By Mia Lamar

As rice prices around the world skyrocket, a new local business collective has begun to organize  Somerville restaurants in an attempt to increase buying power and secure lower rice prices for those hardest hit by the pinch.

The initiative is among the first to be made by the new Somerville Local First, a community agency launched three weeks ago to represent the interests of Somerville’s local businesses. Joe Grafton, Executive Director of SLF, said he decided to organize the initiative after a meeting late last week with Luis Morales, a pastor in East Somerville and owner of several restaurants in the neighborhood, including Taco Loco Mexican Grill and El Gaucho’s. Grafton said he and Morales discussed concerns about the "drastic" increase in rice prices and its effect on ethnic businesses to whom rice is a staple item.

In the new plan, Grafton said SLF intends to act as a broker, soliciting suppliers to negotiate a group rice ordering and delivery system. First, however, SLF must assemble a team of interested businesses to encourage suppliers to allow a large volume discount and delivery. Grafton said he has signed up "15 to 20" businesses in the past week, and is actively seeking more.

"There are serious financial implications…The cost offsets are pretty high," said Grafton of the new plan. He added that SLF will offer its broker services free of charge to businesses that meet SLF membership requirements, "to show them what we can do."

In preliminary talks with rice suppliers, Grafton said he has received the most favorable feedback from the businesses most like the ones he intends to represent.

"The family-owned businesses that have been around for 50, 60 years are very interested in helping us out," said Grafton, adding that three larger suppliers – Perkins, Cisco, and Atalanta – have declined to make such negotiations.

"Quite frankly, I’m not surprised," he said.

Morales said Grafton asked him for an "idea that would not just help me but everyone else." He admitted that he has been fortunate thus far to avoid price hikes.

"Friends that I know that distribute rice advised me to that it was going up so I bought enough," he said. But, added Morales, "people that didn’t have the money and didn’t have the storage are already suffering."  He said that he expects prices to soon hit 30 for a 20-pound bag of rice.

News reports in recent weeks have estimated a 140 percent increase in international rice prices from January to April. Faltering investments in rice agriculture and growing technology, rising oil prices and recent environmental disasters in Southeast and Central Asia have all been cited as stimulants for the fast rising prices.

On Somerville Avenue, Michael Quy, owner of China Delight, said his rice costs have increased 60 percent in the past two months. He said he expects prices to go down in the future, but for the time being, will welcome SLF’s help.

"If we can get a good deal, of course I’ll join," said Quy.