To develop a global supply chain for marine products.

To give greater importance to cost, quality and R&D.

To perform our work on the cutting-edge of our field.

To effectively use the resources of the earth and the sea in a sustainable manner, and to look after the environment. 

To behave with integrity as a company and as individuals.  

Amidst recognition of the strategic importance of food resources, awareness of food safety will rise further in response to worldwide problems such as BSE and bird flu in meat and poultry products, which serve as two forms of animal protein supply, as well as the introduction of the Positive List System for Agricultural Chemicals in Foods in Japan.

Global demand for marine products will continue to grow, but a plateau in fishery production is predicted to continue impacting on supply. Although this puts a potential environmental limitation on our business, expectations toward aquafarming are rising and we also expect demand to rise for structural change to the production and supply of marine products within Japan’s exclusive economic zone.

Amidst the increasing number of M&A’s in the foods business through investment funds and other means, the difference in our assessment of corporate value compared to the industrial arena is predicted to cause instability in food demand and supply.    

New markets such as the BRIC countries, represented by China and India which together account for almost 40% of the world’s population, are widely gaining attention, but the modernization of these countries will inevitably raise resource prices to permanently high levels. As a result, private corporations will continue to face the key challenges of increasing management efficiency and establishing a competitive edge.

There are rising expectations over the benefits of promoting health through dietary regulation on a national health policy level due to the pressure that surging medical costs are putting on the finances of countries throughout the world. Marine products are recommended dietary foods, and demand for higher quality of natural and farmed marine products is therefore expected to rise.

The population in Japan has begun declining two years earlier than predicted. Continuing to grow in Japan therefore means increasing sales per customer. Doing this will require more than increasing synergy between internal businesses; it will require developing new technologies, creating new categories and attaining leverage through cross-industry activities.

In addition to the above, we believe the future management environment in the corporate sector will demand greater accuracy and transparency in disclosing corporate activities. 

Improve the profitability of core businesses (improve the group’s business structure by promoting acquisition of natural marine resources through fishing)

• Improve profitability by promoting cost reductions in core businesses.
• Generate profit by developing and selling value-added, high-function products.
• Revamp the group’s sales style and link it with pull marketing in the form of advertising.
• Further reinforce the group’s vertically-integrated business structure and maximize profit through the product and marketing mixes for marine products.

Expand profits by achieving advances in our business (reform the group’s business structure by promoting acquisition of marine resources through aquafarming)

• Achieve advances in the aquafarming business and develop a cutting-edge aquafarming (fish farming) model.  
• Tie-up with an external research institution to develop and commercialize functional materials made with a diverse range of advanced functions from natural materials.

Acquire new technologies such as bio-production technology (reform the group’s business structure by promoting other methods of acquiring marine resources, such as bio-production)

• Commence research into and commercialization of bio-production technology for functional constituents such as EPA and DHA.

In the trading and wholesale business, work with group partners to develop a highly efficient management structure and tailor the business to a size which enables the achievement of higher quality functions and services (by changing the status of consolidated subsidiaries to companies accounted for under the equity method).

Strengthen the group’s sales structure in all businesses by creating new markets and customers on a global basis, while generating more business in the Japanese market.

Ensure the Nissui Group is trusted as a global leader capable of fulfilling its promises to stakeholders.

In FY2011, the Company’s centennial anniversary of foundation, Nissui aims to be “a company which boasts unsurpassed strength and customer support in the field of creating value for customers from marine resources”  and a “global leader in creating value for customers from marine resources.”

In terms of group management strategy, Nissui will create value under this shared vision and work to strengthen the Global Links network. 

The group’s business targets for FY2011 are consolidated sales of 600 billion yen or more, and a consolidated operating income ratio of 5% or more.

In addition, the business targets for the Global Links network in FY2011 are as follows.

Ratio of overseas sales from the Global Links network: Over 30%

The Global Links network is a network of companies which share the Nissui Group vision and work together to create value through win-win relationships that do not necessarily involve capital support. At present, the members of the Global Links network include the Sealord Group (New Zealand), J.P. Klausen (Denmark) and Alaska Ocean Seafoods (America).

(Note) Since FY2006, the group’s segment classifications will change as follows in order to facilitate better information disclosure.

Business Segments: The fine chemicals business previously classified under the “Other Food Products” category of the Foods Segment will be combined with the Pharmaceuticals Segment to form a new segment called the Fine Chemicals/Fine Foods Segment.

Geographic Segments: The “Other” segment will be discontinued and the two new segments of “Europe” and “Asia” will be established.

R&D Strategy

Hone technologies for using the world’s finite supply of marine resources without waste. Establish aquafarming and bio-production technologies.

• Establish the Food Function Research Center.
• Establish the Bio-production Research Center.
• Establish the Oita Marine Biological Technology Center under the Aquaculture Business Promotion Office and develop an aquafarming business which is on the leading-edge in terms of both research and business performance. 

Resource Production Strategy

Expand and reinforce the group’s access to marine resources by strengthening its access to fishing and expanding the aquafarming business. In addition, acquire technology in the field of bio-production, a new method of obtaining resources.

• Maintain a fixed share of major fish resources (white-fleshed fish, salmon, shrimp, crab)
• Strengthen the group’s access to overseas fishing and participate in domestic fishing.

Processing Strategy

Create new value-added businesses and promote the construction, repositioning, consolidation and raised productivity of plants in accordance with the group’s global area marketing.

• Promote the construction, repositioning, consolidation and raised productivity of plants in Japan and abroad, including by group companies (2 in 5 activity).
• Strengthen the functional materials business.

Quality Assurance Strategy

Comply with the Quality Assurance Code and develop a group-wide quality assurance system through which the group can fulfill its quality assurance responsibilities.

• Establish a vertically-integrated quality assurance system from the aquafarm or farm through to the processing plant and distribution.
• Develop a group-wide quality assurance system compatible with global business expansion.

Marketing Strategy

Develop and implement a strategic marketing plan catering to the needs of customers in each global region.

• Strengthen the group’s sales in Japan and abroad based on the key concept of Global Links, and create a sales network that has presence and captures consumer confidence.
• Develop a “brand system” combining the Nissui brand with other powerful brands possessed by the group (Gorton’s, Mrs. Friday’s, Unisea etc.)

Logistics Strategy

Promote increased efficiency of the supply chain by consolidating logistics.

• Increase the efficiency of the supply chain by establishing the Supply Chain Management Department and centralizing management of domestic and international logistics between production, inventory and delivery.

Work Restructuring Strategy

Carry out constant reform of the group’s work processes and strengthen the group’s ability to successfully implement these strategies.

• Establish a Business Restructuring Meeting and engage in cross-organizational problem-solving to maximize leverage of group functions and eliminate “invisible minuses”, with the aim of shifting the group to a high-profit business model.

Group Management Strategy

Practice group management which raises synergy and leverage.

• Promote joint cooperation and consolidation between group functions in order to achieve synergy.
• Hold the Nissui Global Links Conference (NGLC) biannually in addition to the Group Management Meeting held quarterly.