The Price of Imported Rice to be Cut by 10 Percent in April

The Ministry of Agriculture and Forestry (MAF) announced on the 21st that it would reduce 10 percent of the price of imported rice this month, which is supplied to rice processing companies.

Hence, imported rice is likely to be supplied at 50,040 won per a sack of 80 kg, whose price had fell to 55,600 won from 74,120 won in October last year. Imported rice is imported as unpolished rice at 31,000 won, and sold at around 50,000 won as costs for hulling and storing were added.

MAF anticipates that the consumption of imported rice will be rise to 800,000 sacks this year from 460,000 sacks last year due to the price reduction.

The volume of rice import this year in line with the agricultural agreement with the World Trade Organization (WTO) is 1.07 million sacks that the total stock of imported rice will increase to 1.59 million sacks this year from 1.32 million sacks last year even after consuming 800,000 sacks.

Joong-Hyun Park sanjuck@donga.com