Rice prices double in Japan as inflation accelerates

The price of rice doubled in Japan in the 12 months to May, data showed Friday, as an acceleration in inflation piled fresh pressure on Prime Minister Shigeru Ishiba ahead of key elections next month.
Polls for parliament's upper house are crucial for Ishiba after public support for his administration tumbled to its lowest level since he took office in October, partly because of frustration over the cost of living.
One of the main sources of anger has been the surging cost of the food staple, which has rocketed for months owing to shortages caused by a variety of reasons including supply chain snarls.
The price of the grain rocketed 101 percent year-on-year in May, having jumped 98.4 percent in April and more than 92.5 percent in March.
That helped push core inflation, which excludes volatile fresh food prices, to a forecast-topping 3.7 percent -- its highest level since January 2023 -- and up from 3.5 percent in April.
The rice crisis has led the government to take the rare step of releasing its emergency stockpile since February, which it usually only ever did during disasters.
But rice is not the only thing pushing inflation up: electricity bills jumped 11.3 percent in May, while gas fees rose 5.4 percent, according to Friday's data.
Excluding energy and fresh food, consumer prices rose 3.3 percent, compared with April's 3.0 percent.
"Since I'm a temp worker, my salaries have remained stagnant for years, and I see no sign of change in the years ahead," Chika Ohara, 52, told AFP on a Tokyo street.
"But prices are going up nonetheless and I feel the impact," she said.
- Cash handouts -
To help households combat the cost of living, Ishiba has pledged cash handouts of 20,000 yen ($139) for every citizen, and twice as much for children, ahead of the election.
The 68-year-old leader's coalition was deprived of a majority in the powerful lower house in October as voters vented their anger at rising prices and political scandals.
It was the worst election result in 15 years for the Liberal Democratic Party (LDP), which has governed Japan almost continuously since 1955.
The Bank of Japan has been tightening monetary policy since last year as inflation crept up but worries about the impact of US tariffs on the world's number four economy has forced it to take a slower approach. Economists predicted a growth slowdown ahead.
Earlier this week it kept interest rates unchanged and said it would taper its purchase of government bonds at a slower pace.
"Policy flip-flops and delayed pass-through from producers to consumers mean inflation will slow only gradually in the coming months," said Stefan Angrick of Moody's Analytics.
"This will keep a sustained pickup in real wages out of reach, and with it a meaningful uptick in consumption."
Factors behind the rice shortages include an intensely hot and dry summer two years ago that damaged harvests nationwide.
Since then some traders have been hoarding rice in a bid to boost their profits down the line, experts say.
The issue was made worse by panic-buying last year prompted by a government warning about a potential "megaquake" that did not strike.
Intensifying fighting between Iran and Israel was also adding upward pressure on energy prices, posing a further risk to the Japanese economy.
hih-kaf-tmo/dan

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

Forbes

24 minutes ago

• Forbes

Where Do Sustainability, Affordability Sit In Pursuit Of Smart Cities?

