Kuze

Basic Information

Stock Code
2708
Industry
Wholesale Industry
Category Detail
Food Wholesalers
Prefecture
Tokyo
Establishment Year
January 1950
Listing Year
September 2001
Official Website
https://www.kuze.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Itochu Foods, Senba Tokka, Kobe Bussan, Yamae Group Holdings, Mitsubishi Foods, Oie Produce, G-7 Holdings, Central Forest Group, Yusa Funashoku, Toho, Kato Sangyo, Sato Shokai

Overview

Kuze is a major wholesaler of business-use food ingredients based in Toshima-ku, Tokyo, established in 1950, specializing in providing handmade, safe, and reliable ingredients to the food service industry along with thorough logistics optimization.

Current Situation

Kuze maintained stable performance in the fiscal year ending March 2024, with consolidated sales of 64.4 billion yen, operating profit of 1.8 billion yen, and net profit of 2 billion yen. Its mainstay is food ingredients wholesaling for the food service sector, where high-quality ingredients and 365-day on-time delivery drive its competitiveness. Through subsidiaries like Kisco Foods, it also engages in in-house manufacturing, PB products, and menu planning and development to meet customer needs. It established a quality control office in 1981 for thorough bacterial testing and hygiene management. Recently, it has focused on establishing a Chinese subsidiary, expanding overseas, and strengthening logistics centers. Following a 2025 Labor Safety and Health Act violation issue, it is further reinforcing its safety management system. Toward 2030, it is promoting business efficiency improvements and sustainability measures, positioning food service market growth as a key driver.

Trivia

Interesting Facts

  • Roots trace back to Kuze Shoten founded in 1934, a company with a long history.
  • Quality control office established in 1981, pioneering in the industry.
  • Realizes 365-day on-time delivery, emphasizing stable logistics supply.
  • Specializes in PB products for food service, gaining high customer trust.
  • Global expansion with linked subsidiaries in Hong Kong and Chengdu, China.
  • Reported case of referral for prosecution over safety and hygiene violation.
  • Possesses its own menu planning and development department.
  • Pioneer in obtaining ISO22000 certification in the food wholesaling industry.
  • Multiple delivery centers in Kanagawa Prefecture.
  • Logistics bases in Tama, Yokohama, Kawasaki, Ebina, Osaka, etc.
  • PB products feature the 'Kisco Foods' brand, emphasizing handmade.
  • Also engages in real estate leasing as part of its business.
  • Head office in Higashi-Ikebukuro, Toshima-ku, near logistics center.
  • Kokubu Group is a major shareholder with strong capital ties.
  • Expanded business through multiple business alliances and subsidiary integrations.

Hidden Connections

  • Leverages capital ties with Kokubu Group to strengthen Chinese subsidiary.
  • Kisco Foods integrates from manufacturing lines to sales.
  • Food service delivery network receives high evaluation in the industry.
  • Multiple related companies widely involved in food processing and sales.
  • Close collaboration with restaurant chains in PB product planning and development.
  • Labor Safety and Health Act violation incident attracted attention in the industry.
  • Utilizes in-house developed information systems for logistics optimization.
  • Major logistics bases like Fujisawa DC and Osaka Tenpozan DC are strategically located.

Future Outlook

Growth Drivers

  • Increase in business-use ingredient demand accompanying food service market expansion.
  • Differentiation expansion through strengthened PB product development.
  • Cost reductions via logistics optimization and delivery efficiency.
  • Sales diversification through overseas business expansion.
  • Trust enhancement from rising focus on food safety and quality.
  • Business efficiency and customer service improvements via digitalization.
  • Enrichment and market expansion of health-oriented products.
  • Strengthening of sustainability responses such as food waste reduction.
  • Manufacturing innovation and product diversification via new technology introduction.
  • Corporate value improvement through reinforced labor safety and health standards.
  • Expansion of inter-company transactions and acquisition of diverse customer segments.
  • Advanced customer service via information system investments.

Strategic Goals

  • Achieve sales of over 70 billion yen in domestic and international markets.
  • Expand PB product sales ratio to over 40%.
  • Promote maintenance and advancement of quality control ISO certification.
  • Complete digitalization of logistics for environmental load reduction.
  • Achieve complete compliance with employee safety and hygiene systems.
  • Expand profits of overseas subsidiaries and develop new markets.
  • Establish food loss reduction and sustainable resource procurement.
  • Maintain industry top-class customer satisfaction survey results.
  • Expand community contribution activities and strengthen social responsibility.
  • Achieve 30% improvement in production efficiency through new technology introduction.

Business Segments

Business-use Food Ingredients Wholesale

Overview
Wholesale segment stably supplying diverse ingredients and PB products to the food service and school lunch markets.
Competitiveness
Achieves 365-day stable supply through logistics optimization and quality control.
Customers
  • Food Service Chains
  • Restaurants
  • Izakaya
  • Hotels
  • Hospitals and Nursing Homes
  • School Lunch Providers
  • Schools
  • Supermarket Operators
  • Retail Stores
  • Food Processors
  • Side Dish Manufacturers
  • Restaurant Franchises
Products
  • Fresh Vegetables
  • Frozen Processed Foods
  • Business-use Frozen Ingredients
  • Retort Foods
  • Liquid Soups
  • Seasonings
  • Meat Processed Products
  • Seafood Processed Products
  • PB Products
  • Dried Foods
  • Processed Food Raw Materials
  • Side Dish Ingredients
  • Dessert Processed Products
  • Beverage-Related Raw Materials
  • Health Food Materials

