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"National Sake" Illuminates Japan's Future: An Interview with Taiji from Oita (Part 1)

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Communicating the value of sake through video

Kishihara:
Could you please be more specific about "storytelling"?

Yukimatsu:
I was shown the actual sake brewing process and was impressed and surprised by many things I heard from the brewers, and gradually began to share this with those around me.
As we were talking about what was so great about this sake, the idea came up for Nori (Ito) and I to talk about it together and spread the word.

Ito:
One of the things I'm currently working on with Kaori (Yukimatsu) is running the official YouTube channel "Sip of Japan." We're also posting in English so that it can be understood by people overseas. We're also conscious of people watching as a way to start learning English, so we've provided subtitles in both Japanese and English. We'd be happy if it sparked an interest in sake and shochu.

At Sip of Japan, we place importance on conveying the "story" behind the alcohol.

Selling alcohol overseas requires education. If people don't know about it, they won't be able to sell it.
For example, alcohol is somewhat well-known in major cities in North America, but if you go a little further out into the country, the image of "alcohol = something to get drunk" is still strong, and people tend to think of it as cheap alcohol.

In order to sell a $60, $70, or even $100 bottle to people with this image, it's important to help them understand what alcohol is in the first place.
Sake is relatively expensive in restaurants overseas, but people are still willing to pay to drink it because it's a good experience. At Sip of Japan, we want to continue to provide educational content.

Kishihara:
Why video media?

Ito:
For example, we are currently producing a documentary film about Inoue Sake Brewery.
Inoue Sake Brewery has a wonderful story and is a very attractive brewery. Another unique feature is that the president, Yuri Inoue, is at the center of the sake brewing process. She is so particular about her work that she germinates the sake rice "Omachi," plants it, and even runs the brewing water through the rice fields.

Filming began this spring and is scheduled for release around summer next year. This will be the first time we've produced a film of it, but I'm sure it will be a hit.

Inoue Sake Brewery's "Yuri-jikomi" Junmai Daiginjo Unfiltered Raw Sake Nakagumi

With "Sip of Japan," I would like to capture the thoughts of these craftsmen on film.

Other brewers feel the same way. Because sake can only be brewed once a year, the number of times left in one's life is limited. Some may only have 30 or even 10 more brews to go. YouTube is a very effective medium for recording the thoughts and passions of the brewers at each stage of their sake making.

It also becomes an asset. Because it will be picked up by search engines, even a video from 10 years ago can be accessed from all over the world. When someone interested in alcohol searches in English or Japanese, the video will appear, and they will be able to see the brewer's commitment.

Kishihara:
If you drink it with that information in mind, it will taste even better. Education deepens your appreciation. Watching the video while drinking makes the experience even more fulfilling.

Ito:
It is extremely valuable to get a visual understanding of the place and the people who are building it.
Although video cannot convey taste or smell, it can help you imagine what it tastes like. A lot can be conveyed in 10 minutes through visual information and sound.
In the future, 10 or 20 years from now, the footage may be used as a reference, and at that time, people will be happy to learn about the hardships that went into building these things back then.
When the brewery changes hands, it is very meaningful to be able to learn about the thoughts and feelings of the previous brewer when making sake. Even if the people involved change, the history of the brewery continues to accumulate.

"Sake Assemblage" is a new sake culture

The sake they actually blended in Kyoto. Yukimatsu is on the left and Ito is on the right. Both commented, "It's a perfect blend!"

Kishihara:
I heard that you tried My Sake World's "Assemblage" during your recent trip to Kyoto.

Ito:
When I actually made it and tried it, I found it to be very delicious. Each bottle was carefully crafted, and any parts that were a little too sweet or a little bitter were nicely complemented, resulting in a well-balanced flavor overall.

Yukimatsu:
The balance of bitterness and sweetness made it easy to drink and the finish was very delicate.
Originally, I was a little hesitant to use sake in cocktails. I had doubts about mixing it with orange juice and other ingredients. If it sells, then I suppose it can't be helped, but I also felt a sense of guilt, wondering if it was really okay.

