Today's Date:     Wednesday, February 29, 2012

1. BILATERAL/MULTILATERAL ISSUES

Obstacles in the way toward Korea-China FTA [Korean: YJY]
http://www.nongmin.com/article/ar_detail.htm?ar_id=199508
Summary:  Public hearing for Korea-China FTA, which is the first step needed to proceed with the deal, was not entirely successful as only key summary points were presented and discussion lasted shorter than planned due to the opposition of farmers. With the anti-FTA sentiment of farmer organizations, it is expected that obstacles will loom large until the start of negotiations. However, for the KORUS FTA, declaration of the start of negotiation came only a day after the public hearing. MIFAFF is also focusing on preparation of negotiation strategies, discussing with experts by items. In December of 2011, discussions were held concerning garlic and onions and now they have extended to apple, pear, and tangerines. MIFAFF plans to further discuss on white radish, Chinese cabbage, and livestock products by the end of March. 

2. ECONOMIC ISSUES

Korean government to give USD$6.9milion to International Fund for Agricultural Development (IFAD) [Korean: CJW]
http://www.yonhapnews.co.kr/economy/2012/02/28/0302000000AKR20120228041600002.HTML
Summary: Korean Government in partnership with the International Fund for Agricultural Development (IFAD) has agreed to provide $6.9 million loans for rural agricultural financing over the period 2013-2015.  MIFAFF stated that this funding agreement is the result from 35th session of the IFAD Governing Council in Rome.

3. GRAIN & OILSEED ISSUES

Rural Development Administration (RDA) of Korea developed domestic fodder corn better than foreign [Korean: YJY]
http://www.newswire.co.kr/newsRead.php?no=605717&ected=
Summary:  RDA announced that they developed improved feed corn in terms of quantity and quality compared to imports.  This year, higher international price for corn is expected to continuously increase feed cost.  In order to bring down the production cost for livestock herders, it is highly recommended to produce feed vegetables like corn.  RDA has been paying attention to solidifying basis for stable corn production.  Simultaneously, RDA has been focusing on stimulating the seed industry, as since last year seed used for producing feed corn recorded 285 tons, among which only 81 tons were domestic seed.

4. LIVESTOCK ISSUES

FTA-hit livestock farmers to get government cash aid [Korean: CJW]

 http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=101&oid=001&aid=0005533995
Summary: Livestock and dairy farmers who are hurt by free trade pacts will be eligible to receive direct cash assistance from the government, the farm ministry said Wednesday.  The ministry said it has set up an evaluation system to measure fallout in the livestock sector caused by opening the domestic market to cheaper meat and dairy products from abroad.

5. MARKETING ISSUES

Korean Federation of Ag. Cooperatives (Nonghyup) to Strengthen Distribution Business [Korean, OSY]

http://www.hankyung.com/news/app/newsview.php?aid=2012022855251&sid=0101&nid=002&ltype=1

Summary: Nonghyup announced in a press interview on Feb. 28 that it will strengthen the distribution business to account for over 50 percent of total sales of the products grown by its cooperative members in a few years, which is a big increase from the current 10 percent level.  The financial business was separated from Nonghyup earlier in March under the government initiative, and the distribution business will become Nonghyup’s major area of focus.  Nonghyup currently runs warehouses and retail outlets, including ‘Hanaro Mart’ discount retail store chain, around the country to help the local farmers better market the products.

Lotte Department Store Gets Rid of Paper Price Tags from the Shelf [Korean, OSY]

http://www.hankyung.com/news/app/newsview.php?aid=2012022853761&sid=0104&nid=004&ltype=1

 

Food trademarks reflect the well-being trend, which is only to intensify [Korean: YJY]
http://www.nongmin.com/article/ar_detail.htm?ar_id=199539
Summary:  According to the Korean Intellectual Property Office, cases of trademark application related to well-being such as diet, environment-friendly, and organic recorded 366 cases from 1982 to 2000. From 2001 to 2011, such cases numbered 1,387, showing rapid increase.  Combination trademarks related to diet amounted to 959, those related to environment-friendly 434, and organic 360, out of total of 1,753 trademark applications. Among these 1,753 cases, 626 were related to food, agricultural, livestock and fishery products.

Increase in the sales of imported beer [English: YJY]

http://www.koreaherald.com/national/Detail.jsp?newsMLId=20120228001346

Summary:  As young consumers preferring foreign beers have increased, sales of imported premium beer have increased consequently.  The share of imported beer took up 3% of annual Korean beer demand two to three years ago, but now the number has increased close to 5%.  This led local brewers to expand imports of Japanese brands, since Japanese beer was the most popular, selling $12.35 million worth or 18,252 tons.  Dutch and American beer followed, recording sales of $10.92 million or 9,509 tons and $8.82 million or 5,601 tons respectively.  Korean retailers are also increasing imports from Europe as the Seoul-Brussels FTA that took effect on July 1 phases out tariffs on beers over 7-year term.

6. MIFAFF PRESS RELEASES

► MIFAFF announced that it will help bring more competition into the market through state-run Korea Agro-Fisheries Trade Corporation (aT) by importing sugar sold at basic production costs to food industries using sugar so as to lower the prices of processed goods.

► MIFAFF offers
specialized insurance services to small fishing boats

► Additional
registration period of student loan for college student from rural areas

► A year has passed since tightening rules to combat domestic illegal whaling

► Science and Technology Commission of Food, Agriculture, Forestry and Fisheries (STCA) hosted 5th Green and Life Technology forum.

► Farmers and fishermen to get support after FTA to make up for potential losses from the Korea-U.S. FTA

► “Yeosu oyster” is 12th geographical indication item
of Korea

► MIFAFF attended 35th Session of International Fund for Agricultural Development (IFAD)'s Governing Council to discuss climate change, challenges to sustainable agriculture and intervention options

► MIFAFF attended 2nd Preparatory Conference of North Pacific Fisheries Commission in Tokyo, Japan

► South
Korea will adhere to strict quality procedures of imported chili peppers