Of the 47 prefectures in Japan, 37 said that in 2022 the acreage for rice cultivation will be reduced with a reorientation to wheat and soybeans due to rising grain prices. This is reported by Japan Today.
“More and more farmers are switching to the production of wheat and soybeans, as world prices for them are rising. In addition, demand in the countries producing them is already at a high level,” the Japanese department noted.
The publication indicated that about 80% of wheat and 90% of soybeans consumed by Japan are imported. In recent months, these crops have become much more expensive against the background of Russia’s special operation in Ukraine.
Of the 37 prefectures that will reduce rice production, some announced a decrease in production by 3-5% or more. Analysts estimate that the total area for rice cultivation will decrease by 35 thousand hectares.
Also, the Japanese government has allowed farmers to change cultivated crops by providing subsidies. For example, the income from growing rice for cooking is about 13 thousand yen ($100) per 1000 m2. At the same time, the income from the cultivation of forage rice and wheat is 26 thousand yen and 48 thousand yen, respectively, and the income from the cultivation of soybeans is 49 thousand yen, with the same parameters.
Recall that recently the Japanese economy can not boast of achievements. Fuel prices are rising, consumer prices are rising too. Inflation affected wholesale prices — an increase of 9.1% in May compared to a year earlier. This is the 15th month of growth of this indicator.
As reported, prices have increased by more than 80% of the goods traded by the companies. The largest growth occurred in lumber, cast iron and steel, as well as petroleum products.