ISARIBI JANUARY 2002

ISSN1346-2512

NO.29
JapanFisheries
AssociationSankaido Bldg.,
9-13 Akasaka 1, Minato-ku,
Tokyo, Japan 107-0052
tel: 81-3-3585-6683
http//www.suisankai.or.jp

Views and Opinions of Japan’s Fisheries Industry

HIGHLIGHTSLARGER-SCALE SEAFOOD EXPO EYED TO BOOST
MARINE PRODUCT BUSINESS---4th Expo Will Mark JFA’s 120th Anniversary-The Japan Fisheries Association will hold thefourth Japan International Seafood & Technology Expo at the International Exhibition
Center in Tokyo on July 24-26 , 2002. The
exposition is part of various events marking
the 120th anniversary of the Association
founded in 1882. On hehalf of the organizer,
Hiroya Sano, President of the JFA stresses
the significance of the exhibition as follows:

Greetings from the organizer
I am glad to be able to let the people who
support the marine products industry inJapan and all over the world know the celebration of the Fourth Japan International
Seafood & Technology Expo.
This is the Fourth Expo, and the scale ofthe event has got larger each time.Now theExpo is acknowledged as the trade fair forthe seafood business typical of Japan as well
as of Asia. I deeply appreciate for the patronage of every exhibitor and every visitor.
Now in the 21st century, there is concernthat fishery resources throughout the world
will be eaten up and fishery issue will be-come a serious food issue. This is the reason
why the Basic Fishery Law was enacted. However, marketing is the matter of universal importance. Sellers’ market is a thing of the distant past now. Without systematic marketingby grasping consumers requirements such as
taste, texture, package and naming, consumption, above all consumption of seafood, will
never increase. Unfortunately, there is data thatpeople prefer meat to fish in and after 1935.
This event is the place to face such problems squarely. At the Seafood Expo the staffof the Ministry of Agriculture, Forestry andFisheries, distributors, retailers, caterers, andthe people interested may exchange useful information, jointly develop products, have business talks, and engage in effective marketing
activities aiming at increasing the consumption of marine products. Already about sixty
thousand people visited the Expo, and thisExpo is highly evaluated as the place to boost
marine products business.
In conclusion, I hope that this Expo will be
helpful in boosting your marine products business.

Hiroya SanoPresident
Japan Fisheries Association*******
During the exhibition period, various events are scheduled, including “Seafood Seminar” and“HACCP Seminar” For detailed information, please contact the Seafood Expo Secretariat;
URL.http:///www.k-ide.com/
seafood

OPRT Develops A Project To Identify
Tunas Caught Responsibly
Japan’s Initiative--Conservation and Management of Tunas

SPECIAL FEATURE
by Prof. K. Kase
Desirable Fisheries Trade
Policy--Questions on Conceptual market-based Argument. (On Page 2)

On Jannuary 11, the Organization for Promoting Responsible Tuna Fisheries (OPRT) established a committee to develop a project which is intended toidentify by means of labelling the tunas caught by fishing vessels in compliancewith international rules of tuna management. Since the Korean Deep Sea Fisheries
Association expressed its intention to join the OPRT last December, following
Indonesia and the Philippines, the OPRT will cover over 80% of tuna longline
fishing vessels in the world. Such a progress contributed to OPRT’s developmentof effective projects.
(Please visit OPRT website for its activities.URL:http://www.oprt.or.jp)

ISARIBI: First published by the Japan Fisheries Association in October 1992. JFA President: Hiroya Sano; Senior Executive Managing Director:
Kiyoshi Yoshizaki; Editor: Masashi Nishimura

ISARIBI NO.29

JANUARY 2002

SPECIAL FEATURE

Trade in Fishery Products and Sustainability of Fisheries--Toward a mutually beneficial and realizable approach to fisheries trade policy-Kazutoshi KaseProfessor at The Institute of Social Science, The University of Tokyo(Following is an abstract from thepresentation made at the International
Symposium on Fisheries Trade at Seoul,
Korea on October 18, 2001)
FOREWORD
In this report I would like to discuss
what kind of adjustments based onwhat type of concept would be needed
for trade in fishery products in orderto ensure the sustainable development
and continuation of fisheries in various
countries. Sustainable fisheries means
maintaining fisheries as a place of
employment of fishers and preserving
fishing communities. The solution to thisissue is closely related to the discussion
over fishery product trade in thenegotiations at the World Trade
Organization (WTO) as well as thedesirable course of debate surrounding
fisheries subsidies. As I know well
fishers’ daily efforts to keep their industry
and community sustainable, I am
naturally inclined to wish for thecontinuation of fisheries in Japan. At thesame time, I am strongly conscious of theissue of how to ensure cooperation in thefisheries sector with other countries,
especially with neighboring countries in
Asia, which has a strong bearing inensuring food sources.

