Japan News Update #52 (July 2023)

Stay updated on the latest agricultural news in Japan, that we publish every month.

by Yuki Sano

Japan’s entry into Asian and other foreign markets

Japanese dairy firms Megmilk Snow Brand and Yotsuba Milk Products plan to expand dairy exports to Asian markets for fresh revenue sources as domestic demand slows due to price increases. In the past fiscal year, dairy exports surged 30%, totaling 31.9 billion yen, as reported by Japan's Ministry of Finance.

Source: Japan dairy companies bet on Asia exports as demand slows at home

Japanese trading firm Itochu will launch extensive sales of frozen and precooked, plant-based "chicken" items from Thailand's major conglomerate, Charoen Pokphand Group. Itochu imports the final product to Japan, while Prima Meat Packers handles its distribution. Development is set to commence next spring.

Source: Itochu brings Thai 'plant-based chicken' products to Japan

Seaweed is gaining global recognition as an eco-friendly supercrop, aiding carbon absorption by curbing cattle methane emissions. A 2021 University of California study revealed that introducing red seaweed into a cow's diet slashed methane emissions by 80%. Seaweed farming is expanding to meet the rising foreign demand for diverse applications across various sectors.

Source: From Soup Stock to Supercrop: Japan Flaunts Its Seaweed Savvy

Seaweed
Photo: seaweed

Japan’s agricultural policy

In April 2023, Japan's government endorsed a draft amendment to the Structural Reform Act, allowing nationwide corporations ownership of agricultural land upon municipal request, potentially enhancing agricultural productivity. Previously limited to government-designated zones, the amendment's main aim is to bolster farming and productivity. The 2020 Census revealed the average farm size per entity to be 3.1 hectares, far less than EU and US standards. Anticipating putting back into use abandoned farmlands exceeding 0.4 million hectares, the government envisions corporations optimizing their efficiency. As family-owned farming struggles to sustain Japan's agricultural sector, reconsidering the Cropland Act could rejuvenate the industry through improved commercial access.

Source: Japan inches toward agricultural reform

Landscape of Japanese rural scenery
Photo: a landscape of Japanese rural scenery

Amid Russia's Ukraine invasion, Japanese farmers are shifting to local feed and fertilizers due to supply constraints and soaring import costs. The government supports efforts to reduce dependence on imports and enhance food security. The agriculture ministry initiated a forum in February to promote domestic fertilizer use, engaging producers and stakeholders. 

Source: Japanese farmers switching to domestic suppliers

Consumers’ trends

The "Japan Optimal Nutrition Dietary Association," a certifying body, has been introduced to standardize labeling for nutritionally balanced foods. Certification applications are underway, and logo-bearing products are anticipated in stores and eateries this autumn. Nissin Foods has led the way, unveiling the "Complete Meal" brand in 2010, providing a comprehensive mix of 33 essential daily nutrients.

Source: Certification body for nutritionally balanced foods launched