RICE PRODUCTION IN SOUTHERN MANITOBA X.L Larry Nguyen, 0791305, AGR 1110, November 26, 2019 Introduction to rice Consumption in Canada A staple of many cultures around the world is rice, whether it is white, brown or wild rice. Rice is profitable and is a popular crop around the world. Rice was first discovered over 8000 years ago. The domestication of rice however, is debated. One school of thought is that rice was first domesticated in China (Sweeney & Mccouch 2007). This kind of rice is the modern Asian rice we see today in supermarkets and is one of the largest grown crops today. Another school of thought suggest that rice was domesticated in Africa (African rice). This is staple of African diets 6and is mixed with proteins as well as other starches in traditional African dishes (Sweeney & Mccouch 2007). Today, rice is world’s largest food crop, providing the caloric needs of millions of people daily. According to Figure 1, it is the second most planted crop and has the third highest revenue in the world. Rice provides an affordable and convenient source of carbohydrates for people in poorer nations, to help fight hunger and malnutrition. In the west, rice is a very versatile carbohydrate that can be eaten with protein sources such as chicken, beef, pork and seafood. Furthermore, it can be use as an ingredient in dishes such as sushi and burritos. Canada is a very diverse and multicultural country that allows people to adopt and share cultures through food. Rice is a popular dish that has been adopted by many Canadian and consumptions of it continues to grow. In Canada, rice consumption is growing, as shown in figure 2. An interesting observation is that rice is the third highest consumed starch carbohydrate. In the last 5 – 10 years it has passed corn in terms of consumption and is trending upwards. Figure 1. World’s Cash Crop. Data from United Nation, FAO, UNODC, data from 2014. Figure 2: Starch based Carbohydrate consumption in Canada, data from Statistic Canada from 2018 consumption of rice. Wild Rice Production Rice production Canada has a rich tradition when it comes to growing wild rice. Wild rice was grown by the indigenous people of Canada for many generations and has been a major part of their diet and culture. Wild rice is a grown in many parts of Canada. The most significant part of Canada where it is grown is Manitoba due to its many rivers and lakes. In the past Wild Rice was ideal for growing in Manitoba. However, due to climate change it is becoming increasingly difficult to grow the crop. Wild Rice is grown by dropping the seeds into the bottom of the river, lake or small body of water then waiting for the plant to grow (broadcast) (Cheruvelil and Barton 2013). The body of water would be ideally 0.3 to 0.6 metres deep. To harvest the crop two individuals would take a boat through the body of water to the wild rice plant and check the top of the crop by hitting it with sticks. If the rice falls into the lake then it is ready for harvesting and the people on the boat would collect the rice grains from the plants. One of the most important aspect of growing wild rice is that it requires three to four months of sub-zero temperatures to germinate properly which is why wild rice was able to grow in Manitoba for so long (Cheruvelil and Barton 2013). However, due to climate change is expected to yield warmer climates and increase flooding which will make it more difficult to grow wild rice (Odner 1992). The wild rice will have less time to germinate due to the decreasing days of sub-zero degree temperatures which will lead to the wild rice plants are not being fully developed therefore not grow strong enough to resist floods and extreme weather(Oelke 1982). Furthermore, increasing floods will lead to increasing water levels which will make more difficult to harvest since the boats will be struggle to get through the wild rice paddies. With these changes in climates, the payoff for wild rice production is decreasing and the overall production is becoming more difficult. Wild rice being important in the ecosystem of Manitoba by providing feed to the local and animals and a windbreaker, stabilize loose soils, serves as a natural windbreak, and improves water quality (Oekle and Boedicker 1991). Despite this, wild rice production will decrease and Manitoba will need to invest in another crop. Why commercial rice production in Canada? With the largest foreign-born population in Canada being from Asia and the continuing increase in immigrants coming from China and India. Rice is also consumed considerably by these immigrants groups and households with lower income levels (Townsend 1995). This makes rice a versatile and affordable source carbohydrates for Canadians. Canada’s biggest rice importer is the United States, with the product valued at over $125B and 23 of the 64 importers importing from the United States (Government of Canada, 2017). Canada currently import 47236 units as shown in Table 1. To reduce the trade