Agfax Buzz:
    May 14, 2012
    150px_2004-rice-mature-head-1

    Congress Members Request Detailed Information on Brazil’s Rice Exports

    AgFax.Com - Your Online Ag News Source

    By Bob Cummings, USA Rice Federation

    U.S. Rep. Bill Cassidy (R-LA) last week led a bipartisan group of rice-state Representatives in a letter to U.S. Trade Representative Ron Kirk and U.S. Department of Agriculture Secretary Tom Vilsack that expresses concerns and seeks specific responses about Brazil’s use of a government sponsored domestic marketing and pricing initiative for rice exports.  The Program for Product Flow (PEP) gives an unfair advantage to Brazil’s rice exports, the letter says.

    The PEP Program provides a subsidy to a buyer of paddy, or harvested, rice that equals the difference between a set support price and the prevailing market price.  The subsidy is provided on the condition that a buyer moves the rice to specific regions within Brazil or to an export destination.  In 2010-2011, Brazil’s rice industry harvested and exported a rice crop that was 17 and 25 percent greater, respectively, than the the previous year. During that period, Brazil expanded its rice exports to the United States and in countries where the United States competes commercially, such as Haiti, Nicaragua and Nigeria.

    “Making the export of rice a condition for receiving price support is an export subsidy and we understand that Brazil has a ‘zero binding,’ in WTO terms, for rice export subsidies,” the letter says. “In other words, Brazil cannot use export subsidies for rice without breaking its WTO obligations.”

    The Representatives ask Kirk and Vilsack to identify specific actions the U.S. government has taken with regard to Brazil’s 2010-2011 rice exports and an explanation about the use of the PEP Program during the same period.

    Leave a Reply

    Name and Email Address are required fields. Your email will not be published or shared with third parties.

    Agfax Rice News

    Texas Rice: Section 18 Requires More Work Than You Might Think – Mo Way3-27

    Rice Market: Export Pace Continues Strong, Still Not Much Planting3-27

    AgFax Rice Review: China Maintains Min. Price Procurement; High-Tech Varieties Not Always Best3-27

    ARC-PLC Deadline Extension: 77% of Farmers Have Made a Decision – DTN3-27

    Mississippi: Fertilizer Costs – Everything Old Is New Again3-27

    Base Acres and ARC-PLC Deadline Extended to April 7 – No Surprise Here.3-27

    Corn Maybe Has More Bullish Potential Than Beans Ahead Of USDA Projections3-27

    Texas A&M: Run USDA On-Line Decision Tool Again. Say What? – Keith Good3-27

    Death Tax: South Dakota Congressman Pushes Repeal, Tells Her Story – Video3-26

    Rice Planting: Rain Delays – Don’t Panic3-26

    Video: Summary of U.S. Drought Monitor in One Minute3-26

    Drought Monitor: Warm, Dry Weather Further Depletes Snowpacks3-26

    Residential Propane, Heating Oil: Prices Decrease3-26

    Diesel: Prices Decrease3-26

    Gasoline: Prices Up Slightly3-26

    U.S. Energy: Gasoline Specifications Change and So Does the Price3-26

    Marketing: Are You Really Getting the Best Price for Your Crop? – farmdoc3-25

    Arkansas Rice: Reduce Disease Risks with Proper Management3-25

    AFB Rice Close: Unable to Hold Daily Highs3-24

    Texas: More Rain, More Planting Delays3-24

    Farm Bill: USDA Seeks to Limit Payments to Non-Farmers3-24

    Non-Family Farm Managers: Proof Required for Program Payments, 2016 – DTN3-24

    DTN Fertilizer Trends: Price Stability Could Be an Illusion3-24

    Rice: Nitrogen-Efficient Varieties Demonstrate Significant Yield Increases3-24

    Farmers Anticipate Hard Times; Weather, Water Issues in the West – Keith Good3-24

    Farmer Confidence Index Lowest in Decade; Southwest Most Optimistic – DTN Survey3-24

    Glyphosate Harmful to Humans? Time for a Throw Down. – AgFax3-23

    AFB Rice Close: Weather Causes Production Concerns3-23

    White House Pushes Rural Broadband as Economy Driver – DTN3-23

    Louisiana: 3 Soil Health Workshops Scheduled April 7-93-23

    Flint on Crops: Weather Lottery – Do You Feel Lucky?3-23

    AFB Rice Close: Lackluster Export Sales3-20