After a blast production in the country of around 4.24 million tons in 2014 and consumption below 4 million tons, the country has decided to open its rice export to its vast Chinese market and hence lift the restriction on staple grain, according to Ministry of agriculture.
South Korean government is keen to revise the outdated laws and clauses that restrict the volume of rice to be exported as well as the price of exported rice within time bound.
Quoted an Agricultural Ministry official, the country has decided to export rice after good rice production in the country and less consumption. They noted that export in the country would balance the supply-demand chain and hence stabilize the local rice prices especially when the government has open its import market and has revised a tariff of 513% on rice import. The government is mandated to import 408,700 tons of rice according to WTO rules.
Statistics Data reveals that per capital consumption of rice in S. Korea fell to the lowest at 65.1 Kg in 2014 down by about 3% from around 67.2 Kg after switching their interest to non-rice commodities.
Ministry was also quoted saying that they are also keen to export their rice to china hence they have invited a team of delegated from China to investigate Korean rice for pest and disease risk present if any. Frankly they are not so keen to export rice to Japan after high tariff rates prevailing in the country.
USDA estimates South Korea’s milled rice production at around 4.24 million tons in MY 2014-15 slightly up from estimated 4.23 million tons in MY 2013-14.It estimated South Korea to import around 410,000 tons of rice in MY 2014-15 up about 31% from 310,000 tons of rice imported in MY 2013-14.
USDA estimates South Korea’s 2014-15 domestic consumption to be declined to around 4.45 million tons from around 4.46 million tons in 2013-14.