From Public Works to Farming: The "Return to Farming" Phenomenon of the Mid-2000s and Hokkaido's Climate

From Public Works to Farming: The "Return to Farming" Phenomenon of the Mid-2000s and Hokkaido's Climate

In the mid-2000s, Japan's local construction industry faced an unprecedented turning point. The local construction industry, which had been dependent on public investment since the collapse of the bubble economy, was rapidly being forced to downsize as a direct result of the "structural reform" accelerated by the Koizumi administration, or the policy of drastically reducing public works projects. The impact was particularly severe in Hokkaido, Tohoku, and the Sea of Japan region, where public investment had been the lifeline of the local economy.

Against this backdrop, local communities began to pay attention to the phenomenon of "switching back to agriculture," or "returning to farming. While depopulation and the aging of the population were making the shortage of farmers more serious, the construction industry had a surplus of engineers skilled in machine operation and idle heavy machinery. To fill this mismatch, construction workers began to enter the agricultural industry, not as a dual occupation, but as a full-fledged business venture.

In Hokkaido, this trend was particularly pronounced. The combination of vast farmland, high mechanization rates, and aging farmers naturally led to the establishment of a business model in which construction companies took on agricultural work as "contractors. Many of the workers were originally accustomed to operating construction equipment and managing materials, which made it easy to convert them to agricultural machinery. In addition, in Hokkaido, the construction industry was not limited to crop production, but was also seeking a path to "sixth industrialization," including the management of tourist farms, agro-processing, and restaurants.

The government also encouraged this trend. The government has eased some of the restrictions on acquiring and leasing farmland, and the "agricultural production corporation" system and "special zones for structural reform" have made it possible for the construction industry to enter the market. As of 2007, there were more than several hundred cases of construction companies undertaking facility cultivation and farm work on consignment throughout Japan.

This phenomenon of returning farmers was not merely an economic survival strategy. It was also a movement by construction companies rooted in rural areas to reconnect with local communities through agriculture and to seek a new identity as bearers of a sustainable local economy.
In the late 2000s, amid calls for a shift from public investment to the environment, agriculture, and renewable energy, this phenomenon attracted attention as a symbol of "regional revitalization" and "employment reconstruction.