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In This Issue:
- Market Update: War Affecting Rice Trade & Planting Season
- Washington, D.C. Update
- Texas Rice Council Member Featured in Marketplace Segment
- USDA Launching New Export Sales Reporting & Query System
- RMTC Speaker: Eduardo Rojas
- RMTC Exhibitor Highlights: Castilho; Icavi
- Photo from Rice Country
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| War Affecting Rice Trade & Planting Season | | |
It’s official: the Iran war hurts and is leaving its mark on the U.S. rice industry. The Western Hemisphere trade gets the lion’s share of U.S. exports, but with that market waning in recent years, business with Iraq, Saudi, Qatar, UAE, and other destinations in the Middle East have become increasingly important outlets. That has come to a screeching halt with the Port of Hormuz closed, and no indication of when it will be opened. The recent tender awarded to Iraq is on hold, and sending reverberations through the industry here, where barges can’t be loaded as there’s no way to get the rice to Iraq.
We can look back only a few years ago when the Houthis bombed Israel on October 7, 2023. That resulted in the closing of the port in Yemen, a major discharge point for Calrose rice into the MENA region. Consequently, California exporters began stockpiling rice that couldn’t be shipped (despite there being demand), and the on-farm pricing dropped nearly 20%. The situation was eventually resolved, but not without detrimental impacts to the local farming community and long-term Calrose customers. We can expect to see this story repeat itself, but this time to the long grain farmer in the South. There will be pent up demand in the region when the Strait reopens, but it won’t entirely undo the damage being done in the current moment.
The U.S. long grain planting season has lost additional acres due to the increased costs of production in the form of higher oil prices and their effect on fertilizer, ag-chemicals and fuels in general. The March 31 USDA Planting Intentions Report should give us a good indication of reality and the % drop from previous years. The actual plantings report comes out on June 30.
In South America, the first supplies from the new crop are finding their way into the market. Given that there are no drastic changes in expectations, pricing remains fairly consistent. This isn’t particularly good news, as pricing is already well below break even for U.S. producers, but competition will remain in the coming months, particularly with Uruguay, and then Brazil. Competition will be especially fierce in the paddy market, where the quality from the U.S. crop is no longer preferred, and demand is shifting to alternate Mercosur origins. The Mercosur harvest continues throughout the four countries where acres are down approximately 10% from a year ago.
In Asia, new crop supplies from Thailand will begin putting even more pressure on an already depressed complex. Currently, prices in India remain at $355, steady for nearly 90 days, and the same for Vietnam. Thailand has seen the most variability, with quotes at $375 pmt this week.
The weekly USDA Export Sales Report shows net sales of 114,900 MT this week, up noticeably from the previous week and up 72% from the prior 4-week average. Increases primarily for Japan (65,000 MT), Honduras (23,200 MT), Mexico (13,700 MT), and Haiti (7,200 MT). Exports of 55,900 MT were up 37% from the previous week and 43% from the prior 4-week average. The destinations were primarily to Honduras (22,400 MT), Japan (13,500 MT), Mexico (5,600 MT), Guatemala (5,400 MT), and Canada (2,100 MT).
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USRPA signs onto AFBF led letter to the President addressing current pressures facing the farm economy
This week, USRPA signed onto a letter led by the American Farm Bureau Federation (AFBF) addressed to the White House that emphasizes the dire state of the farm economy and current economic pressures facing farmers and ranchers across the country.
In particular, the letter highlights increasing inputs costs especially fertilizer as a direct result of the Strait of Hormuz closure. USRPA signed onto the letter alongside 50+ other agricultural related trade associations and organizations. You can read the full letter here.
USDA awards $26.8 million to Local Agriculture Market Program
On Tuesday, March 10, the U.S. Department of Agriculture (USDA) directed $26.8 million to grant projects through the Local Agriculture Market Program (LAMP) in an effort to support the connection between farmers and regional markets.
The funding for LAMP includes $11.1 million for 43 projects in the Farmers Market Promotion Program, $11.1 million for 37 projects in the Local Food Promotion Program, and $4.7 million for seven partnerships in the Regional Food System Partnerships. LAMP’s grant programs, funded by the 2018 Farm Bill, are administered by USDA’s Agricultural Marketing Service and require a 25% cost share of federal funds. The official press release is available here.
| | Texas Rice Council Member Featured in Marketplace Segment | |
War in the Middle East is increasing the production cost of rice for farmer Casey Smith in Brazoria County, Texas. Photo via Elizabeth Trovall/Marketplace | USDA Launching New Export Sales and Reporting Query System (ESRQS) on March 26 | |
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USDA will launch the new Export Sales Reporting and Query System (ESRQS) on Thursday, March 26, 2026.
