Effects of Non-tariff Barrier Removal between Japan and Southeast Asian Countries on Japan’s Exports and Domestic Production in Agriculture and Food Sectors: Simulation Using a Global CGE Model

Japan’s agricultural policies focus on enhancing exports and domestic production through removal of non-tariff barriers （NTB）. However, few studies have quantitatively evaluated such effects. This study aims to clarify the effect of removing NTB on trade and domestic production in agriculture and food sectors with Southeast Asian countries using a global CGE model and ad valorem equivalent rates （World Bank, 2019）. Based on the simulation results, we show policy implications for the future export promotion of Japan’s agriculture and food products. The characteristics of the analysis are as follows:（1） we focus on Southeast Asian countries, where many Japanese companies are located with relatively little political friction and much room for the spread of Japanese cuisine exists;（2） targeting non-technical factors of NTB other than food quarantine and sanitary inspection, we compare and analyze the effects of the elimination of tariffs and non-tariff barriers, and （3） we conduct a comparative static analysis to compare the effects of trade policy for 2030.