“APEC summit” will be held in Yokohama, Japan. One of the main topics the meeting is to discuss how to further promote regional economic integration, the eventual establishment of the “APEC Free Trade Area.”

As the host, Japan, eager to do something at this meeting, seize the opportunities of regional economic integration. But Prime Minister Naoto Kan October 1 for the first time in the interim parliament that Japan should participate in the “Central Pacific Economic Cooperation Agreement,” the consultations, it immediately aroused widespread controversy in Congress in favor of sending a standoff with the opposition views.

More liberal economic cooperation agreements around the Pacific Ocean?

TPP by Singapore, New Zealand, Chile, Brunei and other countries launched in 2006 4. 4 countries total economic output due to the limited, at first did not attract much attention. Subsequently, Australia, Peru, Vietnam and other countries have showed interest to participate. In 2009, the United States also said to participate, then the agreement began to attract the world attention. This year in March, the 8 first round of consultations on the contents of the Agreement. To date, made it clear the country to participate in 9 of TPP, but expressed concern the exception of Japan, and China, Canada, the Philippines. The 13 countries of this APEC meeting will be to hold further consultations.

TPP in principle, require 100% elimination of tariff, the content is more extensive than the free trade agreement, a higher degree of liberalization. In addition to eliminating tariffs and other trade barriers in the content, but also including the realization of personnel, the liberalization of capital flows, intellectual property protection, improving the business environment and so on. Of course, the countries according to their actual situation, in the consultation process for a certain grace period to protect its vulnerable industries, such as Chile’s wheat and sugar for its own retained a 10-year grace period. 4 TPP in force in the country, the 8 percent tariff has been revoked, and the remaining will also be removed within 10 years after the agreement came into effect.

In favor of the school: do not participate in TPP “Japan will become the world’s orphans”

APEC has 21 members, including the United States, China, Japan, 3 the world’s largest economy. APEC region’s population, economic output and trade volume is about 50% of the world. Information issued by the Government of Japan, in 2009, 74% of Japanese exports, imports 66%, 48% of foreign direct investment and overseas investment enterprises in the APEC region 8 into focus within, APEC in the Japanese economy component is evident.

As soon as possible to join the ruling Democratic Party, advocated the TPP led to Prime Minister Naoto Kan, including Chief Cabinet Secretary Paradise Valley by the people, the Foreign Secretary Maehara, etc., with the aim of competition for the future, “APEC Free Trade Area” initiative. They believe that to improve the competitiveness of the Japanese economy, we must actively include the APEC countries and regions, including the signed economic cooperation agreements. If we do not participate in TPP, Japan will not participate in APEC regional trade and investment rules, will not be able to obtain the necessary market economic development, Japan will “sink.”

Japanese business community advocate and promote the importance of the government to join forces TPP. November 1, Japan 3 large economic groups – the Japanese Federation of Economic Organizations, Japan Chamber of Commerce and the Friends of the economy with an emergency meeting held in Tokyo, strongly urge the Government to participate in the APEC TPP on the show will, as soon as possible participation agreement negotiations. Japan Federation of Economic Organizations Hiromasa Yonekura said: “If we do not participate in TPP, Japan will become the world’s orphans.”

Opposition: TPP will participate in a devastating blow Japanese agriculture

The voice of opposition to participate in TPP mainly from the agricultural sector. Japanese agriculture is facing various problems, one is aging employees; the second is decreasing the employed population; Third, the small scale of operation. To protect domestic agriculture, a long time, Japan imposed a high import tariffs on agricultural products. Japan signed the FTA in the present, regarded as the tariff reductions exception of agricultural products.

However, once joined the TPP, including agricultural products, including the gradual removal of all tariffs had. Therefore, the Ministry of Agriculture and farm groups strongly opposed the first to the TPP. According to Agriculture Ministry’s calculations, such as adding TPP, Japan’s agricultural output declined by 4.1 trillion yen, equivalent to annual agricultural output value in 2008 to 4.8%, Japan’s agriculture will be devastating, food self-sufficiency rate will fall 14%. If the related industries are included, the loss will reach nearly 8 trillion yen.

Naoto Kan, the Democratic Party and opposition within the cabinet is also very strong voice of TPP. Forestry and Fisheries phase Michihiko Kano, said: “not yet decided to participate in TPP. Not only the agricultural food production figures to determine.” Yuichiro Haneda Democratic Party chairman of the Senate measures, said, “I oppose this stage”, citing concerns about agriculture caused impact.

TPP and agricultural development efforts to co-existence

The face of stalemate, the two views completely at odds, October 30, Kan attending the ASEAN – Japan and South Korea summit meeting, said: “Research, including TPP, including economic liberalization, agricultural development can not be put aside . My duty is to lead the Cabinet to do its utmost to co-existence of trade liberalization and agricultural development. ”

For the coordination of views of all parties, the Democratic Party working group set up a TPP. November 4, in the absorption of various views, the Working Group submitted a proposal to the Government. November 9, the Japanese cabinet will decide on the basic principle of TPP.

APEC held soon, the country will at this meeting for transaction of TPP on the Consultation, the United States hopes to reach TPP November 2011 agreement, Japan is not much time left. Analysts believe that the APEC meeting this intention to the Japanese that a great opportunity to participate in, or it may be the last chance. For Japan, to participate in the benefits of TPP is obvious, it will give Japan’s manufacturing and service industries to provide a broader market, these two industries accounted for about 20% of the Japanese economy, while agriculture accounted for only 1.2%. Naoto Kan, should show leadership, determination, and make decisions as soon as possible.

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