Nitta Gelatin

Basic Information

Stock Code
4977
Industry
Chemicals
Category Detail
Food Manufacturing
Prefecture
Osaka Prefecture
Establishment Year
February 1945
Listing Year
December 2011
Official Website
https://www.nitta-gelatin.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Hiyoshi Sangyo, Kikkoman, Ajinomoto, S&B Foods, House Foods Group, Ariake Japan, Taiyo Kagaku, Senba Tokka, Fuso Chemical, Riken Vitamin, Hasegawa Fragrance, Toami, Nippi

Overview

Nitta Gelatin is a leading Japanese gelatin and collagen manufacturer founded in 1945, with strengths in the food and medical fields, holding the top position in domestic sales and the world's 4th largest market share.

Current Situation

Nitta Gelatin achieved consolidated sales of approximately 30.5 billion yen and operating profit of about 1.3 billion yen in the fiscal year ended March 2021. Its core gelatin and collagen business maintains strong competitiveness across diverse applications such as health foods and medical fields. The company is actively investing in AI technology and new product development, enabling the provision of high value-added materials through proprietary manufacturing techniques. It is also advancing sustainable aquaculture technology development and sustainability initiatives. In 2023, it transitioned to the Tokyo Stock Exchange Standard Market to strengthen its management structure. Aiming for growth through diversification and overseas expansion in response to changing market needs, the company plans to expand revenues through innovation in material technologies and product diversification going forward.

Trivia

Interesting Facts

  • Holds the largest domestic market share in gelatin manufacturing.
  • One of the world's top 4 gelatin manufacturing giants.
  • Founded in 1945, shortly after the war, with a long history.
  • Gelatin applications span food, medical, and industrial fields.
  • Actively deploys environmentally friendly products for sustainability.
  • Stable operating profit margin with solid management practices.
  • Has 12 subsidiaries and 3 affiliates domestically and internationally.
  • Highly evaluated ISO quality management system.
  • Entered the special adhesives market.
  • Headquarters located in Yao City, Osaka Prefecture, with active local contributions.
  • Materials are animal-derived with strict safety management.
  • Strong ties with various health food industries.
  • Listed on Tokyo Stock Exchange Standard Market, emphasizing transparency.
  • Adopts proprietary technology fusing industrial and food uses.
  • Integrated system from raw material procurement to product commercialization.

Hidden Connections

  • Favorable relations with parent group for animal hide raw material procurement.
  • Numerous joint research projects with multiple pharmaceutical companies in medical materials.
  • Strong ties with local Osaka SMEs for parts and material procurement.
  • Long-term partnerships formed with major health food market customers for sales promotion.
  • Ongoing multiple joint development projects with Japanese traditional food manufacturers.
  • Technological innovation through academic partnerships with research institutions.
  • Expanding overseas sales agent network, maintaining strong influence in Asian markets.
  • Participates in environmental conservation and regional revitalization in collaboration with local governments.

Future Outlook

Growth Drivers

  • Expansion of health-oriented food market
  • Increasing demand for high-function collagen products
  • Rising global demand for sustainable materials
  • Business expansion in overseas markets, especially Asia
  • Growing needs for advanced medical and bio materials
  • Market expansion for biodegradable materials due to strengthened environmental regulations
  • Improved manufacturing efficiency through technological innovation
  • Development of new applications such as functional labeled foods
  • Productivity improvement through IT and digital technology utilization
  • Expansion of diverse sales channels

Strategic Goals

  • Achieve sales of 50 billion yen domestically and internationally
  • Realize 70% ratio of low-environmental-impact products
  • Establish overseas sales ratio over 40%
  • Expand high value-added products for medical applications
  • Complete sustainable raw material procurement system
  • Business diversification through new market development
  • Promote digital transformation
  • Enhance corporate value through strengthened community collaboration
  • Expand R&D investment to 5% of sales
  • Improve employee satisfaction and strengthen talent development

