Food-related Industry

Accumulation of food-related industries that utilize the 's original food function display system ("Healthy Do") - the first in ! abundance of safe marine and agricultural resources With health-consciousness increasing in recent years, there has been a call to provide detailed information on products such as health foods so that consumers can select products that suit their preferences. In April 2013, Hokkaido began a food function display system (Healthy Do), in which the Hokkaido government grants certification for Largest Food Supplying Region in Japan Fishing Industry of Hokkaido ‒ functional ingredients of products such as health food if scientific research relating to health management is conducted. A certification mark from the Hokkaido government is the Island Surrounded by Oceans placed on qualifying products. Hokkaido's foods already have a reputation for being safe, trustworthy and delicious. This system adds new value in the form of health benefits. Hokkaido has a cold climate and is covered in snow for a long period throughout Products certified the winter, but through the introduction of many western agricultural Hokkaido is bordered by the Pacific Ocean, Sea of Okhotsk and Sea of Japan, and 1st certification: 12 products 2nd certification: 6 products 3rd certification: 8 products technologies since the Meiji period (1868 onwards) along with the creation of a has a total coastline of 4,448km, which is 12.5% of national total. The huge 4th certification: 17 products 5th certification: 13 products 6th certification: 11 products firm foundation for production, we have been able to overcome the problems of continental shelf to the north of Hokkaido, and offshore regions such as 7th certification: 4 products 8th certification: 7 products 9th certification: 3 products the adverse climate. Hokkaido is now home to a large scale full-time agricultural Yamato-tai bank and Musashi-tai bank boast rich fishing grounds. 10th certification: 7 products 11th certification: 8 products 12th certification: 7 products industry focused on rice crops, dry field farming, dairy farming and livestock In 2017, the total amount produced by the fisheries and aquaculture industries in Sales of Products Certified from 2013 to 2017: 12.32 billion yen farming. the Hokkaido territory* was 913,000 tons. This amount represents 278.5 billion yen, As of 2018, Hokkaido has 1.145 million hectares of arable land, ¼ of the national or almost a fifth of the national total, and Hokkaido holds the number one spot for Certification mark Examples of certified products Application procedure for certification (from application to certification) total. seafood production on either scale. Main produce are scallops, sardines, Alaskan Furthermore, the average land size per farm is 28.9ha, 13.1 times the national pollock, kelp, salmon and saury, and the main fishing methods are scallop Applicant average. dredging, bottom offshore trawling, fixed-net salmon fishing, scallop cultivation There are 36,000 farms (commercial farmers) in Hokkaido, which is just 3.1% of the and mackerel fishing. In vitro (test-tube level) evaluation Displayed on product package national total. However, 72.9% of Hokkaido farmers are full-time, compared to the In vivo evaluation (animal testing, etc.) *This figure indicates the quantity landed in Hokkaido. national average of 20.0%. Certification by Hokkaido government Safety testing The agricultural yield of Hokkaido is 1 trillion 276.2 billion yen, or 13.2% of the ■Features and merits of system national total. In addition, Hokkaido is the top producer of dry field crops such as ■Composition ratio by species Ethical review Hokkaido Food Function wheat, soya beans, potatoes and sugar beets, vegetables such as onions, (2017: Hokkaido territory) ・This system is the first food function display system by a local government Display System Panel pumpkins and sweet corn, and dairy produce, and plays an essential part in the body in Japan. Intervention testing Evaluation process Squid QuantitySea urchin Production Value ・The certified products can be sold not only in Hokkaido but throughout Japan. Acceptance by Hokkaido government System operated by Hokkaido government food supply chain for the entire country. 20,000 tons 8.1 billion yen 2% 3% ・In addition to single ingredients, mixed (composite) ingredients such as Creation of report

