In MY 2021/22, the total value of Japan’s soybean imports reached a historical record while rapeseed crush hit the lowest point in 10 years as rapeseed imports from Canada declined. Japanese crushers increased the use of Australian canola seeds to partially offset the short Canadian crop. FAS/Tokyo forecasts Japan’s canola crush will rebound and soybean crush will decrease as MY 2022/23 crops enter the market. Consumers will reduce oil consumption as vegetable oil retail price continues to rise. MY 2022/23 reduction in Japan’s dairy herds and poultry flocks will marginally decrease protein feed demand. Increase in the price of imported food-grade soybeans will stimulate greater domestic production and slow down food grade soybean imports in MY 2022/23 and 2023/24.