Under these protection policies, the Japanese Zaibatsu (company syndicate) began investing in the sugar manufacturing industry and setting up sugar manufacturing factories, which situation was a blow to the traditional sugar manufacturing in Taiwan and suppressed the income of the sugarcane farmers.
このような保護政策の下、日本の財閥も台湾糖業への投資を行い製糖が次々に設立され、台湾の伝統的な糖業は大きな打撃を受け、また甘蔗農家の収入が抑圧される事態が続いた。