Current Status and Research Trend of Glutinous Rice in Lower GMS

Somporn Isvilanonda and Piyatat Pananurak

Knowledge Network Institute of Thailand

The Second Consultative Meeting on Cooperative Research and Networking on Food Security and Nutritional Security in GMS

during 12-14 February 2015Savannakhet University, Lao PDR

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Outl ine

1. Current Status2. Glutinous Rice Export of Some Lower GMS

Countries3. Problem Facing by Glutinous Rice Farmers in

Lower GMS 4. External Threats and Opportunit ies Affecting

Livelihood of GR Farmers5. Research Trend of Glutinous Rice

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Image: from google.com

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1.Current Status

image: from google.com

The Second Consultat ive Meeting on Cooperative Research and Networking on Food Security and Nutri t ional Securi ty in GMS,, during 12-14 February 2015,Savannakhet Univer

sity, Lao PDR

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1.1 Introduction

Glutinous rice (GR) has long been a major rice grain cultivation in Greater Mekong Sub-region covering Southern China, Northern Myanmar, Northwestern Vietnam, Northern Cambodia, Laos PDR, and Northern and Northeastern Thailand.

image: from google.com

It is both a staple food diet of people in those subregions and a source of family income.

1.Current Status

GR and GR flour have long been used for cooking deserts and making alcohol of the people in Asia.

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1.1 Introduction(con)

GR is distinguished from non-glutinous rice by having negligible amounts of amylose, and high amounts of amylopectin. Amylopectin is responsible for the sticky quality of glutinous rice.

1.Current Status

In recent year, it has been found that many native varieties of GR have rich of nutritive value for human health such as vitamin E, antioxidants, lutein, beta- calotene and folate (Ratchanee Kongkachiuchai, 2013) .

High Antioxidants Selenium/ Folate/ Phytonutrients

Low – medium glycemic index

Iron and high Fe bioavailabil i ty

Let Your Rice be Your

Medicine

Rice production in lower GMS countries was about 48.11 mil.ton of milled rice and its total consumption around 49.08 mil. ton. The GMS produced surplus of rice 18.53 mil. ton in 2014.

Country

Population

(mil l ion)

Mil led rice 2014(mil. ton)

ProductionConsumptio

n Export import

Vietnam 88.0 28.16 22.0 6.50 -Thailand 70.0 20.46 10.88 10.30 -Laos PDR 6.3 2.30 2.10 1/ 0.20 naCambodia 14.3 4.73 3.65 1.00 -Myanmar 48.3 11.96 10.45 1.55 -Total GMS 226.9 67.61 49.08 20.7

Note: 1/ OAE 2014.Source : Population from World Bank, Rice Production and Consumption data from Grain : World Market and Trade, USDA ; January 2015

1.2 Lower GMS Rice Production , Consumption and Trade

The rice surplus is mostly non-glutinous rice.

1.Current Status

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1.3 Glutinous Rice Area and Production in Lower GMS region Thailand is the largest GR area and production in GMS region.

Countries Area(mil. ha)

Product ion (mil. Ton of paddy)

Yield (ton/ha)

Thailand1/ 3.17 7.37 2.32Laos PDR2/ 0.86 3.02 3.51Myanmar3/ 0.036 0.11 3.06Vietnam4/ 0.77 3.67 4.78Cambodia na na naTotal 4.836 14.17 2.93Source: 1/ Obtained from OAE data available in 2013; 2/ Office of Foreign Trade Promotion, Viientian refered in Orawan Srisomphun, 2012. 3/ Myanmar Department of Agriculture 4/ Dao The Anh and Pham Cong Nghiep (2012) Report on rapid Assessment of Glutinous Rice Trade and Consumption in Vietnam

But,Laos PDR has been recognized as a center for glutinous rice biodiversity. About 2,470 germplasm or about one-fifth of the world germplasm was found in Loas PDR (Patcha, 2015).

