Government Prioritizes Market Isolation of 200,000 Tons of Rice

Announcement of Cebu Purchase Plan on the 24th

On the afternoon of December 28 last year, an official is seen inspecting the purchased rice at the Suracheong United Agricultural Cooperative Rice Processing Complex (RPC) in Bibong-myeon, Hwaseong-si, Gyeonggi-do. (Image source=Yonhap News)

[Sejong=Asia Economy Reporter Moon Chaeseok] The Ministry of Agriculture, Food and Rural Affairs announced that starting from the 24th, it will proceed with the market isolation purchase procedure for 200,000 tons (t) of 2021 rice. To stabilize the rice market, it was decided to first isolate 200,000 tons out of the 270,000 tons of excess production as of December 28 last year. The remaining 70,000 tons of excess production will have the timing of additional purchases decided based on future market conditions and private stock levels.

On this day, the Ministry of Agriculture, Food and Rural Affairs announced detailed purchase plans. The target for this market isolation purchase is 2021 rice paddy held by farmers, Nonghyup, and private production area distribution companies (RPC). It will be conducted through a public competitive bidding method by province. Bidding can be participated through Nonghyup's 'Internet Paddy Auction System' website. In particular, this market isolation plans to prioritize purchasing quantities held by farmers. Farmers wishing to participate in market isolation should consult with the local Nonghyup in their city or county and participate in the bidding through the local Nonghyup. The purchase quantities for market isolation rice will be allocated by province, reflecting regional rice stock and the degree of decline in production area rice prices compared to the previous year. The Ministry plans to conduct bidding on the 8th of next month after the bidding preparation process, complete purchase inspections, and finalize acquisition. For detailed information, refer to the announcement on the Internet Paddy Auction System website.

Meanwhile, the Ministry of Agriculture, Food and Rural Affairs also announced plans to prepare a rice paddy cultivation area adjustment plan through consultations with local governments to stabilize the supply and demand of 2022 rice.