Core Viewpoint - Japan is experiencing a "rice shortage crisis," leading to skyrocketing rice prices and significant consumer demand for government-supplied rice [1][12]. Group 1: Rice Price Surge and Consumer Behavior - The Japanese government has initiated a new round of rice reserve sales to stabilize prices, resulting in long queues at supermarkets, with some consumers waiting overnight to purchase limited quantities [3][6]. - In Hokkaido, a government reserve rice batch was sold out quickly, with prices significantly lower than market rates, indicating high consumer demand amid rising prices [5][12]. - The government has been actively releasing rice reserves since March, but prices continue to rise, with some supermarkets selling rice at over 4000 yen for 5 kg [12][13]. Group 2: Decline of Traditional Rice Stores - Traditional rice stores in Japan are facing a crisis, with a record number of closures reported, as consumers increasingly prefer supermarkets and online platforms for their convenience and transparency [8][9]. - Data shows that over half of traditional rice stores are experiencing worsening business conditions, with a significant percentage reporting reduced revenues [9][10]. - The decline in traditional rice stores is attributed to several factors, including the aging population, changing consumer preferences, and the inability to compete with larger retail chains [9][11]. Group 3: Government Measures and Market Dynamics - The Japanese government plans to sell reserve rice directly to retailers, bypassing traditional wholesale channels, which further exacerbates the challenges faced by traditional rice stores [10][11]. - Despite rising rice prices, many farmers are not benefiting due to fixed pricing agreements with agricultural cooperatives, leading to a disconnect between market prices and farmer income [13][14]. - The current rice crisis has highlighted structural issues within Japan's rice market, including slow responses from the government and inefficiencies in the distribution system [16][17]. Group 4: Future Outlook - Experts predict that without significant reforms, the rice shortage crisis may recur, posing a severe threat to small traditional rice stores [17]. - The anticipated increase in prepayments for rice by agricultural cooperatives may lead to even higher retail prices in the coming months [16][17].

Core Viewpoint - Japan is facing a "rice shortage crisis" with rising rice prices and a significant number of traditional rice shops closing down due to market pressures and changing consumer behavior [1][2][3]. Group 1: Rice Price Surge - Japanese Prime Minister Shigeru Ishiba announced a thorough investigation into the reasons behind the sudden spike in rice prices [1]. - The government has been increasing the circulation of rice in the market by releasing reserve stocks, yet the rice shortage persists [1][4]. - The government plans to import rice to address the soaring prices, indicating a severe supply issue [1]. Group 2: Traditional Rice Shops Struggles - A record number of 88 rice shops have closed or ceased operations in the 2024 fiscal year, marking the highest number in five years [2]. - Over 47.6% of rice shops reported deteriorating business conditions, with 25.2% experiencing reduced revenues compared to the previous year [2]. - Traditional rice shops are struggling to compete with supermarkets and online platforms, which offer better pricing and convenience [2][3]. Group 3: Market Dynamics and Consumer Behavior - The decline in rice consumption in Japan has led to a shrinking market, with annual production dropping to around 7 million tons since the 1990s [3]. - Many consumers prefer purchasing rice from supermarkets and online platforms due to better pricing transparency and convenience [2][3]. - The traditional rice shops are facing challenges in supply chain management, making them more vulnerable to stock shortages [3]. Group 4: Government Measures and Market Impact - The Japanese government is selling reserve rice directly to retailers instead of through auctions, which has further harmed traditional rice shops [4]. - The government has announced plans to release a total of 300,000 tons of reserve rice to stabilize prices, with the selling price set at 11,556 yen (approximately 576 RMB) for 60 kg [5]. - Despite government efforts, rice prices continue to rise, with some supermarkets increasing prices for 5 kg bags to over 4,000 yen (approximately 200 RMB) [5]. Group 5: Agricultural Sector Challenges - Farmers are not benefiting from rising rice prices due to a system where they sell rice to cooperatives at pre-agreed prices, limiting their income despite market price increases [6][7]. - The agricultural structure in Japan is causing many full-time rice farmers to exit the industry, leading to a decline in traditional rice shops [7]. - Experts suggest that without significant reforms in the rice market, the "rice shortage crisis" may recur, posing a severe threat to small traditional rice shops [9].

Group 1 - The Japanese Minister of Agriculture, Forestry and Fisheries, Takumi Eto, made controversial remarks regarding the ongoing rice crisis, stating he has never bought rice and has enough gifted rice to open a store, which sparked public outrage [1] - Despite the government's release of 310,000 tons of reserve rice, rice prices have not significantly decreased, and Eto expressed a sense of responsibility for the high prices [1] - Public dissatisfaction with the government's handling of the rice crisis is growing, with 87% of respondents in a recent poll believing that the government has not taken adequate measures to address the issue [2] Group 2 - The price of rice in Japan has been on the rise since last summer, and although there was a slight decrease in May, current prices are still approximately double compared to the same period last year [2] - Eto's comments have led to accusations of insensitivity towards ordinary citizens, with some calling for his resignation and questioning the legality of accepting gifted rice [1]