EDITORIAL | Rice Shortage Shows Need for Flexibility in Agri Policy

Rice has become scarce in shops and supermarkets since the start of summer. And sales prices for the staple have skyrocketed.

As shipments of new rice (shinmai) harvested in 2024 move into full swing, the shortage will be gradually resolved. However, prices are expected to remain high.

Bare Shelves

Since the disruption concerns rice, the staple grain in the Japanese diet, the impact on the lives of ordinary citizens has been massive.

Of course, we should do everything possible to ensure the smooth distribution of shinmai coming to market. We must also prepare for rising rice prices, which will likely have a domino effect by increasing prices for other items. Hopefully, consumers will respond calmly to the situation.

There was concern about shortages developing even before it became an acute problem. Nevertheless, the disruption was allowed to spread unchecked. The Ministry of Agriculture, Forestry and Fisheries must take this actual situation seriously and devise strategies for responding flexibly.

Contributing to the Problem

Several factors have contributed to the rice shortage. Rice volumes available for distribution dropped because of the poor harvest in 2023 caused by the summer's extreme temperatures. However, rice consumption actually grew. That was because of increased demand as people enjoyed eating out more often and because rice is still more affordable than alternatives.

A special advisory alert concerning the Nankai Trough earthquake also exacerbated the trend toward rice stockpiling.

What the shortage has revealed is the fragility of our rice supply mechanism. It can suddenly become disrupted if several risks overlap, even if it is not a time of crisis and rice crop conditions are not extremely poor. It is hard to say the Ministry of Agriculture, Forestry, and Fisheries has responded adequately to this evolving situation.

Flexibility to Use Rice Stockpiles

Agriculture Minister Tetsushi Sakamoto has been cautious about releasing government rice stockpiles. He said, "We are concerned that it could have an impact on supply and demand for rice as well as prices."

Of course, the release of stockpiled rice is a measure to be taken in the event of a severe crop failure affecting rice supplies throughout the year. It is probably not a tool envisaged for responding to temporary shortages. Nonetheless, we should also consider the flexible operation of the stockpiling system. For example, wouldn't the early release of stocks help ensure sufficient volume for distribution?

Global Warming and Other Factors

Rice is a staple food in Japan. Considering that, the current agricultural policy aims to prevent the price of rice from collapsing due to declining demand. It does this by restricting production and encouraging the conversion of crop allocation. Instead of staple rice, for example, farmers could grow grain for animal feed and other uses.

However, there are also circumstances like those we face at present in which the price of rice soars. The question is how to prepare for such situations.

Currently, extreme heat and other severe weather conditions plague the Japanese archipelago. One effective strategy to counter this would be to plant more varieties of rice that can withstand elevated temperatures.

We should also strive to increase exports of Japanese rice. Popular overseas, exporting it would also further strengthen our efforts to maintain production in the medium to long term.

Rice remains the foundation for Japan's food security. We should learn from the current shortage and work to ensure Japan enjoys a stable supply of rice at all times.