1. GRAIN & OILSEED ISSUES

Russia is likely to lift export ban of grains from July 2011.  (Korean: CSC)

http://www.hankyung.com/news/app/newsview.php?aid=2011052427531&sid=010503&nid=005&ltype=1

S. Korea mulls early adoption of rice tariffs [English, CSY]

http://english.yonhapnews.co.kr/business/2011/05/24/0502000000AEN20110524004300320.HTML

Summary:  South Korea is mulling an early imposition of tariffs on rice imports in a bid to better cope with its growing rice reserves amid dwindling consumption of the staple grain, the government said Tuesday.  A deal signed in 2004 with nine rice exporting countries requires South Korea to buy rice through the so-called minimum market access (MMA) arrangement without imposing tariffs until 2014, when imports will be raised to 7.96 percent of domestic demand.

Govt Looking into Add Tariffs to Rice Imports [English, CSY]

http://www.arirang.co.kr/News/News_View.asp?nseq=116280&code=Ne2&category=2

Summary: The government may add tariffs to rice imports from next year, three years ahead of originally scheduled, due to Korea's ever increasing stockpiles of the staple food.  Korea has been importing a set amount of rice under the Minimum Market Access mechanism since 1995, but for the last few years, an increase in output and a decrease in consumption have destabilized the nation's rice market.  The MMA mechanism requires Korea to import an additional 20-thousand tons of rice each year.  The plan is still in its early stages, but the agriculture ministry says that if it is put into effect next year, the amount of rice imports will be fixed to 3-hundred-48-thousand tons every year saving the country around 40-billion won, or 36-million US dollars annually from 2015.

FMD crisis to affect feed-grain demand [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2936654

Summary:  Feed-grain demand by Korea, the world’s third-biggest corn buyer, may decline by as much as 10 percent this year after millions of pigs, cattle and poultry were culled because of diseases, especially food-and-mouth disease, a local feed group said.  Consumption may fall 7 to 10 percent in 2011 from an estimated 9.35 million metric tons for 2010, Kim Chi Young, director in charge of grain purchases at the Korea Feed Association, said yesterday. Demand for pricier corn may fall more than wheat, which could see an increase in purchases by importers, he said, without giving forecasts.  Corn futures in Chicago have doubled in the past year, climbing to the highest since 2008, as global supplies failed to keep pace with demand. Korea, which relies on imports for almost all its corn and wheat requirements, has destroyed about 9.7 million cattle, pigs and poultry after outbreaks of FMD and avian flu last winter.

2. LIVESTOCK ISSUES

Hundred metric tons of U.S. beef sold as Australian beef [Korean: BYK]

http://www.fnnews.com/view_news/2011/05/25/11052513340412.html

Summary: According to Rep. Joo Sun Park (Democratic Party), a total of 341 MT of U.S. beef was caught for mislabeling the products as Australian origin beef, etc., since U.S. beef imports were resumed in 2008.

Consolidation of Quarantine Offices to be delayed [Korean: BYK]

http://www.chuksannews.co.kr/news/article.html?no=65801

Summary:  The MIFAFF plan to consolidate the three quarantine services (NVRQS, NPQS and NFIS) under one organization is being delayed slightly due to the need to smooth out some of the different opinions among relevant Ministries.   Thus, the final plan is expected to come out sometime in mid June, 2011.

Korea to set up FMD vaccine research center [Korean: BYK]

Summary: According to the Korea Swine Newspaper (website is unavailable), the Korean government is planning to set up a FMD vaccine research institute in Kimchun, Kyungbuk by 2014.  This is the region where the consolidated inspection agencies (NVRQS, NPQS and NFIS) will be establishing their new office.  Kimchun is located around the mid-point between Daejun and Daegu.

NVRQS recruits companies for producing FMD vaccines [Korean: BYK]

http://www.mifaff.go.kr/list.jsp?id=27769&NOW_YEAR=2011&pageNo=1&NOW_YEAR=2010&group_id=3&menu_id=123&link_menu_id=&division=B&board_kind=C&board_skin_id=C2&parent_code=58&link_url=&depth=2&code=left&link_target_yn=N&menu_introduction=&menu_name=공지ㆍ공고&popup_yn=N&reference=1

Summary:  FMD put out a notice for receiving applications from companies that can import antibodies for FMD vaccine from foreign countries and then produce the FMD vaccines in Korea.

3. OTHER MISCELLANEOUS ISSUES

Cigarette sales drop after recent price increases [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2936656

Summary:  Major foreign cigarette makers saw their sales in Korea drop sharply this month following recent increases in the prices of their major brands, industry data showed yesterday.  According to the data offered by the nation’s leading convenience chain Family Mart and industry officials, British American Tobacco Korea sold 1.39 million packs of cigarettes between May 9 and 15, down from 1.92 million packs between April 11 and 17.   BAT, known for popular brands such as Dunhill, Kent and Vogue, raised its product prices by 200 won ($0.18) on April 28, about an 8 percent price increase.   Japan Tobacco International Korea also saw its cigarette sales fall from 879,062 packs to 715,165 packs over the cited period, the data showed. The company, maker of Mild Seven, also hiked its product prices by 200 won on May 4.   While foreign companies are losing ground after increasing prices, other rivals are basking in sales growth, apparently thanks to lower prices.

S. Korea's beer imports surge on demand for more diversity [English, CSY]

http://english.yonhapnews.co.kr/business/2011/05/25/34/0501000000AEN20110525001800320F.HTML

Summary:  South Korea's beer imports surged more than 20 percent in the first four months of the year on consumers' increased demand for more diverse products from Europe and Japan, a report showed Wednesday.   According to the report by the Korea Customs Service, South Korea imported beer worth US$15.4 million during the January-April period, up 21.5 percent from a year earlier.  The customs office said this year's beer imports may top $50 million, which would be up from $43.8 million last year.  South Korea imported beer worth $4.73 million from Japan in the first four months of the year, up 37 percent from a year earlier. The report also showed that South Korea imported beer worth $2.43 million from the Netherlands, down 17 percent from a year earlier.  Imports from the U.S. and Ireland amounted to $1.63 million and $1.43 million, respectively, according to the customs agency.

<May 23rd> Farm min.-nominee grilled for ethical violation [English, CSY]

http://www.koreatimes.co.kr/www/news/nation/2011/05/113_87531.html

Summary:  The nominee for agriculture minister came under fire Monday for taking state subsidy for farmers from 2007 to 2009 while he worked as president of a weekly newspaper for farmers and fishermen.  The allegation was raised by both ruling and opposition lawmakers at a National Assembly confirmation hearing.  According to the main opposition Democratic Party, Suh received some 590,000 won ($540) in state subsidy for his farmland in Cheongju, North Chungcheong Province, even though only full-time farmers are entitled to the funding.  Suh claimed that he did farming on weekends while serving as president of the weekly newspaper based in Seoul.  The subsidy system was introduced in the early 2000s when Suh was serving as deputy agriculture minister.