Basic Commodities ( Agricultural Products And Mines

993 WordsMay 8, 20174 Pages
1. While the descriptions on basic commodities (agricultural products and mines) are kept low, tariffs increased as the processing rate increased 2. Tariffs on products that can not be produced indoors, that can be produced less or that can not increase production will be kept low,the tariffs will be kept high for products that are potentially or competing with imported products. 3. Tariffs will be high in consumer goods, low in investment goods. 4. In the country, products that have just begun to produce and show development potential will be put on a high tariff. 5. Low tariffs on products with strong exports and their raw materials. 6. In sectors where production is stagnant, underdeveloped, and not likely to have future potential,…show more content…
These sectors were supported by means such as subsidies, tax advantages, low interest loans, import tariffs, protection and restriction of foreign investments. The policy of blocking foreign investment as a means of protection was initiated during the American occupation and continued until the late 1960s after the occupation. (Komiya and Itoh (1988; p.177) ve Okimoto (1989; p. 27). As a result, foreign companies unable to manufacture in Japan had to license their technology to Japanese companies. (Okimoto (1989; p. 27). MITI was a member of the Japanese Foreign Capital Negotiation Commission. Foreign investors had to get permission from this commission. Debt-type capital inflows and license agreements were allowed more easily than direct investments. (Yülek (1997; p. 65) This was in line with the technological development desires of both MITI and Japanese companies. The Japanese government has also kept its companies in the domestic market, import quotas and tariffs (Komiya and Itoh (1988; s.177). In the Japanese administrative system, a department was established for
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