Inflationary Pressure Will See Japan Food Prices Continue to Rise in 2023

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Frozen products will be among thousands of food and beverage SKUs that will cost consumers more in Japan during 2023, according to a survey of 105 companies conducted by Teikoku Databank, a Tokyo-headquartered research firm.

Price increases likely to be implemented for 7,152 items between January and April are expected to average 18%. In February alone, it is anticipated that 4,277 products will be more costly than in 2022.

“The pace of the increases will be 1.5 times higher than that for the same period this year, as a rapid weakening of the yen against other major currencies, such as the US dollar, sharply lift the costs for imported food and beverage products,” according to a Kyodo News analysis of the Teikoku Databank research findings.

Ajinomoto Frozen Foods Co. will reportedly hike prices of frozen dumplings and other value-added frozen food offerings between 6% and 16%, while Nissui Corporation’s shipping costs for frozen foods and other products are expected to increase between 6% and 25%. Labor and materials expenses have also risen and continue to escalate.

“Many frozen foods, wheat products, canned seafood, and fish cakes will experience price hikes again despite increases earlier this year,” reported the Yomuri Shimbun news outlet on December 27. “A total of 20,822 items are expected to see price hikes by the end of this year, with an average price increase of 14%.”