WASDE Report Released

Jul 11, 2019
WASHINGTON, DC -- The outlook for 2019/20 U.S. rice is for increased supplies, higher domestic use and exports, and lower ending stocks.  All rice supplies are raised this month by 4.9 million cwt to 289.5 million.  All rice production increased by 10.6 million cwt to 208.7 million with long grain production raised 12.6 million cwt on a higher harvested area than previously estimated.  Combined medium and short grain production is lowered 2 million cwt on reduced harvested area.  Partly offsetting the production increase is a 5.7 million cwt decrease in beginning stocks.  The NASS Rice Stocks report implied significantly higher domestic and residual use than previously estimated for the 2018/19 marketing year, which resulted in lower 2019/20 beginning stocks.  All rice exports for 2018/19 are also raised 2 million cwt (all long grain) to 92 million, the result of a strong recent export pace.  Total rice use for 2019/20 is increased 6 million cwt to 239 million on a 5 million cwt increase in domestic and residual use and a 1 million cwt increase in exports.  All rice ending stocks are lowered 1.1 million cwt to 50.5 million, and the season-average farm price for all rice is raised $0.10 per cwt to $11.80.

Global 2019/20 rice supplies are raised fractionally on both higher beginning stocks and production.  The higher 2019/20 beginning stocks stem from several 2018/19 changes including a 400,000 ton production decrease, a 900,000 ton consumption decrease, and a 200,000 ton increase in beginning stocks.  The small 2019/20 production increase is the result of a 300,000 ton increase in U.S. production that is partially offset by a 100,000 ton decrease for Brazil.  Global 2019/20 exports are lowered fractionally to 46.9 million tons.  With global supplies rising more than use, world ending stocks are increased 800,000 tons to a record 172.7 million.

Go here to read the complete report.