■Composition of agricultural output (2017) Process before application Octopus Scallops Cod Scallops extracts can also be certified as functional ingredients. 21,000 tons 282,000 tons 8.4 billion yen 74.6 billion yen *What is peer review? Peer review is a 2% Others 31% 3% 27% *Published in peer-reviewed research journal Application system in which reports are evaluated Rice Others ・Applicants do not need to conduct intervention testing themselves. Reports Supported by Hokkaido Food Industry Promotion Organization, etc. and verified by an expert in the same field Other livestock Flounder 130,000 tons 54.1 billion yen 18.5% 10.0% Sea cucumbers from organizations such as universities or manufacturers can be used with the before being published in the journal. Upland crops 25,000 tons 14% 8.5 billion yen 19% 14.6% 3% 3% permission of the report's writer. Total Agricultural Output: Cod Alaskan pollock 1 trillion 276.2 billion yen 31,000 tons 10.3 billion yen ・Companies in Hokkaido will act as an OEM, producing and supplying products for companies both inside and outside Hokkaido. Vegetables 4% 2017 4% 2017 Dairy 16.6% Quantity Production Value 38.5% Saury Hokkaido Wine 37,000 tons 913,000 tons 278.5 billion yen Hokkaido-wide Food Cluster activities 4% Octopus Salmon 11 billion yen In April 2010, the Food Clusters Cooperation and Coordination Body (FC/NW) was established by industry, academia and Other crops 1.8% 55,000 tons 4% government throughout Hokkaido. The organization serves as a Hokkaido-wide promotional body for food cluster (Source: Ministry of Agriculture, Forestry and Fisheries 6% Squid Salmon 12.1 billion yen Saury Kelp 57.9 billion activities to create a full food industry unique to Hokkaido. More than 2,195 organizations (as of the end of February “Statistics of Agricultural Production and Revenue”) Kelp Alaskan pollock Sardines 4% 12.4 billion 21.1 billion 65,000 tons 119,000 tons 127,000 tons yen 2019) are involved in FC/NW, and 533 projects have been proposed and put into action as a result of cooperation and yen yen 21% 7% 13% 14% 4% 8% collaborations by the organizations involved. ■Main agricultural and livestock products for which Hokkaido (Source: Current States of Hokkaido Fisheries) is the top producer in Japan (by production volume) ■Examples of Main Projects Pepo Pumpkin Wheat Soya beans Bareisho potatoes Onions Pumpkin Dairy produce ・Branding of Pepo pumpkin (edible seeds) ・Branding of products such as Gagome kelp 20.0% Hokkaido 33.0% Hokkaido Hokkaido Hokkaido 60.3% 35.4% 64.6% 51.5% Hokkaido 53.5% ・Promotion of Hokkaido's wine industry 39.7% 80.0% 48.5% 46.5% Gagome Kelp Hokkaido Location of Main Food Companies 67.0% Hokkaido's Burgeoning Plant Factories (Source: Crop Statistics and Milk and Dairy Product Statistics, Ministry Hokkaido is the leading center for the food manufacturing industry in Japan. of Agriculture, Forestry and Fisheries) More and more plant factories are being opened in Hokkaido due to the cool climate, many hours of sunlight and vast expanses of land. No.1 in Japan for amount of food shipped The Hokkaido Prefectural Government provides various forms of support for anybody wanting to start a plant factory here. ・Yamazaki ・Kinjirushi Wasabi Hokkaido boasts a large concentration of food manufacturing industries, and is ・Nippon Meat Packers Hokkaido Factory ・Hokkaido Knorr Foods ・Meiji Dairies Corporation ・NIPPON WHITE FARM Oriental Land top in Japan for both the amount of food shipped, and for the number of ■Examples ・Maruha Nichiro Kitanippon ・Nippon Beet Sugar Manufacturing Teshikaga Farm food-related businesses. ・Nippon Beet Sugar Manufacturing, etc. ・Yamaguchi Aburaya Fukutaro J Farm Factory ・NSK ■Shipping Food manufacturing industry (Unit: 100 million) ・MORINAGA MILK INDUSTRY Investors: Add One Farm Co., Ltd., JFE Engineering Corporation ・Hokkaido Sugar, etc. value by Ranking Prefecture Shipping value of products Crops: Mesclun (1ha), tomatoes (1.5ha) prefecture 1 Hokkaido 21,337 ・Fujicco Notable characteristics: Japan's first large-scale tri-generation system ・Yamazaki Baking 2 Saitama 17,590 ・Calbee (powered by heat, CO2 and electricity from a gas engine) ・Kikkoman Hokkaido 3 Aichi 16,250 Oriental Land Co., Ltd. Teshikaga Farm ・TOYO SUISAN Crops: Strawberries (0.8ha) 4 Hyogo 15,896 ・Sato Foods Industries ・Kirin Brewery Notable characteristics: Implemented a heating system using the heat 5 Chiba 14,927 ・ASAHI BREWERIES ・DIETCOOK SHIRAOI from hot springs in the greenhouses (Source: Ministry of Economy, Trade and Industry - “2016 Industry Statistics”) ・NIPPN ・Natural Science ■Number of Food manufacturing industry (Unit: Businesses) ・Oji Cornstarch ・Otsuka Foods businesses Ranking Prefecture Number of businesses ・Hamari Chemicals ・NICHIREI FOODS ・Takanashi Milk Products ・HABA ・Maruha Nichiro Kitanippon ・Meiji Dairies Corporation Support for Plant Factory Initiatives by prefecture 1 Hokkaido 1,779 ・Pickles Corporation ・Kikuchi Foods Industry Co., Ltd. ・MORINAGA MILK INDUSTRY ・HOKKAIDO BUCKWHEAT Hyogo ・Jokki, etc. ・Maruha Nichiro Kitanippon, etc. ・Assistance in finding a site 2 1,185 FLOUR MILLING 3 Aichi 1,141 ・Bontime Hokkaido ・Technical consultations for plant factories ("Concierge" service for horticultural development in ・Hokkaido Sugar 4 Shizuoka 1,129 ・Hokkaido Knorr Foods, etc. ・Calbee Potato ・Prima Meat Packers facilities) ・Meiji Dairies Corporation ・Hokkaido Sugar 5 Fukuoka 916 ・Cosmo Corporation ・Nippon Beet Sugar Manufacturing, etc. ・Subsidies are available for certain plant factories in industrial areas (4-10% of investment in facilities) (Source: Ministry of Economy, Trade and Industry - “2017 Industry Statistics”) J Farm Tomakomai Factory

