Skyrocketing Food Prices Batter Family Finances In Japan

Price increases for food items as well as utility bills that are closely linked to people's daily lives are set to peak in October in Japan, Hiroko Michishita, Hironori Takechi and Yuhi Sugiyama reported for Mainichi Japan.

Photo Insert: Conveyor belt sushi chains Kura Sushi Inc. and Akindo Sushiro Co. have also announced price revisions from Oct. 1, as part of sudden moves within the restaurant industry.

Price rises in October are expected for over 6,500 food items, as well as gas bills and fire insurance premiums. As the consumer price index rose in August at a high rate not seen in some 31 years, there is mounting concern over whether household finances and the Japanese economy can endure the autumn price hikes.

Kewpie Corp., which will implement a 2% to 20% price increase for 93 items, including mayonnaise, to be shipped from Oct. 1, released a statement saying, "Under tough circumstances, the company as a whole has worked to streamline operations and curtail expenses, but it is extremely difficult to absorb cost rises through the company's efforts alone. We decided that we have no choice but to alter prices."

NH Foods Ltd., Itoham Foods Inc., and Marudai Food Co. will also raise prices for ham and sausages for industrial and home use from Oct. 1.

Meanwhile, the four major beer producers in Japan were quick to announce as early as between April and June that prices will be increased by around 10% for beer, canned shochu, and other products from Oct. 1.

Conveyor belt sushi chains Kura Sushi Inc. and Akindo Sushiro Co. have also announced price revisions from Oct. 1, as part of sudden moves within the restaurant industry. The wave of price hikes starting Oct. 1 has been spreading throughout various sectors.

According to a Teikoku Databank Ltd. study targeting 105 food companies, price increases are expected for over 6,500 items in October, a sudden peak compared to earlier periods of 2022, when price rises were seen for up to around 2,500 items at the most per month.

"October is the start of the fiscal year's latter half. It can be thought that one reason behind the October price hike is that it is easy to make adjustments with clients and affiliated parties," a Teikoku Databank representative commented.

They added, "There also seems to be the aspect that companies are conscious of the high demand season."

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