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Press translations [Japan]. Economic Series 0188, 1946-01-21.
Supreme Commander for The Allied Powers. Allied Translator and Interpreter Section.

translation-number: economic-0865

call-number: DS801 .S81



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GENERAL HEADQUARTERS
SUPREME COMMANDER FOR THE ALLIED POWERS
ALLIED TRANSLATOR AND INTERPRETER SECTION
PRESS TRANSLATIONS
No. 865 Date: 21 Jan 46

ECONOMIC SERIES: 188

ITEM 1 Black Market Will Be Reorganized and Controlled by the JAPAN VOLUNTARY CHAIN MARKET - Asahi Shimbun - 19 Jan 46. Translator: Y. Kurata.
Full Translation:
It is reported that Mr. MATSUMOTO, Satoru, Member of the House of Peers, has just decided to establish the JAPAN Voluntary Chair Market (NIPPON DOSHIRENSA SHOTEN [illegible]) to replace the present black markets. This decision was reached after several discussions with eight prominent heads of black markets. The organization intends to buy up supplies, set up suitable prices, prevent illegal transactions, and establish reciprocal relief associations.
Mr. MATSUMOTO's plans in this respect are as follow: "The voluntary chain market made its first appearance among retailers in AMERICA, who organized their association to carry out buying in common, advertising and retailing in order to cope with the department and chain stores. I think it is high time to adopt such a system in JAPAN in view of the current black market situation.
The JAPAN Voluntary Chain, with its single headquarters, will have branches in every district, which will be divided into various groups with the bosses of present black markets as their heads. Goods, will be collected by the headquarters and distributed to each group. The headquarters will rent pre-fabricated buildings as shops and the rent will be capitalized by the headquarters. The heads of the groups will take a fixed amount of interest from marketers and make them pay a fixed contribution to the Association. These contributions will be spent for the welfare of Association members. Although we cannot expect immediate effects from the set-up of this new market system, we have no doubt that the flow of goods will be naturally encouraged by the system. As for the price of goods, moderate and common prices are expected to be fixed by the Price Revision Council (KAKAKU SATEI-IINKAI).
Meanwhile, in TOKYO various steps are being taken by the Association to remove extravagant black market prices and dealing in unsatisfactory goods. It also intends to give priority to ex-servicemen and air raid sufferers in joining the Association, thereby reorganizing black markets into fair markets in a democratic way.
In addition, the Association is proposing to the Government that open-air, or black marketers hitherto exempted from taxation, be taxed in accordance with the following categories: to include all eating-houses, commodity dealers, and other dealers whose income is smaller than that of the commodity dealers.
With this fair market movement, all food dealers will be prohibited from selling major foods such as rice, wheat and foods made of the two.

