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Press translations [Japan]. Economic Series 0016, 1945-11-25.
Supreme Commander for The Allied Powers. Allied Translator and Interpreter Section.

translation-number: economic-0087

call-number: DS801 .S81

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No. 87 Date: 25 Nov 45


ITEM 1 Conference on Food Crisis - Nippon Sangyo-Keizai - 15 Nov 45. Translator: T Okamura.
Full Translation:
A large scale national movement with the joint participation of the government and people to meet the impending food crisis, was formally decided upon at a conference held 14 November.
The meeting which, started at noon was held at the residence of the Premier, was attended by the remier himself, as well as many other leading government officials and members of civic organizations.
After an address by Premier SHIDEHARA, Mr. OKADA, Tadahiko was appointed chairman, and at his suggestion, Agriculture and Forestry Minister MATSUMURA. gave a detailed explanation of the present food situation. After that, opinions were exchanged freely until 1600 hours. It was during this discussion that the plan for a large national movement suggested. Policies and plans were suggested at the meeting.
The highlights of the premier's address are as follows:
"Our most urgent task is the solution of the food problem. A remedy for which is necessary not only for maintaining the stability of national life, but also as the first step toward the reconstruction of a new JAPAN.
There are many obstacles to be overcome. Conditions are difficult, but we must not give up. We are well aware of how inadequate the present staple food ration is. It is very possible that we may be confronted with a sever food crisis two or three months after the winter is over."
"The government proposes to take all possible measures toward the alleviation of conditions. If any new unfavorable situations develop the government further intends to share its difficulties with the public by publicizing the facts. Some measures have already been put into operation. Those not yet begun will materialize as soon as circumstances permit."
Baron SRIDEHARA asked for the nation's total cooperation, especially for that of the peasants. At the same time he urged people to beer up under the hardships and not to have illusions about a bright future. He asked farmers to offer staple foods for sale on a fraternal basis.
"When the nation works in close cooperation, and in mutual understanding, we are sure to surmount any obstacle." he said.

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ECONOMIC SERIES: 16 (Continued)
ITEM 1 (Continued)
The Premier warned the people against black market dealings and hoarding saying, "Some people" are absorbed in hoarding and dealing with the black market for their own benefit, while at the same time the majority of the people are on the verge of starvation. Such action is morally intolerable. We do not want to promulgate strict regulations providing Severe punishment for such actions, but for the good of the nation we may have to resort to such measures."
The Premier in concluding his address said, "In this connection, we wish to launch a nation-wide movement to overcome the food crisis. I solicit your opinions pertaining to concrete policies for this movement. When they are accepted I wish you to strain every effort toward the realization of the project."
Representing the government at the meeting were, Finance Minister SHIBUSAWA, Justice Minister IWATA, Agriculture and Forestry Minister MATSUMURA, Commerce and Industry Minister OGASAWARA, Minister-without-Portfolio KOBAYASHI, Chief Cabinet Secretary TSUGITA, Vice-Chief - secretary of the cabinet MIYOSHI, and the Parliammentary Vice Ministers.
Others present included Mr. SA[illegible]URAUCHI, Sachio; Vice-Admiral GODO, Takuo; Mr. UCHIDA, Shinya and Mr. SENGOKU, Kotaru; all former ministers; Dr. KAGAWA, Toyohiko; Messrs. KATAYAMA, Tetsu; SUGIYAMA, Motojiro; TAKADA, Kohei; TOGO, Minoru; TAKHASHI, Shukei; and TAYABE, Shichiroku; representing political parties; Messrs. SHIWADA, Toshio: and KATSUDA, Eikichi, representing the parlianment; Messrs. HIROSE, Hisatada, (TOKYO-TO); [illegible]KAI, Kosi, (OSAKA); and SATO, Masatoshi, (NAGOYA); representing municipalities; and Mr. FUJIY[illegible]A, Aiichiro, representing industrial organizations.
Editors of all influential newspapers in TOKYO, and TOKYO managers of the newspapers in central and western JAPAN and HOX[illegible]AITO were present.
Others present were Messrs. YOSHIDA, Shigeru; T. KATSUKASA, Nobusuke; and IMAIZUMI, Nobuyuki; representing religious groups; Messrs. KODAIRA, Gouichi; YOSHIDA, Tadashi; and MINAKAWA Kiyoshi, representing agricultural organizations; Dr. Hiroshi KASU and viscount Nagakage OKABE, representing the intelligentsia.
ITEM 2 Method Adopted For Smooth Distribution of Leather Goods - Nihon - Sangyo-Keizai - 15 Nov 45. Translator: T. Mitsuhashi.
The Leather Control Organization has decided to distribute leather goods such as belts and packings, for industrial use, in the following manner:
The Leather Control Organization, as well as its branch-offices, will take charge of distributing leather goods in place of the dissolved Industrial Leather Goods Control Company of JAPAN. (NIHON-KOGYO-HIKKU-SEIHIN-TOSBI-KAISRA).
Preferential distribution of belts and leather for packing will be made to manufactures of vital consumer goods.
The system whereby waste leather must be submitted in order to obtain new stocks of leather will not be applied in exceptional cases such as in the recovery or establishment of factories.

