[Food Desert] ④ Mobile Markets Run at a Loss... Only Four Local Governments Have Support Ordinances Nationwide

"Nothing Left to Gain"... Operators Voice Difficulties
Only Four Local Governments Have Support Ordinances
A Blind Spot With No Control Tower or Legislation

Editor's NoteHave you ever found grocery shopping difficult? In an era where you can buy whatever food you need anytime, either online or offline, it may seem unimaginable. However, there are still places in South Korea where there is no supermarket within walking distance, and even delivery services do not reach, making it hard to access food. These areas, where finding food is as difficult as finding an oasis in the desert, are called "food deserts." Food deserts are expanding due to aging populations, regional decline, and information gaps. We aim to examine the problems caused by the inconvenience of daily grocery shopping and reflect on them together.

Mobile markets that regularly circulate through food desert areas are emerging as a solution to improve consumers' access to groceries. However, operators report that it is difficult to avoid running at a loss. Because these markets serve sparsely populated areas, it is structurally hard to make a profit. Furthermore, there are no relevant laws to provide financial support, such as subsidies, making it difficult to expand or even maintain operations.

Mobile Markets Offer a Solution, but "Difficult to Sustain Without Support"

On the 1st, residents visiting the Door-to-Door Dangjin Rural Mobile Market set up at the Dogok 1-ri Village Hall in Hapdeok-eup, Dangjin, Chungnam, are purchasing goods. Photo by Kang Jin-hyung

The main obstacles to expanding mobile markets in food desert areas are their unprofitable structure and the lack of effective ways to compensate for it. Many residents cannot travel by car, so mobile market operators must visit every corner of the region. However, the average purchase per customer is not high enough to cover costs, making it difficult to break even.

BGF Retail, which operated a mobile market from December last year to January this year, believes that various forms of support are essential for the business. At the time, BGF Retail visited four villages in Jinan-gun and Imsil-gun, North Jeolla Province, once a week, selling ramen, snacks, beverages, meat, vegetables, and other groceries. A representative who was in charge of the project said, "The fuel costs, labor expenses, and leftover food disposal costs for operating a mobile market vehicle are considerable. In reality, the more you operate, the more losses you incur," adding, "This system will be a major obstacle for other operators trying to run regular mobile markets in the future. For the system to take root, supportive measures must be implemented."

One way to reduce the operational burden for business operators is to receive government support, such as subsidies. Dangjin City in South Chungcheong Province, which began a pilot mobile market project this month, is an example. In March, Dangjin City was selected as a pilot local government for the Ministry of Agriculture, Food and Rural Affairs' "Door-to-Door Rural Mobile Market" project, receiving support for consulting and vehicle costs related to the mobile market business. The goods loaded onto the vehicles are supplied through a partnership with Nonghyup Hanaro Mart, so activists only need to transport them. The advantage is that activists can focus solely on operations without worrying about profits.

Kwak Byungjin, an activist with the Regional Revitalization Team at the Dangjin City Rural Revitalization Support Center, said, "It is difficult for the mobile market business to generate significant profits, so support is essential. In the case of Dangjin City, activists participating in the project can be guaranteed wages, but in places without such support, there are difficulties in securing personnel and at various other stages."

Only Four Local Governments Have Support Ordinances... Lack of Legislation and a Control Tower

Despite calls for essential support from local governments, there are still no laws in place to provide such support. While the number of local governments operating mobile markets is increasing, only four local governments nationwide (North Jeolla Province, Imsil-gun in North Jeolla Province, Haenam-gun in South Jeolla Province, and Chungju in North Chungcheong Province) have formalized support through ordinances.

Among the agricultural bills submitted to the National Assembly's Bill Information System, only two directly mention "food deserts": the "Food Desert Prevention Act" (an amendment to the National Nutrition Management Act and the Framework Act on Agriculture, Rural Community and Food Industry), proposed by Democratic Party lawmaker So Byunghoon on November 26, and the "Special Act on Improving the Quality of Life for Farmers and Fishermen and Promoting the Development of Rural Areas," proposed by People Power Party lawmaker Kim Seongyo. In addition, there are about three bills that define food accessibility as a "basic right to food," but none have even been submitted to the plenary session.

Although food deserts are intertwined with various issues such as aging populations, low-income welfare, and regional decline, there is no control tower to comprehensively oversee inter-ministerial measures. Currently, food deserts in rural and other regional areas are mostly addressed by the Ministry of Agriculture, Food and Rural Affairs' "Door-to-Door Mobile Market" project. The Ministry of Oceans and Fisheries' "Fisheries Market" project covers food deserts in fishing villages. The Ministry of Food and Drug Safety is responsible for lifting regulations on what can be loaded onto mobile markets in rural and fishing villages. The "Food Bank" project, which supplies fresh fruit, meat, and dairy products, is overseen by the Ministry of Health and Welfare.

Cho Wonji, Senior Research Fellow at the Jeonbuk Institute, advised, "Multi-faceted and multi-dimensional cooperation between ministries and between the public and private sectors is essential. It is time for the central government to consider how to provide support."