KINJIRUSHI Brings Authentic Wasabi Back to Its Roots with Its Innovative Approach

For 11 consecutive years, we’ve seen Japanese food-related exports increase. If we look at up to 2023, they reached JPY 1.45 trillion. Central to this success are Japanese restaurants, tripling over the past decade. How do you account for this substantial rise in Japanese food exports? Why is now the time for washoku to shine internationally?

I believe the reason why it has become so popular is the health of Japanese cuisine. Traditionally, our cuisine has been health-oriented, and our company specializes in wasabi, a root vegetable that has long been used for medical purposes, dating all the way back to the Asuka period. Japanese people began using wasabi as a condiment back in the Edo period, some 400 years ago. Wasabi itself has many health benefits, so by adding wasabi, Japanese cuisine is even more healthy.

The reason why wasabi is used in sushi has to do with its antibacterial properties, similar to vinegar. Japanese people enjoy eating raw fish, and wasabi can prevent bacteria from making the consumer sick.

You mentioned the health benefits, and post-COVID, there is a demand for faster, more cost-effective, healthier food alternatives. How are you responding to these trends?

Wasabi is commonly known for its tube form both in Japan and globally, but this tube form is a reasonable type of wasabi with additives and there isn’t much actual wasabi in it. The additives are what give it its flavor and aroma. We are particularly interested in providing genuine wasabi, so we have developed a product that is only sold domestically. Frozen small wasabi packs are distributed and sold through supermarkets and co-op super distribution channels. People at home can keep it in the freezer; whenever they want to use it, just defrost it with running water to unfreeze it. It is easy and convenient to use and provides customers with real wasabi flavor. To have the same experience without our product, you would have to grate real wasabi, something difficult to find and which does not stay fresh for a long time.

Is selling this product domestically only a strategy of yours?

The reason why we haven’t been exporting is because each country has its own restrictions on ingredients. Part of it is sold through our Frankfurt subsidiary into local Japanese supermarkets in Europe. In the future, we plan to modify the ingredients so the product is adaptable to local regulations, expanding our overseas sales.

In a recent report in 2023, it was said that 53% of consumers in Japan are concerned about packaging and that this aspect goes into their decisions about whether to purchase products or not. This also plays into the idea of a circular economy and minimizing waste. How is your company reducing packaging and achieving circular economy principles?

Globally, sustainability has been considered quite important, and we are minimizing packaging to the best of our ability. We do get requests, especially from Europe, for package reduction and sustainability.  We are using recycled plastic and trying to replace it with alternative materials such as cellophane, and this plan is in progress.

Japan’s mindset towards sustainability may be lagging behind. As a manufacturer, we have B2C contact with our customers, so our perspective has changed to be more sustainable, and this has probably come as a result of contact with more overseas customers. The materials providers still haven’t fully understood the importance of sustainability yet. Although we want to shift to more environmentally friendly packaging, there aren't the materials available to cater to our needs. It is a gradual process.

Japan’s population crisis points towards the total population dropping to half by the end of the century. This is something that is particularly impacting Japan’s farming industry, a sector where a majority of farmers are over 65. The crisis is also going to result in a diminished labor pool and domestic customer base. How is your company responding to the population crisis, and to what extent is internationalization a key pillar to combat demographic trends?

The aging of wasabi farmers is the greatest issue that we are experiencing, and as you mentioned, the average age of the farmers is about 60-70 years old. We are developing a new wasabi growing method; conventionally, it is grown in more hard-to-reach mountainous areas. We are now introducing more flat land planting and aqua-farming growing methodologies so we can attract more younger farmers to be involved in wasabi farming. Together, we are also developing aqua farming methods under an artificially controlled environment. With the decline of Japan’s population, consumption within the domestic market has diminished. Our major clients are professionals, but the Japanese industry cannot raise the price of the food they provide. This means that we don’t foresee any potential growth in the domestic market in terms of raising prices and expanding quantities.

Overseas, however, we see it as a huge business opportunity. Pre-COVID, we had 25% of our sales coming from overseas, and now that has shifted to 40%. Overseas customers are willing to pay a high price if the quality of the product is good. This is why we hope to even further increase our overseas ratios in the upcoming years.

Your customers domestically are mostly Japanese restaurants. Is overseas a similar scenario?