1. Background of discussion on tradeliberalization
In prewar years, States adopted policies
to increase exports and restrict imports,
which aggravated conflict among them,ultimately leading to the breakdown ininternational negotiations. After the war,through reflection on thoseconsequences, the international
community agreed to promoteliberalization of transfer of goods,
identified important sectors fornegotiations, and advanced negotiations
under the General Agreement on Tariffs
and Trade (GATT). These efforts had

been aimed at expanding the domains
where trade liberalization would become
possible, while paying due consideration
to the internal situation of each country.
However, during the past decade or so,such flexible posture in the international
negotiations was lost, and the liberalizationof trade itself became the goal to be realized.
The argument was brought to such an
extreme that liberalization should beadvanced even at the sacrifice of the national
economic welfare of each nation -- the very
goal initially established to be realized
through trade liberalization. The posture tomutually recognize the specific situation ofeach country's industry and its own
economic policy for that goal has
disappeared and, in its stead, the conceptof "globalization," in which each nation
should adopt identical policy criteria, gained
momentum.
In reality, however, there is no country
that adopts free trade policy on a purebasis as its actual policy. One good
example is the fact that the United States,
the leader in promoting globalization, isapplying a "dumping control policy" on thepretext that exporting countries are to blame
for the increase of some imported productsin the United States. With respect to fisheryproduct imports, the United States invokedanti-dumping measures against salmon
imported from Norway and Chile andlobsters from China. It also enforced importprohibition measures for shrimp with anapparent aim to protect marine turtles.
From the foregoing, in order to discuss
the issues surrounding trade liberalization,
it is essential to base the debate upon
specific conditions of the industry in eachcountry, and seek a mutually beneficial
and realizable approach rather than
discussing the validity of the concept offree trade.

2. The present situation of fisheries inJapan and imports of fishery products
It is well known that fisheries in Japanfind themselves in a difficult situation
Page 2

because of the increase of imported fisheryproducts. Japan's imports of fisheryproducts kept rising from 1 million tons
(1978) to 2 million tons (1987), to 3
million tons (1993), and currently toaround 3.5 million tons. In terms of
production value, the proportion ofdomestic fishery production versus
imports declined from 3-to-1 (3 trillion yen
versus 1 trillion yen) to a par (2 trillion
yen each). Sluggish fish prices as well as
deteriorating business performance byfishery enterprises have been undeniablyaffected by increasing imports.
However, Japan, a major exporting
country of industrialized goods, is taking
a trade liberalization policy to a larger
extent than the United States. In the areaof fishery product imports, Japan’s tradebarriers are substantially low, with anaverage tariff rate on fishery products
standing only at 4%. No effective
regulatory measures for the importationof fishery products are in place even when
the import quota system is included.

3. Discussion regarding trade in fisheryproducts based on general principles
The Japanese fishing communityemphasizes the following three points
regarding the significance of the continued
presence of fisheries in Japan and the needfor import restrictions to achieve that end.
The first argument is based on theperspective under food security. It isclaimed that each government has theresponsibility to supply food to its
nationals, and thus has the right andobligation to enhance its self-sustenancefor food. Food is a special merchandise inthat the suspension of supply even for one
day would cause panic among the people.
Consumption of food cannot be by-passed
or delayed like clothing or electric
appliances. Further, it involves a great risk
for a nation with a population of over 100
million to choose to depend on imports
for a substantial part of its food when
considering possible changes in food

