Feed One to build US$91M aquafeed plant in Toyokawa, Japan

JAPAN – Japanese animal feed producer Feed One Co. has unveiled plans to construct a state-of-the-art compound aquatic feed factory in Toyokawa, Aichi Prefecture, as part of its strategic push to support Japan’s shifting aquaculture industry. 

The ¥13 billion (US$91 million) investment marks a significant milestone in the company’s ongoing transformation and future-focused agenda.

The new facility, which is scheduled for completion in April 2028, will replace the ageing Chita plant and double its current annual production capacity to 40,000 tonnes. 

Feed One has confirmed the acquisition of a 27,1957 square meter plot of land in Toyokawa, with construction expected to begin in the second half of fiscal 2025. 

Additional land has also been acquired to accommodate future expansion needs.

“Our goal is to support the future of aquaculture in Japan with next-generation technologies,” Feed One stated. 

The company plans to produce advanced aquatic feeds at the Toyokawa plant, including fishmeal-free formulas, insect protein-based feeds, elastic and micro pellets, and specialised diets for emerging farmed species. 

These innovations are intended to meet growing demand for sustainable and high-performance aquafeeds in a changing climate.

The new plant will complement Feed One’s Kitakyushu facility in Fukuoka, set to begin operations in 2027, and will serve as both a production and R&D hub. 

According to the company, the Toyokawa location was strategically selected due to the increasing prevalence of land-based aquaculture projects in central Japan and the need to support a northward shift in fish farming, driven by rising sea temperatures.

Feed One added that the Toyokawa plant is expected to reduce fuel use by 15% and labour costs by 50% compared to the Chita facility, aligning with its broader push for improved manufacturing efficiency.

Financial results highlight growth in animal and aquatic feed segments

Meanwhile, on June 6, 2025, Feed One released its financial results for the fiscal year ended March 31, 2025, posting a record net profit of ¥5.387 billion (US$37.7 million), despite a 5.7% year-on-year drop in net sales to ¥296 billion (US$2.07 billion). 

Gross profit rose by 3.8% to ¥31.8 billion (US$222.6 million), aided by rigorous cost controls and improved profitability in key segments.

In the animal feed segment, total sales volume reached 3.688 million tonnes, growing slightly by 0.2% year-on-year. 

“Segment profit for the Animal Feed Business was ¥8.533 billion (US$59.6 million), achieving 109% of the target,” noted Managing Executive Officer Kazuo Kubota. 

He attributed the results to better gross profit per tonne, despite higher SG&A expenses and contributions to the Feed Price Stabilisation Fund.

The aquatic feed segment also reported a strong performance, with segment profit of ¥1.164 billion (approximately US$8.1 million), representing 116% of the target. 

Although total sales volume declined due to rising sea temperatures, Feed One offset the shortfall through increased sales of its fishmeal-free feed, Sustaina ZERO, and cost savings on imported fishmeal.

“Sales volume fell significantly short of both the previous fiscal year and our plan,” Kubota acknowledged, “but we were able to meet our profit target thanks to strong sales growth of Sustaina ZERO.”

Looking ahead, Feed One forecasts a 13.1% year-on-year increase in aquafeed sales volume for the fiscal year ending March 2026, driven by expectations of stabilising sea temperatures and expansion in land-based aquaculture.

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