrel range ($12.35 to $12.96 per hundredweight). A 500,000 acre increase in 2020 plantings resulted in a nearly 23% increase in total rice production. But tight stocks to start ... Read More »

Without acreage decreases and demand increases, 2021 prices could soften

offloading rice

• By Kurt Guidry • Tight stocks and favorable demand have helped support rice prices for much of 2020, which saw a large increase in rice acres and the potential for drastically higher production and supply levels. Historically, this type of situation would result in heavy downward pressure on prices. While 2020 prices were lower than levels experienced in 2019, ... Read More »

Rice market remains resilient but could face headwinds later in 2021

damaged rice kernels

• By Kurt M. Guidry • Despite several challenges in 2020, the rice market has been resilient and has remained fairly stable. The first challenge was the large increase in acres in 2020, most of which were in long grain. Total acres harvested this season are estimated at just under 3 million acres, roughly 21% more than in 2019. A ... Read More »

Much stronger foundation

ship loading at Baton Rouge

Even with a projected acreage increase, the market appears better than 2017 as long as demand doesn’t wane. • By Kurt Guidry • The current rice market continues to show strength despite the COVID-19 pandemic and the prospects for larger acreage and larger production levels in 2020. In Louisiana, current cash offers for old crop rice have been able to ... Read More »

USA Rice addresses domestic rice supply during COVID-19 outbreak

out of stock shelves

As the effects of COVID-19 are being felt in the United States and around the world, consumers are rushing to stockpile groceries and household supplies in fear of being quarantined in their homes for weeks. This has led to a run on household cleaning products, paper products, and nonperishable foods, including rice. Social media platforms are full of pictures of ... Read More »

Tight stocks, positive market set the tone for this season

drill seeding rice near crowley

• By Kurt Guidry • The improvement in rice prices over the last half of 2019 and the start of 2020 certainly has created a great deal more optimism in the rice industry. While it likely took longer than most would have preferred, the reduction of available supplies with the smaller 2019 crop coupled with stronger export prices being seen ... Read More »

Market momentum continues as rough, milled exports remain strong

rice loading

• By Kurt Guidry • The rice market continues to slowly move up as tighter supplies and generally strong demand has helped to support higher prices. While the December 2019 World Supply and Demand Estimates report did not provide many significant changes from the previous month, the changes it did make reinforced the perceived strong market demand and tighter overall ... Read More »

Strong exports help buoy the market and point to higher prices

export ship

• By Kurt Guidry • When examining the market environment for the 2019 rice crop, there are several factors that could be pointed to that would suggest the potential for stronger prices. Adverse conditions at planting, challenging growing season conditions, and lower acreage and production expectations all would suggest higher prices. But despite these supply-side signals, prices during the first ... Read More »

U.S., Korea reach agreement on market access

rice exports

The United States and Korea have reached an agreement on market access for U.S. rice, according to a recent announcement from U.S. Agriculture Secretary Sonny Purdue. Under the agreement, which takes effect Jan. 1, 2020, Korea will provide access for 132,304 tons of U.S. rice annually, with an annual value of about $110 million. Korea also agreed to protocols to ... Read More »

USDA releases MFP payment information

usda logo

The U.S. Department of Agriculture has released a county Market Facilitation Program payment schedule for growers with commodities that have been affected by foreign retaliatory tariffs. The assistance covers specialty crops, non-specialty crops, dairy and hogs. The rates range from $15 to $150 per acre, depending on the impact the tariffs have had on that particular county. They are the ... Read More »