**Rice Crisis Hits Japan: Tourism and Weather Patterns Disrupt Supply**
Japan is facing its most severe rice shortage in decades, with supermarkets struggling to keep up with demand. The crisis is attributed to a combination of bad weather, an influx of tourists, and the country’s restrictive rice policies. According to the US Department of Agriculture, Japan’s rice stocks have depleted to their lowest levels in over 20 years, with demand outpacing production for the last three years.
The shortage has led to empty supermarket shelves, with stores limiting purchases to one bag per person. Prices of rice have surged, hitting a record high of 16,133 yen ($112.67) per 60kg in August, a 3% increase from the previous month and 5% higher since the start of the year.
Tourists are partly to blame for the shortage, with an estimated 51,000 tons of rice consumed between July 2023 and June 2024, more than double the amount consumed during the same period the previous year. Japan received a record 17.8 million visitors in the first half of the year, driving up demand for sushi and other rice-based dishes.
However, the underlying cause of the shortage lies in Japan’s rice policies. The country imposes a 778% tariff on imported rice to protect its domestic farmers, making it difficult for foreign rice to enter the market. While Japan is committed to importing a minimum of around 682,000 tons of rice per year, most of it is used for processing and feed, rather than being sold to consumers.
The shortage has also been exacerbated by a decline in domestic rice production, as aging farmers retire and fewer young people take up the profession. A series of heatwaves and droughts last year further compromised harvests.
The impact of the shortage is being felt beyond the food industry, with higher rice prices pushing Japan’s headline inflation higher in August. As the country struggles to address the crisis, consumers are being forced to adapt to a new reality of limited rice supplies.
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