Japan Blog

June 18th, 2008

Japan Blog

Posted by admin in Japan Blog

There have been many stories covering this phenomenon. Hashimoto an official at the Ministry of Agriculture was quoted “Drought in Australia which pushed up the cost of cattle feed and bulging demand for butter elsewhere in Asia are making butter imports more expensive and shoppers are turning to made in Japan butter. The bottom line is, however, butter is not our staple food. Personally, I can happily switch to margarine.”

Back in 2006 there was a bit of a glut. Being tightly controlled by the government the dairy farmers were forced to buy back their milk (or their cow’s milk) and pour it down the drain. Many cows were knocked on the head.

There are similar issues with stockpiles of skimmed milk a by-product of the butter making process. Now that world’s traditional exporters are at the point of importing or diverting elsewhere, the big corporations have turned to raiding the domestic larder of fresh milk to produce the more lucrative coffee drinks, cheeses etc.

There is the tariff hurdle the bureaucrats fail to mention. The latest figure I can find, published a year ago is 29.8% plus ¥1159 per kg. I’ve seen total tariff figures of 700-800% mentioned. I couldn’t find any import prices, even rough figures based MDC Datum worldwide wholesale prices, works out to close to 500% last May and 350% this month (given the rises), making the above seem credible.

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