Tokyo, Oct. 10 - Yamazaki Baking Co. said Tuesday that it will lift the prices of roughly 500 products, including bakery items as well as Western- and Japanese-style cakes, by an average of 8% from Dec. 1, its first price hike in 24 years, The Nikkei reported in its Wednesday morning edition.
The move comes in the wake of skyrocketing prices of wheat, oil, milk and other ingredients.
Around 300 bread items sold nationwide, including butter rolls, will sport higher prices. The top breadmaker will raise the recommended retail price of its Double Soft loaf by Y20 to Y220. And its prepackaged peanut butter sandwich will sell for Y130, up Y10.
Prices of some 200 confectionery products will also be hiked. For instance, a sponge cake roll filled with whipped cream and banana will cost Y200, an increase of Y10. The price of pork buns will be raised Y5 to Y105.
Yamazaki could also phase in price hikes for some 1,300 bakery products and 500 or so confectionery items sold in exclusive regions of Japan.
The company says it expects materials costs, including packaging, to soar by about Y1.8 billion for the year ending Dec. 31.
In the wake of price increases by Yamazaki, other breadmakers are also expected to begin lifting prices in December.