1. Bilateral/Multilateral Issues

2. Biotechnology Issues

3. Economic Issues

4. Grain/Oilseed Issues

5. Livestock Issues

6. Marketing Issues

7. North Korea Issues

8. Other/Miscellaneous Issues

1. Bilateral/Multilateral Issues

S. Korea pledges to support rural development in Africa [English: CSY]

Summary: South Korea pledged Thursday to support the agricultural and forestry sectors through rural development projects in three African countries, government officials said.  The Ministry for Food, Agriculture, Forestry and Fisheries said the country plans to create a model for wider official development assistance based on its aid program for the Democratic Republic of Congo, Ghana and Tunisia.

FTA School Opens in Korea [Korean: BYK]

http://media.daum.net/economic/industry/view.html?cateid=1038&newsid=20100406115428323&p=yonhap

Summary: MKE and the Korea trade Association opened the FTA school on April 6^th to educate working level people in the area of FTA.  These people will help Korean firms in work related to FTA.

S. Korea's trade with Latin America grows nearly 4-fold in past 15 years [English, CSY]

Summary: South Korea's trade with Central and South American countries nearly quadrupled over the past 15 years on the back of growing economic cooperation between the two regions, a government report showed Friday.  According to the report by the Korea Customs Service, the country's trade volume with Latin American countries came to US$38.41 billion last year, showing a 3.9-fold increase from $9.73 billion in 1994.

Biden says U.S. determined to move ahead on FTA with South Korea [English, CSY]

Summary: U.S. Vice President Joe Biden affirmed Monday that his administration is determined to get a free trade agreement (FTA) with South Korea ratified by Congress at an early date, South Korean officials said after his meeting with President Lee Myung-bak here.

Editorial: Pressing for FTA [English: BYK]

http://www.koreaherald.com/opinion/Detail.jsp?newsMLId=20100413000592

Summary: In pressing the Obama administration for an early ratification of the Korea-U.S. free trade agreement, President Lee Myung-bak has played the China card. He warns Washington that an indefinite delay in implementing an FTA with Korea would allow China to overtake the process, which would be detrimental to the United States’ new Asian policy.

President Lee expressed his views on the FTA with the United States in an interview with the Washington Post he had prior to his departure for Washington to attend the nuclear summit. It appears he desired to relay his message to the U.S. president before they talk one-on-one on the sidelines of the meeting of 48 world leaders.

President Lee’s logic is as follows: Korea is the United States’ best – biggest – possible trading partner to enter an FTA with in Asia, because a deal with either China or Japan proves unrealistic. While China’s influence in Asia is growing rapidly, the passage and implementation of an FTA between Korea and the United States will help the latter define its role in Asia more specifically at this time of global transformation.

New Chinese Ambassador to Korea Expresses Active Support of FTA between China and South Korea [Korean, OSY]

http://news.mk.co.kr/v2/view.php?sc=30000001&cm=헤드라인&year=2010&no=206735&selFlag=&relatedcode=000010330&wonNo=&sID=303

Summary: Jang Sin Thun, the new Chinese Ambassador to Korea, said in his first press interview in Seoul on April 22 that he will actively support the development of Free Trade Agreement between China and South Korea.

FTA negotiations with Turkey kick off today [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919661

Summary: Korea and Turkey are holding their first round of negotiations on a free trade agreement starting today in the Turkish capital of Ankara, the foreign ministry said yesterday.  The five-day meeting between the two countries is focused on crafting a basic structure for an agreement and negotiating various overarching parts of the deal related to products, services, investments and other areas.  A recent report by the Korea Institute for International Economic Policy noted that a free trade agreement with Turkey would represent Korea’s first bilateral deal with a leading emerging nation. Turkey is often seen as an up-and-comer economically, after the group of emerging leaders Brazil, Russia, India and China.

U.S. not ready to discuss issues in KORUS FTA (English:  KSW)

http://www.koreaherald.co.kr/business/Detail.jsp?newsMLId=20100419000720

Summary:  The United States is not yet ready to discuss key issues with South Korea that need to be addressed before the two countries ratify their free trade agreement (FTA).  "One of the key areas we have concerns expressed with the free trade agreement is the automotive sector," Assistant U.S. Trade Representative Wendy Cutler said.  The imbalance in auto trade and restricted shipments of U.S. beef are significant hurdles to the early ratification of the free trade accord, signed in 2007.   

Korea Backs G20 Global Agriculture, Food Program [English, CSY]

http://english.chosun.com/site/data/html_dir/2010/04/23/2010042301225.html

The G20 association of emerging and developed countries on Thursday launched the Full text: Global Agriculture and Food Security Program with a fund of about US$880 million with a view to helping less developed countries ease food shortages and earn more from farming.  South Korea is a founding member with a contribution of $50 million alongside the U.S. ($475 million), Canada ($230 million), and Spain ($95 million), and the Bill & Melinda Gates Foundation ($30 million).

