US rough rice futures on the Chicago Board of Trade rallied on Wednesday, bucking the weaker trend in other CBOT grains, on delays in the US harvest due to rains and the immaturity of the crop, traders said. September rice ended 29 cents higher at $18.44 per hundredweight.
November closed 34 up at $18.69. Price limits reverted back to normal: 50 cents from 75 cents - the expanded level on Tuesday. Volume was moderate estimated at 1,301 futures and 15 options. Southern rice country was hit by heavy rains after Hurricane Gustav and Tropical Storm Fay.
USDA reported late Tuesday that the American rice harvest was only 12 percent complete, versus the seasonal average of 20 percent by late August. Additionally, USDA raised it weekly world market price for long grain rough rice by 50 cents to $17.83 cwt. There were light September deliveries, 20 contracts, the first of the delivery period - a sign of tight nearby supplies.
Japan said it would buy 66,000 tonnes of rice in two separate tenders late this month, the first of the fiscal year that began in April. Vietnam rice exports picked up slowly in the past week after the government allowed some exporters to sign contracts at prices lower than the regulated minimum price, traders said.
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