Press Conference by the Chief Cabinet Secretary (Excerpt)

JAPANESE

Opening Statement by Chief Cabinet Secretary Edano

CHIEF CABINET SECRETARY EDANO: First, I have one matter to report on. It is regarding shipping restrictions. Today, based on Paragraph (3), Article 20 of the Act on Special Measures Concerning Nuclear Emergency Preparedness, I ordered the Iwate Prefecture Governor to abstain from shipping any cattle being fed in Iwate Prefecture to slaughterhouses. This instruction was in response to reports that radioactive cesium that exceeded the provisional regulation values of the Food Sanitation Act was detected in beef in two Iwate Prefecture municipalities. After instructions are made to restrict shipments, in the event that Iwate Prefecture files an application for the partial withdrawal of shipping restrictions, it will be approved under the premise that a rational safety control structure has been established that includes thorough and proper feed management as well as testing of beef. Specifically, for farmers with feed management problems, a testing will be performed on all of their livestock and shipments will only be permitted for livestock that have tested below the provisional regulation values. For other farmers, at least one head of cattle from all farmers' initial shipments will be tested, and a farmer's shipment will be permitted if levels fall below the provisional regulation values. Regular testings will also be carried out thereafter. We are now doing everything we can to ensure that livestock farmers impacted by these shipping restrictions receive adequate compensation. For more information please forward your inquiries to the Ministry of Health, Labour and Welfare (MHLW) and the Ministry of Agriculture, Forestry and Fisheries (MAFF).

Q&As

REPORTER: Concerning the issue of compensation and the buying up of cattle, is it safe to say that the Government's previous policy of buying up cattle is going to apply to Iwate Prefecture as well?

CHIEF CABINET SECRETARY EDANO: The basic idea is that we will not be making a direct connection with an enlarged range of contamination. In other words, we will employ the same response in areas where the existing conditions and instructions given are also the same.

REPORTER: There is great concern over this problem impacting other prefectures as well. What is the Government's understanding of this situation?

CHIEF CABINET SECRETARY EDANO: This issue lies in the (rice) straw that was used to feed livestock, so the most important thing is that we are now doing everything we can to assess the details of the distribution channel of that contaminated straw - or that range - and in addition will be conducting tests on straw and other feed located at individual livestock farms. We will be working to assess the range of cattle that are potentially contaminated as quickly as possible and, and this goes for Iwate as well, will be carrying out strict testings as early as possible for areas that have potentially been using such feed. The Government intends to control a more solid management system where only products that have passed these testings will be permitted access to the market.

REPORTER: In response to this issue, Iwate Prefecture Governor Takuya Tasso has commented that the prefecture has a system in place with its own policy to test each cattle based on the location of its delivery in order to ensure safety and reassure consumers, and also that it is a shame that shipments were prohibited. How do you take these comments?

CHIEF CABINET SECRETARY EDANO: These shipping restrictions are a response to instances where radioactive cesium detected, which exceeded the provisional regulation values in more than one part of the prefecture. At the same time, however, we have clearly expressed how we approach the partial withdrawal of these restrictions and I think that the Governor will consult MAFF and MHLW for details. Nevertheless, if substantial compliance can be made with the policy for withdrawal that I spoke of, it would mean that safety has indeed been confirmed and, in such cases, we intend to remove restrictions as quickly as possible. I would therefore like to accommodate the Governor's wishes under the premise that safety is confirmed.

(Abridged)

REPORTER: This question is regarding the Basic Policy on Reconstruction, which was decided on last weekend. The "¥10 trillion emergency tax increase" clause that was included in the original Government proposal has been deleted, and replaced with the term "taxation measures." I believe that this is the reflection of the will of the Democratic Party of Japan (DPJ). How do you view this decision?

CHIEF CABINET SECRETARY EDANO: Japan has a parliamentary cabinet system so in a sense it is only natural for a final conclusion to be made amidst various developments in the Cabinet and Diet. In either case, the Government, Liberal Democratic Party (LDP), and New Komeito are all in consensus about the need to steadfastly secure financial resources for post-disaster reconstruction. Considerations will now be carried out on the detailed content of the Basic Policy mainly by the Tax Commission.

REPORTER: On a related note, I understand that the Tax Commission will be carrying out discussion on financial resources, but in the Basic Policy, a figure of ¥3 trillion has been temporarily included as funds subsidized by cutting expenditures and selling government-owned assets. In other words, this is the starting line for this discussion. Is the policy of increasing mainly core taxes by ¥10 trillion still remaining as a concept in this text?

CHIEF CABINET SECRETARY EDANO: I believe that if you read the Basic Policy thoroughly you will see that it is clear.

REPORTER: The Government touched on the idea of decreasing corporate taxes when the Basic Policy on Reconstruction was still at the proposal stage. In terms of economic countermeasures, this is a legal matter that I guess would be discussed between the ruling and opposition parties in working towards the third supplementary budget, but are you planning to reflect this policy into the third supplementary budget?

CHIEF CABINET SECRETARY EDANO: The issues of how to organize the Basic Policy in terms of what it should cover and of how to acquire members' understanding of proposals that have conventionally been made in the Diet are somewhat different in nature. In that sense, I think that what you are referring to was sorted out in the final stages. In either case, however, I intend to push reconstruction forward while acquiring the understanding of the Diet, and will also exert efforts to acquire understanding when possible about the several policies that have continued to be discussed since before the disaster.

REPORTER: Corporate tax cuts were included in bills that were previously submitted to the Diet. In the Basic Policy on Reconstruction these appear to have been added in order to prevent hollowing out as a result of the earthquake. In that regard, I thought that the third supplementary budget would unify these two. Is this not necessarily the case?

CHIEF CABINET SECRETARY EDANO: Anyway, things will not move forward on matters where the Diet's understanding has not been acquired, so I believe that a decision will ultimately be made while taking this situation into view once such a bill or budget is submitted.

(Abridged)