Japanese Government Considers Buyback of High-Bid Stockpiled Rice

The Japanese government is considering repurchasing stockpiled rice sold at high prices through competitive bidding under former Agriculture Minister Taku Eto if distributors agree to return it. Agriculture, Forestry, and Fisheries Minister Shinjiro Koizumi announced this during a press conference following a Cabinet meeting on Tuesday. Some distributors have called for the cancellation of these transactions, as the bidding process resulted in higher prices compared to no-bid contracts.

The average successful bid price from three bidding sessions for 60 kilograms of unpolished rice was ¥20,812, excluding taxes, nearly double the ¥11,010 selling price for rice harvested in 2022 sold through no-bid contracts. According to the Ministry of Agriculture, Forestry, and Fisheries, of the approximately 210,000 tons of stockpiled rice auctioned in March, only 41,975 tons—about 20%—reached retailers, restaurants, and other food-related businesses.

Koizumi also noted that the government has received around 1,500 applications from small and medium-sized supermarkets and rice dealers for stockpiled rice sold through no-bid contracts. He suggested that re-releasing the rice via no-bid contracts could be one way to address the issue, ensuring fairer prices and supporting local distributors.

Earlier this year, former Agriculture Minister Taku Eto resigned following public backlash over an inappropriate comment that he had “never bought rice” because he received it from supporters. The remark sparked outrage amid a rice shortage and soaring prices, which have doubled since last year. Eto acknowledged his statement was inappropriate at a time when citizens were struggling with high rice prices.

Tags: prices, rice, Japan