IWATE PREFECTURE Latest Update: August 2013

www.EUbusinessinJapan.eu IWATE PREFECTURE Latest update: August 2013

Iwate’s prefecture Flag

Main City: Morioka Population: 1,295,000 people, ranking 32/47 prefecture (2013) [1] Area: 15,278 km2[2]

Geographical / Landscape description Iwate Prefecture is the second largest prefecture of Japan after Hokkaido and has the lowest population density of any prefecture outside Hokkaido. The prefecture has a mountainous landscape with peaks as high as 2,000m. [2]

Climate Cold and snowy winters (some areas can record temperatures as low as -15°C) while a summer Foehn effect provides warm temperatures during summer. [2]

Time zone GMT +7 in summer (+8 in winter)

International dialling code: 0081

Recent history, culture In 2009, the UNESCO officially elected the Hayachine Kagura as a Masterpiece of the Oral and Intangible Heritage of Humanity. Originating in Iwate, the Hayachine Kagura is a traditional theatrical dance involving masked dancers accompanied by drum, cymbals and flute. The origin of the dance is linked to the Shinto religion and aimed to honour the gods. Kagura literally means “god-entertainment”. [3]

Economic overview Hit by the 2011 earthquake and tsunami, the prefectural government launched a plan for reconstruction and is promoting the establishment of new industries locally. Located in the basin around the Kitakami River is a concentration of technologically advanced companies. The area is called “Japan’s silicon valley”. [4][5]

Economic Indicators Iwate Prefecture All Japan Population (2013) [1] 1,295,000 127,350,000 Unemployment rate (2012) [6] 3.9% 4.3% GDP (2010) [7] 0.8% of Japan’s 495 Trillion Yen

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Infrastructure

Road/railways The prefecture’s main artery is the Tohoku Judan Expressway that runs through the middle of the prefecture from north to south. The Tohoku Shinkansen (bullet train) line puts Morioka at only 2h30 from Tokyo. [8]

Shipping There are four main ports: Kuji, Miyako, Kamaishi, and Ofunato. [8]

Civil Aviation The Iwate-Hanamaki Airport has regular domestic flights to major cities in the south of Japan, to Hokkaido, and also a seasonal international flight to Taiwan. [9]

Living Environment Thanks to its rich nature (winter sports are really popular in the area) and local culture Iwate offers a living environment where business and private life is pleasant.

Major types of economic activities

Agriculture, natural resources Important agricultural production, the prefecture is well known for the production of Wakame: an edible seaweed.[2]

Manufacturing Major automotive and semiconductor manufacturing companies have established their plants in the prefecture creating a concentration of companies operating in the 2 sectors. As a complement to the manufacturing companies, IT industries focused on embedded systems technology also established themselves in the prefecture to provide automotive and semiconductor manufacturers with ad hoc services. In 2011, the manufacturing industry's shipment value was principally composed of transport machinery (20.4%), food and related products (13.5%), and electronic components (12.6%).[10][11]

R&D, Innovation, Scientific research Various cluster-like organisations have been established in the prefecture to support R&D and the innovation of the manufacturing sector. For example, Tohoku Monozukuri Corridor, Iwate Embedded System Consortium and the Iwate Semiconductor and Electronics Industries Promotion Conference. [10]

Opportunities for EU Investors / Exporters / Importers

Promising sectors for cooperation Long-established industries: food and beverages, agricultural and marine products, automotive industries, transportation machinery, electronic parts and devices, semiconductors, ICT, pharmaceutical industries. Emerging industries: renewable and clean energy industries. [5][10]

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Financial/logistic support *Subsidies and loans: -Subsidies depending on the size of the investment and the number of newly hired employees -Business promotion loans for new or expanded plants -Low-interest financing *Tax relief measures: -Deduction or exemption from certain prefectural taxes -Differential taxation -Tax exemption when establishing a new research facility -Additional tax relief measures for investments in the "Special Zone for Reconstruction" *Promotion of renewable energy and smart communities (a feed-in tariff system for the renewable energy industry)

More information: http://www.pref.iwate.jp/~ritti/english/english%20home.html

Setting up a business in Iwate Corporate Development Promotion Division Iwate Prefectural Government 10-1 Uchimaru, Morioka 020-8570 Tel.: +81(0)19-629-5565 Fax: +81(0)19-629-5569 E-mail : [email protected]

Other contacts:

Iwate Prefecture http://www.pref.iwate.jp/ Iwate Embedded System Consortium http://www5.pref.iwate.jp/~hp0405/iesc/ Iwate Semiconductor and Electronics Industries Promotion Conference http://www5.pref.iwate.jp/~hp0405/i-sep/ Tohoku Monozukuri Corridor http://san-cluster.icr-eq.co.jp/ Iwate Prefecture Tourism Portal Site http://www.japan-iwate.info/

Sources and footnotes

[1] http://www.stat.go.jp/data/jinsui/2.htm [2] http://en.wikipedia.org/wiki/Iwate_prefecture [3] http://www.japan-iwate.info/app/location_detail.php?lid=48 [4] http://www.pref.iwate.jp [5] http://www.jetro.go.jp/en/invest/region/iwate/ [6] http://www.stat.go.jp/data/roudou/pref/index.htm [7] http://www.esri.cao.go.jp/jp/sna/sonota/kenmin/kenmin_top.html [8] http://www.jetro.go.jp/en/invest/region/iwate/infra.html [9] http://www.hna-terminal.co.jp/ [10] http://www.jetro.go.jp/en/invest/region/iwate/icinfo.html [11] http://www.stat.go.jp/data/e-census/2012/sokuho/gaiyo.htm

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Mount Iwate

Japanese garden in Morioka City

Pictures copyright: Wikipedia under the GNU Free Documentation License

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