ISARIBI NO. 29

production and export restriction policies
of food producing countries at a time offood shortage.
In a longer term, it is quite uncertain
whether Japan will be able to continue toearn foreign exchange to purchase foodin face of the rapid industrialization ofChina and other countries. Therefore, itdoes not seem wise to promote the transfer
of farmland to non-agricultural uses orreclaim fishing ground solely on the basisof the present economic calculations andcreate a situation where no farms andfishing ground would be available when
there arose needs to produce fooddomestically.
In the second argument, it is stressed
that, like agriculture, fisheries also havediverse functions other than economicvalues. To maintain those functions isimportant both for fishing communities
and the entire nation. When trade is entirely
liberalized and agriculture and fisheriescease to exist, enormous costs will berequired to maintain the environment andguard the national borders by some othermeans in areas where human activities
have been halted.
The third argument underlines theneed to control trade to some extent toensure the stable reproduction of fisheryresources. It is well-known that inexporting countries, fishery resources andthe environment have been destroyed
because of the compelling need to expand
harvesting and aquaculture rapidly and at
low costs. On the other hand, the impactof trade liberalization for importing
countries gives rise to the concern that
resource management systems now mainly
implemented by fisheries cooperatives and/or village communities can be disrupted
drastically because of the rapid inflow ofimported products. In other words, if fish
prices fall because of sharp increase inimported products and nothing can be
expected to stabilize income despite theirefforts to implement fishery management
systems, then fishers would be forced tocompete among themselves, changing theirfishing patterns into that of pursuing as
much catches as possible.

4. Realistic argument on trade infishery products and international
cooperation
The foregoing argument for controllingtrade in fishery products should not beadvanced unconditionally. Japan, for its

JANUARY 2002

part, had been one of the leading exporters CONCLUSION
of fishery products in the world in
The prerequisites of the logic forprevious years. The foreign exchange
earned through such success contributed American-style economics are that all theto accelerating the nation’s high-level goods for production should be procured
economic growth, and still today, there freely as “merchandise” in the market andthat gaps between demand
exist a number ofand supply can be readily
fishers who depend
adjusted through priceon exports of fishery
Fishery tradechanges. Those conditions
products, such aspolicy should not
apply more or less to thescallops, pearls andbe determined byproducts of advanced
canned products.
abstract concept
industries, with relatively
Bearing such facts inbut should fully
small weight and volume,
mind, Japan, together
consider the charsuch as industrial products,
with South Korea, areacteristics ofespecially electronic
in a position tofisheries as anproducts. It is very easy topropound theindusry and meradvance the international
argument that gives
chandize features
division of labor in thosedue consideration toof fishery prodsectors.
the positions of bothucts as well as a
However, in the case ofexporting andfood, especially fisherybalance in national
importing countries.
products, there exist no
There is also a needeconomy.
such prerequisites. In theto make a distinction
case of fishery products,
between exports fromsupply does not increaseadvanced countries in
the West and those from developing immediately even when demandcountries. If Japan that exports increased because of the naturalindustrialized products to developing restriction on reproduction of thecountries gives unilateral restrictive resources. Rather, decline in the resources
measures against imports of agricultural can take place as competition inand fishery products from developing exploitation intensifies. For fisheries,countries, that would result in a one-way there can be no assumption in which thetrade, making it impossible to foster profit of the enterprises supplying thatcooperative relations. Furthermore, prices merchandize will increase when there isof many of imports of agricultural and increasing demand, and consequently
fishery products from industrialized supply will increase by re-investment ofcountries are set at unduly low levels with the profit. The resources are doomed tothe backing of export subsidies. Also deplete unless some artificial restrictive
little space exists for Japanese products measures, such as resource management,
to compete with some foreign products are applied. Further, adjustments inbecause of overwhelmingly vast farmland supply-demand fluctuations for fisheryin the producing countries. On the other products cannot be made smoothly both
hand, developing countries in Asia do not in that the supply of food should not be
have ample financial resources to allowed to be suspended and in thatsubsidize their exports; they have similar inventory costs for fishery products at anatural conditions as Japan, symbolized t i m e o f e x c e s s i v e s u p p l y a r e
by scarce arable land and monsoon conspicuously higher than those forc l i m a t e , a n d d i f f e r e n c e s i n industrial products because of perishable
competitiveness are of transitional nature, nature of the fishery products. In sucharising only from the differences of industries subject to natural
restriction, only to follow a conceptual
income levels.
From the reasons recounted in the market-based argument is not only
foregoing, Japan should continue its suicidal as an industry but also
effort to raise its food self-sustenance rate, destroys the stability of national life.
Let me reiterate the same issue fromand for the portion not covered bydomestic production, try to ensure stable the perspective of workers. In the“market-primacy” economics, it is said
imports from neighboring countries.
that relocation of a workforce to meet
Page 3

ISARIBI NO.29

Pag

JANUARY 2002

the changes in industrial structure will advance with those whowork in a low-productivity industry naturally losing their jobsas a result of shrinkage and disappearance of the industry andbeing newly employed by a growing industry. However, whatis actually happening to fishers is quite serious. Substantial socialand psychological friction exists in changing jobs for fishers
due to the restrictions in terms of areas of residence, differencesin the experience in labor and habits of living. Relocation offishers to inexperienced job sectors is extremely difficult for
persons above a certain age level. Conversion of jobs for those
who are engaged in the primary industries is a process requiringa long time period, and it is unfair to impose only on fishers
the negative consequences of the frictions that arose fromindustrial adjustments.
It is evident from what is discussed above that the issue
of a specific policy for fishery product trade should not be
determined by a general abstract theory of merchandize
economy based on simple models, but it should be discussed
by giving due consideration to the industrial characteristics
of fisheries, merchandize features of fishery products anda balance in national economy.

