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Monday, February 24, 2025

Inflated energy costs and depreciated Yen adversely hit Japanese dairy farmers

Farmers in Tochigi Prefecture, north of Tokyo, are facing an increasingly tough business environment due to a cheaper yen and higher energy costs.

For more than 20 years, Tochigi has been Japan’s second largest producer of raw milk.

One farmer says about half of the corn and grass he uses to feed his roughly 500 cows is imported.

Hasumi Shinya says feed costs and energy bills have soared due to the weak yen and Russia’s invasion of Ukraine. He says that in the past year, the daily cost of feed per cow has more than doubled to about ¥2,500, or about $19.

Hasumi also says that the winter school holidays may affect the situation. In Japan, many elementary and junior high schools provide milk for lunch, but not when children are out of school.

Hasumi says it is difficult to adjust the daily production because the cows get sick if they are not milked every day. He says that as it stands, his farm is milking cows but losing money.

Hasumi tries to keep costs down by doing things like buying feed and fertilizer from the prefecture. He is also working with other dairy farmers to initiate efforts to increase the demand for milk.

Hasumi says that the critical situation has left him with nothing but worry. He also says that some of his acquaintances have quit dairy farming.

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