Market analysis and strategy: broccoli to Japan (VG13048)

What was it all about?

This project looked at the potential for Australian broccoli exports to Japan and ultimately contributed to the re-introduction of broccoli to the Japanese market in 2015.

The research focused on the following areas: current market size and growth trends of the broccoli market (fresh and frozen), market access, market segments, competitors, supply chains, consumer research and economic analysis.

A combination of factors, including falling supply and quality issues with United States-sourced broccoli, placed Australia in a position to re-enter the Japanese fresh broccoli market and target the retail and high end food service segments.

Japan has biosecurity requirements for produce that comes in from overseas so these requirements were investigated as well as broccoli consumption in Japan, prices paid by Japanese importers, air and sea freight costs, and other competitors for supplying the market.

The researchers concluded that support would be needed to resume Australia’s exports to Japan, since it would require a shift from air to sea freighting, concerted effort to improve consistent quality and shelf-life, building relationships with key importers, retailers and high-end food service operators in Japan and gaining an in-depth understanding of the needs of Japanese customers and consumers.  

Given Australia’s higher production and supply chain costs when compared with other import competitors, the team also recommended investigating new technologies including mechanical harvesting, electronic grading and alternative cooling, icing and packaging systems to reduce costs and maximise product quality.

They recommend that the focus should be on differentiating Australian broccoli from competitors on the basis of high quality, consistent supply and food safety issues.