Jeonnam Province, Government to Purchase Entire 2019 Public Reserve Rice Stock

[Asia Economy Honam Reporting Headquarters, Reporter Yoon Jamin] Jeonnam Province announced on the 11th that the government will purchase the entire 80,000 tons of last year's public reserve paddy rice to stabilize the rice market.

The purchase period will be from the 16th of this month to the 30th of next month, and the rice will be moved to government grain storage warehouses to be supplied primarily for military and official use.

The government's decision comes after last year's rice production was about 20,000 tons less than demand, which was expected to raise rice prices. However, some typhoon-damaged rice circulated in the market, and rice consumption was suppressed due to the impact of COVID-19, causing rice prices to remain weak recently.

From last year's harvest season until January this year, rice prices fluctuated around 190,000 KRW per 80kg sack but dropped to around 189,000 KRW last month on the 18th, showing a slight but continuous downward trend.

Rice consumption at home increased somewhat due to COVID-19, but overall consumption has been declining due to the contraction of the dining-out industry.

Accordingly, the province requested the government last month to advance the purchase of paddy rice, which was originally scheduled for July, to this month for proactive market isolation to stabilize the rice market. The government actively reflected field opinions and finally decided to proceed with the purchase.

Kim Kyungho, Director of the Agriculture, Livestock, and Food Bureau of Jeonnam Province, said, "We expect rice prices, which have been somewhat weak so far, to rebound due to the government's public reserve paddy rice market isolation," adding, "Farmers and the Nonghyup also appreciate the government's prompt action."

This content was produced with the assistance of AI translation services.