Rice Rationing

April 25, 2008: Sam's Club, a chain owned by Wal-Mart, announced they are are rationing the sale of large bags of rice to consumers. The move comes soon after Costco announced similar measures in its stores.

The rationing is related to the growing global food crisis marked by inflated prices and pressure on demand.

Sam's Club limited four 20-pound bags per customer for jasmine, basmati and long grain white rices. The step was described as precautionary and temporary and is supposed to ensure supply of rice to their members.

The move follows similar steps taken by its main rival, Costco, which has also limited the sale of rice in its stores.

US rice production provides 88% of the US consumption, imports making up the rest.

Fast Facts

1. Sam's Club: 600 stores across the US
2. "Recent supply and demand trends" blamed for the move
3. World rice prices: doubled in the year leading to the rationing
4. USA Rice Federation: there is no rice shortage in the US

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