A plate of yakisoba (Image by ai subarasiki from Pixabay)
The number of bankruptcies among restaurants specializing in flour-based foods such as okonomiyaki and takoyaki reached a record high in 2025, according to a survey by Tokyo Shoko Research. These foods are known collectively in Japanese as "konamon."
A total of 28 such businesses went under, up 33% from 2024 and the highest figure since the survey began in 2009. Rising prices for ingredients such as wheat flour were cited as the main cause. By region, Osaka, where konamon is considered a local soul food, recorded the highest number with 11 cases.
Small Businesses Hit Hard
The survey counted bankruptcies involving liabilities of ¥10 million JPY (around $65,000 USD) or more and included yakisoba restaurants. Total liabilities rose to ¥1.774 billion ($11.6 million), about 3.3 times higher than in 2024. By business size, small operators with capital of less than ¥10 million accounted for more than 90% of the total, or 26 cases.
Tokyo Shoko Research said the bankruptcies were driven by soaring costs, including key ingredients such as wheat flour, eggs, mayonnaise, and vegetables, as well as higher utility and labor expenses. While konamon dishes remain popular with inbound tourists, whose numbers reached a record 39 million as of November 2025, strong demand from overseas visitors has not been enough to offset rising costs.
Yoshihiko Nitta of Tokyo Shoko Research's Kansai branch said bankruptcies in Osaka's food and beverage sector were kept in check during Expo 2025, but have begun to rise since the event ended. He added that the decline in Chinese tourists is also weighing on the industry and that the impact is likely to spread gradually, particularly among small, independent restaurants.
Post-Expo Impact Osaka
A representative of an okonomiyaki restaurant in Osaka City said konamon dishes take longer to prepare than many people expect because they must be cooked carefully, which limits customer turnover. To cope with rising costs, the restaurant has reduced portion sizes and switched to less expensive ingredients.
Meanwhile, IDEA Co, which operates the okonomiyaki chain Tsuruhashi Fugetsu, has been working to stabilize prices by securing vegetables through long-term contracts with partner farmers.
A company representative said, "Konamon is casual food for everyday customers. If we raise prices every time ingredient costs increase, people will stop coming. We are managing this through our own efforts as a company."
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Author: Kohei Inoue, The Sankei Shimbun
