Home   >   News   >   Brace yourself for soaring food prices.

Brace yourself for soaring food prices.

By on July 7, 2021

Japan’s food manufacturers are facing the toughest challenge as global prices of soybeans, wheat and other commodities continue to soar.  The pandemic has resulted in slow production and supply shortage due to weather and labor shortage. 

When Japanese media began reporting food price increases in spring of this year, it first started with wheat flour, cooking oil and soy beans. Now, we are seeing a wave of price increases across 14 different food products, according to Japan Food Newspaper on June 29.

 

Kewpie Mayonnaise 300 g pack sells for ¥241 now. (Source: Family Mart current pricing)

Starting July 1st, the retail price of mayonnaise will gradually increase over a certain period. Kewpie for example has raised the shipping price by about 2 to 10% subject to capacity and other factors. The retail price of Kewpie Mayonnaise’s  450g pack will increase by 6% from 378 yen to 402 yen.

Ajinomoto has also raised the shipping price of home and commercial mayonnaise packs by about 1-10%. These two mayonnaise manufacturers have adjusted their price to grapple with continued price hike on cooking oil and eggs, its main ingredients. This is Kewpie’s first price increase in eight years since July 2013.

Cooking oil is headed for its third price increase this year around August. The ripple effects of the global supply shortage will most likely extend to sugar, instant noodles, pasta, curry mix, salad dressings, condiments, ice cream and etc.

If this keeps up, maybe more families will be forced to dip into their savings to continue enjoying the food they love or change what they eat.

 

About Ted Tanaka