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#export factoring
theladytrader · 3 months
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tradersuraj1 · 4 months
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Leading Export Factoring Services in India to Boost International Sales
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Export factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (invoices) to a third party (the factor) at a discount. This arrangement provides the business with immediate funds, typically a percentage of the value of the receivables, which can help improve cash flow and mitigate the risks associated with international trade. Export factoring is particularly beneficial for businesses engaged in exporting goods or services to international markets.
For expert finance consultancy for this visit:
https://www.myforexeye.com/export-factoring
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kredxgtx · 6 months
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The Evolving Landscape of Export Factoring: A Glimpse into the Future
The realm of international trade finance is undergoing a rapid transformation, with export factoring emerging as a key player. This financial instrument, which allows businesses to sell their invoices at a discount in exchange for immediate cash, is not new. However, it's evolving in ways that could significantly impact exporters, especially in the context of the modern global economy. 
his article delves into the potential future developments of export factoring and how they might shape the world of international trade.
1. Digital Integration and Automation
The future of export factoring is inextricably linked with digitalization. We are witnessing a trend towards the integration of sophisticated software solutions and platforms that automate and streamline the factoring process. This digital shift is expected to reduce processing times, improve accuracy in risk assessment, and enhance overall operational efficiency. As a result, exporters can expect faster funding and more transparent transactions.
2. Increased Access for Small and Medium Enterprises (SMEs)
Historically, export factoring has been more accessible to large corporations with substantial resources. However, there's a growing shift towards democratizing access to this financial tool for SMEs. Innovations in financial technology (FinTech) are making it easier for smaller businesses to engage in export factoring, thus opening up new growth opportunities in international markets.
3. Blockchain and Smart Contracts
Blockchain technology and smart contracts hold significant potential for revolutionizing export factoring. By enabling secure, transparent, and immutable transactions, blockchain can provide a level of security and trust that is paramount in international trade. Smart contracts can automate various aspects of the factoring agreement, including invoice verification and payment processing, thereby reducing the likelihood of disputes and fraud.
4. Sustainability and Ethical Considerations
As global awareness of sustainability issues grows, export factoring is likely to be influenced by ethical considerations. Factors may start to give preference to businesses that demonstrate sustainable and socially responsible practices. This shift could encourage exporters to adopt greener and more ethical business models, impacting global trade practices positively.
5. Geopolitical Impacts and Global Trends
The changing geopolitical landscape and emerging global economic trends will continue to influence export factoring. Factors such as trade wars, economic sanctions, and regional trade agreements will play a crucial role in shaping the risk assessment and decision-making processes in export factoring. Businesses must stay attuned to these changes to navigate the complexities of international trade finance effectively.
6. Enhanced Risk Management Techniques
Advancements in data analytics and AI are set to improve risk management in export factoring. With more sophisticated tools for analyzing market trends, credit risks, and economic indicators, factors can make more informed decisions, thereby reducing their exposure to bad debts. This advancement will benefit exporters by potentially lowering the cost of factoring services.
Conclusion
The future of export factoring is dynamic and promising, marked by technological advancements, wider accessibility, and evolving trade dynamics. As we move forward, it will be crucial for businesses engaged in international trade to understand and adapt to these changes. By doing so, they can leverage export factoring more effectively, ensuring liquidity and driving growth in the ever-competitive global marketplace.
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tradewindfinance2 · 1 year
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Letters of Credit in Trade Finance: Purpose & Types
International trade finance plays a key role in simplifying trade between importers and exporters who work collaboratively from different corners of the world. A key benefit of trade finance is that it reduces the payment and supply risks between exporters and importers by introducing a third-party finance partner.
Export finance can be availed via multiple tools like the issuance of letters of credit, bank guarantee, lending, forfeiting, export credit, debt factoring, and such. These financial tools help exporters make international business transactions, reducing the hassles or risks that usually accompany them such as currency fluctuations, different global regulations, political instability, issues of non-payment, or the creditworthiness of one of the parties involved.
To best leverage the benefits of international trade finance, it is important to be well-acquainted with the tools that are designed to facilitate it. In this blog, we will explore the purpose and the types of letters of credit. What Is A Letter Of Credit? Widely used in the international trade industry, a letter of credit is issued by a bank or a financial institution on the behalf of the buyers. It is a tool drafted to guarantee that the seller will receive payment in exchange for the products and services delivered to the buyers. If the buyers are unable to make the payment due to some unforeseen circumstances, the bank or the financial institution is to pay the seller, according to the terms and conditions stated in the letter of credit. Owing to a host of advantages, letters of credit play a key role in today’s global trade transactions. The key benefit is that letters of credit can be customized in a way that the terms best serve the requirements of both parties involved. In addition, they can establish a strong sense of security among buyers and sellers involved in a project. The transactions can be made in an organized manner and within the set timelines. Different types of letters of credit are used, depending on the kind of transaction that has to be made, as well as the amount.