EU Warns that Proposed ROKG Regulation on Large-scale Retailers’ Expansion into the Neighborhood Market Can be a WTO Issue [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010042603000039610&linkid=4&newssetid=1352

Summary: According to the Korea Trade Representative Office under the Ministry of Foreign Affairs & Commerce, the EU has recently notified the Korean government that the EU would seek a WTO resolution if the Korean government tries to implement any regulations that will restrict large-scale retailers from expanding into the neighborhood market.  Samsung Tesco, a hypermarket retailer in Korea owned by Tesco UK, has been one of the most aggressive players in the market, attempting to launch ‘SSM (Super-Supermarket)’ stores in metropolitan residential areas in recent years.  Government officials are worried that this issue will present a bottleneck to the Korea-EU Free Trade Agreement.

Korea-India trade goes through roof [English, CSY]

Bilateral trade pact will further boost business

http://joongangdaily.joins.com/article/view.asp?aid=2919823

Summary: The economy of the world’s second most populous country, India, has opened up in the past decade, and Korean manufacturers and traders have made the most of it. According to a report by the Korea International Trade Association yesterday, the total volume of Korea’s exports to India increased six times from 2000 to 2009, from $1.32 billion to $8.01 billion. Imports from India to Korea rose from $980 million to $4.1 billion over the same period. Korea’s trade surplus with India jumped 11 times from $340 million to $3.87 billion, and India was Korea’s ninth-largest export market last year, up from 25th a decade ago.

Feasibility of FTA studied [English, CSY]

Deal involves Korea, China and Japan

http://joongangdaily.joins.com/article/view.asp?aid=2919813

Summary: Korea will team up with China and Japan to conduct a working-level joint study on the feasibility of a free trade agreement among the three Northeast Asian countries, beginning next week, Seoul’s trade ministry said yesterday. The three nations conducted a similar joint study on free trade from 2003 to 2009, led by civilian researchers. Last October, trade ministers from the three nations agreed to hold another working-level joint study on the agreement, with government and industry officials also participating.

2. Biotechnology Issues

Biodiesel from mass production of micro algae cultivation [Korean, CSY]

http://www.hankyung.com/news/app/newsview.php?aid=2010041299971

Summary: The Korean expert team in the Korea Ocean Research & Development Institute (KORDI) succeeded in producing biodiesel from cultivated micro algae in seawater and freshwater.

Corn Oil disappeared in the market [Korean, CSA]

http://news.joins.com/article/aid/2010/04/26/3702334.html?cloc=olink|article|default

Summary: Reporter Park, who is a member of PMO’s Food Safety Policy Committee wrote an article in the paper discussing the decreasing volume of corn oil in the market due to the expanded GMO labeling proposal.  A professor that he knows mentioned the other day that it is getting difficult to find corn oil in the market as it has been replaced by canola oil.  According to statistics, the volume of corn oil produced in Korea has been decreasing and in 2009 the volume of canola oil exceeded corn oil.  In response to KFDA’s expanded biotech labeling proposal, industry has already given up corn oil as they fear placing a GMO label on the product label.  Industry is switching to other oils, such as non-GMO soybean oil from China.  The writer questioned whether it is scientifically reasonable and beneficial to consumers to require GMO label for products without any GM protein. Last year, a laboratory operated by the Korea Food Industry Association tested 6 cooking oils and found no foreign protein or gene.   

GS Caltex Considers Joining the Biodiesel Market [Korean, CSY]

http://biz.heraldm.com/common/Detail.jsp?newsMLId=20100428000150

Summary: GS Caltex, one of the four major oil refiners in Korea, considers joining the biodiesel production industry by establishing the affiliated company called the “GS Bio” to manage the BD production, distribution and sales directly. It would be the first time a major local oil refinery joined the BD market.  It is expected that the GS Caltex can expand its eco-friendly energy business opportunity in the long term.

3. Economic Issues

Korean Won Continues to Gain Strength against US Dollar … Likely to Resume the Exchange Rate of Before Financial Crisis Soon [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010041203000045910&linkid=4&newssetid=1352

Summary: The exchange rate of the Korean Won against the US Dollar fell by another 5.1 Won on April 9 to mark 1,118.2 Won per 1 US Dollar, the lowest level since September 17, 2008.  Since the end of 2009, the value of Korean Won has risen by 4.1 percent against US Dollar, which was higher than Japanese Yen, Euro and Australian dollar.  Continued in-flow of US dollar into the market due to trade surplus and foreign investment in Korean stock market is the main reason for the on-going trend of stronger Korean Won.  Many market analysts are predicting further strengthening of the Korean Won in coming months.

Moody’s upgraded Korea’s sovereign credit rating to A1 from A2, which means returning to the country risk located before financial crisis occurred in 1997. (Korean: CSC)

http://www.wownet.co.kr/news/wownews/view_nhn.asp?bcode=N07010000&artid=A201004140407

Economic growth in Q1 reaches seven-year high [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919770

Summary: Korea’s economy grew 7.8 percent in the first quarter, the highest rate in seven years. According to the Bank of Korea, growth exceeded its earlier forecast of 7.5 percent. The last time the Korean economy saw such exceptional quarterly growth was the fourth quarter of 2002, when it expanded 8.1 percent year-on-year.

