Japan Hikes Wheat Price Amid Shipping Cost Surge

The Japanese government has announced that it will raise the price of imported wheat by 12% from October. The decision was made to address rising shipping costs due to the weaker yen and higher crude oil prices.

According to the agriculture ministry, the average price of five major wheat brands for the period between October and March next year will exceed 70,000 yen, or roughly $455 per tonne, for the first time in three and a half years.

The ministry pointed out that Japan depends on imports for over 80% of its domestic wheat consumption. To secure a stable supply, the government imports wheat in bulk and sells it to private firms such as millers.