1.Current Status

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1.4 Percent of GR to Total Rice Production in Lower GMS

Countries Total mil led rice production (mil. ton)

% of GR

Vietnam 28.16 7.8Thailand 20.46 15.70Laos PDR 2.30 78.70Cambodia 4.73 naMyanmar 11.96 0.59Total GMS 67.61 12.58

1.Current Status

Appoximatly 12.58% of total rice production in GMS region is glutinous rice.

Laos PDR is the largest percent of GR production.

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1.5 Util ization of Glutinous Rice for Domestic Use in Thailand

Items Per Capita rice consumption in 2011(kg/head/year)

Non-glutinous Glutinous Total

Total 75 15 90

In Thailand, average per capita consumption of non-glutinous and Glutinous rice in 2011 was at 90 kg/head/year.

Source: Nipon Puapongsakorn et al, 2013

1.Current Status

And a share of glutinous rice in HH consumption was 15 kg or 16.7%.

About 80% was used in domestic consumption and domestic industry. For seed use, it was around 0.9 mil. ton of paddy.

Asia is the main Glutinous and non-glutinous rice production. In lower GMS the production about 8.5 mil. ton of milled rice.

World rice production (WRP) is mainly non-glutinous rice. The total WRP was around 476 mil. ton of mil led rice. Out of this amount, about 5% is GR.

Data for World GR rice production is scare. However, it is approximately that i ts share around 3% of the World mil led rice production.

1.6 Glutinous Rice in the World Rice Production

China is the largest both production and consumption of GR.

1.Current Status

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2. Glutinous Rice Export of Some Lower GMS Countries

The Second Consultative Meeting on Cooperat ive Research and Networking on Food Security and Nutrit ional Security in GMS,, during 12-14 February 2015,Savannakhet University, Lao PD

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In 2013, Thailand produced 4.05 of milled GR and exported about 0.287 million ton (7%). While, Vietnam produced 2.02 mil. ton and exported 0.418 million ton(20.7%).

2.1 Thailand and Vietnam Glutinous Rice Export

2. Glut inous Rice Export of Some GMS countries

Source: Thailand data was from Board of Trade; Vietnam data was from “Vietnam Grain and Feed Annual, USDA, 2014

Thailand and Vietnam Export of GR by mil led quantity in 2013

2.2 Export Destination of Thailand and Vietnam Glutinous Rice.

2. Glut inous Rice Export of Some GMS countries

Destination of Thailand GR export market was in mainly in Asia, particularly ASEAN countries.

2.3 Export Destination of Thailand GR Starch and Flour from 2012-2014

2. Glut inous Rice Export of Some GMS countries

The export value of GR starch and flour was million US$ 87.23 (or 2,835.01 million baht) in 20914. Export to Japan was the largest.

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2.4 Thailand Paddy and Milled Glutinous Rice Price Movements

Domestic and F.O.B Glutinous Rice Price Movements

Source: Farm price from OAE; Wholesale price from Department of Internal Trade; and FOB price from Thailand Board of Trade

2. Glut inous Rice Export of Some GMS countries

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3. Problem Facing by Glutinous Rice Farmers in Lower GMS

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The Second Consultative Meeting on Cooperat ive Research and Networking on Food Security and Nutrit ional Security in GMS,, during 12-14 February 2015,Savannakhet University, Lao PD

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3.1 Low Yield and High Production Cost3. Problem facing by GR frmers in GMS region

Glutinous rice is mostly grown in rain-fed production environment. Poor soil fertility and subsistent farming in most of the GMS countries has contributed to low yield and high production cost.

I tems 2012 2012(Thai Baht) US$

Variable cost 20,615 634.31Fixed cost 4,307 132.52Total cost/ha 24,922 766.83Average cost/ton 10,789 331.97Yield/ha 2.31 2.31

Note: 1US$=32.5 Thai Bah;tSource: OAE

In Thailand, average costs of glutinous rice production in 2012 was 10,789 Baht or 331.97. Share of variable cost 82.7%.

