The Oyatsu Company Aims to Become Global Ambassador for Japanese Snacks

By Bernard Thompson

In recent years, Japanese food has become a global sensation, driven by unique flavors, traditional craftsmanship and a growing number of restaurants internationally, as well as an increasing influx of tourists to the country. “Recently, the Japanese yen has seen depreciation, which has also resulted in an increased number of inbound tourists,” notes Tadashi Yokoyama, President of The Oyatsu Company Ltd. “People are learning that Japanese food culture is excellent, which is why Japanese food has expanded rapidly.” Amid this rising interest, The Oyatsu Company, a 76-year-old snack producer known for its iconic Baby Star Ramen, is riding the wave of Japanese food’s popularity while championing sustainability, cultural collaborations and a new chapter in e-commerce.

Founded in 1948, The Oyatsu Company built its reputation by repurposing excess ramen noodle pieces, embodying the Japanese concept of mottainai, or “waste not.” The brand’s flagship product, Baby Star Ramen, a dry noodle snack seasoned with various flavors, has since captured the taste buds of consumers across generations. “Baby Star Ramen is our staple product, born 65 years ago. It is still loved by many people of all ages,” says Mr. Yokoyama. With an expanding lineup, from different flavors to varieties that pair well with alcoholic beverages, Baby Star has become a household staple in Japan and a promising product internationally.

The Oyatsu Company’s commitment to sustainability runs deep. By transforming crunchy pieces of ramen noodles into snacks, the company established itself as an early advocate of sustainable practices before they became mainstream. Today, it remains dedicated to reducing waste and contributing to a circular economy, a sustainable approach that aligns with a global emphasis on environmental responsibility in the food industry.

The Oyatsu Company's growth trajectory took a significant leap when investment firm Carlyle acquired it in 2014. Under Carlyle’s ownership, the company experienced 25-percent growth in consolidated sales, quadrupling its international sales and expanding into 34 markets. Mr. Yokoyama attributes this growth to increased production efficiency, streamlined marketing and R&D improvements. The company’s performance was so impressive that it earned a spotlight in a 2023 case study by METI (Japan’s Ministry of Economy, Trade and Industry).

In 2022, The Oyatsu Company was acquired by D Capital, a move Mr. Yokoyama views as essential for international expansion and e-commerce growth. “With D Capital, we want to strengthen our position in overseas markets. Regarding the domestic market, we would like to expand our e-commerce business,” Mr. Yokoyama explains. D Capital’s support, paired with The Oyatsu Company’s improved organizational structure, is positioning the company to meet new demands and broaden its customer base internationally.

The Oyatsu Company's journey to international markets has been steady and strategic. Its presence in Taiwan, bolstered by a local factory established eight years ago, has given the company a solid foothold in the region. “Before that factory’s establishment, we exported our products to Taiwan and Hong Kong for about 40 years,” says the president, highlighting how the company capitalized on its market presence in Asia.

The Baby Star brand's ambitions now extend to Western markets, particularly North America. “In May of this year, we established a local company in the U.S., so we are about to expand in that market,” Mr. Yokoyama shares. “Our original chicken flavor product is the most popular in Japan, but we have a lot of different flavors that can be exported to other markets. This includes spicy chicken, yakisoba (Japanese fried noodles), barbecue and others. These varieties have sold well in other countries. In North America, we have four different flavors—soy sauce, red chili, tonkotsu and wasabi.”

Since the COVID-19 pandemic, Japan’s e-commerce market has become the fourth largest in the world. The Oyatsu Company aims to capitalize on this growth, especially through products catering to health-conscious consumers. Its Body Star line, designed as a convenient protein snack, has found a niche among those seeking healthier, ready-to-eat options during remote work. “Products such as our Body Star line were meant for people working remotely, so we would like to utilize these products to expand our e-commerce,” Mr. Yokoyama says. The simplicity of these snacks—which don’t require added water or milk—has made them a hit domestically. With plans to extend this line globally, The Oyatsu Company’s e-commerce offerings align with trends in health and convenience.

The firm’s unique approach to brand building includes an extensive series of pop culture collaborations that have reinforced Baby Star Ramen as a fun, ubiquitous brand. From high-profile partnerships with New Era and Reebok to collaborations with Family Mart, 7-Eleven and popular franchises like Demon Slayer and Street Fighter, The Oyatsu Company has solidified Baby Star Ramen’s presence across food, fashion and entertainment. The president explains the thinking behind these collaborations: “The general theme is finding Baby Star Ramen everywhere. Despite our brand awareness being almost 100 percent domestically, we are trying to increase the opportunities for consumers to look at Baby Star Ramen.”

These partnerships keep Baby Star top of mind in daily life, creating a connection with both Japanese and international fans. Mr. Yokoyama’s enthusiasm for these collaborations is palpable, reflecting The Oyatsu Company’s commitment to blending innovation with nostalgia. “We want Baby Star Ramen to appear everywhere in people’s daily lives. To this end, we have collaborated with many products, from sake and beer to T-shirts and gold,” he says.

From sustainable practices and strategic acquisitions to bold overseas expansions and inventive collaborations, The Oyatsu Company has crafted a unique path to international success while staying true to its roots. For Mr. Yokoyama, the future holds exciting possibilities: expanding the company’s reach, enhancing its e-commerce presence and ensuring that Baby Star Ramen remains a beloved staple both in Japan and worldwide.