However, I felt that "Assemblage" was a true "blend."
By combining these delicate sakes as ingredients, a sake like a crystal ball is created. It was so delicious that I wanted to keep drinking it.

The sake is not just from one brewery, but also from other breweries, and is a mix of aged sake, which broadens the range of flavors and I thought was a very interesting initiative. By mixing different elements, the merits of each individual drink stand out.

Kishihara:
The other day, there was an exhibition and tasting of this blended liquor at an event in Tokyo that attracted many foreigners.
When a French person asked me, "What is this?", I told them, "It's an assemblage," and they seemed to understand. It was easy for them to understand because it is based on elements of wine culture.
On the other hand, blending sake is a new endeavor, and it involves the pride of the brewers, so it seems necessary to have a common understanding that it will result in something good.

A look at "Blendtokyo" held in Tokyo.

Ito:
At My Sake World, we hope to create a blended experience where you can take home a sake that you have blended to your taste, and think about what blending is while tasting it.

My Sake World experience

If you can't see the video,click herePlease check the link below.

We want to flexibly respond to the needs of each country

Kishihara:
In the export business, are there any markets you are particularly focusing on going forward?

Yukimatsu:
Rather than focusing on a specific country, we respond flexibly to the needs of buyers in each country, and through our activities over the past 10 years, we have realized that sake is becoming more popular all over the world.

When overseas importers are unsure which liquor to choose, we make suggestions based on region and size.
Since the quality of sake varies depending on the refrigeration environment and manufacturing method, we often recommend well-made sake that will not deteriorate easily. Excellent buyers have discerning eyes and will carefully evaluate even the smallest details, such as the shape of the bottle and the design of the label and cap.

Recently, we have been receiving consultations from regions such as India and Indonesia, where it was previously difficult to provide services due to religious reasons. This trend suggests the potential of emerging countries.

Ito:
In Canada, where I lived, or in the rural areas of France, where I spent time with my family, it was rare to see sake. Even if I wanted to use it in cooking, it was difficult to find even inexpensive sake.

When I think about it, I feel that the distribution of sake is still insufficient.
While rural supermarkets in Japan always carry beer, it is rare to find even one type of sake in a rural supermarket overseas. In order to change this situation, we need motivated people who can become our "friends" and spread the value of sake as a "national drink."

A "home country" that needs a change of mindset

Kishihara:
You mentioned the word "comrades." What kind of people do you imagine?
Ito:
In Japan, this would mean young people who understand the value of alcohol and have the ability to communicate it.

In Canada, even the younger generation has a culture of paying for good things to enjoy, but I feel that this awareness is a little weaker in Japan.
I hope that more people will drink sake while experiencing its identity and culture as a national alcoholic beverage, rather than being satisfied with just cheap happoshu or chuhai. It is important for the industry to raise prices, but what is even more important is that more consumers understand its value.

Yukimatsu:
The current image of the main consumer overseas is, for example, a man in his 30s who is active in the fintech industry.
They are curious and adventurous, have a high level of taste for a variety of things, and have a deep knowledge of alcohol.

When people who are experts in the taste of wine or oysters try aged sake, they sometimes give us comments that even surprise us. When we see how people evaluate sake in this way, we are reminded of the potential of sake.

Ito:
It seems that among young people in Japan, a lifestyle where they are satisfied with Strong Zero Chuhai and convenience store rice balls is becoming more and more common, and cultural values ​​are being overlooked.

Yukimatsu:
Prewar Japan had advanced craftsmanship and cultural techniques, but today that spirit is being lost.
Also, overseas, you can often see people who try shochu for the first time talking deeply about its merits, but it may be difficult for Japanese people today to talk in the same way about wine when they try it for the first time.

When I take my overseas friends who come to Japan out to eat, they go to not only izakayas but also Michelin-starred sushi restaurants. However, for young Japanese people, this is difficult due to financial reasons. I wonder how many people there are who can talk about alcohol while enjoying a meal.

