CJ CheilJedang’s Challenge in Japan’s Frozen Gyoza Market! Accelerating Growth Through Partnership with Itochu Corporation

BUSINESS

Supervisor: Naohiro Takemura

Started his career based on his experience at an accounting firm.
For approximately 30 years, he has been engaged in database marketing, finance, entrepreneurship, BPO operations, and new business planning.
He is well-versed in fundraising and financial management, and currently manages his own company while also undertaking outsourced work in management and new business development.

South Korea’s largest food company, CJ CheilJedang, has joined forces with Itochu to enter Japan’s rapidly expanding frozen gyoza market. By establishing a local production system, the company aims to secure a competitive edge and steadily increase its market share.

Expansion Background of Japan’s Frozen Gyoza Market

Japan’s frozen food market has expanded significantly over the past decade, with frozen gyoza becoming a leading category. Several factors explain this surge in popularity:

  • Increase in dual-income households, boosting demand for quick meals
  • Rising desire to enjoy restaurant-quality food at home
  • Advancements in freezing technology, ensuring taste and freshness
  • Expansion of at-home dining demand during the pandemic

The convenience of frozen gyoza, which cooks quickly with minimal effort, has played a major role in driving growth.

The table below highlights frozen gyoza’s position within Japan’s frozen food market:

Frozen Food CategoryGrowth Rate (Past 5 Years)Main BuyersKey Feature
Frozen Gyoza+35%Dual-income households, singlesEasy, consistent taste
Frozen Fried Rice+28%Students, young adultsLarge portions, filling
Frozen Udon+15%Elderly, familiesEasy preparation
Frozen Pizza+22%FamiliesParty use

Frozen gyoza shows the highest growth rate among frozen foods, indicating further expansion ahead.


CJ CheilJedang’s Strategy in Japan

CJ CheilJedang dominates South Korea’s frozen food sector and has brought its expertise to Japan by collaborating with Itochu. Their strategy goes beyond imports and focuses on localized production and development.

Key Strategy Pillars

  1. Strengthening Local Production
    Building a new factory in Japan ensures stable supply and reduces import costs.
  2. Developing Products for Japanese Consumers
    Options include garlic-light recipes, products made with domestic vegetables, and low-calorie varieties.
  3. Expanding Sales Channels
    Using Itochu’s distribution network, the company has expanded into supermarkets, drugstores, and e-commerce platforms.

By focusing on production, product development, and distribution, CJ CheilJedang is working to build a strong presence in Japan’s competitive market.


Competitive Landscape in Japan

Japan’s frozen gyoza market is highly competitive, with domestic companies long established in the field. Ajinomoto Frozen Foods and Eat & Co. (Osaka Ohsho brand) maintain strong brand recognition and loyalty.

CompanyMain ProductStrength
Ajinomoto Frozen FoodsGyozaStrong brand recognition, consistent quality
Eat & Co.Osaka Ohsho Winged GyozaRestaurant tie-ins, unique cooking style
CJ CheilJedang × ItochuBibigo Frozen GyozaKorean brand identity, Japan-focused recipes

CJ CheilJedang differentiates itself by leveraging its international brand appeal and localized product designs.


Consumer Needs and Market Outlook

Japanese consumers demand the following from frozen gyoza:

  • Convenience (quick and easy cooking)
  • Great taste (restaurant-level flavor at home)
  • Safety and trust (domestic ingredients, fewer additives)
  • Variety (health-conscious, small packs, food service use)

Frozen gyoza appeals to both families and singles. With the rise of online sales and food delivery, consumers now encounter a wider variety of brands, including foreign products.

The future of the market can be summarized as follows:

Market TrendExampleImpact
Health-focused productsLow-calorie, low-carb, additive-free gyozaAttract new health-conscious buyers
Growth of e-commerce & deliverySubscription frozen meal servicesMore diverse distribution channels
Entry of foreign brandsKorean and Chinese gyoza makersIncreased competition
Expansion of food service demandSupply to restaurants and delisGrowth in B2B market

CJ CheilJedang and Itochu’s partnership aligns with these market shifts, offering strong potential in both household and food service segments.


Conclusion

Japan’s frozen gyoza market is experiencing rapid growth, with domestic and international players competing aggressively. CJ CheilJedang and Itochu’s collaboration is a strategic move that strengthens competitiveness by establishing production bases within Japan.

Frozen gyoza has evolved into a household staple that satisfies consumer demands for convenience, flavor, and safety. As health trends rise and food service demand expands, the market is expected to become more diverse. The key question is how CJ CheilJedang and Itochu will build brand recognition and win consumer trust in this competitive environment.