Types Of Letters Of Credit 1. Commercial letters of credit: This type of letter of credit is also referred to as an import/export letter of credit. Commercial letters of credit are of key importance in global trade as they serve as a direct payment method. Here, the issuing financial institution makes payments to the seller immediately, once the application is reviewed and approved.
2. Standby letters of credit: Unlike commercial letters of credit, standby letters of credit are secondary payment methods. Here, the financial institution has to pay the seller only if the buyer cannot. If a transaction does not go through as expected, the institution intervenes. It compensates the seller in case the buyer cannot make payments. 3. Revolving letters of credit: These letters of credit come with a specific benefit; they can be used to make a series of payments. They allow one to make any number of draws within a certain limit. There is usually an expiration date, often one year. These letters are frequently used among businesses that work together on multiple projects for long periods. 4. Revocable letters of credit: With these letters, sellers can legally modify or cancel certain terms related to transactions at any time, without the consent of the buyers. These letters are not common as most buyers do not agree to them, and the UCP has no provision for them.
5. Irrevocable letters of credit: Given that there are fewer risks involved, irrevocable letters of credit are more common than revocable ones. They state that no modification or cancellations can be made without the consent of all parties involved. Irrevocable letters of credit can either be confirmed or unconfirmed. 6. Confirmed Letters of Credit:
These letters require that another financial institution, other than the original issuing institution, guarantees the letter of credit. The second institution is the confirming institution, usually one that the seller trusts. Here, the confirming institution makes the payment if both the buyer and the letter-issuing institution fail to do so. How Does It Work? No matter the type, every letter of credit has to be drafted as an official document. Both buyers and sellers have to agree upon the terms and conditions mentioned in the letter of credit before submitting the final application to the financial institution that will issue it. All the parties involved are expected to thoroughly review the detailed terms in the application concerning the expiration date of the letter, payment cycle, deadlines, amounts mentioned, and such.
Once the application is submitted, the third-party financial institution reviews the buyer’s credit history, assets, and liabilities to verify whether the terms stated in the letter can be met. The institution agrees to provide the letter of credit once they have enough proof to back the buyer’s creditworthiness.
If the buyer is unable to pay the seller, the financial institution has to make the full payment. In case the buyer has made a partial payment, the institution has to pay the remaining amount. Financial institutions usually charge a fee for a letter of credit, which can be a percentage of the total credit that they are backing. The fee amount can differ depending on the institution and the amount they are guaranteeing.
Scale your Business with Tradewind Expand your export business beyond boundaries with Tradewind Finance, one of the leading international trade finance companies. Our experts are trained to guide you through the best solutions, each one tailored to your requirements. Trade finance companies like Tradewind offer trade finance facilities in multiple currencies, eliminating the risks of currency exchange. Representatives at Tradewind are multicultural and fluent in over 15 languages, serving clients in more than 30 countries. With an emphasis on eliminating trade risk, Tradewind offers Factoring finance solutions. You also get the flexibility to choose the best avenue: 1. Export Factoring via Letter of Credit:
Your buyer opens a letter of credit with us, which guarantees you are paid if the terms and conditions specified in the letter of credit are fulfilled. 2. Export Factoring via Payment Against Documents:
If you sell on documentary terms, we will advance the funds and handle the bank collections process.
3. Export Factoring on Open Account Terms:
We first inspect the creditworthiness of your buyer and set a credit limit on them. Then, we buy your accounts receivable and pay you generally within 24-48 hours of invoice submission. We handle the management of your accounts receivable and the complete dunning process. In case your customer cannot pay due to insolvency, we will pay you (non-recourse). We provide flexible financing solutions to companies belonging to diverse sectors – Automobile, Apparel and Textile, Industrial and Mechanical, Food and Beverage, Electronics, Gaming & Media, and more. Aspire to take your business to newer heights? Take the leap with Tradewind today.
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taniyasharma2023 · 1 year
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What is export factoring and why do companies use it?
A financial intermediary buys a company’s receivables and lends cash to their firm in the process known as export factoring, which is a type of international factoring. Recourse and non-recourse are the two types of export factoring,
For a number of reasons, export factoring is distinct from a conventional bank loan. First off, it does not appear as debt on a company’s balance sheet, in contrast to bank loans.
Furthermore, due to the fact that export factoring frequently doesn’t require collateral, small and medium-sized enterprises are more likely to be approved for financial service.
Moreover, rather than the borrower’s own financials, the funding through export factoring is dependent on the creditworthiness of the company’s clients.
If you want to use export factoring efficiently, you should search for reliable export factoring companies. Choose the one out of the export factoring companies in India that
provides the best export factoring services. You will surely be able to find a company that provides export factoring facilities of a high standard.
Some of the ways companies can prove beneficial by using export factoring in India are:
Export factoring enables them to provide open account terms, improve their liquidity, and become more competitive. It can also be seen as an alternative to long-term bank financing, export credit insurance, and other high-cost loans.
Export factoring helps, particularly where there are short-term sales of products and if there may be a danger of non-payment. It enables commerce to be conducted on open account terms. It lessens credit and collection issues in cases of foreign sales and speeds up cashflows, helping to reduce credit risk and give the company liquidity.
