1. 2009 Ridley Aqua-Feed Australian Prawn Farmers Association Conference July 29-31, Townsville, Queensland Japan's seafood consumption and the impact of the economic downturn Bith-Hong Ling Department of Marketing, National Chung-HsingUnivesity TAIWAN, ROC 29 July 2009 bhling@dragon.nchu.edu.tw
2. Outlines Overview of Japan’s seafood consumption Supply and demand Distribution channels Seafood expenditure: by income, age, purchase of place Seafood consumption trend Recent economic downturn Impacts on Japan’s seafood market Changes in food consumption pattern Changes in fishery import Changes in import share and price by origin Changes in seafood choice
5. What are supplied domestically? Major fish production, 2000-08 1,000 t.
6. What are supplied by foreign countries? Imports of fishery products, 2008
7. Seasonal consumption, 2007-08 Seasonal production: tuna(winter), mackerel(summer-autumn), squids(summer) Occasion seasonal demand: New Year celebration (Dec-Jan.), Cherry Blossom season (April), Bon festival (mid-August)
8. Distribution channels General distribution system (6 step process) Fish producers Landing market wholesalers Landing market brokers Central market wholesalers Intermediate wholesalers Food services/retailers stores Consumers Direct sales system (3 step process) Fish producers Landing market wholesalers/trading company Food services/retailers stores Consumers Source: Scuster and Kazunari (2001).
9. Tsukiji fish market in Tokyo The world’s biggest fish wholesale market in the world
10. Tsukiji fish market in Tokyo: tuna Checking quality before the tuna auction
11. Tsukiji Fish Market in Tokyo: tuna During the tuna auction
16. Seafood expenditure: by purchase place yen / month/household (64%) (65%) (72%) (58%) Source: Japan’s National Consumption Survey FY 2005
17. Seafood expenditure: by income Fresh fish and shellfish accounting for 67% (5,224 yen) of monthly seafood spending, followed by salted and dried fish (14.8%, 1,150 yen). Japan’s National Consumption Survey FY 2005 yen / month/household household income group (10 thousand yen)
18. Seafood expenditure: by age The purchase of fresh fish and shellfish declined significantly among younger people (age under 40). Aging effect can be seen for people born between 1935and 1955 (age 50 to 69). National Consumption Survey FY 2005 yen / month/household age group
19. Seafood consumption trend 2007 seafood consumption per capita in Japan had decreased back to the 1970 level (32kg per year), while meat consumption had increased steadily. kg / year
21. In a recent economic downturn …. GDP per capita, Japan (in 2008 US$) GDP growth rate, Japan (%) How has the Japan’s seafood market been changed under the recent economic downturn?
22. Changes in food consumption pattern The largest share of household food expenditure is still for seafood purchase, but its share is on the decreasing rate : a switch from seafood to meat. yen / month
23. Changes in fishery import 1,000 t exchange rate: yen/per US$ million US$ unit price: US$/per kg
27. Changes in import share and price Vietnam and Indonesia largely dominated the Japan shrimp import market, but also strongly faced the export competition from Thailand, India and China. Australia , focusing on premium prawns, received a steadily highest unit price. Import share of shrimps (in volume) Import price of shrimp yen/year yen/t
28. Changes in seafood choice Household reduced monthly expenditures on tuna (expensive fish) from 2708 to 1897 yen during 1998-08, while demand for salmon has been growing . Consumption expenditure (yen/per household) Consumption amount (g/per household) yen/year g/year
29. Further empirical works Building the multivariate empirical model: to analyze the short-run and long-run effects of macroeconomic dynamics on the Japan’s seafood consumption trend. to analyze how the movement of Japanese currency has influenced the price formation of major imported seafood (tunas and shrimp/prawns) in Japan.
