Subsidy Helps New Alcoholic Drink Development amid Pandemic
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Tokyo, Jan. 12 (Jiji Press)--Japanese makers of alcoholic beverages are using government subsidies to develop new products, in a bid to stem a decline in consumption amid the novel coronavirus crisis.
Japanese sake that pairs well with foreign cuisine and custom-made drinks to meet demand for consumption at home are expected to hit the shelves soon thanks to such initiatives.
According to a survey by the internal affairs ministry, the average spending per household with at least two people on alcoholic drinks at home rose from 41,000 yen in 2019 to 46,000 yen in 2020, while the figure for drinks at restaurants and bars plunged from 20,000 yen to 9,000 yen.
In a bid to boost consumption, the National Tax Agency established the so-called frontier subsidy in which the government covers half the costs for developing new products and establishing new sales routes, to a maximum of 5 million yen.
The government earmarked a total of 1.4 billion yen for the subsidy in the supplementary budgets for fiscal 2020 and 2021.
[Copyright The Jiji Press, Ltd.]