4. Grain/Oilseed Issues

Rice Sub-Committee under Agro-Fishery Enhancement Committee held a debate to discuss what’s the benefit of early tariffication of rice on March 30, 2010.  The majority of participants in the debate put more weight on early tariffication.  However, some cautious debaters insisted that rice market opening be decided by the conclusion of DDA negotiation.  (Korean: CSC)

http://www.nongmin.com/article/ar_detail.htm?ar_id=173012&subMenu=articletotal

Deficiency Payment for other crops cultivated in the paddy land is now under consideration by the MIFAFF. (Korean: CSC)

http://www.hankyung.com/news/app/newsview.php?aid=201004048444i

Summary: The Korean government is planning to distribute deficiency payments to rice famers who will cultivate other crops such as corn, soybean and red bean in lieu of rice in their paddy land.    

Seoul District Court has sentenced a wholesaler to one and half years in prison, who has sold hundreds tons of Chinese rice by fraud of COO labeling.  (Korean: CSC)

http://www.ytn.co.kr/_ln/0103_201004060829128463

Gov't to buy up 200,000 tons of rice to stabilize prices [English, CSY]

Summary: The Korean government said Friday it will buy up 200,000 tons of rice in the coming months to help stabilize local market prices for the staple grain. The move comes after the average price for an 80 kilogram sack of rice fell 5.8 percent from last fall’s 135,000 won (US$121.5) sack, the farm ministry said.  Seoul procured 710,000 tons of rice last year for its "public reserve," but such steps have not been able to halt the downward slide of prices as supply continues to exceed demand.

The reserves held in government silos are designed to be used in emergency situations, such as famine brought on by a bad harvest or war. The ministry said 100,000 tons of rice will be bought from farmers, regional agricultural cooperatives and private rice processing plants in May, with the rest to be bought after a detailed evaluation of market prices. The National Agricultural Cooperative Federation will initially buy the rice with its funds, though it will later receive government compensation. About 300 billion won may be needed to buy up 200,000 tons of rice at current market prices.

To replace 10 percent of wheat flour with rice flour (Korean:  KSW)

http://www.foodnews.co.kr/news/board.php?board=news&config=4&command=body&no=17291&

Summary:  The government plans to replace 10 percent of the quantity of wheat flour consumption with rice flour in order to maintain the balance of supply and demand of rice.  In addition, plans to accelerate the development of rice processed foods, and to induce farmers to grow other crops than rice are also aimed at this goal.  In order to expand the rice processed foods, the government plans to support one billion won (about $900,000) to businesses and rice processing R & D, and also plans to support 60 billion won (about $50 million) this year in the investment of rice processing facilities.

5. Livestock Issues

USTR evaluates that the confidence level of U.S. beef in Korea has improved [Korean: BYK]

http://www.nongmin.com/article/ar_detail.htm?ar_id=173149&subMenu=articletotal

Summary: In its NTE report to the Congress, USTR stated that the “Confidence level of U.S. beef in Korea has improved.”  Such position by the United States could be interpreted to mean that the United States may ask for renegotiation of the beef protocol as the confidence level is improving in Korea.  The current protocol states that U.S. beef produced under the QSA program can only be imported until the confidence level of U.S. beef improves in Korea.  The NTE report also states that it benefited from Korea’s decision to postponed the liberalization of the rice market.

Marts war over poultry, pizza prices [English: CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2918660

Summary: For months, local discount stores have been locked in a price war, often over individual products. That war is now spreading, retail sources say, from packaged goods to poultry and pizza, as chains try to one-up each other with more appealing promotions.  Lotte Mart, the nation’s third-largest discounter after E-Mart and Homeplus, announced yesterday that it would sell a 600-gram (21-ounce) whole fried chicken for 3,980 won ($3.53), half the usual price of 7,980 won, until next Wednesday. Considering the average market price of a whole chicken was 4,729 won as of Monday, that seems like quite a significant price cut.

S. Korea restarts poultry exports to Hong Kong [English: CSY]

Full text: South Korea has restarted fresh poultry exports to Hong Kong after being shut out of the market following a low pathogenic avian influenza outbreak reported last December, the government said Thursday.  The Ministry for Food, Agriculture, Forestry and Fisheries said Hong Kong has lifted its ban on chickens and ducks from the South Jeolla and South Chungcheong provinces.

 The special administrative zone enforces a policy of banning imports of poultry from specific regions during outbreaks of non-virulent strains of bird flu. During highly pathogenic avian influenza outbreaks, a blanket ban on all products is imposed.   "The new rules go into effect immediately, with 54 certified butchering facilities and food processing plants to be allowed to ship their products," a press release said.  South Korea had exported 202 tons of poultry worth US$311,000 to Hong Kong last year. The ministry, meanwhile, said that it is engaged in talks so Japan and Singapore will lift their respective bans on South Korean poultry.

