{"id":2200227,"date":"2023-02-23T07:40:04","date_gmt":"2023-02-23T07:40:04","guid":{"rendered":"https:\/\/www.nknews.org\/koreapro\/?p=2200227"},"modified":"2023-04-05T16:09:39","modified_gmt":"2023-04-05T07:09:39","slug":"south-korea-struggles-to-tackle-its-growing-rice-supply-glut","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2023\/02\/south-korea-struggles-to-tackle-its-growing-rice-supply-glut\/","title":{"rendered":"South Korea struggles to tackle its growing rice supply glut"},"content":{"rendered":"
In late January, the opposition-controlled National Assembly <\/span>introduced<\/span><\/a> a bill to amend the country\u2019s <\/span>Grain Management Act<\/span><\/a>, with the stated goal of stabilizing the rice market by forcing the government to purchase surplus rice from the market. This bill is waiting for a plenary session vote, which Democratic Party (DP) floor leader Park Hong-geun <\/span>says<\/span><\/a> will happen on Friday.<\/span><\/p>\n President Yoon Suk-yeol has <\/span>characterized<\/span><\/a> the bill as the DP\u2019s attempt to rescue their leader Lee Jae-myung from <\/span>prosecution<\/span><\/a> by gaining support from farmers, and he has strongly <\/span>hinted<\/span><\/a> that he will veto the bill if it reaches his desk.<\/span><\/p>\n However, what appears to be a straightforward partisan fight between the opposition party and the president masks a much more complicated relationship between the political establishment and South Korea\u2019s rice farmers.<\/span><\/p>\n A BOTTOMLESS JAR?<\/b><\/p>\n The proposed bill would amend the Grain Management Act to compel the ROK government to purchase overproduced rice when supply exceeds more than 3% of demand. The government will also have to purchase rice if prices fall by more than 5% on-year.<\/span><\/p>\n Yoon has <\/span>described<\/span><\/a> the bill as akin to \u201cpouring tax money into a bottomless jar.\u201d<\/span><\/p>\n South Koreans\u2019 consumption of rice has been on a steady <\/span>decline<\/span><\/a> since 1980 and hit an all-time low in 2022 due to changes in diet and eating habits and a declining population. South Koreans consume less rice today than at any point since the government began compiling related data in 1962.<\/span><\/p>\n The price of a 44-pound (20-kg) bag of rice fell <\/span>24.9%<\/span><\/a> compared to the previous year in 2022, marking the largest on-year decline since 1977.<\/span><\/p>\n If the bill does become law, it will lock in the South Korean government to purchase an ever increasing amount of rice at higher costs to make up for the losses.<\/span><\/p>\n