Japan, a leading industrial nation, is making significant strides in the agricultural sector. Despite facing challenges with a shrinking agricultural production scale, Japan's agriculture is undergoing a remarkable transformation with impressive success. Premium imported fruits from Japan, such as cantaloupes priced at NTD 6,000 (equivalent to approximately USD 196 or RMB 1,372) each in high-consumption markets like Taiwan's upscale supermarkets, are highly sought after. Similarly, watermelons priced at NTD 8,000 (equivalent to approximately RMB 1,827) each are commanding high prices in these markets. These premium fruits are a testament to Japan's long-standing reputation for producing top-quality agricultural products.
What sets Japan apart as a global source of premium fruits? The answer lies in “precision agriculture”.
Precision agriculture is not focused on mass production, but rather places a strong emphasis on quality, ensuring that agricultural products are of the highest standard and able to command premium prices. This approach should be embraced as a key policy for China's primary industry.
Reflecting on the past, I once proposed the idea of "precision manufacturing" as a solution to various development challenges in China's manufacturing industry, including high costs resulting from real estate, labor shortages, and product quality competition. However, this concept was later replaced by the term "craftsmanship spirit" coined by economists and officials, and widely promoted. My proposition of “precision agriculture” is with the hope that it can be presented as it really is, without repeating what happened to "precision manufacturing".
It is worth noting that, similar to "precision manufacturing", "precision agriculture" is not a personal concept like "craftsmanship", but rather an industrial thought aimed at addressing the development challenges faced by struggling industries.
To cite an example, a single box of cantaloupes was recently sold at an auction for a staggering JPY 5 million in Yubari, Hokkaido, Japan. What makes this even more astonishing is that the box only contained 2 cantaloupes, bringing the average transaction price for each cantaloupe to a mind-boggling JPY 2.5 million. Indeed, Yubari cantaloupe is renowned as one of the most premium fruits in Japan, commanding exorbitant prices in the market.
Yubari, located in the central part of Hokkaido, has an interesting history. It was once a thriving coal mining area in Japan, with coal mining operations dating back to 1880, where local residents made their fortunes and livelihoods from coal production. Over the years, a large number of laborers from various parts of Japan flocked to Yubari, forming a city centered around coal production. However, while coal mining brought wealth, it also had a detrimental impact on local agriculture. The local soil was rich in volcanic ash, making it difficult to cultivate crops, and mining operations occupied a significant amount of land, leaving little room for agriculture to thrive.
To safeguard the livelihoods of the farmers, the place’s agricultural association made concerted efforts to identify vegetable and fruit species that could adapt to the challenging local conditions. The search was arduous and lasted for several decades, until 1950 when a researcher stumbled upon an interesting discovery during an inspection. Many local farmers were found to be growing a variety of muskmelons in their orchards, loosely referred to as "cantaloupes" according to market practices. At that time, Yubari's local cantaloupes were not particularly sweet, and the flesh was orange-red, which did not appeal to the market. Local farmers were even hesitant to sell them and mostly consumed them within their families. However, researchers identified a unique aroma in Yubari's cantaloupes, and with efforts to increase their sweetness, it was realized that such cantaloupes had the potential to become a local specialty.
Starting from 1959, with the help and support of the local agricultural association, the farmers in Yubari began their cantaloupe program. The main focus was on breeding improvement. They formed a cantaloupe association consisting of 17 households and went to seed markets across Japan to find suitable varieties for crossbreeding. Due to the competitiveness of the seeds, the farmers went through great difficulties to finally resolve the problem of obtaining quality seeds.
Next came the issue of sales. The Yubari agricultural association wanted to transport their produce to Tokyo. Initially, they used trucks for transportation, but the higher temperature in Tokyo caused changes in the sweetness and aroma of the cantaloupes upon arrival. Then they considered using trains to transport the fruits while utilizing ice to maintain the freshness, but the ice melted during transportation, resulting in poorly presented, water-soaked cantaloupes that could not be sold. Finally, the only option left was air transportation, which cost several times more than land transportation. It was a big challenge for Yubari farmers to pay such high costs when their cantaloupes were not yet accepted in the market. However, the farmers decided to go all out, determined to use air transportation, so that Tokyo residents with stronger purchasing power can accept the cantaloupes.
This gamble was anything but easy. At first, people in Tokyo referred to Yubari's cantaloupes as "pumpkins". Despite this, Yubari farmers were persistent and strict in controlling quality. Any cantaloupes that were not sweet nor heavy enough, or not aesthetically pleasing were not put up for sale. The Yubari agricultural association also came up with a series of marketing strategies, including collaborations with baseball teams and major department stores, to raise awareness of Yubari cantaloupes.
By 1980, the cantaloupes had finally become the most famous specialty of Yubari. At a time when the coal industry declined and local finances were in a crisis, this fruit unexpectedly became a lifeline for Yubari.
Based on the case of Yubari, it is evident that in addition to farmers' high-quality production activities, effective marketing and strategic planning by local organizations are crucial in precision agriculture. Drawing from Japan's experience in precision agriculture, three key aspects stand out. Firstly, Japan has shown remarkable determination and effort in transforming towards precision agriculture. A report from the Ministry of Agriculture, Forestry, and Fisheries of Japan in 2022 highlighted that although fruit production in Japan declined after reaching its peak in 1979, the export trade volume of Japanese fruits has consistently increased, with fruits like Yubari cantaloupes, Aomori apples, and Yamagata cherries becoming iconic "Made in Japan" products. Secondly, the implementation of strict grading systems and meticulous organization is essential for precision agriculture production. Different grades are priced accordingly without any ambiguity. For example, Yubari cantaloupes are carefully graded into four levels with prices ranging from JPY 4,000 to JPY 10,000 for a single fruit, and their quality is strictly monitored by the local agricultural cooperative. This cooperative also regulates the supply volume of products to ensure price stability. Lastly, efforts are made to develop products in the luxury and gift market, which is a practical approach in land-scarce Japan but may require additional effort in other regions.
It is important to acknowledge that while advocating for the development of "precision agriculture", the challenges associated with its implementation should not be overlooked. However, it is worth noting that China shares some similarities with Japan in terms of the agricultural production environment, such as rising production costs, an aging population, and increasing consumer demand. Therefore, China has valid reasons to consider the path of developing "precision agriculture" as a means to attract capital and knowledge workers. Based on this, China's policy departments should strategically plan and lay out the industry accordingly.
Final analysis conclusion:
In the face of China's aging population, it is essential to find a way to promote and strengthen the agricultural industry. Similar to the concept of "precision manufacturing", the development of "precision agriculture" should be the future direction of its agricultural growth. This approach embodies the pursuit of high-quality development in the country's agricultural sector.