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3.2 Lack of Farm Credit System and Limited Access to Credit Market

Most GR farmers in GMS countries farming in rain-fed environment. Many of them live in remote area of upland production ecology which are unable to access to formal credit source for production inputs.

A less ensuring for land ownership since they settle in valley and hilly forest areas which prevent them to obtain private property rights.

Without land document or title deed, poor farmers are mostly unable to access to formal credit source.

3. Problem facing by GR frmers in GMS region

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3.3 Short of Infrastructure Development

Water resource is very scare and the production essentially relies on rain water which has highly fluctuation.

Poor transportation and related infrastructure such as road networks and milling facility for the rice sector causing them have limited access to the market.

Less efficient of marketing facilities and marketing institution such as agricultural cooperative prevent farmers to get a fare price.

3. Problem facing by GR frmers in GMS region

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3.4 Threats to Rice Field Ecosystem and Biodiversity

The excessive use of agrochemicals in recent years under rice intensification is widely recognized as a major source of air, water and soil pollution which consequently affect on natural food chains and farmers’ health.

Traditional rice systems have long been environmentally sustainable and has long associated with ecosystems. The rice-field ecosystem is a living place for aquatic habitats, insects as well as various aquatic and free standing plants.

Recent wide spread of rice intensification practices posted threats to a loss of rice-associated biodiversity as well as a damage on livelihood, nutrition and food security of rural communities.

3. Problem facing by GR frmers

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4. External Threats and Opportunity Affecting GR Farmers Livelihood

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The Second Consultative Meeting on Cooperat ive Research and Networking on Food Security and Nutrit ional Security in GMS,, during 12-14 February 2015,Savannakhet University, Lao PD

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Source: modified from Ladawan Khumpa, 2013

A volati l i ty of cl imate change has signif icantly led to change in and uncertain of rainfall patterns and cl imatic condition which final ly increases the risk to farmers to coping with the farm production.

Changes in natural

environment and cl imatic

condition

Increasing risk in production

due to drought and flooding

Global WarmingGlobal Warming

Climate ChangeClimate Change&&

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Affecting on agriculture and food production

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4.1 Climate Change and Global warming4. External Threats and opportunity affecting GR Farmers Livelihood

4.2 Moving Toward Free Trade Policy and Expansion of Trading Economy

Source: Department of Trade Negotiations

4. External Threats and opportunity affecting GR Farmers Livelihood

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A cooperation among country partners increasing non-tarif f barrier (NTB) for non- country partners.

Trade Trade protectionprotection

Tough rule Tough rule and and

regulat ionregulat ionRegionalisRegionalis

mmIncreasing Increasing

cooperation cooperation among among ASEANASEAN

Trading cooperation

Trading cooperation and trading dynamic

and trading dynamic

4.3 Trade Dynamic and Cooperation Leading to Technical Barrier to Trade(TBT)

Source: modified from Ladawan Khumpa, 2013

4. External Threats and opportunity affecting GR Farmers Livelihood

กฎบัตรอาเซ ียน(ASEAN

Charter)

4.4 ASEAN Economic Community Creating Opportunity for GR Trade

AEC Blueprint

Single market

ที่มา:ASEAN Economic Community FactBook

One Vision; One Identity; One CommunityStrenthening economic, social, and politic cooperations for better living of the ASEAN people.

