Ministry of Agriculture, Food and Rural Affairs finally selects Korean beef, beef cattle, Korean beef calves, and mung beans for direct payment for damage under the 2024 Free Trade Agreement (FTA).

The Ministry of Agriculture, Food and Rural Affairs (Minister Song Mi-ryeong) finally selected Korean beef, Korean beef calves, mung beans, and beef cattle as items eligible for direct payment support for damages under the 2024 Free Trade Agreement.

The Direct Damage Compensation Payment System is a system that compensates for some of the damage for items whose import volume has increased and prices have fallen due to the implementation of the free trade agreement. The amount paid directly is paid to agriculture and agricultural corporations (farmers, etc.) that have grown or raised the relevant item before the effective date of the free trade agreement, taking into account the contribution to income, etc., within the range of 95% of the decrease in the domestic price of the year compared to the base price.

The Korea Rural Economic Institute (KREI) based on the results of analysis by the support center for farmers and others in accordance with the implementation of the free trade agreement, ‘24.5.13.~’24.6.3. After administrative notice during the period, the Support Committee for Farmers, etc. in accordance with the implementation of the Free Trade Agreement made the final decision on the items eligible for support and the import contribution of each item through deliberation and resolution on June 26, 2024. Items eligible for support include Korean beef, Korean beef calves, beef cattle, and mung beans, and the import contribution of each item was set at 23.3% for Korean beef and beef cattle, 37.9% for Korean beef calves, and 58.7% for mung beans.

• A total of 106 items (42 monitoring items, 64 application items for farmers, etc.) were investigated and support targets were selected.

Those eligible for direct payments include farmers who were engaged in the production of the relevant item before the effective date of the standard agreement. Farmers who wish to receive direct payments can submit the relevant documents (refer to the application guide or contact the competent office) and payment application form to the competent town/myeon/dong office in the area where the items eligible for support were produced by August 9th. Afterwards, the final decision on whether to pay and the amount of support will be made after a written and on-site investigation by local autonomous authorities.

An official from the Ministry of Agriculture, Food and Rural Affairs emphasized that local governments should actively guide farmers who meet the payment requirements so that they do not miss out on their applications, and urged farmers to complete their applications within the deadline.

Editor. Seyeong Hong