Japan witnessed a sharp rise in private-sector rice imports in May, signalling mounting pressure on the country’s food supply system. As rice prices continue to climb, trading firms and wholesalers imported approximately 10,600 metric tonnes of staple rice, a significant increase from the mere 3,004 tonnes imported throughout the previous fiscal year, which ended in March.
This surge comes despite stringent levies on private-sector rice imports, currently set at ¥341 per kilogram. Although the volume remains modest compared to Japan’s annual consumption of around 7 million tonnes, the pace of import growth underscores the severity of the ongoing supply crisis.
Domestic rice prices have doubled since last year, driven by an extreme heatwave that impacted the 2023 harvest. The situation was further exacerbated by stockpiling behaviour following a major earthquake, alongside increased demand fuelled by a resurgence in tourism.
In response, the Japanese government began releasing rice from its strategic reserves to retailers in late May. This move allowed consumers to purchase 5kg bags of rice for approximately ¥2,000 (US$13.85), significantly lower than average supermarket prices, which have spiked sharply.
In a notable shift, Japanese restaurants and households are increasingly turning to imported rice brands, particularly from the United States, as they seek more affordable alternatives.
Despite its traditionally protectionist agricultural policies and long-standing reliance on domestic production, Japan has been forced to adjust. Under World Trade Organization rules, the government is permitted to import up to 100,000 tonnes of staple rice tariff-free annually. In a departure from routine, authorities moved up the tender for tariff-free rice imports from its usual September schedule to June, aiming to curb rising consumer costs.
This early intervention reflects growing concern among policymakers about food security and price stability, particularly as global supply chains remain volatile.
