Wagyu, which literally means “Japanese cow,” refers to four native breeds that are cultivated in Japan for their unique qualities: Japanese Black (Kuroge Washu), Japanese Brown or Red (Akage Washu or Akaushi), Japanese Shorthorn (Nihon Tankaku Washu), and Japanese Polled (Mukaku Washu).
Wagyu is more than just a category of beef—it is a designation that focuses on breed authenticity and specific production standards. Only meat from these four breeds, or their crossbreeds, raised and fattened under strict conditions in Japan, can be legitimately labeled as “Wagyu.” (Source)
The Origins and Development of Japanese Black
The most prevalent breed among the four is Japanese Black (Kuroge Washu), accounting for over 90% of Wagyu beef produced in Japan. This breed was developed and refined during the Meiji era by crossbreeding with foreign cattle, eventually being recognized as a distinct Japanese breed in 1944.
The process of raising Wagyu involves a clear division of labor. Breeding farmers raise mother cows to produce calves, which they nurture for 8 to 10 months before selling them at auction. The calves are then purchased by fattening farmers, who meticulously raise them over 20 months, optimizing their diet and environment to achieve the high-quality marbling for which Wagyu is famous. There are also integrated farmers who manage the entire process from breeding to fattening.
Production and Domestic Consumption
As of 2017, Japan raised approximately 1.6 million Japanese Black cattle, accounting for a substantial portion of the nation's beef production.
Wagyu beef is deeply ingrained in Japanese culinary traditions. A 2023 survey revealed that a majority of Japanese consumers purchase domestically produced Wagyu beef at least once a month, with 17.8% buying it monthly and 2% almost daily.
Market Value
The Japanese Wagyu beef market was valued at approximately USD 2.017 billion in 2021. Projections indicate that this market could reach USD 4.108 billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 8.4% during the forecast period from 2022 to 2030.
Import and Exports
Japan's beef exports are modest compared to its domestic consumption, they have been on an upward trajectory. In fiscal year 2023, Japan exported approximately 8,650 tons of beef and veal, marking a significant increase from about 1,360 tons in fiscal 2014. The primary destinations for Japanese beef exports include Taiwan, Hong Kong, the United States, Cambodia, the European Union, Singapore, and Thailand.
40% of beef consumption is supplied by Wagyu and other domestic breeds, while the remaining 60% is imported, primarily from Australia and the United States.
Bidding
At livestock auctions, buyers bid on calves based on factors like pedigree, appearance, weight, and coat color. In recent years, the prices of Wagyu calves have risen, driven by growing popularity and demand.
However, it’s not enough to simply fatten these calves—farmers must also fine-tune their diets and meticulously manage their health to produce the highest-quality beef, known for its melt-in-the-mouth texture and rich flavor. Source
Standards and Grading
On the other hand, there is also domestic beef, which some might mistakenly assume is the same as Wagyu. However, the classification of domestic beef is based entirely on the fattening location and duration, not on the cattle's breed or place of birth. As a result, even cattle born outside of Japan can be labeled as domestic beef if they are raised and fattened within the country for a specified period, according to Japanese regulations.
The term "Wagyu" is strictly regulated. It does not depend on where the cattle are raised but rather on their breed and pedigree. To be labeled as Wagyu, the beef must come from one of the four specific breeds and be purebred.
Only these carefully selected breeds, cultivated for their marbling and tenderness, can carry the Wagyu name, making them highly sought after both in Japan and abroad.
Yield Grade: This indicates how much meat can be obtained from one cow and is graded on a scale of A, B, or C. The “A” in the famous A5 grading refers to the highest yield grade, which affects market value. Source
Meat Quality Grade: The number “5” represents the meat quality, rated on four criteria: fat marbling, meat color and luster, meat firmness and texture, and fat quality and color. Each criterion is scored from 1 to 5, and the lowest score determines the overall grade.
This means that for a meat to achieve a grade of 5, it must receive a perfect score of 5 in all four categories. Conversely, even if three of the factors are rated as 5, but one receives a 3, the overall quality grade would be 3. Source
Breakdown of Evaluation Criteria:
Fat Marbling: Assessed using the Beef Marbling Standard (BMS), which ranges from 1 to 12. A score of 8 to 12 is considered a high degree of marbling and corresponds to a grade of 5.
Photo Credit: Source Meat Color and Luster: Evaluated based on a seven-level Beef Color Standard (BCS), with an ideal color range between 3 and 5.
Meat Firmness and Texture: Visually judged for firmness and texture. Only meat that is exceptionally firm and finely textured can achieve a grade of 5.
Fat Color, Luster, and Quality: Rated on a Beef Fat Color Standard (BFS) scale from 1 to 7, where a score closer to 1 indicates a whiter, purer fat. To receive a grade of 5, the fat must also have excellent luster and quality.
This rigorous grading process ensures that only the highest-quality Wagyu earns the prestigious A5 rating.
The Most Famous Wagyu Brands
Matsusaka Beef (Mie Prefecture): Known for its rich flavor and extreme tenderness.
Kobe Beef (Hyogo Prefecture): Renowned for delicate marbling and umami richness.
Omi Beef (Shiga Prefecture): Boasts a long history and is valued for its distinctive flavor.
Yonezawa Beef (Yamagata Prefecture): Praised for its sweetness and melt-in-the-mouth texture. Source
Debunking Myths: Kobe vs. Wagyu
A common misconception is that Kobe and Wagyu are the same. While all Kobe beef is Wagyu, not all Wagyu is Kobe. Kobe beef specifically refers to Tajima-Gyu cattle raised under strict guidelines in Hyogo Prefecture, whereas Wagyu encompasses all four Japanese breeds.
Another myth is that Wagyu cattle are regularly massaged and fed beer. While some farmers in Japan may massage their cattle in colder months to prevent muscle stiffness, and occasionally feed beer to stimulate appetite, these practices are not standard or required. The unique marbling is more a result of selective breeding, diet, and stress-free environments.
