Niigata: Indian-born Lekh Juneja, CEO of Japanese rice cracker giant Kameda Seika, has emphasized the urgent need for Japan to embrace immigration to address its economic challenges and demographic crisis. Speaking at the company’s headquarters in Niigata, Juneja underscored how Japan’s declining population and rigid cultural mindset threaten its global competitiveness.

“Japan has no choice but to allow in more immigrants,” said Juneja, who became a naturalized Japanese citizen after first arriving in the country in 1984. Reflecting on Japan’s postwar economic boom, he lamented that the once-hungry spirit of innovation has waned.

Japan’s economy, which once led the world in technological innovation with icons like the Walkman and bullet trains, has fallen behind. Today, none of its firms rank among the top 10 global companies by market capitalization. The country is grappling with an aging population and labor shortages, with its workforce projected to shrink significantly over the next 50 years.

A recent study estimates Japan will need 6.88 million foreign workers by 2040, a figure that highlights the shortfall in the nation’s current immigration policy. Juneja warned that without fundamental cultural and policy shifts, Japan’s growth would stagnate further.

"It's not only about numbers but also about mindset and culture," he said. "We have to go global.”

Calls for Workplace Diversity
Juneja, 72, is among the rare foreign-born CEOs leading a Japanese company. Under his leadership, Kameda Seika has sought to innovate by embracing international collaboration, employing staff from countries like the United States and Vietnam. However, Juneja acknowledged that the language barrier remains a significant challenge for integrating foreign talent in Japan, particularly in rural regions like Niigata.

"If we only employ people who speak and write Japanese, we have very limited resources and choices," he said, highlighting the importance of opening up Japanese workplaces to greater diversity.

A Rare Example
Japan’s corporate landscape remains overwhelmingly homogeneous. According to a Kyodo News survey, only 13 female CEOs helm Japan's top 1,600 listed companies, and foreign-born executives are an even rarer sight.

Comparing Japan’s corporate scene with global trends, Juneja pointed out, "In the US, companies like Microsoft and Google are led by Indian CEOs. Japan has to change." He emphasized that flexibility and openness to foreign talent would be critical for the country’s future.

While foreign CEOs in Japan have faced challenges—such as the scandals involving Carlos Ghosn and the former German chief of Olympus—Juneja noted that his naturalized citizenship differentiates him. “I’ve earned trust and understanding here. That’s what makes it possible for me to lead,” he said.

A Vision for the Future
Juneja has also championed “rice innovation” at Kameda Seika, seeking to reimagine rice-based products to cater to international markets. The company’s initiatives symbolize his broader vision for a more outward-looking Japan, one that capitalizes on its unique strengths while embracing global ideas.

His message resonates as Japan’s new government under Prime Minister Shigeru Ishiba explores fresh strategies to revive the economy. "Flexibility and openness to foreign expertise," Juneja stressed, "could be Japan’s key to regaining its global edge."