Seoul Metropolitan government to audit business that handles meat to see if they are correctly labeling the country-of-origin labels [Korean: BYK]

http://www.ytn.co.kr/_ln/0103_201004121722489381

Summary: The Seoul Metropolitan government announced that they would conduct an intensive audit of shops selling meat products to see if they are following the COO regulations from April 13 through 19.

Chicken meat price 30% higher than a year ago [Korean, CSY]

http://news.mk.co.kr/outside/view.php?year=2010&no=179319

Summary: Due to the reduced broiler productivity influenced by the cold snap and heavy snow fall during the last winter, the retail price of chicken meat in recent days is 30 percent higher than a year ago. The broiler industry expects that the chicken price will be strong for the time being with the World Cup soccer event in June.

Korea and Canada holds first round of Dispute Settlement Panel in Geneva [Korean: BYK]

http://www.mt.co.kr/view/mtview.php?type=1&no=2010041411315739185&outlink=1

Summary: Korea and Canada are holding the first round of dispute settlement panel on Korea’s ban on Canadian beef imports.  The panel meeting is being held for 2 days, April 13-14, 2010 in Geneva and another round is expected to take place in September.  Normally it takes about 2 years to come to a conclusion.

S. Korea confirms new outbreak of foot-and-mouth disease [English, CSY]

Summary: The government on Friday confirmed a new foot-and-mouth outbreak at a local cattle farm, little over two weeks after it officially declared the country "clear" of the highly contagious animal disease.  The animals at the farm on Ganghwa Island, 58 kilometers west of Seoul, started showing symptoms on Thursday, causing quarantine officials to seal off the farm and limit movement of people and vehicles as a precautionary measure, the Ministry for Food, Agriculture, Forestry and Fisheries said.

United States very disappointed at Taiwan for blocking been imports [Korean: BYK]

http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=100&oid=001&aid=0003239026

Summary: AIT expressed its disappointment against Taiwan for blocking imports of U.S. beef tongues, etc.  Taiwan countered that the reason why the Department of Sanitation had recommended importers not to import U.S. tongues, etc., for the time being was in consideration of the concerns that the consumers had over these products.

Korea bans import of pork from Japan due to FMD [Korean: BYK]

http://www.ajnews.co.kr/uhtml/read.jsp?idxno=201004231542425260564

Summary: Korea banned import of pork from Japan due to confirmation that FMD had broke out in Japan.  However, the impact on trade is expected to be minimal as there aren’t much pork imports from Japan.

Hanwoo Cattle Price Hits Record High [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?linkid=443&articleid=2010040803015614234&newssetid=5

Summary: According to the National Statistics Office, livestock market price of a standard 600 kg local beef cattle (Hanwoo) marked a record high 5,846,000 won in January 2010.  The total number of local cattle for meat production also increased 2.7 percent from the previous month to 2,706,000 heads.  Marketers agree that local beef origin labeling in restaurants and local beef resume checking system in retail stores introduced in 2009 have increased demand on local beef as consumers are seeking for safer food.

Australia sells beef produced for children [Korean: BYK]

http://news.chosun.com/site/data/html_dir/2010/04/15/2010041502334.html

Summary: Australia is promoting Children’s Beef that is exclusively made for children.  Among the some 100 nations that Australia sells beef, Korea is the only country where they are marketing the “Children’s Beef.”  This promotion is targeting the parent’s love for their children in Korea and are selling products such as Children’s beef patties made from chilled premium Australian Wagyu beef and mini-steaks.

Military milk market eased [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919812

Summary: The National Agricultural Cooperative Federation’s 27-year monopoly on the milk supply to the military is about to end. The Presidential Council on National Competitiveness has finalized its new policy package aimed at lowering 20 entrance barriers for seven industries. The policies are based on proposals by the Fair Trade Commission, Korea’s top antitrust agency.

Outbreak takes toll on meat sales [English, CSY]

Consumer demand drops amid lingering foot-and-mouth disease

http://joongangdaily.joins.com/article/view.asp?aid=2919822

Summary: The recent spate of foot-and-mouth disease outbreaks in Korea is putting the pinch on local livestock farmers and butchers amid large-scale moves to slaughter animals and declining demand as skittish consumers avoid pork and beef.  Korea’s Agriculture Ministry yesterday confirmed the ninth case of the disease at a pig farm on Ganghwa Island, the epicenter of the latest outbreak. The island is home to seven confirmed cases so far this month.

6. Marketing Issues

Shinsegae Department Store Offers Up to 90 Percent Discount on 200,000 Bottles of Wine [Korean, OSY]

http://news.mk.co.kr/v2/view.php?sc=30000001&cm=헤드라인&year=2010&no=163894&selFlag=&relatedcode=&wonNo=&sID=501

Summary: The wine sales promotion scheduled to take place in Sinsegae Department Stores from April 2 through 6 will offer up to 90 percent discount on a total of 200,000 bottles.  The event targets gift shoppers for special days in May, including Parents Day and Teachers’ Day.

