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Viewing cable 06TOKYO1801, JAPANESE MORNING PRESS HIGHLIGHTS 04/05/06

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Reference ID Created Released Classification Origin
06TOKYO1801 2006-04-05 02:39 2011-08-25 00:00 UNCLASSIFIED Embassy Tokyo
VZCZCXRO2400
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #1801/01 0950239
ZNR UUUUU ZZH
P 050239Z APR 06
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 0502
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC//J5//
RHHMUNA/HQ USPACOM HONOLULU HI
RHHMHBA/COMPACFLT PEARL HARBOR HI
RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA//
RHMFIUU/COMUSJAPAN YOKOTA AB JA//J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/COMPATWING ONE KAMI SEYA JA
RUEHNH/AMCONSUL NAHA 8129
RUEHFK/AMCONSUL FUKUOKA 5498
RUEHOK/AMCONSUL OSAKA KOBE 8655
RUEHNAG/AMCONSUL NAGOYA 5499
RUEHKSO/AMCONSUL SAPPORO 6678
RUEHBJ/AMEMBASSY BEIJING 1505
RUEHUL/AMEMBASSY SEOUL 7684
RUCNDT/USMISSION USUN NEW YORK 9624
UNCLAS SECTION 01 OF 12 TOKYO 001801 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST 
DIVISION; TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS 
OFFICE; SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY 
ADVISOR; CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 04/05/06 
 
Index: 
 
1)   Top headlines 
2)   Editorials 
3)   Prime Minister's daily schedule 
 
Political merry-go-round: 
4)   Ozawa, Kan to run in DPJ race 
5)   Prime Minister Koizumi ties Nakasone in longevity 
 
Defense issues: 
6)   3 cabinet ministers meet on USFJ realignment 
7)   Tokyo, Nago still at odds over Futenma relocation plan 
8)   JDA chief, Nago mayor to reach conclusion in next meeting on 
Futenma relocation 
9)   JDA chief says there was progress in talks with Nago mayor 
on Futenma relocation, shortly to meet again 
10)  JDA chief, Nago mayor fail to agree on Futenma relocation 
plan 
11)  Gov't mulls reusing US military sites in Okinawa for IT, 
medicare, healthcare centers 
12)  Reusing US military sites in Okinawa aimed for local 
economic self-sustainability 
13)  53% of Japanese public opposed to sharing US Marine 
relocation cost 
 
Economic agenda: 
14)  Japan to double produce exports, aiming to strengthen 
  international competitiveness: farm strategy paper 
15)  Food safety panel's new lineup may have repercussions on 
Japan's resumption of US beef imports 
16)  Japan steps up ODA projects overseas, with emphasis on Iraq 
aid 
17)  Japan-ASEAN FTA talks to kick off 
18)  METI minister initiates 16-nation economic partnership 
involving East Asia 
19)  But METI's FTA initiative perplexes MOFA, other gov't 
offices 
 
Diplomatic issues: 
20)  Pyongyang's 6-party delegate to visit Japan, possibly 
  meeting with US, South Korean officials 
21)  MOFA to create new office for South Asian affairs, targeting 
India 
22)  MOFA deported Ivory Coast diplomat at persona non grata 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi, Mainichi, and Yomiuri: 
Minshuto presidential race: Ozawa, Kan set to announce 
candidacies today for one-on-one battle 
 
Nihon Keizai: 
Corporations begin improving treatment of part-time workers; 17% 
of part-time workers acquired full-time status in 2005; Training 
allowances also paid 
 
Sankei: 
Thaksin announces resignation to settle chaos 
 
 
TOKYO 00001801  002 OF 012 
 
 
Tokyo Shimbun: 
Foreign Ministry rejects accepting Ivory Coast diplomat, 
suspecting his involvement in gambling 
 
2) EDITORIALS 
 
Asahi: 
(1)  Minshuto presidential race: Candidates must fight fairly and 
squarely 
(2)  Thaksin's resignation: Another election essential 
 
Mainichi: 
(1)  Minshuto presidential race: Reconsider unified approach 
(2)  Thoughts on social divide: Academic polarization must be 
avoided 
 
Yomiuri: 
(1)  Koizumi as third-longest-serving prime minister: Challenges 
remain in social disparity and Asia diplomacy 
(2)  Rebuilding GM: Develop automobiles that can sell 
 