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nidhipujari · 2 years
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How does export factoring function?
Export Factoring is a vital account receivable financing strategy for business owners engaging in international trade in order to maintain a consistent cash flow. 
Export factoring offers a more lenient eligibility requirement than conventional institutional loans. Micro, small, and medium-sized businesses [MSMEs] can choose this service very readily as a result.
How Does Export Factoring Work?
The concepts of credit protection, export working capital finance, foreign accounts receivables, bookkeeping, and collection services are all combined in this business model. An exporter often issues an invoice to the importer for the items they have sold. Both parties acknowledge that at the conclusion of the specified credit period, the importer will pay the exporter.
This retailer or exporter has the option to sell the receivables owed to the importer to an export factoring company, a third-party financier. These elements, in turn, pay off a sizable portion of the invoice upfront, ensuring the unrestricted cash flow necessary for a corporation to operate effectively. A Factor collects the full payback from the importer at the conclusion of the maturity period and pays the remaining balance of the invoice to the exporter, less a charge.
Notably, non-recourse financing is frequently offered for these international accounts receivable-based loans. As a result, a Factor essentially assumes the inherent risk of non-payment from the importer's end of a foreign transaction.
What Advantages Does Export Factoring Offer?
The benefits of export factoring for firms are numerous and include:
The repayments from the overseas importers may not be received by the exporters for several months. A Factor, on the other hand, makes sure that economic acceleration occurs within a short period of time.
Instead of taking into account the financial health of exporting companies, factors sanction the money based on the creditworthiness of consumers or importers. Thus, both established Blue-Chip firms and uncategorised MSMEs in the goods market might gain from this service.
Businesses can establish a faster workflow without worrying about dunning and collections by shifting the invoices to an intermediary financing company.
Conclusion
Export factoring, consequently, has emerged as a user-friendly means of invoice financing. Leading Fintech service providers like KredX, India's largest supply chain platform, function as a financial intermediary in offering businesses invoice financing and other facilities.
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the disreSPECT
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hey-scully-itsme · 2 months
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going mildly insane bc i just realized there is a small problem i need to fix, that would only take like an hour and a half at most to correct and which needs to be fixed ASAP, that i can’t fix until after work.
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As exemplified by Tradewind Finance, supply chain finance companies are essential to global trade. They facilitate trade financing and foster connections among businesses of all sizes across continents, driving economic expansion. Nonetheless, growth can be hampered by financial constraints and operational inefficiencies. This is where supply chain financing and optimization come into play.
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theladytrader · 4 months
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knittex · 2 years
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cultfaction · 2 years
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Arrow announces December line up!
Arrow announces December line up!
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maarji · 2 years
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Often seen as a hallmark of autumn, the marigold is a flower that blooms in all kinds of warm shades, including red, yellow, and orange. However, this flower can actually endure throughout most of the spring and summer months.
Visit: www.maarjiherbalproducts.com
Lalith De Soysa :     077 363 7778
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inky-duchess · 8 months
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WorldBuilding Ask Game
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Here is a little ask game for WorldBuilding in your WIP to pad out one country or all of them! Use it for yourself or ask a friend and spread some love. Focus on a particular section and have fun!
Geography
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What does your world look like? What's the biome? Are there different ones?
Are there any oceans? If so, are they accessible? Are they a reliable source of travel and food?
Are there any rivers in your world? Any lakes? What's the longest river? Deepest lake?
Is there a safe supply of drinking water? If not, why not?
Are there mountains in your world? What's the highest one?
What is the weather like? How does this effect life?
What animals inhabit the world? What animals are indigenous or considered exotic?
What are some natural features your world is famous for? Is your world considered beautiful?
How many countries in your world?
How are countries divided? By natural lines or by agreements?
Population
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What's the population like? Is it large or sparse?
Is there any factors in population density? Do more people live in a certain area more than elsewhere? Why is that?
Are there different peoples living in your world? If so, how do they get on?
How important is nationality? Are foreigners tolerated? Or are they unwelcome?
What countries get on? What countries hate one another?
Are there any important cities? Why are they important?
What's the architecture like? Are there any outside influences?
What's a typical building material? What's considered an expensive feature to include?
What is infrastructure like? Are roads and railways in good condition?
Is there public transport? Is it reliable?
Government
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What system of government does your world adhere to? Is it popular?
Where is the seat of government?
Are there different governmental agencies?
Are there political parties? If so, what are their goals?
How much control does the government have over the average person?
Can your people vote? If not, why not? If so, who has/hasn't the right to?
Are there any parties or organisations that oppose the government?
How does the government crack down on sedition?
Are people allowed to criticise the government? If so, how? If not, how do they get around it?
How are laws made? Who makes them?
Is there any odd laws in your world?
What are some punishments to crime? Are they considered fair?
What crimes are unfathomable for the people?
Who handles justice? Is justice obtainable for all?
Are there any police? What's their reputation?
What role does the military play in your world?
Who controls the army? Head of state or government as a whole?