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ECONOMIC SERIES: 188 (Continued)
ITEM 2 Snails' Face in Ship-Building: Two Examples Explained - Nippon Sangyo-Keizai - 19 Jan 46. Translator: K. Shindo.
Summary:
Approval had been granted by SCAP for completion of new ships under construction, or for repairs, after the war's end. Actually, however, ship construction has been going at a snail's pace. Only seven vessels, or 21,390 tons, have been built since the termination of the war. The current situation permits no sabotage on the part of capitalists.
What is the situation in the ship yards? The answer will be given by two examples, the YOKOHAMA Dock of the MITSUBISHI and the TSURUMI Shipyard of the NIPPON Tube and Pipe (NIPPON KOKAN). The TSURUMI shipyard was permitted to build two cargo vessels and three coastal defense ships. One coastal-defense ship was delivered, as expected, and one cargo vessel was constructed a month later than expected. The rest of the ships will be launched successively by the end of April.
The YOKOHAMA dock was allowed two cargo vessels, one passenger-cargo ship and one tanker. The expected program has been changed and all the ships now under construction will be delivered by the end of September. The equipment of both shipyards needed no extension on the first program. As for required materials, both of them have a considerable amount in stock, except for secondary material, such as oxygen, carbide and coal. But these materials cannot seriously hamper shipbuilding.
Then, why has the snail's pace been maintained? Because of the capitalists inadequate program for recruiting labor.
Let us take the case of the YOKOHAMA dock. The first plan aimed at the recruitment of 2,500 laborers. The crowds of unemployed were anticipated as the labor source. Such laborers, if hired, are required to live away from the yard, because dormitories, owned by the dock, are not adequate, due to air raids and a number of them being requestioned by the occupational forces for lodgings.
This recruitment program failed because of the unwillingness of laborers to work and also because they were affected by the better conditions given them by the occupation forces. The dock was forced to seek labor in provincial districts. The required modification of this first recruitment program has necessitated better and larger accomodations for laborers. The fact that the recruitment program intends to rely upon 600 laborers explains clearly that the facilities for accommodating labor at the dock are limited.
In the case of the TSURUMI shipyard, the laborers recruited are also required to live out. In spite of every available means, the number of laborers obtained has decreased gradually to the point that labor must, in the same way, be found in the provinces. Since 5,000 laborers are sought, larger accomodations must be quickly prepared.
Mr. KOMAKI, chief of the administration department, explained that, "Every possible advertisement and means was tried in vain. Hiring could not keep up with the dismissal of negligent laborers and the flocking of laborers to work for the occupation forces. Recalling laborers from farms had to be postponed due to the busy farming season and scarcity of housing for dock workers. Work for the occupation forces is hampering the recruitment programs of both shipyards considerably.
The occupation forces certainly offer better employment conditions than the shipyards but there should be no competition between the two, since laborers sought by the former are required to live out, and shipyard workers also receive an extra go of staple food which workers for the occupation, forces do not. The laborers' attendance at work, though it fell to around 40 per cent soon after the war's end, rose to 75 Per cent at the end of last year, and to 69 per cent on 5 January, in the
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ECONOMIC SERIES: 188 (Continued)
ITEM 2 (Continued)
case of the YOKOHAMA dock. It must be reported, in this connection, that the laborers of both shipyards have labor unions.
ITEM 3 Federation of Economic Bodies Wants Firm Policies To Control Inflation, Stabilize Economy - Mainichi Shimbun - 19 Jan 46. Translator: S. Iwata.
Summary:
A rapid increase in production has become important in the reconstruction of JAPAN since the decreased production has spread uneasiness among the people. The Federation of Economic Bodies (KEIZAI DANTAI RENGOKAIO) has established a Business Resumption Planning Committee (KIGYO SAIKAI TAISAKU IINKAI), which is to meet twice a week. This committee will investigate various problems dealing with the resumption of business and solution to business problems.
After the initial meeting of the committee, problems of business were laid down as follows: 1. Inflation causes instability in wages, difficulty in estimating costs of production and manufacture. Resumption of production is hampered by these problems. 2. The half-hearted measures of the Government on goods, prices and wages are affecting business men. 3. After the present supply of raw material has been exhausted a shortage will exist. 4. Businessmen are uneasy about the monetary situation.
The Government must work out such price policies that a solution of the present situation and a workable plan for production can be formulated. That is, one different from the wartime plan for material resources. In that way, industrialists will be able to establish their businesses in a way differing from the past.
ITEM 4 Dissolution of the ZAIBATSU Is Retarded - Asahi Shimbun - 20 Jan 46. Translator: T. Mitsuhashi.
Summary:
At this time when more than two months have elapsed since Allied Headquarters issued a directive to dissolve the ZAIBATSU, nothing noticeable has been done to speed dissolution except the creation of the upper machinery of the Adjustment Committee (SEIRI-IINKAI) and its chairman.
The difficulties in handling such a task, may be one reason for the delay, but the tedency of prolonging the dissolution by the ZAIBATSU itself may be the main cause. The Government is also at fault for its attitude of defense of the ZAIBATSU. Such an attitude can be seen in the Foreign Minister's speech that the so-called ZAIBATSU did not play a major roll in wartime as much as the newly risen ZAIBATSU. This is, of course, a wrong view.
The indication of this attitude also can be seen in the appointment of Mr. NAKANE, Sadajiro, former president of the SANWA Bank, as chairman of the Adjustment Committee. Although one may call him a private citizen, he has been a leader in financial circles for many years, and cannot be anything but a protector of the old regime.
The current situation which JAPAN faces, requires an urgent and complete dissolution of the ZAIBATSU in order to create the new economy of JAPAN. The longer the dissolution is prolonged, the longer the rehabilitation of the Japanese economy will be retarded. Under the circumstances, it is our earnest wish that the dissolution of the ZAIBATSU should be completed at an early date.
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ECONOMIC SERIES: 188 (Continued)
ITEM 5 Employees of JAPAN Steel Pipe Take Over Production Administration - Nippon Sangyo Keizai - 20 Jan 46. Translator: R. Shibata.
Full Translation:
Dissatisfied with the company's reply, the Employees Union (JUGYOIN KUMIAI) of the TSURUMI Iron Factory of the JAPAN Steel Pipe Company (NIPPON KOKAN) has started to take over the administration of all the phases of production in order to realize their objectives.
The company handed a letter to the representatives of the union on 19 January. It states that the company regarded the practice of procution by the workers as an illegal action. In addition, the company will submit the case to the court for arbitration. However, the union, too, holds a firm attitude.
ITEM 6 Postal Savings Lost Vigor - Nippon Sangyo Keizai Shimbun - 20 Jan 46. Translator: H. Shindo.
Full Translation:
Recent postal savings have shown remarkably slow increases. This fact attracts public attention because it reflects upon trends in currency. Postal savings have, so far, continued their increase with the lapse of time as compared with a similar period in previous years.
They increased 1,854 million yen in October 1945 and 1,168 million yen in the same month in 1944; 997 million yen in November 1945 and 686 million yen in the same month 1944. There is a decrease of 286 million yen between December 1945 and 1944 respectively.
Considering January, for instance, we notice a decrease of 383 million yen between the 221 million yen on l6 January this year and 604 million yen on the same day last year.
It is mainly because inflation has advanced and consequently national living has increased in cost that postal savings have deminished. The explanation is not adequate. Postal savings in urban areas often lose vigor gradually from about November every year, while those in provincial farming districts would increase. On the whole it was well balanced.
The decline in postal savings may be caused by the fact that evasion of the property taxes is also occurring in provincial farming districts.
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HomePress translations [Japan]. Economic Series 0188, 1946-01-21.
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