Meanwhile, Japan is experiencing the highest increase in food imports bills. That’s because of the bad harvests, declining yen, and increased competition from other countries. As of the most recent report by the Ministry of Agriculture, Forestry and Fisheries, total food imports went over 10 trillion yen in 2023 and 2024. Even more troubling, this dangerous trend puts the nation’s food security at risk.
The surge in expenses have been ascribed almost exclusively to insufficient home-based agricultural production. A poor climate for agriculture has decimated crops, exacerbating the higher costs of bringing in goods from abroad. To compound this, the recently weaker yen has added salt to the wound by making foreign products more costly for Japanese consumers and businesses as well.
In just the first five months of 2024, agricultural imports increased 5% compared to the previous year, reaching nearly 9.54 trillion yen. This rising percentage is a reflection of Japan’s heavy dependence on overseas food supply as local agricultural production fails to keep pace with consumption needs. The outlook for Japan’s fish trade seafood imports soared 2%, reaching an all-time record of 2.06 trillion yen in 2018. This increase is a symptom of the broader issues plaguing the agricultural industry as a whole.
Of course, this year Japan’s food import spending has been greatly impacted by bigger international agricultural dynamics. The Philippines, a top banana exporter to Japan, has seen its annual banana production drop by nearly 80%. This decrease is largely the result of crippling drought that has consumed the region. This perfect storm has created fierce competition among exporting countries, driving up prices even more and hampering supply.
The combination of all these stresses has produced a most dangerous situation for Japan’s economy. Total food imports have exceeded 10 trillion yen for the past three years, 2022, 2023 and now 2024. Compounding the issue, the nation is experiencing greater dependence on global food sources. Today, shifts in the global agricultural market still threaten Japan’s food security and economic stability.