News On Japan

Japan's Agricultural Industry Faces New Challenges

TOKYO, Aug 26 (News On Japan) - Rice shortages have persisted across Japan, raising concerns about the future of the industry. Although the Ministry of Agriculture, Forestry, and Fisheries maintains that the balance between supply and demand is being preserved, doubts remain over whether sufficient stock is truly available.

A closer look at Niigata, Japan’s leading rice-producing region, reveals broader issues facing the rice industry.

Foreign Demand Adds Pressure to Rice Shortages

Abnormal weather patterns have adversely affected crop yields. Last year’s extreme heat led to a decline in the quality of rice, resulting in reduced supply and higher prices. Compounding the issue is the increasing demand from foreign visitors.

Mētele Announcer Hana Komatsuzaki reports, “Most seats are filled here, with many of the customers being from overseas.”

A French tourist commented, “Rice balls here are cheaper than in France.”

Meanwhile, an American visitor shared, “I found this place by searching for ‘the best rice balls in the area.’ I could eat this every day!”

With over 40 varieties of rice balls available, it’s notable that nearly half of the customers are foreigners.

Mētele Announcer Hana Komatsuzaki added, “Delicious! The rice is so fluffy it barely holds together.”

Eiji Kimoto, Managing Director of Togoshiya Shibuya Dogenzaka Store, remarked, “The cost of rice and seaweed, our two primary ingredients, has increased by about 1.2 times compared to last year. If procurement costs continue to rise, we may be forced to make tough decisions.”

Kimoto also mentioned that the store has already implemented two price hikes, in December last year and April this year. Another increase might be unavoidable this autumn.

Rice Shortages Persist Despite Government Assurances

Despite the ongoing shortages, the Ministry of Agriculture, Forestry, and Fisheries insists that “while stock levels have decreased, the balance between supply and demand remains intact.” But is there enough stock to meet demand?

In Niigata, a region known as Japan’s top rice producer, the situation is being closely monitored.

Koyoshi Ueno from JA Echigo Joetsu’s Sales Department said, “Please, take a look inside the warehouse. As you can see, the rice stored here remains as inventory.”

The warehouse is stacked with rice from the 2023 harvest, which is still in storage. Although rumors of low stock levels have spread, JA Echigo Joetsu assures that the rice necessary for stable supply has been secured.

Kenji Iwasaki, Executive Director at JA Echigo Joetsu, affirmed, “The amount we’re storing is typical for this time of year.”

He added, “Contrary to rumors, we haven’t seen a significant drop in stock levels this year. The Ministry’s information is accurate, and I encourage a calm and measured response.”

Concerns About New Rice Harvest and Labor Shortages

As the new rice harvest approaches, farmers are optimistic about this year’s yield.

Rice farmer Takeo Takimoto, 74, commented, “This year’s crop looks promising, with good water supply and favorable weather conditions. I’m expecting a yield 1.2 times higher than last year.”

However, Takimoto also expressed concerns about rising costs.

“Fertilizer and fuel prices are up, but rice prices haven’t changed much. The government needs to balance farm gate prices with what consumers can afford,” Takimoto said.

JA Echigo Joetsu reports that advance payments to farmers for new rice are up about 22% year-on-year, indicating a potential increase in rice prices.

Despite the positive outlook, Takimoto worries about the future of the industry.

“I want to tell young people that farming is tough but rewarding, but I can’t say that when I can’t pay them a decent wage. The government needs to address these fundamental issues,” Takimoto concluded.

Source: ANN

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