TOKYO: Japanese snack maker Yamayoshi Seika Co. said Tuesday it has halted production of its main potato chip products due to difficulty in procuring heavy oil used for heating cooking oil following the conflict in the West Asia.
Production of some products including its popular Wasabeef chips has been suspended since Thursday at its plant in the western prefecture of Hyogo, Kyodo news reported the company said.
Among other Japanese companies which heavily rely on West Asian oil, Mitsubishi Chemical Corp. said Tuesday it will raise the price of vinyl acetate monomer used for producing adhesives and paints due to a surge in prices of raw materials, such as ethylene, and their supply disruptions.
Kyodo reported that on Monday, Idemitsu Kosan Co. said it will reduce its production of ethylene due to oil supply disruptions, while Shin-Etsu Chemical Co. said it will raise the price of polyvinyl chloride resin widely used for water and sewerage pipes by around 20 percent.
Meanwhile, the Japan Petrochemical Industry Association said in a statement Tuesday that despite the conflict, the industry faces no immediate supply threat thanks to sufficient stockpiles.
Japan has three and a half to four months’ worth of major petrochemicals stored up, it said. Plastic products are made from petrochemicals, with naphtha, a liquid derived from crude oil, serving as a feedstock.
According to the industry group, about 40 percent of the naphtha used in Japan comes from the West Asia. Given the ongoing conflict, member companies are now working to source naphtha from other regions, it said. – BERNAMA-KYODO
