Reports CTRM for Agricultural and Soft Commodities

CTRM for Ags & Softs Rice Rice is the primaryfoods staple for more than half the world's population, with Asia and Africa the largest consuming regions. Given its versatility and high caloric value, rice has been and continues to be the most commonly consumed grain in almost all developing countries. Rice is the second or third largest food crop, with corn being the largest; rice production is about the same as wheat. Overview Originally a wild plant, rice has been domesticated and cultivated around the world for thousands of years. Believed to have originated in Asia, rice is a member of the grass family and is found as a number of different species.Rice is produced worldwide and is the world's second- or third-largest staple crop, behind corn (maize). Rice production, prior to milling, is about the same as total wheat production. Given that rice requires significant amounts of water and specific soil types, cultivation is limited to in the amount of arable land available.As noted by the United States Department of Agriculture, “Economically sound production typically requires high average temperatures during the growing season, a plentiful supply of water applied in a timely fashion, a smooth land surface to facilitate uniform flooding and drainage, and a subsoil hardpan that inhibits the percolation of water.” Four major types of rice are produced worldwide:     Indica,grown primarily in tropical and subtropical regions, is the most widely traded, accounting for approximately three quarters of all traded rice. A cooler climate rice, japonica is typically grown in regions farther from the equator, accounting for slightly more than 10 percent of global rice trade. The group of rice known as aromatic, including jasmine from Thailand and basmati from India and Pakistan, accounts for 12-13 percent of global trade. Aromatics are considered to be specialty rice and sell at a premium in world markets. Glutinous rice from Southeast Asia, less common as a staple, accounts for the remaining market in rice. Rice Production Providing about 20% of the calories consumed by the world’s population and eaten by more than 50% of that, rice is generally considered to be the most important food crop.Consumed in grain form or used in processed foods, like cereals, rice consumption continues to rise with the growth in global population.Though widely grown around the world, most of that production in the largest producing countries is used for domestic consumption. Rice Production 2014/15 – Milled, 1000 Metric Tons 1. 2. 3. 4. 5. China 144,500 India 105,500 Indonesia 36,300 Bangladesh 34,600 Viet Nam 28,050 Paddy or Rough Rice is the term used to describe the grain as it comes from the field, prior to processing.Except for rough rice exports and domestic seed sales, rice intended for domestic consumption is milled and sold as a whole kernel product, as opposed to wheat, which is most commonly sold as a ground flour product. © Commodity Technology Advisory LLC, 2016, All Right Reserved 48

Reports CTRM for Agricultural and Soft Commodities | Page 49