Is it considered a good career path?
Who can join the army? Are there any restrictions?
What is your world's stance on war? Are there any neutral parties? Or particularly warlike ones?
Commerce and Trade
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How is trade done?
Is currency universal or dictated by region?
How is your economy going? What effects it?
What trade is your world known for?
What are some exports? What must your world import?
Are any goods considered luxurious?
What services are available in your world? What services are niche?
What sort of work is common? Is work readily available?
Who is expected to work?
Are workers treated fairly or unfairly?
Are there any ways workers are protected? If not, what are some consequences?
Is your world more reliant on technology or on labour?
Is agriculture possible in your world? If so what can your people grow?
How big is industry? What goods can your people make?
What resources can your country exploit?
What are some barriers to trade and commerce?
Is your nation known for quality? Or Quantity?
Who does your country trade with most often? Who do they boycott?
Are there any major ports in your country?
Are there any banned goods? If so, is there a black market for their purchase?
Society
How society expect one to behave in public? Are there different expectations for different people/genders/ranks?
Is there a social order? Can one move up the ranks?
Is there any considerations made on account of rank, gender, age or position?
What is considered a social faux pas?
Are there any gestures or actions that are considered rude or socially unforgivable?
What would utterly shock somebody to see somebody do?
What are some opinions that are normal for your world but can be considered subversive in real life?
How can one rise up the status ladder? Is there much trouble to do so?
What denotes a person's place in society?
How is life different in cities compared to life in the countryside?
Daily life
Where would someone go to buy their weekly shop? Is food easy to come by?
What would be the daily routine of the wealthy? The common man?
How is hygiene handled in your world? Where does one go to spruce up?
What would be some day to day tasks one might face?
What is the favoured means of travel?
Are there any problems in your world that could effect a daily routine? Potholes? Gigantic spiders? Acid rain?
What ammenties would an average person expect to have access to?
Where would one go if they are injured or ill? What's healthcare like?
Do people feel safe where they live? Are there any places somebody might face danger?
How do people communicate? Is it difficult? Why?
What do people do for fun? What's considered normal fun versus hedonistic?
What pastimes are common? What kind aren't?
Is education valued?
Is there access to education? If so, for who?
Are the population educated? If so to what extent?
Family Life
What is the typical family set up?
Is extended family important?
Who can be considered family? Who can't be?
Is marriage considered a duty? Or is it more of a personal choice?
Is divorce possible?
Can people adopt children?
What happens to orphaned children?
Are children important? If not, why not? If so, why?
What are some typical toys children play with?
What are some games children play with one another?
How is in charge of household chores?
Is there a hierarchy in families?
Are children expected to take on certain roles?
What is the living situation like between the different ranks? Are the roles different?
What's considered the proper way to raise a child?
Culture and Languages
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Are there multiple cultures in your world? How do they differ? Do they mesh well together?
How are cultures similar? How are they different?
Are there any traditions in your world? How important is tradition?
What are some rituals your culture undertakes?
Are there any special days? Events?
What are some traditional values in your world? Does it effect daily life?
Are there traditional clothes for your world? Are they something somebody wears on a daily basis or just on occasion?
Are there any rules around what people can wear?
What would be considered formal dress? Casual dress?
What would happen if somebody wore the wrong clothes to an event?
What languages are spoken in your world? If so, how do they sound?
Are there any dialects? If so, how do they sound?
Are most people monolingual? Or bilingual? Or multilingual?
Are there any languages that are closely related?
What is considered a universal language?
Religion
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Is religion a thing in your world?
Is religion a staple of life or just a small part?
Does religion affect politics, personal lives and affiliations?
Is your world sectarian? Or ruled by religion?
What are some influences religion has on daily life?
What sort of religion is it? Monotheistic? Polytheistic?
What are some myths your people believe in?
What common rituals does one undertake on a day to day basis?
How does one please a deity?
Where do your people pray? How do they?
What symbols would denote a follower of a certain belief system to a stranger?
What places or objects are considered sacred?
Are there religious orders? If so, who can join?
Is there tolerance or violence over religion? If so, between which faiths?
Food and Drink
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What are some traditional dishes in your world?
What would be a basic diet for the common man?
What's considered a delicacy?
Is there a societal difference in diet? What are the factors that effect diet between classes?
Is there any influence from other cuisines? If not, why not? If so, to what extent?
What would a typical breakfast contain?
What would lunch be?
What would be a typical dinner?
What meals are served during the day?
What's considered a comfort food or drink?
Are there any restrictions on who can eat what or when?
Are there any banned foods?
What stance does your world take on alcohol? Is it legal? Can anybody consume it?
Are there any dining customs? Are traditions?
Is there a difference in formal meals or casual meals? If so, what's involved?
Are there any gestures or actions unacceptable at the dinner table?
How are guests treated at meals? If they are given deference, how so?
Are there certain rules about how one can prepare food?
Are there any restrictions on eating with certain people?
How is food generally prepared by?
History
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Who are some notable figures from history?
Who founded the country?
Is history looked back on with fondness? Or do your people rather forget?