Conceptual Image of a Smart City getty The concept of smart cities has risen in the estimation of urban planners of all descriptions around the world. Many believe or are led to believe a future smart city or an existing one that's so remodelled would enhance affordability and sustainability. But will it? To answer that, grasping the concept first should be the right starting point. In that respect, if assertions by the likes of Microsoft and IBM are taken at face value, a smart city is one that utilizes digital information and communication technology to enhance various aspects of urban life, from infrastructure to public services, citizen engagement to city tax receipts. This may involve using artificial intelligence, predictive analytics, and more, to improve operational efficiency, sustainability, and the overall quality of life for city dwellers. But will it? There are legitimate fears that AI is, might be, redesigning our cities by stealth from real-team adjustable traffic lights to computer generated digital twins mimicking what whole neighborhoods would potentially look like before even a single brick has been laid. Furthermore, all that kit and its deployment can't be cheap and someone has to pay for it, cue the taxpayer. The concept of smart cities came to fore at the Abu Dhabi Infrastructure Summit, held in the Emirate from June 17 to 18, 2025, and evoked mixed emotions from attendees albeit with numerous examples of successes. For instance, Singapore's holistic balance of economic growth and social inclusivity, or Copenhagen's Nordhavn district's 5-minute city model, or for that matter Abu Dhabi's own Masdar City which balances heritage, innovation and sustainability, given it is backed by the Emirate's global renewable energy champion Masdar. Such innovative cities claim to promote a strong sense of place and identity for their residents and community. But their affluence in many ways sets them apart too. Can their experience and inexorable march to 'smarter' ways be replicated elsewhere? The answer is a complex one, according to Daniel Liu, executive director of MORROW Intelligence, a Singapore-based urban advisory firm. Daniel Liu, executive director, MORROW Intelligence speaks at the Abu Dhabi Infrastructure Summit in ... More the UAE on June 18, 2025. ADIS 'Smart technologies that bring efficiencies are of immense importance and they are all very important evolutions of city management. But smart cities don't come before cities," Liu said at summit panel. "These are cities with their individual socioeconomic and investment parameters and critical municipal issues that need to be resolved. So, not all urban planners enjoy some of the advantages that say Singapore or Copenhagen would.' Liu added that if the ultimate goal of planners and developers was urban excellence, it is something that doesn't exist in a vacuum. 'Issues of economic and social development cannot be sidestepped. This will likely be a journey of over 30 to 50 years marked by evolving challenges for many cities in the world.' Smart Decisions Needed Too Discovering urban excellence, and a smarter future, might in many cases bottle down to making smart decisions and not just smart technology, said Emre Arolat, founding partner and principal, Emre Arolat Architecture. 'The best cities are those with a sense of community and harmony where there's access to housing, and perhaps the ability to reach life's essentials within a 15 minute walk or a bicycle ride, if not 5 minutes as noted in Danish city. That's a reasonable metric already at play in many urban centers, (e.g. some suburbs in Paris) and its down to smart thinking and building.' Affordable housing needs to be at the heart of it all and its something that can never be ignored. 'But building affordable housing doesn't mean you have to sacrifice building high value real estate or vice versa if planners work on concepts strategically,' he added. And local, provincial or Federal governments around the world can be the arbiters of where future demand may or may not be, so that the challenge can be met in a systematic way, even if the planning and decision making stage is aided by the deployment of digital tools. Asma Aljassmi, executive director of projects control and operations, Aldar Projects, speaks at the ... More Abu Dhabi Infrastructure Summit on June 18, 2025. ADIS Even desirable affluent places like Abu Dhabi think of affordable housing, according to Asma Aljassmi, executive director of projects control and operations, at Aldar Projects, a developer owned by the government of Abu Dhabi. 'At Aldar we have a clear roadmap for development. From the get-go we incorporate affordability in what we do, what we design and what be build. Its included in our masterplan for specific projects. Being desirable places to live and work in should not be the sole preserve of luxury developments.' Powering Up Smart Cities With there being rising clamor for sustainability, the carbon footprint of the smart cities will also be called into sharp focus. The more digital and connected they are, the more electricity they'll consume, and the bigger the call might be on the power grids servicing them. Quite like the data center conundrum of powering new age technology and consumer needs with fossil fuels has already reared its head. For, just like hyperscale data centers will be increasingly serviced by power generated from natural gas for decades, so will smart cities for a considerable amount of time. Therefore, any lowering of the carbon footprint achieve via digital connectivity and efficiency might well be negated by carbon emissions from the chosen power source. Abu Dhabi's renewables-powered Masdar City offers a rare example to the contrary, alongside many European, especially Scandinavian and German mid-sized townships. But renewables-powered smart cities largely remain a pipe dream. This matters, because cities represent nearly 80% of the world's consumption, and by that argument nearly 80% of the world's carbon emissions. It is also indicative of the fact that urbanization is proliferating and is unlikely to be reversed. So, the fight against climate change as well as improving living standards probably would be won or lost in the cities, whether they are smart cities or not. The significance of the task ahead cannot be understated.

