Ministry of Industry Strengthens Communication with Local SMEs... Revamps FTA Support System

The 33rd Domestic Measures Committee for Trade Treaty

[Asia Economy Sejong=Reporter Dongwoo Lee] On the 23rd, the Ministry of Trade, Industry and Energy announced that it will reorganize the 18 Free Trade Agreement (FTA) Utilization Support Centers nationwide into 'FTA and Trade Promotion Centers' to strengthen communication with local small and medium-sized enterprises (SMEs).

The ministry held the '33rd Domestic Measures Committee on Trade Agreements' at the President Hotel in Jung-gu, Seoul, on the same day to discuss these institutional improvement plans.

The government first decided to reflect the difficulties and suggestions of local SMEs in trade policies when establishing the FTA support system. To this end, a 'Regional Trade Promotion Agency Council' will be formed, consisting of local governments and trade/export support organizations by region, and through monthly regular meetings, it plans to discuss and resolve trade difficulties faced by local SMEs identified by each institution.

The current trade adjustment support system, which focuses on short-term fund loans, will be transformed into a system that proactively and actively supports the strengthening of corporate competitiveness. Until now, the trade adjustment support system has provided short-term fund loans to companies affected by trade issues, but it has been judged to be merely a temporary life-extension measure. To fundamentally strengthen the competitiveness of affected companies, a mid- to long-term 'technology and management convergence support' will be provided using trade adaptation support centers, public research institutions, universities, and corporate support organizations.

In his opening remarks, Trade Negotiations Chief Andeok Geun said, "Recent issues such as the global supply chain crisis and climate change are becoming an opportunity to establish a new international trade order different from before," adding, "Since the success or failure of negotiations depends on how quickly our companies adapt to the new trade order, we will concretize and promptly implement various corporate support measures, including the institutional improvement agenda to be discussed today, through close consultations with related ministries and agencies."

Andeok Geun, Head of Trade Negotiations at the Ministry of Trade, Industry and Energy, is speaking at the 2nd Export Situation Review Meeting held on the 6th at the Korea International Trade Association in Gangnam-gu, Seoul. Photo by Moon Honam munonam@