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ECONOMIC SERIES: 16 (Continued)
ITEM 3 Land Problem Investigation Commission Appointed - Nippon Sangyo Keizai Shimbun - 15 Nov 45 Translator: S. Kinoshite.
To cope with the land problem resulting from great changes in the farming situation since the end of war, the National Agricultural Society organized on 14 November, the Land Problem Investigation Commission, the first meeting of which will be held on 22 November at the Society's headquarters, in KOISHIKAWA-KU.
The Commision inquiring into problems conserning small holdings, the development of uncultivated lands, the release of nationalized lands, partnership, rights of commoners, land rentals, farm legislation and other pertinent matters.
The Commission headed by Mr. KODAIRA, Kenichi was appointed on the l4th, and includes sectional chiefs of the Society.
ITEM 4 Discovery of 37 Balloons. Confiscated Goods to Be Delivered to Civilians - Nippon Sangyo - 15 Nov 45. Translator: Y. Kurata.
Full Translation:
Major-general, J. O. GREENER, of the NEW YORK Division now stationed at NIIGATA Area, issued on 13 November the following detailed statement concerning the disposition of goods which were recently confiscated from the Japanese Forces in the same area:
"Since our arrival we have confiscated a great amount of food, clothing and medicine, all of which has already been turned over to the Home Ministery for distribution among the people. Further, the UNITED STATES 5250th Scientific Technical Force has discovered and destroyed 37 balloons, from which usable clothing, cranes and transformers usable in fishing boats were salvaged."
Goods which were delivered to the Home Ministery by the Division as of 11 November are as follows:
Barley 87,100 pounds
Soy beans 164,300 "
Corn 33,000 "
Flour 355,100 "
Italian millet 125,750 "
Oats 335,000 "
Rice 213,000"
Fish 318,000 "
Starch 1,274,000 "
Wheat 371,000 "
Bean paste 252,000 "
Tea 146,940 "
Blankets 67,000
Boots 153,000 pairs
Coats and overcoats 154,750
Undershirts 184,000
Gloves 106,700 pairs
Shirts 273,225

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ECONOMIC SERIES: l6 (Continued)

ITEM 4 (Continued)