Ingredient Manufacturing and PB Development

Overview
Manufactures in-house developed PB and OEM products withこだわり to quickly meet customer needs.
Competitiveness
Thorough quality control and possession of diverse manufacturing lines.
Customers
  • In-House Brand Customers
  • Sales Agents
  • Food Service Industry
  • Retail Stores
  • Franchises
  • OEM Companies
  • Exporters
  • Food Development Companies
  • Health Food Manufacturers
  • Supermarkets
  • Convenience Stores
Products
  • PB Foods
  • Retort Curry
  • Business-use Soups
  • Handmade Side Dishes
  • Frozen Desserts
  • Health-Oriented Products
  • Liquid Seasonings
  • Specialty Sauces
  • Business-use Seasonings
  • Original Processed Products
  • Frozen Bread

Logistics Services and Delivery

Overview
Supports rapid and safe ingredient distribution through 365-day delivery and optimization.
Competitiveness
Logistics optimization via advanced information systems
Customers
  • In-House Sales Network
  • Food Service Chains
  • Department Stores
  • Supermarkets
  • Convenience Stores
  • Mail Order Businesses
  • Side Dish Manufacturers
  • Food Processing Plants
  • Sales Agents
Products
  • On-Time Delivery Service
  • Logistics Center Management
  • Quality Inspection System
  • Inventory Management Support
  • Frozen and Refrigerated Transport
  • Delivery Efficiency Tools

Overseas Business

Overview
Strengthening expansion and sales of business-use ingredients in overseas markets centered on China and Hong Kong.
Competitiveness
Establishment of local subsidiaries and expansion of local logistics networks
Customers
  • Local Food Service Industry
  • Importers/Exporters
  • International Sales Agents
  • Asian Region Customers
Products
  • Business-use Ingredients
  • Frozen Foods
  • Processed Food Materials
  • PB Products

Real Estate Leasing

Overview
Secures stable revenue through leasing of owned real estate.
Competitiveness
Real estate operations linked to logistics and sales networks
Customers
  • Logistics-Related Companies
  • In-Group Businesses
  • External Tenants
Products
  • Warehouse Leasing
  • Office Leasing
  • Logistics Facility Management

Competitive Advantage

Strengths

  • 365-day on-time delivery and logistics optimization
  • In-house PB product manufacturing capabilities
  • Strict quality control system
  • Overseas bases in China and Hong Kong
  • Diverse ingredient procurement network
  • Trust from extensive industry experience
  • Regionally integrated service provision
  • Thorough safety and hygiene management
  • Menu planning and development capabilities
  • Strong customer base (centered on food service)
  • Rapid logistics and delivery network
  • Sustainable product development stance
  • High market share
  • Flexible customer responsiveness
  • Expansion of PB and OEM businesses

Competitive Advantages

  • Secures share through specialization in food service industry
  • One-stop system from manufacturing to wholesaling
  • Logistics efficiency and quality control via information systems
  • Accelerated overseas expansion through subsidiary establishment
  • Differentiation via diverse PB brand rollout
  • High-reliability customer service and menu proposals
  • Industry-leading quality inspections and hygiene management
  • Optimization and reinforcement of nationwide delivery network
  • Continuous product development and technological innovation
  • Customer closeness strategy via sales offices per region
  • Diversified revenue base through stable real estate business
  • Enhanced safety system via strengthened Labor Safety and Health Act compliance
  • Advanced manufacturing technology of subsidiary Kisco Foods
  • Expansion of environmentally friendly products and improvement measures
  • Rapid response to market changes and new product launches

Threats

  • Decline in social credibility due to Labor Safety and Health Act violation
  • Risk of raw material price fluctuations
  • Increase in new competitors entering the market
  • Rising consumer awareness of food safety
  • Margin pressure from rising logistics costs
  • Uncertainty in overseas business due to international situations
  • Impact of natural disasters on logistics and production bases
  • Increasing risks from regulatory strengthening and legal amendments
  • Price competition from intensifying market rivalry
  • Constraints on delivery and manufacturing due to labor shortages
  • Management burden from complex supply chains
  • Delays in responding to rapid changes in consumer preferences

Innovations

2024: Logistics Center Automation Initiatives Launched

Overview
Began introducing robots for picking operations in warehouses to promote efficiency.
Impact
Achieved 20% improvement in work efficiency and reduction in human errors.

2023: New PB Retort Curry Production Line Established

Overview
Expanded high-quality PB retort food manufacturing lines in response to customer needs.
Impact
Introduced new products on a scale of 3 billion yen in annual sales.

2022: Chinese Subsidiary Juwa Shi Established

Overview
Established a business-use ingredient sales subsidiary in Chengdu, Sichuan Province, China, to expand overseas.
Impact
Grew overseas sales to a scale of 2 billion yen.

2021: Advanced Quality Control System

Overview
Introduced AI-utilizing bacterial inspection efficiency improvements and process monitoring systems.
Impact
Reduced defective product rate by 10% and enabled rapid quality checks.

2020: Promotion of CFD (Customized Foods Development)

Overview
Strengthened customer-specific menu development and established made-to-order product provision system.
Impact
Improved customer satisfaction and increased repeat rate.

Sustainability

  • Promotion of local production for local consumption of ingredients
  • Waste reduction and recycling promotion
  • Introduction of low-environmental-impact logistics
  • Food safety enhancement through ISO22000 certification
  • Thorough safety and hygiene training for employees
  • Promotion of sustainable raw material procurement
  • Environmental load reduction via energy-saving equipment introduction
  • Environmental conservation activities in collaboration with local communities
  • Development and promotion of health-oriented products
  • Continuous improvement of safety management systems
  • Strengthened environmental standards with suppliers
  • System improvements for food loss reduction