Korea to Reduce Import Tariffs on Products from Developing Countries [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010040203000051110&linkid=4&newssetid=1352

Ministry of Finance announced on April 1 that import tariffs on products from developing countries from South America, Africa and Middle East will be lowered from next year.  The magnitude and width of tariff reduction will be decided by the end of the year, added the Ministry.

Internet Sales of Traditional Liquors Needs Tighter Monitoring [Korean, OSY]

http://news.donga.com/3/all/20100403/27324483/1

Summary: Sales of registered traditional alcoholic beverages through the Internet started from April 1.  Currently Internet homepages of the 395 registered traditional liquor processors and the Internet shopping malls run by the Korea Postal Service (www.epost.go.kr) and the Korea Agriculture & Fishery Marketing Corporation, aT, (www.eatmart.co.kr) can offer on-line shopping.  However a survey by Dong-A Daily News on April 1 found that the Korea Postal Service site was offering only 62 products and the aT site only 23 products.  The survey also found that daily limit in the number of bottles that an adult consumer can purchase (50 bottles) through Internet did not work as there was no tool in place that monitored the total purchase by an individual.

Survey Founds Increased Spending by High Income Group [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?linkid=443&articleid=2010040810584093870&newssetid=5

Summary: According to a recent survey by Korea Chamber of Commerce, 32 percent of the people in the high income group who earn over 5 million won per month answered that they now spend more compared to the second half of 2009.  Only 9 percent of the high income group answered that they now spend less.  On the other hand, people in the low income group who earn less than 1 million won per month showed opposite results, 9 percent increased spending and 22 percent reduced spending.  Food was the leading item that people increased spending.  26% of people answered that they now spend more on food purchase.

Gov’t to Input W150 Billion to Ag. Researches [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010040703000092910&linkid=4&newssetid=1352

Ministry of Agriculture announced on April 6 that a total of W150 billion of government funds will be provided to agricultural researches by 2024.  The plan will feed W1 billion of research funds to a total of 15 designated Agricultural Research Centers (ARC) for as long as 10 years which is expected to result in development of new technologies, such as information technology and genetic technology, and business opportunities in agriculture.  The application deadline for the year 2010-2020 term (which will select three research centers) is April 30.

Gov’t to Introduce CO2 Certificate Labeling Regulation on Food Products Next Year [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010040603000011410&linkid=4&newssetid=1352

Summary: Ministry of Agriculture announced on April 6 that CO2 certificate labeling system would be introduced next year which will allow food manufacturers to attach special certificate label on products that meet government guideline on CO2 emission.  

Food & Wine Picks A Korean American Top 10 Best New Chefs for 2010 [Korean, OSY]

http://www.koreatimes.com/article/587030

Summary: A leading American dining magazine, Food & Wine, picked Roy Choi, a young Korean American chef, as one of the top 10 new chefs for 2010, recognizing his innovative recipes based on Korean cuisine.  Mr. Choi has drawn a heavy attention in Los Angeles market with “kogi BBQ”, a mobile quick service taco outlet on the truck.  Wall Street Journal also carried a special article about the success of his business earlier this year.  Mr. Choi graduated from the Culinary Institute of America and worked for 7 years in a Hilton Hotel before starting the mobile taco business.

KFDA Investigation Found Illegal Health Claims in Advertisements of 353 Functional Food Products [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010041403000045410&linkid=4&newssetid=1352

Summary: KFDA announced on April 13 that its investigation during the first quarter this year found violations with regard to efficacy claims in advertisements of 353 functional food products currently sold in the market.  For example, an advertisement claimed that blueberry juice could prevent progression of cancer.  Advertisements on Internet sites were the leading channel of violations, KFDA added. 

KFDA Orders Recall on Pringles Potato Chip [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?linkid=443&articleid=20100415121843529i3&newssetid=1270

Summary: KFDA ordered recall on Pringles “Original” potato chip cans with expiration dates up to May 13, 2010 after investigation on the processing plant based on a consumer complaint of finding aluminum pieces in the can.

Hyundai Heavy Industry Co. Harvested 6,500 Tons of Grain from Its Farm in Eastern Russia [Korean, OSY]

http://www.cbs.co.kr/nocut/show.asp?idx=1447488

Summary: Hyundai Heavy Industry Co. reported that its farm in Eastern Russia, which the company purchased in April 2009, harvested 4,500 tons of soybean and 2,000 tons of corn during the last one year.  Hyundai plans to bring 1,000 tons of the corn to Korea for feed use within this year.  The company also plans to increase the acreage of the farm from the current 10,000 ha to 50,000 ha by 2012.