deficit Canada would need to produce more commercial rice. Table 1 Rice Imports 2014 All Countries (Total) 7561 2015 28161 2016 55873 2017 187252 2018 47236 Value Chain of Rice Rice needs to go through many stages of production before it reaches the consumer. In figure 3 there are six steps in the value chain for rice. Each step in the value chain is vital and no matter what country rice is grown or produce in the value chain is similar. Figure 3. Rice Value Chain, Shrestha, 2012 from Knowledge for Development. Inputs Commercial Rice Seeds When looking at what rice seed to plant there are a few factors that need to be considered, so that the rice crop is grown, harvested, and processed correctly for best yield and quality results. Rice seeds needs to be uniform and pure to avoid weeds from growing (Matloob and Khaliq, 2014). Furthermore, the seeds need to viable and have a high germination potential to which will allow seeds to mature early and be uniform. This helps rice perform better in different environment conditions. Finally, moisture content of the seed is important because it shows how much water in the rice grain, the higher the moisture content the lower the storage time for the rice seeds. The method of seeding and quality of seeds becomes important when planting. Direct seeding (dry seed is manually broadcast onto the soil surface and then incorporated either by ploughing or by harrowing while the soil is still dry) requires 60−80 kg of seeds per hectare, while transplanting (pre- germinated seedlings are transferred from a seedbed to the wet field) only requires 40 kg per hectare (Rice Knowledge Bank, 2019). In Table 2 there are three seeds all from China, all of the seeds are high quality with high purity and germination rate with low moisture rates. There is still a need for Canadian company to start growing and producing their own seeds so that the seeds can be modified with genetic manipulation so that the seeds can be optimally grown in Canada. Currently, there are small companies in Canada who sell rice seeds in small quantity for individual use. Commercial sale of rice seeds is not feasible right now and the only option is to import the seed from countries such as China and India. With that being said, modern rice seed are drought and cold resistant since rice is grown in Northern China where the climate is similar to Southern Manitoba (National Research Council 1992). An interesting company called Wild Folk Farming in Maine has started to sell rice seeds for organic farming. The seeds can survive in freezing temperature and take light frost early in the season and will continue to mature into the frost nights of fall (Wild Folk Farming, 2019). Table 2. Price of Rice Seeds Rice seed price supplier Location Germination Purity Moisture Height Hybrid rice seeds $35 USD/KG Shanghai Herbary Biotechnology Co., Ltd Shanghai, China ≥85% ≥95% ≤8% 119.3 cm Rice seeds hybrid rice seeds $24.98 USD/KG $38 USD/KG Fuyang Bestop Import and Export Ltd. Pingnan Junong Mountain Farming Specialized Farmers Cooperative Jiangsu, China Fujian, China 93% 100% N/A N/A 80-85% 98% N/A 89 cm 115 cm Note. Machine and cost data from Alibaba, 2019. Production Introduction With climate change in Manitoba, commercial rice is becoming more of a feasible crop to grow. Currently the most ideal part of Manitoba is in the southern part of Manitoba close to the Winnipeg river. This is where wild rice is grown and has good infrastructure for commercial rice to grow. Commercial rice is grown by firstly prepare the field by tilling (dig) with either machine, hand or animal. Then the rice seed is planted in the field through either transparent or direct seeding Water management and nutritional management is important too. Finally, the plant is harvested by cutting the rice crop with simple hand tools like sickles and knives or with a machine cutting the rice must be threshed to separate the grain from the stalk and cleaned. Tillage When it comes to tillage in rice production, tilling the land has led to a minimum 2.1% higher yield and 11% economic benefit (McArthur and McCord, 2017). The benefit from tillage soil bulk density and hardness were decrease, soil porosity and available Phosphate and Potassium were increase which provide ideal soil for rice to grow in. In table 3 there are prices for tractor and tiller. The TAGRM is a tilling rotary cart machine while the other two options are attachment to tractors, this machine would be ideal for farmers since it would be the most efficient and least labour intensive to till the field. The cost of this machine is will be small, compared to the cost of labour using the more manual equipment listed. Table 3. Price of Tilling machines Machines price supplier Location Farm Cultivator $340 USD Luoyang Two Diamonds Trading Co.,Ltd Henan, China Zhongda TAGRM $1450 USD $2500 USD ChangChun ZhongDa tractor manufacturing Co,LTD Nanning Tagrm Co.,Ltd Jilin, China Guangxi, China Note. Machine and cost data from