CNN

28 minutes ago

• CNN

Israel has threatened to kill Iran's supreme leader. Here's what could come next

As US President Donald Trump weighs joining Israel's assault on Iran, questions are mounting over whether such an intervention could trigger regime change in Tehran – an outcome that risks splintering the country and sending shockwaves across the region. Home to long-simmering separatist movements that have vied for power and independence, Iran could face internal fragmentation and chaos if its government falls, experts warn. After reportedly rejecting an Israeli plan to kill Ayatollah Ali Khamenei, Trump stated this week that Iran's Supreme Leader is an 'easy target.' 'We know exactly where the so-called 'Supreme Leader' is hiding,' Trump wrote in a Truth Social post on Tuesday. 'He is an easy target but is safe there - We are not going to take him out (kill!), at least not for now.' Israeli Prime Minister Benjamin Netanyahu has not ruled out targeting Khamenei either, saying that the death of the Supreme Leader is 'not going to escalate the conflict, it's going to end the conflict.' On Thursday, Defense Minister Israel Katz went further, declaring that Khamenei cannot be allowed to 'continue to exist' after an Iranian missile struck a hospital in Israel. Iran is a nation of more than 90 million people and home one of the world's oldest continuous civilizations. Its borders have remained more or less stable for about 100 years. The Islamic Republic has managed to preserve those frontiers despite a diverse population of ethnic and religious groups, many of whom have sought autonomy at various points. But the comments from Israeli and US officials have prompted speculation over what Iran might look like if Khamenei is killed – with experts warning that the country could face a range of scenarios, including regime collapse or even civil war. The 86-year-old cleric has ruled Iran for more than 35 years as its highest authority, rising to power a decade after the 1979 Islamic Revolution overthrew a US-backed monarch. Over the years, he consolidated power and ruled with an iron grip under strict Islamic law. He crushed wave after wave of protests demanding social freedoms – each with increasing ferocity – and expanded Iran's reach far beyond its borders through a network of proxy militias. With his fate in question, attention is turning to who might succeed him, and how that uncertainty could unleash greater unrest. The Supreme Leader is elected by the 88-member Assembly of Experts for life and doesn't officially name a successor. It is unclear who might replace Khamenei, but that process may take place as separatist groups who have long resented the Islamic Republic seek to take advantage of what they may see as an opportunity. Israel has already killed several of Iran's key military figures, and experts say that the regime is now at its weakest. Trita Parsi, executive vice president of the Quincy Institute in Washington, DC, said that regime change would require Israel or the United States having a figure in mind to replace Khamenei and send troops to the country. The figure Israel is likely to favor is Reza Pahlavi, the US-based son of the deposed Iranian monarch who was ousted in 1979. Pahlavi has voiced support for Israel's actions, drawing praise from some in the Iranian diaspora and accusations of betrayal from many others. 'Soon in Tehran,' Israeli Minister of Diaspora Affairs Amichai Chikli posted on X on Friday, along with a picture of himself shaking hands with a smiling Pahlavi. Pahlavi told BBC News on Sunday that Israel's conflict with Iran was an opportunity to bring down the Iranian regime. If the Supreme Leader is killed and the Guardian Council delays naming a successor, the risk of instability could grow, experts say. A possible outcome of Khamenei's potential killing is total regime collapse, Parsi said. 'Regime collapse is just to collapse the state, and let the chaos that ensues fester,' Parsi told CNN. Several scenarios could ensue if the Iranian regime falls, none of which is expected to be to the liking of the US or neighboring states, experts said. Hamed Mousavi, associate professor of International Relations at the University of Tehran, warned that military intervention 'rarely leads to democratization.' 'Look at the experience of Iraq and Afghanistan… Both countries were unstable for many years,' Mousavi told CNN, adding that Iran is 'even more complicated' than those nations. One outcome could be that other elements in the Iranian military assume power. They are unlikely to seek diplomatic routes with Israel or the US, but could take a more hawkish approach that sees possession of a nuclear bomb as the only deterrent to more attacks, Parsi said. Military factions that could take over are 'not going to be the type of regime that the US may have had in mind,' Parsi said. Another possible scenario is descent into chaos, as Iran's multiple ethnic groups vie for power. Iran has a diverse population, including Persians, Azeris, Arabs, Baloch and Kurds. Under Khamenei's decades-long rule, the Islamic Republic largely managed to contain civil and ethnic unrest, despite the mistreatment faced by some groups. Minorities faced discrimination in 'their access to education, employment, adequate housing and political office,' according to Amnesty International last year. 'Continued underinvestment in regions populated by ethnic minorities exacerbated poverty and marginalization,' it said. Azeris make up around 16% of Iran's overall population, according to Minority Rights Group. The Shiite group is the largest and most well-integrated minority in the Islamic Republic but has nonetheless faced inequity. Arabs constitute up to 4 million people, and they have also been subjected to marginalization over the years. A group of tribes speaking the Balochi language, the Baloch people make up nearly 5 million of Iran's population. The predominantly Sunni group extends into neighboring Pakistan and Afghanistan, raising the possibility of separatist conflict spilling over the borders. The 'Army of Justice' organization, a Baloch Sunni militant group, has shown support for Israel's strikes on Iran, saying in a statement: 'It is clear that the current attack is not on Iran, but on the Velayat-e-Faqih (ruling) regime , it is God's will that the ground has been prepared for us, the people of Iran, to make the best use of this vacuum.' Kurds make up some 10% of Iran's population and are mostly settled along the borders with Iraq and Turkey. They have been subject to 'deep-rooted discrimination,' Amnesty said. The Kurdistan Freedom Party, a nationalist and separatist militant group in Iran, published a statement backing Israel's strikes, saying it supports 'the process of destroying Iran's military and security capabilities.' A Kurdish rebellion in Iran would also be a major concern for neighboring Iraq and Turkey, both of which have large Kurdish minorities that have sought independence. Another exiled group that has garnered support from US conservatives is the Mujahadin-e Khalq (MeK), a shadowy dissident group that was once a US-designated terrorist organization but today counts prominent anti-Iran politicians as key allies. Iran accuses it of terrorism, saying it carried out a series of attacks in the 1980s. The MeK denies those charges. It is one of the best-organized opposition groups confronting the Islamic Republic, but it has little support among Iranians, largely due to its violent past and for having supported Iraqi President Saddam Hussein during his almost decade-long war with Iran. If Iran's regime falls, 'there would be support for ethnic separatist groups by the Israelis, and perhaps the US,' Parsi said. This would lead to a situation where remnants of the state are going to be consumed with fighting separatists. Fatemeh Haghighatjoo, executive director of the Nonviolent Initiative for Democracy and a former Iranian lawmaker who opposes the current regime, expressed fears that Iran may descend into civil conflict if the current rule falls. 'I would like to get rid of this regime. I am the opposition,' she told CNN's Becky Anderson. 'My main concern is… I see the signs (of) civil war.'