Nihon Keizai: 
(1)  Show effectiveness of municipal mergers to the people 
(2)  Free up high school textbooks first 
 
Sankei: 
(1)  Abe's critical comment: Do not switch contentions 
(2)  Postal Privatization Committee: Downscaling is original 
purpose 
 
Tokyo Shimbun: 
(1)  Heisei era municipal mergers: Calmness essential in Act Two 
(2)  Specific plans essential for Tokyo to host 2016 Olympic 
Games 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, April 4 
 
NIHON KEIZAI (Page 2)  (Full) 
April 5, 2006 
 
08:31 
Attended Cabinet meeting in Diet building. Held talks with 
Agriculture Minister Nakagawa, followed by Deputy Chief Cabinet 
Secretary Futahashi. 
 
SIPDIS 
 
08:58 
Taped message at LDP headquarters for Lower House by-election for 
Chiba No. 7 constituency. 
 
09:16 
Returned to Kantei. 
 
15:30 
Met with Ambassador to Afghanistan Okuda. 
 
16:16 
Met with LDP policy chief Nakagawa and deputy policy chief Amari. 
Met later with Financial Affairs Minister Yosano. 
 
17:31 
 
TOKYO 00001801  003 OF 012 
 
 
Attended meeting of the Food, Agriculture, and Farming Villages 
Promotion Headquarters. 
 
18:39 
Returned to his official residence. 
 
4) Minshuto (Democratic Party of Japan) presidential race likely 
to be a one-on-one contest between Ozawa, Kan 
 
ASAHI (Top play) (Lead paragraph) 
April 5, 2006 
 
Former Minshuto Vice President Ichiro Ozawa, 63, and former 
President Naoto Kan, 59, yesterday made up their minds to come 
forward as candidates for the party presidential election slated 
for April 7. The two will formally announce their candidacies 
today. Attention is now focused on whether the two, after the 
election, can work together to unify the party. Ozawa has a 
presence, while Kan's forte is his aggressiveness. The upcoming 
election is likely to be a one-on-one fight between the leading 
actors of the opposition camp in the political realignment that 
has continued since the beginning of the 1990s. 
 
5) Prime Minister Koizumi marks 1,806 days in office - ties 
Nakasone as Japan's third-longest-serving postwar premier 
 
TOKYO SHIMBUN (Page 2) (Full) 
April 5, 2006 
 
Prime Minister Junichiro Koizumi today will tie Yasuhiro Nakasone 
as the third-longest-serving prime minister in Japan's postwar 
history. He will mark 1,806 days in office since April 26, 2001. 
 
Koizumi told reporters yesterday evening: "An everyday person has 
been doing a job this long because many people have supported and 
offered cooperation. I have been fortunate. I think I have to do 
my best." 
 
Chief Cabinet Secretary Shinzo Abe commented in a press 
conference yesterday afternoon on the long rule of the Koizumi 
government: "I think it's because the government has clear goals 
and has explained them to the public." 
 
Former Prime Minister Eisaku Sato is the longest-serving prime 
minister, serving for 2,798 days, followed by Shigeru Yoshida at 
2,616 days. If Koizumi steps down in September as he has said he 
will, he will have served in the post for about 2,000 days, 
leaving him in the position as the third-longest-serving prime 
minister. 
 
6) 3 cabinet ministers meet on USFJ realignment 
 
SANKEI (Page 5) (Full) 
April 5, 2006 
 
Japan and the United States will hold another session of 
intergovernmental working-level consultations in Washington today 
on the realignment of US forces in Japan, with senior officials 
attending. Ahead of the realignment talks, Foreign Minister Taro 
Aso, Chief Cabinet Secretary Shinzo Abe, and Defense Agency 
Director General Fukushiro Nukaga met in the Diet yesterday. "Our 
two countries will now enter into the final round of talks over 
 
TOKYO 00001801  004 OF 012 
 
 
the pending issues, so it's our understanding that we're also 
watching how the talks will proceed," Nukaga told a press 
conference after the meeting. 
 
