The U.S. cash rice market remains firm as rice at the farm gate becomes more difficult to source while resellers continue to ask for higher prices. However, bids have not been able to keep pace with the level of offers and as result there is very little trade activity to report.
Offers from farmers that could be found today were unchanged near $16.85 per cwt fob farm (about $371 per ton) for 50 pounds of whole rice or better for June shipment although some are now asking for around $17.77 per cwt (about $392 per ton). Offers from resellers increased with the futures market to less attractive levels.
Bids from some were unchanged around $15.70 per cwt (about $346 per ton) for June delivery while bids from smaller mills and exporters could held steady around $16.40 per cwt (about $362 per ton) for June delivery however sellers were unwilling to part with their rice at these levels.
In the meantime, the USDA estimated that as of June 9, 94% of the U.S. rice crop had emerged compared to 88% a week ago and 93% this week last year. At this time, rice has emerged on 95% of the crop in Arkansas, 87% in California, 99% in Louisiana, 90% in Mississippi, 98% in Missouri, and 98% in Texas.
The USDA considers 38% of the US crop in very poor to fair condition down slightly from 39% last week – 49% of the crop in Arkansas is said to be in very poor to fair condition compared to 5% in California, 41% in Louisiana, 38% in Mississippi, 46% in Missouri, and 58% in Texas.