Securing 600 Tons of Highly Import-Dependent 'Wheat, Soybeans, and Corn' by 2027

The 4th Comprehensive Plan for Overseas Agricultural Resource Development

The government has designated wheat, soybeans, corn, oil palm (edible oil), and cassava (starch), which have a high dependence on overseas imports, as strategic items and plans to secure 6 million tons of these items by 2027.

On the 3rd, the Ministry of Agriculture, Food and Rural Affairs announced the "4th Comprehensive Plan for Overseas Agricultural Resource Development (2023?2027)" containing these details and presented the main tasks to be pursued over the next five years.

The Comprehensive Plan for Overseas Agricultural Resource Development is established under the Overseas Agricultural and Forestry Resource Development Cooperation Act. It is a mid- to long-term plan aimed at supporting the private sector's overseas agricultural expansion and securing agricultural resources stably to prepare for emergencies such as international food crises.

Since 2009, the Ministry of Agriculture, Food and Rural Affairs has been promoting overseas agricultural resource development by establishing comprehensive plans. The newly established 4th comprehensive plan is a five-year action plan to achieve the agricultural policy goals of the Yoon Suk-yeol administration, with the objective of "securing stable overseas supply chains for major grains and agricultural products with high import dependence and strengthening domestic import capabilities."

First, to ensure the stable acquisition of strategic items, the government selected strategic items for concentrated overseas agricultural support by considering factors such as overseas import dependence, domestic and international market and supply chain conditions, and the impact on domestic prices. The strategic items are wheat, soybeans, and corn for food security, and oil palm (edible oil) and cassava (starch), which are essential raw materials for the food industry.

The government plans to prioritize companies entering the wheat, soybean, corn, oil palm, and cassava sectors when implementing overseas agricultural industry expansion support projects and assist in securing domestic demand channels to secure 6 million tons by 2027. This target is three times the amount secured in 2021 (2.08 million tons).

Additionally, to respond to issues such as export restrictions on agricultural products caused by war and abnormal climate, the government plans to diversify the regions for overseas agricultural resource development. Beyond the existing focus on the Russian Far East and Southeast Asia, new base regions will be identified in the Americas, the Commonwealth of Independent States (CIS), and Oceania.

Customized support for companies according to the type of entry will also be promoted. In strategic item sectors such as grains, the government will encourage large corporations to enter and support overseas agricultural resource development throughout production, distribution, and processing. For sectors like fruit trees, horticulture, and livestock, which can generate profits with small-scale investments, priority support will be given to small and medium-sized enterprises (SMEs). Furthermore, stable local settlement of overseas SMEs will be prioritized, and they will be nurtured to enter strategic item sectors as they grow.

In addition, companies operating overseas farms and directly producing agricultural products will be provided with varieties that have excellent local adaptability and supported in developing farming technologies. Companies entering the distribution and processing sectors of overseas agricultural products will be supported to secure stable demand by linking with domestic food and feed companies.

To facilitate the smooth import of agricultural products secured overseas during emergencies, institutional improvements will also be pursued. Legal grounds will be established to compensate overseas agricultural companies for losses incurred during the implementation of emergency import orders and to obtain cooperation from related agencies. Moreover, connections between domestic demand companies and overseas agricultural companies will be activated to support both emergency preparedness and the expansion of regular trade. Safety inspections and quarantine support necessary for domestic import of agricultural products will be provided to pre-secure domestic import routes in preparation for emergencies.

For the long-term development of overseas agricultural resource development, the government will foster young talent and support youth entrepreneurship. New curricula related to overseas agriculture will be established, and practical training at local farms of overseas companies, preliminary local surveys, consulting support, and various information on local laws, systems, policies, market conditions, success stories, and challenges will be provided.