18 BUSINESS LOCATION GUIDEBOOK HOKKAIDO BUSINESS LOCATION GUIDEBOOK HOKKAIDO 19 Automobile-related Industry

Accumulation of Automotive Industries in Hokkaido With the largest number of test tracks in Japan, Hokkaido is the perfect place for testing, research and development for automobile-related companies

Major automotive companies are expanding to Hokkaido Central Hokkaido is rapidly becoming an important location for many automobile-related companies such as prominent Legend parts manufacturers and software companies. Additionally, the cold weather conditions and large open spaces provide the perfect conditions for many outstanding Main Automobile The shipping value of transportation machinery and number of employees involved have increased by automobile-related test tracks to be built. Testing Track around 50% in the last 10 years. Hokkaido is gathering a great deal of attention as the new manufacturing companies There are 28 such facilities, the highest number in Japan. area for the automobile industry. Essential members of the Toyota Group, such as Aisin Seiki Co., Ltd and Company Company Hokkaido holds an essential role in the testing of new cars for automobile manufacturers, and will remain an important Manufactured Type of Denso Corporation, have expanded operations into Hokkaido, and O-OKA Corporation, Meitoku Hokkaido goods, etc Track location for all manner of research, development and testing for the automobile industry. Co., Ltd., CVTEC Hokkaido Co., Ltd., and Fuji Electronics Industries Co., Ltd. have also established premises in Hokkaido to disperse risk after the Great East Japan Earthquake and tsunami. TOYOTA MOTOR HOKKAIDO, INC. (Tomakomai) Main automobile-related companies outside Hokkaido, and the largest number of test tracks in Japan (28 tracks) ■Shipping value of transportation machinery from Hokkaido ■Automotive companies that have recently and number of employees involved expanded into Hokkaido Honda Motor Co., Ltd. Koutsu Kagaku Subaru Corporation Continental Automotive Corporation (persons) Years in operation Company Head office Location (municipality) All-round winter course, Handling courses High-speed 3,686 3,722 Sougou Kenkyujo (Continental Teves Corporation) 3,606 frozen roads, winding hills Takasu (hundred million yen) 3,530 2006(H18) Hokkaido SEI Steel Wire, Ltd. Hyogo Overall testing tracks, hills Bifuka handling testing courses, city streets Handling roads, dirt roads 3,500 3,311 3,257 9,000 2006(H18) Daysys Co. Ltd. Shizuoka Sapporo Mombetsu 3,179 3,145 8,615 9,026 2,964 8,826 2007(H19) TOKUE sisuner Aichi Ishikari UEHARA NAMEPLATE TOYOTA MOTOR 3,000 2,770 8,263 8,596 8,675 8,500 Co., Ltd. Sumitomo Rubber Industries, Ltd. TOYO TIRE & RUBBER CO., LTD. 8,198 2,657 8,572 2007(H19) AISIN HOKKAIDO CO., Ltd. Aichi Tomakomai CORPORATION 2,861 8,477 Emblems, car horn badges 2007(H19) SATOSHOJI CORPORATION Tokyo Tomakomai Circuits, high-speed dirt roads, long Circuits, measuring roads, hills Frozen roads, compacted snow roads 2,500 2,302 8,000 Saroma 2,279 8,126 8,074 2007(H19) SANWAYUKA INDUSTRY CORPORATION Aichi Tomakomai hills, high-speed winding roads 2007(H19) SANGO Hokkaido Co., Ltd. Aichi Tomakomai Sumitomo Rubber Industries, Ltd. 2,000 7,500 2007(H19) Okaya Iwai Hokkaido Aichi Tomakomai Circuits, hills DAIHATSU MOTOR CO., LTD. SUZUKI MOTOR CORPORATION Denso Corporation Level connection roads, Cold resistance testing courses, Handling roads, artificial 6,884 2007(H19) Umetoku Co., Ltd. Osaka Tomakomai Shibetsu 1,500 7,000 The Yokohama Rubber Co., Ltd. high-speed circuits, flooded roads mountain roads, high-speed circuits frozen roads 2008(H20) Kosei Aluminum Co., Ltd. Aichi Tomakomai Frozen roads, compacted Shimokawa 6,717 1,000 6,645 6,500 2008(H20) Toyotsu Smelting Technology Corporation Aichi Tomakomai Asahikawa snow, winding hills, circular Bridgestone Corporation roads, handling roads 2009(H21) Denso Hokkaido Corporation Aichi Chitose Handling roads, hills, circuits Mazda Motor Corporation Bosch Corporation 500 Muroran Togo Corporation 6,000 2012(H24) Aichi Muroran Country road circuits, Circuits, bumpy roads 2012(H24) Meitoku Hokkaido Co., Ltd. Aichi Abira Veoneer Nissin Brake straight roads Ozora 5,500 Yamaha Motor Co., Ltd. 0 2013(H25) O-OKA Corporation Aichi Muroran Systems Japan Co., Ltd Straight roads for snow mobiles Kembuchi 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 (FY) 2014(H26) Sintokogio, Ltd. Aichi Tomakomai Simulation testing courses and lawn mowers UD Trucks Co., Ltd. (H16)(H17)(H18)(H19)(H20)(H21)(H22)(H23)(H24)(H25)(H26)(H27)(H28)(H29) recreating various road conditions 2014(H26) CVTEC Hokkaido Co., Ltd. Aichi Tomakomai Asahikawa, Higashikawa Straight roads(use of city land)

