The Japanese government is planning new measures to ensure the stable supply of rice, which will be discussed at a cabinet meeting on the 5th. The main issue identified is that rice production hasn’t met demand, leading to higher prices. To address this, the government will shift its policy to increase production, partly by introducing direct subsidies for environmentally friendly farming practices. This marks a significant shift from past policy that effectively limited production.
Prime Minister Ishiba is expected to announce plans to increase rice production, prevent farmland abandonment, and significantly boost rice exports. These measures aim to make rice production more flexible and responsive to demand changes.
The new proposal includes promoting “smart agriculture” using advanced technology to enhance productivity and support larger-scale, corporate farming. There will also be support for rice cultivation in hilly and mountainous areas through direct payments for environmentally friendly practices.
The government plans to maintain the competitiveness of domestically produced rice, even under U.S. tariffs, and expand exports to ensure a stable market for increased production. These measures will be included in the budget request for the 2026 fiscal year.
In a related analysis, the Ministry of Agriculture, Forestry, and Fisheries noted that previous demand forecasts didn’t account for the increase in foreign tourists, which led to an underestimation of needed production levels. With most private stocks already committed, there wasn’t enough flexibility to meet rising demand, contributing to price increases.
While the government had abolished the “reduction policy” of setting annual production targets by prefecture in 2018, it continued to offer subsidies to farmers for switching to other crops like wheat and soybeans, essentially continuing the policy. The Prime Minister had established a new cabinet meeting in June to focus on stabilizing rice prices and building a sustainable production system.
by MagazineKey4532