Rice output growth in Indonesia to slow on El Nino
Thursday, 21 January 2010
SINGAPORE, Jan 20 (Bloomberg): Rice-production growth in Indonesia, the world's third-largest grower, may slow this year as an El Nino weather phenomenon parches crops, according to Bulog, the state-owned food company that manages the nation's supplies.
Output of milled rice may expand 3 per cent in 2010 after rising 5 per cent to 40 million tonnes in 2009, according to Mohammad Ismet, an expert who helps set Bulog's policies. That forecast assumes the government has some success in neutralising El Nino's impact, he said in an interview Wednesday.
El Ninos curb or delay rains across Asia and can parch crops, potentially crimping harvests of rice, sugar and palm oil while boosting prices. Thailand and the Philippines, the world's top rice shipper and importer respectively, warned earlier this month that the weather pattern may cut their harvests.
Without government intervention, including use of drought- resistant seeds, production growth "may not be as much as 3 per cent." Ismet said in Singapore, where he's attending a conference. Suntil, the Southeast Asian nation will have enough supply of the staple to meet domestic needs, he said.
Output of milled rice may expand 3 per cent in 2010 after rising 5 per cent to 40 million tonnes in 2009, according to Mohammad Ismet, an expert who helps set Bulog's policies. That forecast assumes the government has some success in neutralising El Nino's impact, he said in an interview Wednesday.
El Ninos curb or delay rains across Asia and can parch crops, potentially crimping harvests of rice, sugar and palm oil while boosting prices. Thailand and the Philippines, the world's top rice shipper and importer respectively, warned earlier this month that the weather pattern may cut their harvests.
Without government intervention, including use of drought- resistant seeds, production growth "may not be as much as 3 per cent." Ismet said in Singapore, where he's attending a conference. Suntil, the Southeast Asian nation will have enough supply of the staple to meet domestic needs, he said.