Vancouver’s Granville Island was once a nondescript industrial park of factories and warehouses, until it was redeveloped, for the most part by the Canada Mortgage and Housing Corporation. Today, Granville Island is one of the most famous tourist attractions in North America and home to more than 90 shops, 40 restaurants and cafes, a public market, hotels and theaters.

Granville Island is also the home of an Artisan Sake Maker, Masataka Shiroki, who has been producing and distributing Japanese sake there since January, 2007.

We spoke with Shiroki about what inspired him to begin brewing Japanese sake and his perspective on the future marketing potential for Japanese sake in Canada.

How Shiroki got his Start as a Sake Maker
I came to Vancouver in 1974 and got a job working for the government of British Colombia. In 2001, I left the government and started importing and distributing Japanese sake. I soon realized that in Canada, most people think of sake as a warm drink. In fact, over 60% of the customers that come to my Sake Studio have the concept that sake is something that you drink warm, so my guess is that over 90% of the general population has the same concept. I had also learned at that time that interest in Japanese sake was declining in Japan, which I thought was unfortunate.

Based on my experience in selling Japanese sake, I began to realize the need for educating consumers and the media. I felt that importing and selling sake was not enough to really make an impact on consumers and that perhaps I could have greater impact by actually making sake. Although this may seem somewhat arrogant, I also had a strong sense of obligation to represent Japanese culture. Fortunately, the local media gave me quite a bit of news coverage, for which I am very thankful.

The Rice and Koji Mold are Imported from Japan
I import the rice and koji mold from Japan and make three types of sake—Junmai-Nama, Junmai-Nama Ginjo and Junmai-Nama Nigori. I use Canadian water, which is filtered and is actually good quality soft water. The quality of the water has a significant effect on the flavor of the sake. The biggest issue is the cost of the raw ingredients, or the rice and koji mold, and the ability to ensure a steady supply. It is nearly impossible to compete with large Japanese sake makers that produce California and Oregon sake.

Characteristics of the Canadian Wine Market
The manufacture and distribution of alcoholic beverages in Canada is a monopoly enterprise run by the provincial governments. It took almost 2 years to obtain a manufacturing license. The duty is not expensive, but the liquor tax (provincial tax) is high. A standard liquor tax of 117% is imposed on all table wines, regardless of whether they are domestic wines or imports, the tax rate for fortified wine (wine that has extra brewing alcohol added to it) is 136% and is 167% for spirits. However, some Japanese sake that is a pure rice wine with no brewing alcohol added to it is taxed at the same rate as fortified wine instead of the standard rate of 117% for table wines, which in my opinion is unfair. In the U.S., pure, unfortified sake is treated as table wine.

The Future Marketing Potential of Japanese Sake in Canada
I feel that Japanese sake has a great deal of potential in the Canadian market. Inexpensive Japanese sake that is served warm in Japanese restaurants has a very strong alcohol odor to it; so many people think it is distilled liquor. On the other hand, high-grade sake, or Ginjo-shu, which has a fruity bouquet, is considered to be more of a wine.
As I mentioned before, there are a lot of people that are not familiar with the concept of drinking chilled sake. It is my feeling that if we can increase consumer awareness of Japanese sake, the market for sake, particularly for high-grade sake, is very likely to expand.

(Note) Japanese Sake Exported to Canada
In 2007, Japanese sake exported to Canada was valued at 239 million yen, with a total export volume of 484 thousand liters. This was a 128% increase in value and 46% increase in volume compared to 2001. The 2007 statistics indicate Canada accounted for 3.4% of the value and 4.7% of the volume of worldwide sake exports from Japan, which makes it the fifth largest importer of Japanese sake in terms of the volume with the US being the largest. The overall increase in sales over volume indicates an increase in customs clearance unit price, ie products of a greater value are being imported to Canada.


Written by Hiroyuki Matsuoka