According to The Nikkei Asian Review, Rakuten, one of Japan's leading e-commerce platforms, said Friday it will start delivering packages via drones in sparsely populated areas during the fiscal year beginning in April, now that the country has eased regulations on such flights.
"We will make regular deliveries during the 2019 fiscal year in underpopulated areas and the like," said Hideaki Mukai, general manager of Rakuten's drone business department. The company is in the process of selecting prospective locations for what could be the first service of its kind in Japan.
On Friday, the virtual mall operator conducted a trial in Chichibu, a city north of Tokyo surrounded by mountains. The drone traveled 3 km to deliver barbecue equipment to a hypothetical customer who lives within the mountainous terrain.
The drone operator simply entered the location into a tablet -- the rest of the roughly 10-minute flight was automated. Rakuten's prototype is capable of carrying a maximum of 2 kg and traveling up to 15 minutes.
Tokyo Electric Power Co. Holdings assisted with the trial by installing weather sensors on power transmission towers and near electrical lines. Such real-time data as wind speeds and directions are transmitted to the drone via the tablet to ensure a safe flight.
Japan currently forbids drone flights in urban areas and everywhere at night. Drone operation was once limited to unpopulated areas and within the pilot's line of sight. But regulations were relaxed last September, expanding the range of flight. In addition to Rakuten, Japan Post Holdings is also testing drone deliveries.
PricewaterhouseCoopers estimates that the commercial use of drones, including package deliveries, could potentially develop into a global market of $127 billion. Amazon.com and China's JD.com are some of the e-tailers pioneering the innovation.
In Japan, the drone business is expected to total 371.1 billion yen ($3.38 billion) in fiscal 2024, or seven times the scale in fiscal 2017. Starting next fiscal year, requirements will be relaxed for drones used to inspect tunnels, bridges and other infrastructure -- a move expected to stimulate demand.
"In labor-scarce Japan, drones that can conduct work that eliminates the need for people will be in demand," said Hiroaki Ohta, president of Autonomous Control Systems Laboratory, the startup that supplies Rakuten with drones. ACSL, which went public on the Tokyo Stock Exchange's Mothers market last month, develops machines with control systems that do not rely on GPS. Along with drones specialized for logistics and inspections, ACSL also offers management systems.
But drone-based deliveries will likely be too expensive for the scattered, mostly elderly population that makes up the targeted customer base. Involvement of the public sector will likely be needed.

https://asia.nikkei.com/Business/Companies/Rakuten-s-package-delivery-drones-to-take-flight-soon

If you want to read this article in Japanese, please see the following link:
​https://www.j-abc.com/jp-blog/4093130 
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JFE Steel Corporation announced that Byerwen Coal Pty Ltd, a joint venture company in Queensland, Australia between JFE Steel and QCoal Pty Ltd, has shipped its first cargo of hard coking coal produced from the Byerwen Coal Handling and Preparation Plant (CHPP), bound for its West Japan Works.
The development of the Byerwen mine, which is located in the north-east of Queensland, has progressed since the Queensland State Government granted mining leases in April 2017 and the production of hard coking coal from the CHPP started at the end of 2018.
The Byerwen mine produces hard coking coal which is necessary for high quality metallurgical cokes. The coal from the mine has a great market competitiveness due to the vast resources and favourable mining condition that allow for a large-scale open cut operation.
Together with QCoal, JFE Steel will work to develop the mine and provide a stable, long-term supply of coking coal, which is expected to help reduce volatility in the coking coal market.

http://www.jfe-steel.co.jp/en/release/2019/190123.html

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​https://www.j-abc.com/jp-blog/jfeq-coal 
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According to The Nikkei Asian Review, the number of foreigners working in Japan reached a record high of 1.46 million, rising twofold over the past five years as the country grapples with a labor shortage, government data showed on Friday.
The figure as of October 2018 represents a 14% increase from the previous year and the sixth consecutive annual gain, according to data released by the Ministry of Health, Labor and Welfare.
China topped the list with nearly 390,000 workers in Japan as of October, accounting for 27% of Japan's foreign employees.
Vietnam ranked second, at over 310,000 and 22% of the total. The Philippines followed with around 160,000 workers, or 11%. Vietnamese workers rose the most in percentage terms, with an increase of 32% over the past year.
The largest share of Japan's workers from overseas -- more than 430,000, or 30% of the total -- ply their trade in manufacturing. Other sectors, such as retail as well as food and beverage service, contributed about 14% to 17% of the total.
Though the number of foreign workers has increased rapidly, they still make up a small share of Japan's total workforce at just 2%.
Japan's serious labor shortage has left the government scurrying to create a framework to boost the number of foreign workers and ease the strain on employers.
A foreign worker law that takes effect in April lets the country formally accept blue-collar workers from abroad and give them a pathway to permanent residency. This likely will prompt even more foreigners to choose Japan as an employment destination. The government estimates that up to 340,000 foreign workers could enter Japan in the five years after the law takes effect.
Though the law will allow additional overseas workers in agriculture, nursing and 12 other sectors, issues such as ensuring adequate working conditions for these employees have yet to be resolved.
Concerns remain over Japan's health care system and its ability to accommodate immigrants and their families. The government is trying to ensure that foreign workers will be able to do their jobs while being integrated into their communities.
Meanwhile, Mitsubishi Motors, Panasonic and two other companies were forced to cancel so-called technical trainee internships on Friday. The internships allow companies to hire foreign workers at low salaries. However, the companies were found to have treated these laborers inappropriately by leaving them in charge of work that they were not authorized to do under the program.