Alibaba, 2019. Planting Rice seeds are planted through two methods through direct seeding or transplanting. Direct seeding is when the seed is planted into the field rather than transplanting rice seedlings grown in a nursery and are moved into puddled and leveled fields after seeding. Transplanting is the more common form of seeding despite; direct seeding helps maintaining crop residue on the soil surface and so builds soil organic matter resulting in healthy soil and improved nutrients in the soil. However, the yields are lower compared to transplanting and provides and is much cheaper. In table 4 the machines used for transplanting are more affordable than those use for direct seeding. Furthermore, with transplanting the seed can be grown in a more ideal conditions to avoid conditions such as floods, droughts and cold weather (Rice Knowledge Bank, 2019). However, with the infrastructure of wild rice in southern Manitoba, direct seeding can be done since we could drop the seeds into the body of water and manage the water and weeds. Finally, using transplanting will require less seed then direct seeding to grow the same yields (Rice Knowledge Bank, 2019). Rice seeds need warmer climates, water to grow and best grown in the lowland. With research being done in Canada about growing rice, a colder resistant seed looks feasible and will allow rice to be planted in southern Manitoba. Table 4. Rice Seed Planting Machines Machines price supplier Location Type One wheel riding type 4 Row Walking Behind Rice Transplanter Diesel rice planter machine STAR $3500 USD Zhengzhou VOS Machinery Equipment Co., Ltd. Henan, China Shandong, China Transplanting $2342 USD Shengrui Transmission Corporate Limited $2500 USD Zhengzhou VOS Machinery Equipment Co., Ltd Guangxi, China Transplanting $7000 USD Yancheng Foreign Machinery Parts Co., Ltd Jiangsu, China Direct Seeding Transplanting Note. Machine and cost data from Alibaba, 2019. Weed and Water Management The two most difficult part of growing rice is managing the water levels and controlling the weeds. With water management, continuous flooding helps ensure sufficient water and control weeds. With the increase of precipitation and flooding in southern Manitoba, this makes water management more manageable for farmers. Farmers will also need to construct bunds that are high so that when it comes to heavy rain it will not destroy the crop. Bunds will also reduce erosion and water run off so there is enough rain in the field (Rice Knowledge Bank, 2019). In terms of weed management, flooding the field will kill weeds and will benefits the rice by giving the rice seed the water it needs. Another way to manage weeds is to apply herbicides in field while the seed is in the nursey before it is transplanted into the field. This will provide the best condition for the seed to grow in. Harvesting After four to five months the rice is ready to harvest, which is the last stage on the farm production. In table 5, the prices for harvest machinery is listed, rice can be harvested by hand. However, in Manitoba the avgerage wage is $17.31CAD (Government of Canada, 2018) and when it come to harvesting a large field it will be more efficient to use a machine. For larger rice field, the mini harvester will be more appropriate to use. Rice will then be transported to a rice mill to be dry and processed. Table 5. Rice Seed Harvesting Machines Machines price supplier Location Combine Harvester Combine Harvester $3800 USD HENAN BEST MACHINERY CO.,LTD Henan, China $3750 USD Nanning Tagrm Co.,Ltd Guangxi, China Mini Harvester $50000 USD Henan Excellent Commercial & Trading Co., Ltd Henan, China Note. Machine and cost data from Alibaba, 2019. Processing Rice Mills In Canada, despite not having commercial rice fields there are two rice mills. One is Western Rice Mills in Richmond, British Columbia and Danity in Windsor, Ontario. These two mills will take rice from outside Canada to be processed for Canadian consumers. These mills are also used for wild rice, which use the same processing as commercial rice. Rice mills usually are used to cleaning, processing, and getting it ready to be packaged the rice from the farms (Rice Knowledge Bank, 2019). When harvested, rice grains are covered in hard husk then you get brown rice, when you remove the husk. Once the bran is removed white rice is created, figure 4 shows that calcium and dietary fibers are lost when the bran is removed (Rice Knowledge Bank, 2019). Figure 4. White rice vs. Brown rice nutritional info for 100g, retrieved from www.NutritionData.com Rice Milling Machines Another way rice can be processed is on the farm using a rice mill machine. This is common in Asia and in small scale operations. Processing rice on the farm will decrease the cost of transportation of rice to a mill to British Columbia or Ontario. When comparing to wild rice production, wild rice is processed by the indigenous people who grow the plant. This is due to the fact that most of the wild rice