TOKYO -- Prices for 2,343 tracked food and beverage items in Japan are set to increase by an average of 16% in March, Teikoku Databank Ltd. announced Feb. 28.

The "processed foods" category -- which includes frozen foods and chilled noodle products -- will see the largest number of increases, with 1,381 items affected. The total number of price hikes announced so far for 2025 has reached 10,797, marking the fourth consecutive year with over 10,000 items impacted.

Teikoku Databank, which surveys 195 major food manufacturers, observed that "the momentum of price increases in food and beverage costs has significantly strengthened compared to the previous year."

It has been 11 months since price hikes for processed foods had last exceeded 1,000 items. Other categories seeing increases include "alcoholic drinks and other beverages" with 534 items and "dairy products" with 284 items. The average rate of increase was 16%.

The leading cause of these price hikes is the high cost of raw materials. The yen's prolonged depreciation has driven up the prices of imported foodstuffs, and domestic raw materials such as rice and fresh produce have also become more expensive. Additional factors like higher costs for plastic containers, logistics and labor have compounded the issue.

Teikoku Databank predicts that "the annual total could reach around 20,000 items," significantly surpassing the 12,520 items recorded in 2024.

(Japanese original by Yuko Shimada, Business News Department)