Shifts in Japan's supply chain forcing change in the sector

The need for simplification in the Japanese seafood supply chain is forcing consolidation in the wholesale industry.

Japanese buyers purchase from foreign traders to sell to wholesalers, located at authorized fish markets, who then re-sell to processors. Processed food is then largely put back on the B2B market and sold on to retailers and food industries.

The complexity of the system adds extra costs to the final product, leading to prices the Japanese consumer is increasingly less likely to accept.

Traders are therefore beginning to establish more of their own private distribution routes rather than using traditional ones, and this removal of middlemen is changing the shape of the industry.

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