Food & Beverage Companies Are Paying Attention to Food Pairing Ideas [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?linkid=443&articleid=2010042013132345407&newssetid=5

Summary: An important trend in the food & beverage industry in Korea is increased attention on food pairing ideas.  Many of the new advertisements and promotional campaigns recently launched by local food & beverage companies are incorporating the theme of food pairing.  For example, a new sales promotion campaign by Kingdom whisky offers prizes for matching recipes developed by the consumers.  Many advertisements by sauce and condiment companies are featuring suggested recipes that incorporate the target products.  

Gov’t to Select 13 Cooking Institutes that will Generate Korean Cuisine “Star Chefs” [Korean, OSY]

http://kr.news.yahoo.com/service/news/shellview.htm?articleid=2010042203000092510&linkid=4&newssetid=1352

Summary: Ministry of Ag. announced on April 21 that it will select a total of 13 local cooking institutes which will offer special programs aimed to generate Korean cuisine “star chefs”.  Selected institutes will be supported 70 percent of expenses spent on the special program for two years by the government.

More food makers top 1 trillion won [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919704

Summary: The number of local food manufacturing firms with sales over 1 trillion won ($906 million) jumped from nine in 2008 to 11 in 2009, according to CJ Cheiljedang, the nation’s leading food manufacturer, yesterday. Their overall sales and operating profit improved last year compared to the previous year, when sales were down due to the global economic crisis and high exchange rate

Unusually Cold Spring Weather Doubles Fresh Vegetable Price [Korean, OSY]

http://news.donga.com/Economy/3/01/20100428/27932271/1&top=1

Summary: Retail price of green onion and radish in April increased over 100 percent from the same period last year.  Other fresh vegetables such as onion and cucumber showed similar price hikes due to the unusually cold spring weather this year.  Market analysts expect that the price of fresh produce in general will get stabilized in late May when the green houses start to harvest new crops.

7. North Korea Issues

N.Korea Distributes Rice from Military Storage [English, CSY]

http://english.chosun.com/site/data/html_dir/2010/04/23/2010042301264.html

Summary: Food prices in North Korea have stabilized because the regime took the emergency measure of distributing rice stored for the military, a high-ranking South Korean government official said Thursday.   The Unification Ministry told the National Assembly on April 13 that the price of rice in North Korea was around 20 won per kilogram right after the botched currency reform late last year but soared to 1,000 won in mid-March. In early April, the price dropped to 500-600 won. At the time, experts predicted that the lean season in April and May coupled with the failed currency reform would cause increasing starvation. North Korea is over 1 million tons of food short this year.

8. Other/Miscellaneous Issues

Seoul KCS to Test Imported Food and Food Packages for Heavy Metals [Korean: CSA]

http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=100&oid=001&aid=0003205723

Summary) Korea Customs Service Seoul headquarters announced that they would conduct testing of imported ag. and food products and food packages for heavy metals including lead, cadmium, mercury, and others starting June this year.  Information on products that exceeds KFDA’s standards will be notified to relevant agencies including KFDA and KCS regional offices in order to block imports of such products.  KCS Seoul headquarters advised that importers make sure in advance that imported products do not contain heavy metals.  

New KFDA Commissioner, “Agency to Handle Food Safety Should be Independent” [Korean: CSA]

http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=100&oid=001&aid=0003203357

Summary) The newly appointed KFDA Commissioner Roh said at the press interview, “It is common sense to separate the agency responsible for producer/suppliers and the agency responsible for consumer safety to pursue food safety.”  This comment was to mean to express his objection to unification of food related tasks from farm to table to one agency, which is likely to be MIFAFF.  Concerning KFDA’s move to Osong, he will provide KFDA’s vision to KFDA staff and resolve employee benefit issues as many KFDA staff expressed that they would move to other agencies or companies instead of moving to Osong.

Wine prices slashed to sell stocks [English: CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2918709

Summary: Wine’s had a bad year. Imports of the fermented grape libation fell 21 percent last year, losing ground to native favorites like makgeolli.  But shoppers still packed the basement of Shinsegae Department Store’s central Seoul branch yesterday for the first day of its semiannual wine sale, which promises recession-friendly bargains as ever on the occasion of the retailer’s 80th anniversary

First lady works on People’s garden at the White House [Korean: BYK]

http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=104&oid=003&aid=0003165627

Summary: The fist lady along with USDA Secretary worked on the garden at the White House on March 31. 

S. Korea's farm exports surge to record high in Q1 [English: CSY]

Summary: South Korea's farm and food exports surged to a record high in the first quarter due to the steady pace of the economic recovery and aggressive marketing efforts, a state-run trade corporation said Thursday.  According to a report by the Korea Agro-Fisheries Trade Corp., outbound shipments of farm and food products jumped 20 percent on-year to US$1.2 billion, the highest tallied for a three-month period.

Excessive Preservatives Found in Popular Drink Brands [English: CSY]

http://www.koreatimes.co.kr/www/news/nation/2010/04/113_63757.html

Summary: Best-selling, nutritive drink brands, including "Ssanghwatang," were found to contain excessive amounts of preservatives but have been sold for 12 years without being monitored or the companies' being fined by the nation's food agency. The Korea Food and Drug Administration has been blind to the excessive amount of preservatives used in the popular drinks made from Oriental herbs, it was revealed Tuesday.