(Source: Ministry of Economy, Trade and Industry - “2018 Industry Statistical Survey”) Kitami 2015(H27) FJ Composite Materials Co., Ltd. Shizuoka Chitose (relocation of head office) 2016(H28) Fuji Electronics Industries Co., Ltd. Shizuoka Chitose Torc Precision Industry 2017(H29) Ogikubo Tools and Dies MFG Co., Ltd. Nagano Tomakomai Co., Ltd. NISSAN MOTOR CO., LTD.

Accumulation of Forges and Foundries Akabira AT switches High-speed circuits, country ■The shift to regional entities in East Japanese automotive roads, cold region testing roads Rikubetsu An increasing number of forges and foundries are being established in Hokkaido (Nippon supplier chains through the establishment of new locations Keihin Seimitsu Kogyo for automotive companies Co., Ltd. Steel & Sumitomo Metal in particular), providing services such as metalworking of special Engine parts, etc steel manufactured within Hokkaido and aluminum castings. As production capacity of the Toyota Group’ s third largest production base in the Tohoku region expands, Hokkaido TOKUE sisuner ○Materials (special steel ○Materials Drive shaft Hino Motors, Ltd. is able to use this accumulation of related industries to provide material procurement and (steel rods and wire)) ○Processing and (special steel boots (Nippon Steel & (steel rods Brake test courses, assembly of parts ○Secondary operation, etc. processing services to Tohoku, contributing to the multi-tracking and shortening of the Sumitomo Metal, (TOYOTA MOTOR and wire)) high-speed snow roads Ishikari (SANGO Hokkaido, etc.) Memuro Muroran Steelworks) HOKKAIDO, etc.) (Nippon Steel Micro Sapporo Co., Ltd. supply chain. & Sumitomo ○Processing and Small metal cutting parts Metal, assembly of parts Muroran (TOYOTA MOTOR Mitsubishi Motors HOKKAIDO, etc.) Steelworks) AW SOFTWARE CO., LTD. Corporation Efforts in various domains to promote Shift to regional entities in East Development of car Cross-country roads,

Japan navigation software Otofuke high-speed circuits agglomeration in the automobile industry ○Vehicle assembly Aisin Seiki Co., Ltd Secondary (TOYOTA MOTOR Argo System Support Inc. High-speed circuits, operation EAST JAPAN) 3D CAD systems ○ rough road course TBK Co., Ltd. Toyokoro

Additionally, the “Hokkaido Auto Industrial Agglomerations Promotion Council (HAIA)” Sapporo Circuits, hills, was established on August 3rd 2006. HAIA comprises companies, business and industrial Daysys Co. Ltd. brake part testing Software development for Mazda Motor groups, educational institutions and government bodies related to the automobile ○Vehicle assembly automobile meter control (TOYOTA MOTOR Corporation Hitachi, Ltd. industry, and was established to promote incentives for the accumulation of CORPORATION) Compacted snow, icy road Vehicle control programs automobile-related industries in Hokkaido. Denso Hokkaido Corporation Nakasatsunai Manufacturing of on-board ■Main initiatives of the Hokkaido Auto Industrial Agglomerations Promotion Council (HAIA) semiconductor products Matsue Engineering Co., LTD. Chupchinika Inc OBIHIRO DENSHI COMPANY LIMITED.

