Publication:

The Rice Milling Business: Quality and Profit

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    Authors & editors

    Publisher Milling & Grain
    Year of publication 2018 October
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    Medium Digital
    Edition1
    Topics

    Cereal processes > Rice milling

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    Scope & contentBy Yoshito Matsumoto, Manager, China Marketing, Satake Corporation

    In the June issue, we highlighted an awareness to the fact that the rice milling industry is often a low profit industry and that there are four basic methods to increase business profit for the agricultural sector. Satake has been promoting a shift to production of higher quality milled rice, which would result in an increment in profit margin by virtue of higher selling price.

    Other methods are more general but remain inconsistent and imperfect. For example, increasing the operation and production rate has less impact in improving the fundamental cost structure. Similarly, any effort at decreasing variable costs is only a temporary solution, due to an increase in labor cost
    in developing countries. The only way to pursue fundamental business stability is therefore to embrace a change of business structure...Read more.

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