TOKYO: The Japanese government plans to expedite the release of its stockpiled rice to curb soaring prices, with details on the quantity and pricing to be released as early as next week, farm minister Taku Eto said Friday.

If the measure is implemented, it would mark the first ever release of reserves of the Japanese staple for the purpose of alleviating distribution shortages, with the move possibly leading to lower prices.

“If prices rise further, consumers may stop choosing rice altogether,” Eto said at a press conference.

In 2024, the Engel coefficient, which represents how much of a household’s budget is spent on food, reached its highest level in 43 years at 28.3 percent, according to government household spending data released the same day.

Rice prices remain high, with December’s consumer price data showing a 64.5 percent increase from a year earlier. A survey conducted in January by an organization promoting a stable rice supply found that expectations for further price hikes in the next three months had strengthened.

The government plans to sell stockpiled rice to agricultural cooperatives and other wholesalers on condition that the government can buy back the same amount within a year.

Last month, the Ministry of Agriculture, Forestry and Fisheries eased its policy on releasing stockpiled rice as a step to counter rising prices, a measure previously limited to times of poor harvests.

“Not implementing (the measure) is not a realistic option,” Eto said.

Demand for rice has intensified since last summer, with the amount secured by major distributors as of the end of December falling 210,000 tons from a year earlier, even though the 2024 rice harvest increased by 180,000 tons.

The ministry suspects that wholesalers and farmers are hoarding rice in anticipation of further price increases.

Published Date: February 8, 2025