Business Segments

Food Raw Material Supply

Overview
Stably supplies high-quality gelatin and related materials to food manufacturers, accommodating diverse food applications.
Competitiveness
High-quality supply based on top domestic market share manufacturing technology and rapid logistics system
Customers
  • Food processors
  • Confectionery manufacturers
  • Bakery manufacturers
  • Beverage manufacturers
  • Health food manufacturers
  • Confectionery wholesalers
  • School meal providers
  • Restaurant chains
  • Supermarkets and retailers
  • Gelatin processors
Products
  • Food grade gelatin
  • Collagen peptides
  • Food additives
  • Health food materials
  • Functional peptides

Medical and Bio Material Provision

Overview
Provides high-purity, reliable materials to the medical and cosmetics industries, supporting technological innovation.
Competitiveness
Accumulated technology over many years and high-quality management system
Customers
  • Pharmaceutical manufacturers
  • Cosmetics manufacturers
  • Medical device manufacturers
  • Biotechnology companies
  • Research institutions
Products
  • Medical gelatin
  • High-purity collagen peptides
  • Biocompatible materials
  • Cosmetics raw materials

Industrial Adhesives and Materials

Overview
Provides environmentally friendly adhesive products and film materials for industrial applications.
Competitiveness
Environmental superiority through use of natural materials
Customers
  • Industrial manufacturers
  • Packaging material manufacturers
  • Adhesive manufacturers
  • Automotive parts manufacturers
Products
  • Gelatin-based adhesives
  • Pressure-sensitive adhesives
  • Special films
  • Packaging materials

Health Food and Supplement Materials

Overview
Supplies functional materials in high quality to the highly health-conscious market.
Competitiveness
Support for functional labeled food development and safe, secure materials
Customers
  • Health food manufacturers
  • Supplement manufacturers
  • Drugstore chains
  • Mail-order sales companies
Products
  • Functional collagen peptides
  • FOSHU raw materials
  • Diet materials

Animal Pharmaceuticals and Feed Additives

Overview
Provides health promotion materials for pets and livestock, expanding the animal health market.
Competitiveness
High safety and product development based on functional research
Customers
  • Pet food manufacturers
  • Livestock feed manufacturers
  • Animal hospitals
  • Animal health companies
Products
  • Pet collagen supplements
  • Animal functional peptides
  • Feed additives

Packaging Materials and Eco Materials

Overview
Develops and supplies packaging materials that reduce environmental impact, corresponding to the plastic-free market.
Competitiveness
Advanced development of biodegradable materials
Customers
  • Packaging material manufacturers
  • Food packaging companies
  • Retailers
  • Environmental companies
Products
  • Biodegradable films
  • Biomass packaging materials
  • Eco packaging materials

R&D and Technical Support

Overview
Provides R&D support for material improvements and new application developments.
Competitiveness
Advanced technical capabilities and extensive know-how
Customers
  • Food manufacturers
  • Pharmaceutical development companies
  • Chemical manufacturers
  • Universities and research institutions
Products
  • Technical consulting
  • Joint development products
  • Contract research

OEM and Contract Manufacturing

Overview
Provides OEM production of material products tailored to customer needs.
Competitiveness
Flexible responsiveness and integrated production system
Customers
  • Health food brands
  • Cosmetics brands
  • Food manufacturers
Products
  • Original functional materials
  • Collagen supplement manufacturing
  • Processed goods manufacturing

Overseas Market Business

Overview
Supplies high-quality materials to overseas markets, mainly in Asia, aiming for business expansion.
Competitiveness
Trust in Japanese quality and ability to meet local needs
Customers
  • Overseas food manufacturers
  • Exporters
  • Local agents
Products
  • Food grade gelatin
  • Collagen products
  • Functional materials

Beauty and Cosmetics Raw Materials Provision

Overview
Develops and provides high-function materials for the beauty market, supporting the beauty and health industry.
Competitiveness
Proprietary high-absorption technology
Customers
  • Cosmetics manufacturers
  • Beauty salons
  • Health food manufacturers
Products
  • Beauty collagen peptides
  • Functional beauty materials

Food Additive Manufacturing

Overview
Manufactures high-quality food additives, supporting flavor enhancement and preservation.
Competitiveness
Abundance of natural-derived ingredients
Customers
  • Food manufacturers
  • Seasoning manufacturers
Products
  • Natural seasonings
  • Antioxidants
  • Flavor raw materials

