Ryuichiro Masuda, the fifth-generation owner and president of Masuda Sake Company, shares his thoughts on modernising sake and keeping things going in a family business
As is the case with many of the world’s favourite alcoholic beverages, the craft of sake-brewing dates back thousands of years.
Each bottle is the culmination of knowledge passed down from one generation to the next. Rice and koji — a type of mould — are combined to produce different flavours and aromas, from sweet and floral to deep and savoury.
So complex and intricate is the art of sake that, similar to the worlds of wine and spirits, it has its own certifications and qualifications. The traditional Japanese beverage’s production, along with that of its distilled cousin, shochu, has even been inducted into Unesco’s intangible cultural heritage list.
Among those keeping sake’s proverbial torch aflame is Ryuichiro Masuda, the fifth-generation owner and president of Masuda Sake Company (MSC). Founded in 1893, the brewery is perhaps best known for its Masuizumi sake, a premium product that can be found in top restaurants worldwide.
Reflecting on his start in the business, Masuda tells Options that he quite literally grew up in the brewery. “The address and telephone number of my home and business were the same,” he says with a smile. This, naturally, meant that he began learning the ropes from a young age. By the time he was five, he was already a familiar face among the staff.
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Masuda went on to deepen his skills and knowledge at Takara Shuzo, the production and sales arm of Japan-listed Takara Holdings. In 2004, at the age of 37, he took over the reins from his father.
IWA Sake was created by Masuda in collaboration with former Dom Pérignon head winemaker Richard Geoffroy / Photo: IWA Sake
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Expanding horizons
Over the last two decades, Masuda has been reshaping MSC with a particular focus on updating its products and practices for today’s consumers. His travels around the world, in particular, have given him a fresh perspective on how to modernise sake-brewing without losing its traditional qualities.
“I’ve connected and made friends with many people, many winemakers,” he says, noting that these friendships have allowed him to explore new ways of making sake, such as using wine yeast or oak barrels.
Masuda is also looking to bring MSC to a wider audience, particularly in Europe. “The fact that Europeans generally have little interest in Japan is frustrating, and I want to captivate the world’s ultra-wealthy and influential people,” he explains.
Among his efforts in this regard is a collaboration with Richard Geoffroy, the former head winemaker of Dom Pérignon, which led to the creation of IWA Sake. The partnership, which began in 2019, aims to produce premium sake for the global market by combining traditional brewing concepts with assemblage, a technique borrowed from champagne-making.
Masuda has also partnered with scotch brand Chivas Regal to produce Link 8888, so named after the distance in kilometres between MSC’s brewery and Chivas’ Strathisla Distillery in Scotland.
Asked about how the Japanese sake landscape has changed over the years, Masuda points to the advent of daiginjo, which he describes as a “big revolution” when it first came onto the scene about 40 years ago.
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Daiginjo has a higher polishing ratio — 50% — compared with other types of sake, meaning more of the outer layers of the rice grain are milled away before brewing. This production method results in a cleaner, more refined taste.
Masuda recalls that, at the time of its introduction, older players in the industry were resistant to the idea of daiginjo. “They said it wasn’t sake, and that it wasn’t good to pair with sashimi and food.”
His father, who led the brewery at the time, opted to go against the grain: “He trusted that this was the way to go to survive.” Today, daiginjo is regarded as the most prized variety of sake, commanding top dollar for both its flavour and the technical mastery behind its production.
Masuda took over his family business in 2004, at the age of 37 / Photo: Pictet
Purpose beyond product
For Masuda, running a business also extends beyond making sake. “Ensuring that my family, workers and their families are happy are also part of my purpose,” he says. This entails creating comfortable and prosperous living environments for the people he works with.
A major part of this has involved the town of Iwase, where the brewery is located. This suburb in the Toyama district on Honshu Island, which features numerous landmarks dating back to the 1600s, has been restored and rejuvenated.
Today, Iwase is a thriving food hub, boasting several Michelin-starred restaurants alongside beer breweries. Traditional crafts have also become a key attraction in the town, says Masuda. “Many glassmakers, ceramic artists and blacksmiths have come too.”
Speaking on his future plans for Iwase, Masuda says he’s “just 5% done”. “There are many possibilities for the remaining 95%,” he adds. “We have a beach that we can develop, and we’re just 15 minutes away from the mountainside.”
On New Year’s Day last year, a 7.5-magnitude earthquake struck the Noto Peninsula, a short distance north of Iwase; 616 died, with estimated damages totalling up to JPY2.6 trillion ($22.9 billion). Several breweries on the peninsula, which had been home to a number of major sake producers, were entirely destroyed in the disaster.
Besides leading reconstruction efforts by working with affected breweries, Masuda has been in discussions with Japan’s Ministry of Economy, Trade and Industry to create a blueprint for post-disaster responses in the region.
“All the towns were destroyed,” he recalls, adding that rebuilding the area is an uphill battle, particularly with the risk of further disasters. “My children and I are trying hard day to day to be the leaders that the region needs.”
Pictet Wealth Management’s Angie Han says it’s a good idea to start planning for succession early on / Photo: Pictet
Passing the torch
Though the brewery he runs is well over a century old, Masuda clearly shows no qualms when it comes to keeping things fresh and new. “People often talk about tradition and innovation, but I believe there are very few important things that must be preserved … We should proceed with what needs to be done without being bound by the famous sayings of our predecessors.”
This philosophy, he notes, stems in large part from his involvement in a family business.
“In normal companies, where the CEO changes every few years, there cannot be a big change,” Masuda explains. In a family business, on the other hand, there is potential for major, dynamic change with each passing generation.
This also means that leadership succession is key. Asked about his plans for MSC’s future, Masuda quips that he’s been preparing to hand things over to his children — two sons and a daughter — since they were born.
“When I was thinking about a name for my eldest son, I asked my father why he chose my name. He replied, ‘It’s a name that looks good when signing a check’. I also considered this when thinking of names for my children.”
Such an early start is a good move, says Angie Han, head of wealth planning for South Asia at Pictet Wealth Management. “Doing so allows younger family members to identify with the family business, and see it as something that is a pride and joy, as opposed to an obligation,” she tells Options.
Succession planning is a long game, she adds, and should therefore be seen as a process rather than a one-off event. “It’s good to identify the kids’ natural abilities; you know what can be cultivated, and that’s where all the subsequent training and development can actually take place.”
For now, Masuda says his first son is set to take over MSC, though there is room for his other children to join the company as well, should they wish to do so. In any case, he’ll be continuing his work to ensure they’re well equipped. “If I work very hard now to make something, but the next generation [cannot keep things going], then everything will be gone,” he concludes. “My main target is to build up the next generation.”
