Japan relies heavily on imports — accounting for over 60 percent of its caloric intake. The United States is the largest foreign supplier of food and agricultural products to Japan, accounting for a quarter of total import market share. Japan’s food industries are well-developed and innovative in all sectors; including, retail, food service, and food processing, and distribution. USDA Japan publishes dozens of reports, many annually, analyzing specific sectors of the Japanese market.
The Exporter Guide is one-stop document to introduce new-to-market exporters (and even seasoned veterans) to information on the overall Japanese market for U.S. agricultural products. It describes the market structure, market trends, opportunities for U.S. products, and top growth prospects. The guide is updated annually. Reports on specific market sectors are shown below. Read the Exporter Guide for more details.
In 2022, the total value of all retail food and beverage (F&B) sales in Japan totaled $327 billion. As the market continues to transition to a post-COVID-19 environment, retailers and food and beverage manufacturers have implemented broad price increases on most food and beverage products, due to high inflation. Supermarkets continue to represent the bulk of sales in the retail food market, accounting for 35 percent, with convenience stores, drugstores and internet sales of food and beverages accounting for the rest of the market.
In 2022, the total sales from the Japan food service industry increased 14.2 percent, totaling nearly $237 billion, representing double digit growth since December 2021. The recovery in the sector is largely attributed to the rebound in tourism, with visitors to Japan exceeding 2.3 million visitors, also boosting the recovery in restaurant sales in all categories. Japan’s food service industry will continue to depend on imported foods, and the U.S. is well positioned to continue supplying this segment.
Highlights of Japan’s food processing industry, notable trends, and a market snapshot of western Japan are reported here. The Japanese food processing industry is one of the world’s most advanced and sophisticated.
Japan’s food manufacturers produce a wide variety of products, from traditional foods to health-oriented foods for infants and the elderly. Production increases were seen in wheat flour, dairy, processed meats, and sugar categories.
Japan’s health-related food market is one of the largest in the world. In recent years, the volume of companies marketing health food products has risen substantially. Significant opportunities exist for U.S. health foods manufacturers and ingredients suppliers. Specialty food buyers from sporting goods food manufacturers, gyms, sporting goods retailers, and drug stores, often seek new products. Read our Health Foods Market report for more details.
The Japanese organic market remains limited in scope, but industry insiders indicate that consumer interest in organics is increasing and that the growth potential of the market is significant. With the U.S.-Japan organic equivalency arrangement, U.S. exporters are well-positioned to take advantage of opportunities that the Japanese organic market may present. Read our Organic Market report for more details.
Japan’s market for hemp-derived products is growing. For details about Japanese regulations and market for these products, read our 3-part series of reports on hemp fiber, hemp seed products, and CBD.
The Japanese Market for Hemp Fiber
The Japanese Market for Hemp Seed and Hemp Seed Oil Products
