Tourism boom sends prices soaring at Niseko ski resort

Tokyo, 17 February, /AJMEDIA/

A record influx of overseas visitors has descended on the famed Niseko ski resort on Japan’s northern island of Hokkaido, driving food and other costs to exorbitant heights, to the concern of residents.

In one restaurant, an Australian woman said she felt satisfied after spending 10,000 yen on sushi. A Chinese visitor remarked that while it was not cheap, the prices were reasonable considering how expensive things are in Europe.

The price hikes extend to accommodations in the area, with a private lodging operator in Rankoshi, a town in the Niseko area, saying he raised his nightly rates by more than 10 percent from 88,000 yen to 99,000 yen due to the weaker yen.

“Other places around here have also been raising prices,” he said, adding that his property is fully booked until mid-March.

The number of foreign tourists overnighting in the three towns of Niseko, Kutchan and Rankoshi, which make up the resort area, reached a record high of around 740,000 in fiscal 2023, according to local figures.

Residents voiced concern over the financial strain caused by rising prices amid the tourism boom. A man who has lived in Kutchan for some 20 years said he gave up on hosting end-of-the-year parties as local restaurants, catering to tourists, had become too expensive.

Toshihiro Mori, who runs a home care service from Kutchan, said hiring workers has become increasingly difficult as the nursing care industry cannot compete with wages offered by hotels.

“In hotels around mountains with ski resorts, people can earn 2,000 yen per hour just making beds, without interacting with anyone. We don’t stand a chance,” he said.

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