These products were distributed to the public at pharmacies until the Board of Audit and Inspection (BAI) recently criticized the loose monitoring system.  According to the drug administration, a total of 14 products from nine pharmaceutical companies, which include nationwide bestselling "Ssanghwatang," "Shipjeondaebotang" "Seunggamtang" and others, contained up to 0.1 percent of preservatives, far higher than the government's regulation of 0.06 percent for all drink products.

Japan lifts blanket screening on S. Korean vegetables [English, CSY]

Summary: Japan has lifted its blanket farm chemical screening rules for South Korean vegetables, a measure to benefit local vegetable exporters, the government said Thursday.  The Ministry for Food, Agriculture, Forestry and Fisheries said Tokyo has notified Seoul that it will waive its complete screening rules for residual chemicals on cherry tomatoes, two kinds of lettuce, dropwort, leeks and green onions.

S. Korea's green growth efforts rank 15th in OECD: report [English, CSY]

Summary: South Korea's efforts to promote low-carbon, green growth ranked 15th among members of the Organization for Economic Cooperation and Development (OECD), a report by a state-run think tank said Thursday.  The Science and Technology Policy Institute (STEPI) said the findings are based on an indigenously developed evaluation system that calculates the resolve of the government, systemic support and setting up of a low carbon paradigm that is accepted by the general public.

MSG Additive Safety Brought to Light Again [English, CSY]

http://www.koreatimes.co.kr/www/news/nation/2010/04/113_63887.html

Summary: Food makers and civic groups are up in arms over the Korea Food and Drug Administration's latest decision that monosodium glutamate (MSG) used as a food additive is not dangerous. While manufacturers hail the announcement as reassuring the safety of their products, civic activists denounce it as an ``encouragement for excessive intake.''

'Pilot export' of hot pepper paste reaches Europe [English, CSY]

Summary: A pilot export of the spicy Korean chili-pepper paste known as "gochujang" sold in tubes has reached Europe, a state-run farm trade corporation said Monday, adding it could help secure more orders down the road.  The Korea Agro-Fisheries Trade Corp. said 40,000 15-gram tubes of gochujang reached the port of Rotterdam and will be sent to KLM Royal Dutch Airlines for use on in-flight meals starting this month. The product can be added to food by simply squeezing the tube like toothpaste.

Population of two Koreas grows over past few years: data [English, CSY]

Summary: The number of population on the Korean Peninsular grew over the past few years mainly due to influx of foreigners in South Korea and high birth rates in the communist neighbor North Korea, data showed Wednesday. According to the data provided by Statistics Korea and other agencies that monitor the North, the combined population on the peninsular totaled 73.82 million last year, up about 3 million from 2003.

The figure was based on 49.77 million for South Korea as of the end of 2009 and 24.05 million for the North, which conducted a census in late 2008. Data from a U.N. organization were also included in calculating the total population. The increase came mostly from massive influx of foreigners to the South Korea despite falling birth rates among its citizens. More than 1 million foreigners reside in the South.

Nonghyup plan on hold? [English, CSY]

Opposition wants to delay law on the insurance sector

http://joongangdaily.joins.com/article/view.asp?aid=2919220

Summary: A controversial bill to allow the state-run National Agricultural Cooperative Federation, or Nonghyup, to enter the insurance business is facing an increasingly uncertain future as lawmakers appear to be having second thoughts since the proposal threatens the private insurance industry.  The insurance industry has increased lobbying against the measure, saying the bill would give Nonghyup an unfair edge in the local insurance market. The National Assembly’s Food, Agriculture, Forestry and Fisheries Committee started a formal review of the legislation this week, with a vote to approve passage scheduled to occur by the end of next week.

Former MIFAFF Minister Woon Chun Chung to run for Governor of North Cholla [Korean: BYK]

http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=100&oid=001&aid=0003226273

Summary: Former MIFAFF Minister Woon Chun Chung announced that he will be running for the Governor of North Cholla during the upcoming local elections to be held on June 2, 2010.  The Grand National Party (GNP) is hoping that he will be able to obtain two digit support in this region which has traditionally been very negative toward the GNP.

Kraze Burgers, Mr. Pizza set to go overseas [English, CSY]

International ambitions slated for 13 local franchises

http://joongangdaily.joins.com/article/view.asp?aid=2919305

Summary: The Korean government wants Mr. Pizza and Kraze Burgers to become international brands that could compete with the likes of Pizza Hut and McDonald’s.  The Ministry of Knowledge Economy and the Korea Trade-Investment Promotion Agency, or Kotra, said yesterday they will provide 13 local franchises with support to launch their businesses overseas.  The companies will receive state support in conducting overseas market research and understanding legal and financial procedures in establishing operations.

