Given that it is closer to South Korea than Tokyo, the Chugoku region is the area to lead Japan's globalization drive in the 21st century, according to officials of the Economy, Trade and Industry Ministry at a business incentive seminar in Tokyo on Wednesday.

The seminar, titled "Accelerated Japanese Reforms and the Greater Benefits of the Chugoku Region," was organized by the ministry's Chugoku Bureau and the region's local governments to promote foreign investment in the region.

Among the nearly 50 guests were representatives of foreign businesses and foreign embassy officials.

Shinji Fukukawa, a guest speaker at the seminar and director of the Dentsu Institute for Human Studies, said that Chugoku has an number of established industries, including heavy and chemical industries, as well as recently emerging information technology and biochemical ventures.

"The Chugoku region hasn't received much foreign investment so far," Fukukawa said. "However, the potential of the Japanese economy is still very high and with Japan carrying out structural reforms at last, now is a good time for investment in Japan and the Chugoku region."

Participants' responses were mixed.

Kim Chong Hyun, general manager of the Tokyo office of the Korea Electric Power Corp., said, "I was impressed with Chugoku's efforts to activate the local economy."

He added that in a time of globalization there may be various business possibilities in the region in the future.

The president of a German machinery manufacturer, with its Japan office based in Tokyo, said it would be a good idea for his company to establish a factory in Chugoku, since many of its customers are in the region. However, a Japanese businessman who helps foreign companies do business in Japan, said that Tokyo is still the largest center of foreign firms in Japan because it has the highest population.