Nagoya Prefecture's Trade Policy in Early Meiji Japan

Abstract

The Commercial Office (Shoho-shi) and Trade Office (Tsusho-shi) are important for understanding the trade policy adopted by the Meiji Restoration government and much analysis has focused on these two departments, in particular on the study of the Exchange Company (Kawase-Kaisha). As a result, it has become commonly accepted that the "District-focused" system changed to a "Government enterprise" system. However, some issues in the study of the Trade Company (Tsusho-Kaisha) still remain unresolved, and the purpose of this paper is to reconsider the Tsusho-shi's trade policy through the example of the Trade Company of Nagoya (Nagoya Tsusho-Kaisha). In the early Meiji period, there were two important institutions in the Nagoya area: the Commercial Office and Enterprise Association (Shoho-Kaisho) and the Domestic Products Association (Kokusan-Kaisho). At first, the Shoho-Kaisho aimed to renovate and control the Kabunakama (merchant guilds of the Tokugawa period) and to provide financing for merchants, while the Kokusan-Kaisho aimed to facilitate business with remote areas. After the Shoho-shi was abolished in 1869, the Kokusan-Kaisho gradually took on the functions of the Shoho-Kaisho. Additionally, the Shoho-Kaisho and Kokusan-Kaisho issued local currency to supply needed low denomination bills. This local currency could be exchanged with Dajokan notes, enhancing monetary credit. However in April 1871, the Kokusan-Kaisho was replaced with a newly established institution, the Trade Company of Nagoya. The company attempted to exert control over Nagoya merchants by issuing licenses and by assigning a leader or Sewakata to each merchant group. In addition, the company collected money from merchants in Nagoya, and the pooled money was used as working capital (shinboku-ko). The local administration and merchants in Nagoya Prefecture played a central role in planning and implementing their own policies, and attempted to promote trade within the local area and with foreign countries. The trade policy adopted by the Restoration government focused mainly on overseas trade and neglected to take account of local benefit. Hence, some prefectures did not adhere to these policies and maintained their autonomy from the central government.