Farm Leader in Japan to Step Down in March Due to Financial Losses
In a surprising turn of events, Toru Yamano, the current leader of the Japan Agricultural Cooperatives group (JA-Zenchu), has announced his resignation, effective March 2026. This decision comes as a result of a massive loss expected from an information system development project [1][2].
The information system, intended to streamline operations such as salary, attendance, and accounting management, was developed for use at JA cooperatives nationwide. However, the project resulted in development costs far exceeding estimates, leading to a loss of approximately 20 billion yen [1][2].
Despite the impending resignation, Toru Yamano plans to remain in office until the new leader is elected. The election of a new JA-Zenchu leader is typically scheduled several months after such an announcement, requiring sufficient time for preparation. Therefore, Toru Yamano's tenure is expected to continue until the new leader is elected, which suggests the election would likely be held sometime around or after March 2026 [1][2].
As of August 2025, the new JA-Zenchu leader has not yet been chosen nor publicly announced [1][2]. The specific cause of the massive financial loss from the information system development project is not specified in the text.
Toru Yamano made the announcement at a press conference on Friday, August 2. His resignation is a move to take responsibility for the losses incurred from the information system development project. The project, which was introduced in January 2024, was intended for use at JA cooperatives nationwide [1][2].
[1] Source: Nikkei Asia [2] Source: The Japan Times
Toru Yamano's resignation, due to the massive financial loss from the information system development project, could potentially affect the photo of the finance industry within the JA-Zenchu cooperatives, as the new industry leader will have the responsibility to manage the finances and recovery from the loss. The development costs of the information system, meant for nationwide use by the JA cooperatives, could have implications for the finance sector's future investments in technology within the industry.
