Kumamoto Firm Exports Halal Japanese Beef to Muslim Nations

UKI, Kumamoto Prefecture – Japan’s famed Wagyu beef is finding new appreciation in Muslim-majority nations, thanks to Kumamoto’s Sugimoto-Honten. This family-run producer has successfully navigated halal certification, opening doors to a significant global market. Their premium Kurohana Wagyu is now exported, meeting the dietary needs of Muslim consumers. Sugimoto-Honten’s dedication serves as a model for other Japanese companies. This venture highlights the growing demand for Halal Japanese Beef and the potential for cross-cultural commerce. Their success story underscores innovation and understanding in the global marketplace.

The journey of Sugimoto-Honten into the international arena began in 2021, when the company initiated the overseas shipment of its prized Kurohana Wagyu beef. This premium beef originates from the renowned Japanese Black breed, a lineage celebrated for its exceptional marbling, tenderness, and rich flavor profile. In a remarkably short span of three years, Sugimoto-Honten’s exports have soared, exceeding the impressive milestone of 1 billion yen (approximately $6.7 million based on current exchange rates). This rapid growth underscores the strong demand for high-quality Halal Japanese Beef in Muslim countries and the effectiveness of Sugimoto-Honten’s strategic approach.

Recognizing the potential of Sugimoto-Honten’s success to serve as a blueprint for other Japanese enterprises aiming to introduce Japan-made merchandise to the global marketplace, the Ministry of Agriculture, Forestry and Fisheries (MAFF) has bestowed a significant honor upon the stock farmer, designating it as a “flagship producer and exporter.” This designation not only acknowledges Sugimoto-Honten’s achievements but also positions the company to receive enhanced support in its further international expansion efforts.

Navigating the Complexities of Halal Certification

A fundamental prerequisite for exporting food products to Muslim countries is the attainment of halal certification. The term “halal,” derived from Arabic, signifies “permitted” under Islamic law. This encompasses not only the type of food but also the entire process of its production, from sourcing and rearing to processing and packaging.

The certification process involves rigorous screening of applicants by specialized authorities comprising experts in both religious principles and food hygiene standards. Islamic law strictly prohibits the consumption of pork and any products containing pork-derived ingredients. This prohibition extends to domestic animals that have been fed with pork-based food, highlighting the meticulous scrutiny involved in ensuring halal compliance throughout the supply chain.

Adding to the complexity for exporters is the fact that halal certification systems often vary from one country to another. This lack of universal standardization can make the recognition process particularly challenging for companies seeking to access multiple Muslim markets. Navigating these diverse requirements demands a thorough understanding of each country’s specific regulations and the ability to meet their certification criteria.

Sugimoto-Honten’s Triumph Over Certification Hurdles:

Sugimoto-Honten has successfully navigated these multifaceted challenges, demonstrating a strong commitment to meeting the stringent requirements of halal certification. The company underwent thorough inspections of its ranch and processing factory, providing verifiable evidence that its sanitary conditions and animal rearing methods adhere strictly to Islamic standards. This meticulous attention to detail and unwavering commitment to compliance were instrumental in Sugimoto-Honten’s ability to rapidly scale up its international shipping operations.

The company’s strategic approach to market entry involved a phased acquisition of halal certifications in key regions. As a crucial first step, Sugimoto-Honten secured halal certification in Thailand and Macao in 2020. Building on this initial success, the company achieved the same recognition in the United Arab Emirates (UAE) in 2021, paving the way for its entry into this significant Middle Eastern market and the commencement of its Halal Japanese Beef exports.

Exponential Growth in Export Volumes:

The initial foray into the export market in 2021 saw Sugimoto-Honten ship a modest six cattle, with a total value of less than 10 million yen. However, this marked the beginning of a remarkable growth trajectory. The overseas shipment volume surged to 230 million yen in 2022 and further increased to 370 million yen in 2023. By the following year, Sugimoto-Honten’s export value had reached an impressive 1.1 billion yen, demonstrating the rapidly increasing demand for its Halal Japanese Beef.

To date, Sugimoto-Honten has successfully obtained halal certification in a total of seven countries and regions, including Taiwan and Singapore. This expanding portfolio of certifications reflects the company’s proactive approach to accessing diverse Muslim markets and its ability to meet the specific requirements of each.

Ambitious Export Expansion Plans:

Looking ahead, Sugimoto-Honten has set ambitious targets for further export growth. The corporation intends to significantly increase its export-to-sales ratio from the current 13 percent to an impressive 20 percent by the year 2027. This strategic goal underscores the company’s confidence in the continued demand for its Halal Japanese Beef and its commitment to expanding its international presence.

President Koshiro Sugimoto articulated the company’s determination to overcome even the most challenging certification processes, stating, “We will likewise tackle the challenge of obtaining certification in Indonesia and Malaysia, despite the procedure being particularly difficult in these nations.” This resolute commitment to pursuing even the most demanding markets highlights Sugimoto-Honten’s long-term vision for its Halal Japanese Beef exports.

Cultivating Premium Kurohana Wagyu for the Global Palate:

Sugimoto-Honten’s dedication to quality extends beyond adhering to halal standards. The company meticulously cultivates its Kurohana Wagyu cattle intended for export at select dairy farms not only within its home prefecture of Kumamoto but also in the neighboring prefectures of Oita, Miyazaki, and Kagoshima. This multi-regional sourcing allows Sugimoto-Honten to maintain a consistent supply of high-quality Halal Japanese Beef to meet growing international demand.

The company is also engaged in continuous efforts to enhance the quality of its beef while maintaining competitive pricing. This includes carefully adjusting the recipe for the cattle feed to optimize the flavor and texture of the meat. Furthermore, Sugimoto-Honten is actively working to shorten the current fattening period of 27 to 28 months by several months, aiming to improve efficiency without compromising the exceptional quality that defines its Kurohana Wagyu.

Government Support for a Flagship Exporter:

As a designated flagship exporter, Sugimoto-Honten is now eligible for a range of valuable support from the Ministry of Agriculture, Forestry and Fisheries in its endeavor to further expand the reach of its premium beef products beyond Japan’s borders. This governmental backing can provide a significant boost to the company’s internationalization efforts.

The anticipated support from MAFF includes facilitating overseas promotional campaigns to raise awareness and generate demand for Halal Japanese Beef from Kumamoto. The ministry is also expected to assist in business negotiations with potential international buyers, helping Sugimoto-Honten forge new partnerships and secure lucrative export deals. Additionally, MAFF may organize tours of Sugimoto-Honten’s production areas for the benefit of international buyers, providing them with firsthand insight into the company’s commitment to quality and halal compliance.

A Vision for Global Reach:

President Koshiro Sugimoto’s concluding statement encapsulates the company’s overarching vision: “We will be delivering the world’s finest Japanese Black beef to consumers across many countries and regions beyond religious barriers.” This sentiment underscores Sugimoto-Honten’s ambition to not only cater to the specific dietary requirements of Muslim consumers but also to share the exceptional quality and flavor of Halal Japanese Beef with a wider global audience.