Jeonnam Province Sees Fruitful Results from Ongoing Efforts
Kim Youngrok, Governor of Jeonnam Province, welcomed the passage of the "Act on Support for Essential Agricultural Inputs in Response to Supply Chain Risks" at the National Assembly plenary session on November 27, stating, "Jeonnam Province will provide strong support to ensure that the era of state responsibility in agricultural policy is fully realized."
The core of the Essential Agricultural Inputs Act is that if the prices of key agricultural inputs-such as fertilizers, feed, tax-free fuel for agriculture, and electricity for farming-rise above a certain level due to supply chain risks, the government and local authorities can subsidize all or part of the increase. In addition, the law enables preferential support for farms using greenhouse gas-reducing inputs or renewable energy, thereby contributing to the establishment of a sustainable agricultural foundation.
To implement the law, the government plans to develop step-by-step guidelines for crisis response, conduct surveys on the status of essential agricultural inputs, and establish a comprehensive information system.
Governor Kim expressed his welcome, saying, "With the instability of international affairs and the climate crisis, farmers have had to shoulder the burden of soaring input prices alone, but now a path has opened for the nation to share this responsibility."
Even before the passage of this bill, Jeonnam Province had proactively implemented policies to respond to supply chain risks. Starting in 2022, during the global energy crisis, the province supported increased electricity costs for agriculture, subsidized the purchase of tax-free fuel for farming, and provided support to cover feed price increases for small-scale Hanwoo cattle farmers, making active efforts to stabilize farm management.
Governor Kim emphasized, "It is a very meaningful decision for the nation to share the burden that is difficult for local finances alone to bear. The continued efforts of Jeonnam Province, which has consistently called for state responsibility in agricultural policy, have now borne fruit. We will ensure that the voices from the field are properly reflected in the process of preparing the enforcement decree and guidelines, so that the law can be fully effective."
Going forward, Jeonnam Province plans to continue requesting the central government’s attention and policy support to ensure that the institutional foundation for the stable supply of essential agricultural inputs is firmly established and that the intent of the new law is realized as tangible outcomes in the field.
Meanwhile, in response to supply chain crises, Jeonnam Province has put the principle of state responsibility in agricultural policy into practice by providing local funding (from both provincial and city/county budgets). After the outbreak of the Russia-Ukraine war in 2022 and the resulting surge in global energy prices, the province supported 5.28 billion won for increased electricity costs for agriculture and 8.68 billion won for the purchase of tax-free fuel for farming. In 2025, the province plans to provide 16.002 billion won for price subsidies and supply stabilization of inorganic fertilizers and 7 billion won to cover feed price increases for small-scale Hanwoo cattle farmers.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
