Japanese agricultural system is not competitive. It is protected heavily. However it is wrong to judge that Japanese agriculture cannot be internationally competitive. It has a potential to compete, but its competitiveness is reduced by the governmental intervention. It is important to change Japanese agricultural policy toward competition oriented. It should promote Japanese farmers to compete, also make them adapt to changes in social and economic conditions. Especially it is important to reform “Shokkan Seido” (Food Control Act of 1942). Such deregulation and pro-competition policy will make Japanese agriculture more competitive and attractive.
The research and development for agriculture is also important. Together with the pro-competitive policy, it is essential to establish some means of promoting the R&D. If these conditions are met, Japanese agriculture will be able to compete without protection. the future of Japanese agriculture looks very bright.
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