1 August, 2008 - Japan's second largest flour miller has announced plans to raise wheat flour prices which is set to trigger a chain of events leading to higher food staple prices this autumn.
Analysts have said industry leader Nisshin Seifun Group and others are very likely to follow suit, leading to an across-the-board price rise.
Imported wheat makes up about 90% of all wheat consumed in Japan, and is sold to millers
In April, 2007, the Government increased wheat prices for the first time in almost a quarter of a century, before being forced to lift them twice more. Each time millers passed costs on to customers.
A further Government price is likely in the autumn, Nippon Flour President Waturu Aosaki was quoted as saying, which will lead to further hikes.
Prices, which have now gone up by 30%, will forces ramen noodle and bakery companies to raise their prices, say experts.