More Production, Consumption, and Trade Predicted for Global Rice Outlook

WASHINGTON, DC -- The USA Rice World Market Price (WMP) Subcommittee held its final meeting of 2021 via Zoom yesterday, continuing the successful virtual format of meetings past.  The full WMP subcommittee met first to discuss supply and demand, rice stocks, and field yield estimates.  While stocks started the year higher than in 2020, production in the U.S. declined significantly, leading to a projected lower carryout at the end of 2021-22 despite decreased domestic use.  Members suggested adjustments were needed for most of the U.S. Department of Agriculture’s (USDA) field yield projections, and that milling yields vary across states, with some improving in 2021 and others seeing disappointing milling yields.

Following the subcommittee meeting, Chair Keith Glover and USA Rice staff met with teams from USDA’s National Agricultural Statistics Service (NASS), Economic Research Service (ERS), and World Agricultural Outlook Board (WAOB) departments.  Glover provided feedback from subcommittee members regarding NASS statistics, and reviewed the areas where members thought changes could be made.  These discussions are mutually beneficial to both the USDA and the rice industry in putting together a complete and accurate picture of the state of the industry throughout the year.

To round out the day, the subcommittee reconvened to hear from USDA Foreign Agricultural Service (FAS) regarding the current situation in international markets.  FAS staff provided updates for export markets including Colombia, South Korea, Iraq, and Haiti; reviewed plans for food aid programs in FY2022; and covered political and trade developments in China, Japan, and India.  FAS also reviewed the global rice situation for 2021-2022 which is expected to see a rebound in global production, higher consumption, increased trade, and slightly decreased stocks.

Following the meeting, Glover said, “We are grateful to once again have the opportunity to bring together our industry members and the USDA to have fruitful discussions on the production, supply, and trade of U.S.-grown rice.”