Image Credits : The Mainichi
Japanese consumers are bracing for significant food price hikes in October 2024, with over 2,900 items from major manufacturers set to see increases. This is the largest number of price hikes recorded in a single month this year, surpassing April’s record of 2,897 items. The surge comes amid persistent inflation, the depreciation of the yen, and rising costs of raw materials, which continue to challenge Japan’s economy.
The latest report by Teikoku Databank reveals that 2,911 food items from 195 manufacturers will experience price hikes in October. These increases are expected to further strain household budgets, which have already been burdened by months of inflation affecting essential products. The price hikes will impact a wide range of goods, including vegetables, beverages, and meat products.
Consumers will feel the pinch in their daily groceries, as prices for cucumbers and other vegetables are set to rise. Additionally, the increase in rice prices is expected to impact the cost of restaurant meals and bento boxes, a staple for many working people in Japan.
The beverage industry will also be affected, with major companies such as Asahi Soft Drinks Co. and Kirin Beverage Co. planning significant price hikes. Coca-Cola Bottlers Japan Inc. will raise prices by 20 yen for a 500-millilitre Coca-Cola, while Kirin’s “Gogo no Kocha” straight tea will see a similar increase. According to reports, about 90% of beverage products from these companies will see price adjustments.
Leading food manufacturers like NH Foods Ltd., Itoham Foods Inc., and Marudai Food Co. will increase the prices of ham, sausages, and other processed meat products by as much as 20%. This is a major blow to consumers who rely on these products as part of their daily diets. Cooking oils, including rapeseed and palm oil products, are also set for price hikes. Nisshin Oillio Group Ltd. is among the companies raising prices due to the rising cost of raw materials.
Japan has been grappling with inflation over the past two years, driven in part by the weakening yen, which has made imports more expensive. As a resource-scarce nation, Japan relies heavily on imported foodstuffs and raw materials, leaving it vulnerable to fluctuations in global prices. The yen’s depreciation against the dollar has exacerbated this problem, leading to increased costs for manufacturers and, ultimately, consumers.