TOKYO - Household spending in Japan fell 3.1% in August from a year earlier, marking the ninth consecutive month of decline as rising food prices continued to weigh on consumer budgets, according to the latest household expenditure survey released by the Ministry of Internal Affairs and Communications on October 9.
The survey showed that households with two or more members spent an average of 310,975 yen in August, down 3.1% in real terms after adjusting for price changes compared with the same month a year earlier.
Food expenditure, which accounts for a substantial share of household budgets, declined 1.4%, reflecting continued efforts by consumers to limit spending in response to higher prices. Spending on fish and seafood fell particularly sharply, dropping 6.7% as soaring tuna prices and reduced landings of Pacific saury affected household purchases.
Unseasonable weather also contributed to the decline in consumption. Heavy rainfall and other adverse weather conditions, combined with a tendency toward lower temperatures, led to reduced spending on beverages and electricity.
The figures highlight the continuing pressure on household consumption as consumers adjust their purchasing habits to rising living costs, particularly for everyday necessities.
Looking ahead, the ministry said it would closely monitor the impact of further price increases on household spending, noting that consumers were showing a tendency to economize on food purchases depending on price levels.
The ministry said food expenditure patterns suggested that households remained sensitive to price changes, making future movements in food prices an important factor in assessing the outlook for consumer spending.
Source: TBS