Regional Fishery Management
Organizations Further Step Up Fight
Against IUU/FOC fishing

Japan Calls for Fair Trade Rules for
Renewable Resources at WTO

The International Commission for the Conservation ofAtlantic Tunas (ICCAT) and the Indian Ocean TunaCommission (IOTC) have adopted new measures to combat
IUU/FOC fishing activities. The following are a gist of their
new measures:

ICCAT(17th Annual meeting at Murcia, Spain; Nov. 12-19, 2001)
MA working group meeting will be held in Tokyo aroundMay 2002 to verify the relationship between Taiwanese IUUcapital (major root of IUU/FOC fishing activities) and large
scale tuna longline fishing vessels registered in various
countries and to seek for effective measures to cut such
relationship. ICCAT is getting to know that Taiwanese IUUcapital have been taking advantage of using multi-national
activities to escape trade sanctions by ICCAT.
M The following countries were newly identified as thecountries which are not in collaboration with the Commissionin complying the management measures. If there should be
no rectification by the next annual meeting, a trade ban on thespecies specified be put into effect to them immediately. Sierra
Leone (bluefin tuna and swordfish and bigeye tuna), Bolivia,Vanuatu. Indonesia and Panama (bigeye tuna).
MStatistical Document Program are to be established forbigeye tuna and swordfish, scheduled from July 1, 2002 forbigeye and January 1, 2003 for swordfish. The program willverify the status of unreported catches.

IOTC(6th Annual meeting in Seychelles; Dec. 10-14, 2001)
MResolution on limitation of fishing effort by Non-Members
was adopted to the effect that taking into account the urgent
need to manage in a global and efficient way the fishing effort
on bigeye tuna, the Commission requests non-members toreduce their fishing effort in 2002 in relation to 1999 level .
MRecommendation concerning a Bigeye Tuna StatisticalDocument Program was adopted in recognition that theprogram is an effective tool to assist the Commission's effort
for the elimination of IUU fishing operations. Contracting
parties, by July 1, 2002, or as soon as possible thereafter,
require that all bigeye tuna, when imported, be accompanied
by an IOTC Bigeye Tuna Statistical Document.

At the fourth session of the Ministerial Conference of theWorld Trade Organization (WTO) in Doha November 9-13,2001, the Japanese Minister of Agriculture, Forestry andFisheries Tsutomu Takebe stressed the need for the WTO toestablish trade rules taking account of coexistence among
various states as well as sustainable utilization ofresources.The following is an excerpt of his statement.
“Today, while globalization of economy and culture
progresses rapidly, the international society faces a number ofchallenges. In this connection, I believe that the importance ofthe multilateral trading system that is embodied in the WTO
will become greater ever more. For example, the instability of
global supply and demand of food remains unchanged evenafter the implementation of the Urguay Round commitments,
as demonstrated by a fact that surplus of food accumulates indeveloped countries, while more than 800 million people
mainly in developing countries are still suffering from malnutrition....”“... As there are differences in the natural conditions andthe historical background from one country to another, I thinkthat the diversity and coexistence of agriculture among various countries need to be preserved. Various functions of agriculture towards different non-trade concerns, such as food security, rural development and the environment, cannot be obtained through foreign trade but only through agricultural activities in each country. In this regard, it is essential that thenegotiations on agriculture should be conducted based upon
the fundamental philosophy of the “coexistence of various
types of agriculture”, and that the results of the negotiations
should be balanced and acceptable for every country.
“I am convinced that the multilateral system should take fullaccount of such viewpoints as global environmental problems
and sustainable development. In this regard, as for the resourcesthat are renewable but can be depleted without proper management, such as forestry and fishery resources, it is essential
to establish a set of trade rules and disciplines which contributes to the sustainable utilization of such resources throughthe promtoion of adequate resources conservation and management. Such rules and disciplines shall be fair and equitable both for exporting and importing countries.”

Readers are invited to send comments on any of the articles in this news letter.--Editor JDB00775@nifty.ne.jp