Rice prices fall below ¥3,000 for first time in two years

The average price of rice in Japan fell below ¥3,000 for the first time since early September 2024, the agriculture ministry said Friday.

Across around 1,000 supermarkets, a 5-kilogram bag of rice cost ¥2,971 in the week leading up to Sunday, down ¥32 from a week before and the fifth straight week that prices have dropped.

Rice prices had been rising since the summer of 2024, when a supply shortage triggered what became known as the Reiwa-era rice crisis. In January, the average price of rice was ¥4,416.

But supply-demand conditions have recently eased, reflecting the government’s release of rice from its stockpiles as well as increased production.

Lower rice prices benefit households. But with prices expected to fall further, farmers are concerned that they may fail to cover production costs.

Agriculture minister Kazuo Yana has voiced concern over the issue.

“The situation is becoming extremely difficult and simply unacceptable for farmers trying to stay in business,” Yana said at a news conference on Friday.

The average price of brand rice, which accounts for 85% of total sales volume, fell ¥35 to ¥2,988, while that of relatively cheap blended rice fell ¥34 to ¥2,866.

Rice harvested in 2025 and sold to wholesalers in August fell in price month on month for the first time in two months. The average price for 60 kg of unmilled rice stood at ¥31,556, down ¥930 from the previous month. The figure is the average of transaction prices between wholesalers and rice buyers dealing with farmers.

Rice prices in both retail and business-to-business transactions have been on a downward trend.