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U.S. Strawberries Make Sweet Sales in Japan art4a

By Kenzo Ito

In a famous haiku, a misbegotten mountain climber, trapped and about to plummet to his death, manages to pluck a strawberry growing near him on the ledge. The last line of the poem: "how sweet it tasted."

Most people don’t have to go to such desperate measures to enjoy the sweetness of strawberries. In fact, U.S. growers are working hard to make sure that all Japanese consumers have to do is walk into their local supermarket.

When 250 members of the Oregon Strawberry Commission voted to expand their mission into product promotion, Japan was the first market to catch their eye.

"There has been a lot of interest in our frozen strawberries in Japan for two reasons," said Jan Schroeder, the commission’s executive director. "First, Japanese consumers want a high-quality, attractive product–which is just what U.S. strawberries are. Second, research suggests that strawberries are rich in cancer-fighting anti-oxidants and may help maintain mental capacity."

Japan has a growing population of aging consumers who, like U.S. seniors, want to stay active and healthy. One out of every six Japanese citizens is over 65. And soon that ratio is expected to be one in four.

The commission’s members originally funded only education efforts and research to protect their crop from disease and pests. Now, in the wake of their decision to promote strawberries internationally, Schroeder traveled to Tokyo this spring to attend IFIA Japan, Asia’s leading food ingredient and additives trade show. She will be promoting U.S. strawberries as an ingredient in everything from yogurt to pastries.

Next year, she said she plans to research more international trade shows through FAS’ Market Access Program (MAP).

Japan Thaws to Frozen Strawberries

Japanese imports of frozen strawberries are expected to grow modestly in 2000 to an estimated 30,000 metric tons according to Tokyo traders. Japanese food processors depend heavily on imports, since few Japanese strawberries are destined for freezing.

Market opportunities there for U.S. frozen strawberries are bright thanks to their reputation for high quality and sanitation standards. In addition, Japan’s processors and consumers like the new strawberry variety, Camarosa, now favored by U.S. growers.

Historically, Japan has purchased U.S. frozen strawberries mostly for making jam. Lately, however, dairy processors and restaurant operators have been using strawberries to create popular new consumer-ready foods such as fruit juices, "smoothies," yogurt and pastries.

What About Fresh Strawberries?

Fresh produce buyers for Tokyo’s supermarkets say their customers look for fresh strawberries all year round. That’s why it’s a good thing that the growing seasons of the United States and Japan are complementary.

"We start to ship in May, and continue right on through the fall," said Stephanie Chastain, export director with the California Strawberry Commission. "From December to April, we don’t export because domestic production is strong then."

Traditionally, about 70 percent of U.S. imports have been purchased by Japan’s confectionery industry. They are often used as cake decorations.

"We also conduct promotions where we sample and share recipes with Japanese consumers," said Chastain. "Our strawberries are a little bigger than those in Japan and they have a slightly different flavor."

Lately, Japanese retailers have been selling U.S. strawberries for use in salad mixes, cut-fruit mixes and juices. Japan’s hotels and restaurants are also developing new menus for seafood and Italian cuisine with fresh U.S. strawberries. Sometimes, the culinary creativity’s notable.

"On one trade mission to Japan, an executive chef from one of Tokyo’s top Italian restaurants demonstrated his skills," said Chastain. "I remember the strawberry spaghetti sauce because it was my favorite."

Tokyo’s coffee shop chains have been doing well, marketing U.S. strawberry-based pastries and baked goods.

Food Safety Important to Japan

art4bRecent food-safety scares in Japan underscore the need for U.S. exporters to stress how carefully their strawberries are screened.

It wasn’t so long ago, that the California strawberry industry found it tough to sell fresh strawberries to Japanese importers and grocers. But the industry worked hard to develop good relationships with Japanese buyers. They let them know about the extensive safety practices of U.S. strawberry producers, and began to make progress.

"About two years ago, things started to improve," Chastain said. "Retailers started doing in-store promotions of U.S. strawberries again."

"Right now," she added, "the biggest problem is losing market share to cheaper berries from other countries. But U.S. strawberries are widely acknowledged by Japanese buyers to be of the highest quality."

Fresh Berries Benefit From MAP

While Schroeder will be looking into MAP for the first time this year, Chastain is a veteran who has often used the MAP program to reach the Japanese market.

She has participated in the program since 1990, using it to reach other markets besides Japan. She has also attended trade shows sponsored by FAS’ Agricultural Trade Office in Japan, including FoodEx.

Strawberry Competition in Japan

Unfortunately, Japan’s just too juicy a strawberry market for U.S. exporters to go unchallenged.

Competitors from China, Korea and Mexico have been slowly but steadily increasing their shipments to the Japanese market. The average import price of U.S. berries in the 1999 season was $2.06 per kilogram, while the average price of competing berries ranged from $1.07 for China to $1.54 for Mexico.

Strawberry Fields for Export

Japanese strawberry production for the 1999/2000 season is expected to be unchanged at 180,000 metric tons, and demand for U.S. strawberries is expected to be bright at roughly 4,500 metric tons. Fresh strawberries are normally packed in clam-shell plastic containers and last year retailed at $4.65 for a 280-gram pack and $3.71 for a 200-gram pack.

Duties for Strawberries Reduced

As of April 1, 2000, the Japanese import duty for fresh strawberries dropped to 6.0 percent. The reduction was scheduled under the World Trade Organization’s Uruguay Round Agreement.

Import duties on frozen strawberries are presently 10.7 percent and 13.3 percent for added-sugar and no-sugar berries. They are expected to drop to 9.6 percent for added-sugar and 12 percent for no-sugar this year.

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The author is an Agricultural Specialist at the American Embassy in Tokyo. Tel: (011-81-3) 3224-5102; Fax: (011-81-3) 3589-0793; E-mail: AgTokyo@fas.usda.gov


Last modified: Thursday, October 14, 2004 PM