2023 Volume 30 Issue 3 Pages 149-157
This study examines the working behaviors and prospects of Japanese trading companies, focusing on corn and soybeans, from their sourcing to importation into Japan, by revealing the grain distribution process in the USA. The study also considers access to agricultural land, which is an important factor from the perspective of food security. The results showed that first, each company has expanded the grain sourcing network; recognizing the advantage of long-term relationships, gathering information, reducing costs, and meeting non-genetically modified organism (GMO) demands. Second, Japanese companies have gained their share in the grain distribution in the USA under the structural change of the distribution industry, however, the share has been declining recently. In addition, it is considered to be effective for them to strengthen food security by entering into production by acquiring farmland. In recent years, there have been moves to tighten regulations in some states, which make it difficult for Japanese trading companies to access farmland, especially in grain-producing areas. Japanese trading companies rely on the sales of grains for the domestic market. The study concludes that future restructuring of port and feed industries in Japan, and a shrinking domestic market due to an aging society will be causes of concern, and that establishing profitable sales outside Japan will be the challenges, which affect Japanʼs food security.
