The government will begin purchasing 450-thousand tons of rice later this month in a bid to shore up plunging prices.

According to the agriculture ministry on Friday, 100-thousand tons harvested last year and 350-thousand tons this year will be bought starting October 20 to be isolated from the market through the year's end.

The record reserve allotment is in line with an earlier agreement between the government and the ruling People Power Party(PPP) on purchasing rice harvested this year at the average market price and that of last year through an open bid.

The move reflects the government’s desire to suspend the cratering price of rice, which has hit a 45-year low with the producer price for 20 kilograms standing at 40-thousand won, down 25 percent from a year earlier.