************************************************************************* Issue 14 [June 2007] OCCI e-Magazine http://www.osaka.cci.or.jp/e/index.html ************************************************************************* [CONTENTS, June 2007] 1. Recent Trends of Business, Outlook for the Kansai Economy --- moderate expansion of business expected to continue 2. European Business Council (EBC) Operating Board Meeting held at OCCI --- with positive look at potentials of Osaka/Kansai, EBC strengthening ties with Osaka 3. OCCI International Division report on VIP visitors ========================================================================= 1. Recent Trends of Business, Outlook for the Kansai Economy --- moderate expansion of business expected to continue According to the latest flash report on the GDP Jan.-Mar.'07 quarter, the economy of Japan continues on its steady track of growth. With above-average increase in domestic leisure trips during the consecutive public holidays (end April to early May) as well as more sales of ladieswear and summerwear etc. at large retail-stores, the household economy seems to be regaining confidence. With favorable progress of exports and plant/equipment investments, the Osaka/ Kansai economy shows good earnings particularly in corporate sector and also steadiness in employment and personal spendings. While the result of a recent OCCI survey over small and medium enterprises (SMEs) shows harsh prospect remaining in some small businesses, on the whole there are upward trends basically with expectations for continued moderate yet steady expansion of business. More precisely, depending on the size or scale of business among companies, there are gaps in the way how tangible the recovery of economy is, and the current situation is not one for all the SMEs to be overall enjoying the merits of such recovery. However, corporate reports on final accounts of Fiscal 2006 (April 2006- March 2007) are generally based on the keynote of recovery from deflation, with increase in both turnover and returns. As regards the monetary policy to be expected, 80 percent of SMEs hold the view (after the Bank of Japan's raising of interest rates in February 2007) that "Great caution should be taken before further raising of interests, with good consideration of SMEs' actual business status". ======================================================================== 2. European Business Council (EBC) Operating Board Meeting held at OCCI --- with positive look at potentials of Osaka/Kansai, EBC strengthening ties with Osaka As a result of the approaches by "Osaka Business and Investment Center" known as 'O-BIC' with its Secretariat based in OCCI, the European Business Council (EBC) held on May 22 its Operating Boarding meeting at OCCI, for the first time in the city of Osaka. EBC in Japan represents chambers of commerce and industry or other Japan-based economic organizations of 18 European countries with its membership of about 3,000 European companies and individuals as members, conducting vigorous activities for the best interest of such European representatives in Japan, in regularly meeting with those of the Ministry of Economy and Industry as well as in making constructive proposals to the authorities. On the visit to OCCI for the Operating Board meeting, 13 Board members with Chairman Mr.Richard Collasse (President, CHANEL K.K. Japan) as the leader exchanged views on various issues with OCCI Vice Chairman Mr. Makoto Kato (Vice Chairman, ITOCHU Corporation), OCCI International Business Committee Chairman Mr. Satoshi Adachi (Corporate Vice President, Marubeni Corporation) and other officials. At the press interview after the meeting with OCCI, Chairman Collasse expressed his views on Osaka emphasizing his impression that the Osaka/Kansai is surely making a smooth recovery and also that its manufacturing industry is particularly strong with a great spirit of innovation. As President of CHANEL K.K. Japan, Mr. Collasse expressed his keen interest in Osaka for its concentration or accumulation of companies manufacturing unique new materials or fibers. He also commented on expansion or renovations at Osaka's department stores one after another as being symbolic of Osaka's motive power toward full revival of economy, as well as on Midosuji, for its scale, beauty and potentials of energy that should be like the Champs-Elyses of Paris. He emphasized his hope that he would like to further strengthen the relations between Osaka and EBC through another meeting like this one next year again * Contact: (Osaka Business and Investment Center) http://o-bic.net/ ========================================================================= 3. OCCI International Division report on VIP visitors * May 22 (Tue) Mr. Richard Collasse, Chairman European Business Council in Japan * May 25 (Fri) Mr. Zhang Zhenchuan, Mayor Jining Municipal People's Government Shandong Province, China * May 25 (Fri) Mr. Rentsendoogiin Jigjid, Ambassador Embassy of Mongolia in Japan * May 29 (Tue) Mr. Lin Ying, Deputy Secretary General The People's Government of Guangdong Province, China * June 7 (Thu) Mr. Qitao Chen, Mayor Anhui Bengbu Municipality People's Government, China * June 12(Tue) Ms. Debora Giorgi, Minister of Production Province of Buenos Aires, Argentina Mr. Daniel Adan Dziewezo Polski, Ambassador Embassy of the Argentine Republic in Japan * June 13(Wed) Mr. LUO Tianguang, Consul General Consulate-General of the People's Republic of China in Osaka ======================================================================