is consumed by those who grow it. Wild rice is processing using very traditional methods by boiling it in water and using animals such as worms to try and clean and process the rice (Oelke 1991). In Table 5, there are variety types of machines used to depend on how much rice is planted. For farmers in subsistence farm, the Agriculture Rice Milling Machine is a big investment for them but because of their size of the farms it is extremely necessary. These farmers need to provide enough for their family and to processing is important for making the rice edible (Gummert et al. 2013). Table 5. Cost of Rice Mills Machine Machines price Single Rice Mill Machine Agriculture Rice Milling Machine rice mill plant supplier Location $3000 USD Anyang Best Complete Machinery Engineering Co., Ltd. Henan, China $180 USD Wuxi Rafiki Tools Co., Ltd Henan, China $30000 USD Zhengzhou VOS Machinery Equipment Co., Ltd. Henan, China Note. Machine and cost data from Alibaba, 2019. For Manitoba, Multistage milling is necessary since Canadian consumers want high quality products. Therefore, transferring the rice from farms to a rice mill would have to be done. Currently in Canada, rice is imported to a rice mill after it was processed in its host nations to ensure Canadians get a high-quality product. Since Canada main import of rice are from the United States, the quality of rice is high and there are 180 rice mills which make it seems that United states rice is local rice for Canadians compare to rice imported from Asia (USA Rice, 2018). Wholesale and Retail Wholesale There are many wholesalers of rice all over Canada. Many of them are located in close proximity to area with high volume of immigrants such as Montreal, Vancouver and Toronto. If the rice is to be produced in Manitoba the rice would need to be shipped to these major metropolitan cities. Since the wholesalers are close to retail stores the transportation cost will be low. When rice is done being grown on the farm and processed it will need to be transported to the supplier and wholesalers who then can sell it to buyers at a reduced price. The two rice mills in Canada also act as suppliers and wholesalers of rice which decreases the cost of Transportation. Retail The last step in the value chain before the consumer is the retail stores and supermarkets. Rice is very accessible today and can be purchased at any supermarket. Whether it is white or brown, long or short grain, most stores in metropolitan areas will have the rice that people prefer. Canada’s retail price of rice is relatively expensive compared to other countries. In table 6, it shows the price of rice is the fifth highest in the world. This is due to the lack of domestic production, the high standard of living, and the expenses in processing to get the best quality rice. In countries where the rice is cheaper, the rice production is usually domestic or in close proximity. Table 6 Rice Prices around the world (CAD) Rice Rank Country (white), (1kg) 1 Japan 6.25 2 United States 5.11 3 South Korea 4.59 4 Taiwan 4.03 5 Canada 3.97 Data from Numbeo, 2019 Conclusion for Rice Production Currently, climate change in southern Manitoba has made the land condition more ideal to grow commercial rice in Canada. However, many barriers still exist when it comes to growing, distributing and selling the rice from Manitoba. Research is still being done to see if commercial rice can grow in Canada and with temperatures not yet ideal, there will need to be more research done in creating a better cold resistant seed. Furthermore, with the high cost of importing the equipment from China as well as the maintenance of these machine may drive farmers away from growing commercial rice. Finally, with the transport of rice from farm to the rice mills and wholesaler may not make the growing of rice feasible or sustainable economically. Challenges Transportation Cost: Transportation is the biggest cost of when it comes to growing commercial rice in Canada. The biggest transportation is challenges is getting the grown rice to the rice mills or wholesaler. Once the rice is grown it will need to be transported to the to the wholesalers, which are located in the major cities such as Toronto, Vancouver and Montreal so that they are easily sold to the consumers. In table 7, we are given the cost of shipping to Windsor and Richmond which are where the two rice mills are located, as well as the cost of shipping from the mills to the closest suppliers. Since there is no infrastructure to transport rice from farm to mill within Canada, this will create a barrier to overcome in the value chain to reduce cost in transportation. Table 7 Shipping cost for Transportation of rice From To Purpose Price/LBS Duration Winnipeg Winnipeg Windsor Richmond Windsor Toronto Farm to Mill Farm to Mill Mill to supplier 74.38 37.48 29.56 1 week 1 week 1 day Richmond Vancouver Mill to supplier 25.89 1 day Note. Cost calculated from UPS, 2019 Regulations: In Canada, a challenge to overcome