Japan is at a crossroads, grappling with its economic future amid declining population numbers and stagnation. Jeny Raj, the Indian-born CEO of Kameda Seika—a leading rice cracker manufacturer—has made headlines with his candid assessment, urging the nation to reconsider its immigration policies to restore its former economic glory.
Raj, 72, came to Japan over 40 years ago during what many refer to as the country's golden period of economic growth. Reflecting on this time, he indicated, "I came to Japan because its GDP was nearly the highest in the world." Today, the situation is starkly different, with Japan struggling under the weight of its aging population and labor shortages.
The CEO has articulated his belief: if Japan hopes to regain its competitive edge on the global stage, it must shift its mindset to allow for greater immigration. He stated, "We need to change our mindset and accept more immigrants. It is the only option left for Japan. Not just numbers, but culture is also important; globalization is needed." This assertion resonates against the backdrop of Japan’s previous hesitance to embrace immigration.
Japan's current government, under Prime Minister Shigeru Ishiba, has attempted various measures—including aggressive monetary policies and stimulus packages—to resurrect the economy from its so-called 'lost decades.' Despite these efforts, tangible growth remains elusive. Raj observes this struggle, emphasizing, "The government is trying various policies, but we have not seen significant recovery." The backdrop of Japan’s technological prowess, which once led the world, has also shifted. Raj noted, "Japan no longer leads the technology sector; countries like the USA, Korea, and China have surpassed it."
The data speaks volumes too—recent statistics suggest Japan will need to increase its foreign labor force by over three times by 2040, reaching approximately 6.88 million workers. Presently, the nation is expected to face about one million shortages if current restrictions remain. Raj remarked, "There is no option other than to accept more immigrants; otherwise, companies will continue to face staffing issues."
Notably, Raj himself is part of Japan's minority demographic of foreign-born CEOs. He highlights the rarity of such figures within Japanese corporations, commenting, "It is very rare for foreigners to become CEOs of Japanese companies. If we look at the US, Indian professionals lead companies like Microsoft and Google." His experiences here and abroad fuel his conviction for change. Raj asserts, "Japan must change; flexibility to accept talent from overseas remains critically important."
The discourse surrounding immigration in Japan is complex, with societal attitudes often playing catch-up with economic realities. Having worked at companies like Taiyo Pharmaceutical and Rohto Pharmaceutical before joining Kameda Seika, Raj has observed significant shifts within the industry and society at large. He notes, "Japan has lost the spirit of being hungry to take on the world. Gradually, the mindset of feeling they had 'gained everything' started to fade." This moment of reflection adds depth to the urgency of his statements.
Of course, the conversation around immigration also touches on broader issues including social integration and inequality. Raj emphasizes, "Economic growth isn’t everything; if we accept immigrants, it cannot cause excessive inequality or decline in safety." He acknowledges challenges including ingrained prejudices and the lack of exposure to foreign cultures, which can hinder one's acceptance of immigrants. "Japan has fewer opportunities to encounter differences, but accepting those who want to come is favorable condition-wise. It is important to have discussions about how the acceptance should take place," he suggests.
While cultural shifts are slow, Raj believes proactive measures by corporations, alongside governmental initiatives, can pave the way for meaningful change. The demographic challenges must be tackled with long-term strategies rather than relying solely on economic short-term solutions. He remarks, "We cannot ignore the gravity of labor shortages and the continued decrease of our population over the next 50 years—it will drop by nearly one-third."
The narrative surrounding Japan’s immigration policies is continually shaping itself, especially following the COVID-19 pandemic. The response to this health crisis has underscored the need for flexibility and adaptability within the workforce. Raj’s call for renewed immigration frameworks aims not just to address immediate economic needs but to solidify Japan’s status on the international stage.
Raj's reflections stand out primarily because they come from someone who has thrived within Japan's corporate structure, married with the unique perspective of being from abroad. He insists, "We should take pride in our backgrounds. Japan must take down barriers and work to create welcoming pathways for both people and ideas." Looking forward, Kameda Seika is positioned to exemplify what can be achieved with more diverse inputs, as Raj strives to lead his company as a global innovator.
Japan faces pivotal choices as it navigates this multifaceted discussion. How the nation responds to these calls for greater inclusivity will determine not just its economic fate but its cultural identity as well. Raj’s voice could very well symbolize a turning point—a clarion call for embracing change at both corporate and societal levels.
