License Limitation Regulations: The Japanese System
Authors: Asada Y. 
Published: April 2011

Fishery regulations in Japan derive from the "Old Fisheries Law" of 1901. This law recognized and legalized traditional institutions and practices. In 1949 a new law replaced the "Old Fisheries Law" and this in turn was amended substantially in 1962.From the legal viewpoint fisheries are divided into three categories, "Fishing Rights Fisheries," "License Fisheries," and "Other Fisheries." License Fisheries produce 60% of catches and this proportion has gradually increased over many years. Coastal Fisheries are controlled by the Fishing Rights system. "Common Fishing Rights" are those that enable fishermen to exploit a certain area of water in order to harvest shellfish and seaweeds and to operate small types of fixed gear and small mobile gears such as beach seines set from nonmotorized craft. "Set Net Fishing Rights" are granted for gears fixed in water shallower than 27 m. "Demarcated Fishing Rights" enable holders to engage in fish culture within a given coastal area. Fishing Rights are monopolistic rights to engage in certain fisheries in certain areas of public waters. They are thus property rights, and in legal transactions most of the same provisions concerning land apply to them.The major fisheries are controlled by licenses. A fishing license legally exempts an individual from general prohibitions declared for the purpose of conservation or the maintenance of order in the exploitation of fishing grounds. There are two categories, licenses granted by the Minister of Agriculture and Forestry, and licenses granted by Prefectural Governors. The former licenses are required to engage in fisheries for which national control is considered necessary because of the large size of the vessels engaged, the wide area of fishing operation, the existence of international fishery agreements, and the nature of the fishing grounds, etc. Seventeen fisheries come under these licenses. Prefectural Governors issue licenses to vessels engaged in fisheries next in importance to the above group. The number of vessels to be licensed in each fishery is determined in consultation with Fisheries Coordination Committees by size-class of vessels, fishing area, and periods of operation. Licenses are subject to restrictions in respect to areas fished, closed seasons, vessel tonnage, equipment and power, minimum size of fish caught, and other things.All Japanese fisheries are controlled as a unit. Almost all are limited in the number of vessels that may take part. In recent years there have been few fisheries where the number of licenses issued has increased, but there has been a rise in the size of vessels and the quality of their equipment. Since fishing effort is controlled by the limitation on the number of licenses, in several instances their number has been reduced when exploitation seemed too high. In some cases vessels have been transferred to other fisheries; in others those forced out have been compensated by those remaining. But since renewal is nearly assured the license acquires value, and investments and loans are made taking the license as security. There is no fee charged for the licenses. It would have been better if one were, and the income used to compensate those who are forced out.A "tonnage supplement system" is used to reduce the effects of increase in fishing power resulting from the use of larger and more efficient vessels within the licensing system. To replace a vessel with another of larger size, the equivalent extra tonnage must be retired by purchase of a license or some other means.The system used in Japan arose in response to conditions in that country, and is regarded as successful. Other countries considering license limitations should consider their special problems to judge whether such a system is appropriate.