https://asia.nikkei.com/Spotlight/Japan-Immigration/Foreign-workers-in-Japan-double-in-5-years-hitting-record

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​https://www.j-abc.com/jp-blog/524835583 
​

According to The Australian Financial Review, Coles will spend close to a billion dollars over the next six years fitting out huge state-of-the-art automated warehouses in Sydney and Brisbane to be developed by Goodman Group.
The shuttle and conveyer belt technology within the new 66,000 square metre high bay warehouses – the size of about nine soccer pitches laid side by side – will be developed by German automation specialist Witron and will require very little human involvement, a growing trend globally within the industrial sector as retailers seek greater efficiencies in their supply chains.
Coles has budgeted to spend $950 million over the next six years on the new distribution hubs which will replace five manually-operated smaller warehouses. It will also recognise a $146 million pre-tax provision in its 2019 interim results for the cost of redundancies and exiting existing leases.

https://www.afr.com/real-estate/commercial/development/coles-puts-1b-into-stateoftheart-sydney-and-brisbane-distribution-centres-20190124-h1affm

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​https://www.j-abc.com/jp-blog/9416577
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According to the Sumitomo Corporation website, Sumitomo Corporation via its wholly-owned subsidiary Summit Southern Cross Power Holdings Pty Ltd (SSCPH), an electric power holding company in Australia, has acquired 100% of the shares of Infinite Energy Holdings Pty Ltd, which develops/sells distributed solar power systems, sells/installs storage batteries, and engages in electricity retailing, effective January 24, 2019.
As Australia’s population increases and electric vehicles (EVs) grow in popularity, a robust increase in electric power demand is anticipated. Falling prices for solar panels as well as the availability of support at the federal and state level has jump-started small distributed solar power projects that make use of the rooftops of residential and commercial properties, resulting in lower retail power prices for households and business users. Introducing solar power systems in Western Australia, where power prices are high due to the costs incurred in transmitting power through areas of low population density, makes particularly good sense due to the significant sunshine the state receives.
IE holds the top share in sales of solar power systems in Western Australia, and ranks fourth in sales across Australia as a whole. In addition to selling and installing solar power systems, IE serves as an electricity retailer, selling electric power procured through solar power systems and the wholesale electric power market to users via existing power grids. Adding to its high customer recognition and brand strength, IE has established strategic partnerships with major companies locally and secured sales channels by collaborating with partners in a broad range of industry sectors.
SSCPH acquired business interests in the Kwinana Power Plant in 2009 and the Bluewaters Power Plant in 2013, making it an important player in Australia’s electricity generation business. These two power plants supply about 30% of the electric power used by Western Australia’s power grid (enough to power about 800,000 households). Bringing its considerable corporate resources to IE’s existing business operations, SSCPH will help construct a platform for electricity retailing that utilizes distributed solar power generation and battery storage in Australia. It will also leverage the Sumitomo Corporation Group’s wealth of business line know-how and networks to create new business domains that combine electric power with other businesses.
By engaging in these efforts to utilize clean power drawn from renewable energies, Sumitomo Corporation is extending and expanding its business along electric power value chains from upstream to downstream. It will continue to respond to the needs of communities and customers, and contribute to meeting electric power demand worldwide.

