Japan's rice crisis: what does it reveal about the state of one of the world's largest economies?

While the world watches the technology boom or geopolitical tensions, a crisis is quietly unfolding in Japan that has deeper significance than meets the eye. The land of the rising sun is facing a shortage of rice, a staple not only for daily consumption but also for the nation's cultural identity. Rice prices have doubled in recent months, store shelves are emptying and the state is reaching into reserves. But it is not just the farming season - the crisis is exposing weaknesses that have been ingrained in the Japanese economy for a long time.

Japan now imports over 50% of its food consumption. In a country with high urbanisation, an ageing population and a rural labour drain, maintaining food self-sufficiency is an increasing challenge. Added to this are rising inflationary pressures, supply chain disruptions and global trade uncertainty. Economists and analysts are beginning to suggest that this "rice episode" is not an exception, but a harbinger of a broader problem - the fragility of Japan's economic resilience.

This is an interesting signal for investors. The Japanese are known for their technological strength and export orientation, but this situation shows that systemic risk can come from an area that is at first glance inconspicuous - food security. The question is: how will Japanese agricultural and food companies respond to this? Will domestic production revive? Will investment in agri-technology and rural robotics come? And what role will public institutions play in this?

- Rice prices here have been falling in recent weeks, but it is not because the situation has calmed down. The government is sending incentives and drawing on 2020-21 stocks.

What about you and Japan? Are you following this market? Do you have any stocks here?