Ministry of Agriculture, Food and Rural Affairs expands agri-food exports by providing additional support for logistics costs in South Korea

South Korea

Published Oct 13, 2021

Tridge summary

Taking the lead in resolving the problem of insufficient shipping space and rising freight rates, the government will provide additional support for logistics costs from this month to December to expand agricultural and food exports. The Ministry of Agriculture, Food and Rural Affairs announced on the 12th that it plans to expand export logistics support to solve the problem of insufficient shipping space and rising freight rates, which are a major obstacle to export of agri-food. Previously, the Ministry of Agriculture, Food and Rural Affairs has secured the volume (200TEU per month) of agro-food-only vessels for ships on US routes through an agreement with HMM, and has provided additional logistics costs of 5% to exporters who use them. However, as the agri-food export industry is in deep trouble due to the re-spreading and prolonged COVID-19, the Ministry of Agriculture, Food and Rural Affairs has issued additional support measures. As part of that, the Ministry of Agriculture, Food and Rural Affairs plans to expand the route for agri-food vessels from the West Bank to Sydney, Melbourne and Brisbane, Australia from next month. Agri-food exports to Australia amount to $166 million annually, and it is one of the exporting countries with high growth potential, mainly exporting mushrooms, pears, and kimchi.

Original content

Lack of shipping space Taking the lead in solving the problem of rising freight rates The government will provide additional support for logistics costs from this month to December to expand agricultural food exports. The Ministry of Agriculture, Food and Rural Affairs announced on the 12th that it plans to expand export logistics support to solve the problem of insufficient shipping space and rising freight rates, which are a major obstacle to export of agri-food. Previously, the Ministry of Agriculture, Food and Rural Affairs has secured the volume (200TEU per month) of agro-food-only vessels for ships on US routes through an agreement with HMM, and has provided additional logistics costs of 5% to exporters who use them. However, as the agri-food export industry is in deep trouble due to the re-spreading and prolonged COVID-19, the Ministry of Agriculture, Food and Rural Affairs has issued additional support measures. As part of that, the Ministry of Agriculture, Food and Rural ...

Source: Aflnews