Possibility of "rice surplus" due to the influence of the new corona Due to a decrease in demand for eating out, September 19, 11:03
We have reached the rice harvest season, but due to the influence of the new coronavirus, the demand for eating out has decreased and the inventory has expanded, so there is a possibility that it will become “rice surplus”.
While it would be beneficial to consumers if prices fell, JA decided to sell some of the rice after next fall, fearing the impact on farmers.
According to the Ministry of Agriculture, Forestry and Fisheries, the demand for rice for the year to June was 7.13 million tons, a decrease of 220,000 tons from the previous year.
Due to the impact of the new coronavirus, the demand for eating out has dropped significantly, and inventories have exceeded 2 million tons for the first time in four years.
In addition, this year's rice crop is expected to be "slightly good" or "normal" in major production areas such as Hokkaido, Tohoku, and Niigata prefectures, and there is a possibility that it will be "rice surplus."
According to the statistics of the Ministry of Internal Affairs and Communications, the retail price of rice last year was 2457 yen per 5 kilograms for Koshihikari, and 2234 yen for the others, both of which have risen for four consecutive years, so if the price drops, it will be beneficial to consumers.
On the other hand, the JA Group has decided to sell 200,000 tons of rice harvested this fall after next fall, saying that the sharp drop in prices will affect the management of farmers.
The Ministry of Agriculture, Forestry and Fisheries is also trying to stabilize supply and demand and prices by extending the application period for subsidies for farmers who convert edible rice to feed.