. /.WORLD TRADE
ORGANIZATIONWT/MIN(03)/ST/22
11 September 2003
(03-4773)
MINISTERIAL CONFERENCE
Fifth SessionCancún, 10 - 14 September 2003Original:  English
JAPAN
Statement by H.E. Mr. Takeo Hiranuma
Minister of Economy, Trade and Industry
It is indeed a great honour for me to have the opportunity to participate here at the Fifth
World Trade Organization Ministerial Conference, following the Fourth WTO Ministerial Conference
held in Doha.
We have gathered here in Cancún to fulfil the important mission of carrying forward the spirit
of Doha as we take another step toward  realizing our ideals on "world trade".
Fifty-six years ago, our predecessors took a major first step forward when they agreed to
conclude the General Agreement on Tariffs and Tr ade (GATT).  Through the GATT, they not only
hoped to achieve growth in the global economy.  They hoped that through trade, a solution would befound to the issues of development, and that ultimately trade would contribute to greater security, and
eventually to global stability.  Their noble aspirations were based in their deep reflection that the "first
wave of globalization" that began in the nineteenth century gave rise to the economic confusion that
led to the global tragedies that plagued the first half of the twentieth century.  The fact that they could
maintain their noble aspirations and successfully conclude GATT is indeed proof of their
commitment.
We stand now at the very center of the "second wave of globalization".  The rapid pace of
economic and social transformation and the inability of system reform to keep apace have resulted in
"systemic vacuums".  Indeed, we are now once again directly faced with a crisis.  This crisis has left
us bereft of the benefit that ought normally to ensue from the process of globalization, and moreover,
has expanded the gap between the haves and have-not s, while also bringing to the fore issues of
public health, environmental issues and even issues of terrorism.  Although trade is not the sole
solution, trade relates to all of the global issues that we face and it is my firm conviction that the WTO
has the ability to adapt to the challenges of globalization.
Japan, together with other like-minded countries, is strongly calling for negotiations to be
launched on cover new issues that are commonly referred to as the "Singapore Issues", such as
investment and trade facilitation.  Our thinking in th is regard is based on our conviction that, just as
our wise predecessors who formulated GATT indicated, we must not attempt to close off new streams
of global economic activity, but rather, the best way forward is to face the new issues with the
participation by all countries of the world.  I am fully aware of the concerns expressed by somedeveloping countries regarding the launching of negotiations in investment and other Singapore
Issues.  I would ask whether there is any forum other than the WTO in which developing countries
can participate in the making of global rules, rules that are of great interest and concern to developing
countries, and where these concerns may be met through extensive capacity-building.  All of us here
are aware that the Doha Round is k nown as the "Development Round".  After all, is it not the mission
of the WTO to ensure that all countries, including developing countries, participate fully in rule
making toward the future?WT/MIN(03)/ST/22
Page 2
In the area of Agriculture, our basic stance is that we should aim to establish rules which
enable "the coexistence of various types of agriculture".  The basis of discussions should be to fully
respect the diversity of each country's agriculture under quite different conditions, and to duly take
into account non-trade concerns such as environmental protection and rural development.  Japanprovides one of the most open markets of agricultural products to all countries including developing
countries as its food self-sufficiency ratio has declined to the level as low as 40 per cent.  Japan is
committed to continuing further reform.  The only wa y to achieve this end is to pay full respect to,
among others, the position of net-food importing countries which will bear the heaviest burden of
reform.  I would like to stress that Japan's position to strongly oppose the mandatory expansion of
TRQs and tariff capping is natural and indispensable for Japan to achieve "the coexistence of various
types of agriculture" while continuing to reform further in the most open market in the world.
In the non-agricultural products sector, Japan supports a single and simple reduction formula
in order to achieve some rectification of the existing tariff differences among countries.  This issue is
often characterized as a conflict between developed countries and developing countries.  This is not
our understanding.  We believe that even among developing countries, there are large differences intariff rates, and rectifying such tariff differences will lead to expansion in global trade, which will
naturally lead to an increase of South-South trade.
I would like to close my remarks by telling you that it is with great excitement that I embrace
the grand undertaking that we are embarking upon as we seek to create a new framework for "world
trade" and carry on forward from Doha.  I intend to spare no effort as I work with my colleagues from
all nations to ensure that the negotiations on the Doha Development Agenda (DDA) forge a great step
forward toward success here in Cancún.
Finally, I would like to welcome Cambodia and Nepal who will be the first two LDCs
entering the WTO since its establishment.  I hope that other countries in the process of accession,
including countries such as Saudi Arabia which have already concluded bilateral agreements with
Japan, will accomplish accession shortly.
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