What’s Changing?
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The current Export Reporting and Maintenance System (ESRMS) will shut down Monday, March 23 midday.
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ESRQS will go live Thursday, March 26, 2026, afternoon for new data entry.
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All Weekly Sales Data will need to be entered into the new ESRQS starting Thursday, March 26, 2026.
What We’re Doing to Ensure a Smooth Transition:
- USDA will transfer exporters’ current outstanding sales and exports data along with all historical data into ESRQS for your convenience.
- USDA has tested ESRQS to make sure reports in ESRQS match the old system.
- USDA will share the URL for ESRQS with Exporters prior to the March 26 deployment date.
- Training and help are available through email, MS Teams, and recorded demos.
To ensure a smooth transition and successful reporting experience, please take the following steps:
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Complete data entry in the legacy system ESRMS: All data entry for week ending March 19, 2026, must be completed by 12:00 p.m. ET Monday, March 23, 2026.
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Enter Data Early! The ESRQS portal will open for data entry on March 26 at 10:00 a.m. ET and remain open until 12 p.m. ET Tuesday, March 31. We recommend inputting your data early so that if you have any questions or issues there will be time to contact our ESR Help Desk for assistance.
Your preparation is key to ensuring timely and accurate reporting. For questions or assistance, please contact us at ESR@usda.gov.
| | RMTC Speaker: Ricardo Mendoza | |
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Welcome, Eduardo Rojas, as a speaker at RMTC 2026!
Eduardo Rojas is a businessman, farmer, industrialist, and seed producer with over 40 years of experience in the rice industry in Costa Rica and internationally. He serves as President of Arrocera San Pedro de Lagunilla S.A. and Vice President of Semillas Selectas S.A. He currently holds key leadership roles as President of the Board of the Central American Rice Federation (FECARROZ), President of the National Association of Rice Industry Industrialists of Costa Rica (ANINSA), and Chairman of the Board of the National Rice Corporation (CONARROZ). In addition, he is a board member of Semillas del Nuevo Milenio S.A. (SENUMISA) and a member of the Latin American Fund for Irrigated Rice (FLAR).
Rojas will provide an update on the Central American rice industry, sharing key insights on regional trends, challenges, and opportunities.
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12-year-old Wyatt Smith (background) helps get seed ready to go in the field in south Texas.
Send us your rice country photos by email, or via Facebook or Instagram!
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FAO Rice Price
Update
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Food & Agriculture
Regulatory & Policy Roundup
| | | | | | Inter-Rice World Rice Market Report | | | |
Mexico: Grain & Feed Update
Post forecasts Mexican production of wheat, rice, and sorghum in marketing year (MY) 2026/2027 higher largely due to improved water availability. Corn production is forecast to decline, as rising input costs, anticipated low crop prices, and elevated carryover stocks from MY 2025/2026 output weigh on planting decisions. Imports of corn, wheat, and rice are forecast to increase, driven by rising consumption tied to population growth and an expected expansion in livestock production.
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Colombia: Grain & Feed Update
In MY 2026/2027, Colombia’s corn and rice production are expected to decline primarily due to low farmgate prices that have discouraged expansion of planted area, while imports are projected to increase supported by modest economic growth and competitive international prices. The United States is expected to remain the main supplier of corn and rice, benefiting from preferential access under the U.S.–Colombia Trade Promotion Agreement, while tariffs on Mercosur corn and ongoing trade frictions with Ecuador continue to affect regional competition.
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May 26 - 28, 2026
Rice Market & Technology Convention
Cartagena, Colombia
More Information
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June 6, 2026
LSU AgCenter South Farm Rice Field Day
Crowley, LA
More Information
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August 18, 2026
Missouri Rice Research & Merchandising Council Field Day
Glennonville, MO
More details to come
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USRPA does not discriminate in its programs on the basis of race, color, national origin, gender identity, sexual orientation, religion, age, disability, political beliefs, or marital/family status. Persons who require alternative means for communication of information (such as Braille, large print, sign language interpreter or translation) should contact USRPA at 713-974-7423. |
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