Sesame Market Outlook (Japan) ITOCHU Corporation 11th of Nov, 2017 ITOCHU Corporation

World Production Volume (Sesame Seeds) ITOCHU Corporation

World Import Volume (Sesame Seeds) ITOCHU Corporation

Import Volume in Japan (Sesame Seeds Crushing & Edible Grade) ITOCHU Corporation

Import Volume in Japan (Sesame Seeds Crushing & Edible Grade) (mt) ITOCHU Corporation

Crushing & Edible Grade (Mix) 　Main 5 origin Tanzania, Mozambique, Nigeria Burkina Faso, Uganda Edible 38% Crushing 62% Edible (Black Sesame) Myanmar (White sesame) Paraguay, Guatemala, Nigeria, Tanzania, Mozambique ITOCHU Corporation

Standard Specification Crushing & Edible Grade Crushing Grade 【Admixture】 2％　Max 【Oil Contents】 52％　Min*　 *Low oil contents＝Discount Edible Grade 【Purity】 99.5-99.97％　 【Oil Contents】 50% Min 【Color】 Black / White * *Mainly color-sorted 【Free Fatty Acids】　　 2％　Max 【Moisture】　　　　　　　　 7％ Max AND… 【Pesticide Residue】 NOT DETECTED with the Certificate issued by FOSFA approved Laboratory Standard Specification ITOCHU Corporation

Edible Grade To minimize the recall risk, Japanese manufactures buy Edible Grade. Itochu trade around 50% of Edible Grade in Japan market. For example, If consumer find foreign material related sesame seeds on rice in lunch box, sesame manufacturer need to bear all recall cost not only sesame but also lunch box. Wikipedia <Quality Check Points> Stem Other seeds　 Black Stone Stones & Sands Others ITOCHU Corporation

Pesticide Residue Spec in Japan (Item : Japan standard) DDT : 0.005ppm Imidacloprid : 0.05ppm Acetochlor : 0.01ppm Fenitrothion : 0.01ppm Carbaryl : 0.01ppm Triazophos : 0.01ppm 2-4-D : 0.05ppm Profenofos : 0.01ppm Chlorpyrifos : 0.1ppm Aflatoxin : 10ppb with the Certificate issued by FOSFA approved Laboratory NOT DETECTED ! We need to observe the Positive List System for Agricultural Chemical Residues in Foods ⇒　Total 784　pesticides are registered on the list ITOCHU Corporation

Rejection List by Japan Positive List System (From Jan 2015) ITOCHU Corporation

Control of Pesticide Residue Risk How to control　the pesticide residue…? 【Production area】 - Proper usage instruction of Pesticide - Contamination control (Pesticide-coating-seeds) - Control of drift from nearby field - Post harvest in warehouse 【Broker / Warehouse / Shipper】 - Arrangement of FOSFA certified laboratory - Upgrade of Sorting/Storage Performance No contamination with other products 【Laboratory】 - Unified control of Pesticide Residue (Test method, Detection Limit) ITOCHU Corporation

Thank you for your attention and thank you for your patience ITOCHU Corporation 11th of Nov, 2017 ITOCHU Corporation