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| Mixed herd - wagyu and dairy cattle
grazing in Iwate Prefecture, northeastern Japan |
There are three major types
of beef in Japan: Wagyu, dairy, and imported beef.
Wagyu breeds—Wagyu
are beef cattle breeds native to Japan. The current
Wagyu breeds were established in the mid 1900s "after
they were developed in the late 19th century by crossing
foreign cattle with original native cattle” (Peterson
2002:2). Four breeds, Japanese black, Japanese red,
Japanese shorthorn, and Japanese hornless, are recognized
as Wagyu. The majority of the Wagyu in Japan are Japanese
black (Peterson 2002:2). The “extremely highly
marbled ‘Kobe’ and ‘Matsusaka’
beef” are Wagyu raised under an “ideal”
fattening system. They draw their names from regions
of Japan and produce “choicest-of-choice”
cuts that account for a very small percentage of the
total Japanese beef market (Peterson 2002:18-19).
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Wagyu in Kyushu Island
Photo by Fabrice Blocteur |
Wagyu calves are raised until eight to ten months old,
then sold to feeders at around 640 pounds. They are
then fed for another 20 months until they reach 1,500
pounds. The average size of a Wagyu feeding operation
is 37.4 head. Wagyu breeding for meat quality is relatively
new, beginning only in the last two decades. Artificial
insemination is used in 98 percent of the beef cattle
breeding in Japan. A significant concern of Wagyu producers
is whether they will be able to compete if Wagyu is
raised in large quantities in the United States (Peterson
2002: 7-9).
Holstein Beef Production—In
contrast with Wagyu, most male dairy cattle calves are
sold a week after birth to specialized operators, raised
until weaned , and then sold at five or six months,
when they weigh about 620 pounds. The average feeding
time for Holstein steers to reach a finished weight
of 1,650 pounds is about 16 months. Holstein feeding
operations are larger than Wagyu herds, typically about
120 head. (Peterson 2002:4).
Producers—Unlike
their American counterparts, most cattle operators in
Japan are first generation. Similar to American ranchers,
however, many Japanese farmers are older, with 52 percent
over 60 years old. This has significant social implications
(Peterson 2002:6).
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Wagyu grazing in Iwate Prefecture,
northeastern Japan
photo courtesy of Towa-cho, Iwate Prefecture
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Marketing—Market
institutions in Japan are divided into livestock markets,
slaughterhouse facilities, and wholesale markets. There
are about 220 livestock markets, where anyone can register
as a buyer. At these markets, Wagyu cattle typically
sell at high prices. For example, in 2000, the average
price of a Wagyu feeder was US$3,400. The price for
a Wagyu steer can reach up to US$10,000 when bid upon
by exclusive Japanese restaurants and retailers who
specialize in high quality meat. Producers come to the
auction and stand behind the buyers to watch the pricing
and may offer bonuses to the buyers such as local rice
wine and Japanese pickles (Peterson 2002:12).
Slaughtering facilities are typically associated with
wholesale markets or regional meat centers or operated
by local governments. The facilities slaughter both
cattle and hogs. At one of the largest slaughtering
plants, the daily slaughtering capacity is 130 cattle
and 900 hogs. Unlike the continuous line in the American
slaughtering process, “there is a button for each
process that workers use to signal the completion of
a task. The line only moves ahead when the next process
has been completed” (Peterson 2002:10). In the
wholesale markets, carcasses are auctioned off one at
a time. The Tokyo wholesale market auctions about 700
carcasses a day. Because the wholesale market's slaughtering
capacity is only 365 per day, the remainder of the carcasses
are delivered from regional slaughterhouses.
The principal distributors in Japan are wholesalers
and meat processors who procure the meat, process it,
and deliver it to the retail shelf. The large-scale
distributors “have developed wide and diversified
distribution channels, which give them a significant
business advantage” (Peterson 2002:12). Most distributors
handle imported and domestic beef. Wagyu generates the
highest profit margins, followed by imported, then Holstein
beef. Domestic Japanese beef typically takes a minimum
of about one week from slaughter to reach the retailer’s
shelf (Peterson 2002:5, 13).
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| Unloading a dairy cow in Towa-cho,
Iwate Prefecture, northeastern Japan |
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