Japan Will Tap Emergency Rice Supplies as Prices Surge 82%.
The average retail price for 5 kilograms of rice surged 82% to 3,688 yen ($24) in the week of Jan. 27th compared with a year ago, according to the Ministry of Agriculture, Forestry and Fisheries.
The Japanese government heavily regulates the country’s rice market and imposes significant tariffs on imports. Problems in the distribution system have led to increased prices despite an improved harvest last year, Chief Cabinet Secretary Yoshimasa Hayashi said at a press conference on Friday.
The 210,000 tons is about 3% of the country’s forecasted annual demand, according to Bloomberg’s calculations. The government will offer the first tender for 150,000 tons, equivalent to about a month’s sales by distributors, in early March and delivery should start in the middle of the month. The amount sold will be increased if necessary, the ministry said.
Source: FINANCE.YAHOO