Yahoo

32 minutes ago

• Yahoo

LegalBison Establishes Southeast Asia Presence with New Malaysian Office

New Kuala Lumpur office strengthens LegalBison's regional reach and enhances regulatory support across Asia. Kuala Lumpur, Malaysia--(Newsfile Corp. - June 20, 2025) - LegalBison, a global regulatory advisory firm specializing in the FinTech and crypto sectors, has officially opened its new office in Kuala Lumpur, marking the company's first physical expansion into Asia and reinforcing its long-term growth strategy in emerging financial markets. LegalBison To view an enhanced version of this graphic, please visit: This milestone follows the success of LegalBison's European headquarters in Tallinn, Estonia, and represents a strategic effort to better serve clients throughout Southeast Asia-including Malaysia, Singapore, Indonesia, Thailand, and beyond. "Availability for international clients has always been one of LegalBison's key strengths," said Sabir Alijev, Chief Product Officer at LegalBison. "With our new presence in Malaysia, we now have a bird's-eye view of the local regulatory landscape and are ready to deliver timely, regionally tailored solutions." Kuala Lumpur was selected for its robust regulatory institutions, economic stability, and position as a rising hub for digital finance in Asia. Establishing operations in Malaysia allows LegalBison to deepen relationships with local partners and clients while offering more agile support in licensing, AML/KYC compliance, cross-border banking, and corporate structuring. LegalBison's move reflects the growing demand for localized compliance expertise in Asia's fast-evolving financial landscape. The Malaysian team will collaborate closely with LegalBison's Estonia office to provide seamless advisory services across time zones, ensuring clients benefit from both global perspective and local insight. By anchoring its Asia-Pacific strategy in Kuala Lumpur, LegalBison positions itself as a trusted partner to startups, growth-stage firms, and enterprises navigating complex cross-border regulatory environments. LegalBison is now actively onboarding clients across Southeast Asia and is open to strategic partnerships throughout the region and globally. For media inquiries or more information, please visit or contact pr@ About LegalBison Founded in 2020, LegalBison is a regulatory and legal advisory firm headquartered in Tallinn, Estonia. The firm supports companies in the FinTech, crypto, and high-compliance sectors with services including licensing, compliance, banking solutions, and international corporate structuring. LegalBison provides tailored, cross-border support to help businesses navigate complex regulatory environments worldwide. Media Contact LegalBison PR Teampr@ 20 4577 To view the source version of this press release, please visit