Mold manufacturing for automobile parts Yuni Precision parts for automobiles

Nanae On-board signals Promotion of Fuji Electronics Relay coils ○ Seminars on business locations in Hokkaido and a booth on Hokkaido at Messe Nagoya ideal locations for Industries Co., Ltd. INCORPORATED Isuzu Motors Ltd. the automotive ○ Visits to automobile-related companies (top-level selling by governor and visits to companies by employees Manufacturing of on-board Chitose ADMINISTRATIVE Straight roads, Obihiro Panasonic Switching industry of offices outside Hokkaido and coordinators from the Nagoya metropolitan area) semiconductor products AGENCY PUBLIC cross-country roads Technologies Co., Ltd. Mukawa Control relays ○ Seminars on production control, quality control, etc. WORKS RESEARCH Monozukuri Nadeshiko Support Project FJ Composite Materials Co., Ltd. INSTITUTE Civil ○ Trade fairs on techniques relating to Hokkaido's automotive industry Encouragement Heat radiation materials Engineering Research Meitoku Hokkaido Co., Ltd. of local businesses (held by TOYOTA MOTOR CORPORATION, TOYOTA MOTOR EAST JAPAN, INC., etc.) Tomakomai Institute for Cold Region Design and production Hitachi Construction Machinery Co., Ltd.

○ Factory tours and presentations about parts through collaborations with the Tohoku area Abira to enter the Muroran Suzuki Cold region testing roads of molds for automobile parts Comparison test course, hills Urahoro automotive industry ○ Individual instruction and advice on solving company issues by a team providing support for entry into the Hardened and tempered market (experienced automobile manufacturers, etc.) wires for automobile springs ISUZU MOTORS LIMITED HOKKAIDO AISIN HOKKAIDO CO., Ltd. Okaya Iwai Hokkaido Sintokogio, Ltd. Casting facilities, shot blasting, Securing and ○ Training workshops on digital engineering Hokkaido SEI Steel Engines Aluminum casting parts(Bulb body, etc.) Manufacturing of metal machine tools environmental facilities fostering ○ Monozukuri Nadeshiko Support Project to encourage women to enter the manufacturing industry Wire, Ltd. Toyotsu Smelting Technology Corporation technical staff (factory tours, educational visits, creation of promotional pamphlets) Hardened and tempered TOYOTA MOTOR HOKKAIDO, INC. Umetoku Co., Ltd. DYNAX Corporation wires for engine valve springs Manufacturing of molten aluminum Trade fairs on techniques relating to AT, CVT, transfers alloys and unprocessed alloys Mold heat treatment, surface treatment Clutch, clutch plates the automotive industry Muroran Total Support Office for Auto Industry, Industrial Location Muroran Togo Corporation SATOSHOJI CORPORATION Kosei Aluminum Co., Ltd. Meiwa Industries, Ltd. Sugiyama Kogyo Co., Ltd. Hokkaido Auto Industrial Agglomerations Promotion Council (HAIA) Automobile springs Development Division, Bureau of Industrial Location Promotion, http://www.pref.hokkaido.lg.jp/kz/ssg/sgs/jidousha1.htm Tomakomai Machining and cutting of steel for automobiles Aluminum wheels Design and manufacture of automated facilities Automotive casting molds Department of Economic Affairs, Hokkaido Government Related Contact Information on manufacturing companies in Hokkaido O-OKA Corporation SANWAYUKA INDUSTRY CORPORATION Kowa Kakoki Co., Ltd. URL Production of precision forging SANGO Hokkaido Co., Ltd. CVTEC Hokkaido Co., Ltd. TEL:(011)204-5323 FAX:(011)232-2139 http://www.pref.hokkaido.lg.jp/kz/ssg/sgs/sanshi/monozuku/ Impregnation processing for Maintenance of shot machine for Machining of automobile castings Metal belts for CVTs E-Mail:[email protected] guidobook.htm gears for automobiles aluminum products producing components

20 BUSINESS LOCATION GUIDEBOOK HOKKAIDO BUSINESS LOCATION GUIDEBOOK HOKKAIDO 21