Last week, a 600-strong Belgian delegation visited Japan on an economic trade mission. Princess Astrid led the group which included Flanders' Agricultural and Fisheries Marketing Board (VLAM) and the cooperatives, BelOrta, Coöperatie Hoogstraten, and BFV. "The main focus was on processed potato products and vegetables," says Gert Van Causenbroeck, export manager at VLAM. "Many fruits aren't yet allowed in, but negotiations are currently underway for Belgian Conference pears to enter the Japanese market."
Japan is a net food product importer. Locally, they produce barely 37% of its 125 million inhabitants' needs. Thus, it is a considerable global market importer. "They also have high-quality standards. Belgian's strict food safety and quality rules mean our products can meet those standards nicely," continues Gert. The delegation visited importers and retailers.
"That was an extremely positive experience, and we made concrete agreements. We're talking mainly about chicory, the product with the greatest export value, but even niche products such as celeriac, salsify, and kiwi grapes have established supply lines from Belgium to Japanese supermarkets and greengrocers. These are considered delicacies there and are popular in the higher-end restaurants."
Regarding potato exports, Belgium is a world leader, especially when it comes to frozen products like French fries. And it is the largest European supplier in Japan. During the Prince's Mission, VLAM organized an event for Japanese customers in Osaka on the evening of December 8.
Guests were treated to a typical cone of fries and accompanying Belgian beers. That organization wants to make Japanese consumers more aware that Belgium is a fries country par excellence. Agresto and Clarebout, two of the global potato product production and export players, were part of the mission.
Great potential for high-quality products
Coöperatie Hoogstraten's Jan Engelen agrees that Japan offers great potential for Belgian products. "It's a particularly large sales market. Three times as many people live in the capital, Tokyo alone, then in the whole of Belgium. So, you can reach more people in a single city than in your entire local market."
"We visited retailers, from discounters to high-end stores, and even at the discounters, the quality was tremendously high. Their prices are also a bit higher, but people are willing to pay them. Maintaining quality via air freight thus presents some challenges, but when that succeeds, it offers great opportunities," explains Jan.
"Certainly also because there's a new European Union/Japan free trade deal in the works," adds Gert. "However, it remains a market where the personal approach is paramount. You have to personally contact customers often." Jan experienced that during his time in Japan. "Then, of course, in a traditional country like Japan, it's fantastic to have royalty in your company. I've been there twice. I attended the Foodex fair in Tokyo, but royal company opens other doors."
Yet, Europe remains Coöperatie Hoogstraten's main market. "We still do most - 80% - of our selling in a 400km radius of our cooperative. We already did trade with Hong Kong and the Middle East. Like Japan, these are nice additional markets. They are niche markets, but for the medium term, they remain exciting to consider," says Jan.
"This mission was a wonderful chance to make contacts and build on those. Plus, I found it interesting to look at the country from a marketing perspective. I noticed, for example, that they are much less concerned with sustainable packaging in Japan. Quality and aesthetics still seem more important than sustainability. So the products are wrapped in lots of plastic. That's, undoubtedly, a big difference from Europe."
Market access for Belgian Conference pears
Besides exploring and establishing contacts and networks, the trade mission yielded concrete results. "Hard work is being done to gain access for Belgian Conference pears on the Japanese market," Gert explains. "The Belgian Federal Agency for the Safety of the Food Chain, FASFC, and its Japanese counterpart, MAFF, are already in direct negotiations," Jan states.
"We're sure Conference pears will enrich Japan's local range. Compared to those pears, Conference can definitely take its place in that market. Demand already exists among importers and retailers. The Japanese government just needs to honor that, but there's definite progress."
That is what Coöperatie Hoogstraten wants to achieve with its tomatoes too. "We have three main product groups; strawberries, tomatoes, and bell peppers. Not all these can be exported to Japan. However, a case has already been made to create an opening for exporting Flemish tomatoes to Japan. That's also being done via the FASFC and MAFF, but it's a long-term project. It took time for Conference pears; that will be no different for tomatoes. A mission like this helps push the right buttons," Jan admits.
Both Jan and Gert cannot deny that Japan and the region surrounding it offers great potential. "We're also considering South Korea, a similar scenario to Japan. These are great markets for Belgian companies that we happily support. We also support our fruit and vegetable exporters at Foodex Tokyo. We won't have a fruit and vegetable pavilion, but VLAM will be with other sectors. We can certainly help exporters who want to do follow-up there," Gert concludes.
For more information:
VLAM
Tel: +32 (0) 255 28 032
Email: [email protected]
Website: www.vlam.be
Coöperatie Hoogstraten
59 Loenhoutseweg
2320, Hoogstraten, Belgium
Tel: +32 (0) 334 00 211
Email: [email protected]
Website: www.hoogstraten.eu