Are there any heroes in history? Any villains?
What are some highpoints in the history of your land?
What are some points of history nobody likes to speak about?
Does history effect your land, people, culture, language in the present? If so in what ways?
What historic monuments are still around in the present day? What has been lost?
How do people learn about history? Do they learn the truth? Or just an abridged version?
What's a historical event that is important to the story?
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svltaf · 2 years
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no, miss appleton did not single-handedly ruin japanese soy sauce forever
there's a popular post going around this week about a ghq (general headquarters, the administration of the american occupation of japan after wwii) employee, a certain ms. blanche appleton, single-handedly changing the taste of soy sauce. while her story is fascinating for sure and i await further developments on the part of the op, and had a hand in the history of soy sauce, the premise is quite a bit exaggerated, and the general narrative so far in the framing by the op somewhat problematic.
tl;dr: as with most things, this is a confluence of factors, with producers, scientists, politicians, (possibly underworld,) and administrators all having their own agency in this story. i find it unusual to sideline so many parties in favour of presenting a single foreign administrator calling the shots in the op's posts.
i've made an initial response here. i will continue my findings in a separate post here.
1. jack daniel's is swill, but it's still whiskey
i think i can distill my issues with this plot so far down to one statement in the original post:
There should be records of her policies, there should be legal documents in America which record how she apportioned out American exportation of soy beans to Japan, there should be sources talking about this woman's ability to transform Japan's soy sauce production so heavily that today only 1% of all soy sauce is made with pre-WW2 traditional techniques.
this transformative impact of one administrator is entirely overstated. this comment led me to a promo blog post where some of the original claims can be seen, and the op mentions that traditional soy sauce was made in kioke barrels, and the this method of production has dropped to about 1% now. this is true, but it appears that at least one source put the decline as starting around the end of the edo period (xvii-xix centuries). [1] sources traceable to yamaroku puts the decline more recently, at about a century ago [2, 3]
this japanese paper on fermented food production is quite clear in stating that wodden barrel production declined from the meiji period (1868-1912) onward.
江戸時代までに一般化した木桶・木樽の使用形態は、明治期以降、一般の生活や各種製造現場で近代化が進む中、コンクリートや金属、プラスチック、合成樹脂等の材質によって代替されていく。 The use of wooden vats and barrels, which had become common by the Edo period, was replaced by materials such as concrete, metal, plastic, and synthetic resin from the Meiji period onward, as modernization progressed in ordinary life and various manufacturing sites. (deepL translation)
another source from a professor on food production in japan suggests that shodoshima (where yamaroku is made) is the area that has most completely preserved the wooden vat method of production.
this survey (oguri) written by a member of the national museum of nature of science in tokyo dates the supplanting of traditional method in more industrialized regions by 1913
1913(大正2)年:栂野は「最新醤油醸造論」の中で、九州、中国地方では桶の代わりに煉瓦又は石でタンクを作り使用していると記述。 1913 (Taishō 2): Tsugano, in his "The Latest Soy Sauce Brewing Theory," wrote that in Kyushu and Chugoku regions, instead of vats, tanks were made of bricks or stone and used. (deepL translation, p.148)
1918年:西二の蔵(ヤマサ印)の建設に当たり研究中の内面塗料が完成したので、これを採用し仕込桶を角型のコンクリートタンクに改めた。 1918: The internal [coating] that was being researched for the construction of the Nishi Ni no Kura (Yamasa brand) was completed, and this was adopted and the brewing vats were replaced with square concrete tanks. (deepL translation with edits from @literaryreference, see translator's note 3, p.148)
i think it bears repetition that soy sauce production was industrializing as japan was industrializing from the meiji to early shōwa periods. as alluded to in the title, a lot of modern soy sauce is like jack daniels: industrial products that evolved from traditional methods alongside a nation's overall development.
2. babe wake up, a new semichemical soy sauce just dropped, and appleton's role in history (a corroboration of @/inneskeeper)
it seems like the plot on the original poster's part has gone to the american side, so let's try to follow the us-japan interaction but from japanese sources.
the survey cited earlier (oguri) has a lot of information that supports the original post. blanche appleton did exist, and does appear in more anecdotes from that era of the soy sauce industry.
(also, this bibliography has more sources on her time in japan, will require institutional access to japanese universities)
to start, there are two methods of semichemical soy sauce production. the first, 新式1号法 shinshiki 1-gō method (i will call it sc1) was invented in the taishō era (1912-26).