Even if you make good sake, if there are no young people to appreciate it and spread the word, its value will not spread. Having a strong presence of both brewers and drinkers is essential for the development of the culture.

When brewers and buyers face each other with the same energy, products flow naturally. If either party is weak, the flow will stop, and it is this tension, like a tug-of-war, that creates good products.

In the same way, as young people in Japan live more affluent lives and begin to pay more attention to culture, the value of sake will naturally increase. The ideal society would be one in which people can enjoy good sake at a fair price, rather than having to finally get their hands on it through hometown tax donations.

Ito:
Since the COVID-19 pandemic, the culture of drinking at home has become widespread. Because it is more economical than drinking at a restaurant, I hope people will choose higher quality alcohol rather than cheap drinks.

People in their 30s overseas, even if they aren't big fans of alcohol, are keen to learn more about it. In Japan, many people don't even know the difference between junmai sake and honjozo sake, which is a bit sad.

In France, students learn about wine culture through tastings in elementary school. I feel that in Japan, too, education about wine as a national drink is necessary. Overseas buyers have also pointed out the importance of first contact.
The value of alcohol is conveyed by experiencing its aroma and flavor, and in France, there is a culture of families gathering together, enjoying a meal over several hours, and tasting different bottles.

Children will naturally acquire knowledge by listening to the conversation.
In Japan, the negative aspects of alcohol tend to be emphasized on social media, but we need to do more to spread awareness of the cultural value of alcohol. Although eating out culture is different, I would like to see a culture in Japan where a host serves alcohol at a friend's home and talks about the alcohol.

Such conversations enrich the table and serve as an opportunity to broaden knowledge about alcohol. In France, families often discuss wine in front of their children, which helps pass on the culture.
I hope that in Japan too, more people will talk about and pass on culture through drinks and dinner with family and friends.

Ability to meet global standards

Kishihara:
What other challenges does sake face?

Yukimatsu:
Currently, the perception that alcohol is bad for your health is spreading worldwide. The idea that even small amounts of alcohol can have an adverse effect on your health is becoming more widespread.

However, for the Japanese, sake is a cultural entity that has been considered in conjunction with shrines. Treated as something sacred, it has been carefully produced throughout history. This spirituality is still deeply rooted in sake brewing. I believe that by understanding the preciousness of rice offered to the gods and learning the thoughts that go into sake brewing, the value of sake can be conveyed more deeply.

I myself knew nothing about alcohol and only drank a little during the New Year holidays, but learning about the background of sake made me realize how precious it is.
I think that overseas consumers are aware of the superficial value of sake, but I feel that they have not yet fully understood that it is made with the feeling of becoming one with the gods.

I was previously asked to work on duty-free goods and would often visit duty-free shops during overseas business trips, and I was surprised to see Chinese liquor lined up for prices of 80 yen or 100 million yen. There are many wealthy overseas Chinese in Canada, and in a back room there was a display of whiskey worth 1500 million yen, and the sales floor felt like the "Olympics of alcohol."

On the other hand, sake is often displayed simply near the entrance of the store without being refrigerated, and it seemed clear that it was not valued as a luxury item.

An overseas buyer once asked a brewery, "Can you make sake that costs more than 5 yen?"
However, even if there is such demand, the reality of sake is that it is difficult to suddenly raise prices, and I believe that price is an important issue that will determine the future fate of the industry.
Unless breweries find ways to communicate value that matches the price, including not only the contents but also the design, it will be difficult for them to survive.

Kishihara:
How do you communicate value?

Yukimatsu:
In the world of wine and whiskey, independent bottlers have emerged and efforts are being made to increase value. In the same way, sake needs to be promoted as a complex and valuable "brewed alcoholic beverage."

For example, if only a certain number of bottles of alcohol can be produced from one tank, it may be perceived as a high-end alcohol and be expensive in Japan, but overseas it may cost six times that amount.

