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Rice shortage hits restaurants

Julie Lightfoot

Friday, July 18, 2008

© The Cairns Post

 

DO we ever think twice about rice? 

Right now, restaurateurs are scrambling for supplies, paying skyrocketing prices and warning that costs will be passed on to menus.

A worldwide shortage of the staple has hit hard at the Far North’s many Chinese, Thai and Japanese restaurants, which are weathering a 100 per cent increase in the price of some rices in the past two months.

Yesterday, suppliers said they could no longer source enough rice to meet the usual orders from Far Northern buyers.

"We’re out of 10kg long grain rice and also medium grain," a Bidvest spokesman said.

"It’s difficult to secure stocks on a regular basis."

Corea Corea restaurant owner Daniel Yong said costs had almost doubled in two months for standard short-grain rice, prices rising from $32-$37 a 25kg bag to more than $50 a bag.

"Last month was crazy, even supermarkets’ shelves were running low because people were trying to stock up," Mr Yong said.

"Now we’re using more suppliers and things have improved."

Lyn Jensen, of Sushi Express, said business owners were facing out-of-stock suppliers and warnings that prices were still on the rise.

The problems were caused by a global rice shortage, rice-hoarding by countries that export the commodity and the worst rice harvest in 80 years for Australia because of drought conditions, suppliers said.

Cairns’ Asian Foods wholesalers have been placed on restrictions by Australian rice producers Sunrise with long-grain rice quantities now limited to five tonnes a month and other restrictions on low GI rice types and medium-grain rice.

An Asian Foods spokesman said another $6-7 a 25kg bag price hike was expected next month and was a "major issue for restaurants".

Mr Yong’s profit margin at Corea Corea has been drastically reduced already.

"We haven’t increased menu prices in four years but everything’s going up and it will have to happen now," he said.

 


<strong>Global shortage:</strong> Sushi Express owner Lyn Jensen eyes a tasty dish of rice that is becoming difficult to source even as prices skyrocket.

Global shortage: Sushi Express owner Lyn Jensen eyes a tasty dish of rice that is becoming difficult to source even as prices skyrocket.


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