The Australian Centre for International Agricultural Research (ACIAR) was established in June 1982 by an Act of the Australian Parliament. Its mandate is to help identify agricultural problems in developing countries and to commission collaborative research between Australian and developing country researchers in fields where Australia has a special research competence. Where trade names are used this constitutes neither endorsement of nor discrimination against any product by the Centre. ACIAR PROCEEDINGS This series of publications includes the full proceedings of research workshops or symposia organised or supported by ACIAR. Numbers in this series are distributed internationally to selected individuals and scientific institutions. Previous numbers in the series are listed inside the back cover. @ Australian Centre for International Agricultural Research G.P.O. Box 1571, Canberra, A.C.T. 2601 Champ, B.R., and Highley, E. 1988. Bulk handling and storage of grain in the humid tropics: proceedings of an international workshop, Kuala Lumpur, Malaysia, 6-9 October 1987. ACIAR Proceedings No. 22, 296p. ISBN 0 949511 65 X Computer typeset and laid out by PageCraft Publishing Pty Ltd, Canberra. Printed by Ramsay Ware Printing, Melbourne. [Cover photograph of 'Jumbo' storage bags taken at Mahboon Krong Ricemill Co., Pathum Thani Province, Thailand.] Bulk Handling and Storage of Grain in the Humid Tropics Proceedings of an international workshop held at Kuala Lumpur, Malaysia, 6-9 October 1987 Editors: B.R. Champ and E. Highley Sponsored by: Australian Centre for International Agricultural Research (ACIAR) ASEAN-EEC Regional Collaborative Programme on Grains Postharvest Technology ASEAN Grains Working Group Malaysian Agricultural Research and Development Institute (MARDI) National Paddy and Rice Authority (LPN), Malaysia ASEAN Food Handling Bureau (AFHB) Contents Address of welcome Abdul Kuddus Abmad Director-General National Paddy and Rice Authority 7 Keynote address Hon. Encik Mohd. Kassim Ahmed Deputy Minister of Agriculture 9 Executive Summary 13 Perspectives of Bulk Handling and Storage of Grain 17 Why bulk handling? L.D. Bramall 18 Key considerations in the adoption and application of bulk handling and storage systems for grain in developing countries. H.M. Cutler 24 Overview of the current status of bulk handling of grain fu ASEAN A.S. Cabigan 33 Session Summary 35 Technical Aspects of Bulk Handling and Storage-State of the Art 37 The stages from grain harvesting to procurement, including field collection, transport, and grading Loo Kau Fa 38 Current drying practices and needs in ASEAN J .A. Tumambing 48 3 Drying systems for the humid tropics R.H. Driscoll and T. Adamczak 58 Storage and ancillary equipment for bulk handling of grain C.J.E. Newman 69 Integrated pest management in grain storage practice M. Bengston 101 Port handling facilities for grain J.V. Moore 109 Session Summary 119 Case Studies on Bulk Handling and Storage in the Humid Tropics-I 123 Transportation and assembly costs for paddy and rice in Malaysia Muzafar Shah Habibullah 124 Rice processing in Malaysia: an evaluation of cost structures Roslan A. Ghaffar and Azman Hassan 133 A model of the paddy and rice industry in Tanjung Karang, Malaysia based on the current marketing chain SaHeh bin Yahya, Siow Kiat Foo, and Omar bin Yob 142 A comparative economic analysis of bulk handling methods and their rates of adoption Mohd Ghazali Mohayidin, Loo Kau Fa, and Salleh bin Yahya 158 Sensitivity of a model of the Malaysian rice economy to price and quality parameters ChewTek Ann, Roslan A. GhatTar, and Salleh bin Yahya 167 Policy analysis and bulk handling of paddy in Malaysia: agenda for reform of the Malaysian rice economy Mohd Ghazali Mohayidin, Chew Tek Ann, and G,J. Ryland 174 Session Summary 178 4 Case Studies on Bulk Handling and Storage in the Humid Tropics- II 181 Bulk storage paddy aeration in concrete silos: a Malaysian experience Dhiauddin b. Mohd Nour/Jantan, Teoh Inn Chek, and Ruslima Abdullah 182 Sealed storage of milled rice under carbon dioxide A. Rahim b. Muda, Idris Abas, Dhiauddin b. Mohd Nour/Jantan, and Ruslima Abdullah 189 Maize storage in steel silos at the Takfa silo complex of the Marketing Organization for Farmers, Thailand Likit Pomtheeranarth 197 Study of bulk handling equipment to support the handling of paddy at KUD and sub Dolog task force levels in Indonesia Anton Martono 200 Bulk in-bin storage of paddy under Malaysian weather conditions Ibm Hajar bin Haji Rukunudin, Samsudin bin Ahmad, Sharifah Norin binti Syed Abdullah, and Bab Kassim 205 Use of a modified light pickup truck for bulk handling of paddy in Malaysia Abdullah AIi 212 Session Summary 216 General Socioeconomic and Technical Considerations 219 Sociological factors as determinants of the extent of change in the postharvest sub sector: is bulk handling economic outside of recent state-sponsored land development areas? B. Fegan 220 Technical assessment of integrated procurement, drying, storage, and pest management systems J.H. Baird 228 5 From field to port: the