Japanese consumers are expected to face more challenges amid the ongoing coronavirus pandemic as a wave of price hikes will hit essentials such as food and daily goods in the new fiscal year beginning Friday in due to rising raw material costs.
Given that there will be changes in fiscal year 2022 in some social systems closely related to people’s daily lives, such as the reduction in the amount of public pension benefits, rising prices are expected to weigh particularly hard on socially vulnerable people such as pensioners.
For example, Megmilk Snow Brand Co., Meiji Co. and Morinaga Milk Industry Co. will increase their cheese prices, while The Nisshin OilliO Group Ltd. and J-Oil Mills Inc. said they would raise their household cooking oil prices. utilize.
Other food items subject to upcoming price increases include Kagome Co.’s tomato ketchup and Yaokin Co.’s “Umaibo”, a popular snack meaning “delicious stick” which was sold for 10 yen (0. $08) tax free for over 40 years.
The new price of “Umaibo” is set at 12 yen, according to the Tokyo-based snack maker.
As for daily consumer products, the factory prices of facial tissue and toilet paper from Nippon Paper Crecia Co., as well as those of certain diaper products from Kao Corp. will increase.
The country’s main transportation system is no exception either.
East Japan Railway Co. will effectively raise ticket prices for shinkansen bullet trains during peak season, and Kyushu Railway Co. will raise prices for some coupon tickets for bullet trains.
Japan Airlines Co. will raise ticket prices for some domestic flights from April 15, while those for All Nippon Airways Co. have already increased since Sunday.
Bridgestone Corp. and the Japanese branch of French tire giant Michelin will raise their tire prices.
As for Japan’s public pension system, the amount of benefits will decrease by 0.4%, as wages have fallen due to the influence of the pandemic.
The age range for starting to receive benefits will widen, now bringing the upper age limit to 75 years. Currently, people between the ages of 60 and 70 can start receiving a pension.