Agricultural reform a stiff test of Abe's resolve

Structural reform is critical ahead of the TPP, which would link 12 countries covering nearly 40% of the world economy.

Skim and none, and slim just left town.

Though agriculture is only about 1% of Japan’s economy,

Talk about the tail wagging the dog.

And the JA, which has long had close ties to his Liberal Democratic Party (LDP),

But the LDP has no one to blame but itself -- which is often the case in Japan nowadays.

Deregulations to free capital when it is in the hands of so few and those who wield it have a huge influence over the political process will only lead to greater inequality and less broad-based civic participation in creative and innovative endeavours, business or otherwise. The first structural reform must be uncoupling money and politics or at least severely limiting its influence.

"high prices and a recent butter shortage are the pitfalls of a closed market for milk and dairy products" ??

No, the butter shortage was 100% the fault of the Japanese government! They have been the ones who say how much butter should or shouldn't be produced, no one else has a say in it, not even the farmer.

Abe will shirk from reform of agriculture. He hasn't got the guts to go through with it.

Deregulations to free capital when it is in the hands of so few and those who wield it have a huge influence over the political process will only lead to greater inequality and less broad-based civic participation in creative and innovative endeavours, business or otherwise.

Perhaps in some areas, but the topic on hand is agriculture - not exactly an area of innovation. I don't pretend to be enough of an expert to suggest policy changes, but I can see that Japan is rapidly heading towards the worst of both worlds: High tariffs to protect an industry which is no longer able to satisfy even the domestic market.

¥130. for a tomato? And that's the cheapest one. JA has a stranglehold on the whole country.

Japanese farmers are a classic case of conservatives who loyally vote for politicians whose policies deliberately hurt them. Another example are low income Americans who can't afford health insurance and who vote Republican.

Sounds like the JA is squezzing the life out of the farmers. And how many young people want to be farmers,especially given that most are running toward the city.

"high prices and a recent butter shortage are the pitfalls of a closed market for milk and dairy products" ??

Stuart haywardFeb. 02, 2015 - 08:56AM JST

No, the butter shortage was 100% the fault of the Japanese government! They have been the ones who say how much butter should or shouldn't be produced, no one else has a say in it, not even the farmer.

Are you for real or are you just trolling?

How do you think a government controls a domestic market?

By closing it to foreign variables.......

Jeesuzzz the quality of posts has gone down on this site, over the last couple of years.

Where's Globalwatcher or Dog?

JA has got to go or change..they are causing a lower standard of living for so many in this country.

-1 Good Bad Gary RaynorFEB. 02, 2015 - 10:29PM

Stuart haywardFeb. 02, 2015 - 08:56AM JST

No, the butter shortage was 100% the fault of the Japanese government! They have been the ones who say how much butter should or shouldn't be produced, no one else has a say in it, not even the farmer.

(Are you for real or are you just trolling?) I posted a fact that can easily be checked, look for yourself unless it is you who is "just troling?

(How do you think a government controls a domestic market?) I explained that already, take five minutes of research and you will find my comment to be accurate and true.

(By closing it to foreign variables.......) ??

(Jeesuzzz the quality of posts has gone down on this site, over the last couple of years.) You just described your own post very well.

Where's Globalwatcher or Dog? Care to elaborate?

Outside of Azabu supermarket or Costco, have you ever seen any foreign non-Japanese butter in Japan.

And there the price is 400% of what you would pay in France or the USA.

I'd say that's a pretty effective method of excluding foreign dairy products by the government, wouldn't you?

Gary Raynor: You failed to address the content of your replies to me, and you changed the discussion. Plus now you've actually pointed out new detail that supports my previous comment. Thank you!

Stuart you are all over the place.

All the original poster commented on, correctly, are that dairy market in Japan is a closed market and if it wasn't for the diktats of MAFF there would be a shortage of butter in Japan because even if there MAFF's future calculations proved wrong, any shortfall could be easily made up with imports.

However when you have a policy that places a 30% duty on whole cost price, which includes travel and cold storage costs and not just production costs, on any butter imports that are approved by MAFF AND a further Y987 surcharge per Kg of butter imports not approved by MAFF, you have a very very closed market which puts the domestic consumer at the mercy of MAFF's calculations.

Not hard to understand is it?

MAFF's production diktats to the domestic dairy producers are a symptom of the butter shortage, not the cause. The cause of the problem is the closed Japanese dairy market. Without a closed market, nobody but the dairy farmer would be effected by MAFF's miscalculations.

Gary RaynorFEB. 03, 2015 - 03:46PM JST

(Stuart you are all over the place.)

Lol, it is your post that appears to be all over the place. You keep changing the conversation and egnoring the original content of your reply to me. Though avoidance and deflection seems to be your style, I will discuss the content of your latest post.

My original comment was roughly saying that "it's the fault of the government for the butter shortage."

MAFF IS a branch of the government, and they not only dictate exactly how much butter is produced, they're also responsible for the closed market you speak of. So, they ARE the ROOT cause, not just a symptom.

Its obvious you belive this so called "free trade" will fix the problem. I agree that it might fix the one butter shortage issue, but it will also create many other problems. It's not free trade, if it was, they wouldn't have to keep every detail of there meeting's a secret from the Press & public.