Yes, our overseas customers are mostly Japanese restaurants.

Are you also interested in venturing outside of Japanese restaurants and providing your wasabi for use in other types of food, cuisines, and restaurants across the world?

We don’t limit ourselves to Japanese restaurants only. Of course, sushi is representative of Japanese cuisine that uses wasabi heavily, and this is becoming popular overseas. The consumption of grated wasabi is also on the rise. At the same time, chopped wasabi is used in Italian and French cuisine, so we are opening up to diverse cuisines.

Kinjirushi exports products to over 70 countries. Which countries do you believe hold the greatest potential for your firm?

Forty years ago, we started our business in the US, and this market still remains the highest ratio composition for our company. We are seeing continuous growth in the US market, followed by the European market. Our company also sees potential growth in Southeast Asia as well as South America and Africa. We have a long-term vision of spreading our wasabi throughout the globe.

Powdered wasabi can be kept at room temperature, but our core strength is seen in frozen and refrigerated wasabi, so we need to find a location that has the infrastructure to accommodate such a supply chain.

What is your strategy for international expansion?

Currently, we only have a factory in Japan. At this moment, our overseas expansion is supported by local distributors, but in the near future, we envision having both more sales support and outsourced production sites.

While many around the world are aware of wasabi, many have also never heard of it. As a leader and pioneer in the wasabi space, can you introduce wasabi and the health benefits it gives? Why should people try your wasabi? 

Wasabi is categorized as a spice, but it is not like red pepper and ginger: wasabi is a vegetable root that is very delicate. What is unique is that while red pepper already has the element of capsaicin, wasabi doesn’t have any functional element like this unless it is grated. The enzymatic reaction in wasabi occurs when the enzyme myrosinase breaks down glucosinolates (GSLs) to produce isothiocyanates, which give wasabi its characteristic pungent flavor. This reaction happens when the wasabi root is grated, which damages the cells and releases the enzyme. 

The grating process is very important. Wasabi is very delicate in the sense that this efficacy evaporates, so retaining aroma and spices is crucial.

Research has highlighted the numerous health benefits of wasabi, particularly its potent antioxidant properties, which help protect cells from damage. Studies suggest that wasabi may enhance cognitive function and alleviate symptoms of cognitive decline. Additionally, it is believed to have preventive effects against carcinogenesis and may reduce the risk of blood clots, contributing to overall cardiovascular health.

Our company has developed a flash frozen grating method with -196℃ that can retain the freshness of wasabi and extract the best functionality of wasabi, including aroma, spiciness, and taste. This is all then retained through freezing and refrigeration. With just five grams a day, people can feel the health benefits of wasabi.

[GALLERY]

I have been researching the efficacy of wasabi for over 25 years now, and this ingredient has so much functionality. Our mission is to spread the word about wasabi around the world and educate people on all of the amazing things it can do. Because of the freezing and refrigerations facilities, our main business has been concentrated on food service and business use. As a matter of fact, we are promoting the health benefits of Wasabi through the development and sale of supplements that can be efficiently ingested. We have just launched new Wasabi Supplements in the U.S. as well. 

Are you looking for new partners or distribution channels to penetrate new markets?

The uniqueness of Kinjirushi is that we handle everything, from growing wasabi plants to sales. We have a comprehensive method from beginning to end. We also develop our own breed of wasabi, providing seeds and seedlings to the farmers to grow. Whereas conventional wasabi makers purchase the ingredients and process them, we go the extra mile. While we do depend on agents, we also support our customers across the globe through our staff and ambassadors who make great effort to explain our products.

The office we established in the US 40 years ago was for this exact reason, giving us direct contact with customers. We have three direct locations globally, but in locations like Spain, we also have ambassadors who act as local agents.

Imagine that we come back in five years and have this interview again. What goals or dreams do you hope to achieve by the time we come back for that new interview?

This is a difficult question. Even in Japan, wasabi is misunderstood, so it is our mission to find a beneficial way to intake it. By providing products that are fresh, people can experience the health benefits of wasabi. Our company motto is “To make the world healthy with Kinjirushi’s delicious products.”

For more information, please visit their website at: https://www.kinjirushi.co.jp/

To read more about KINJIRUSHI, check out this article about them