Volume 22, Issue 37

October 3, 2025

In This Issue:

  • Market Update: Rice Farmers Desperate for Positive Market News
  • Washington, D.C. Update
  • Bringing Together Texas Rice Producers and Congress
  • Honestly Texas Ships First Load of Rice to H-E-B
  • USRPA Represented at Peru's Rice Conference
  • Ray Stoesser Memorial Scholarship
  • Support Texas Rice Farmers: Sponsor the Texas Rice Roundup Today!
  • RMTC 2026: Registration is Open
  • Photo from Rice Country

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Market Update

Rice Farmers Desperate for Positive Market News

The solution remains elusive to the persistent downward trend in global rice prices. While export pricing for milled rice out of the U.S. has remained fairly steady, albeit far too low, the downtrend has been more pronounced from Asian origins, specifically Thailand. India’s trade-distorting food subsidy program is the obvious punching bag for the problem, but some of the low market conditions can be attributed to Indonesia and the Philippines as well. These are historically the world’s largest importers, but because of strong crops and import bans, they are not buying at normal volumes. The result? Prices out of Thailand that are now below $350 pmt, the lowest price since before the Covid-19 pandemic and rampant inflation. If there is any solace to find for a struggling rice producer, perhaps it is to know that the plight is being suffered around the world, not just in the United States.


Turning stateside, there is a distinct lack of reporting available because of the government shutdown, and thus no USDA reports have been published. When trying to access the weekly USDA Crop Progress Report, website users are greeted with the following message: “Due to the Radical Left Democrat shutdown, this government website will not be updated during the funding lapse. President Trump has made it clear he wants to keep the government open and support those who feed, fuel, and clothe the American people.”


If one finds this effective or divisive, it is undeniable that we are watching — in real time — the increased role of politics in both U.S. rice production and the global marketplace on food policy and food security.


In direct rice-related news here in our own backyard, Uruguay is emerging as our strongest competitor. We noted last week their intrusion of the Mexico market share that the U.S. once enjoyed, and we are seeing the same impact, though in smaller quantities, in other South American countries as well. Prices on the ground for new crop, when available, in Texas are reported at $11.50-$11.80, while Louisiana is at $11.75/cwt. Mississippi, Arkansas, and Missouri are all reported at $10/$12. All states are on track with historical normal for harvest, with the only surprise being a cold front in California that resulted in light sprinkling in some regions. It certainly slowed down harvest progress, but isn’t expected to have material impact on overall harvest conditions.


A last significant development is the low water levels on the Mississippi River, now for the fourth year in a row. While rice barge traffic has been light on account of slow business to Central America and Mexico, the impact has been minimal for rice shipments. However, should water levels continue to decline or rice shipments increase, we could see this become a significant bottleneck as in years past.

Washington, D.C. Update

Congress struggles to pass a spending package, forcing the federal government into a shutdown: On October 1, the federal government officially lapsed into a shutdown, after the Senate failed to pass its stopgap spending bill to extend funding beyond the fiscal year September 30 deadline. The Republican-led Continuing Resolution (CR), which passed out of the House on September 19, would have funded the government through November 21, but failed on the Senate floor by a 55-45 vote, short of the 60-vote majority needed. Notably, three Democrats crossed party lines to vote with Republicans to pass the CR: Senators Catherine Cortez Masto (D-NV), John Fetterman (D-PA), and Angus King (I-ME). Also of note, Republican Senator Rand Paul (R-KY) broke ranks with his party to vote against the stopgap measure.


While this means that most of the federal government’s non-essential services are forced to shut down until a funding bill or new CR is passed, there are still services deemed essential and accepted by the Administration that will continue. Within the U.S. Department of Agriculture (USDA), these services include fee-based programs like voluntary food safety inspections, mandatory funded marketing loans and insurance programs, nutrition programs while funding lasts, Title 1 payments, etc. In a memo, the Congressional Budget Office flagged USDA as one of the agencies where mandatory funding could be tapped to reduce potential employee furloughs within the industry. You can find the USDA’s official shutdown contingency plan here.


Additionally, last week, the U.S. Office of Management and Budget issued a memo on behalf of the Trump Administration instructing federal agencies to carry out reductions in force (RIF) in the event of a government funding lapse. The memo instructed department leaders to consider RIFs in any situation where agency programs, projects, or activities (PPAs) meet three conditions: “discretionary funding lapses on October 1; another source of funding, such as [OBBBA], is not currently available; and if the PPA is not consistent with the president’s priorities.” Additionally, the memo indicates that once appropriations are enacted, agencies should retain the minimal number of employees necessary for statutory functions, suggesting that the Administration could use this lapse in funding to continue its initiatives to reduce the federal workforce.


At this point in time, there is no indicator as to how long the federal government shutdown will last. US Rice Producers Association calls on Congress and the Administration to pass a continuing resolution, end the shutdown, and ensure sustained support for U.S. agriculture during this critical time.


