FX.co ★ Japan Food Inflation Holds at 18-Month Low

In May 2026, Japan's food prices rose 3.5% year-on-year, the same pace as in April and the slowest rate of increase since October 2024. Price gains persisted across several categories, including fish and seafood (5.5% vs. 5.8% in April), meat (3.5% vs. 4.4%), dairy products and eggs (3.6% vs. 4.9%), oils, fats, and seasonings (3.9% vs. 4.2%), cakes and candies (8.1% vs. 7.7%), prepared foods (4.4% vs. 4.8%), beverages (8.7% vs. 9.4%), alcoholic beverages (0.2% vs. 0.9%), and meals eaten out (1.0% vs. 1.1%).

Fresh vegetable prices rebounded after five consecutive months of declines, rising 3.8% following a 2.2% drop in April. In contrast, cereal prices fell 0.9%, their first decline since December 2021, after a 1.2% increase previously, while fresh fruit prices remained in deflation, down 1.6% after a 3.6% fall in April. Among staple foods, rice prices dropped 4.9% from a year earlier, posting their first annual decline since November 2022.