McCain Japan was officially incorporated in 1987 and since that time has steadily grown in the area of frozen potato and vegetable sales. Other product ranges are also proving to be a successful part of the company's portfolio. The firm has actually been doing business in Japan since 1970. Basically starting from scratch, it initially distributed products sourced from North America through Nichirei. The well established agent just happened to be the country's leading frozen food company and refrigerated warehouse operator. Imports were inventoried in Japan for further distribution to wholesalers and end users.
Today McCain Foods, with headquarters in capital city Tokyo, has a solid business in Japan extending to both foodservice and retail markets. The company operates throughout the country, with a branch office in Osaka plus satellites in Sapporo, Sendai, Nagoya and Fukuoka.
In addition to frozen potato items and vegetables, the line includes pizza pockets and a more recent expansion into appetizers.
Sales of shoestring french fries continue to skyrocket on the thrust of a highly successful spiced french fry concept that has been embraced by several major quick service restaurant (QSR) operators in Japan. Customers get to choose the kind of seasoning they would like to have sprinkled on their shoestring potato fries. Among the flavors currently available are butter, chicken, basil, Italian tomato, soybean-mayonnaise, ginger, garlic, chili, shrimp-chili, cheese, Korean Kim-chi, Japanese plum, and octopus-cheese.
The concept has been a big hit among young people. Even McDonald's Japan is getting spiced up over the idea, having introduced its own line of seasonings after seeing how successful competitors have been with this "new product."
McCain Japan is introducing the Poutine -- a recipe that originated in Canada -- to fast food restaurant chains throughout Japan. The product consists of straight-cut french fries served in a bowl. Cheese is then liberally sprinkled on top of the potatoes. As the last step, gravy sauce is poured on to melt the cheese. This has brought a new way for Japanese consumers to eat fries -- with a fork! Already popular in the Niigata region, there are plans to expand the Poutine concept nationwide.
Onion Ring products from the United States are one recent launch that promises to be very successful for McCain Foods in Japan. A contract has already been secured to supply the product to the country's largest pub chain.
Keen on providing clients with a hands-on feel for the company's potato product roots, last September McCain Japan invited representatives from fifteen of their top customers to the grand opening of the Coaldale factory in Alberta, Canada. The guests enjoyed sightseeing in Banff and Vancouver before returning to Japan. In Coaldale, they were taken through the plant and given an appreciation for the value of buying high-quality product exported from the state-of-the-art facility.
Just how big is the market for french fries in Japan? The Ministry of Finance reports that 227,980,000 kilograms were imported in the year 2000, with the lion's share coming from North America. The USA (where McCain has four potato processing plants) accounted for 218,380,000kg, with Canada contributing 27,300,000kg.
The value of United States exports to Japan was put at [yen] 22,018,000,000, while Canadian producers earned [yen] 2,752,250,000.
Despite an overall stagnant economic climate that has dogged Japan for the past decade or so, McCain Foods has forged ahead unabated. The company has accounts with more than 50 major wholesalers which distribute to over 10,000 locations throughout the nation. This resale network is a most valuable asset, and is testimony of the acceptance of McCain products by the Japanese foodservice industry.