7) Gap over Futenma relocation remains wide; Nago mayor, JDA 
director general to meet again shortly 
 
TOKYO SHIMBUN (Page 1) (Full) 
April 5, 2006 
 
Defense Agency (JDA) Director General Fukushiro Nukaga yesterday 
evening met with Nago Mayor Yoshikazu Shimabukuro at the JDA and 
discussed the issue of relocating US forces' Futenma Air Station 
in Ginowan to the coastal part of the US Marine Corps Camp Schwab 
in Nago. Though they failed to reach a consensus, they affirmed 
their intention to meet again shortly. 
 
During the talks, Nukaga sought understanding from Shimabukuro 
for the relocation of Futenma functions to the coast by 
indicating a slight revision to the original plan, including 
moving the planned runway site counterclockwise at an angle of 10 
degrees so that noise pollution in nearby areas can be avoided. 
 
Though Shimabukuro called for moving the site offshore on the 
southern side of Camp Schwab, he indicated understanding for the 
Nukaga proposal to a certain degree. He called on Nukaga to do 
his utmost so that aircraft will not fly over nearby 
municipalities. 
 
Both submitted to interviews to reporters after the meeting. 
Nukaga noted, "We failed to reach a consensus, but our talks have 
made some progress." 
 
The meeting was the first since March 26. Talks had been delayed 
due to such events as the funeral of former Mayor Tateo 
Kishimoto, who passed away suddenly. 
 
8) Futenma relocation: JDA chief, Nago mayor to reach conclusion 
in next round of talks possibly to occur by end of week 
 
NIHON KEIZAI (Page 2) (Slightly abridged) 
April 5, 2006 
 
Defense Agency (JDA) Director-General Fukushiro Nukaga yesterday 
met at the JDA with Mayor Yoshikazu Shimabukuro of Nago City, 
where the US military's Futenma Air Station in Ginowan City, 
Okinawa Prefecture, will be relocated. In the two and a half hour 
meeting, Nukaga explained to the mayor about the government's 
policy that no major changes would be made to the current coastal 
plan for relocating the airfield to a coastal area of Camp Schwab 
but that the communities of such districts as Henoko and Toyohara 
would be excluded from the flight routes of US aircraft. 
Shimabukuro said, "I will consult the people of my city and the 
city assembly about this. 
 
The two officials agreed to reach a conclusion in the next round 
of talks. They will meet again by the end of the week. After the 
meeting, Nukaga told reporters: "It's not that I offered a new 
proposal. Both of us exchanged views freely about a number of 
ideas." Shimabukuro stated: "I have asked the central government 
to give maximum consideration to the wishes of Nago City. I'd 
like to discuss the matter with sincerity." 
 
TOKYO 00001801  005 OF 012 
 
 
 
In facilitating the realignment of US forces in Japan, Japan and 
the United States intended to reach a final agreement at the end 
of March, but because of Tokyo's failure to coordinate views with 
the municipalities affected by the realignment, including Nago 
City, Tokyo and Washington have postponed reaching a final 
agreement. 
 
The concern of Prime Minister Junichiro Koizumi is that a 
significant delay in reaching a final agreement could have a 
harmful effect on Japan's ties with the US, given such pending 
issues as when to resume the imports of US beef. Koizumi has 
instructed Nukaga and other concerned officials to finalize the 
issue by the end of April. If Shimabukuro does not budge from his 
call for major changes, there is a possibility that many in the 
government will insist on going ahead with the relocation plan 
without local consent. 
 
The Liberal Democratic Party's joint research panel on the Japan- 
US alliance and base issues chaired by Taku Yamasaki in its 
meeting yesterday affirmed the policy of not allowing Japan and 
the US to reach a final agreement without local consent. 
 
9) JDA chief on Futenma plan: "There was some progress"; Plans to 
meet Nago mayor again soon 
 
YOMIURI (Page 1) (Slightly abridged) 
April 5, 2006 
 
Defense Agency (JDA) Director General Nukaga held last-minute 
negotiations with Nago City Mayor Yoshikazu Shimabukuro for about 
two and a half hours last night on a plan to build an alternate 
facility in a coastal area of Camp Schwab in Nago City, Okinawa, 
to relocate the US Marine Corps' Futenma Air Station in Ginowan 
City. 
 
Nukaga and Shimabukuro appeared in a joint news conference after 
their meeting. Nukaga said: "There was some progress," adding 
that he would like to reach a conclusion with Shimabukuro in 
their next meeting soon. Nukaga, though, declined to comment on 
the details of their talks. Shimabukuro said: "I would like to 
continue to discuss the issue with sincerity." 
 
