Market Information   >   Food News Clipping

Food News Clipping

March 25, 2011

2011.03.25

FAS/Seoul Monitoring of Media Reporting on Agricultural Issues
Today's Date:   March Friday 25, 2011
For Coverage:  March 24 - 25, 2011
 
 
1. BILATERAL/MULTILATERAL ISSUES

 

Seoul examines benefits of FTA with China: trade minister [English, CSY]

http://english.yonhapnews.co.kr/business/2011/03/24/0502000000AEN20110324003200320.HTML

Summary: South Korea's top trade official said Thursday that the government is carefully looking into the impact of a free trade deal with China on Asia's fourth-largest economy as there are divided views on benefits.  "We are cautiously examining the impact of a free trade deal with China on our economy," South Korean Trade Minister Kim Jong-hoon said in a meeting with business leaders.

 
2. ECONOMIC ISSUES
 

S. Korean seaports' cargo handling jumps over 7 pct in Feb. [English, OYS]

http://english.yonhapnews.co.kr/news/2011/03/25/0200000000AEN20110325002300320.HTML

Full text: SEOUL, March 25 (Yonhap) -- The volume of cargo handled at South Korea's seaports jumped over 7 percent in February from a year earlier amid recovering economic conditions, the transportation ministry said Friday.

South Korea's seaports handled a total of 93.49 million tons of cargo last month, up 7.4 percent from the same month a year earlier, the Ministry of Land, Transport and Maritime Affairs said in a report.

  

S. Korean consumer sentiment hits 23-month low in March [English, OYS]

http://english.yonhapnews.co.kr/news/2011/03/25/0200000000AEN20110325001000320.HTML

Full text: SEOUL, March 25 (Yonhap) -- South Korea's consumer confidence plunged to the lowest level in 23 months in March on growing jitters over consumer price growth and political unrest in Libya, the central bank said Friday.
The consumer sentiment index (CSI) -- a gauge of consumers' overall economic outlook, current living conditions and future spending -- came in at 98 for March, down from 105 in the previous month, the Bank of Korea (BOK) said in a monthly report.

  

3. LIVESTOCK ISSUES
 

U.S. to push for full market access for beef imports [English, CSY]

Analysts say the U.S. goal is both opening the market and tying the issue to KORUS FTA ratification

http://english.hani.co.kr/arti/english_edition/e_business/469689.html

Summary: It has been confirmed that the United States has established concrete plans for the full opening of the South Korean beef market to be submitted to the South Korean government ahead of ratification of the South Korea-United States Free Trade Agreement (KORUS FTA).  A report released on Mar. 3 by the U.S. Congressional Research Service, titled ¡°U.S.-South Korea Beef Dispute: Issues and Status,¡± states that ¡°Administration officials have stated that their objective is ¡®to eventually secure full market access for U.S. beef¡¯. . ..[but] the Administration may not require achieving this objective before the KORUS FTA is sent to Congress, and instead may seek to secure commitments from South Korea to move in steps toward that goal.¡± 

 

With FMD over, new precautions unveiled by gov¡¯t  [English, CSY]

Officials admit they botched their responses after earliest outbreaks

http://joongangdaily.joins.com/article/view.asp?aid=2933937

Summary: Declaring that the nation¡¯s worst foot-and-mouth outbreak was over, the government yesterday announced a new measure to tighten its oversight of the livestock industry, requiring farmers to apply for permits to operate cattle and pig farms starting next year.  The government has lowered the alert level for the disease, Kim said, adding that authorities are now able to control the situation. Starting next year, only farmers who have proper facilities and who have completed education programs on epizootic preventive measures will be given permits to operate cattle and pig farms. The government said the permit system will be adopted for large-scale farmers, while small-scale farmers will need to register with their local authorities, detailing their farming of chickens, ducks, cattle and pigs. The government said more details on the permit system, including who will be considered large-scale farmers, will be determined by the end of next month.   Under the new plan, the government will also hold farmers accountable for outbreaks after conducting probes on their fulfillment of prevention efforts. A new standard of compensation will also be used to take into account the outbreak time, period and scope of loss, rather than paying uniform compensation based on the number of culled animals.

 

S. Korea lowers foot-and-mouth alert level [English, CSY]

http://english.yonhapnews.co.kr/business/2011/03/24/35/0501000000AEN20110324009500320F.HTML

Summary: South Korea downgraded its foot-and-mouth disease (FMD) alert one notch from its highest level on Thursday as no fresh cases of the animal disease have been reported in a month.  The country has been fighting the nationwide spread of the livestock epidemic since the first case was confirmed on Nov. 29. It has confirmed 150 cases of the disease nationwide and culled more than 3.47 million cows, pigs and other animals, suffering about 3 trillion won (US$2.6 billion) in damage. Furthermore, concerns over contamination from burial sites are growing.

