Today's Date:      Monday, May 14, 2012

1. BILATERAL/MULTILATERAL ISSUES

Lee: S. Korea, China can conclude FTA talks in 2 years [English, CSY]

http://english.yonhapnews.co.kr/business/2012/05/12/60/0502000000AEN20120512002000315F.HTML

Summary: South Korea and China can conclude bilateral free trade negotiations in two years if both sides find a compromise on "sensitive issues" for each other, such as agricultural and fishery products for Seoul, President Lee Myung-bak said in an interview televised Saturday.   Earlier this month, Seoul and Beijing declared the launch of government-level negotiations to forge a bilateral pact to free up trade between the two of Asia's biggest economies. The first round of talks are expected to take place later this month.

The announcement raised concern South Korea's farm and fishery sectors could take the brunt of free trade with China, with cheap Chinese products flooding local markets. Officials in Seoul said they will try to ensure to get farm products to be treated as exceptions to protect local farmers.  "We have high expectations from the perspective that the two countries should forge an FTA," Lee said in an interview with China's CCTV station broadcast Saturday. "Should an agreement be reached on sensitive issues, I believe it won't be difficult for the two countries to forge an FTA within two years."   Sensitive items for South Korea include agricultural and fishery products as well as products manufactured by small and medium-sized firms, Lee said, stressing that if the sides can reach compromises on these items and conclude negotiations, (a Korea-China) FTA can "produce greater outcomes than any other FTAs."

2. LIVESTOCK ISSUES

<5/11/2012>Farm minister insists U.S. beef is safe [English, CSY]

http://www.koreaherald.com/national/Detail.jsp?newsMLId=20120511001011

Summary: Korean Agriculture Minister Suh Kyu-yong reaffirmed on Friday that the beef imported from the U.S. poses no threat to public health.  “There is no problem with the safety of U.S. beef, but the quarantine strengthening policy will continue,” Minister Suh said.  The minister made the remarks after being briefed on the report from the Korean inspection team, which returned home earlier in the day from its trip to the United States.   “After examining documents and earmark of the cow regarding the recent BSE (Bovine Spongiform Encephalopathy) case in the U.S., it was confirmed that the cow was 127 months old. It was also Atypical BSE found in old cows, and that the affected cow was disposed of and was not used to eat,” he said

<5/11/2012>S. Korea to keep tightened quarantine checks on U.S. beef [English, CSY]

http://english.yonhapnews.co.kr/business/2012/05/11/7/0501000000AEN20120511003900320F.HTML

Summary: South Korea will maintain its tightened quarantine inspections regime on U.S. beef but take no steps to halt imports despite the recent discovery of a mad cow case in the United States, the farm ministry said Friday.  The Ministry for Food, Agriculture, Forestry and Fisheries said a nine-person inspection team that checked various cattle and meat packing facilities in the United States concluded there is no real human health threat posed by American beef.   The livestock quarantine consultation committee that advises the farm minister does not think stopping imports is necessary at this juncture, it added.    Seoul currently opens half of all U.S. beef packages entering the country to make certain that the contents meet import rules. Normally only 3 percent of shipments are checked.

3. OTHER MISCELLANEOUS ISSUES

S. Korea's food, farm exports shrink in April [English, CSY]

http://english.yonhapnews.co.kr/business/2012/05/10/0501000000AEN20120510005000320.HTML

Summary: South Korea's food and agricultural exports contracted for the first time in four years in April mainly due to weaker overseas demand for processed food products, the government said Thursday.  South Korea shipped US$620 million worth of farm products last month, down 7.8 percent from the same period last year, according to the Ministry for Food, Agriculture, Forestry and Fisheries. The negative growth is the first since May 2009, it said.