News

Only the franchise companies benefit from the chicken quota tariffs in South Korea

Frozen Whole Chicken
Meat
South Korea
Regulation & Compliances
Market & Price Trends
Published Feb 29, 2024

Tridge summary

The Korea Broiler Association is urging for the suspension of quota tariffs on imported chicken, arguing that it only benefits certain chicken franchise companies while negatively impacting producers and consumers. The policy has led to the largest chicken franchises in Korea increasing their product prices while using cheaper imported chicken, causing public outrage. The government's 0% quota tariff policy has made imported chicken half the price of domestic chicken, resulting in domestic chicken companies only achieving a 2-3% average operating profit ratio, while franchises like BHC Chicken enjoy around 30%.
Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

Even though they use cheap imported chicken such as BHC chicken, the price goes up. Meat Association “Take measures to prevent threats to farmers’ right to survive and damage to consumers” [Reporter Seo Dong-hwi, Livestock News] The Korea Broiler Association has again called for the suspension of quota tariffs on imported chicken. Last year, chicken imports reached an all-time high due to the aftermath of the quota policy. In addition, controversy is erupting as it appears that the government's chicken quota import policy only enriches some chicken franchise companies and the damage is passed on to producers, domestic chicken producers, and consumers. Recently, as the price of domestic chicken has risen, the largest chicken franchise companies in Korea are raising the price of chicken products while using imported products such as cheap frozen chicken from Brazil, causing public outrage. In particular, BHC Chicken, which has been under a lot of criticism from the media, was ...
Source: Chuksannews
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