大正の末期頃になると、酸やアルカリの化学薬品を併用することによって、速醸の目的を達成しようとする研究が盛んに行われ、その代表的な「新式1号」が出現する。 Toward the end of the Taisho era, there was a flurry of research into the use of acid and alkali chemicals in combination to achieve the goal of fast brewing, and the "Shinshiki No. 1" [sc1] appeared as a representative example of such research. (deepL translation, p.158)
in the time immediately after the war, there was a shortage of supplies, and its allocation was controlled by the americans
駐留軍の総司令部 GHQ(General Head Quarter)は、1948年の春調味料の原料として「エロア資金」(占領地域経済復興資金)により、大豆ミール2万tを放出する方針を打ち出した。このことにより、その配分をめぐって醤油業界とアミノ酸業界は熾烈な競争をすることとなる。 The General Head Quarter (GHQ) of the stationed army announced a policy of releasing 20,000 tons of soybean meal as a raw material for seasonings in the spring of 1948 through the EROA (Economic Rehabilitation in Occupied Area) Fund. This led to fierce competition between the soy sauce and amino acid industries for its allocation. (deepL translation with edits by myself, p.159)
the "amino acid industry" mentioned refers to the monosodium glutamate (msg) industry (glutamate is the ion of an amino acid). essentially, in the early 20th century, both msg and soy sauce (and chemical "soy sauce") production methods have converged to all requiring many soybeans due to their protein content and fermentation properties.
this is where appleton makes her entrance:
GHQは両業界の調整窓口として、「経済安定本部」の経済科学局で調味料と乳製品の需給を担当していたミセス・ブランシェ・アップルトンをその任にあてた。アップルトンは、醤油醸造協会の茂木啓三郎とアミノ酸業界の大内鋼太郎を招いて意見を聴取し、原料の配分を「醸造醤油2、アミノ酸業界8」とすることを内定し、上司のマーカット局長に報告した。この報告内容は醸造醤油にとっては死活問題であったが、内定の根拠は次のようなものであった。 GHQ assigned Ms. Blanche Appleton, who was in charge of the supply and demand of seasonings and dairy products in the Economic and Science Section of the "Economic Stability Headquarters," (?) to serve as the coordinating contact between the two industries. Appleton invited Keizaburo Mogi of the Soy Sauce Brewers Association and Kotaro Ouchi of the amino acid industry to hear their opinions, and informally decided that the distribution of raw materials would be two for brewing soy sauce and eight for the amino acid industry, and reported this to her boss, Maj. Gen. W. F. Marquat. The content of this report was a matter of life and death for brewers' soy sauce, but the rationale for the informal decision was as follows. [...] (deepL translation with edits by myself p.159)
essentially, appleton originally intended for only 20% of the soybean meal to be handed out for soy sauce due to its relatively inefficient usage of materials compared to msg production. this would've crippled the existing soy sauce producers, and they set out to find solutions to save their industry.
醸造醤油側は、醸造醤油の「日本人の食生活における重要性や醸造醤油そのものの品質の良さ」等を強調したが、GHQはただ「脱脂大豆が有効に活用されるのはどちらか」という尺度だけで判断したのである。このような醸造醤油の存亡の危機を救ったのは、もくもくと研究に携わっていた技術陣が開発した「新式2号法」であった。本法を発明したのはキッコーマンの館野正淳、梅田勇雄等である。新式2号の製法は新式1号と同様に、蛋白質を弱酸でペプトンやペプチド程度まで分解し、その後は麹の酵素により分解してアミノ酸の形態まで持っていく半化学、半醸造による醤油の製造法である。 The brewing soy sauce side emphasized the importance of brewing soy sauce in the Japanese diet and the quality of the soy sauce itself, but GHQ made its decision based solely on the basis of "which [industry] would use the defatted soybeans more effectively". What saved brewed soy sauce from the brink of extinction was the "New Formula No. 2 method" developed by the technical staff who had been working diligently on the research. The inventors of this method were Masajun Tateno and Isao Umeda of Kikkoman Corporation. As with Shin-Shiki No. 1 [sc1], the Shin-Shiki No. 2 [sc2] method is a semi-chemical, semi-brewing method for producing soy sauce in which proteins are broken down to peptones and peptides with weak acids, and then decomposed by enzymes from koji mold to the form of amino acids. (deepL translation with edits by myself and @literaryreference, see translator's note 4, p.159)
this development, the invention of the 新式2号法 shinshiki 2-gō method (sc2), led to another round of discussions:
ミセス・アップルトンは「キッコーマンが画期的な技術を開発した」ことを聞き、新法による醤油とアミノ酸液による化学醤油を消費者に提示し、その調査結果に基づいて決定を再考しようと上申書を提出した。醤油の 味、使用テストは神奈川県の鎌倉市と逗子で行われたが、消費者の8割が新法による醤油を支持した。この結果に基づき、アップルトンは両業界で話し合って結論を出すように「正田・大内会談」を開かせた。 Mrs. Appleton heard that "Kikkoman had developed a breakthrough technology" and submitted a petition to reconsider her decision based on the results of a survey that presented consumers with both the new method of soy sauce and a chemical soy sauce made with amino acid solution. Taste and use tests of soy sauce were conducted in Kamakura and Zushi, Kanagawa Prefecture, and 80% of consumers supported the new soy sauce. Based on these results, Appleton had the "Shoda-Ouchi Conference" held so that the two industries could discuss and reach a conclusion. (deepL translation, p.160)
this source seems to suggest that the original decision was under higher-ups' pressure:
当初の提案2対8のアミノ酸業界絶対優位の配分比率は、「新式2号法」の出現により、最終的にGHQは「正田・大内会談」の「7対3協定」を認め、ここに醸造醤油の歴史的危機は回避されることとなった。醤油業界のミセス・アップルトンの評価は従来大変厳しいものであったが、後の調査で彼女は醸造醤油の良き理解者であり、当初の配分比率も上司の強い指示に抗しきれず提案したものであったようである。再度の上申は、彼女の日本の伝統的な醸造醤油への深い理解と思い入れによるものであったと考えられる。 As for the proposed allocation of 2 to 8, due to the [sc2] method, GHQ ended up deciding on the “7 to 3 Agreement” from the “Shoda-Ouchi Conference” instead, thus averting the historical crisis of brewed soy sauce.Although the soy sauce industry had been very critical of Mrs. Appleton in the past, later investigations revealed that she was a firm supporter* of brewed soy sauce and that the original allocation ratio was a proposal she made because she could not resist the strong instructions of her superiors. It is believed that her renewed offer was due to her deep understanding of and commitment to the Japanese tradition of brewed soy sauce. (deepL translation with edits from myself and @blackamite, see translators' note 1, p. 160)
the term 良き理解者 "good friend" (see bolded) i think could mean connoisseur or enjoyer here, will need help in clarifying.
