When Kagoshima is mentioned, most people probably think of the Sakurajima volcano – a key tourist attraction in the region. Yet, Kagoshima also offers a range of business opportunities and has been developing its relationship with the Hong Kong market since as far back as the 1980s. 

Chamber CEO Shirley Yuen was invited to the city last month to attend the biennial Hong Kong-Kagoshima Conference. During the event, she discussed how local food exports to Hong Kong could be boosted by facilitating the shipping of produce. She also suggested organizing joint tourism and investment seminars to expand the sightseeing and trade markets in both places.

At the meeting, Kagoshima Governor Satoshi Mitazono stated that Hong Kong people are no strangers to green tea and wagyu beef, and noted that Kagoshima was a well-known source for these Japanese products. Last year, wagyu from Kagoshima won the grand prize at the 11th National Competitive Exhibition of Wagyu, and the region’s sweet potatoes are among the top export goods of Japan. 

However, he added, Hong Kong people may not be so familiar with Kagoshima’s shochu, and he expressed his hope that this Japanese distilled beverage could be exported to Hong Kong.

Like whisky, shochu can be drunk straight, with ice or water, or even enjoyed hot, Mitazono joked. He had specifically prepared small bottles of shochu for Hong Kong representatives to take home and enjoy.

There are already direct flights between Hong Kong and Kagoshima, with Hong Kong Airlines planning to operate a daily service – up from five times weekly – by the end of October. But as Sadatoshi Tsumagari, Chairman of the Kagoshima Association of Corporate Executives, explained, more space for air freight would be needed in order to increase the export of goods from Kagoshima to Hong Kong. However, given the small size of aircraft and the fact that airline companies are unwilling to increase the room allocated for air freight, the issue has not been solved, he said.

In response to Mitazono’s request on Tsumagari’s comment, Yuen suggested that the prefectural government could consider shipping goods to Hong Kong by sea. Toshihiko Kawano, Director General, PR and Tourism Strategy Department of Kagoshima Prefectural Government, agreed with Yuen, and said they are studying the feasibility of shipping meat and vegetables by containers via the sea route while maintaining the high quality of the produce. 

Later, at a local food fair, Kawano sought advice from Yuen on how quality could be maintained. Yuen explained that as long as the temperature is kept under control, the quality of fruit and meat products can be maintained as the shipping time to Hong Kong is only three days. 

Satoshi also agreed with Yuen’s suggestions on growing trade and increasing the number of visitors to both Hong Kong and Kagoshima. He expressed his hope for cooperation with the Chamber to organize more joint investment and tourism conferences.

During the trip, the prefectural government invited Yuen to attend a local food fair to see more than 60 companies providing products including Kagoshima’s renowned Iberico, wagyu, wagashi, and other food and beverage products. One Iberico company indicated that it will visit Hong Kong in January to attend a food fair. At the Kagoshima fair, Yuen was interviewed by NHK. She told reporters from the national television network that HKGCC members hope to import more quality food from Kaogoshima.

The Kagoshima government also made a special arrangement for Yuen to visit a number of local businesses including Sakamoto Kurozu, a 200-year-old company famed for its black vinegar; the Oritaen tea farm (see box-out for details); and Amami-no-Sato to see the production of silk. 

Yuen also visited a water farm run by Nippon Gas to learn about the use of natural gas to generate electricity for growing hydroponic vegetables, which can be stored for more than 20 days in the packing and does not need to be washed before eating.

Since the first Hong Kong-Kagoshima Conference was held 38 years ago, HKGCC has been the only business organization represented at the event, which is organized by the Kagoshima Prefectural Government and the SAR Government in alternate years. 

The 21st Hong Kong-Kagoshima Conference took place in Kagoshima on 5 September this year. More than 30 representatives – including from the Kagoshima Prefectural Government, the Hong Kong Economic and Trade Office in Tokyo, the Home Affairs Bureau, the Hong Kong Trade Development Council and the Hong Kong Tourism Board – took the opportunity to exchange views on various areas such as the economy, trade, tourism and culture. 

Refreshing Brew
Award-winning organic green tea company hopes to increase sales in Hong Kong

Oritaen’s organic green tea from Kagoshima can be found in a high-end supermarket in Hong Kong, where it sells at around $350 for 30 grams. But during a visit to the company organized by the Kagoshima Prefectural Government, even Chamber CEO Shirley Yuen did not have the opportunity to have a taste of this in-demand beverage, as it sold out so quickly.

Green tea is popular in Hong Kong and the city is the second-largest export destination for Japanese green tea. And Hong Kong’s enthusiasm for the product is on the rise, with the export volume of green tea from Japan increasing by 4% to 1,978 tonnes from January to May, a record high since 1988.

Established in 1965, Oritaen has won numerous awards, including the Minister of Agriculture, Forestry and Fisheries Award and the Outstanding Tea Award at the Hong Kong International Tea Fair. When Nobuo Orita, the owner of the tea farm, started growing the plant he became ill as a result of the pesticides he had been using. So, in 1973, he decided to stop using them altogether and switched to organic farming. Since then, the farm has transformed gradually from manual processing to mechanical operation.

He and his son Mitsushi Orita now hope to further explore markets in Hong Kong and the Chinese Mainland. In recent years, Mitsushi Orita has visited Hong Kong on a number of occasions, and is currently discussing cooperation opportunities with Chamber members in order to expand the business.

The company exports about 58% of its green tea, matcha and sencha quarterly. Hong Kong only accounts for 10% of this, Taiwan 20% and the remaining 70% is sold to Europe and the United States. Mitsushi said he hopes that there is potential for considerable growth in tea exports to Hong Kong. He also plans to develop bottled tea to offer a more convenient way for people to enjoy the tasty and popular beverage.