Japan Households To Face Price Hikes This Month

Japanese households are poised to experience additional financial strain due to a new round of price increases scheduled for October on food and services, as reported by Mainichi Japan.

The ongoing impact of a weaker yen, which raises the costs of imported raw materials, is primarily responsible for these price hikes, as more Japanese companies pass on these increased costs to consumers.

Additionally, freelancers and self-employed individuals may face higher tax burdens under a new invoicing system.

The ongoing impact of a weaker yen, which raises the costs of imported raw materials, is primarily responsible for these price hikes, as more Japanese companies pass on these increased costs to consumers.

This situation poses a threat to consumer sentiment, especially when real wages are not on the rise.

In October, the start of the second fiscal half for many Japanese companies, prices of more than 4,500 food items are set to rise. This is more than double the number from September, according to the research firm Teikoku Databank.

Although the number has decreased by half compared to a year ago, it compounds the challenges already faced by consumers due to the rising prices of everyday goods.

For example, J-Oil Mills Inc. is increasing its prices for olive oil by 14% to 57%, citing factors such as a heatwave affecting European producers, higher transportation costs, and a strong euro compared to the yen. Processed meat companies are also raising prices by up to 20%.

WEEKLY FEATURE : Jose Mari Chan And The Christmas Anthem