The Ministry of Agriculture, Food and Rural Affairs (Minister Chung Hwang-keun, MAFRA) announced that the export of agri-food products up to this November recorded 8.08 billion dollars, up by 4.0% year-on-year. The export volume of the agri-food products recorded an all-time high of 8.56 billion dollars last year, and continued to increase to reach the all-time high accumulated volume up to this November.
* The accumulated volume of export up to November (100 million dollars) : (2020) 68.4 → (2021) 77.7 → (2022) 80.8(4.0%↑)
Despite difficult situations in the major export destinations including the record weak Japanese Yen and prolonged inflation and reduced consumption in the US, MAFRA has promoted various marketing events based on the spread of the Korean Wave or Hallyu, such as holding K-food fairs in overseas countries and implementing promotional activities in connection with Korean soap operas. Building on such policy support from the government, the exports of fresh agricultural produce such as pear and citron and processed food products including Ramen, rice processed food and coffee preparations are on the rise.
* Accumulated export volume by product up to November: pear (60.6 million dollars, 3.8%↑), citron (tea) (48.9, 5.3↑), rice processed product (163.5, 10.7↑), Ramen (696.0, 14.5↑), coffee preparations (304.1, 6.7↑)
As for Korean pears, exclusive freight ships for agri-food products (exclusive shipping space) increased for smooth supply of Korean pears to the United States, the biggest export destination, in the run up to Chuseok or Lunar Thanksgiving day where the demand for pears is high. Also, good taste and quality of Korean pears were well promoted in countries in the Southeast Asia. As a result, the export of Korean pears increased. For example, a customer who visited the K-Exhibition in Vietnam (Oct, 15~18) said, “Korean pears are popular here as they are not only big but also sweet and have crunchy texture. Going forward, the popularity of Korean pears will further grow in Vietnam.”
* Export volume of Korean pears by country: US 30.6 million dollars (17.9%↑), Vietnam 7.4 (80.9↑)
Meanwhile, thanks to growing interest in health and preference toward convenience food, the export of rice processed food products including instant cooked rice and Tteokbokki highly increased. The popularity of Ramen continues in overseas countries thanks to the spread of the Korean Wave and the industry’s efforts to develop various products.
* Export volume of rice processed products by country: US 77.7 million dollars (28.1%↑), Europe (EU·UK) 9.3 (19.8↑)
** Export volume of Ramen by country: China 167.5 million dollars (25.6%↑), ASEAN 131.8 (5.8↑)
Building on such growth momentum, MAFRA will promote massive marketing activities at the year-end and beginning of the year in 18 major export destinations including US·China·Japan·ASEAN to exceed 9 billion dollars of annual export volume of agri-food products in 2022. Also, MAFRA will make all-out efforts to expand export by immediately addressing issues of the industry caused by worsening situations home and abroad including exchange rate fluctuations.
First, logistics support for exporters will be strengthened. In particular, intensive support for agricultural produce with high burden of logistics to maintain freshness will be provided. As for strawberries, which is one of main export items, support will be provided in cooperation with the domestic airliners (Korean Air·Asiana Airlines) so that strawberries can be transported to the Southeast Asian countries during the winter where they are released in earnest.
* Destinations of Korean Air (5): Hong Kong, Singapore, Bangkok, Ho Chi Minh, Kuala Lumpur, Jakarta
** Destinations of Asiana Airlines (3): Singapore, Hanoi, Manila
Also, marketing activities will be promoted for major export markets such as Japan, China, US and ASEAN. At “Korean Food Section” of online malls such as T-mall in China and Lazada in ASEAN, special exhibitions on the themes of “Korean Wave” and “Health” will be held. At hyper distribution markets in overseas countries, large promotional exhibitions of major export items such as Kimchi·Ramen will be held.
Also, export insurance support will be expanded so that exporting companies can effectively manage the risk of currency exchange volatility including weak Japanese Yen. The limit of support will be increased from 80 million won per exporter to 100 million won. For companies exporting to Japan, the company’s own expense for short-term export insurance will be exempted until June next year, addressing issues faced by the industry.
Director General Yang Joo-Phil of the Food Industry Policy Bureau of MAFRA said, “The export of Korean agri-food products is on the rise thanks to its continuous popularity despite difficult situations. We will make every effort to expand export at the year-end so that we can achieve high export volumes this year.”