FAS/Seoul Monitoring of Media Reporting on Agricultural Issues 

Today's Date: Friday,  February  21,  2025

For Coverage:  February  15  ~  21, 2025

Trump's trade war: Agricultural sacrifices must not be repeated
https://www.nongmin.com/article/20250219500598
Summary:  Concerns are rising that the new U.S. administration's trade policies, including potential reciprocal tariffs, could negatively impact South Korean agriculture.  The Ministry of Agriculture plans to review non-tariff barriers such as restrictions on U.S. beef imports and prepare for the potential economic shock from shifting international trade environments.  Lawmakers from both major parties are urging proactive measures to prevent further sacrifices by Korean agriculture, with discussions also focusing on renegotiating mandatory rice import quotas in light of changes to global trade policies.

Both ruling and opposition parties agree that the pace of adjusting rice cultivation areas needs to be slowed down
https://www.nongmin.com/article/20250219500585
Summary:  During a meeting on February 18, South Korea's National Assembly raised concerns about the government's rapid pace of rice cultivation area adjustments, calling for a more gradual approach in line with local governments.  Lawmakers also debated whether the government's target to reduce rice farming area by 80,000 hectares is appropriate, with some expressing fears it may threaten food security.  Additionally, discussions covered the challenges faced by youth farmers, with suggestions for reforms in support programs and concerns about the government's proposed land reform plans, which some saw as potentially encouraging speculation.

Korea Agro-Fisheries & Food Trade Corporation partners with National Institute of Horticultural and Herbal Science to tackle climate change
https://www.donga.com/news/Economy/article/all/20250220/131072321/1
Summary:  Korea Agro-Fisheries & Food Trade Corporation (aT) and the National Institute of Horticultural and Herbal Science have signed a memorandum of understanding to collaborate in responding to climate change.  Their cooperation will focus on developing new varieties, improving storage techniques, and exploring new farming locations for horticultural crops.  They will also work on tackling the supply issues of cabbage, particularly in high-altitude areas, by developing new summer cabbage varieties and conducting pilot farming projects.

"Fresh fruit too expensive to buy"... Frozen fruit imports reach record high last year
https://www.joongang.co.kr/article/25315410
Summary:  As fresh fruit prices soar, more consumers are turning to cheaper frozen fruits, resulting in record-high imports last year.  The increase in frozen fruit demand is attributed to high fresh fruit prices, accelerated by unusual weather and logistical costs.  Additionally, the rise in single-person households also contributes to the trend, with frozen fruits offering convenience and longer shelf life.

Rice prices in production areas are showing a clear upward trend, with prices nearing 190,000 KRW per ton
https://www.nongmin.com/article/20250219500601
Summary:  Rice prices in production areas are on the rise, approaching 190,000 KRW per ton.  The price of rice as of February 15 reached an average of 189,768 KRW per 80 kg, showing a 0.6% increase from the previous period.  This upward trend is attributed to a faster-than-expected depletion of rice stockpiles and a favorable supply-demand situation, with government policies also contributing to the continued price growth.

K-Food export companies will have no burden for exchange rate fluctuation insurance
https://www.nongmin.com/article/20250219500615
Summary:  The government is increasing support for K-Food export companies to manage trade risks, particularly due to the U.S.'s reciprocal tariff policy.  They will expand exchange rate fluctuation insurance, offer more funding for raw material purchases, and open new trade offices in key markets to promote exports.  The goal is to achieve $14 billion in K-Food exports this year by diversifying markets and products, including high-quality offerings in new regions like Laos, Chile, and Guatemala.

Korean government aims to achieve $3.15 billion in exports of fishery products in 2025
http://www.foodnews.co.kr/news/articleView.html?idxno=111997
Summary:  The Ministry of Oceans and Fisheries (MOF) has prepared a plan to strengthen the competitiveness in exports of fishery products that can respond to changes in the global trade environment, with the goal of achieving $3.15 billion in exports of fishery products this year.  In this plan, the MOF will preemptively respond to changes in the trade environment anticipated under the Trump administration and expand the global export market through high value-added products such as processed products of next-generation export items including oysters and abalone.  The government also plans to strengthen the foundation for export expansion by supporting smart processing plants and facilities.

Dongwon F&B enters the world's largest pet food market in the U.S.
https://www.donga.com/news/Economy/article/all/20250218/131057270/2
Summary:  Dongwon F&B began exporting its pet food brand, "NutriPlan," to the U.S. this month, starting with six types of wet food cans for cats, which will be sold through over 70,000 retail and online channels across the country.  The company, with over 30 years of experience in producing tuna cans and exporting cat food to countries like Japan, Vietnam, and Hong Kong, expects annual sales in the U.S. to reach about 30 billion KRW.  Dongwon F&B aims to expand its pet food line, including dog food, and targets 200 billion KRW in annual revenue from this sector by 2027, with plans to increase exports to countries such as the U.S., Canada, and Thailand.

If the GMO full labeling system is introduced, food prices will rise, increasing consumer burden
http://www.foodnews.co.kr/news/articleView.html?idxno=111977
Summary:  The proposed GMO full labeling system has raised concerns among the food industry and academia, as it could lead to higher food prices and increased economic burden on consumers.  Given Korea's heavy reliance on imported grains and the current global supply chain instability, experts warn that implementing this policy may further strain domestic food security and industry costs.  Stakeholders emphasize the need for careful consideration, consumer education, and policy measures to mitigate potential negative impacts before introducing the labeling system.

Jipyeong Brewery enters the liquor market in the U.S.
https://www.yna.co.kr/view/AKR20250218026200030?section=economy/all
Summary:  Jipyeong Brewery, one of the traditional Korean liquor manufacturers, announced that it has joined the ranks of makgeolli exporters to the United States.  An official said that amid increasing makgeolli demand with the low-alcohol trend and the Korean Wave in the United States, the company’s products are now being sold in Asian stores in a few states like California and Texas.  The company also plans to expand its distribution network, starting in major cities in the United States, and sales channels to online platforms.

Korea’s fresh fruit imports increased in 2024
https://www.yna.co.kr/view/AKR20250214071500030?section=industry/agriculture
Summary:  According to provisional data from the Korea Rural Economic Institute (KREI), imports of fresh fruits such as oranges and pineapples last year amounted to $1.447 billion (2.09 trillion won), up 20.1% from $1.205 billion the previous year.  Experts said that the main cause for the fruit import increase is supply and demand instability due to repeated abnormal weather conditions and expect an increase in fruit imports to continue for the meantime to supply the local markets with alternative fruits.  According to the Statistics Korea, among the 458 items in the consumer price survey last year, the item with the largest price increase year-on-year was pears (71.9%), followed by tangerines (46.2%), persimmons (36.6%), and apples (30.2%).

The packaging color for imported soybeans to be changed to ‘orange’
http://www.foodnews.co.kr/news/articleView.html?idxno=111944
Summary:  The Ministry of Agriculture, Food and Rural Affairs (MAFRA) and the Korea Agro-Fisheries & Food Trade Corporation (aT) announced that the packaging color for imported soybeans will be changed to ‘orange’ from yellow, which has been the same color with domestically produced soybeans.  The aT officials said that this is a measure to prevent damage to domestic producers and consumers caused by disguising the product’s country of origin, so that domestic consumers can easily distinguish between the low-end imported and the domestically produced soybeans.