 

U.S. to push for full market access for beef imports[English, OYS]

Analysts say the U.S. goal is both opening the market and tying the issue to KORUS FTA ratification

http://english.hani.co.kr/arti/english_edition/e_business/469689.html

 

Full text: It has been confirmed that the United States has established concrete plans for the full opening of the South Korean beef market to be submitted to the South Korean government ahead of ratification of the South Korea-United States Free Trade Agreement (KORUS FTA).

A report released on Mar. 3 by the U.S. Congressional Research Service, titled ¡°U.S.-South Korea Beef Dispute: Issues and Status,¡± states that ¡°Administration officials have stated that their objective is ¡®to eventually secure full market access for U.S. beef¡¯. . ..[but] the Administration may not require achieving this objective before the KORUS FTA is sent to Congress, and instead may seek to secure commitments from South Korea to move in steps toward that goal.¡±

During President Lee Myung-bak¡¯s first official visit to the United States in April 2008, Seoul agreed to grant full permission for the importation of U.S. beef and abandon sovereignty on quarantine measures, and U.S beef importation hygiene conditions reflecting this were adopted in a notification by the Minister for Food, Agriculture, Forestry and Fisheries.
 

 

The U.S. Congressional Research Service report entitled ¡°U.S.-South Korea Beef Dispute: Issues and Status,¡± released Mar. 3.

 

ROKG releases plan for improving livestock industry and animal diseases control  [Korean: BYK]

http://www.ajnews.co.kr/view.jsp?newsId=20110324000294

Summary: The Korean government announced its plan to improve the Korean livestock industry and control measures for animal diseases.  The so-called ceiling of total number of animals to be raised at each province was dropped from this plan.  Also, the large livestock farms will be able to conduct business on a permit basis.  Livestock movement will be immediately restricted when a major diseases outbreak is detected, such as FMD.

  

4. MARKETING ISSUES
 

Korea strives for agricultural security [English, CSY]

http://www.koreaherald.com/business/Detail.jsp?newsMLId=20110324000671

Summary: Alarmed over a surge in global food inflation, Korea is ratcheting up its efforts to safeguard against price volatility and secure a stable supply.  The government and companies are joining hands to expand the country¡¯s overseas farming bases, establish a direct import channel and modernize agricultural production and distribution.  Fear about a food crisis has gripped the world in recent years as exploding demand, bad weather and speculative commodity investments combined to lift grain prices.   Among the countries hit was Korea, one of the world¡¯s largest importers of agricultural produce. The country¡¯s food supply has been further dampened by its worst outbreak of foot-and-mouth disease.
 

Farm trading scheme
The state-run Korea Agro-Fisheries Trade Corp. (aT) is set to open an agricultural trading firm in Chicago on March 31 in cooperation with Samsung C&T, CJ CheilJedang Corp., STX Corp. and Hanjin Transportation Co., Ltd.  The establishment, expected in May, has been pushed forward amid global instability and mounting public anxiety over inflation.  Under the public-private partnership, aT plans to invest 20 billion won ($17.8 million) and the four firms together will pump 25 billion won into the project this year, officials said.  The project is aimed at supplying up to 30 percent of Korea¡¯s grain needs, or 4 million tons, by gradually raising the amount of dealings over a 10-year period through 2020.  The total budget is estimated at about 240 billion won, of which 95 billion won will come from aT.  The operators plan to import 5 million tons of corn and soybeans each and purchase a grain elevator at a U.S. production site this year.
 

5. NORTH KOREA ISSUES

 

South Koreans to Give Rice to North Koreans Very Soon; US determined to give rice without regard to the North's apologies [English, CSY]

http://english.khan.co.kr/khan_art_view.html?artid=201103231300267&code=710100

Summary: South Koreans to Give Rice to North Koreans Very Soon; US determined to give rice without regard to North's apologies and expressions of intention to denuclearize.  The South Korean government decided upon a policy of providing food to North Koreans regardless of their apologies for sinking the Cheonan battleship, the shelling of Yeongpyeongdo, and their expression of intentions to de-nuclearize, in case the US government determines to give food to the North after the announcement of the on-site survey about food situation in North Korea, which is to be made by the World Food Program (WFP), it was learned.  This seems to be based on a judgement that the Lee government cannot oppose or sit idly to see America's assistance of food to the North any more, given that the US assistance to the North stands to be set as an established fact.

