SEOUL, KOREA - Korean agricultural product exporters are busy preparing plans ahead of the planned changes in import policy of major import markets, such as Japan, China and the U.S. in April and May.
Japan has been one of the most important export markets for Korean agricultural products, which has recently undergone a significant change - it raised its consumption tax from five percent to eight percent. The general price increase in the country’s economy is expected to bring some changes to how agricultural products are consumed. A study by the Osaka Branch of the Korea Agro-Fisheries & Food Trade Corporation (‘aT’) found that fresh agricultural products, including paprika, will not be substantially impacted, since they are daily necessities, while consumption of processed food with low consumption frequency will somewhat decrease.
As Chinese authorities strengthen quarantine measures on imported dairy products and mandate that foreign makers register with them, a ground-breaking change in the Chinese import dairy market is anticipated. The melamine incident in 2008 drove Chinese consumers to distrust domestic powdered milk and dairy products and to flock to imported dairy products - for example the export of Korean-made powdered milk grew 10 times following the incident. General Administration of Quality Supervision, Inspection and Quarantine of PRC (‘AQSIQ’) enforced measures on the quarantine of imported dairy products from May 1 last year by a one-year grace period to strengthen its inspection of imported dairy products, mandating that companies producing products offshore to register with regulation.
According to the Shanghai Branch of aT, the expiry of the grace period this month is expected to bring change to imported dairy in China. Korean Ministry of Agriculture, Food and Rural Affairs (‘MAFRA’) and aT are working closely with governmental and private organizations to prepare for strengthened regulations in China and to support Korean export businesses in trade.
Meanwhile, export of food for traditional Korean dishes, such as chicken for Samkyetang, to the U.S. is slated to begin in full-scale. The USDA had announced that it will allow the import of processed poultry from Korea last March. According to the New York Branch of aT, the export of processed poultry to the U.S. is expected to be robust by this coming May 25, when sixty days elapse from the USDA announcement.
MAFRA and aT are focusing to expand the presence of Korean food products in the U.S. by planning product promotions there with large distributors.