Shoes 370,250 pairs
Stockings 36,460 pairs
Trousers 249,385

ITEM 5 Commerce and Industry Ministry bureaucrats asked to reflect upon their grave misdeeds - Yomiuri - 16 Nov 45. Translator: T. Kitagawa.
Japanese industry and foreign trade suffered a serious set-back when JAPAN waged her suicidal Greater East ASIA War.
After the Manchurian Incident, while we were suffering from frequent political assassinations and domestic unrest, the powerful Industrial Association was born. This group controlled JAPAN'S rice and fertilizer, as well as her manufactured goods. Even foreign trade, finance, and insurance fell into the Association's sphere of influence. The beginning of the Association can he traced to 1925, when Marxism was being seriously studied by young Japanese.
Men like KITTA, Ikki advocate ultra-nationalistics movements. RUSSIA, he said, should give SIBERIA to JAPAN, and HONKONG should become a Japanese base. His group wanted a strong army and navy.
Though he was sentenced to death shortly after the February 26 incident, KITTA left a fertile ground for blind nationalism.
Japanese officers swayed by a desire for vengeance against ENGLAND and the UNITED STATES, and urged on by German leaders, formed the German-Japanese Defense Alliance in November, 1937.
Totalitarianism and economic control was put into practice in MANCHURIA from where they gradually spread to JAPAN herself. Foreign trade was severely denounced. Nazism completely swayed JAPAN. Under a. terrorism guided by the Nazis, JAPAN finally waged war against the UNITED STATES.
During the war the most outsanding economic polices were the Official Price Policy and the Bureaucratic Control Policy. All the countries at war controlled prices, but JAPAN is probably the only country that controlled the prices of all articles, including, even toys. Complicated price control contributed to lower the quality of commodities, decrease the output and to bring endless confusion. It is ironic that the Japanese armed forces themselves were not governed by official prices. The army and the navy manipulated prices in their competition to get more material and labor.
Because the expansion of the war was greater than originally planned, and civil government expenditures as well as war expenditures rose to unprecedented sums the financial system collapsed. The war demanded more material than Japan could supply. The plan to control prices proved to be an utter failure and resulted in an extreme scarcity of material and an inflation of currency.
The laws of economics are always supreme over artificial laws or judicial power. Abolition of price control should be effected at once to check the tendency to lower the quality of goods, to increase production and to save Government funds.
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ECONOMIC SERIES: 16 (Continued)
ITEM 6 Revision and abolition of War Laws; Finance Ministry Prepares bills to be submitted to the coming session - Nippon Sangyo Keizai Shimbun - l6 Nov 45. Translator: S. Kinoshita.
The Finance Ministry is said to be preparing bills for the revision and abolition of war laws which will be submitted to the 89th Diet session.
According to the announcement, the Ministry intends to revise war laws which must remain effective in the post war period, and to abolish laws which have become unnecessary.
The laws that will probably be revised are as follows.
Peoples Savings Association Law.
Provisional Currency Law.
Salt Monopoly Law.
Laws that will probably be abolished are as follows.
War time Financial Depository Law.
Foreign Capital Depository Law.
Enemy's Property Control Law.
Wartime Life and Accident Insurance Law.
Wartime Special Damage Insurance Law.
Laws relative to financial organizations such as the bank of KOREA and the Bank of FORMOSA, which have been closed by Supreme Headquarters, will remain effective for the time being. Instead of the Enemy's Property Control Law, which is to be abolished, a new Allied Nation's Property Preservation Law (provisional name) will be enacted.
Bills for revising or abolishing laws relative to wartime capital regulations and special account of extraordinary military expenditures will not be submitted to the coming Diet session.
ITEM 7 "Reparation should be the same as in the case of Germany, and must be severe as well as impartial." disclosed by M. Pauley - Nippon Sangyo Keizai (Asahi Shimbun Mainich Shimbun. Yomiuri Hochi Shimbun) 16 Nov 45 Translator: Y. Kurata.
Mr. PAUNEY, of the UNITED STATES Reparation Commission, issued the following statement on 15 November 1945 at the press meeting held in the Broadcasting Hall.
A Summary of his statement is as follows: "Since I arrived in JAPAN, I have made every effort to bring my mission to a successful conclusion in close co-operation with the UNITED STATES Reparation Committees and General MacARTHUR, to whom I am tremendously obliged for his efforts in offering us a great deal of information and facts. I think the policies and projects concerning the reparations, will be established.
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ECONOMIC SERIES: 16 (Continued)
ITEM 7 (Continued)
by General MacARTHUR."
The policies so far established by the UNITED STATES Government are as follows:-
Reparations should be levied in the same manner as those of GERMANY; that is to say, everything except what is needed to maintain a minimum of Japanese economy will be taken away.
By the above-mentioned minimum, I mean that the standard of living of the Japanese people should not be allowed to exceed that of other countries which were invaded by JAPAN.
Machines and tools which have been thus far used in the munitions industries should, of course, be taken away or destroyed. If these machines are of use to the countries which have a right to them they should be handed over to those countries. The view of the policies I have mentioned above, the reparation policies must be severe, but at the same time must be impartial. Needless to say, we can never forget PEARL HARBOR.