The franchises will also receive help in finding local business partners, outsourcing contractors, local employees and marketing advice. Eight of the 13 franchises are food outlets, while other businesses include hair salons, laundries and opticians.  Domestic franchise businesses have expanded rapidly, with the value of the franchise market estimated at 86 trillion won ($77.5 billion) this year. But efforts to expand overseas have been slow due to lack of knowledge.

Wood product makers suffer timber shortage [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919302

Summary: Donghwa’s 100,000-square meter factory in Gajwa-dong, Incheon, was eerily quiet during a recent visit to the timber product maker early this month. The factory had been out of operation for the previous week.  A timber storage area to supply material for the particle board that the company produces was nearly empty. Company officials said less than less than 1,000 tons of timber was being stored in the yard compared with 30,000 tons in mid-2009.

Korean 'makgeolli' exports hit record high in March [English, CSY]

Summary: Exports of the traditional Korean rice wine "makgeolli" hit an all-time monthly high in March, closely trailing the country's export levels of beer and soju, a government report said Friday.  According to the report by the Korea Customs Service, outbound shipments of makgeolli reached US$1.52 million last month, up 27 percent from its previous monthly record set in December 2009.

Compared to a year ago, the country's makgeolli exports more than tripled in March while rising 30 percent from the month before.  In terms of volume, the country's makgeolli exports came to 1,480 tons last month, beating December's record of 1,241 tons. Japan topped the list of makgeolli importers with $1.33 million, followed by the United States with $104,000 and China with $55,000.

KCCI: carbon tax taxing [English, CSY]

Business group predicts productivity decline, job losses

http://joongangdaily.joins.com/article/view.asp?aid=2919515

Summary: A new corporate tax tied to carbon emissions could create a host of unintended side effects including a decline in production and tens of thousands of job losses, according to a report released yesterday by the Korea Chamber of Commerce and Industry.  The business group estimates that total manufacturing product volume will dip by 2.5 percent in 2013 from expected levels for the year because of the so-called carbon tax, which the government hopes will lower emissions by about 4 percent as part of its environmental-focused efforts. The tax will be levied starting this year.

Fish industry hopes for bump in exports [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919648

Full Text: Korean companies will try to secure $21.41 million worth of export orders at Europe’s largest seafood event planned for this week in Brussels, the government said yesterday.  

The Ministry for Food, Agriculture, Forestry and Fisheries said 10 companies will attend the European Seafood Exposition 2010 to highlight locally produced fresh, canned and ready-made products and hold tasting events.

Gov't to tighten inspections of eco-friendly farm products [English, CSY]

Full text: The government said Tuesday that it will tighten inspections of eco-friendly farm products sold on the market to better meet consumer demand for safe food.  The National Agricultural Products Quality Management Service said the measure is aimed at fighting a steady rise in products that fail to meet set standards for residual pesticides and chemical fertilizers.  In 2009, the state-run body checked 13,444 products that have received so-called green certificates and found problems in 391, up from 184 detected in 2007 when 9,353 products were checked randomly. Products with "green" certificate are in high demand and fetch higher prices on the market than ordinary agricultural goods and those imported from abroad.

South Korea started issuing certificates through civilian quality control companies as of 2001 so consumers can choose the food they want to eat. The service said farm products that fail to meet quality control standards will be barred from using the certificates in the future. In serious cases, tougher administrative measures may be taken. The agency under the farm ministry said that it will also strengthen oversight of the 62 civilian quality control companies across the country to make certain that state regulations are followed. Information on farms that raise certified eco-friendly products will be posted on the Internet (www.enviagro.go.kr) so consumers can check the products they are buying.

Fruit imports up sharply [English, CSY]

http://joongangdaily.joins.com/article/view.asp?aid=2919759

Full text:Korea’s fruit imports shot up last month due largely to a dwindling supply of local fruit amid a prolonged cold snap, the nation’s customs office said yesterday.  According to the Korea Customs Service, the country’s orange imports more than tripled from a month ago to $33.33 million in March. In terms of amount, imports of oranges jumped 222 percent to 29,266 tons over the same period.  Compared to a year earlier, the country’s imports of oranges soared 70 percent. The United States was the sole orange exporter to Korea in the reported month.

The country’s imports of bananas and pineapples from the Philippines also increased 61 percent and 50 percent, respectively, from the month before to $21.13 million and $3.98 million in March. During the same period, imports of grapes surged 245 percent to $20.11 million. The country’s grape imports more than doubled from a year ago in the cited month.

Korea gets least sunlight in 40 years [Korean: BYK]

http://news.joins.com/article/aid/2010/04/28/3707852.html?cloc=olink|article|default

Summary: Korea has had the least sunlight this year in 40 years.  The amount of sun light that Korea got during the period March 1 – April 20 was 91 hours shorter than the average sun light time in the past 10 years.  The rainy days were 19.6 days during this period, which is 52% higher than the average 12.9 days.  The sun light hours marked 247.1 hours during this period which is 27% lower than the average 338.1 hours in the past ten years.  Because of this, further damage to the agricultural production is expected for this year.