TOKYO -- The Japanese government on March 18 handed over rice from its national reserve for sale on the open market -- the first batch in a larger release intended to bring down skyrocketing retail rice prices. The grain is expected to hit supermarket shelves by the end of the month at the earliest.

The rice was released to the National Federation of Agricultural Cooperative Associations (JA Zen-Noh), which transported the raw grain from a storage facility in Saitama Prefecture to a milling factory within the prefecture. Some 12 metric tons of 2024 reserve rice, part of the morning's auction, were moved by truck to the factory around noon for inspection and removal of foreign materials.

The rice is set to be milled within days, with Satoru Fujii, head of JA Zen-Noh's rice department, stating, "We are striving to deliver to consumers quickly." To avoid consumer confusion, JA Zen-Noh has requested wholesalers not to label the rice as "reserve rice."

The government's initial auction for reserve rice took place from March 10 to 12, with 142,000 tons of the 150,000 tons offered being sold at an average pretax price of 21,217 yen (about $142) per 60 kilograms of brown rice. According to the agriculture ministry, the average price of 5 kg of rice sold in supermarkets nationwide from March 3 to 9 was 4,077 yen (approx. $27.30), twice what it was the same period last year. However, the price reduction effect of this release is expected to be "around several hundred yen."

A second auction, including the unsold portion from the first, will be held in March for around 70,000 tons. The rice will be handed over to successful bidders from mid-April, with further releases under consideration. JA Zen-Noh stated it will review future auctions once announcements are made.

(Japanese original by Satoshi Fukutomi, Business News Department)