Trump Administration indicates plans for producer economic assistance: Over the past week, President Trump and other members of his cabinet, such as Agriculture Secretary Brooke Rollins and Treasury Secretary Scott Bessent, have alluded that agriculture producers can expect an official announcement related to farmer economic assistance payments as soon as next Tuesday. The current price tag the Trump Administration is floating around is at least $10 billion in economic assistance to help offset the current downturns the farm economy is facing. Trump, Rollins, and others close to the President have referenced the possibility of using tariff revenue as a potential pay-for mechanism for the foreshadowed bailout payments, and that the distribution of money could start in the coming months. In years past, presidential administrations have tapped into USDA’s Commodity Credit Corporation (CCC) fund and Section 5 authority to fund and issue similar ad hoc payments, but this looks to be an unlikely option this time around due to the CCC’s low reserve balance (< $5 billion) and lack of its FY26 congressional appropriation to replenish the CCC to its $30 billion cap. Nonetheless, producers can look out for an announcement on this topic from the Trump Administration in the coming days and weeks.


DOL announces interim final rule regarding updated AEWR methodology: On Thursday, October 2, the Department of Labor (DOL) Employment and Training Administration published an interim final rule (IFR) associated with the Adverse Effect Wage Rate (AEWR) methodology for temporary workers enrolled in H-2A. The rule updates the previous methodology used to calculate the AEWR, which effectively sets the minimum wage for people on H-2A visas, to be based on a Bureau of Labor Statistics survey that produces wage estimates across industries. Additionally, the methodology will include an adjustment to account for the free housing farm employers are contractually obligated to provide H-2A workers. This comes after both DOL and the U.S. Department of Agriculture rolled back their current policies related to calculating the wage rate in preparation for this new AEWR rule. This IFR is now open for public comment until December 1, 2025. You can find the official Federal Register posting here, and interested stakeholders can submit public comments at regulations.gov.


Domestic News

Bringing Together Texas Rice Producers and Congress

On September 30, the Texas Rice Council Board of Directors held a meeting in Katy, Texas, at Midway Bar-B-Q. The primary purpose of the session was to host a listening forum for Congressional staff representing Senator Ted Cruz, Senator John Cornyn, Congressman Troy Nehls, Congressman Michael Webber, and Congressman Jodey Arrington. Stan Kitzman, State Representative for District 85, also participated as a panelist.


During the meeting, Dr. Sam Rustom, Extension Rice Specialist, provided an in-depth presentation on Rice Delphacid. Dennis DeLaughter, owner of Progressive Farm Management, shared insights on the impact of rice imports. Additionally, rice producers Casey Smith, Neal Stoesser, and Galen Franz testified on current economic conditions within the industry.


The two-hour session was filled with engaging questions and valuable comments. The unanimous feedback from the panel was overwhelmingly positive. They noted, "This was extremely informative, and we truly appreciated the opportunity to meet face-to-face with producers." The panelists expressed interest in making this an annual event as part of the fall meeting.


The Texas Rice Council, responsible for managing Texas rice producers' checkoff dollars, focuses on promoting, educating, and developing markets for Texas rice. Tuesday's meeting was a great example of how those funds are put to good use in supporting the industry.

Honestly Texas Ships First Load of Rice to H-E-B

“Today has been a great day! I am so proud of all of our team members who have made this day possible together with great partners at H-E-B!” Pam West, CEO at Honestly Texas, said, reflecting on the October 2 accomplishment for Texas farmers.


With excitement and gratitude, West underscored the company’s mission to strengthen the connection between local producers and families across the state. “We are so excited to connect Texas farmers directly to consumers through our brand, Honestly Texas. We are sharing the story of Texas rice farmers one grain at a time! From Our Farmers to Your Family.”


The partnership with H-E-B represents more than collaboration; it is a milestone in recognizing and celebrating the dedication of Texas rice farmers. By highlighting their stories and bringing their harvest directly to consumers, Honestly Texas shines a spotlight on the people who are the heart of the industry, honoring their traditions while opening doors to sustainable opportunities for the future.


October 2 will be remembered as a day when farmers, partners, and families came together to celebrate a shared vision. Through initiatives like this, Honestly Texas continues to fulfill its mission of making locally grown rice more accessible while celebrating the heritage and resilience of Texas farming communities.

International News

USRPA Represented at Peru's Rice Conference

Stuart Hoetger represented USRPA and U.S. rice farmers at Peru’s first Rice Expo this week. He provided an update on current developments and future outlooks for the industry. Being present at this event was especially important, as it allowed us to represent in Peru’s dynamic and demanding rice market. The expo also offered a valuable opportunity to connect with key stakeholders in the region.

Don't Forget!

Fifth Annual Ray Stoesser Memorial Scholarship: Apply Now!

Support Texas Rice Farmers: Sponsor the Texas Rice Roundup Today!

RMTC 2026

Photo from Rice Country

Stop by USRPA's booth at the Texas Rice Festival today and tomorrow!


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Trade Update



Food & Agriculture

Regulatory & Policy Roundup

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FAO Rice Price

Update



Upcoming Events

October 1 - 4, 2025

Texas Rice Festival - Main Festival

Winnie, TX

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October 11 - 12, 2025

Katy Rice Harvest Festival

Katy, TX

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January 21, 2026

Western Rice Belt Conference

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January 31, 2026

Texas Rice Roudup

Richmond, TX

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February 5 - 6, 2026

29th Annual National Conservation Systems Cotton & Rice Conference

Jonesboro, AR

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Katy, TX 77494

p. (713) 974-7423

e. info@usriceproducers.com

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