is the existing regulations that will make it hard to grow rice. Firstly, regulations limit the application of pest control products to aquatic areas (OMFRA, 2012). Pesticides are very important when dealing with rice growth since it will be use to get rid of unwanted weeds. An approved pesticide will need to be developed or discovered in order for rice to be grown in Canada (Rice Knowledge Bank, 2019). Global Challenges: The biggest challenge for growing rice in Canada is the fact that Canada already has a system in place for exporting rice. Rice produced in Asia is very cheap compared to one that would be grown in Canada due to labour cost, the use of simplistic machinery and the fact that the infrastructure (rice seeds and machinery are made domestically) in those country makes it easier to grow rice. In table 6, it shows that Canada has the fifth most expensive retail price of rice in the world. Furthermore, when competing with United States in rice production. This is due to their rice production infrastructure leads to massive suppliers buying from Canadian source. Furthermore, when it comes to Manitoba, there are currently no rice suppliers in Manitoba so make sure that there are rice suppliers or rice mills. In order for rice production to be successful, there needs to be an existing value chain in Manitoba. Potential and Benefits Benefits: Rice being grown in southern Manitoba will have many potential benefits to the area. Firstly, with many challenges coming up with wild rice production, there is a need for farmers to switch crop to one that will fit better with the climate change (Prairie Climate Change Centre, 2019). Warmer temperatures and increase precipitation will make it more ideal to grow commercial in Manitoba. Furthermore, there is a high demand for local Canadian products and be able to market a Canadian rice to people who frequent farmer’s markets will definitely provide value and merit. Canada is also a very diverse nation and introducing rice with a Canadian twist will definitely attract customers and allow them to experience the culture of Asia food. Finally, growing commercial rice will be needed since the total farm income is increasing and investing in new seeds will help grow the agri-food sector in the area. With climate change farmers will need to adapt to new ideas and growing commercial rice maybe considered due to the seed being able to adapt to these changing conditions. Research: Right now, there are currently is one commercial rice farm in Canada, based in Chatham-Kent Ontario. It is operated by FangZheng Agriculture Enterprises along with researchers from University of Guelph Ridgetown Campus (Pinto, 2019). The farm has been in operation for only one growing season so there still need a few more years before a definitive answer of whether rice can be grown in Canada. However, FangZheng Agriculture Enterprises are very optimistic about the prospects and plan on learning from this year growing period to expand their 74-acre farm (Pinto, 2019). Unlike other emerging products in Canada, rice has shown promise and currently there is an investment and research being done to see if the product can be grown and sustained in Canada. Conclusion Commercial rice growth is a novel idea and should definitely be considered due to climate change in southern Manitoba. However, there are still challenges in order for the idea to work. Firstly, Canada need to be able to build more rice mills and there need more rice suppliers in Manitoba to bring down the transportation cost. Furthermore, a new seed and pesticides need to be developed to overcome strict Canadian regulation and cold weather. With the research being done FangZheng Agriculture Enterprises along with researchers from University of Guelph shows that the work is being done so that rice in Canada can one day be feasible. Growing commercial rice may not be ideal to be grown now. It can provide to southern Manitoba with need crops to grow and contribute to the local economy. It seems that commercial rice can provide value and benefits to the area. With the research being done and climate change occurring the possibility of commercial rice being grown in southern Manitoba may some day be feasible. Reference Alibaba. (2019). High quality hybrid rice seeds for sale. Retrieved from Alibaba: Global trade starts here: https://www.alibaba.com/product-detail/High-quality-hybrid-rice-seedsfor_60496892664.html?spm=a2700.7724857.normalList.44.5fe65bd6lV66bJ Alibaba. (2019). hot Sale High Quality Hybrid Rice Seed. Retrieved from Alibaba: https://www.alibaba.com/product-detail/hot-Sale-High-Quality-HybridRice_60715757552.html?spm=a2700.7724857.normalList.50.5fe65bd6lV66bJ Alibaba. (2019). High yield hybrid rice seeds for cultivating. Retrieved from Alibaba: https://www.alibaba.com/product-detail/High-yield-hybrid-rice-seedsfor_62049703756.html?spm=a2700.7724857.normalList.97.49043407nohJeE Alibaba. (2019). 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