TOKYO, Oct 9 (Reuters) - The premium for aluminium

shipments to Japanese buyers for October to December was set at

$175 a metric ton, up 1.7% from the prior quarter, reflecting

higher premiums in Europe, four people directly involved in

pricing talks said.

The figure is higher than the $172 per ton paid in July to

September and represents a third consecutive quarterly increase.

Still, it is below initial offers of $180 to $185 per ton

made by global producers.

Japan is a major importer of the light metal and the

premiums for primary metal shipments it agrees to

pay each quarter over the benchmark London Metal Exchange (LME)

cash price set the benchmark for Asia.