Advance Notice
We have heard from many of you asking when the next advance on seasonal pool rice may be. Traditionally, there has been an additional advance in January. Obviously, this year has not followed traditional pricing patterns. Over the past few months, we have witnessed rice futures tumble from trading in the $6’s per bushel to the $4’s.
Dear Members,
We have heard from many of you asking when the next advance on seasonal pool rice may be. Traditionally, there has been an additional advance in January. Obviously, this year has not followed traditional pricing patterns. Over the past few months, we have witnessed rice futures tumble from trading in the $6’s per bushel to the $4’s.
Riceland’s $4 per bushel initial advance for the seasonal pool represents over 80% of the price for long grain that was recently reported by USDA in the Agricultural Prices report in January. These were the prices reported to USDA through December, which is 42% of the marketing year. This means with only 42% of the marketing year complete, the Riceland initial advance of $4 represents over 80% of the total USDA average sales price reported to date.
The Riceland $4.00 per bushel initial advance is extremely strong when compared to the market.
Your Riceland team evaluates the Rice Division statements every month to determine if an additional advance can be made. We will continue with this process and proceed as the finances will allow.
Your Team fully understands Riceland’s membership needs as much money as possible, as quickly as possible, but your Team must also manage risk for the business.
For soybeans, we do expect an additional advance this week.
I hope this note gives you greater insight into this difficult marketing year and what we are doing to support our members during this tough time.
Cooperatively,
Kevin McGilton
Related Alerts
Keep up to date with current happenings and alerts.
Medium Grain Rice Announcement
Today, we have an urgent update on medium grain and a decision that may impact your planting decisions this spring. Demand for southern medium grain is limited to a few industrial users and small export markets. Traditionally, new southern medium grain varieties would only be released for commercial production after being approved by the leading industrial user in the U.S. Unfortunately, RiceTec’s 3202 has not been approved by the major industrial user of southern medium grain, which limits a major outlet for this variety.
Change in Milling Yield Premium/Discount Calculations
This notice is to advise you of a change in milling yield premium/discount factors effective August 1, 2025, for purchased rice (seasonal pool rice premiums and discounts will not change since all advances are based on a percentage of the USDA FSA loan).
Riceland Introduces Rough Rice Grade #2 with no discount for effective inventory management
Riceland Introduces Rough Rice Grade #2 with no discount for effective inventory management