Price hikes to hit Japanese households starting next month

October will see price changes in products and services that are part of people’s daily lives in Japan, including a tax cut on beer and levy hikes on quasi-beer and heat-not-burn tobacco products.

Households will likely feel an increased financial burden, given that price hikes will also hit a wide range of food products, Japan Post’s Yu-Pack parcel delivery service and tolls for the Metropolitan Expressway.

Tax rates on beer and related products will be unified starting Thursday. This means that the tax on beer will decrease by about ¥9 per 350-milliliter can, while the tax on happoshu and products known as third-segment beer will rise by about ¥7.

Acting in response to the tax reform, beverage manufacturers will lower prices of their beer, while reclassifying their quasi-beer items as beer and then raising prices.

Prices of Kirin Brewery’s Ichibanshibori beer will drop from around ¥237 per 350-milliliter can to around ¥228, while Suntory Spirits Kinmugi third-segment beer will be priced at ¥206, up from ¥197.

The tax on heat-not-burn tobacco products will be raised to the same level as the tax on cigarettes. Japan Tobacco’s Evo series will be sold at ¥620 per packet, up from ¥580, while Philip Morris Japan’s Terea sticks will be priced at ¥640, up from ¥620.

Higher raw material and labor costs will continue to impact a wide range of goods and services.

Prices for 3,033 food and beverage products will be raised in October, according to Teikoku Databank, a research firm. They include Koike-Ya’s Karamucho hot chili potato chips, whose retail prices are set to rise from around ¥183 per 55-gram pack to about ¥189.

On Thursday, Japan Post will raise the basic delivery fares of its Yu-Pack service by 10% on average, while Metropolitan Expressway tolls will be increased by an average of 8.1%.

Starting October, the Japanese government will require companies to clarify their policies on protecting their employees from customer harassment and to establish a consultation system.

Companies will also be required to take measures to prevent sexual harassment against job applicants, including students seeking employment.