Japan's plant factory industry, mainly closed-type, enables stable, pesticide-free crop production. Its market reached ~¥21 billion in FY2023, with projected growth to ~¥24 billion by FY2028. High operating costs (electricity, labor, depreciation) make products pricier, leading to frequent withdrawals (e.g., Toshiba, Panasonic) and industry restructuring. However, cross-industry M&A and alliances (e.g., energy, real estate) are fostering recovery. The industry is now focusing on automation, energy efficiency, diversifying products beyond lettuce (e.g., herbs, functional vegetables), and adding post-harvest value to improve profitability and ensure sustainable growth.
#PlantFactory #JapanAgri #HighCosts #IndustryRestructuring #Automation #CropDiversification