One must remember that in karate only five percent of the participants want to participate in competition. The other ninety-five percent join for the other benefits that karate has to offer. Benefits like fitness, self-defense, character development, philosophy, and psychology plus much more. In Japan the white uniform was always used because martial arts philosophy stressed cleanliness, thus white symbolizes purity. A Samurai always had to be clean in his mind, body and spirit.
Respect begins with proper attitude and cleanliness.
I have no problem with this as long as the youngster is technically qualified and they should be promoted the same as anyone else. However, once they reach eighteen years of age, they should be reevaluated as a regular adult black belt and then they should be promoted to whatever rank the instructor feels is appropriate. We must not forget the purpose of ranking individuals. It is meant as an incentive and motivation. They, perhaps even more than adults, need motivation and incentive to continue training since they do not yet understand the philosophy and meaning of martial arts.