Technology and retail
Digitilization
The Kishida Administration mentioned the basic policy as “New Capitalism” for a growth of Japanese economics. They mentioned to focus on investment, regulatory and institutional reforms. One of the focus areas is to support startups and its ecosystem including deep-tech, quantum tech, createch, fintech with Web3.0 and Metaverse and sustainability contexts. In addition to that, the Kishida Administration also mentioned the ‘Digital Gerden City Plan’ to promote digital implementation at rural areas, to create a new wave of change and narrow the gap between rural and urban areas in Japan. The Kishida government has been promoting a digital society including the data free flow with trust concept, cyber security, inclusive design, a tech talent education and re-education. The Diet passed a supplementary budget for FY2021 in December 2021. The budget for digital-related activities is in total over 0.25 trillion DKK (4.1 trillion JPY) at the '16-month budget' from December 2021 to March 2023, which is integrated with the supplementary budget in the digital sector.
The Ministry of Foreign Affairs in Denmark signed the Memorandum of Understanding (MoU) with the Digital Agency of Japan on 24 November 2021. It is well known in Japan that Denmark ranked #1 at the UN E-Government ranking in 2018 and 2020 and at the IMD World Competitiveness ranking in 2022. In addition, that, Denmark is also well known to have the human centric and the design thinking approach. The strategy which is written in the policy paper published by the Cabinet is based on the following 7 priority areas: ports and infrastructure, food (agri tech), education, children's area including education and social supports, life science and ageing, resilience (natural disasters) and mobility.
In parallel, The Japanese government’s cloud development including base registry will be ready by 2025 (planning) with AWS, GCP and Azure. Currently, work is underway to implement systems for relocation and relocation between municipalities, the creation of similar "Borger.dk" system which is called “ MyNaPortal”. Therefore, the actual tender will be planning to start after summer 2022 for a core system and its services. In parallel, domestic cloud development with Japanese companies is also being considered. From the above, it takes more years to create the foundation such as base registry. Most of APIs with the actual services are not open for citizens’ and public services yet. So, until now, the Danish Embassy currently has been supporting the Danish companies (mostly SaaS) who don’t need to connect directly with the central government data system without My Number system (Japanese version of CPR number or NemID/MitID). In addition, the Healthtech area, which is the Danish Embassy is currently working with solutions in the field of aging (Lifescience), which is a significant societal challenge in Japan linking of PHR, pension and insurance data, as they have a very large proportion of the population over 50 years old and declining birth rates.
All public tenders require that the company has a Japanese presence in order for them to bid or that they have a locally based partner. However, public tenders allow companies that can provide solutions that can be provided by a Japanese company to be procured without being exposed to competition. This can be a great market potential for Danish companies with a suitable Japanese partner, as they will have good opportunities to win public tenders.
Please contact us when you think about the Japanese market entry.
Contact commercial officer Akiko Kamigori [email protected] for more info
Digital Sales
Japan is the 4th largest e-commerce market in the world and is expected to grow steadily. Mobile EC has grown to 60% of transactions. The top 3 EC platforms dominate almost 50% of the online retail market. Japan is another powerful market with a wealthy population of 127 million, so the opportunities are endless.
The right adviser with in-depth knowledge of the market is crucial for your company’s success – also in relation to digital sales. The trade council helps your company to export online.
Contact commercial officer Jun Nakamaru at [email protected] for more info