ASEAN Vision

Regional competitiveness

Equality in economic development

Integration to world economy

4. External Threats and opportunity affecting GR Farmers Livelihood

4.5 New Economic Corridor : A Threat to GR Biodiversity Loss

1.North-South Corridor

2.Northern Corridor

3.North-Eastern Corridor

4.Eastern Corridor

5.Central Corridor

6.East-West Corridor7.New Southern Corridor

8.Southern Corridor9.Southern Coastal Corridor

1

2

3

4

5

6

7

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9ที่มา: กรมเจรจาการค้าระหว่างประเทศ

4. External Threats and opportunity affecting GR Farmers Livelihood

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5. Research Trend of Glutinous Rice in Lower GMS

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The Second Consultative Meeting on Cooperat ive Research and Networking on Food Security and Nutrit ional Security in GMS,, during 12-14 February 2015,Savannakhet University, Lao PD

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5.1 Moving Toward Sustainable Production System and Maintaining HH Food Security

Environmental friendly production techniques such as organic rice production .

Sufficiency economy practice and integrated farming practices in which glutinous rice is integrated in the system for improving farmer income.

5. Research Trend of Glutinous Rice in lower GMS

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Agro-diversity for in-situ conservation of local glutinous rice germplasm.

Utilization of glutinous rice germplasm for drought and nutritive improvement.

Causing farmer poverty

5.2 Reducing Poverty Gap by Bridging the Deep Holes

Source: Modified from A. Vanvichit 2014

Lack of farm management ski l l and cost effectiveness in production.Unaware of food safety standard in product ion

Unable to access the

market

5. Research Trend of Glutinous Rice in lower GMS

University and Public Sector

Modern trade Specif ic variet ies

Processing house Nutrit ive attr ibites

Social enterprise

Business engagement

Community engagement

Empowerment and enhancemen

t of farm management

skil l

Bridging production

to match with market

driven

Source: Modified from A. Vanvichit 2014

5.2 Reducing Poverty Gap by Bridging the Deep Holes (cont.)

5. Research Trend of Glutinous Rice in lower GMS

From local to global market

5.3 Creating Niche Product Through Value Chain Development

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Better use and conserving soils, water, climate and biodiversity

Sustainable agriculture

Better living condition

Eff iciency Equity

Cropping, fish and ani

mal integration

5. Research Trend of Glutinous Rice in lower GMS

ระบบการผลติ(Production System)

ระบบการตลาด (

ระบบการแปรรปู(Processing System) Marketing System)

ระบบการบร ิโภค (Consumption System)

Improving unit value and quality in the supply chain.

5.3 Creating Niche Product Through Value Chain Development(cont.)

5. Research Trend of Glutinous Rice in lower GMS

+

New Technology

KnowledgeManagement

New Demand

Existing Resource Endowment

People

Natural resources

Cultural values

Indigenous Knowledge

“Thainess”

Repackaging/Branding Real Products & Services

Value Creation

Balancing Economic & Social investment

5.4 Mapping New Consumers’ Demand with Innovative Product

5.4 Mapping New Consumers’ Demand with Innovative Product

Source: Modified from NESDB, 2014

5. Research Trend of Glutinous Rice in lower GMS

5.4 Mapping New Consumers’ Demand with Innovative Product (Cont.)

Normal GR20 บาท/กก.

GR with aroma

50 baht/kg

Black GR with aroma and high nutrint (vitamin E)

>100 บาท/กก.

Moving toward healthy food &cosmetic

Source: Modified from Apichart Vannvichit

Paddy price25 bath/kg

Milled rice50 Baht/kgOrganic GR

Cosmetic/spa6,500 Baht/kg

5. Research Trend of Glutinous Rice in lower GMS

Thailand standar

International standardการเกษตรอาเซียน

5.5 Raising Standard and Quality: A necessity in a World of Free Trade

35Free Trade MovementTechnology and Innovation

Agr. And food standardSystem standard (eg. GAP, Organic Thailand, GMP etc)OTOPSPS/QIE/CODEX/ IPPC

IFOAM, USDA ORGANIC General standardSPS/QIE/CODEX/ IPPC/OIE

Moving toward Word Free Trade Economy (WTO)

Time dimension

5. Research Trend of Glutinous Rice in lower GMS

Thank you

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Q&A