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Record Number of Ramen Shops Go Bankrupt in Japan in 2024
A record 72 shops went bankrupt in Japan this year thanks to a combination of rising prices and the so-called “1000 yen wall.”
2024 was shaping up to be a bad year for ramen shops. And it turned out to be pretty awful in the end, as Japan saw a record number of bankruptcies.
The final numbers are in: 72 ramen shops shuttered for good in 2023 due to bankruptcy. “Bankruptcy” is here defined as having over 10 million yen (USD $63,000) in liabilities and closing via a legal proceeding.
In 2022, only 53 went bankrupt, making for an increase of over 30% (19 additional stores). That’s the largest number of ramen restaurant bankruptcies ever recorded.
The driving factor is rising prices of all raw ingredients, including pork, oil, noodles, and seaweed. Despite the rise in costs, Teikoku Databank, which tracks the restaurant industry, says many ramen shops are convinced they can’t break the supposed “1000 yen” (USD $6.34) wall for the cost of a bowl without driving away customers. The average bowl of ramen nationwide retails for under 700 yen ($4.44).
As we’ve written before, however, many shops are breaking the 1000 yen wall and managing, not only to stay in business, but to thrive. Some specialty shops, such as roast beef ramen restaurants, can charge…
