In Tokyo, restaurant owner Arata Hirano faced a difficult decision due to Japan’s severe rice shortage. With domestic prices soaring, he decided to switch to imported rice from California. Despite the price of Californian Calrose rice doubling since last summer, Hirano found it cheaper than local varieties. He plans to continue using imported rice unless domestic prices drop. This decision marks a significant shift in Japan’s rice consumption habits.
The rising domestic rice prices have surged by about 70% over the past year, the highest increase since 2006. Extreme heat damaged crops, while growing demand, driven by the booming tourism sector, further pushed prices up. As inflation bites, more businesses are turning to imported rice as a cost-saving solution. Supermarket giant Aeon introduced an 80-20 blend of American and Japanese rice, and after a successful test, it now offers the blend at a 10% discount compared to domestic rice. This trend is becoming more common among Japanese businesses.
Fast-food chain Matsuya and restaurant group Colowide have also made the switch to American rice. In supermarkets, Taiwanese rice has gained popularity, especially at Seiyu. The growing acceptance of imported rice stands in stark contrast to the rejection of Thai rice during the 1993 shortage. Back then, Thai rice imports sat unsold on shelves due to consumer resistance.
For decades, Japan’s strict tariffs protected domestic rice farmers. Imported rice made up only about 1% of Japan’s rice consumption, with the U.S. supplying roughly 60% of that small share last fiscal year. President Trump recently criticized Japan’s high rice tariffs, but Japanese officials argue the claims are outdated. Although analysts doubt rice will dominate trade talks, momentum for change continues to build.
A government panel recently suggested expanding rice imports, but major concessions remain politically risky with elections approaching. Despite the challenges, imported rice is steadily gaining ground. Tariff-free imports hit the 100,000-ton cap last fiscal year for the first time in seven years, and tariffed imports quadrupled in fiscal 2024. Rice importer Kanematsu recently ordered 10,000 tons of American rice to meet surging demand.
The impact of high supermarket rice prices has not gone unnoticed. Despite government stockpile releases, supermarket rice prices have doubled year-on-year. Imported rice may soon become a regular feature at Japanese tables. Customer Miki Nihei, dining at Shokudou Arata, said she didn’t notice any difference in taste and expressed her willingness to eat imported rice if it is more affordable. This marks a significant cultural shift in Japan’s food landscape, with imported rice playing a pivotal role.