その後醤油醸造協会の正田会長は、1948(昭和23)年7月23日に「新式2号法」の特許公開を懇請し、当時の中野社長の決断により、「新式1号」に続いて「新式2号」についても無償で業界に公開されることとなった。同年8月から講習会が全国12ブロックで開催され、約2,500社の業者が技術を習得した。 Later, on July 23, 1948, Mr. Shoda, president of the Soy Sauce Brewers Association, requested that the patent for the [sc2 method] be made public, and following the decision of then [Kikkoman Inc.] President Nakano, the [sc1 and sc2 methods] were made public free of charge to the industry. In August of the same year, training sessions were held in 12 blocks throughout Japan, and approximately 2,500 companies learned the technology. (deepL translation with edits by myself, p.160)
the main sources the survey used are a manuscript, 醤油醸造技術の近代化 by 永瀬一郎 Ichirō Nagase, kikkoman inc.'s own historical record (キッコーマン株式会社八十年史; a shorter version can be found here), and a history of choshi shoyu inc. (銚子醤油株式会社 社史). i think this confirms a lot of information the original post put out there about ms. appleton and her involvement with soy sauce. plus, it shed more light into how exactly she interacted with the condiment industries.
perhaps @/inneskeeper will find some shady dealings in their research; when you mix a foreign military force, the collapse of existing institutions, and social upheaval, you're likely to find corruption. ill keep my eyes peeled for that development.
3. no, kikkoman is not "fake" soy sauce, but you might be able to find some echoes of the past
so what happened to semichemical soy sauce now? the survey document does not track its usage after its invention and at the surface level, it seems that the original claim was right, the semichemical method has persisted since the american occupation and we're all just drinking sussy sauce.
in fact, this seemed so obvious that this rumour circulated in japan and was debunked by aficionados two years ago.
the link to kikkoman's own record earlier states that sc2 sauce was discontinued in 1970, and the japanese blog post above repeats that, adding that it has reverted back to honjōzō (本醸造) sauce. this paper in the journal of the brewing society of japan (日本醸造協会誌) has this to say about what became of sc2 sauce:
また,キッコーマンの新式 2号しょうゆ製造法の特許が公開されたのも 1948年で, しょうゆ業界は混合醸造しょうゆおよび混合しょうゆを製造することにより効率よく旨味の強いしょうゆを安価に製造し, しょうゆ原料不足の時代を乗り切ったと考えている 。現在,大手メーカーでは食の安全性や本物志向から混合醸造しょうゆおよび混合しょうゆの製造をやめ本醸造しょうゆだけを製造している 。一方,全国の中小しょうゆメーカーでは,製造設備を全て本醸造しょうゆに切 り換える資金力に乏しく.一旦,消費者に定着した混合しょうゆのニーズにより本醗造しょうゆに切り換えることが出来ず,現在も混合しょうゆが主力商品となっているのではないかと考えている 。 The patent for Kikkoman's new [sc2] soy sauce manufacturing method was also published in 1948, which allowed the soy sauce industry to overcome the shortage of raw materials for soy sauce by producing mixed brewed soy sauce and mixed soy sauces efficiently and inexpensively. Currently, major soy sauce manufacturers have stopped producing mixed brewed soy sauce and mixed soy sauce, and are producing only honjozo soy sauce, due to food safety and the desire for authenticity. On the other hand, small and medium-sized soy sauce manufacturers nationwide do not have the financial resources to convert all of their production facilities to honjozo soy sauce. Once a demand for mixed soy sauce has taken root among consumers, they are unable to switch over to honjōzō soy sauce, and even now, it's possible mixed [kongō or kongō-jōzō] soy sauce might be the top [soy sauce] product. (deepL translation with edits from myself and @literaryreference, see translator's note 2, p.78)
the three types of japanese soy sauce production methods available today are honjōzō (本醸造, fully fermented), kongō-jōzō (混合醸造, mixed fermented with amino acid added prior to fermentation, closest to sc2 method), and kongō (混合, one of the previous two types with additives). [wiki, academic source] these production methods are in parallel to the traditional varieties of sauce, which rather describe the mash and added taste; these elements of the production, rather than the fermentation process, are usually what define the lineage of the sauce in both japan and other soy sauce-producing cultures.
instead of supplanting "genuine" fermented soy sauce, the industrial descendants of sc2 sauce have become their own type of sauce and have carved their own niches in the consumer market. as someone who is not from japan, i would be careful about making any judgment on whether it is "authentic".