In the talks held so far, the government proposed minor 
revisions, including changing the runway direction by about 10 
degrees counterclockwise so that the envisioned flight path will 
not pass over residential areas. But Nago City's demand was that 
the runway be largely moved offshore. As it stands, both sides 
remain divided. In the joint press conference, Shimabukuro 
reiterated his standard position. 
 
In the talks last night, Nukaga and Shimabukuro reportedly 
exchanged views in line with these agreements reached in their 
previous meeting on March 26: (1) The JDA will use the government 
plan as a basis and give consideration to safety, environmental 
protection, and feasibility; and (2) Nago City demands that the 
envisioned flight path not go over the Henoko, Toyohara, and Abu 
districts. 
 
The JDA expects it would be possible to meet Nago City's demand 
by moving the runway 280 meters further offshore and changing the 
runway direction counterclockwise. However, when Japan and the US 
 
TOKYO 00001801  006 OF 012 
 
 
reached an agreement last October, Tokyo rejected the US proposal 
to move the runway 200 meters further offshore than in the 
coastal plan. Given this, observers anticipate that the 
government will find it difficult to accept the Nago demand. 
 
10) Defense chief, Nago mayor fail to reach agreement on Futenma 
relocation 
 
ASAHI (Page 2) (Abridged) 
April 5, 2006 
 
Defense Agency Director General Nukaga and Nago Mayor Yoshikazu 
Shimabukuro from Okinawa Prefecture met at the Defense Agency 
yesterday evening for about two and a half hours over the pending 
issue of relocating the US Marine Corps' Futenma Air Station in 
the city of Ginowan in the island prefecture to the city of Nago. 
The two agreed to reach a conclusion in their next meeting. 
 
"We've yet to reach an agreement," Nukaga said after the meeting. 
However, the defense chief also said there was "progress to a 
certain extent," adding: "We will meet in the near future and 
will make efforts to reach a conclusion." Shimabukuro also said 
he would like to talk sincerely with the government. Their next 
meeting will be coordinated from now on. 
 
11) Government plans to turn vacated US military bases in Okinawa 
into special medical and IT zones 
 
MAINICHI (Page 1) (Abridged) 
April 5, 2006 
 
The government outlined a plan yesterday for reusing vacated US 
military bases in Okinawa, such as Futenma Air Station in Ginowan 
and Makiminato Service Area in Urasoe, which are scheduled to be 
returned to Japan as part of the planned realignment of US forces 
in Japan. The government plans to designate those areas as 
"information and telecommunications" and "medical and health" 
special zones by giving tax breaks to entice IT-related 
corporations and cutting-edge clinical research institutions. The 
government also intends to avoid economic losses by leasing land 
to a third party to manage and operate such businesses. To flesh 
out the plan, the government established in the Cabinet Office a 
panel to study the information and telecommunication industry. 
 
The US military is expected to return over 1,000 hectares of land 
in Okinawa to Japan. This would help reduce the burden on 
Okinawa. It has also sparked concern over a loss of base 
subsidies, jobs, and base rent that would dampen the local 
economy. 
 
The envisaged information and telecommunications special zone is 
designed to create a base for local corporations to jointly 
develop software based on orders from firms outside Okinawa. 
Equipped with a software-testing center, the special zone will 
also function as a backup center to protect the information 
systems of national institutions and private corporations against 
major natural disasters. 
 
In the medical and health zone, the government plans to build 
highly specialized hospitals, such as those handling heart 
transplants, to conduct clinical research. The government also 
envisages attracting medical institutions, nursing-care 
 
TOKYO 00001801  007 OF 012 
 
 
facilities, and firms that will develop and produce health foods 
by using products unique to Okinawa. 
 
In terms of taxes, the government aims to apply a 35% income 
credit to firms, including branch offices of corporations based 
outside Okinawa, to entice firms from mainland Japan. Also 
planned is the improvement of infrastructure, such expanding the 
capacity of high-speed fiber-optic networks connecting Okinawa 
and mainland Japan. A tie-up with the planned Okinawa Science and 
Technology University Graduate School in Onna Village will also 
be studied. 
 
