An Analysis of Wine Consumption Trends and Food-Related Expenditures in Japan

This study examines the mechanism of an upward trend in wine consumption in Japan by analysing its trend and possible correlations with food-related consumptions. Through the panel and time-series analyses of wine consumption and food-item expenditures, and of wine consumption and food-service industry sales, we investigate whether wine consumption is correlated with food Westernisation in Japan and whether wine is gaining a firm place in Japanese daily life. Although the results are not robust, we find supporting evidence for both claims, particularly for the second claim. While on-premise consumption, particularly at reasonably priced diners, is estimated to be an important factor for growing wine consumption, there is possible evidence that home wine consumption is increasing. It is also suggested that reasonably priced wine, especially imported wine, is likely to be the key for future wine consumption in Japan.