In the deal, top of the list are digital data and financial services. DiT video
Dept of Internationl trade created a bit of a spat. "Following Tuesday’s episode of the Great British BakeOff on Channel 4, which saw contestants take part in “Japan week”, the department tweeted: "The bakers used a lot of soya sauce in the first challenge on #GBBO, so it's a good thing it will be made cheaper thanks to our trade deal with Japan.” In a later tweet DfIT said: "Under WTO terms, the tariff on soya sauce is 6%. Under our deal, they will be 0%."
The trade deal with Japan involves legal limitations on Britain’s use of state aid, an imposition apparently deemed intolerable in the Brexit negotiations.
They forget to mention that under present EU-Japan deal, we get our soya through Netherlands at 0% tariff. Only if we have a no deal, will WTO tariffs kick in, and so be saved that extra tariff.
Japan Deal signed
Scotch Whisky and Stilton cheese are both 'Protected Foods'
Japan
“The Cabinet's high power EU Exit Strategy (XS) committee (preparing for negotiations with EU then Tier One countries - Japan, the US, Australia and New Zealand) met to thrash out tricky details of the negotiations, such as how flexible the UK is prepared to be on agricultural products.” This discussion is massive - bigger then the Corn Laws 175 years ago. Japan will want Fukishima resrictions dropped. The EU imposed food import restrictions on food after the Fukushima nuclear disaster. They eased those import regulations last year, but still insist on inspections and certificates of origin for some Japanese produce, including seafood.
Truss ran into difficulties over the deal with Japan. When it came to Stilton cheese, it started to crumble. Truss wants their tariffs on it removed, but they say they won't make a deal that is more preferential to us, than theirs with EU. So she walked away from talks about the row - worth 0.007% of UK exports to the country. Ms Truss is hoping a symbolic Stilton cheese “win” will show the UK is able to secure a better deal than the one obtained by the EU. Japan have said ‘no’ to removing tariffs on Stilton Cheese .
FT say; "new trade deal commits it to tougher restrictions on state aid than the ones it is currently offering the EU in the Brexit talks, potentially undermining its negotiating position with Brussels."
Under the old EU-Japan deal only 7 of our foods were prtoected in Japan. Now over 70 are.
16 Scottish products are now protected that were not before.
We now need another 60+ deals to protect our foods across the world.There are more generous and easier to access (than EU) quotas to allow malt free of tax into Japan. We are second biggest exporter of malt to Japan
The UK trade agreement with Japan will benefit pork, beef, grain and dairy exports among other areas and has been welcomed by food firms and trade bodies.
There will also be taxes cut on birds’ eggs, raw hides, fur skins and ultra-strong spirits – but UK does not export them anyway
More liberal 'Rules of Origin' mean biscuit manufacturers can import more stuff to include in their biscuits to export to Japan.
Does that mean they will use less UK sourced flour and fat?"Government impact assessment found that of the £15.66bn projected boost to bilateral trade — compared with no trade deal — 83 per cent would go to Japanese exporters." It will boost UK gross domestic product by just 0.07 per cent, a fraction of the trade that could be lost with the EU. For every million UK exporters gain, Japanese gain five.
Ms Truss has so far failed to produce economic modelling to show how the UK-Japan deal is superior to the EU-Japan deal that it replaces