Kikkoman to Form Soy Sauce Sales Firms in S. America, India

June 7, 2018

Fontana, Wisconsin- Major Japanese seasoning maker Kikkoman Corp. plans to set up soy sauce-marketing companies in South America and India within five years as part of moves to boost its overseas operations, its honorary chairman, Yuzaburo Mogi, said Wednesday.

Mogi unveiled the plan at a press conference in Fontana, Wisconsin. The company has a factory in the Midwestern U.S. state.

Among emerging markets, Kikkoman does not have a soy sauce production base or sales network in South America, India and Africa.

In its long-term business program, Kikkoman has set a target of putting its soy sauce sales onto a growth path in South America in the 2020s and in India and Africa in 2030 at the earliest.

Mogi said that Kikkoman sees demand for soy sauce for meat seasoning in South America, while noting that "as curry is deeply rooted in Indian culture, we have to be a little creative" in selling soy sauce in the South Asian country.

He suggested that Kikkoman hopes to launch a soy sauce sales company in Africa within 10 years, saying that "it would take some time to see income growth there."

At a time when soy sauce demand in Japan is slumping due chiefly to the country's falling population, Kikkoman now earns about 60 pct of its sales and 70 pct of operating profit in overseas markets on a consolidated basis. The proportions are expected to increase further. Jiji Press