Distribution and Sales Support

Overview
Provides broad support for material sales promotion and market development.
Competitiveness
Long-term trading relationships and extensive sales network
Customers
  • Sales agents
  • Retailers
  • Mail-order companies
Products
  • Sales promotion tools
  • Marketing support

Competitive Advantage

Strengths

  • Top share in domestic gelatin manufacturing
  • Business diversification through multi-purpose expansion
  • Advanced manufacturing technology and quality control
  • Abundant R&D resources
  • Strong commitment to sustainability
  • Established domestic sales network
  • Diverse product portfolio for multiple industries
  • Robust asset base and stable financial position
  • Employee technical expertise and corporate culture
  • Group manufacturing and sales system
  • Trust from long history and track record
  • International procurement and sales channels
  • Eco-friendly product development capabilities
  • Customer-oriented customization proposal strength
  • Strong relationships with the pharmaceutical industry

Competitive Advantages

  • Possesses the largest gelatin manufacturing capacity in Japan
  • Versatility in food, medical, industrial, and other applications
  • Differentiation through high-purity collagen peptides
  • Eco-friendly products via sustainable raw material procurement
  • Stable revenues from strong customer base and long-term contracts
  • Promotes technological innovation through active R&D investment
  • Stable listing on Tokyo Stock Exchange Standard Market
  • Synergy creation through group collaboration across fields
  • High quality control and traceability
  • High reliability and standard compliance in medical applications
  • Established diverse sales channels
  • Product development technology to reduce environmental impact
  • High responsiveness to market needs
  • Brand power for improved recognition
  • Accumulated unique know-how in the industry

Threats

  • Risk of raw material price fluctuations
  • Price pressure from intensifying competition
  • Changes in business environment due to stricter regulations
  • Political and economic risks in overseas markets
  • Threat from technological innovations in alternative materials
  • Earnings impact from exchange rate fluctuations
  • Increased compliance costs for strengthened environmental regulations
  • Market entry by new competitors
  • Reputation damage risk from food safety issues
  • Production site damage from natural disasters
  • Risk of technology leakage and IP infringement
  • Business environment uncertainty such as new infectious diseases

Innovations

2023: New Functional Collagen Peptide Product Development

Overview
Launched a new type of highly absorbable collagen peptide to the market.
Impact
Market share expansion and new customer acquisition in health food market

2022: Biomass Packaging Material Development

Overview
Developed and began manufacturing biodegradable packaging materials with environmental consideration.
Impact
Corporate image improvement through plastic reduction対応

2021: Introduction of Medical Gelatin Quality Improvement Technology

Overview
Established manufacturing technology to enhance purity and biocompatibility.
Impact
Contributes to reliability and sales expansion of medical materials

2024: Environmental Impact Reduction Technology for Adhesive Products

Overview
Developed gelatin-based adhesives compliant with new environmental regulations.
Impact
Expected sales growth through expanded adoption in industry

2023: Strengthening Functional Food Materials for Overseas Markets

Overview
Expanded lineup of health-oriented materials for Asian markets.
Impact
Contributes to increased overseas sales and brand recognition

2020: AI Utilization for Manufacturing Optimization

Overview
Introduced AI control in production processes to achieve efficiency.
Impact
Achieved production cost reduction and quality stabilization

2024: Patent Acquisition for New Functional Food Material

Overview
Obtained patent for proprietary high-function peptide material.
Impact
Successfully enhanced market competitiveness and product differentiation

2021: Strengthening Sustainable Raw Material Procurement

Overview
Achieved environmental impact reduction by reviewing raw material supply system.
Impact
Improved ESG evaluation and customer trust

Sustainability

  • Promotion of raw material procurement from sustainable fisheries
  • Development and rollout of biodegradable packaging
  • Introduction of energy-saving manufacturing processes
  • Waste reduction and recycling promotion programs
  • Environmental protection activities in collaboration with local communities
  • Employee environmental awareness education programs
  • Setting and achievement plans for CO2 emission reduction targets
  • Strengthened initiatives for water resource conservation
  • Expansion of environmentally responsive product lines
  • Enhanced ESG information disclosure