Japan’s Agro-Food Sector: The Politics and Economics of Excess Protection

234 Pages·1989·19.43 MB·English

by  Albrecht Rothacher (auth.)

JAPAN'S AGRO-FOOD SECTOR
Also by Albrecht Rothacher
ECONOMIC DIPLOMACY BETWEEN THE EUROPEAN COMMUNITY
AND JAPAN, 1959-81
Japan's Agro-Food
Sector
The Politics and Economics of Excess
Protection
Albrecht Rothacher
Second Secretary, EC Delegation, Tokyo
Palgrave Macmillan
ISBN 978-1-349-10305-8 ISBN 978-1-349-10303-4 (eBook)
DOI 10.1007/978-1-349-10303-4
© Dr Albrecht Rothacher 1989
Softcover reprint of the hardcover I st edition 1989
Alt rights reserved. For information, write:
Scholarly and Reference Division,
St. Martin's Press, Inc., 175 Fifth Avenue, New York, NY 10010
First published in the United States of America in 1989
ISBN 978-0-312-01691-3
Library of Congress Cataloging-in-Publication Data
Rothacher, Albrecht.
Japan's agro-food sector : the politics and economics of excess
protection / by Albrecht Rothacher.
p. cm.
Bibliography: p.
Includes index.
ISBN 978-0-312-01691-3
1. Agriculture and state-Japan. 2. Food industry and trade
-Government policy-Japan. 3. Tariff on farm produce-Japan.
4. Free trade and protection-Free Trade. I. Title.
HD2093.R681990
338.1 '0952---dc19 88-18640
CIP
Für Christine
Contents
List of Tab/es viii
List of Figures ix
List of Abbreviations x
Preface Xl
Administrative Map of Japan Xll
1 Introduction: Analysing Japan's Agro-Food Sector
2 Agricultural Development until the Land Reform of
1946 6
3 Social and Economic Change in Japan's Post-War
Agricuiture 24
4 Agricuitural Cooperatives: the Nokyo System 45
5 The Upstream and Downstream Industries 53
6 Distribution and Consumption 95
7 Farm Politics 108
8 Agricultural Markets and Product Policies 131
9 International Implications 161
10 The Future of Japan's Agro-Food Sector 185
Bibliography 204
Index 210
List of Tables
2.1 Agricultural production growth 9
2.2 Agricultural output composition 10
3.1 Farm household structure 24
3.2 Farmers' and workers' household incomes 28
4.1 Nokyo share in agricultural input distribution 49
5.1 Crop production costs 54
5.2 Livestock production costs 56
5.3 Cash costs for agricultural products, 1982 58
5.4 Livestock feed sources 61
5.5 Average rations for beef production, 1979 62
5.6 Formula and mixed feed use 63
5.7 Feed imports from the US, 1984 63
5.8 Keiretsu-affiliated agro-food corporations 66
5.9 Market share concentration 168
5.10 The food processing industry, 1981 72
5.11 Meat Production, Consumption and Imports, 1984 79
5.12 Processed meat consumption 79
5.13 The liquor market 84
5.14 Major listed silk processing companies 89
6,1 Annual food consumption per person 102
6.2 Turnover in the eating-out industry 105
7.1 List of political brands 112
7.2 Organization of MAFF 123
7.3 Rice price decisions 128
8.1 Subsidies received and taxes paid by farmers 133
8.2 Product polices and nominal rates of support 152
8.3 World food retail price comparison 156
9.1 Imported products 163
9.2 Supplier countries of AFF Products to Japan 166
9.3 Japan's agricultural exports 167
9.4 The BrocklYamamura agreement of April 1984 170
9.5 Whisky producer prices, retail prices, taxes and tariffs 173
10.1 Japanese grain LTAs 196
10.2 Support policies pursued 199
List of Figures
4.1 Structure of the Nokyo system 46
5.1 Mitsui and Mitsubishi subsidiaries and affiliates in the'
agro-food business 67
8.1 Imported beef sales by the LIPC, 1982 147
8.2 Nominal rates of protection estimates 154
9.1 Development in Agriculture, Fishery and Forestry
Imports 165
10.1 Causes and effects of excess protection 201
List of Abbreviations
AFF Agriculture, Forestry and Fisheries
ASEAN Association of South-East Asian Nations
DSP Democratic Socialist Party (Minsanto)
EPA Economic Planning Agency
FY Fiscal Year
GATT General Agreement on Tariffs and Trade
GSP Generalized System of Preferences
HFCS High Fructose Corn Syrup
IQ Import Quota
IWC International Whaling Council
JCP Japan Communist Party (Kyosanto)
JETRO Japan External Trade Organization
JSP Japan Socialist Party (Shakaito)
JTS Japan Tobacco and Salt Public Corporation
JTI Japan Tobacco Incorporated (private)
LDP Liberal Democratic Party (Jiminto)
LIPC Livestock Industry Promotion Corporation
LTA Long-Term Agreement
MAF(F) Ministry of Agriculture, Forestry (and Fisheries) (Norin
sho)
MFA Ministry of Foreign Affairs (Gaimusho)
MITI Ministry of International Trade and Industry (Tsusancho)
MNC Multinational Corporation
MOF Ministry of Finance (Okurasho)
MP Member of Parliament
MTN Multilateral Trade Negotiations
NLC New Liberal Club
NTB Non-Tariff Barrier
OE CD Organization for Economic Development and Cooperation
PARC Political Affairs Research Council
PMO Prime Minister's Office
POS Point of Sales
SCAP Supreme Commander Allied Powers
SMP Skim Milk Powder
STR Special Trade Representative
TDN Total Digestive Nutrients
USDA US Department of Agriculture