Restructuring of Agricultural Cooperatives and Rice Distribution Systems under the Recent Agricultural Policy Reform in Japan

Abstract

The purpose of recent agricultural policy reform in Japan is the restructuring of Japanese agriculture so that it is better suited to globalization of the world market. The rice policy reform should be also understood in this context. Modification of any restriction policy would cause a surplus of rice production. Restructuring of agricultural cooperatives and rice distribution system would lead to instability of the relation between supply and demand in Japanese rice market. The repeal of the Main Crop Seed Act strengthened the role of private company in rice seed market. As the result of recent agricultural policy reform, the positioning of private companies in the market is enhanced overall within Japanese agriculture. Under this situation, it is especially important to emphasize the importance of public sector and cooperative associations for Japanese agriculture.