At the same time, landowners are expected to lose base rent, 
which would damage the local economy. To make up the anticipated 
losses in income, the government is also considering developing a 
third sector to continue to lease returned land to local firms. 
12) Government produces reutilization plan to help Okinawa 
economy become independent of US bases; Local communities may 
react negatively 
 
MAINICHI (Page 5) (Abridged) 
April 5, 2006 
 
Commentary 
 
Once US bases in Okinawa are returned to Japan as part of the 
realignment of US forces, the government intends to make them 
into "information" and "medical" special zones to attract 
promising firms to help the Okinawa economy become free of 
dependence on the US bases. At the same time, the planned return 
of US bases might dampen the local economy. The government plans 
to obtain local understanding of the Futenma relocation plan by 
presenting the base reutilization plan and the US base 
realignment issue as a set. 
 
Okinawa's unemployment is the worst in the nation at 7.6%, as 
opposed to the national average of 4.7%. The average per capita 
income is 2.04 million yen, which is about 70% of the national 
average. The government has been paying 76.6 billion yen annually 
to some 33,000 people leasing land to the US military. The labor 
cost for base employees comes to 46.1 billion yen annually. This 
clearly demonstrates that US bases are supporting the local 
economy. 
 
As a means of revitalizing the Okinawa economy, some in the 
Liberal Democratic Party are calling for large-scale public works 
projects, such as roads and railways. But a government official 
indicated that they would not produce any industries in the 
future. 
 
The government has been planning a system to: (1) revitalize the 
private sector; (2) create jobs; and (3) maintain the framework 
to continue to provide landowners with rent. The government 
intends to flesh out the plan while watching local opinion 
closely so as not to be criticized as forcing its revitalization 
plan on Okinawa. 
 
13) Poll: 53% oppose Japan's paying for US Marines relocation to 
Guam 
 
MAINICHI (Page 3) (Excerpts) 
April 5, 2006 
 
TOKYO 00001801  008 OF 012 
 
 
 
The Mainichi Shimbun conducted a nationwide opinion poll April 1- 
2 on a plan for Japan to pay for the relocation of US Marines 
from Okinawa to Guam. The survey found that 53% opposed the plan, 
while 38% said that Japan had no choice but to shoulder the cost. 
The United States has called on Japan to pay 7.5 billion dollars 
(about 880 billion yen), but Tokyo has responded that that it 
will be able to lend 25 billion dollars (about 300 billion yen). 
Coordination has thus been difficult. The results of the survey 
showed that many Japanese people were uncomfortable with the idea 
of Japan paying for US military facilities in the United States. 
 
The poll also showed that 68% said that it was meaningful that 
Iwakuni City had conducted a referendum on the relocation of a 
carrier air wing to the US Iwakuni Base, while only 20% agreed 
with the government and ruling coalition view that the referendum 
was not appropriate, as the issue is connected to foreign and 
security policy. 
 
14) New Agricultural Policy 2006 aims to double total amount of 
agricultural exports; Strengthening international competitiveness 
eyed 
 
YOMIURI (Page 2) (Full) 
April 5, 2006 
 
The government's Food, Agriculture, and Agricultural Village 
Policy Promotion Headquarters, chaired by Prime Minister Koizumi, 
yesterday adopted the 21st Century New Agricultural Policy 2006, 
an initiative that aims to shift the nation's agricultural policy 
from its current import-centered stance by strengthening the 
international competitiveness of its agricultural and marine 
products. The initiative mentions numerical targets, including 
that the total amount of exports of agricultural, fisheries, and 
forestry products should be doubled to 600 billion yen by 2009. 
 
With the aim of doubling such exports, the report noted the need 
to set up a system of assistance for sales promotion activities, 
citing specific export target items. Another target included in 
the report is raising the sales of overseas affiliated companies 
of the food service industry operating in East Asia, such as 
China and South Korea, to around 110 to 125 billion dollars, up 
30% -40% from the current level. 
 
The initiative also aims to promote the development of new food 
products that use Japan's highly developed technology, such as 
rice that is effective in easing the symptoms of pollen allergy, 
and expand the market for such products to the size of 
approximately 70 billion yen by fiscal 2010. 
 
The report also noted that it is necessary to improve the quality 
of the domestic agricultural environment, including the nurturing 
of new farming personnel and the consolidation of farmland and 
irrigation systems. To that end, the report proposed supporting 
agricultural training for "freeters" (job-hopping part-time 
workers), thereby securing 12,000 young new farmers a year. 
 
