How can non-trade concerns in agriculture be best safeguarded?

1. How can non-trade concerns in agriculture be best safeguarded? Ｍｒ．Tetsuo USHIKUSA MAFF, Japan

2. 1.Overview of Japanese Agriculture. (1) The largest net food importing country with micro-sized scale farming ●Trade of Foods－Japan, US, EU ●Scale of Farming－Japan, US, EU Year 2004,Unit:billion $ Date: Japan-2003, US-2002, EU-2000 *TCL; Total Cultivated Land

3. (2) Faced with major challenges 65 or over (farm household) 14 or less (total population) Cultivated land 14 or less (farm household) Abandoned land Cultivated land 65 or over (total population) 1965 1970 1980 1990 2000 1975 1980 1985 1990 1995 2000 Abandoned land of which hilly and Mountains area

4. 2. Important Non Trade Concerns for Japan ・ Food Security ・Conservation of Land ・Fostering Water Resources ・Preservation of the National Environment ・Development of Favorable Landscapes ・Maintenance of Cultural Heritage ・Recreation/Relaxation ・Viability of Rural community

5. Non-trade concern Other things Preservation of the National Environment Food Security Viability of Rural community Food safety, Animal protection, etc Multifunctionality of Agriculture

6. （１）Food Security ●Continuous decline of Japan’s Food self-sufficiency rate. ● Official opinion polls on trade of agricultural products (July,2000) ・Perception about future food supply in Japan Feel unease ↓ Don’t feel unease

7. (2) Flood Prevention and other function of Agriculture Source: Science Council of Japan Nov.2001 Report

8. Landscape of farmland

9. Landscape of farmland

10. Landscape of farmland

11. Landscape of farmland

12. Loss of permeability after abandoned

13. Landslide in abandoned paddy fields

14. 3.We are moving to new scheme for domestic support （New system） （Current system） Measures in principle for all farmers Measure targeted on principal farmers Commodity specific price support and payment ex :wheat, soybeans, sugar Non commodity specific support focused on the overall farm management ・ Acceleration of the structural reform of agriculture ・ Response to the strengthening of WTO disciplines

15. 4. Japan pursue in this Round, the co-existence of various types of Agriculture to be assured, while fully committing to the Doha mandate and to the continuation of policy reform. Co-existence of various types of agriculture ・Multifunctionality, food security Domestic agriculture reform -Setting policy target on principle farmers -Promoting effective utilization of farmland -Introduction to new policy for stabilization for farm management from 2007 • Establishment of trade rules that have a good • balance between agricultural exporting • and importing countries • Realistic trade- rules which allow continuation • of domestic agricultural reform process • Balance of disciplines among Market Access, • Domestic Support and Exports Contribution to development of developing countries - Adequate Special & Differential Treatment for Developing Countries - Support in combination of improvement of Market Access and Cooperation.( Japan’s New development Initiative for Trade)

16. For safeguarding non-trade concern…… eg) in market access: ○Sufficient coverage of sensitive/special products ← to allow the survival of sub-sectors that are critical for the NTC ○Not adopting the concept of tariff capping ← which would ignore the difference of tariff structure among various countries