Whether Further Liberalization of the Market Is Necessary

Recent acceleration in free trade agreements (FTAs) threatens many part of the world not only in developing countries but also in Japan. During last decade the world has witnessed Japan's transformation from one of the most cautious multilateralists to an active negotiator of free trade agreements (FTAs), especially with those among Asia-Pacific countries (Davis, 2003). Japan’s progressive participation on FTAs program has been motivated by a combination of economic and political objectives. The most important motives entail following three points: avoidance of becoming isolated as other major trading countries actively pursue FTAs, energizing domestic economic activity, and promoting Japanese influence in Asia (Hatakeyama, 2003). In addition, there are mutual understandings that FTAs symbolize special relationships based on political trust (Ahearn, 2005). Therefore, Japan hopes to strengthen its diplomatic influence on the range of political and security issues. However, simultaneously, the concerns on food security and the self-sufficiency of agricultural products within the country have significantly increased by those who fear the floods of cheap products from other countries. The opponents of the market opening policy point out that various negative consequences such as deterioration of national primary industry may cause huge risk to Japanese society and economy with possible dramatic price increase in agriculture products if Japan has to rely heavily on imported agricultural products. This essay will discuss whether further liberalization of the market, in other words, participation of TPP is really necessary for sustainable development of Japan by carefully examining both sides of the argument.

In November 2010, the administration of Prime Minister, Naoto Kan, announced their interests to adopt a basic policy toward establishing a free trade zone in larger Asia-Pacific region. The motive behind is to open up the nation with a view toward reviving...