 

WFP officials to visit S. Korea amid report of dire food situation in N. Korea[English, OYS]
http://english.yonhapnews.co.kr/news/2011/03/25/0200000000AEN20110325004300315.HTML

Full text: SEOUL, March 25 (Yonhap) -- A team of U.N. food agency officials, including one who recently traveled to North Korea, will visit South Korea next week, a government source said Friday, amid signs that the international community may be moving to resume food aid to the communist state.

The trip by World Food Program (WFP) officials in charge of donor relations will begin on Monday and last through Thursday as they meet with foreign and unification ministry officials here, the source said, speaking on the condition of anonymity citing policy.

 
6. OTHER MISCELLANEOUS ISSUES
 

S. Korea to send food supplies to victims of Japan quake [English, CSY]

http://english.yonhapnews.co.kr/national/2011/03/24/69/0301000000AEN20110324011300315F.HTML

Full text: South Korea is considering sending food aid to victims of Japan's earthquake and tsunami to help ongoing relief efforts there, a foreign ministry official said Thursday.    "(We) plan to send about 100,000 packets each of instant noodles and snacks on a civilian plane around Sunday," the official said, adding that the supplies will likely be sent to one of the quake-hit prefectures of Miyagi and Iwate.   The supplies were put together from donations to the Korean Red Cross by leading food companies Nongshim, Lotte and Haitai, the official said.  South Korea may also send more mineral water and instant rice, if delivery is possible, in addition to the 100 tons of mineral water and 6,000 blankets it sent to Japan last weekend, he said.

 

Korean food shows potential to globalize in Australia [English, OYS]

http://english.yonhapnews.co.kr/news/2011/03/16/0200000000AEN20110316007000315.HTML

Full text: MELBOURNE, Australia, March 25 (Yonhap) -- Early in 2010, members of South Korea's MBC-TV reality show "Infinite Challenge" put a full-page advertisement for bibimbap in the New York Times. Later that same year, they produced a video advertisement for the same Korean dish that was shown every 30 minutes in New York's Times Square for 36 days.

These fairly aggressive marketing tactics are just two examples of efforts to globalize Korean cuisine and, by proxy, Korean culture. But can Korean food ever be a global hit in the same way that Japanese or Thai food is?
According to figures released by the Korean food service industry in 2008, there were just 50 Korean restaurants in Australia and New Zealand. Admittedly, the figures did not take into account Korean restaurants that were owned by overseas Koreans, but there is no doubt this figure has risen significantly from then to now.

 

Spring chickens [English, OYS]

http://joongangdaily.joins.com/article/view.asp?aid=2933918

Summary: Customers queue up at a Homeplus in Suwon, Gyeonggi, yesterday for discounted whole chickens. Homeplus started selling the chickens at 1,000 won ($0.89) each to celebrate its 12th anniversary. [NEWSIS]
 

 

Unnecessary panic [English, OYS]

http://joongangdaily.joins.com/article/view.asp?aid=2933870

Summary: Shoppers, including Japanese tourists, crowd an aisle stocked with seaweed at Lotte Mart¡¯s Seoul Station branch yesterday. As radiation fears in Japan grow, consumers are rushing to buy seaweed, which contains iodine. However, experts say that seaweed doesn¡¯t have enough iodine to protect humans from radiation¡¯s effects on the thyroid gland. Iodine pills are necessary for people in contaminated areas. And no radiation from Japan has been detected in Korea. [NEWSIS]
 

 
 

ROKG to release 150,000 MT of government held rice  [Korean: BYK]

http://www.mifaff.go.kr/gonews/content_view.jsp?newsid=155440625&section_id=b_sec_1

Summary: The government will release 150,000 MT of government held rice stocks to stabilize the rice market price.  Among the 150,000 MT, it will first auction off 50,000 MT on March 31st and will determine later when to release the remainder of the stocks. 

 

 

The information in this report was compiled by the Agricultural Trade Office (ATO) at the U.S. Embassy in Seoul, South Korea. The press summaries contained herein do NOT reflect USDA, the U.S. Embassy, or other U.S. government agency official policy or view point. U.S. food exporters can learn more about market opportunities in South Korea by reviewing ATO Seoul¡¯s Exporter Guide and other reports available at www.fas.usda.gov by clicking on ¡°attaché reports¡±.

View List >

Agricultural Trade Office, U.S. Embassy - Seoul
Tel: 82-2-6951-6848 Fax: 82-2-720-7921
Email: atoseoul@state.gov