Government Declares "Second Golf Popularization"... 'Reorganization into Membership, Non-membership, and Public Types'

Announcement of Measures to Rationalize Golf Course Usage and Innovate the Golf Industry, Addressing Excessive Green Fees and Forced Use of Caddies and Carts

Minister of Culture, Sports and Tourism Hwang Hee is attending the 'Second Declaration of Golf Popularization' event and announcing measures to rationalize golf course usage and innovate the golf industry. Photo by Ministry of Culture, Sports and Tourism

[Asia Economy Reporter No Woo-rae] The government is increasing the number of ‘Good Golf Courses’ where caddies and carts can be chosen.

On the 20th, the Ministry of Culture, Sports and Tourism announced the ‘Rationalization of Golf Course Use and Innovation Plan for the Golf Industry’ as an agenda item at the National Policy Coordination and Inspection Meeting. Through the ‘Second Golf Popularization Declaration Ceremony,’ it set a policy direction aiming for 6 million golf players and a market size of 22 trillion won by 2026, focusing on practical golf popularization and sustainable industry innovation. It expresses the intention to resolve issues such as excessive fees at some public golf courses and mandatory use of caddies and carts.

The Act on the Installation and Use of Sports Facilities will be amended to reorganize into a three-tier system of membership, non-membership, and public types. Public golf courses refer to non-membership golf courses that meet the requirements for national sports promotion. Fees, the option to choose caddies and carts, and prices for ancillary services will be set by subordinate statutes. Existing public golf courses that insist on high prices and luxury will be classified as non-membership golf courses, and the appropriateness of tax benefits will be reexamined.

Recently, as public golf courses have raised green fees or operated almost like membership golf courses, there have been criticisms that there is no need to maintain tax benefits for high-priced golf courses. Taking this opportunity to reorganize the golf course classification system, the current tax system will be reviewed again, and alternatives including the abolition of excise tax exemption for non-membership golf courses will be considered. On the other hand, public golf courses will be supported with tax rationalization and preferential loans from sports funds.

A new regulation prohibiting the forced use of game assistants, carts, and restaurants will be added to the standard terms and conditions for golf course use, and cancellation penalties will be rationalized. The government will also increase the number of public ‘Ecolian’ golf courses, currently five, by utilizing idle sites such as landfills. It will expand golf courses where the weekend 18-hole fee is possible under 100,000 won. If safety is secured, the distance between courses will be flexibly adjusted from the current 20m regulation.

Fifty billion won will be invested this year in the ‘Sports Tech Project,’ which supports the development of innovative products through collaboration among golf and sports equipment manufacturers, information and communication technology companies, universities, and research institutes. In addition, government investment in research and development for the golf and sports industry will be gradually increased from 17.7 billion won last year. To ensure stable caddy supply and strengthen expertise, a systematic caddy training and evaluation system will be established centered on private associations, and education and training support will be expanded.

Gradual enrollment of caddies in the four major social insurances and promotion of card payment for caddy fees will improve social awareness of the occupation and resolve user complaints. Minister of Culture, Sports and Tourism Hwang Hee said, “We hope consumers will have opportunities to use various types of golf courses at more affordable prices,” and added, “We expect the industry to create new markets through innovative service development, leading to the second popularization of golf.”