https://www.sumitomocorp.com/en/jp/news/release/2019/group/11270

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​https://www.j-abc.com/jp-blog/3464827
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According to The Nikkei Asian Review, Toyota Motor is entering the electric car market at full force, an area it was one step behind in, with technological help from battery partner Panasonic, as it shores up its presence in the world's largest auto market of China.
The companies on Tuesday announced plans to set up a joint battery venture by the end of 2020, with Toyota taking a 51% stake and supplying 500 staff. Panasonic will own the rest and provide 3,000 people. Sales of batteries produced by the new entity will be handled by Panasonic.
Toyota is forming the partnership with an eye on China, as government policies there drive rapid growth in the field. Japan's top automaker was initially cautious about foraying into electric vehicles given technological and cost hurdles, but China's state-led drive to become the global leader in the field has forced its hand.
Toyota's bread-and-butter hybrids do not count toward a new quota that China has set from this year, requiring automakers to produce and sell a certain number of electric or fuel cell vehicles.
The promise of the massive Chinese market has spurred the world's top automakers to shift toward electric vehicles. Volkswagen has broken ground on a Shanghai factory capable of producing 300,000 electric cars that will begin operations in 2020. China's BYD and Beijing Automobile Works have expanded their electric vehicle offerings thanks to government subsidies.
Toyota also plans to release its own electric car in 2020 but still lags behind competitors on commercialization and mass production. The partnership with Panasonic will also give Toyota an edge in an attempt to make its batteries the industry standards.
Although China's Contemporary Amperex Technology surpassed Panasonic to become the world's top shipper of lithium ion car batteries by volume in 2017, the Japanese company still remains No. 2. Rivals in Japan like NEC, meanwhile, have pulled out of the battery business due to tight margins. Panasonic has built up mass production techniques by supplying batteries to Toyota for hybrids and to Tesla for electric cars.
Toyota also plans to develop next-generation solid-state batteries that improve range, among other technologies. "Panasonic is a step ahead" of Chinese and South Korean upstarts in high-capacity batteries that increase travel distance, said Tang Jin, head of Mizuho Bank's international business relations department.
In addition to seven technology partners, including Mazda Motor, Suzuki Motor and Subaru, Toyota is also trying to persuade Honda Motor to buy the new joint venture's batteries. The automaker will also pitch Western rivals on the batteries as it seeks to reduce costs from economies of scale and standardize battery packs for easier reuse and recycling.
There are no standard sizes or specifications for batteries used in electrified vehicles. Even the square prismatic batteries jointly produced by Toyota and Panasonic have varying specifications, keeping production line equipment costs high. The companies are racing to lay the foundation for standardization by creating a generic battery that can be adopted by many automakers.
For Panasonic, the partnership will enable it to share massive upfront investments with Toyota, but its 49% stake in the new venture means its share of sales and profit will go down accordingly.
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https://asia.nikkei.com/Business/Business-Deals/Toyota-charges-into-electric-car-race-with-Panasonic-tie-up

If you want to read this article in Japanese, please see the following link:
https://www.j-abc.com/jp-blog/ev6082752 

According to The Australian Financial Review, Australia's wine exports climbed by 10 per cent to $2.82 billion wine in calendar 2018, with red wine varieties growing the fastest to now make up 76 per cent of the total.
The strong growth of the Penfolds and Wolf Blass brands owned by $11 billion ASX-listed Treasury Wine Estates into China helped push total exports into that country ahead by 18 per cent for the year to $1.14 billion, even though the pace of growth has been slowing in the past few months.
Australia has 2,543 wine companies exporting to various destinations, with growth experienced in seven of the top 10 export markets, figures released by industry body Wine Australia revealed. Red wine exports jumped by 12 per cent to $2.14 billion, while white wine was up by 12 per cent to $607 million.

https://www.afr.com/business/agriculture/australian-wine-exports-up-10pc-to-282b-20190121-h1ab6m

If you want to read this article in Japanese, please see the following link:
​https://www.j-abc.com/jp-blog/108257698
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According to The Asahi Shimbun, Japanese researchers have developed a flexible and cuttable Wireless Power Transfer (WPT) sheet that may someday allow smartphone users to easily charge their devices on the go in their daily lives.
The wireless sheets, which allow users to cut them with scissors into a shape that will fit furniture, clothing or bags, is the brainchild of a research team at the University of Tokyo.
“Probably, we can eventually develop a bag that can automatically charge a smartphone battery just by putting the phone inside,” said an official of the research team.
Yoshihiro Kawahara, an associate professor in the university's Graduate School of Information Science and Technology, said, “Users can charge a smartphone with the WPT sheet in the same length of time that is required to charge it through an electrical outlet.”
The WPT sheet, which measures 1,600 square centimeters and weighs 82 grams, can transfer power via electromagnetic fields in a contact-less manner.
The system uses a transmitter coil in the charger to transmit power to smartphones in a wireless manner. It is thin and has a wide charging area due to its design. The coils are also wired to provide a charge to a device if enough remain intact even after the sheet is cut.
Thus, users can be supplied with power without the use of a cable.
Some products that can charge smartphones wirelessly exist. But a smartphone usually needs to be charged at a fixed position above the coil. New devices that can fit clothing or bags to charge smartphones have been sought after by consumers.
To meet their needs, the researchers worked with a unique wiring layout and placed several coils, which allow users to pick any part of the sheet and shape it even into a star or heart-shaped pattern as long as a wire from the power source to the coil is not cut.
Their research has been reported in the digital edition of ACM Digital Library, an international journal operated by an institution headquartered in the United States.

