Jun 22 (Business Times) - CALBEE, Japan's answer to Frito-Lay with an enormous product line-up ranging from pizza-flavoured potato chips to low-carb granola, is raising prices again as companies struggle to absorb costs that are climbing at the fastest clip in years.
The Tokyo-based company said in a statement Wednesday (Jun 22) it will raise the prices of snacks and cereals in Japan by 5 per cent to 20 per cent from September because of increasing material costs. Its shares advanced as much as 5.1 per cent in Tokyo after the announcement, their biggest intraday gain in more than a month.
While paying more for food is a worldwide phenomenon, it's an especially sensitive topic in Japan, where stagnant wages make it hard for households to swallow a rush of price hikes for everything from burgers to beer. The yen's slide to a 24-year low against the dollar is also exacerbating price pressures for the resource-poor archipelago, which is heavily reliant on imports for energy and food.
The popularity of the snack maker, whose largest shareholder is PepsiCo, reaches beyond the supermarket aisle. Its regional souvenirs of limited-edition snacks ranging from octopus-ball flavoured potato sticks in Osaka or taco-rice flavoured ones in a nod to a popular dish in the southernmost prefecture of Okinawa are also hugely popular and will cost more come fall, the company said.
Source: 日テレNEWS