4. clarifications
there were a few statements by the original poster that i think need further context for a more accurate understanding. any bolding and italics are mine.
During World War 2 there was a push to industrialize the Japanese soy sauce industry to be better for mass-production. This innovated the chemical fermentation technique and the semichemical fermentation technique utilized by Kikkoman; rather than ferment for four years in gigantic cedar barrels, kioke, instead fermentation takes place for six months or a year in stainless steel barrels which utilize electrolysis to artificially speed up fermentation processes.
the first part is correct, but the word "rather" introduces a false dichotomy; soy sauce production is very diverse and progresses at different paces in different regions (see part 1 of this post). the sauce op has is simply one from a region that has kept their manufacturing method unchanged.
"four years" is arbitrary: different producers have different fermentation periods.
the last part of the statement is not universally true of industrial production; ac current may be used in brewing.
A single American woman named "Ms Appleton" was given total control of apportioning all American soy bean rations to companies, how much, and to who. She had no knowledge of soy sauce, allegedly.
we can lay that last part to rest. it appears that she does. i will also have to mention that "soy sauce" has been imported from china to the usa since the 30s.
She apparently had so much power over Japanese soy sauce production that she could singlehandedly shape its future by threatening to not give soy beans to any company, family, or factory which did not utilize her specific requirements of semichemical fermentation (reduced from chemical fermentation, since it was that abhorrent). These days, the term soy sauce is distinct from traditional shoyu, and requires distinguishment because of such a radical difference the two products are.
is girlboss applesauce really that powerful on her own? this statement was not wrong, but she did have the military that just nuked japan behind her.
did appleton specify one method over others? probably, but i think the dependency went the other way: the invention of sc2 sauce was the only way the industry could be efficient enough for ghq standards.
that last part is just straight up wrong dawg what the hell i was nicer in my first reply but im not feeling it today
[...] Because there should be way more information on her if this was the case; she was apparently powerful and influential enough during the occupation that she could singlehandedly enforce whatever arbitrary rules she wanted on the soy sauce industry and they had to comply or else have no product at all. That level of power is fucking insane. Imagine having so much raw influence over Japan that you could order them to completely renovate and change how they produce and make SOY SAUCE, literally one of if not THE most important thing in Japanese culinary history--[...]
holy exaggeration batman, this is almost insulting. as with most things, this is a confluence of factors, with producers, scientists, politicians, (possibly underworld,) and administrators all having their own agency in this story. it is incredibly unusual to sideline so many parties in favour of a single foreign administrator calling the shots.
5. what now?
i think there's much to be found out about appleton's dealings, and it would be an interesting story if there did end up being underworld dealings in those negotiations coming to light. i think it is a fascinating slice into that era and how society and institutions interacted in such a fraught situation. overall, i encourage @/inneskeeper's historian work.
that said, it is very important for people to not put a narrative ahead of the facts. i think it is human nature to be attracted to stories that have a clear causality and linearity, but it is something we need to be very careful about when communicating history to a large audience. to anyone who would like to present their findings, consider what your framing of events imply about the state of the time and place you research, and if you are doing all parties justice.
and for the love of god, cite your sources.
if there are any translation issues, please reach out to me and i will edit accordingly and post errata.
erratum 1: jack daniel's is tennesee whiskey, not bourbon, thanks @drdementogrl.
translators' note 1: 良き理解者 could also be translated more literally to “good understander,” thank you @blackamite, @monstrousgourmandizingcats, @leatherbookmark, and others who have given similar notes.
erratum 2 and translator's note 2: @literaryreference has indicated that 一旦,消費者に定着した混合しょうゆのニーズにより本醗造しょうゆに切り換えることが出来ず,現在も混合しょうゆが主力商品となっているのではないかと考えている 。 is more equivocal and did not state an outright larger popularity for kongō/kongō-jōzō type brewing, so it's possible it might be the top product. they also suggested removing redundancies and pointed out a copying mistake from the original source (left out a bit of the japanese text).
translator's note 3: @literaryreference let me know that 塗料 would more accurately be interpreted as "coating" and also gave me a link of the sauce brand mentioned.
translator's note 4: @literaryreference has provided a better translation for GHQはただ「脱脂大豆が有効に活用されるのはどちらか」という尺度だけで判断したのである, and i have made edits from their translation as well for better context.
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