Nisshin Seifun of the Nisshin Seifun Group announced that it will raise prices for commercial-use wheat flour from deliveries on 19 December. The increases reflect revisions to the government's selling prices and higher transportation, fuel and other costs.
Nisshin Seifun announced that it will raise prices for commercial-use wheat flour from deliveries on 19 December. Bread flour will increase by ¥295 per 25 kilograms, while all-purpose and cake flour will rise by approximately ¥236 per 25 kilograms (the stated increase is ¥240). Flour made from 100% domestic wheat will increase by ¥395.
The government raised its selling price for imported wheat by 12% in September. The price increases will pass through higher international prices and exchange-rate fluctuations for imported wheat, as well as increased transportation costs. As of October, the government's selling price for imported wheat was in the ¥70,000-per-ton range, its highest level in three and a half years.
Factors behind concerns over raw-material supplies include drought in the United States, the conflict between Russia and Ukraine, and higher ocean-freight and fuel costs. The government reviews the price of imported wheat twice a year, while domestic wheat prices are also determined in line with import prices.