2. Increased Competitiveness in the Market due to the Abolition of Regulations Governing Supply and Demand.
The advancement of various modes of transport and the remarkable increase in the use of private motor vehicles has resulted in regulations that were originally designed to facilitate a stable supply of transport services by stable operators losing their regulatory significance. Recently, in addition to the crucial problem of regulations impeding competitiveness, another negative aspect of that regulatory system to draw attention is that of maintaining unprofitable lines through internal subsidies.

Under these circumstances, reform is underway to abolish the regulation of supply and demand in the transport sector. Competition amongst transport operators will ideally lead to the provision of a range of transport services designed to meet the needs of the market, and at the same time increased efficiency will be required of operators. The authorities are aware that they will have to deal with issues unaffected by market principles alone and recognize the necessity to provide information and services related to observations of the market in order to achieve fair competition and protect the rights of the consumer. Moreover, creating motivating condition is necessary to lead the operators to develop innovative transport businesses.

An Overview of the System Changes Accompanying the Abolition of Regulations on Supply and Demand in each Sector of the Transport Industry

Note: Approximately 95% of imported cargo is handled in the nine major ports.

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