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Spencer’s longtime contract with Costco (the American big-box warehouse retailer has more than 30 locations in Japan) has him importing shipping containers full of Wyke Farms cheddar. “Stilton and stuff like that. That's flown in. That has a shorter shelf life,” he said. Liz Truss’ trade deal “was good,” he added, noting “there's a lot of stuff that's tariff-free” thanks to it. “It's just a nightmare importing anything into Japan. They have what's called non-tariff barriers,” he said. The flake in the soft serve ice cream at The British Shop? “We have a German flake,” Spencer said, shaking his head. “You can't have a Cadbury's Flake,” he explains. “There's an emulsifier inside it that's not approved for Japan.” Despite the challenges, Spencer says he’s “on a mission to expand British food and British products.” Next, he’s going to try importing Victoria sponge. Volatile business Overall, British food and drink exports to Japan have been volatile. “The story for cheese exports, unfortunately, shows a clear decline in recent years,” said George Hyde, the Food and Drink Federation’s head of trade. “U.K. cheese sales to Japan peaked at £2.2 million in 2019 but have fallen every year since, and were down two-thirds in 2024 despite tariff advantages.” A major factor is the weak Japanese yen compared to the strong British pound. Since Truss signed the trade deal in 2020, the pound has risen 47 percent in value against the yen. In August, inflation in Japan stood at 2.7 percent — its lowest point since November 2024.
