Japan’s pearl industry faces several difficulties on top of the recession. China is turning out pearls of similar size for much less money and has 50 times the production capacity. South Sea and Tahitian pearls are still in competition, often with bigger sizes and similar quality. And pearl necklaces are no longer mandatory purchases for sweet sixteen, weddings, and graduations. Pearl growers in Wagu, Japan are starting to leave the business, unable to maintain profits with prices dropping by half.