Crecia Corp. said Wednesday it will raise wholesale prices for its facial tissue and other household paper products by around 25 percent on July 18 due to surging crude oil prices.
The retail price of Crecia’s mainstay five-box case of tissues is expected to rise to about 250 yen from about 200 yen if the entire price hike is passed on to consumers.
Crecia, which makes household paper products under the umbrella of Nippon Paper Group Inc., sells Kleenex and Scottie brand facial tissues. Other paper makers, including Oji Paper Co., are expected to follow suit.
Rising oil prices have have driven up the cost of fuel oil used to make household paper products.
Crecia said the increase is also aimed at correcting prices, which fell to record lows due to price wars launched to gain market share.
The price-cutting, along with the oil price spike, has eaten into the profits of paper manufacturers, the company said.