Monday 19 September 2011
Japan
Japanese beef investment
Japanese cattle farming investment business Agura Bokujo has fil
ed for bankruptcy, blaming its financial stress on public concerns over nuclear contamination of beef, prompting a rise in cancelled beef contracts.
The company’s debts total about ¥61.99 billion. Established in 1979, Agura Bokujo operates 370 cattle farms nationwide, mostly through franchising, where a combined 145,000 cattle are raised. It solicits investments in cattle breeding and buys calves from cattle owners. An executive blamed the breached nuclear reactor near Fukushima for falling beef prices after radioactive cesium was found in beef cattle across Japan’s central eastern region. About 70,000 people had invested with Agura Bokujo. The company intends to seek compensation from Tokyo Electric Power which operated the nuclear power station. The company also took a beating from outbreaks of Foot-and-Mouth Disease in 2010.
Source: newsroom - farmingnewsdaily.co.uk
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