In reality, sake is of such high quality that it could be sold for over 1 yen in Japan. However, due to a lack of accurate information, its value is not fully recognized.

In order for breweries to survive for 100 or 200 years, they need to reconsider the price they set per bottle. We need to spread awareness that sake is something far more expensive and precious. Sometimes I wonder, "Why is something so delicious priced like this?"

Kishihara:
Why isn't it being corrected?

Yukimatsu:
In the case of sake, the shipping price is the wholesale price minus the liquor tax, which means that it is seen as very cheap, and this has become established over the past 10 to 20 years. There are some brands with shipping prices of less than 1000 yen, so it is difficult to raise prices immediately.

When shipping overseas, legal labeling and promotional costs are incurred. Shipping prices should be reviewed taking into account the costs of these expenses. Furthermore, product liability insurance and trademark acquisition costs should also be taken into account to set an appropriate price.

If the product is exported overseas at its original price, it may not be possible to cover additional costs. Unlike other alcoholic beverages, sake has its own labeling issues, so careful consideration is required for its labels and packaging.
Currently, many breweries are already selling their products at a loss at the shipping stage, and the reality is that they are unable to respond to requests from overseas buyers and retailers to provide posters or promote their products.

In this situation, it could be the cause of the spread of sake to halt. Compared to alcoholic beverages like tequila, which have a solid margin and extensive promotional materials, sake breweries are forced to maintain low prices in exchange for promotional support, and it is psychologically difficult for them to raise prices.

However, with the price of rice rising, I have heard that if things continue as they are, the number of brewers in the next generation may be cut in half, which is a very serious problem.

With disposable incomes of Japanese consumers in the home market stagnating, pricing presents a dilemma. There is a dilemma over the fact that sake, which has long been made only for Japanese consumers, becomes expensive as soon as it is exported overseas.
Sake that sells in large quantities is sold at low prices, but if you look at the pricing of these manufacturers, you will see that it is very cheap.

Kishihara:
Regarding export lots, your website states that you can accept orders for as little as one box. I'm impressed by your flexible approach, as you collect your shipments in Yokohama or Kobe and can handle LCL (less than container load) shipments, even if they're not in container quantities.

Yukimatsu:
There is no need to be shy and say, "We can't produce that much," and it is natural for customers to start with one pallet and then grow to container quantities. It is difficult to start with container quantities straight away, but starting with a small amount opens up a wide range of possibilities.

Kishihara:
What about the supply capacity issue?

Yukimatsu:
For small-scale production breweries, even if there are good buyers and a market, the reality is that supply cannot keep up.
American supermarkets hate stock shortages, and because they require constant stock, it is necessary for breweries to purchase and bottle tax-free alcohol and create a system for stable supply.

Kishihara:
If there is a dilemma that sudden capital investment is risky and that prevents an increase in production volume, perhaps breweries could form a coalition of some size and work together while respecting each other's brands, thereby raising prices and securing supply. In that sense, initiatives like Sake World's "Assemblage Club" would be effective. Thank you for sharing your valuable insights.

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There are breweries across Japan that have been exporting overseas for a long time, and others that have just started. They all share the same concern: they want to increase their sales volume, but it's not easy.
Taiji sympathized with his concerns, and I was impressed by President Yukimatsu's words: "I'm prepared to take on the risks for the brewery!" After a passionate three-and-a-half-hour interview, I too renewed my resolve to spread Japan's proud sake culture to the world as a "traveling sommelier."

writer:
Fumiaki Kishihara / Sommelier, HBA cocktail advisor. He loves sake and other alcoholic beverages around the world. He has served as brand manager for the world's three major beer brands and Western alcoholic beverages.
32 years of experience in the alcoholic beverage industry both in Japan and overseas, including running a craft brewery in Kyoto. Supports the global expansion of ambitious Japanese alcoholic beverages. Representative of BOONE LLC. National Licensed Guide-Interpreter. Resides in Tokyo.