logistical operation G.K. Rand 234 Establishing priorities for research and development on bulk handling in the grains postharvest sector J.V. Remenyi 242 Session Summary 251 The Prospects for Bulk Handling in ASEAN Countries 255 Prospects for bulk handling in the Philippines: socioeconomic considerations Tirso B. Paris, Jr 256 Some engineering considerations for bulk storage in the humid tropics Amnaj Covanich 272 Rice industry investment under current market conditions, with particular reference to Malaysia W.L. Cuddihy 274 Session Summary 279 Concluding Session 281 Summary of seminar Abdul Kuddus Abmad Director-General, LPN 282 Oosing remarks J.R. McWiIliam Director, ACIAR 284 Participants 287 6 Address of Welcome fA] N behalf of the organisers I have the pleasure to welcome Y.B. Encik l!.lI Mohd Kassim Ahmed. Deputy Minister of Agriculture. distinguished guests, learned participants, and interested observers to this International Workshop on Bulk Handling and Storage of Grain in the Humid Tropics. I would also like to express our appreciation to Y.B. Encik Mohd Kassim for taking time from his busy schedule to address and declare open this workshop. The objectives of the workshop are, as we are all aware, to review technical and economic aspects of bulk handling and storage of grain in the humid tropics, to identify constraints on the adoption of bulk handling methods, and to evaluate the potential social and private benefits and costs of bulk handling to communities considering its introduction. Twenty-eight papers have been scheduled for presentation during the workshop, grouped into the following sessions: • Perspectives on bulk handling and storage of grain • Technical aspects of bulk handling and storage • Case studies on bulk handling in the humid tropics • General socioeconomic and technical considerations • The prospects for bulk handling in ASEAN countries Bulk handling, transportation, and storage are fundamental issues in the paddy and rice industries. which are of the utmost interest to us in Malaysia. As you may be aware, there exists a serious technological gap in the method of conveying paddy from the fields to the mills. The transportation of paddy in jute or hessian bags is very much traditional and found to be cumbersome, time-consuming, uneconomical, and creating bottle-necks in the postharvest activities. We therefore look forward to the deliberations and the findings of this workshop. May I add that this workshop is being held during, and as part of, the 16th anniversary celebration of my organisation, the National Paddy and Rice Authority (LPN). We are honoured and privileged to cosponsor the workshop. I wish to add that during the last three years LPN, in collaboration with other agencies, has carried out some small-scale field trials on paddy bulk handling in Tanjung Karang (Selangor), Seberang Perak (Perak), Bukit Besar (Kedah). and Pasir Puteh (Kelantan). In addition, we have successfully carried out a research study on aeration of bulk stored paddy in Tanjung Karang, Selangor. This aimed to improve the storage life of paddy in tower silos. Currently, we are evaluating the feasibility of in-store drying of wet paddy in combination with the use of conventional high speed column dryers. It is our hope that, through this strategy of combination drying, greater efficiency and economy can be achieved in handling large influxes of wet paddy during peak harvest times. Equal attention is being given to the area of milled rice storage, for which there are two existing projects evaluating the effectiveness of holding milled rice under carbon dioxide gas, without resorting to toxic chemicals such as methyl 7 bromide or phosphine currently in widespread use. We will share our experiences on this method of storage with you during this workshop in the form of case studies. Before I conclude, on behalf of the Malaysian Government, I would like to thank the ASEAN Grains Working Group, the ASEAN Food Handling Bureau. and the Australian Centre for International Agricultural Research for having kindly cosponsored this international workshop with LPN and MARDI. To the donor organisations, namely the Australian International Development Assistance Bureau (AIDAB), the United States Agency for International Development (USAID), the Canadian International Development Agency (CIDA), the International Development Research Centre of Canada (IDRC), and last but not least, the Commission of the European Communities for South East Asia, I wish to thank them for their support in one form or another in the postharvest activities in this region. May I wish the workshop every success and may your deliberations and findings during these three days be of benefit to academicians and practitioners alike in the ASEAN and other regions. Abdul Kuddus Ahmad Director-General National Paddy and Rice Authority 8 Keynote Address m T is indeed a great honour for me to be given an opportunity to address the l.:!J assembly and to declare open this morning the International Workshop on Bulk Handling and Storage of Grain in the Humid Tropics.