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By Anezka Pichrtova
Live News Reporter
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Japan is experiencing an unexpected rice shortage driven by a surge in both domestic consumption and an influx of tourists, according to local reports.
The demand has led to a spike in prices, purchase restrictions in stores, and a scramble for alternatives, according to the Japanese newspaper The Nikkei.
The sudden increase in demand came after years of declining rice consumption. According to The Nikkei, rice demand in the country has been decreasing by about 100,000 tons annually since 2014, likely due to Japan's shrinking population. However, since the beginning of 2024, demand has been growing for the first time in a decade.
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The Nikkei reported that this rise is due to several factors including a record number of tourists and heightened domestic demand amid rising prices for other food items.
As COVID-19 restrictions eased and a weaker yen made Japan a more attractive destination, the country saw a new high of 21 million tourists between January and July 2024, according to the outlet. The Ministry of Agriculture estimated that tourists accounted for around 51,000 tons of rice consumption during this period, assuming an average of two rice-based meals per day.
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The rising demand collided with bad weather conditions that caused smaller harvests. According to the Ministry of Agriculture, Forestry, and Fisheries, private-sector rice inventories fell to the lowest level since 1999 in June.
Le Monde reported in August that some supermarket chains have restricted rice sales to one packet per family. Meanwhile, online sellers are struggling to meet the surge in demand. A powerful typhoon, Shanshan, has further threatened rice farming in Kyushu, where the highest alert level has been issued for winds and storm surges.
In response to the shortages, many consumers are turning to more affordable alternatives, such as Calrose rice from California, according to the Japan Times. Known for its similar taste and lower price, Calrose rice has seen a sharp rise in sales. Nippon Brice, a rice seller, told the Japan Times that his sales of Calrose have increased tenfold from the previous year. Other retailers in Tokyo have also started selling Calrose, noting strong demand due to its affordability.
Japan's agriculture Minister Tetsushi Sakamoto said during a press conference on Tuesday that "this rice shortage situation will be resolved sooner or later."
The ministry held a meeting with farmers on Wednesday where they agreed that if the prices remain elevated, the demand will soon go down, the Japan Times reported.
According to The Nikkei, the northern regions of Tohoku and Hokkaido are expected to start shipping this year's harvest by the end of September, which could help stabilize prices.
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