The New Agricultural Policy 2006 was mapped out based on the 
Basic Food, Agriculture, and Agricultural Village Program, 
adopted by the cabinet in March 2005. 
 
15) FSC experts quit; Discussion on conditions for resuming US 
 
TOKYO 00001801  009 OF 012 
 
 
beef imports likely to be affected 
 
NIHON KEIZAI (Page 5) (Full) 
April 5, 2006 
 
The Food Safety Commission's (FSC) Prion Expert Council has 
played a major role in setting conditions for the resumption of 
US beef imports. Half of the members of the panel, mainly those 
who had been wary of resuming imports, quit at the end of March. 
Since the government has no intention of altering conditions for 
imports of US beef, which are now under suspension for the second 
time, their resignation will not affect bilateral beef talks for 
the time being. However, Washington is bound to call for easing 
the import condition that only cows up to 20 months of age are 
eligible for export, once the beef trade is reinstated. The 
resignation of the members, who had been cautious about resuming 
US beef imports, could affect future discussion of such terms. 
 
Six members, including Acting Chairman Kiyotoshi Kaneko, a 
professor at Tokyo Medical College, and Morikazu Shinagawa, 
former executive of the Prion Research Center at the Animal 
Hygiene Research Center, resigned. Their posts have been filled 
by newly-appointed experts. Shinagawa and other members who quit 
had reportedly been dissatisfied with the way discussions have 
been pursued. 
 
16) ODA loans substantially increase last year 
 
NIHON KEIZAI (Page 5) (Full) 
April 5, 2006 
 
The Organization for Economic Cooperation and Development (OECD) 
yesterday released the results of official development assistance 
(ODA) in 2005. The statistics showed that the amount of ODA loans 
Japan extended last year substantially increased to 13.1 billion 
dollars (approximately 1.44 trillion yen), up 46.8% from the 
preceding year. 
 
17) FTA talks with ASEAN to start on April 10 
 
NIHON KEIZAI (Page 5) (Full) 
April 5, 2006 
 
The Foreign Ministry announced yesterday that Japan would start 
talks on concluding a free trade agreement (FTA) with the 
Association of Southeast Asian Nations (ASEAN) in Tokyo on April 
10-12. The talks will be held for the first time since August 
ΒΆ2005. 
 
18) METI minister proposes East Asia EPA concept involving 16 
countries 
 
MAINICHI (Page 9) (Excerpts) 
April 5, 2006 
 
Minister of Economy, Trade, and Industry Toshihiro Nikai 
yesterday announced the concept of an East Asia economic 
partnership agreement (EPA). 
 
The concept involves 16 countries, including Japan, China, South 
Korea, India, the Association of Southeast Asian Nations, 
Australia, and New Zealand. METI aims to start negotiations in 
 
TOKYO 00001801  010 OF 012 
 
 
2008 and conclude an EPA in 2010. The concept will be included in 
the government's 10-year trade strategy. 
 
An EPA - a broader economic accord than a free trade agreement 
(FTA), which focuses mainly on tariff reductions - also includes 
investment and exchanges of personnel. Japan has signed FTAs with 
Singapore and Malaysia. It has also reached a basic agreement 
with Thailand and the Philippines. 
 
19) Government officials perplexed at METI plan for broad FTA in 
East Asia, focusing on consistency with bilateral FTA talks 
 
NIHON KEIZAI (Page 5) (Slightly abridged) 
April 5, 2006 
 
Some government officials have been perplexed with the idea put 
forward by the Ministry of Economy, Trade, and Industry (METI) 
for a comprehensive free trade agreement (FTA) to be concluded in 
the East Asia region. Under the proposal, Japan would start 
negotiations with six economies in 2008, including the 
Association of Southeast Asian Nations (ASEAN) and China. By 
concluding such an accord, METI aims to realize a broad economic 
partnership in the region instead of bilateral partnerships. But 
other government agencies, including the Foreign Ministry, have 
posed questions about consistency with bilateral FTA talks Japan 
has so far sought. 
 
In its concept, METI proposes that common rules be set in such 
sectors as investment, services, and intellectual property in the 
region, in addition to liberalization in the trade in products. 
Japan has fallen behind in the FTA race in the region, with China 
and South Korea taking increasingly to bilateral and regional 
FTAs. Given this, METI also aims to regain the lead in the race. 
 
