Assemblyman Seo Samsuk: "Urgent Need to Introduce Minimum Price Guarantee System for Agricultural Products"

Call to Withdraw Decision on Importing 90,000 Tons of Onions... Government Fails to Control Supply

Farmers Forced to Sacrifice... Agricultural Management Costs Up 36% Compared to 10 Years Ago

As the government has decided to import 90,000 tons of onions under a low tariff rate, demands have been raised to immediately withdraw the import policy that only forces sacrifices on producing farmers amid the situation where this year's onion purchase price has not been finalized, and to establish fundamental price stabilization measures.

Seo Sam-seok, a member of the National Assembly from the Democratic Party of Korea representing Yeongam, Muan, and Sinan, and a member of the National Assembly's Agriculture, Forestry, Livestock, Food, and Maritime Affairs Committee, urged on the 18th regarding the Ministry of Economy and Finance's decision to import onions, saying, "The government's decision to import onions contradicts the purpose of stabilizing prices, accelerating the economic losses of our farmers due to price declines, and inevitably causing a drop in onion self-sufficiency rates."

National Assembly Agriculture, Forestry, Livestock, Food, Marine, and Fisheries Committee Member of the Democratic Party of Korea Seo Sam-seok (Yeongam, Muan, Sinan)
[Photo by Seo Sam-seok’s Office]

On the 7th, the Ministry of Economy and Finance (hereinafter referred to as MOEF) announced through the '27th Emergency Economic Vice-Ministerial Meeting' and the '7th Meeting of the Job Task Force (TF)' that it would increase the low tariff quota (TRQ) volume for onions by 90,000 tons and supply them to the market from the end of July.

As a result, up to 90,000 tons of onions can be additionally imported under the low tariff rate. This is more than four times the 20,000 tons imported from January to April.

The National Onion Producers Association, a production organization, is actively opposing this import announcement.

Operating costs such as pesticide expenses and fuel costs for onion production have been increasing every year, and this year's labor cost alone amounts to about 160,000 won. Even if onion prices rise, farmers find it difficult to cover production costs.

According to the 'Farm Household Economy Survey' published by Statistics Korea, the 'agricultural management expenses' used for farm operations amounted to 25,119,000 won last year, which is a 36% increase compared to 2012, ten years ago, indicating that the burden on farmers is increasing every year.

Assemblyman Seo Sam-seok emphasized, "The government's complacent policy approach that treats agriculture, a life industry, with economic logic does not conform to the spirit of Article 123, Paragraph 4 of the Constitution, which states that the state shall endeavor to balance the supply and demand of agricultural and fishery products and improve distribution structures to stabilize prices and protect the interests of farmers and fishermen," adding, "The introduction of a minimum price guarantee system for agricultural products that ensures farmers at least cover production costs is urgently needed."

He also stated, "The cause of the sharp fall and rise in onion prices is the government's failure to control supply and demand, but the MOEF's logic that tries to stabilize prices by increasing the low tariff quota (TRQ) volume for onions, as if domestic onion prices are the main culprit of inflation, cannot convince farmers and the public," urging, "The decision to import onions under the low tariff quota should be immediately withdrawn, and instead of supply and demand measures implemented every time agricultural product prices rise and fall, comprehensive and fundamental agricultural policies must be established."

Meanwhile, Assemblyman Seo Sam-seok has consecutively proposed partial amendments to the 'Act on Distribution and Price Stabilization of Agricultural and Fishery Products' in both the 20th and 21st National Assemblies to introduce a minimum price guarantee system for agricultural and fishery products.