Japan Press Weekly

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2008 September 10 - 16 [AGRICULTURE]

Government claim of ‘obligatory imports of MA rice’ proven to be groundless

Akahata editorial (excerpts)

Despite calls for the country’s food self-sufficiency rate to be raised, the government continues importing a massive volume of unnecessary rice every year ostensibly in compliance with the WTO minimum access (MA) agreement. However, it has become clear that this import system has proven to be a complete failure both in Japan as well as internationally.

Government has not imported all the MA volume after all

The minimum market access for foreign rice was introduced in 1993 in the Uruguay Round of General Agreement on Tariffs and Trade (GATT) talks, the predecessor of the World Trade Organization (WTO).

However, due to low demand for foreign rice in Japan, much of the imported rice has been kept in warehouses, for which the government has spent a lot of tax money. At the same time, some food-service and food-processing industries have contributed to the glut in rice by using imported rice. Nevertheless, the government has high handedly forced farmers to reduce their rice production by setting aside their rice paddies.

The government has long argued, “It is ‘obligatory’ to buy the full amount of foreign rice under the MA volume because importing rice is a matter of ‘state trade’,” This argument, however, has collapsed.

The Agriculture Ministry was to import all 770,000 tons of MA rice in the FY 2007, but it failed to accept tenders at a purchase price as suggested by exporters due to a surge in international prices of rice. The ministry did not import 70,000 tons of MA rice. The government itself has proved that it can change the import volume using its own judgment.

The government should clearly state that MA rice imports are not “obligatory” and stop the unnecessary imports.

WTO agreement needs to be revised

In the face of the global food crisis, each country finds it necessary to raise its food self-sufficiency rate. Against the background of the rupture of WTO Doha Round negotiations in July was international criticism for the imposition of market liberalization.

Japan has the lowest food self-sufficiency rate among other developed countries, and thus needs to make special efforts to boost the rate. To this end, it is essential for Japan to drastically review the WTO agreement and ensure its food sovereignty.