While the reparations themselves are being decided the following two items should be taken care of: first the expenses of the Allied Occupation Forces, and, second, the ordinary export value which is necessary as payment for those imports which are deemed necessary for JAPAN by the Allied Headquarters in order to maintain the standard of living of the people.
Through these reparation policies, the Japanese shall be made conscious of the fact that in the long run, peace and democracy will lead them to an easy life, they will wipe out militarism, and at the same time make the Japanese aware of their obligation to the nations which they invaded in the past.
The UNITED STATES wishes to receive Japanese assets overseas as its share of the reparations. Thereby the UNITED STATES will not only recompensate itself, but also will spur the dissolution of the ZAIBATSU, whom it recognizes as responsible to some extent for this war.
All Allied Powers' intentions are focussed on the principle of depriving Japanese Industries of the ability to make war and at the same time annihilating militarism. I believe that the SOVIET UNION is also quite interested in this matter.
Gold, silver and other precious metals which have been discovered thus far, should be used to meet the expenses of the Occupation Forces, in payment for necessary imports, and towards reparation, with the exception of that portion to be returned to other countries.
ITEM 8 A_survey of the pressing coal situation - Nippon Sangyo Keizai - 16 Nov 45. Translator: R. Acki.
Since the end of the war coal production in JAPAN has declined very rapidly. The September and October figures were only 19 per cent and 12 per cent respectively of those of corresponding periods in 1943. As a result the Government has limited the November distribution of coal to only eight kinds of industries or consumers. If this condition continues most industrial works in JAPAN will close, and therfore,
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ECONOMIC SERIES: 16 (Continued)
ITEM 8 (Continued)
through diminished supply, inflation will be further accelerated.
The Department of Commerce and Industry published an important survey of the coal supply the gist of which is as follows:
The Average monthly production of coal in this country was 4,600,000 metric tons in 1943 and 4,100,000 metric tons in 1944. This decline in production has continued and the three months' average for April to June of this year ranged somewhere between 3,500,000 tons and 3,700,000 tons. The monthly trend since July is as follows:
July 2,700,000 metric tons
August 1,700,000 " tons
September 900,000 " tons
October 543,000 " tons

The cause for such rapid decline has been attributed to three factors:
Unrest among the Korean and Chinese miners.
Desertion of native miners because of the food shortages.
The effect of the floods.

Decline in coal production inevitably affected coal stocks. The stocks of coal in JAPAN as of the end of October 1945 were reported as follows:
KYUSHU coal 1,000,000 metric tons
HOKKAIDO coal 780,000 " tons
UB coal 200,000 " tons
JOBAN coal 80,000 " tons
Military stock 300,000 to 400,000 tons

As has already been reported, the coal distribution plan for November has been fixed at 976,000 tons, or only 54 per cent of original plan for distribution. The ration has been limited to eight types of consumers and all others, including many vita1 industries and consumers such as hospitals and public bath houses are excluded.
Rationing of coal to the railways has been curtailed from 550,000 tons in October to 475,000 tons in November. It is said that the railways have an average of only four days' supply, yet they are planning increased transportation activities. Such conditions necessarily affect coal distribution to other industries; such as, iron smelting. The iron works were apportioned 73,000 tons for November but due to heavy demands made by the railways they are now facing the vital problem of whether or not they should let their coke furnaces cool.
Without the rehabilitation of the coal mines there can be no re-habilitation of the nation's economic life. In order to solve, this
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ECONOMIC SERIES: 16 (Continued)
ITEM 8 (Continued)
vital question now the survey maintains, the question of the repatriation of the Korean and Chinese miners, and the food problem in coal mines must be solved first.
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HomePress translations [Japan]. Economic Series 0016, 1945-11-25.
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