The concept, however, does not refer to such thorny issues as 
agriculture and foreign workers. A government official was 
overheard saying: "The plan offers few benefits for other 
countries, so it is uncertain whether each nation will positively 
respond to the plan." 
 
20) North Korean official for six-party talks to arrive in Japan 
on April 7, likely to meet with high-level ROK, US officials 
 
SANKEI (Page 2) (Excerpts) 
April 5, 2006 
 
The North Korean Foreign Ministry's US Affairs Bureau Deputy 
Director Jong Thae Yang, who led the North Korean delegation as 
deputy chief to the six-party talks, will visit Japan and attend 
an academic symposium that will take place in Tokyo, several 
government sources revealed. The symposium will bring together 
officials for the six-party talks from South Korea and the United 
States as well. Given that the conference is sponsored by the 
Japan Center for International Exchange (JCIE), to which former 
Deputy Foreign Minister Hitoshi Tanaka belongs, who orchestrated 
the landmark Japan-North Korea summit meeting, it seems likely 
that there will be informal contacts between the North Korean 
official and other countries' officials, including those from the 
US. 
 
Jong, who is in charge of security issues, including nuclear and 
missile programs, will arrive in Japan on April 7 together with 
 
TOKYO 00001801  011 OF 012 
 
 
three other officials. He is scheduled to attend an academic 
conference on security affairs in Northeast Asia April 9-11 and 
return home on April 14. 
 
The symposium is expected to be attended by the South Korean 
Foreign Affairs & Trade Ministry Foreign Policy Office Chief Chon 
Yong U, who is the ROK representative to the six-party talks. 
Participation in the symposium by either US Assistant Secretary 
of State Hill for East Asia and the Pacific or Deputy Assistant 
Secretary of State Stevens is being considered. 
 
SIPDIS 
 
With no prospect for the resumption of the six-party talks in 
sight, many observers believe that behind the symposium, there 
will be contacts between the US and North Korea and between the 
US and South Korea. Attention is now focused on a response by the 
North Korean side. 
 
21) Foreign Ministry to establish a South Asia Department, 
attaching importance to India and checking China 
 
SANKEI (Page 2) (Excerpts) 
April 5, 2006 
 
The Ministry of Foreign Affairs has decided to set up a South 
Asia Department, which would be in charge of countries including 
India and the Association of Southeast Asian Nations (ASEAN). The 
ministry will clarify its policy stance of placing importance on 
India, which has gained political and economic presence. It also 
aims to check China, which has strengthened its influence in 
Asia. 
 
At present, the First Southeast Asia Division, the Second 
Southeast Asia Division, and the Southwest Asia Division of the 
Asia and Oceanian Affairs Bureau are in charge of Southwest Asian 
countries, including India and Pakistan, and ASEAN. The planned 
South Asia Department will then be responsible for Southwest Asia 
and ASEAN. A bureau-director-level official will head the 
department. 
 
The ministry will establish the department after the ongoing Diet 
session is over. It will consider whether to place the First 
Southeast Division, the Second Southeast Asia Division, and the 
Southwest Asia Division under the South Asia Department or to 
reorganize the three divisions. 
 
The government has strengthened relations with India in an 
attempt to secure sea-lanes to the Middle East, on which Japan 
depends for about 90% of its crude oil imports. Specifically, the 
government has deepened security dialogue and exchanges between 
defense officials. It has decided to start negotiations on an 
Economic Partnership Agreement in order to promote trade and 
investment, probably this summer. 
 
22) Foreign Ministry refuses to accept Cote d'Ivore's diplomat on 
suspicion of involving in gambling 
 
TOKYO SHIMBUN (Top Play) (Lead Paragraph) 
April 5, 2006 
 
The Ministry of Foreign Affairs gave the Embassy of the Republic 
of Cote d'Ivore in Shibuya Ward, Tokyo, formal notice that it 
would refuse to accept its diplomat because of allegations that 
 
TOKYO 00001801  012 OF 012 
 
 
the diplomat involved in baccarat gambling last October by 
leasing a room in a building he had rented on his own, but the 
Tokyo Metropolitan Police were unable to investigate because of 
his diplomatic immunity, although the police were aware of the 
gambling, it was learned yesterday. The diplomat returned to his 
country immediately before receiving the notification. 
 
SCHIEFFER