Price Increases to Hit Japanese Households in Oct.

Tokyo, Sept. 29 (Jiji Press)--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 Co.'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 yen per 350-milliliter can, while the tax on happoshu and products known as third-segment beer will rise by about 7 yen.

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 Co.'s "Ichibanshibori" beer will drop from around 237 yen per 350-milliliter can to around 228 yen, while Suntory Spirits Ltd.'s "Kinmugi" third-segment beer will be priced at 206 yen, up from 197 yen.

[Copyright The Jiji Press, Ltd.]