http://www.asahi.com/ajw/articles/AJ201901210051.html

If you want to read this article in Japanese, please see the following link:
​https://www.j-abc.com/jp-blog/8023005
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According to The Australian Financial Review, property price in Australia falls could double previous estimates as weakening sentiment, tight credit and oversupply continue to hit residential markets, pushing falls to their largest since the early 1980s, according to Morgan Stanley.
House price falls are steeper than thought as key indicators, ranging from rental conditions to credit supply, weaken, the investment bank's analysis shows.
Peak-to-trough property declines are expected to be around 15 to 20 per cent, compared to previous estimates of 10 to 15 per cent, which means the most benign best to worst-case scenario has doubled, it concludes.

Ref: ​https://www.afr.com/business/banking-and-finance/property-price-falls-could-double-morgan-stanley-20190120-h1a9ad

If you want to read this article in Japanese, please see the following link:
​https://www.j-abc.com/jp-blog/23108644
​

According to The Nikkei Asian Review, Japan and Australia will start as early as April a joint project to harvest high-end fruit all year round, taking advantage of two countries' seasonal differences.
The two countries will contribute farmland, personnel and technology for the project, which is also aimed at encouraging businesses to participate in the unique farming structure.
The two governments mean to develop new markets for luxury produce, which will be targeted at wealthy consumers in China and Southeast Asia.
Japanese Prime Minister Shinzo Abe and his Australian counterpart Scott Morrison agreed on a plan to proceed with building a cooperative structure at a summit in November 2018. The two leaders "recognized the potential for the two countries to boost agricultural exports into international markets through cooperation on bilateral counter-seasonal production," according to a joint statement released after the meeting.
The deal will enable Japanese farmers, who usually grow fruit in summer and fall, to also grow them in Australia when Japan is in winter, allowing them to harvest in all seasons. As the two countries have little time difference, farmers in one can monitor farms in the other in real time using video and provide instructions to staff on site.
The project will start in the northeastern Australian town of Ayr, where melons will be grown on a farm to be set up using land and greenhouses provided by the Australian side.
Japan will dispatch private-sector farmers from rural areas, including Fukuoka Prefecture, to the farm to provide necessary technological assistance and train local staff on farming the fruit.
The farmers will try Japanese farming techniques on an Australian melon variety and see if they can achieve the required quality and sugar content.
The project will seek to set up farms in other areas of the northeastern state of Queensland, where Ayr is located. They will also grow Japanese persimmons and strawberries.
By leading the project, the two countries aim to lay the groundwork for the year-round production scheme to encourage private-sector businesses to enter the unique farming scheme.
The first crop of fruit will be sent for quality inspections in Singapore and Thailand to see if they are viable for sale.
The two countries' interests could collide in rice, beef and dairy production, possibly spurring complaints from farmers on both sides. Therefore, they decided to cooperate in luxury fruit because there should be less overlap.
The cooperation could also attract new demand, including for the gift market. In 2017, Japan exported nearly 40,000 tons of fruit overseas, worth about 20 billion yen (US$ 184 million). The total export volume and value have jumped 160% and 250%, respectively, over the past five years.
As the economies grow, high-income groups are increasing in China and ASEAN countries. With the luxury fruit market expanding, Ginza Sembikiya and other fruit distributors can expect more profit by selling luxury fruit year-round.
Japan and Australia are cooperating in more than luxury fruit. The two countries are jointly conducting a large shrimp farming project in the Northern Territory. In March 2017, Japan signed a memorandum with the government of Queensland to develop a new variety of soybeans starting in April 2018.
The northern part of the country is less populated and developed. The Australian government hopes Japan's technical cooperation will boost development in the area, which includes a third of the country's land.

Ref: https://asia.nikkei.com/Economy/Japan-and-Australia-to-try-out-year-round-fruit-production
 
If you want to read this article in Japanese, please see the following link:
https://www.j-abc.com/jp-blog/7102067 
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