More Japanese embracing foreign rice even before it became a tariff topic

TOKYO - When a severe rice shortage sent prices skyrocketing in Japan last year, Tokyo restaurant owner Arata Hirano did what had once seemed unthinkable: He switched to an American variety.

The price of the Californian Calrose rice he buys has doubled since his first purchase last summer, but even so, it is far cheaper than home-grown grains.

“Unless domestic prices fall below Calrose prices, I don’t plan to switch back,” said Mr Hirano, whose restaurant offers meal sets of fish, rice, soup and sides.

His willingness to embrace foreign rice may presage a seismic change in mindset for Japanese businesses and consumers – one that could allow Tokyo leeway to relax some restrictions if rice becomes a thorny topic in tariff talks with US President Donald Trump, who has called out Japan’s high levies on its staple grain.

Wholesale prices for domestic rice have surged about 70 per cent over the past year to hit their highest levels since current records began in 2006. Crops were hit by extreme heat while a tourism boom has added to demand. Worries abound that not much will change this year.

With inflation also raising the cost of living, businesses are now betting that a nation of people known for their discerning palates and pride in their staple grain is open to change.

Supermarket giant Aeon last week began selling an 80-20 American-Japanese blend that is about 10 per cent cheaper than domestic rice after a sales test run proved a hit. Fast-food chain Matsuya and restaurant operator Colowide began serving pure American rice this year. At supermarket chain Seiyu, Taiwanese rice has been flying off the shelves since last year.

It is a sharp contrast to 1993, when the Thai rice the Japanese government imported during an acute shortage was largely shunned,